Legislature(1993 - 1994)
03/23/1993 08:00 AM STA
* first hearing in first committee of referral
= bill was previously heard/scheduled
= bill was previously heard/scheduled
HOUSE STATE AFFAIRS STANDING COMMITTEE March 23, 1993 8:00 a.m. MEMBERS PRESENT Representative Al Vezey, Chairman Representative Pete Kott, Vice Chairman Representative Harley Olberg Representative Jerry Sanders Representative Gary Davis Representative Fran Ulmer Representative Bettye Davis MEMBERS ABSENT None OTHER HOUSE MEMBERS PRESENT Representative John Davies SENATORS PRESENT Senator Loren Leman COMMITTEE CALENDAR *HCR 10 Relating to certification of the Alaska State Legislature's opposition to requiring suspension of a driver's license for drug offenses. MOVED FROM COMMITTEE WITH A DO PASS RECOMMENDATION *HB 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." CSHB 197 (STA) MOVED FROM COMMITTEE WITH A DO PASS RECOMMENDATION SB 90 "An Act clarifying powers and duties of state officials in relation to a disaster emergency caused by a catastrophic oil discharge or the release of a hazardous substance." MOVED FROM COMMITTEE WITH A DO PASS RECOMMENDATION HB 65 "An Act relating to the improvement of state finances through reduction of operating costs of certain state agencies and establishment of certain fees; and providing for an effective date." CSHB 65 (STA) MOVED FROM COMMITTEE WITH NO RECOMMENDATIONS HB 59 "An Act making a special appropriation to the Department of Natural Resources for refunds to certain veterans who purchased state land and for reimbursement to the University of Alaska for the veterans' land discount applied to land transferred to the University of Alaska; and providing for an effective date." MOVED FROM COMMITTEE WITH A DO PASS RECOMMENDATION HB 37 "An Act relating to open meetings of governmental bodies." HELD IN COMMITTEE FOR FURTHER CONSIDERATION (* first public hearing) WITNESS REGISTER Jeannie Smith, Legislative Aide to Representative Richard Foster State Capitol, Court Room 611 Juneau, Alaska 99801-1182 465-3789 Position Statement: Delivered sponsor statement, HCR 10 Representative John Davies State Capitol, Court Room 604 Juneau, Alaska 99801-1182 465-4457 Position Statement: Prime Sponsor, 2D SSHB 37 Rosalee Walker, President Alaska Municipal League 217 2nd Street Juneau, Alaska 99811 586-1325 Position Statement: Supported 2D SSHB 37 Kent Swisher, Director Alaska Municipal League 217 2nd Street Juneau, Alaska 99811 586-1325 Position Statement: Supported 2D SSHB 37 Wendy Redman, Vice President for University Relations University System 910 Yukon Drive Fairbanks, Alaska 99775-5560 474-7582 Position Statement: Supported 2D SSHB 37; provided information on HB 59 Senator Loren Leman Room 113, State Capitol Juneau, Alaska 99801-1182 465-2095 Position Statement: Prime Sponsor, SB 90 Jeff Morrison, Director Administrative and Support Services Division Department of Military and Veterans Affairs 5th Floor, Goldstein Bldg. P.O. Box 110900 Juneau, Alaska 99801-0900 465-4730 Position Statement: Supported the intent of SB 90 Donald G. Study, Acting Director Division of Labor Standards and Safety Department of Labor P.O. Box 20630 Juneau, Alaska 99802-0630 465-4855 Position Statement: Opposed deletion of Section 44 of HB 65 Representative Harley Olberg Room 110, State Capitol Juneau, Alaska 99801-1182 465-4859 Position Statement: Prime Sponsor, HB 197 Craig Tillery, Assistant Attorney General Department of Law 1031 W. 4th Ave., Suite 200 Anchorage, Alaska 99501 269-5274 Position Statement: Provided information on HB 197 PREVIOUS ACTION BILL: HCR 10 SHORT TITLE: FEDERAL-AID HY FUNDING/DRUG ENFORCEMENT