HOUSE FINANCE COMMITTEE FEBRUARY 12, 2001 3:07 PM TAPE HFC 01 - 25, Side 1 CALL TO ORDER Co-Chair Mulder called the House Finance Committee meeting to order at 3:07 PM. MEMBERS PRESENT Representative Eldon Mulder, Co-Chair Representative Bill Williams, Co-Chair Representative Con Bunde, Vice-Chair Representative John Davies Representative Carl Moses Representative Richard Foster Representative John Harris Representative Bill Hudson Representative Ken Lancaster Representative Jim Whitaker MEMBERS ABSENT Representative Eric Croft ALSO PRESENT Annalee McConnell, Director, Office of Management and Budget, Office of the Governor; House Speaker Brian Porter; Joan Brown, Chief Budget Analyst, Office of Management and Budget, Office of the Governor. SUMMARY HB 103 An Act making appropriations for the operating and loan program expenses of state government, for certain programs, and to capitalize funds; 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. HB 103 was HEARD and HELD in Committee. HB 104 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. HB 104 was HEARD and HELD in Committee. HB 116 An Act making supplemental appropriations and making and amending other appropriations; and providing for an effective date. HB 116 was HEARD and HELD in Committee. HB 117 An Act making supplemental and other appropriations; and providing for an effective date. HB 117 was HEARD and HELD in Committee. HOUSE BILL NO. 103 An Act making appropriations for the operating and loan program expenses of state government, for certain programs, and to capitalize funds; 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. HOUSE BILL NO. 104 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. Co-Chair Mulder advised that the Subcommittee's should be closing out their budgets during the upcoming week. HOUSE BILL NO. 116 An Act making supplemental appropriations and making and amending other appropriations; and providing for an effective date. HOUSE BILL NO. 117 An Act making supplemental and other appropriations; and providing for an effective date. ANNALEE MCCONNELL, DIRECTOR, OFFICE OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, testified on the Governor's fast track supplemental budget proposal. She listed each component. GF = General Funds FF = Federal Funds OF = Other Funds * Department of Administration - Pioneer Homes $195.0 GF * Alaska Court System - Trial Courts $150.0 FF * Department of Fish and Game - Sport Fish $898.7 FF * Office of the Governor - Elections $252.2 GF * Office of the Governor - Governmental Coordination $14.3 GF * Department of Health and Social Services - Energy Assistance grants $3.351 FF * Department of Health and Social Services - Medicaid $8.970 FF and $6.030 OF * Department of Law - Government Affairs $240 GF * Department of Military & Veterans Affairs - Commissioner's Office $500 GF * Department of Natural Resources - Gasline $1.960 GF * Department of Revenue - Tax Division $1.276 GF * Department of Revenue - Admin Support $31.5 GF * State Debt/Debt Retirement $102.2 OF * State Debt/Debt Service Obligations $639.8 GF * Department of Transportation & Public Facilities - Capital/Fairbanks Airport $905.0 OF * Department of Transportation & Public Facilities - Capital/Fairbanks Airport $1065.0 OF * Department of Transportation & Public Facilities - Capital/Delong Airport $281.9 FF * Department of Transportation & Public Facilities - Northern Region Facilities/Deadhorse $53.6 FF * Department of Transportation & Public Facilities - Capital/Copper River Highway $400.0 GF Representative Foster asked about the Department of Military & Veterans Affairs request. He questioned why a "general" would need to administer that program. Ms. McConnell explained that the funding would be a grant going directly to the Special Olympics. The Department of Military & Veterans Affairs has been working closely with the Special Olympics, as there is significant security associated with that event. Co-Chair Mulder added that the members of the teams would be housed on the military base post. Representative Hudson requested further explanation of the Department of Transportation & Public Facilities Copper River Highway $400 thousand general fund dollar request. JOAN BROWN, CHIEF BUDGET ANALYST, OFFICE OF MANAGEMENT AND BUDGET, OFFICE OF THE GOVERNOR, responded that when the Hickel Administration did work in that area, there were a number of agreements that the State was required to make. This request is the last piece of that agreement with the Copper River Highway work done under the Consent Agreement. Representative Foster referenced the Deadhorse combined facilities and if they would be reactivated. Ms. Brown commented that there was a combined facility built with some Airplane Improvement Program funds in exchange for participating in the construction of the facility. She added that the Federal Aviation Agency (FAA) would be contributing funds for the maintenance and utility costs for a portion of the facility which they occupy. Co-Chair Mulder noted that there would be further testimony regarding the fast track supplemental request at a latter meeting. He mentioned a "red flag" with the amount of requested funding for the gas pipeline moving through the Department of Natural Resources. Ms. McConnell agreed that appeared to be a "big number" and offered to provide further information regarding the amount. She commented that the Department has spent a lot of time and work in determining what they could do now making it more productive in moving the project forward. Co-Chair Mulder asked if the requested positions would be part or full time. Ms. McConnell acknowledged that most would be full time project positions, however, the positions would not be expected as an on-going activity. The preparation work needed to receive the applications will require a lot of State work. She elaborated that the current activities are focusing on the field season and on- going projects. Representative Hudson inquired if there was any correlation between the fast track $2 million dollar request and the incremental department requests that have been submitted. He requested a breakdown from the Department of Natural Resources. Ms. McConnell agreed to provide the breakdown. She noted that there was information from each department regarding their projects. She added that along with the gas line project increase, the Department is proposing increases for items that are distinguished and different from the gas line. Co-Chair Mulder noted that HB 117 would be back before the Committee later during the week. HB 117 was HELD in Committee for further consideration. ADJOURNMENT The meeting was adjourned at 3:50 P.M.