Legislature(2025 - 2026)SENATE FINANCE 532
02/26/2025 09:00 AM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| Public Testimony: Southeast, Prince William Sound, Kodiak, Offnets | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 56 | TELECONFERENCED | |
| *+ | SB 57 | TELECONFERENCED | |
| += | SB 58 | TELECONFERENCED | |
| *+ | SB 59 | TELECONFERENCED | |
SENATE FINANCE COMMITTEE
February 26, 2025
9:01 a.m.
9:01:25 AM
CALL TO ORDER
Co-Chair Stedman called the Senate Finance Committee
meeting to order at 9:01 a.m.
MEMBERS PRESENT
Senator Bert Stedman, Co-Chair
Senator Mike Cronk
Senator James Kaufman
Senator Jesse Kiehl
Senator Kelly Merrick
MEMBERS ABSENT
Senator Lyman Hoffman, Co-Chair
Senator Donny Olson, Co-Chair
ALSO PRESENT
Doug Woodby, 350 Juneau, Juneau; Lauree Morton, Deputy
Director, Alaska Network on Domestic Violence and Sexual
Assault, Juneau; Fred W. Triem, Self, Petersburg.
PRESENT VIA TELECONFERENCE
Jaime Palmer, Self, Ketchikan; Marianne Mills, President,
Alaska Geriatric Exchange Network, Juneau; Victoria Kildal,
Alaska Behavioral Health Association, Kodiak; Dustin Larna,
Chief Executive Officer, Residential Youth Care, Ketchikan;
Conner Pope, Rendezvous Senior Day Center, Ketchikan;
Michael Robbins, Superintendent, Ketchikan Gateway School
District, Ketchikan; Robyn Taylor, Superintendent,
Petersburg School District, Petersburg; Marsha Fernandez,
Self, Petersburg; Jenny Weisshaupt, Safe Child Advocacy
Center, Catholic Community Services, Juneau.
SUMMARY
SB 56 APPROP: OPERATING BUDGET; CAP; SUPP
SB 56 was HEARD and HELD in committee for further
consideration.
SB 57 APPROP: CAPITAL/SUPPLEMENTAL/FUNDS
SB 57 was HEARD and HELD in committee for further
consideration.
SB 58 APPROP: MENTAL HEALTH BUDGET
SB 58 was HEARD and HELD in committee for further
consideration.
SB 59 APPROP: SUPPLEMENTAL; FUND CAP
SB 59 was HEARD and HELD in committee for further
consideration.
PUBLIC TESTIMONY: SOUTHEAST, PRINCE WILLIAM SOUND, KODIAK,
OFFNETS
Co-Chair Stedman discussed the agenda.
SENATE BILL NO. 56
"An Act making appropriations for the operating and
loan program expenses of state government and for
certain programs; capitalizing funds; amending
appropriations; making supplemental appropriations;
making reappropriations; making appropriations under
art. IX, sec. 17(c), Constitution of the State of
Alaska, from the constitutional budget reserve fund;
and providing for an effective date."
SENATE BILL NO. 57
"An Act making appropriations, including capital
appropriations and other appropriations; making
reappropriations; making appropriations to capitalize
funds; and providing for an effective date."
SENATE BILL NO. 58
"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."
SENATE BILL NO. 59
"An Act making supplemental appropriations; making
appropriations to capitalize funds; and providing for
an effective date."
^PUBLIC TESTIMONY: SOUTHEAST, PRINCE WILLIAM SOUND, KODIAK,
OFFNETS
9:03:37 AM
JAIME PALMER, SELF, KETCHIKAN (via teleconference),
testified in support of the tourism marketing budget. She
shared that she had eight businesses, including a boutique,
a candle company, a consulting firm, and property
developments. She stressed that small businesses in the
state could not afford global marketing without the help of
the state. She discussed the impact of tourism marketing
funding.
9:05:50 AM
Co-Chair Stedman handed the gavel to Senator Kiehl.
9:06:09 AM
DOUG WOODBY, 350 JUNEAU, JUNEAU, spoke in opposition to
funding for the Alaska Gasline Development Corporation
(AGDC). He referenced 15 prior proposals similar to the
AKLNG Project. He pondered what made the new project more
viable, and mentioned President Donald Trump's recent
restrictions on materials He considered that any money
spent on AGDC was money taken from education and other
essential services.
9:08:27 AM
LAUREE MORTON, DEPUTY DIRECTOR, ALASKA NETWORK ON DOMESTIC
VIOLENCE AND SEXUAL ASSAULT, JUNEAU, spoke in support of
funding for victims of domestic violence and sexual
assault. She read from her written remarks:
My name is Lauree Morton. I'm the Deputy Director of
the Alaska Network on Domestic Violence and Sexual
Assault; the membership organization for Alaska's 24
domestic violence and sexual assault service provider
agencies.
We appreciate the work done last session to ensure
funding for FY25 remained the same as FY24. The
Governor's budget continues that amount into FY26.
You'll be hearing from providers about exemplary work
being done to increase safety for victims as well as
the difficulties operating a 24/7 365-day facility in
calendar year 2025 working with funds that haven't
increased in 7 years.
I understand the difficulty before you of juggling
crucial priorities. We know education funding is a
critical issue for the State this year and hope you
are able to find a viable and sustainable solution to
that crisis.
While we are not asking for an increase to the CDVSA
grants line for FY 26, we want you to be aware of a
funding precipice heading our way in FY 27. For the
last several years, Senator Murkowski appropriated
approximately $4.2 million dollars to CDVSA to help
manage the Victims of Crime Act (VOCA) shortfall.
