Legislature(2011 - 2012)
04/16/2011 11:00 AM House FIN
| Audio | Topic |
|---|---|
| Start | |
| SB108 | |
| SB15 | |
| SB95 | |
| SB23 | |
| SB58 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
April 16, 2011
11:00 a.m.
11:00:50 AM
CALL TO ORDER
Co-Chair Stoltze called the House Finance Committee meeting
to order at 11:00 a.m.
MEMBERS PRESENT
Representative Bill Stoltze, Co-Chair
Representative Bill Thomas Jr., Co-Chair
Representative Anna Fairclough, Vice-Chair
Representative Mia Costello
Representative Mike Doogan
Representative Bryce Edgmon
Representative Les Gara
Representative David Guttenberg
Representative Reggie Joule
Representative Mark Neuman
Representative Tammie Wilson
MEMBERS ABSENT
None
ALSO PRESENT
Senator Dennis Egan, Sponsor; Senator Lesil McGuire,
Sponsor; Senator Kevin Meyer, Sponsor; Representative Mike
Chenault; Representative Craig Johnson; Christine
Marasigan, Staff, Senator Meyer; Matthew Moser, Staff,
Senator Ellis; Doug Wooliver, Administrative Attorney,
Alaska Court System.
PRESENT VIA TELECONFERENCE
Quinlan Steiner, Director, Public Defender Agency,
Department of Administration, Anchorage.
SUMMARY
SB 108 SPC. STEPHEN "MAX" CAVANAUGH OVERPASS
SB 108 was REPORTED out of committee with a "do
pass" recommendation and with previously
published fiscal note: FN 1 (DOT).
CSSB 15 (JUD)
SEX OFFENDER/UNDERAGE ALCOHOL OFFENSE
CS SB 15 (JUD) was REPORTED out of committee with
a "do pass" recommendation and with previously
published fiscal notes: FN 2 (LAW), FN 4
(SFC/COR).
CSSB 23 (FIN)
FILM PRODUCTION TAX CREDIT/AUDITS
CSSB 23 (FIN) was HEARD and HELD in committee for
further consideration.
SB 42 POWER PROJECT; ALASKA ENERGY AUTHORITY
(Pending Referral)
SB 42 was SCHEDULED but not HEARD.
SB 46 BUDGET: CAPITAL
(Pending referral)
SB 46 was SCHEDULED but not HEARD.
SB 58 INCREASING NUMBER OF SUPERIOR CT JUDGES
SB 58 was REPORTED out of committee with a "do
pass" recommendation and with new fiscal impact
note by the Court System and previously published
fiscal notes: FN 2 (CRT), FN 3 (ADM), FN 4 (ADM),
FN 7 (LAW), FN 8 (GOV), FN 9 (COR), FN 10 (DPS).
SB 95 FRANK PALMER FERRY TERMINAL
SB 95 was REPORTED out of committee with a "do
pass" recommendation and with previously
published fiscal note: FN 2 (DOT).
SENATE BILL NO. 108
"An Act naming the Dowling Road overpass at milepost
123.7 on the New Seward Highway the Spc. Stephen "Max"
Cavanaugh, Jr., Memorial Overpass."
11:01:27 AM
SENATOR LESIL MCGUIRE, SPONSOR, explained that the bill
would rename the Dowling Road overpass, mile 123.7 on the
New Seward Highway as the "Spc. Stephen "Max" Cavanaugh,
Jr., Memorial Overpass." She commented that although the
bill was only one sentence long, it was an important
tribute. She discussed the life of Max Cavanaugh, Jr. He
was an Alaskan soldier that died as a result of an
automobile collision with a moose on the Seward Highway.
Spc. Cavanaugh served on 300 convoys [in Iraq] with the
Warrior Transition Unit based at Fort Richardson. He was a
well-respected member of his unit. He was residing in
Alaska and was healing from a traumatic brain injury when
the crash occurred. His organs were donated after his
death.
