Legislature(1993 - 1994)
04/02/1993 08:40 AM House FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
April 2, 1993
8:40 a.m.
TAPE HFC 93-89, Side 1, #000 - 561.
CALL TO ORDER
Co-Chair Larson called the House Finance Committee to order
at 8:40 a.m.
PRESENT
Co-Chair Larson Representative Hoffman
Co-Chair MacLean Representative Martin
Vice-Chair Hanley Representative Navarre
Representative Parnell
Representative Foster Representative Therriault
Representative Grussendorf
Representative Brown was absent from the meeting.
ALSO PRESENT
Representative Olberg, Representative Phillips; Charles
Cole, Attorney General, Department of Law.
SUMMARY INFORMATION
HB 76 "An Act making a special appropriation to the
Department of Natural Resources for the purchase
of the inholdings of the Seldovia Native
Association and the Cook Inlet Region, Inc., and
the timber rights of the Timber Trading Company,
within the Kachemak Bay State Park; and providing
for an effective date."
HB 76 was reported out of Committee with "no
recommendation."
HB 113 "An Act regulating the solicitation of
contributions by charitable organizations and paid
solicitors and the solicitation of sales by
telephonic means; and amending Alaska Rules of
Civil Procedure 79 and 82."
CSHB 113 (FIN) was reported out of Committee with
a "do pass" recommendation and with a zero fiscal
note by the Department of Public Safety, dated
3/5/93.
HB 197 "An Act making an appropriation to the Alyeska
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Settlement Fund and making appropriations from the
Alyeska Settlement Fund; and providing for an
effective date."
HB 197 was reported out of Committee with
"individual recommendations" and with a fiscal
impact note by the Department of Transportation
and Public Facilities.
HOUSE BILL NO. 113
"An Act regulating the solicitation of contributions by
charitable organizations and paid solicitors and the
solicitation of sales by telephonic means; and amending
Alaska Rules of Civil Procedure 79 and 82."
Co-Chair Larson provided members with AMENDMENT NO. 1.
(Attachment 1).
Representative Foster MOVED to ADOPT AMENDMENT NO. 1. There
being NO OBJECTION, it was so ordered.
Representative Foster MOVED to report CSHB 113 out of
Committee with individual recommendations and with the
accompanying fiscal note. There being NO OBJECTION, it was
so ordered.
CSHB 113 (FIN) was reported out of Committee with a "do
pass" recommendation and with a zero fiscal note by the
Department of Public Safety, dated 3/5/93.
HOUSE BILL NO. 197
"An Act making an appropriation to the Alyeska
Settlement Fund and making appropriations from the
Alyeska Settlement Fund; and providing for an effective
date."
Representative Larson noted that the original HB 197 was
before the Committee.
REPRESENTATIVE HARLEY OLBERG spoke in support of HB 197. He
explained that HB 197:
* Appropriates $28.2 million dollars from the
Alyeska Settlement fund;
* 14.5 million dollars of the $28.0 million dollar
appropriation is for docks and construction of
response storage facilities at Tatitlek and
Chenega;
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* $6 million dollars is for the construction of a
road from Cordova to Shepard Point;
* $7.5 million is for the acquisition of land for
the Kachemak bay State Pard and;
* $200.0 thousand dollars is for communications
equipment to be purchased by the US Coast Guard
and the State.
Representative Olberg pointed out that the total settlement
is $31.7 million dollars.
Representative Parnell MOVED to report HB 197 out of
Committee with individual recommendations and with the
accompanying fiscal note.
Representative Therriault asked who would own and operate
the Shepard Point dock.
CHARLES COLE, ATTORNEY GENERAL, DEPARTMENT OF LAW noted that
the question is being addressed by the Senate. He stated
that the Department of Transportation and Public Facilities
would probably build the dock.
There being NO OBJECTION, HB 197 was moved from committee.
HB 197 was reported out of Committee with "individual
recommendations" and with a fiscal impact note by the
Department of Transportation and Public Facilities.
HOUSE BILL NO. 76
"An Act making a special appropriation to the
Department of Natural Resources for the purchase of the
inholdings of the Seldovia Native Association and the
Cook Inlet Region, Inc., and the timber rights of the
Timber Trading Company, within the Kachemak Bay State
Park; and providing for an effective date."
REPRESENTATIVE GAIL PHILLIPS spoke in support of HB 76. She
emphasized that there are no general funds involved in the
buy out. She noted that $7.5 of the $20.5 million dollar
Alyeska Settlement Fund is allocated for Kachemak Bay State
Park. There is an additional $7.5 million dollar
appropriation for Kachemak Bay State Park from the Exxon Oil
Spill Trust Council. The remaining $7 million dollars is
appropriated from criminal fines levied against Exxon.
Representative Martin expressed concern that the Katchemak
Bay State Park purchases contain Spruce beetle infestations.
Representative Phillips pointed to a letter by the United
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States Department of Agriculture which states that the
infestation is only in the surrounding area (Attachment 2).
Representative Hoffman asked the Administration's plans in
regards to the proposed Katchemak Bay State Park buy-back.
He noted that the Governor vetoed appropriations for the
buy-back that were contained in legislation passed in FY 93
(HB 411). Attorney General Cole observed that funding for
the Katchemak Bay State Park buy-back is included in
legislation offered by the Governor in regards to allocation
of Exxon criminal fines.
Representative Hoffman observed that a principle reason for
the Governor's veto of HB 411 was to allow a trust to be
created in order that the State continue to use the interest
on an ongoing basis. Attorney General Cole stressed that a
principle reason for the Governor's veto was that many
projects included in HB 411 were not linked to restoration,
replacement or enhancement of the damaged natural resources.
He emphasized that Katchemak Bay contains critical habitat
for species that were adversely affected by the oil spill.
Co-Chair Larson asked if the subsurface rights would be
included in the purchase. Attorney General Cole answered
that subsurface rights are included in the purchase.
Co-Chair Larson asked if $22 million dollars represents the
fair value cost of the inholdings. Attorney General Cole
assured members that $22 million dollars represents a fair
and reasonable price.
Representative Foster MOVED to report HB 76 out of Committee
with individual recommendations. There being NO OBJECTION,
it was so ordered.
HB 76 was reported out of Committee with "no
recommendation."
Representative Martin provided members with a letter of
intent: "It is the intent of the Legislature that the
owner(s) of the timber of Kachemak Bay Park purge spruce
infected trees and reforest the park before payment is
advanced."
Representative Grussendorf noted that spruce bark beetles
are always in the timber. He felt that the letter of intent
would be too confining.
Representative Martin MOVED to ADOPT the letter of intent.
Co-Chair MacLean OBJECTED.
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A roll call vote was taken on the motion.
IN FAVOR: Martin
OPPOSED: Foster, Hanley, Parnell, Therriault, Grussendorf,
Hoffman, Navarre, MacLean, Larson
Representative Brown was absent from the meeting.
The MOTION FAILED (1-9).
ADJOURNMENT
The meeting adjourned at 9:10 a.m.
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