Those dollars will not be renewed and will be spent by
state fiscal year 27. So, we are looking at a deficit
of $4 .2 millionjust to hold the line. And frankly,
holding the line is losing ground. I'd also call to
your attention Violent Crimes Compensation that relies
on VOCA. As a reminder, if state dollars are reduced
in one year, federal VOCA dollars will be reduced the
following year. We don't want to see a downward spiral
in funds that can directly help all victims of violent
crime.
We understand sacrifice and the necessity of maybe
taking a backseat for FY26, and we want you to know of
the difficult choices we'll be bringing forward to you
for state fiscal year 27.
9:11:22 AM
MARIANNE MILLS, PRESIDENT, ALASKA GERIATRIC EXCHANGE
NETWORK, JUNEAU (via teleconference), testified in support
of a 15 percent increase in senior services grant funds.
She contended that non-profits offered through the Division
of Senior and Disability Services. She stated that
insufficient services at lower levels of care drove
Alaskans to use emergency rooms, which were high cost
drivers. She described that a 15 percent increase in senior
services grant funds would lower the cost in other areas of
care. She mentioned a survey by the Alaska Commission on
Aging (ACA). She recounted that the previous session, the
legislature had supported an increase in the grant.
9:14:25 AM
VICTORIA KILDAL, ALASKA BEHAVIORAL HEALTH ASSOCIATION,
KODIAK (via teleconference), spoke in support of a $30
million increase in funding for behavioral health services.
She noted that she was a lifelong Alaskan. She shared the
issues related to behavioral health in the state such as
suicide and lack of behavioral health resources to those
who are in crisis.
9:16:31 AM
Senator Kiehl handed the gavel to Co-Chair Stedman.
DUSTIN LARNA, CHIEF EXECUTIVE OFFICER, RESIDENTIAL YOUTH
CARE, KETCHIKAN (via teleconference), testified in support
of increasing the operating budget for behavioral health
services. He referenced Dr. Kildal's remarks, and the fact
that Alaska had the highest suicide rate of any state. He
mentioned the inability to keep staff due to low pay. He
posited that an increase in funding would help stabilize a
system of care that had been running at a deficit, in order
to provide the care that was needed.
9:19:12 AM
CONNER POPE, RENDEZVOUS SENIOR DAY CENTER, KETCHIKAN (via
teleconference), supported increased funding for senior
services. He discussed the difficulty of expanding services
while costs are increasing. He noted that the state's
senior population was growing, and services were needed at
an exponential rate.
9:20:59 AM
AT EASE
9:36:54 AM
RECESSED
FRED W. TRIEM, SELF, PETERSBURG, testified in support of
the state adopting a property transfer tax. He relayed
that he was an attorney and spent time on appeals. He
discussed examples of states with a real property transfer
tax. The tax amounts he had seen through his research were
in the range of 1 percent to 3 percent of the transaction.
He pondered the sale of a $1 million property, which would
be paid at the time of closing. States that had adopted
such a tax often shared the tax at different levels of
government. He addressed the concept of "justice for
government" and considered that the government made
properties more valuable and constituted a "micro return."
He used the example of friends that had purchased a home on
Starr Hill for $30,000. The individuals had made an
enormous profit due to all the things government had done
to make the property more valuable, including road
maintenance, hospitals, schools, etc. He cautioned that
such a tax proposal would generate a firestorm from the
real estate industry.
9:42:56 AM
MICHAEL ROBBINS, SUPERINTENDENT, KETCHIKAN GATEWAY SCHOOL
DISTRICT, KETCHIKAN (via teleconference), testified in
support of an increase to the Base Student Allocation
(BSA). He cited that teachers were leaving at an alarming
rate due to the persistent uncertainty of funding. He
thought the situation diminished the quality of education
provided in the state. He suggested that a lack of stable
and predictable funding created uncertainty and the
inability to make accurate budget decisions.
9:45:32 AM
AT EASE
10:00:55 AM
RECONVENED
ROBYN TAYLOR, SUPERINTENDENT, PETERSBURG SCHOOL DISTRICT,
PETERSBURG (via teleconference), spoke in support for
funding an increase to the BSA. The increase would allow
Petersburg to invest in the long-term. She had been an
educator in the state for 25 years. She thought it was
critical that the legislature establish a stable and
predictable funding.
10:03:28 AM
MARSHA FERNANDEZ, SELF, PETERSBURG (via teleconference),
spoke in support an increase to the BSA. She was a retired
commercial fisherman in the state, and shared that she had
experience with budgets. She wondered where specifically
the budget pertained to.
Co-Chair Stedman stated that the budget was related to the
state funding.
Ms. Fernandez asked if the state had areas of concern.
Co-Chair Stedman mentioned the Alaska Marine Highway System
(AMHS).
Ms. Fernandez mentioned essential air services.
Co-Chair Stedman affirmed that air services were in
jeopardy in rural Alaska.
Ms. Fernandez agreed.
Co-Chair Stedman mentioned challenges dealing with seniors.
He mentioned the Meals on Wheels program and the upkeep and
repair of Alaska Pioneer Homes.
Ms. Fernandez mentioned Department of Fish and Game.
Co-Chair Stedman handed the gavel to Senator Kiehl.
10:07:26 AM
AT EASE
10:21:46 AM
RECONVENED
10:22:43 AM
AT EASE
10:23:58 AM
RECONVENED
JENNY WEISSHAUPT, SAFE CHILD ADVOCACY CENTER, CATHOLIC
COMMUNITY SERVICES, JUNEAU (via teleconference), testified
in support of funding for the Office of Childrens Services.
She stated that there was a model within the office that
was a partnership to respond to crises that occurred within
the Office of Childrens Services.
ADJOURNMENT
10:28:21 AM
The meeting was adjourned at 10:28 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| Budget Public Testimony Packet 1 022625.pdf |
SFIN 2/26/2025 9:00:00 AM |