BILL VERSION: CSHCR 10(HES) AM SPONSOR(S): TRANSPORTATION BY REQUEST TITLE: Relating to allowing the state the right to determine and impose sanctions on motor vehicle drivers. JRN-DATE JRN-PG ACTION 02/24/93 433 (H) READ THE FIRST TIME/REFERRAL(S) 02/24/93 433 (H) STATE AFFAIRS, HES, JUDICIARY 03/23/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: HB 197 SHORT TITLE: APPROP: ALYESKA SETTLEMENT BILL VERSION: SPONSOR(S): REPRESENTATIVE(S) OLBERG TITLE: "An Act making an appropriation to the Alyeska Settlement Fund and making appropriations from the Alyeska Settlement Fund; and providing for an effective date." JRN-DATE JRN-PG ACTION 03/03/93 520 (H) READ THE FIRST TIME/REFERRAL(S) 03/03/93 520 (H) STATE AFF, OIL & GAS, RESOURCES, FINANCE 03/23/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: SB 90 SHORT TITLE: DECLARATION OF DISASTER EMERGENCIES BILL VERSION: SPONSOR(S): SENATOR(S) LEMAN TITLE: "An Act clarifying powers and duties of state officials in relation to disaster emergency caused by a catastrophic oil discharge or the release of a hazardous substance." JRN-DATE JRN-PG ACTION 02/05/93 245 (S) READ THE FIRST TIME/REFERRAL(S) 02/05/93 246 (S) OIL & GAS, RESOURCES 02/16/93 (S) O&G AT 11:00 AM BELTZ ROOM 211 02/16/93 (S) MINUTE(O&G) 02/17/93 386 (S) O&G RPT 3DP 02/17/93 386 (S) ZERO FISCAL NOTES (DMVA, DEC) 02/22/93 (S) RES AT 03:30 PM BUTROVICH ROOM 205 02/24/93 (S) RES AT 03:30 PM BUTROVICH ROOM 205 02/24/93 (S) MINUTE(RES) 02/25/93 482 (S) RES RPT 3DP 2NR 02/25/93 482 (S) PREVIOUS ZERO FNS (DMVA, DEC) 03/04/93 (S) RLS AT 03:00 PM 03/04/93 (S) MINUTE(RLS) 03/08/93 658 (S) RULES RPT 3CAL 1NR 3/8/93 03/08/93 668 (S) READ THE SECOND TIME 03/08/93 668 (S) ADVANCED TO THIRD READING UNAN CONSENT 03/08/93 668 (S) READ THE THIRD TIME SB 90 03/08/93 669 (S) RETURN TO SECOND FOR AM 1 UNAN CONSENT 03/08/93 669 (S) AM NO 1 WITHDRAWN BY SPONSOR 03/08/93 669 (S) AUTOMATICALLY IN THIRD READING 03/08/93 669 (S) PASSED Y18 N1 E1 03/08/93 677 (S) TRANSMITTED TO (H) 03/10/93 582 (H) READ THE FIRST TIME/REFERRAL(S) 03/10/93 582 (H) STATE AFFAIRS, RESOURCES 03/23/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: HB 65 SHORT TITLE: FINANCIAL ADMINISTRATION OF STATE GOVT. BILL VERSION: SPONSOR(S): RULES BY REQUEST OF THE GOVERNOR TITLE: "An Act relating to the improvement of state finances through reduction of operating costs of certain state agencies and establishment of certain fees and providing for an effective date." JRN-DATE JRN-PG ACTION 01/15/93 75 (H) READ THE FIRST TIME/REFERRAL(S) 01/15/93 75 (H) L&C, STATE AFFAIRS, JUDICIARY, FINANCE 01/15/93 75 (H) -8 FNS(2-DEC, 2-DHSS, LABOR, DNR, DPS 01/15/93 75 (H) ADM) PUBLISHED 1/15/93 01/15/93 75 (H) -5 REVENUE FNS(DPS, 2-LABOR, 2- DOE)1/15 01/15/93 75 (H) -5 ZERO FNS (3-ADM, LABOR, REV) 1/15/93 01/15/93 75 (H) GOVERNOR'S TRANSMITTAL LETTER 02/01/93 201 (H) -REVISED FN (DNR) 2/1/93 02/08/93 251 (H) -CORRECTED FN (DNR) 2/8/93 02/09/93 (H) L&C AT 03:00 PM CAPITOL 17 02/09/93 (H) MINUTE(L&C) 02/11/93 (H) L&C AT 03:00 PM CAPITOL 17 02/23/93 (H) L&C AT 03:00 PM CAPITOL 17 03/01/93 478 (H) L&C RPT CS(L&C) NEW TITLE 3DP 1NR 03/01/93 478 (H) DP: PORTER, SITTON, GREEN 03/01/93 478 (H) NR: HUDSON 03/01/93 479 (H) -REVENUE FN (DPS) 3/1/93 03/01/93 479 (H) -ZERO FISCAL NOTE (ADM) 3/1/93 03/01/93 479 (H) -7 PREV FNS (2-DEC, 2-DHSS, LABOR, DPS 03/01/93 479 (H) ADM) 1/15/93 PREV FN (DNR) 2/8/93 03/01/93 479 (H) -5 PREV REV FNS(DPS, 2-LABOR, 2-DOE)1/15 03/01/93 479 (H) -5 PREV ZERO FNS(3-ADM,LABOR, REV)1/15/93 03/16/93 (H) STA AT 08:00 AM CAPITOL 102 03/16/93 (H) MINUTE(STA) 03/20/93 (H) STA AT 08:00 AM CAPITOL 102 03/23/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: HB 59 SHORT TITLE: APPROP: VETS' LAND DISCOUNT REFUND BILL VERSION: SPONSOR(S): SPECIAL CMTE MILITARY & VETERANS AFFAIRS TITLE: "An Act making a special appropriation to the Department of Natural Resources for refunds to certain veterans who purchased state land and for reimbursement to the University of Alaska for the veterans' land discount applied to land transferred to the University of Alaska; and providing for an effective date." JRN-DATE JRN-PG ACTION 01/15/93 72 (H) READ THE FIRST TIME/REFERRAL(S) 01/15/93 72 (H) MIL & VET AFF, STATE AFFAIRS, FINANCE 02/18/93 (H) MLV AT 10:00 AM CAPITOL 17 02/24/93 (H) MLV AT 05:00 PM CAPITOL 17 02/24/93 (H) MINUTE(MLV) 03/01/93 483 (H) MLV RPT CS(MLV) 4DP 03/01/93 483 (H) DP: MULDER, WILLIS, FOSTER, NAVARRE 03/01/93 484 (H) -ZERO FISCAL NOTE (DNR) 3/1/93 03/16/93 (H) STA AT 08:00 AM CAPITOL 102 03/16/93 (H) MINUTE(STA) 03/23/93 (H) STA AT 08:00 AM CAPITOL 102 BILL: HB 37 SHORT TITLE: OPEN MEETINGS LAW AMENDMENTS BILL VERSION: 2D SSHB 37 SPONSOR(S): REPRESENTATIVE(S) DAVIES,Therriault,Brice TITLE: "An Act relating to open meetings of governmental bodies." JRN-DATE JRN-PG ACTION 01/08/93 34 (H) PREFILE RELEASED 01/11/93 34 (H) READ THE FIRST TIME/REFERRAL(S) 01/11/93 34 (H) STATE AFFAIRS, JUDICIARY 01/20/93 117 (H) COSPONSOR(S): BRICE 02/11/93 321 (H) SPONSOR SUBSTITUTE INTRODUCED- REFERRALS 02/11/93 322 (H) STATE AFFAIRS, JUDICIARY 03/10/93 589 (H) 2D SPONSOR SUBSTITUTE INTRO- REFERRALS 03/10/93 589 (H) STATE AFFAIRS, JUDICIARY 03/23/93 (H) STA AT 08:00 AM CAPITOL 102 ACTION NARRATIVE TAPE 93-32, SIDE A Number 000 CHAIRMAN AL VEZEY called the House State Affairs Committee to order at 8:02 a.m., on March 23, 1993, and noted all members were present. Also in attendance were Representative John Davies and Senator Loren Leman. HCR 10: FEDERAL-AID HY FUNDING/DRUG ENFORCEMENT Number 016 CHAIRMAN VEZEY read the title to HCR 10 and called for its sponsor to deliver his statement. Number 026 JEANNIE SMITH, LEGISLATIVE AIDE TO REPRESENTATIVE RICHARD FOSTER, PRIME SPONSOR OF HCR 10, delivered the sponsor's statement for HCR 10. She noted the resolution's necessity to ensure federal highway funding for Fiscal Year 94, and 95, and told the committee that unless the legislature passed HCR 10, Alaska would lose $9.6 million for funding in 1994 and 1995, and $19.2 million for each fiscal year thereafter. She noted passing HCR 10 does not mean Alaska will comply with federal mandates involving revoking drivers' licenses. Instead, it simply complies with the mandate that the legislature look at the idea. Number 091 CHAIRMAN VEZEY asked for clarification on the deadline for HCR 10's passage. MS. SMITH stated April 1, 1993, was the deadline for passage of HCR 10. Number 101 REPRESENTATIVE HARLEY OLBERG asked if passing HCR 10 would comply with the federal mandate. MS. SMITH stated it would. CHAIRMAN VEZEY explained the federal regulation allowed states two options: To either pass a law suspending drivers' licenses for drug offenses, or to inform the government it will not. He stated HCR 10 would do the latter. Number 134 REPRESENTATIVE BETTYE DAVIS MOVED passage of HCR 10. Number 153 HCR 10 PASSED by a 6-1 vote, Representative Sanders voting NO. HB 37: OPEN MEETINGS LAW AMENDMENTS Number 156 CHAIRMAN VEZEY read the title to the 2D SSHB 37 and invited its sponsor to the table. Number 166 REPRESENTATIVE JOHN DAVIES, PRIME SPONSOR OF HB 37, outlined his reasoning behind the bill's introduction. He stated the latest version (2D SSHB 37) makes several changes in the existing law, including the requirement of 72 hours' notice of a public meeting; the