HOUSE FINANCE COMMITTEE April 19, 1993 1:36 p.m. TAPE HFC 93-108, Side 2, #000 - end. TAPE HFC 93-109, Side 1, #000 - end. TAPE HFC 93-109, Side 2, #000 - end. TAPE HFC 93-110, Side 1, #000 - #665. CALL TO ORDER Co-Chair Larson called the House Finance Committee to order at 1:36 p.m. PRESENT Co-Chair Larson Representative Hoffman Co-Chair MacLean Representative Martin Vice-Chair Hanley Representative Navarre Representative Brown Representative Parnell Representative Foster Representative Therriault Representative Grussendorf ALSO PRESENT Representative Ulmer; Representative Mackie; Mike Greany, Director, Legislative Finance Division; Cheryl Frasca, Director, Division of Budget Review, Office of Management and Budget; Janet Clarke, Director, Division of Administrative Services, Department of Health and Social Services; Arthur H. Snowden, II, Administrative Director, Alaska Court System; Sharon Barton, Director, Division of Administrative Services, Department of Administration; Nico Bus, Chief Financial Officer, Department of Natural Resources; Bruce Botelho, Assistant Attorney General, Department of Law; Rod R. Mourant, Special Assistant, Department of Revenue; Kenneth E. Bischoff, Director, Division of Administrative Services, Department of Public Safety; Ron Lind, Director, Plans, Programs and Budget, Headquarters, Department of Transportation and Public Facilities; Mary Lou Burton, Fiscal Analyst, Department of Fish and Game; Alison Elgee, Director of Budget, University of Alaska; Tom Chappelle, Project Manager, Permitting Group, Air Component, Department of Environmental Conservation; Robert Reges, Assistant Attorney General, Department of Law; Tom Stahr, Anchorage Municipal Light and Power Company; Clayton Hurless, Copper Valley Electric Association; Dana LaTour, Department of Corrections. SUMMARY INFORMATION HB 119 "An Act authorizing a sentencing court to impose a 1 sentence of a day fine instead of a sentence of imprisonment on a defendant convicted of a misdemeanor; directing the Alaska Supreme Court to develop and implement a day fine plan; requiring the Department of Corrections to report to the legislature on the use of day fines; amending Alaska Rule of Criminal Procedure 32; and providing for an effective date." CSHB 119 (JUD) was reported out of Committee with a "do pass" recommendation and with a fiscal impact note by the Alaska Court System, dated 3/12/93; and with two zero fiscal notes by the Department of Administration, dated 4/9/93; and with three zero fiscal notes by the Department of Public Safety, dated 4/8/93; the Department of Law, 3/12/93; and Department of Health and Social Services. HB 135 "An Act making supplemental and special appropriations for the expenses of state government; making, amending, and repealing capital and operating appropriations; and providing for an effective date." HB 135 was HELD in Committee. HB 167 "An Act relating to air quality control and the prevention, abatement, and control of air pollution; relating to civil and criminal penalties, damages, and other remedies for air quality control violations; clarifying the definition of `hazardous substance' to include releases and threatened releases to the atmosphere; amending the lien provisions relating to the oil and hazardous substance release response fund; relating to inspection and enforcement powers of the Department of Environmental Conservation; and providing for an effective date." CSHB 167 (FIN) was reported out of Committee with a "do pass" recommendation and with a fiscal impact note by the Department of Environmental Conservation and with a fiscal impact note by the Department of Law. SB 100 "An Act making supplemental and special appropriations for the expenses of state government; making, amending, and repealing capital and operating appropriations; and providing for an effective date." 2 SB 100 was HELD in Committee. HOUSE BILL NO. 119 "An Act authorizing a sentencing court to impose a sentence of a day fine instead of a sentence of imprisonment on a defendant convicted of a misdemeanor; directing the Alaska Supreme Court to develop and implement a day fine plan; requiring the Department of Corrections to report to the legislature on the use of day fines; amending Alaska Rule of Criminal Procedure 32; and providing for an effective