Legislature(2025 - 2026)SENATE FINANCE 532
04/16/2026 09:00 AM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| University of Alaska Fy 27 Budget Closeout | |
| HB78 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | HB 78 | TELECONFERENCED | |
SENATE FINANCE COMMITTEE
April 16, 2026
9:01 a.m.
9:01:54 AM
CALL TO ORDER
Senator Kiehl called the Senate Finance Committee meeting
to order at 9:01 a.m.
MEMBERS PRESENT
Senator Donny Olson, Co-Chair
Senator Bert Stedman, Co-Chair
Senator Mike Cronk
Senator James Kaufman
Senator Jesse Kiehl
Senator Kelly Merrick
MEMBERS ABSENT
Senator Lyman Hoffman, Co-Chair
ALSO PRESENT
Ella Adkison, Staff, Senator Jesse Kiehl; Liz Harpold,
Staff, Senator Donny Olson
SUMMARY
CSHB 78(FIN) am(efd fld)
RETIREMENT SYSTEMS; DEFINED BENEFIT OPT.
CSHB 78(FIN) am(efd fld) was HEARD and HELD in
committee for further consideration.
UNIVERSITY OF ALASKA FY 27 BUDGET CLOSEOUT
^UNIVERSITY OF ALASKA FY 27 BUDGET CLOSEOUT
9:02:57 AM
ELLA ADKISON, STAFF, SENATOR JESSE KIEHL, explained the
Budget Action items (copy on file):
BUDGET ACTIONS:
The Senate Finance Budget Subcommittee for the
University of Alaska reviewed the governor's FY27
budget request. The following are highlights of the
Subcommittee's action.
Amended Budget Request:
The Subcommittee accepted all items in the Governor's
Amended budget. These items include:
• $2,000.0 increase in University receipts to
develop a land sale in Cordova.
• $48,000.0 increase in various receipt
authorities based on FY25 actuals.
Subcommittee Additions, Reductions and Changes
The Subcommittee reviewed the compensation
increases for employees requested as the Board of
Regent's highest priority budget item, critical
for the stability of the University. The
Subcommittee recommends the newly unionized staff
compensation of $4,467.6 Unrestricted General
Funds and $1,914.8 University receipts be added
to the language section of the budget.
The Subcommittee made the following changes:
• $1,213.0 increase in Unrestricted General Funds
and $1,037.0 of University receipts divided among
the three major administrative units to support
student recruitment and retention.
• $1,800.0 increase in Unrestricted General Funds
to fund Alaska Employee Healthcare cost
increases.
• $2,423.9 increase in Unrestricted General
Funds, $970.1 in University receipts, and $68.8
Statutory Designated funds for non-union employee
compensation increases.
9:05:09 AM
Senator Cronk looked at the recruitment portion, and
wondered about the differences between the regional
campuses.
Senator Kiehl replied that the report did not request the
full regional requests for any of the three regional
universities. He stated that the same proportion was
applied between UGF and university receipts.
Co-Chair Stedman MOVED the ATTACHED budget report. There
being NO OBJECTION, it was so ordered.
Senator Kiehl thanked the Legislative Finance Division.
9:07:25 AM
RECESSED [ADJOURNED THE SUBCOMMITTE PORTION OF THE MEETING]
9:09:42 AM
RECONVENED [CALLED TO ORDER THE BILL HEARING PORTION OF THE
MEETING]
CS FOR HOUSE BILL NO. 78(FIN) am(efd fld)
"An Act relating to the public employees' retirement
system and the teachers' retirement system; and
providing certain employees an opportunity to choose
between the defined benefit and defined contribution
plans of the public employees' retirement system and
the teachers' retirement system."
9:10:34 AM
Senator Kiehl MOVED to ADOPT the committee substitute for
CSHB 78(FIN) am(efd fld), Work Draft 34-LS0493\T (Wayne,
4/10/26).
Co-Chair Stedman OBJECTED for discussion.
9:10:53 AM
LIZ HARPOLD, STAFF, SENATOR DONNY OLSON, discussed the
Explanation of Changes (copy on file):
Section 8: Amends AS 14.25.050(e) to allow the Alaska
Retirement Management (ARM) Board to adjust the
contribution rate of Teacher Retirement System (TRS)
defined benefit (DB) plan participants to a value
above 12 percent but not below 8 percent.
Section 33: Amends AS 14.25.480(a)(2) to require a TRS
member who reaches normal retirement age, with at
least 10 years of service but less than 25 years, to
have been an active member for at least 12 months
immediately before applying for retirement to receive
medical benefits.
Section 65: Amends AS 39.35.160(e) to allow the ARM
Board to adjust the contribution rate of Public
Employee Retirement System (PERS) DB plan participants
to a value above 12 percent but not below 8 percent.
Section 70: Amends AS 39.35.255(a)(1) to increase the
upper limit of the PERS DB employer contribution rate
from 22 percent to 24 percent.
Section 92: Amends AS 39.35.870(a)(2) to require a
PERS member, who reaches normal retirement age, with
at least 10 years of service but less than 20 or 25
years, depending on occupation, to have been an active
member for at least 12 months immediately before
applying for retirement to receive medical benefits.
9:12:32 AM
Co-Chair Stedman WITHDREW the OBJECTION. There being NO
OBJECTION, it was so ordered.
Co-Chair Stedman stated that the intent of adopting the CS
was to ensure that the public testimony would be applied to
the most recent version of the legislation.
CSHB 78(FIN) am(efd fld) was HEARD and HELD in committee
for further consideration.
Co-Chair Stedman stated that the next meeting would be held
the following Monday, and would be announced later the
current day.
ADJOURNMENT
9:14:17 AM
The meeting was adjourned at 9:14 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 78 Support - Alaska Professional Firefighters Cap Increase Overtime 04.09.26.pdf |
SFIN 4/16/2026 9:00:00 AM |
HB 78 |
| HB78 Letter of Support - ASD School Board 04.06.29.pdf |
SFIN 4/16/2026 9:00:00 AM |
HB 78 |
| HB 78 Support - City and Borough of Sitka PERS Cap Increase Impact 04.09.26.pdf |
SFIN 4/16/2026 9:00:00 AM |
HB 78 |
| HB 78 Additional Information - Solution to State's Staffing Crisis ADN OpEd 04.12.26.pdf |
SFIN 4/16/2026 9:00:00 AM |
HB 78 |
| HB 78 Resolution of Support - Petersburg Borough 04.13.26.pdf |
SFIN 4/16/2026 9:00:00 AM |
HB 78 |
| HB 78 Resolution of Support - Petersburg School District School Board 03.17.26.pdf |
SFIN 4/16/2026 9:00:00 AM |
HB 78 |
| 041626 Sub Com Close Out UA Senate BA Sheet 4-16-26.pdf |
SFIN 4/16/2026 9:00:00 AM |
|
| 041626 UA Subcommittee Narrative.pdf |
SFIN 4/16/2026 9:00:00 AM |
|
| HB 78 Explanation of Changes ver H to ver T 04.14.2026.pdf |
SFIN 4/16/2026 9:00:00 AM |
HB 78 |
| HB 78 workdraft ver T.pdf |
SFIN 4/16/2026 9:00:00 AM |
HB 78 |