Legislature(2003 - 2004)
04/14/2004 06:01 PM Senate FIN
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* first hearing in first committee of referral
+ teleconferenced
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+ teleconferenced
= bill was previously heard/scheduled
MINUTES
SENATE FINANCE COMMITTEE
April 14, 2004
6:01 PM
TAPES
SFC-04 # 81, Side A
SFC 04 # 81, Side B
CALL TO ORDER
Co-Chair Lyda Green convened the meeting at approximately 6:01 PM.
PRESENT
Senator Lyda Green, Co-Chair
Senator Gary Wilken, Co-Chair
Senator Con Bunde, Vice-Chair
Senator Fred Dyson
Senator Donny Olson
Senator Ben Stevens
Senator Lyman Hoffman
Also Attending: Testifiers are listed in the order they testified
in the body of the minutes.
SUMMARY INFORMATION
HB 375-APPROP: OPERATING BUDGET/LOANS/FUNDS
HB 377-APPROP:MENTAL HEALTH BUDGET
The Committee heard public testimony from the Legislative
Information Offices located in Petersburg, Ketchikan. Wrangell,
Sitka, Cordova, Homer, Kodiak and Kenai, and in person in Juneau.
The bills were held in Committee.
CS FOR HOUSE BILL NO. 375(FIN) am
"An Act making appropriations for the operating and loan
program expenses of state government, for certain programs,
and to capitalize funds; and providing for an effective date."
And
CS FOR HOUSE BILL NO. 377(FIN)
"An Act making appropriations for the operating and capital
expenses of the state's integrated comprehensive mental health
program; and providing for an effective date."
This was the fourth hearing for these bills in the Senate Finance
Committee.
JEAN MACK, representing the City of Petersburg, testified via
teleconference from Petersburg in opposition of using a statewide
sales tax or a tourism tax to balance the State budget. She spoke
of the reliance of the City on its local sales tax and bed tax. She
stated that if the Legislature decided to not remit an extra one
percent of the collected sales tax under the proposed legislation,
SB 366, the municipalities would be in a difficult financial
situation. She preferred a statewide income tax.
DIANE IVY-DAHLIN, Coordinator, Youth Court, testified via
teleconference from Wrangell to urge the Committee support the
program statewide. She detailed the benefits of the inception of
this program in Wrangell, including reduced offenses by juveniles.
She remarked that the cost of incarceration of juveniles is
significantly higher than the cost to operate the youth court
program. She requested the Senate fund the program in the same
amount approved by the House of Representatives.
VALERY MCCANDLESS, Mayor, City of Wrangell, testified via
teleconference from Wrangell about the "tremendous difference" the
youth court has made in that community. She stated this program
promotes "restorative justice". She also expressed interest in
education funding, funding for public employees and teachers
retirement systems, proposed changes to the permanent fund and the
proposed statewide sales tax. She stated that the current level of
the local sales and property taxes is inadequate to fund the
community's needs, requiring the use of savings. She also supported
funding for harbors. She recommended consideration of an income
tax.
ALEJANDRO CHAVARRIA, 16 year old, representing the Ketchikan Youth
Court, testified via teleconference from Ketchikan about the
program, which allows defendants representation by an attorney and
to be judged by their peers. He stated the youth court costs 50
percent less to operate than the traditional court system, lowers
the burden on the district court, and has a low recidivism rate for
those appearing in the court.
GRETCHEN KLEIN, Coordinator, Ketchikan Youth Court, testified via
teleconference from Ketchikan that the youth court has been in
operation in Ketchikan for almost five years. She reiterated the
information provided by Mr. Chavarria, including the 80 percent
success rate and positive impact on participants. She stated that
with declining funding from the State, participants have relied on
increasing fundraising activities. However, she pointed out that
because participants spend so much time in fund raising activities,
they are not available for the desired level of training.
PAT MUZZANA, Paralegal, Alaska Legal Services Corporation,
testified via teleconference from Ketchikan that the office in
Ketchikan only operates part time, but handles a significant
workload during its hours of operation. She told of the loss of
many jobs in the community and subsequent demand for these services
by low-income and elderly residents. She asked that the Senate
match the actions of the House of Representatives.