date." REPRESENTATIVE FRAN ULMER spoke in support of HB 119. She explained that HB 119 gives the courts another option for criminal penalties. She stressed that there are over 200 misdemeanors waiting to serve their time. Only property crimes would be affected. She clarified that the sentencing judge will determine if day fines are used. Co-Chair MacLean asked for an explanation of day fine calculations. Representative Ulmer referred to page 4, line 26. She noted that the maximum fine is set for class A misdemeanors not to exceed 365 day fine units; class B misdemeanors not to exceed 90 day fine units. Co-Chair MacLean asked if seasonal employment could be considered. ARTHUR H. SNOWDEN, III, ADMINISTRATIVE DIRECTOR, ALASKA COURT SYSTEM assured her that seasonal employment could be considered. He discussed the Alaska Court System fiscal note. He asserted that day fines are an effective penalty. Representative Navarre MOVED to report CSHB 119 (JUD) out of Committee with individual recommendations and with the accompanying fiscal notes. There being NO OBJECTION, it was so ordered. CSHB 119 (JUD) was reported out of Committee with a "do pass" recommendation and with a fiscal impact note by the Alaska Court System, dated 3/12/93; and with two zero fiscal notes by the Department of Administration, dated 4/9/93; and with three zero fiscal notes by the Department of Public Safety, dated 4/8/93; the Department of Law, 3/12/93; and Department of Health and Social Services. HOUSE BILL NO. 167 "An Act relating to air quality control and the prevention, abatement, and control of air pollution; 3 relating to civil and criminal penalties, damages, and other remedies for air quality control violations; clarifying the definition of `hazardous substance' to include releases and threatened releases to the atmosphere; amending the lien provisions relating to the oil and hazardous substance release response fund; relating to inspection and enforcement powers of the Department of Environmental Conservation; and providing for an effective date." House Bill 167 was in a subcommittee consisting of chair Representative Therriault with Representatives Hanley, Brown and Parnell. Members were provided with a Committee Substitute for HB 167, Work Draft 8-LS0492\R (Attachment 1). Representative Hanley explained that several amendments had been offered to the Committee during the 4/15/93 House Finance Committee meeting. He noted that four amendments were held from the 4/15/93 meeting (Amendments 15, 16, 17 and 19). CLAYTON HURLESS, COPPER VALLEY ELECTRIC ASSOCIATION asked that utilities be allowed to pass additional administrative costs assessed by the state on to consumers on a monthly pass through basis. He stressed that a rate case would be costly. TOM STAHR, ANCHORAGE MUNICIPAL LIGHT AND POWER COMPANY testified in favor of a monthly pass through of administrative costs assessed by the state. Representative Hanley MOVED to ADOPT Work Draft 8-LS0492\R. There being NO OBJECTION, it was so ordered. Representative Brown discussed CSHB 167 (FIN). She noted that several of her concerns have been addressed in the Committee Substitute. ROBERT REGES, ASSISTANT ATTORNEY GENERAL, DEPARTMENT OF LAW discussed sections .010 and .015. He observed that the Department's fiscal concerns have been addressed in the Committee Substitute. He noted that the definition of "facility" has been further clarified. Representative Hanley noted that fees paid by small businesses will be paid under emissions fees not hourly charges. TOM CHAPPELLE, PROJECT MANAGER, PERMITTING GROUP, AIR COMPONENT, DEPARTMENT OF ENVIRONMENTAL CONSERVATION stated that the Department feels that concerns of the Environmental Protection Agency (EPA) have been addressed by the Committee Substitute. 