posting of a meeting's subjects; and, the definition of how many members of a body constitute an official meeting. He noted several lawsuits have yielded conflicting court opinions on the current law, and said the confusion is keeping good people from running for public office. He also cited his own experience on the Fairbanks Borough Assembly, in which a Borough attorney was unable to make sense of the law, and urged members to clarify that law with HB 37. Number 425 CHAIRMAN VEZEY agreed the Open Meetings Act was "broken" and needed to be "fixed." He told the committee he had also been at work on a bill similar to 2D SSHB 37, but had several differences in mind. Those differences included: 1) making an official meeting a gathering of a quorum as opposed to a simple majority of a quorum; 2) excluding attorney-client privilege, because it is guaranteed in the constitution; 3) mandating all parties in an open meetings lawsuit pay their own costs; and, 4) that agency publications need not be provided at teleconference sites. He then called for further testimony on 2D SSHB 37. Number 492 ROSALEE WALKER, PRESIDENT, ALASKA MUNICIPAL LEAGUE, testified in favor of 2D SSHB 37, saying the League supports the idea of open meetings and the current law is too cumbersome. She pointed out in small communities, people are violating the law every day because in some court opinions, two people talking constitutes a meeting. She also cited the last Cordova election, where people refused to run for office because of the open meetings law, and a newcomer was able to win election with a write-in campaign. Number 529 REPRESENTATIVE FRAN ULMER asked if it was critical to pass a new law this year. Number 531 MS. WALKER replied, "The sooner the better." She noted many cities have already lost money fighting lawsuits, and other lawsuits are pending action on 2D SSHB 37. Number 538 REPRESENTATIVE ULMER asked if Ms. Walker had a preference on what constituted a meeting, a quorum or a majority of a body's membership. Number 543 MS. WALKER replied she did not care which one became law. Her primary concern was that cities would have a definite guideline. Number 551 KENT SWISHER, DIRECTOR, ALASKA MUNICIPAL LEAGUE, testified in favor of 2D SSHB 37, saying the League's official position was that a quorum should qualify as the standard for a meeting, and the League would like to see a provision allowing groups to see an individual member of a body without violating the law. He stated that in smaller towns of less than 300, some of the restrictions in 2D SSHB 37 might not be practical. Number 578 WENDY REDMAN, VICE PRESIDENT FOR UNIVERSITY RELATIONS FOR THE UNIVERSITY SYSTEM, testified in favor of 2D SSHB 37, but said the university system would also like to see further clarification of what kinds of meetings would be subject to the law. Number 586 REPRESENTATIVE ULMER asked which standard for an official meeting the university favored, the majority or a quorum. MS. REDMAN responded that the university favored a quorum to be the standard. Number 590 REPRESENTATIVE ULMER stated the revision of the open meetings law had been held up long enough and it might be best to compromise several points of view in a committee substitute (CS). Number 601 CHAIRMAN VEZEY declared he did not submit his version as a CS out of respect to the sponsor of 2D SSHB 37, and asked if Representative Davies had any objection to the idea. Number 614 REPRESENTATIVE DAVIES had no opposition to working on a CS to 2D SSHB 37, but was concerned that under a quorum standard, three or four people on a committee could meet without it constituting an official