BECKY BOLLING, President, Alaska Nurses Association, testified via
teleconference from Ketchikan to request the Committee fully fund
the public health nursing program. She did not understand the
proposed funding reductions in rural communities, such as
Ketchikan, that have limited services available. She understood the
intent that local communities take on a larger share of providing
these services, but she stressed that resources are limited and
this could not be accomplished. She told of the importance of
providing health care services to those in need and stressed that
rather than receive care elsewhere, would go untreated. She
predicted higher rates of teen pregnancy and sexually transmitted
diseases.
JEANNIE MONK, Juneau Community Charter School, testified in Juneau
to grants for charter schools for the Juneau school and other small
charter schools. She emphasized the importance of these grants for
the small charter schools to provide short-term relief and allow
the schools to secure other funding and to grow and become more
stable over time.
AT EASE 6:20 PM / 6:30 PM
CHRISTINE PATE, Civil Law Attorney, testified via teleconference
from Sitka in favor of funding $125,000 for the Alaska Legal
Services Corporation. She emphasized the importance of legal
representation for low-income people for housing, children, wages
and other matters. She spoke of the high percentage of her clients
how have experienced domestic violence and need to ensure safety
for their children.
TIM LOWER, Sitka Youth Court, testified via teleconference from
Sitka to request the Senate appropriate funds for the program in
the same amount approved by the House of Representatives. He told
of the successful operation of a youth court in Sitka for four
years until 2003, when lack of funding required closure of the
program. He stated that the Sitka Youth Court had a zero recidivism
rate during operation of the program.
JILL SIMPSON, Cordova Family Resource Center, testified via
teleconference from Cordova to encourage continued support of the
Alaska Counsel on Domestic Violence and Sexual Assault. She stated
without adequate funding for the Counsel, agencies, such as the
Cordova center, would be unable to offer services to victims of
domestic violence and sexual assault. She also noted the increase
burden on local law enforcement if these services were not
available.
AT EASE 6:37 PM / 6:41 PM
JUDE PATE testified via teleconference from Sitka that he serves on
the Alaska Legal Services Corporation board of directors and is a
practicing attorney. He listed his work history, including working
with the Office of Public Advocacy. Through his work, he remarked
on the great demand for legal services by low income Alaskans. He
understood that representation is available for criminal matters,
but not for civil matters.
AT EASE 6:43 PM / 6:58 PM
CHRISTINE ABRAHAMSON, Fireweed Academy, testified via
teleconference from Homer about this small charter school, which is
part of the Kenai Peninsula School District. She expounded on the
benefits of charter schools as advocates of the needs of children
and as fiscal efficient operations. She requested the Committee
retain adequate funding for education and charter schools. She
informed that at the elementary level, students have participated
in mock trials in the youth court.
MARNA MCGONEGAL, Harborview Elementary School Parent Teacher
Association, testified in Juneau that she moved her family from
Utah to receive better education without the threat of gang
activities and 35 students in each class. She told of the class
size of 18 students and significant parental involvement at
Harborview. She informed that librarian positions have been reduced
as well as services for students who speak English as a second
language. She requested increased funding for education to avoid
the situation she experienced in the State of Utah.
SHELAGH SANDS, Harborview Elementary School Parent Teacher
Association, testified in Juneau that the reading scores of
students at the school have dropped and that funding is inadequate
for a reading teacher position. She also reported that the school
has no music teacher and other teaching positions have been
reduced.
TONY NEWMAN, Parent of charter school student, testified in Juneau
to thank Senator Dyson and rep wyrock for support of small charter
schools. He relayed his conversations with parents across the State
and found that the current statutes governing small charter schools
are inadequate and must be changed. He exampled that parents must
spend significant time in fundraising activities. He surmised this
is discouraging to others in forming new charter schools.
AT EASE 7:08 PM / 7:10 PM
DEBORAH GERMANO testified via teleconference from Homer to express
concern that proposed budget reductions would affect those least
able to provide for themselves. She supported broad based taxes,
the percent of market value method of managing the Permanent Fund.
She did not support a statewide sales tax, as it would negatively
impact local communities.