4 Representative Hoffman asked how rural power utilities will be affected. Mr. Chappelle stated that permits will be required of many rural power utilities that have not had to obtained permits previously. He added that they will not necessarily be required to install pollution control equipment at current facilities. He emphasized that many small villages will not be required to obtain permits. He clarified that rural inspections will sample three or four villages a year. Representative Brown referred to page 31, line 20. She noted that the word "may" was deleted by the Subcommittee. She MOVED to delete "may" on page 31, line 20. There being NO OBJECTION, it was so ordered. Representative Brown asked if all of EPA's concerns had been addressed. Mr. Regis replied that the only outstanding issue is addressed in Amendment 17 by the Department of Law. Representative Hanley MOVED to ADOPT AMENDMENT 17 (Attachment 2). Mr. Regis explained that Amendment 17 would allow penalties to be assessed on a daily basis. There being NO OBJECTION, it was so ordered. Representative Brown MOVED to ADOPT AMENDMENT 15 (Attachment 3). She explained that the Amendment would clarify when interest would be accrued when a fee is not paid. A penalty for nonpayment of the fee is established in section (b) of Amendment 15. There being NO OBJECTION, it was so ordered. Representative Brown MOVED to ADOPT AMENDMENT 16 (Attachment 4). She explained that harm to persons or property would be taken into account when assessing damage. There being NO OBJECTION, it was so ordered. Representative Navarre MOVED to ADOPT AMENDMENT 18 (Attachment 5). He explained that the amendment would add a criminal penalties section to CSHB 167 (FIN). The criminal penalties would be addressed by class of felony. He noted that criminal penalties were originally included in HB 167. He maintained that the criminal penalties would act as a deterrent. (Tape Change, HFC 93-109, Side 1) Mr. Regis noted that page 2, subsection (h) "offense" should be changed to "violation". Co-Chair Larson MOVED to delete "offense" and insert "violation" where it occurs in Amendment 18. There being NO OBJECTION, it was so ordered. 5 Mr. Regis suggested that "certified" be deleted. He stressed that the intent is not that the notice be given through certified mail. He added that "send, by certified mail, a copy" be deleted and "provide written notice" be inserted. Representative Navarre MOVED to AMEND Amendment 17: Delete "send, by certified mail, a copy," Insert "provide written notice." Mr. Chappelle further explained the amendment. Representative Hanley requested that the amendment be divided to allow the section concerning notice to stand separately. Mr. Regis stated that if the intent is to separate misdemeanors from felonies then subsections (b) and (c) should be segregated. In addition, the words "knowingly" and "recklessly" would be deleted from (i). Representative Navarre suggested that a conceptional amendment be adopted to divide the portions regarding misdemeanors from the portions regarding felonies. There being NO OBJECTION, it was so ordered. Representative Hanley MOVED to ADOPT portions regarding misdemeanors. Mr. Regis stated that different substantive crimes will not be created by the amendment as divided and moved. Representative Hanley MOVED to RESCIND the Committee's action in dividing Amendment 18. There being NO OBJECTION, it was so ordered. Mr. Regis observed that Amendment 18 should be amended to read: "(g) The department shall provide written notice of this section to an owner operator who applies for a permit under this chapter or who request assistance in applying for a permit under this chapter. For purposes of (a) of this section, a person is considered to have received the notice if the person certifies in writing that the notice was received by a representative, employee, or employer of the person." Co-Chair Larson MOVED to AMEND Amendment 18: "(g) The department shall provide written notice of this section to an owner operator who applies for a permit under this chapter or who request assistance in applying for a permit under this chapter. For purposes of (a) of this section, a person is considered to have received the notice if the person certifies in writing that the notice was received by a representative, employee, or employer of the person." Representative Navarre MOVED to ADOPT AMENDMENT 18 as amended. Representative Therriault OBJECTED. A roll call vote was taken on the motion. 