meeting, and still control an issue. He was also concerned about preventing a series of smaller meetings that would effectively convene a quorum. SB 90: DECLARATION OF DISASTER EMERGENCIES TAPE 93-32, SIDE B Number 000 CHAIRMAN VEZEY deferred taking action on 2D SSHB 37, and read the title to SB 90. He then invited SB 90's sponsor to the table for his statement. Number 024 SENATOR LOREN LEMAN, PRIME SPONSOR OF SB 90, explained the bill's intent to clarify the relationship between the Department of Environmental Conservation (DEC) and the Department of Military and Veterans Affairs (DMVA) in the event of an emergency. He stated SB 90 would give the DMVA the capability to declare an emergency in the event of an Exxon Valdez type oil spill which, he believed, brought about the need for this bill. He further believed SB 90 was consistent with a memo of agreement between the DEC and the DMVA after the Exxon Valdez oil spill. Number 074 REPRESENTATIVE ULMER understood SB 90 to be a "housekeeping" bill, but wanted to make sure the committee was not making a policy decision. SENATOR LEMAN clarified SB 90 was not a policy decision, but rather a clarification of duties between the two agencies that had previously been discussed on the House floor. Number 112 JEFF MORRISON, DIRECTOR, ADMINISTRATIVE AND SUPPORT SERVICES DIVISION, DMVA, assured the committee the DMVA is in full agreement with the intent of SB 90. Number 122 CHAIRMAN VEZEY MOVED passage of SB 90 from committee. SB 90 PASSED from committee by a 7-0 vote. HB 65: FINANCIAL ADMINISTRATION OF STATE GOVT. Number 140 CHAIRMAN VEZEY noted CSHB 65 (STA) had been proposed to replace CSHB 65 (L&C), and invited comment on both versions. Number 155 DONALD G. STUDY, ACTING DIRECTOR, DIVISION OF LABOR STANDARDS AND SAFETY, DEPARTMENT OF LABOR (DOL), told the committee it would be a mistake to delete section 44 of HB 65, which would allow the DOL to regulate user fees in accordance with their budget needs. Number 170 REPRESENTATIVE ULMER asked if the tentative budget before the finance committee had been based on the fees being allowed. MR. STUDY replied in the affirmative. REPRESENTATIVE ULMER then asked what might be the effect on the DOL if the budget was not accurate, and the fees not allowed. Number 178 MR. STUDY alleged the DOL would lose the $93,500 the fees would have generated, and unless general fund monies were substituted for those fees, the DOL would have to lay off workers and cut service levels. He stated the DOL would also cut back on travel, and probably see electrical inspection service cut by at least 25%. Number 207 CHAIRMAN VEZEY noted the latest CSHB 65 would cut those fees, which he advocated, since the increasing fees, he deemed, constituted a direct tax on the working men and women of Alaska. He went on to note later sections of the bill also deletes regulatory rights for fees by both the Department of Natural Resources and the DEC. In both cases, many of the fees are taken away from regulatory language and put back into statute. He also noted the DEC anticipated getting $750,000 from the fee structure, but in CSHB 65, that had been greatly reduced. Number 262 REPRESENTATIVE GARY DAVIS expressed concern CSHB 65 might be making too many drastic changes after being submitted in the budget process. He stated many of the fee changes had been mandated by the previous legislature, and he was concerned about the movement toward more user fees. While he saw an opportunity to put the brakes on a direct tax, he did not see how the departments could carry out their constitutional duties without the fees, and preferred CSHB 65 (L&C) to CSHB 65 (STA). Number 315 REPRESENTATIVE BETTYE DAVIS asked if Mr. Study could support CSHB 65 (STA) if the fees were eliminated. MR. STUDY explained the DOL had taken budget cuts in the previous three years, and he could not support the DOL without the fees. Number 339 CHAIRMAN VEZEY MOVED ADOPTION of CSHB 65 (STA). REPRESENTATIVE ULMER opposed CSHB 65 (STA) and favored CSHB 65 (L&C). She stated the basic philosophy behind CSHB 65 (L&C) is that users must eventually pay for the services they use, or the state will eventually have to subsidize the service. Number 358 CSHB 65 (STA) was ADOPTED by a 4-3 vote; Representatives Vezey, Kott, Sanders, and Olberg voting YES; Representatives Ulmer, B. Davis and G. Davis voting NO. Number 362 CHAIRMAN VEZEY MOVED passage of CSHB 65 (STA) from committee. Number 383 CSHB 65 (STA) passed from committee by a 7-0 vote. HB 197: APPROP: ALYESKA SETTLEMENT Number 388 CHAIRMAN VEZEY read the title of HB 197 and invited Representative Olberg to present his sponsor statement. Number 391 REPRESENTATIVE HARLEY OLBERG, PRIME SPONSOR OF HB 197, stated the intent of the bill was to fulfill the "blackmail" clause in the Alyeska settlement which states the legislature must appropriate Exxon restoration funds by September 15th, 1993, or those funds will be turned over to the State-Federal Exxon Valdez Trustees for disbursement. He stated allowing that to happen would be a mistake, because the legislature would only have veto power over any appropriation, but no input where the money might go. Number 447 CHAIRMAN VEZEY announced CSHB 197 (STA) was up for consideration, and opened the floor for more testimony. Number 458 CRAIG TILLERY, ASSISTANT ATTORNEY GENERAL, DEPARTMENT OF LAW, explained that the funding from HB 197 is part of the joint settlement between the federal and state governments and Alyeska, but all monies spent will go to state projects. He believed it was necessary to pass HB 197 so the legislature could retain control of the settlement money. Number 504 CHAIRMAN VEZEY asked if the administration might be usurping a constitutional legislative duty by mandating an appropriation of the funds within the settlement agreement. MR. TILLERY replied it is the right of the Attorney General to negotiate the settlement of lawsuits by or against the state, and the settlement provisions were necessary to settle the case. He reiterated the administration's position that the case never would have been settled, and for the amounts won, had it been taken to court. Number 538 REPRESENTATIVE OLBERG noted the changes in the proposed CSHB 197 (STA) involved deleting funds for the Kachemak Bay buy out. MR. TILLERY noted the change and said it might be the intent of the legislature to do the Kachemak Bay appropriation in a separate bill. However, he believed it would be simpler to make the appropriation in HB 197. Number 553 CHAIRMAN VEZEY found it personally offensive for the state to buy land not directly affected by the oil spill with restoration funds. He stated other legislators and timber owners felt the same way, and he did not feel the legislature should go along with the buy out. MR. TILLERY replied the buy out had been recommended by the trustees' council and in many cases, beaches at Kachemak Bay had been oiled during the spill. He noted there is concern about the impact of the oiling of the beaches. Number 580 REPRESENTATIVE ULMER asked about the rules regarding such appropriations. MR. TILLERY noted the rules are stated in paragraph eight, page nine of the settlement agreement, as well as the appendixes of the agreement. Under those rules, appropriations must be made for