WHITNEY CUSHING, President, Statewide Youth Court of Alaska,
testified via teleconference from Homer that participants in the
youth court represent the best of Alaskan youth. He stated that the
youth court benefits the State in that it is less expensive to
operate than the regular court system. He furthered that offenders
are less likely to appear in court again after completion of the
youth court program. He stressed that the youth court program is
operated by volunteers, and that without State funding, would be
unable to continue.
RICHARD WARRINGTON, Brain Injury Awareness, testified via
teleconference from Kenai to encourage support of a fiscal plan
that would provide services for disadvantaged Alaskans, including
the mental health court, youth court, services for seriously
injured adults, and treating youth within the State rather than
sending them to facilities outside Alaska. He reported that Alaska
has the highest rate of brain injury and that the Alaska Mental
Health Board has undertaken efforts to provide treatment within the
State.
AT EASE 7:18 PM / 7:28 PM
SFC 04 # 81, Side B 07:29 PM
D. SCOTT SMITH, Executive Director, Safe Harbor, testified via
teleconference from Kodiak that the Governor's recommended budget
reductions of $200,000 would not allow the facility to operate and
would leave the island of Kodiak without inpatient treatment
services for substance abuse. He disputed charges that the Governor
has made that the facility is not utilized by Kodiak residents, and
cited information to the contrary. He shared his contributions in
the years after receiving substance abuse treatment. He warned of
the consequences of closure of the facility, including increased
instances of domestic violence, homelessness and criminal activity.
Co-Chair Green understood that the Legislature is unable to
directly impact which facilities receive the grant funding. She
asked the occupancy rate of the facility.
Mr. Smith explained the four-bed facility, of which only two beds
receive State funding. He requested the legislators pressure the
Governor to provide funds to Safe Harbor.
WILTON NELSON, Safe Harbor, testified via teleconference from
Kodiak about the high incidences of substance abuse in the
community and the benefits of the treatment provided by the
program.
DAVID ELUSKA, JR., Resident of Akiak, testified via teleconference
from Kodiak that Safe Harbor has benefited him and that he has
learned much about himself.
JEANNIE INGA, Safe Harbor, testified via teleconference from Kodiak
that her significant other is a resident of Safe Harbor and the
treatment has made a difference in his life. She wanted others to
benefit from the services as well.
DEBBIE GROTHE, Resident of Soldotna, Brain Injury Awareness-
Traumatic Brain Injury, testified via teleconference from Kenai
about her 18-year-old niece who received a severe brain injury as a
result of a car accident. She detailed the hospital treatment and
in-home care of Nicole and the high probability of improvement of
her health. However, she informed that Blue Cross insurance would
not cover the treatment expenses of a facility in California where
she has been accepted as a patient. She requested information on
other services that may be available to assist her niece.
TRAVIS WOODALL, Employee of Safe Harbor, testified via
teleconference from Kodiak to request the Committee use its
leverage to prevent the Governor from eliminating funding for the
program.
MONTE HAWYER, Director, Brother Francis Shelter testified via
teleconference from Kodiak about the efforts of the organization to
prevent people from becoming homeless. He stated that funding
mental health treatment is morally, socially and fiscally "the
right thing to do". He informed that costs would become higher in
the future if these services were not funded adequately in the
present.
SUSAN POLLARD, Alaska Kids Count, testified in Juneau on behalf of
education. She remarked on the importance of developing a fiscal
plan that provides adequate funding for education. She supported
spending from the Constitutional Budget Reserve Fund, broad based
taxes and other proposals. However, she stated she was unwilling to
accept no action.
LYNN SHEPHERD testified in Juneau to request funding for libraries,
museums and archives. She noted that funding has been reduced for
these facilities for many years. She listed positions that must be
filled, including a curator for the Sheldon Jackson Museum in Sitka
and an electronic archivist in Anchorage.
Senator Dyson understood that the climate control is deteriorating
some records in the archive facility in Juneau and asked the
witness' information on this matter.
Ms. Shepherd admitted she has heard rumors of this problem. She
shared that she has visited the facility and has seen the massive
amount of paperwork and therefore did not dispute that the rumors
could be true.
AT EASE 7:50 PM / 7:57 PM
Co-Chair Green thanked those who provided testimony.
The bills were HELD in Committee.
Co-Chair Wilken announced the agenda for the next meeting.
ADJOURNMENT
Co-Chair Lyda Green adjourned the meeting at 07:59 PM
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