6 IN FAVOR: Brown, Grussendorf, Hoffman, Navarre OPPOSED: Foster, Hanley, Martin, Parnell, Therriault, MacLean, Larson The MOTION FAILED (4-7). Mr. Chappelle discussed the new fiscal note accompanying CSHB 167 (FIN). He noted that an additional $442.8 thousand dollars in authorization is needed to carry out the legislation in FY 94. Representative Hanley MOVED to ADOPT AMENDMENT 19 (Attachment 6). Representative Brown OBJECTED. Representative Hanley stated that the amendment would allow utilities to pass through fees without a rate case. Representative Brown felt that the amendment would remove the incentive to control emissions. A roll call vote was taken on the motion to adopt Amendment 19. IN FAVOR: Foster, Hanley, Hoffman, Martin, Parnell, Therriault, Larson OPPOSED: Brown, Grussendorf, Navarre, MacLean The MOTION PASSED (7-4). Representative Navarre MOVED to report CSHB 167 (FIN) out of Committee with individual recommendations and with the accompanying fiscal notes. There being NO OBJECTION, it was so ordered. CSHB 167 (FIN) was reported out of Committee with a "do pass" recommendation and with a fiscal impact note by the Department of Environmental Conservation and with a fiscal impact note by the Department of Law. SENATE BILL NO. 100 "An Act making supplemental and special appropriations for the expenses of state government; making, amending, and repealing capital and operating appropriations; and providing for an effective date." HOUSE BILL NO. 135 "An Act making supplemental and special appropriations for the expenses of state government; making, amending, and repealing capital and operating appropriations; and providing for an effective date." Members were presented with a comparison, dated 3/16/93, of CSHB 135 (FIN) Work Draft \J,and CSSB 100 (FIN)am 7 (Attachment 7). Co-Chair Larson reviewed supplemental appropriation differences between the House and Senate companion bills, CSHB 135 (FIN) and CSSB 100 (FIN)am. He noted that sections which contained identical amounts would remain the same. The Committee evaluated the remaining sections. Co-Chair Larson MOVED to ADOPT the Governor's recommendations regarding ANWR. CHERYL FRASCA, DIVISION DIRECTOR, OFFICE OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR explained that the Governor's amendments would make a reappropriation from the ANWR appropriation to Arctic Power not to exceed $250.0 thousand dollars. There is a balance before the reappropriation of $650.0 thousand dollars. The lapse date is being extended. Co-Chair Larson suggested that the Governor's amendments regarding ANWR be considered with in the reappropriation legislation. Committee members agreed. Co-Chair Larson MOVED to AMEND the motion to delete the Governor's amendments regarding ANWR. There being NO OBJECTION, it was so ordered. Co-Chair Larson MOVED to ADOPT the Senate number of $175.0 thousand dollars for the Division of Elections, Office of the Governor. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted that the Senate reduced section 2, Public Defender from $383.0 thousand dollars to $300.0 thousand dollars. Representative Brown MOVED to ADOPT the House number, $383.0 thousand dollars. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 3, RATNET, House $200.0 thousand dollars and Senate $138.4 thousand dollars. Co-Chair MacLean MOVED to ADOPT the House number, $200.0 thousand dollars to section 3. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 4, Personnel Board, House $64.0 thousand dollars and Senate $49.0 thousand dollars. Co-Chair MacLean MOVED to ADOPT $90.0 thousand dollars to section 4. (Tape Change, HFC 93-109, Side 2) SHARON BARTON, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES, DEPARTMENT OF ADMINISTRATION discussed the affect of $90.0 thousand dollars to section 4. She noted that 10 8 employees would be laid off for a month without full funding. There being NO OBJECTION, $90.0 thousand dollars was adopted in section 4. Co-Chair Larson noted differences to section 5, Office of Public Advocacy, House $616.4 thousand dollars and Senate $500.0 thousand dollars. Representative Brown MOVED to ADOPT the House number, $616.4 thousand dollars to section 5. Representative Martin OBJECTED. A roll call vote was taken on the motion. IN FAVOR: Brown, Grussendorf, Hoffman, Navarre, Hanley, Parnell, MacLean, Larson OPPOSED: Foster, Martin, Therriault The MOTION PASSED (8-3). Co-Chair Larson noted differences to section 12, Judgement and Claims, House $1,133.6 million dollars and Senate $309.8 thousand dollars. Ms. Frasca noted that the Senate had deducted the appropriation to the Southeast Conference for reapportionment litigation reimbursement. BRUCE BOTELHO, ASSISTANT ATTORNEY GENERAL, DEPARTMENT OF LAW noted that additional settlements result in a total of $1.436.6 million dollars including the Southeast Conference judgement. Co-Chair MacLean MOVED to ADOPT the House number of $1.436.6 million dollars. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted that CSSB 100(FIN)am has an additional section under the Department of Law, $284.5 thousand dollars for court ordered costs for plaintiffs: Weiss v. State. Mr. Botelho explained that the appropriation will reimburse the cost of defending the settlement. Representative Martin MOVED to ADOPT the Senate number of $284.5 thousand dollars, Department of Law. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 13, Income & Excise, House $325.0 thousand dollars and Senate $225.0 thousand dollars. Co-Chair MacLean MOVED to ADOPT the Senate number to section 14, $225.0 thousand dollars. ROD MOURANT, ASSISTANT COMMISSIONER, DEPARTMENT OF REVENUE explained that the positions have not been hired. Co-Chair Larson MOVED to AMEND the motion to adopt $275.0 thousand dollars. Representative Hanley OBJECTED. A roll call vote was taken on the motion. IN FAVOR: Brown, Foster, Grussendorf, Navarre, Larson OPPOSED: Hanley, Martin, Therriault, MacLean 9 Representatives Hoffman and Parnell were not present for the vote. The MOTION PASSED (5-4). Co-Chair Larson MOVED to ADOPT in section 14, $375.0 thousand dollars to the Department of Revenue for increased audit activities. There being NO OBJECTION, it was so ordered. Representative Brown WITHDREW HER OBJECTIONS to section 16, Ratification and amendment of prior year expenditures. Co- Chair Larson MOVED to ADOPT section 16, Ratification and amendment of prior year expenditures. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 22, Public Assistance Data Processing, House $174.0 thousand dollars and Senate zero. He noted that the Administration is requesting that the section be deleted and reappropriated to Department of Public Safety for data processing charge-back. Co-Chair Larson MOVED to ADOPT the Senate's deletion of section 22. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 25, Foster Care, House $1,100.0 million dollars and Senate $600.0 thousand dollars. JANET CLARKE, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES, DEPARTMENT OF HEALTH AND SOCIAL SERVICES stated that the estimated cost for the Foster Care component is $1.0 million dollars. She emphasized that the component is formula driven. Representative Hanley MOVED to ADOPT the House number of $1.1 million dollars, Foster Care. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 26, McLaughlin Youth Center, House $110.0 thousand dollars and Senate $97.5 thousand dollars. Co-Chair Larson MOVED to ADOPT the Senate number of $97.5 thousand dollars for the McLaughlin Youth Center. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 27, Post Mortem Exams, House $200.0 thousand dollars and Senate $229.6 thousand dollars. Co-Chair Larson MOVED to ADOPT the Senate number. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 27, Bloodborne Pathogens, House $145.3 thousand dollars and Senate zero. 10 Co-Chair Larson MOVED to ADOPT $115.3 thousand dollars to Bloodborne Pathogens. There being NO OBJECTION, it was so ordered. Ms. Clarke noted that a new section was added in the Senate to reduce $157.5 thousand dollars to Family and Youth Services Northern Region, Department of Health and Social Services. She indicated that the funds are lapsing. Co- Chair Larson MOVED to ADOPT the Senate to reduction of $157.5 thousand dollars to Family and Youth Services Northern Region, Department of Health and Social Services. There being NO OBJECTION, it was so ordered. Co-Chair MacLean MOVED to DELETE the new section contained in CSSB 100 (FIN)am regarding a language change to the Northern Forum. She stated that this section should be considered in reappropriation legislation. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted that the Senate did not adopt the House number, $90.0 thousand dollars for the Department of Military and Veterans Affairs, Death Gratuity. Co-Chair MacLean MOVED to ADOPT the House number of $90.0 thousand dollars. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 34, Land Selection Program, House $641.0 thousand dollars and Senate $391.0 thousand dollars. NICO BUS, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES, DEPARTMENT OF HEALTH AND SOCIAL SERVICES stated that the Senate number does not fund the salaries for the Division of Water employees and overtime in the Information Resource Management Section, space fixed costs and publication of land selections. Members discussed section 34. Co-Chair Larson MOVED to ADOPT the Senate number of $391.0 thousand dollars for state land selection activities in section 34. He indicated his intent to fund the full amount adopted by the House. He suggested that the additional cost for publication and personal services be included in a separate amendment. There being NO OBJECTION, the Senate number of $391.0 thousand dollars was adopted. Co-Chair Larson noted differences to section 36, Division of Boards, House $492.0 thousand dollars and Senate $292.0 thousand dollars. Ms. Frasca explained that the Board will not meet in June if the Senate number is adopted. Co-Chair MacLean MOVED to ADOPT the House number to section 36. There being NO OBJECTION, it was so ordered. Co-Chair Larson MOVED to ADOPT section 37, Ratify and Amend 11 Prior Year Expenditures. He noted that there is a net zero in both the House and Senate bills. There being NO OBJECTION, it was so ordered. (Tape Change, HFC 93-110, Side 1) Co-Chair Larson noted differences to section 40, offset unrealized federal receipts, House $137.4 thousand dollars, Fish and Game Fund and Senate zero. MARY LOU BARTON, FISCAL ANALYST, DEPARTMENT OF FISH AND GAME explained that $134.7 thousand dollars in Fish and Game Fund receipts will be used to offset federal funds which were not realized. Representative Navarre MOVED to ADOPT the House number, $137.4 thousand dollars. Representative Martin OBJECTED. A roll call vote was taken on the motion. IN FAVOR: Brown, Grussendorf, Hoffman, Navarre, Foster, Hanley, Parnell, Therriault, MacLean, Larson OPPOSED: Martin The MOTION PASSED (10-1). Co-Chair Larson noted differences to section 41, Contract Jails, House $690.4 thousand dollars and Senate $500.0 thousand dollars. Co-Chair MacLean spoke in support of the House number. Co-Chair MacLean MOVED to ADOPT the House number, $690.4 thousand dollars to section 41. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 42, Criminal Records and Id., House $90.6 thousand dollars and Senate zero. Representative Parnell MOVED to ADOPT the House number of $90.6 thousand dollars to section 42. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 43, Bloodborne Pathogens, House $126.7 thousand dollars and Senate zero. Co-Chair Larson MOVED to ADOPT $100.0 thousand dollars to section 43. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 44 Prisoner Transportation, House $125.0 thousand dollars and Senate zero. Representative Parnell MOVED to ADOPT the House number. KENNETH E. BISCHOFF, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES, DEPARTMENT OF PUBLIC SAFETY explained that at capacity correctional facilities will cause prisoner transportation to increase. There being NO OBJECTION, the House number, $125.0 thousand 12 dollars was adopted to section 44. Co-Chair Larson noted differences to section 44, Civil Air Patrol, House $125.0 thousand dollars and Senate $100.0 thousand dollars. Representative Foster MOVED to ADOPT the House number, $125.0 thousand dollars. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted that section 47 Arbitrator's Award, $539.6 thousand dollars was HELD open. Co-Chair Larson MOVED to ADOPT $539.6 thousand dollars in section 47. Co-Chair Larson noted that section 48 Dalton Highway - $1,222.9 million dollars was HELD open. Co-Chair Larson MOVED to ADOPT $6611.5 thousand dollars. Representative Therriault OBJECTED. A roll call vote was taken on the motion. IN FAVOR: Brown, Grussendorf, Hoffman, Navarre, Foster, MacLean, Larson OPPOSED: Martin, Therriault Representatives Hanley and Parnell were not present for the vote. The MOTION PASSED (7-2). Co-Chair Larson noted that the Senate added a new section to add $720.0 thousand dollars for uncollectible airport landing/leasing revenues, legal costs. Ms. Frasca explained that the ability to collect the fees were successfully challenged in court. The state was also found to be charging an excessive rental rate. Representative