either restoration of land, or for spill prevention or reaction. Number 606 REPRESENTATIVE ULMER asked what would happen if the legislature did not appropriate the funds this year. MR. TILLERY replied the money would go to the trustees council as of September 15th. Number 622 REPRESENTATIVE G. DAVIS inquired about who would have veto power over the trustees. MR. TILLERY noted the legislature would have veto power over the trustees. REPRESENTATIVE G. DAVIS then noted his long-time opposition to the Kachemak Bay buy out, stating it is, in his opinion, a beautification project. He stated he and other Kenai River residents noted an oil spill related impact on the Kenai, and had been trying for years to get an appropriation to mitigate that impact, and until he could see the entire list of Alyeska settlements, he could not support HB 197. Number 695 REPRESENTATIVE ULMER asked how the four projects mentioned in HB 197 were decided to be the best use of the money. TAPE 93-33, SIDE A Number 000 REPRESENTATIVE OLBERG stated the docks and storage facilities were deemed necessary for spill prevention and response. He stated the road from Cordova to Shepherd Bay is necessary because the Bay is the nearest deep water area near Cordova that can handle ferry-class vessels. He stated the rest of the appropriation was a combination of restoration or response needs. MR. TILLERY pointed out the appropriation was made on the basis of a need for staging facilities, for response areas for either state or Alyeska response vessels, and for advanced communications in the event of another spill; all identified as needs after the Exxon Valdez spill. Number 081 REPRESENTATIVE ULMER asked if the people in the affected communities wanted the projects. Number 083 REPRESENTATIVE OLBERG stated "very much so", to the point where many residents were treating the facilities' construction as a done deal. Number 091 REPRESENTATIVE G. DAVIS asked why the only city to be directly affected by oil on its beaches, Seward, had not been addressed in HB 197. REPRESENTATIVE OLBERG stated HB 197 is a simple bill: Whether or not to make the appropriation of funds. If not, then he stated the trustees' council will make the appropriation for the legislature. Given the trustees record, he preferred the legislature. Number 143 REPRESENTATIVE G. DAVIS knew HB 197 would see further revision, and wanted to see it moved. Number 160 CHAIRMAN VEZEY MOVED acceptance of CSHB 197 (STA). CSHB 197 (STA) was ADOPTED 4-3; Representatives Vezey, Kott, Sanders and G. Davis voting YES; Representatives Olberg, Ulmer and B. Davis voting NO. Number 174 CHAIRMAN VEZEY MOVED passage of CSHB 197 (STA). CSHB 197 (STA) passed 7-0. HB 59: APPROP: VETS' LAND DISCOUNT REFUND Number 208 CHAIRMAN VEZEY explained the committee members' reservations for not passing HB 59 from committee. He detailed the concerns over whether the University of Alaska had taken veterans land into foreclosure after taking some payments on the land, and then being reimbursed for the original amount. He then called for any additional testimony on HB 59. Number 235 WENDY REDMAN, VICE PRESIDENT FOR UNIVERSITY RELATIONS explained the University never defaulted on land held by veterans, and a previous spreadsheet given the committee was in error. Number 242 CHAIRMAN VEZEY asked for clarification that the university never foreclosed on a veteran. MS. REDMAN clarified the University had not. Number 251 REPRESENTATIVE B. DAVIS MOVED passage of HB 59. HB 59 PASSED from committee with a 7-0 vote. ADJOURNMENT Number 270 CHAIRMAN VEZEY noted the completion of the agenda and adjourned the meeting at 9:48 a.m.