Senator McGuire relayed that his parents traveled to Alaska
from Georgia after their son passed away, to participate in
a road safety effort aimed at mitigating the dangers on the
overpass. The highway corridor was frequented by moose
making driving dangerous. She noted that the effort was
assisted by the Department of Transportation and Public
Facilities (DOT), Department of Public Safety (DPS),
Department of Fish and Game (DFG), Governor and Sandy
Parnell and AmeriCorps volunteers. Brush that was comprised
of willow, cottonwood, birch, and aspen trees was cut and
cleared for four days. She directed attention to efforts
related to identifying the vegetation types planted next to
traffic corridors. She informed the committee that certain
vegetation such as; willow, cottonwood, birch, and aspen
attracted moose to the corridor, which caused the danger on
the highway. She added that if the legislation passed, DOT
would post four signs on the overpass to honor Spc.
Cavanaugh and warn motorist of the dangers on the corridor.
11:07:15 AM
Senator McGuire felt that passage of the bill would
continue Spc. Cavanaugh's legacy of saving lives.
Co-Chair Stoltze was glad that the story of Spc. Cavanaugh
was put on the record.
Co-Chair Thomas remarked that Senator McGuire supported
traumatic brain injury [treatment]. He expressed strong
support for the legislation. He was troubled by the danger
caused by moose on any traffic corridor.
Co-Chair Stoltze OPENED and CLOSED public testimony.
Representative Neuman relayed that every time a car hit a
moose expenses of up to $35,000 were incurred. He shared
his advocacy for road safety.
Co-Chair Stoltze noted the $10,000 DOT fiscal note. He
believed that it was money well spent.
Vice-chair Fairclough MOVED to report SB 108 out of
committee with individual recommendations and the
accompanying fiscal note.
SB 108 was REPORTED out of committee with a "do pass"
recommendation and with previously published fiscal note:
FN 1 (DOT).
11:10:39 AM
AT EASE
11:11:27 AM
RECONVENED
CS FOR SENATE BILL NO. 15(JUD)
"An Act relating to penalties for certain alcohol
offenses involving persons under 21 years of age
committed by certain sex offenders or child
kidnappers."
11:11:32 AM
SENATOR KEVIN MEYER, SPONSOR, introduced SB 15. He
summarized that the bill increased the penalty related to
purchasing alcohol for minors by sex offenders. He related
findings that people were buying alcohol for minors for
sexual favors and some were registered sex offenders. He
identified the high correlation between alcohol use and
sexual assault. He noted that the bill had been heard in a
number of other committees and received considerable
testimony. There were a number of legal questions that were
handled by the Department of Law (DOL). Senator Meyer
commented that three to four registered sex offenders that
provided alcohol to minors were apprehended each year.
Representative Gara wondered whether the legal questions
had been resolved. Senator Meyer responded that the legal
questions were resolved by DOL.
Co-Chair Stoltze OPENED and CLOSED public testimony.
Vice-chair Fairclough discussed the two indeterminate
fiscal notes. She noted the indeterminate fiscal note by
the Department of Law (DOL). The department could not
quantify the fiscal impact of changing a misdemeanor to a
felony. Senator Meyer confirmed the fiscal note
information.
Vice-chair Fairclough asked for clarification on the second
indeterminate fiscal note from the Department of
Corrections (DOC).
CHRISTINE MARASIGAN, STAFF, SENATOR MEYER, recounted that
the original DOC fiscal note for SB 15 was "quite high".
The fiscal note was subsequently reduced after an
examination of relevant data over a ten year period. Upon
further examination, the Senate Finance Committee changed
the fiscal note to indeterminate based on the DOL analysis
of the unknown number of possible convictions.
Vice-chair Fairclough MOVED to report CS SB 15 (JUD) out of
committee with individual recommendations and the
accompanying fiscal notes.
CS SB 15 (JUD) was REPORTED out of committee with a "do
pass" recommendation and with previously published fiscal
notes: FN 2 (LAW), FN 4 (SFC/COR).
11:18:26 AM
AT EASE
11:20:37 AM
RECONVENED
SENATE BILL NO. 95
"An Act naming the ferry terminal located at Auke Bay
in Juneau the Frank Palmer Ferry Terminal."