Hoffman did not support inclusion of $70.0 thousand dollars for legal fees. He noted that the legislature did not support the institution of landing fees. RON LIND, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES, DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES explained that the FY 94 operating budget is based on collection of the fees. He stated that the Department anticipates that the fees will be reinstated by July 1, 1994. Representative Hoffman MOVED to ADOPT $650 thousand dollars for the Department of Transportation and Public Facilities, uncollectible airport landing/leasing revenues. Representative Navarre OBJECTED. A roll call vote was taken on the motion. IN FAVOR: Brown, Grussendorf, Hoffman, Foster, Hanley, Martin, Therriault, MacLean 13 OPPOSED: Navarre, Parnell, Larson Representative Foster MOVED to ADOPT section 51, Seafood and Sanitation Activities - $351.2 thousand dollars. There being NO OBJECTION, it was so ordered. Representative Martin MOVED to ADOPT section 52, Water Quality Standards Advisory Group - $41.4 thousand dollars. There being NO OBJECTION, it was so ordered. Co-Chair Larson MOVED to RESCIND the Committee's action in adopting section 34. He noted that section 34 should be included in reappropriation legislation. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted that a new section was added to the Department of Environmental Conservation for Klawock sewage treatment. He suggested that the section be included in the reappropriation legislation. The section was not adopted. Co-Chair Larson noted differences to section 56, Federal Grant Repayment, House $48.5 thousand dollars and Senate zero. Representative Martin MOVED to ADOPT the House number of $48.5 thousand dollars. There being NO OBJECTION, it was so ordered. Co-Chair Larson observed that the Senate added a new section, Rural Development Grants, lapse dates which should be included in reappropriation legislation. The section was not adopted. Co-Chair Larson noted differences to section 57a, Department of Corrections, Administration and Support, operating costs, House $66.5 thousand dollars and Senate zero. Representative Navarre MOVED to ADOPT the House number $66.5 thousand dollars to section 57a. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted differences to section 57b Department of Corrections, statewide operating costs, House $6,812.9 million dollars and Senate $4.7 million dollars. Members were provided Amendment 1 by Representative Barnes (Attachment 8). Section 57b was HELD open. Co-Chair Larson noted differences to section 58, UAF Snow Removal, House $375.0 thousand dollars and Senate $275.0 thousand dollars. Representative Therriault MOVED to ADOPT the Senate number, $275.0 thousand dollars to section 58. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted that the Senate had added $1,150.0 million dollars for the University of Alaska, Dix et al v. 14 University settlement. ALISON ELGEE, DIRECTOR OF BUDGET, UNIVERSITY OF ALASKA clarified that the settlement has been reached with the plaintiff and the University and agreed to by the court. If the supplemental request is not funded a judgement will be issued in September 1994. The first $300 thousand dollars has been paid by the University's insurance and deducted from the request. The settlement is the result of a sledding accident on University property. Representative Parnell MOVED to ADOPT the Senate number, $1.15 million dollars to the University of Alaska. Co-Chair Larson MOVED to AMEND the motion to adopt the House number, zero. Representative Parnell WITHDREW HIS MOTION. There being NO OBJECTION, it was so ordered. Co-Chair Larson MOVED to ADOPT the House number, zero to the University of Alaska, Dix settlement. There being NO OBJECTION, it was so ordered. Co-Chair Larson noted that section 59 was HELD open. Representative Martin MOVED to ADOPT section 59, Alaska Court System, $19.9 thousand dollars. There being NO OBJECTION, it was so ordered. Co-Chair Larson discussed section 60, stale-dated warrants. Representative Martin MOVED to ADOPT the Senate number, Department of Military and Veterans Affairs, $1.4 thousand dollars in section 60. There being NO OBJECTION, it was so ordered. CSSB 100 (FIN)am was HELD in Committee. ADJOURNMENT The meeting adjourned at 4:45 p.m. 15