11:20:54 AM
SENATOR DENNIS EGAN, SPONSOR, discussed SB 95. He shared
that Frank Palmer worked for close to 50 years at the Auke
Bay Ferry Terminal in Juneau. He expertly loaded and
unloaded commercial trucks and large vehicles on and off of
Alaska Marine Highway vessels. He depicted Mr. Palmer's
special expertise as a community service. He characterized
him as an "icon." He recounted personal experience
witnessing his extraordinary skill. He stated that "the
list of Alaskans whose lives had been directly touched by
Mr. Palmer was enormous." Mr. Palmer died in a tragic
swimming accident while in Hawaii. He believed that naming
the Auke Bay ferry terminal after Mr. Palmer would act as a
tribute to his legacy.
Co-Chair Stoltze recalled reading an article about Frank
Palmer. He commented on the efficiency and skill that Mr.
Palmer demonstrated while carrying out his work.
11:24:49 AM
Co-Chair Thomas discussed his memories of Mr. Palmer
working at the ferry terminal. Senator Egan remembered that
people would go out and watch him back trucks onto the
ferry.
Co-Chair Stoltze OPENED and CLOSED public testimony.
Senator Egan reported that members of the public offered to
testify; however, for brevity the letters of support had
been provided instead. Co-Chair Stoltze added that his
office had received letters and calls of support for SB 95.
Senator Egan relayed that the fiscal note was zero. Vice-
chair Fairclough remarked that the original fiscal note
appropriated $10 thousand. Senator Egan indicated that the
freight companies donated the funds to cover the costs for
signage.
Vice-chair Fairclough MOVED to report SB 95 out of
committee with individual recommendations and the
accompanying fiscal note.
SB 95 was REPORTED out of committee with a "do pass"
recommendation and with previously published fiscal note:
FN 2 (DOT).
11:29:10 AM
AT EASE
11:31:10 AM
RECONVENED
CS FOR SENATE BILL NO. 23(FIN)
"An Act relating to transferable film production tax
credits and film production tax credit certificates;
requiring the legislative audit division to audit the
Alaska film production incentive program; and
providing for an effective date by amending the
effective dates of secs. 3 and 4, ch. 63, SLA 2008."
11:31:32 AM
Vice-chair Fairclough moved workdraft HCS SB 23 (), 27-
LS0252\C, (Bullock, 4/14/11) as a working document before
the committee.
There being NO OBJECTION, it was so ordered.
Co-Chair Stoltze relayed that the committee would deal with
the workdraft version of the bill the next legislative
session.
MATTHEW MOSER, STAFF, SENATOR ELLIS, concurred with the Co-
chair.
Vice-chair Fairclough discussed that she initially had
voted no on the original bill. She shared that her office
received many calls and letters of support by Alaskan
businesses. She informed the committee that Senator Ellis
extended much of his time to discuss the legislation in
detail with her.
Co-Chair Stoltze announced that the committee would address
the concerns of the House Labor and Commerce Committee.
Representative Neuman noted that he was a no vote for the
original bill. He wondered whether there would be a
legislative audit to uncover the impacts of the film
credits. Vice-chair Fairclough relayed that the state had
not paid out many credits to date; there was not much to
audit.
11:36:15 AM
Co-Chair Stoltze disclosed that he had voted against the
original bill. He "wanted to work with Senator Ellis in
good faith on a resolution."
Representative Doogan had received a significant amount of
communication on SB 23. He discussed that many people had
concerns about the bill. He wanted to assure the public
that the committee will continue to work on the
legislation.
Representative Gara wondered what the sunset of the
original bill was. Mr. Moser replied that the program would
sunset on July 1, 2013.
Representative Costello echoed the comments from
Representative Doogan. She noted her support of an audit.
She believed it was a sensible idea to hold onto the bill
to examine the impacts further.
CS SB 23 (FIN) was HEARD and HELD in committee for further
consideration.
11:39:22 AM
AT EASE
11:40:46 AM
RECONVENED
SENATE BILL NO. 58
"An Act increasing the number of superior court judges
designated for the third judicial district; and
providing for an effective date."
11:41:01 AM
DOUG WOOLIVER, ADMINISTRATIVE ATTORNEY, ALASKA COURT
SYSTEM, explained the legislation. He reported that SB 58
had been introduced by request of the Alaska Supreme Court.
The bill would add two new superior court judges in
Anchorage to hear the increasing number of civil cases.
There were several types of cases that were increasing the
workload: child in need of aid cases and family law cases.
In addition, he identified a significant amount of complex
business litigation cases in Anchorage. He discussed that
the courts had changed the way they looked at family law
cases. Reunification was now the preferred outcome in child
in need of aid cases. The outcome takes more time and
hearings. He furthered that family law cases had changed
over the years. He pointed to a significant increase in
self-representation and the importance of considering
domestic violence in child custody cases. He delineated
that in over 66 percent of family law cases one party was
unrepresented. The people had a right to be in court and
were a very important part of the court system's
constituency. The cases took a lot of time, were less
organized, and significantly increased the workload. He
detailed that the importance of domestic violence in child
custody cases was elevated in statute. Judges spend much
more time considering domestic violence in child custody
cases.
Mr. Wooliver added that Anchorage had the largest business
and financial center in the state. The majority of business
litigation cases, including high-profile cases, took place
in Anchorage. The cases were "enormously" important and
time consuming. He offered that the additional judges were
the court system's highest priority.
11:46:43 AM
Co-Chair Stoltze OPENED public testimony.
QUINLAN STEINER, DIRECTOR, PUBLIC DEFENDER AGENCY,
DEPARTMENT OF ADMINISTRATION, ANCHORAGE (via
teleconference), was available for questions and did not
have a position on the legislation. He explained that if
the judges were added the agency would experience increased
workloads.
Co-Chair Stoltze CLOSED public testimony.
Vice-chair Fairclough discussed the fiscal notes. She
identified a new fiscal note in the amount of $1,015.6
million from the Court System in FY 2012 that related to
the cost of two new judges. She noted a $425.2 million
capital expenditure. She identified FN 2 (CRT) for the
Alaska Judicial Council, appropriating $23.2 thousand in FY
2012 for the selection process. She referenced FN 3 (ADM)
which appropriated $232.4 million in FY 2012 for the Public
Defender Agency. The fiscal note was necessary to cover
increased costs related to the anticipated additional case
load.
Representative Wilson inquired about the second fiscal
note. She wondered why the workload would increase if
additional judges were added. Mr. Wooliver replied that it
was more work for the Judicial Council. The additional
vacancies required more meetings, work, and travel for the
council.
Vice-chair Fairclough noted that the Judicial Council
expenses dropped down to $1.9 thousand the following years.
She directed attention to FN 4 (ADM). She communicated that
$232.4 thousand was appropriated in FY 2012 to the Office
of Public Advocacy for an additional attorney and law
assistant.
11:52:09 AM
Vice-chair Fairclough continued with FN 7 (LAW) in the
amount of $225 thousand each year through FY 2017. She
explained that the bill added a full time attorney, and
half time support position to the [Anchorage] Child
Protection Section. She noted that FN 8 (GOV) (Division of
Elections), FN 9 (COR) (Administrative Services), and FN 10
(DPS) (Alaska State Troopers) had zero fiscal impact.
Vice-chair Fairclough MOVED to report SB 58 out of
committee with individual recommendations and the
accompanying fiscal notes.
SB 58 was REPORTED out of committee with a "do pass"
recommendation and with new fiscal impact note by the Court
System and previously published fiscal notes: FN 2 (CRT),
FN 3 (ADM), FN 4 (ADM), FN 7 (LAW), FN 8 (GOV), FN 9 (COR),
and FN 10 (DPS).
SENATE BILL NO. 42
"An Act relating to the procurement of supplies,
services, professional services, and construction for
the Alaska Energy Authority; establishing the Alaska
Railbelt energy fund and relating to the fund;
relating to and repealing the Railbelt energy fund;
relating to the quorum of the board of the Alaska
Energy Authority; relating to the powers of the Alaska
Energy Authority regarding employees and the transfer
of certain employees of the Alaska Industrial
Development Export Authority to the Alaska Energy
Authority; relating to acquiring or constructing
certain projects by the Alaska Energy Authority;
relating to the definition of 'feasibility study' in
the Alaska Energy Authority Act; and providing for an
effective date."
SB 42 was SCHEDULED but not HEARD.
SENATE BILL NO. 46
"An Act making and amending appropriations, including
capital appropriations and other appropriations;
making appropriations to capitalize funds; and
providing for an effective date."
SB 46 was SCHEDULED but not HEARD.
11:55:56 AM
RECESSED to the call of the Chair.
MEETING CONTINUED and ADJOURNED 4/17/11 2:34 PM.
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