SENATE FINANCE COMMITTEE April 14, 2012 2:13 p.m. 2:13:18 PM CALL TO ORDER Co-Chair Stedman called the Senate Finance Committee meeting to order at 2:13 p.m. MEMBERS PRESENT Senator Lyman Hoffman, Co-Chair Senator Bert Stedman, Co-Chair Senator Lesil McGuire, Vice-Chair Senator Johnny Ellis Senator Dennis Egan Senator Donny Olson Senator Joe Thomas MEMBERS ABSENT None ALSO PRESENT Representative Max Gruenberg; Brandon Brefczynski, Staff, Representative Tammie Wilson; Erin Shine, Staff, Representative Craig Johnson; Lynette Bergh, Staff, Representative Steve Thompson; Representative Paul Seaton; Representative Anna Fairclough; Representative Bryce Edgmon; Weston Eiler, Staff, Senator Bert Stedman; Karen Rehfeld, Director, Office of Management and Budget SUMMARY HB 56 INCLUDE ARSON IN CRIMES OF CONSPIRACY HB 56 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal note: FN4 (DOL), FN5 (DPS), FN6 (DOC). CS HB 146 (RES) LAND TRANSFER FROM STATE AND ALASKA RR CS HB 146 (RES) was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal notes: FN3 (DCCED) and FN4 (DNR). CS HB 196 (FIN) BULK FUEL LOANS/POWER PROJECT FUND CS HB 196 (FIN) was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal notes: FN 4 (HFIN/DCCED), FN5 (HFIN/DCCED), and FN6 (HFIN/DCCED). HB 204 STATE PROCUREMENT CODE HB 204 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal note: FN2 (DOA). HB 205 PUBLIC PROCUREMENT HB 205 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal notes: FN2 (DOA) and FN3 (DLWD). CSHB 286 (FIN) G.O. BONDS: TRANSPORTATION PROJECTS CS HB 286 (FIN) was REPORTED out of committee with a "do pass" recommendation and with a new fiscal impact note from the Department of Revenue. HB 304 ALASKA FIRE STANDARDS COUNCIL HB 304 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal note: FN1 (DPS). HB 337 BD OF ARCHITECTS, ENGINEERS, SURVEYORS HB 337 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal note: FN1 (DCCED). CS HB 365 (FIN) AQUATIC INVASIVE SPECIES CS HB 365 (FIN) was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal notes: FN1 (DCCED), FN2 (DCCED), FN3 (DHSS), FN6 (DFG), and FN7 (DNR). HOUSE BILL NO. 56 "An Act making arson in the first degree and arson in the second degree serious felonies for purposes of application of the crime of conspiracy." 2:14:02 PM REPRESENTATIVE MAX GRUENBERG, stated that HB 56 added second degree arson to the crime of conspiracy. Co-Chair Stedman noted the three previously published fiscal notes. Co-Chair Hoffman MOVED to report HB 56 out of committee with individual recommendations and the accompanying fiscal note(s). Seeing NO OBJECTION it was SO ORDERED. HB 56 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal note: FN4 (DOL), FN5 (DPS), FN6 (DOC). CS FOR HOUSE BILL NO. 146(RES) "An Act authorizing the transfer of land from the State of Alaska and the Alaska Railroad Corporation to property owners along the Eielson Spur Line; and providing for an effective date." 2:15:15 PM BRANDON BREFCZYNSKI, STAFF, REPRESENTATIVE TAMMIE WILSON, stated that HB 146 restored any reversionary property rights to property owners Eielson Spur Line, and corrected the Alaska Railroad Transfer Act. Co-Chair Stedman noted the fiscal notes attached to the bill. Co-Chair Hoffman MOVED to report CS HB 146 (RES) out of committee with individual recommendations and the accompanying fiscal notes. Seeing NO OBJECTION it was SO ORDERED. CS HB 146 (RES) was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal notes: FN3 (DCCED) and FN4 (DNR). HOUSE BILL NO. 304 "An Act relating to the membership of the Alaska Fire Standards Council." 2:16:34 PM ERIN SHINE, STAFF, REPRESENTATIVE CRAIG JOHNSON, explained that HB 304 made three changes to the existing membership of the Alaska Fire Standards Council. Co-Chair Stedman pointed out the fiscal note from the Department of Public Safety. Co-Chair Hoffman MOVED to report HB 304 out of committee with individual recommendations and the accompanying fiscal note. Seeing NO OBJECTION it was SO ORDERED. HB 304 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal note: FN1 (DPS). HOUSE BILL NO. 337 "An Act relating to the Board of Registration for Architects, Engineers, and Land Surveyors and to the Department of Commerce, Community, and Economic Development." 2:17:35 PM LYNETTE BERGH, STAFF, REPRESENTATIVE STEVE THOMPSON, stated that HB 337 revised the statutes to designate a full-time investigator to serve the Architects, Engineers, and Land Surveyors Board. Co-Chair Stedman noted the one previously published fiscal note. Co-Chair Hoffman MOVED to report HB 337 out of committee with individual recommendations and the accompanying fiscal note. Seeing NO OBJECTION it was SO ORDERED. HB 337 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal note: FN1 (DCCED). CS FOR HOUSE BILL NO. 365(FIN) "An Act relating to the rapid response to, and control of, aquatic invasive species." REPRESENTATIVE PAUL SEATON, stated that HB 365 gave the Department of Fish and Game the ability to rapidly respond to aquatic invasive species. Co-Chair Stedman noted the five previously published fiscal notes. Co-Chair Hoffman MOVED to report CS HB 365 (FIN) out of committee with individual recommendations and the accompanying fiscal notes. Seeing NO OBJECTION it was SO ORDERED. CS HB 365 (FIN) was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal notes: FN1 (DCCED), FN2 (DCCED), FN3 (DHSS), FN6 (DFG), and FN7 (DNR). HOUSE BILL NO. 204 "An Act relating to the State Procurement Code, including the use of small procurement provisions for certain amounts of leased space, the requirement of Alaska business license proof for Alaska bidder and other procurement preferences, the registration of construction contract bidders and offerors, the establishment and maintenance of lists of persons who want to provide supplies or services to the state, state agencies, and state instrumentalities, electronic bids and proposals, small procurements, and writings; and providing for an effective date." 2:19:51 PM REPRESENTATIVE ANNA FAIRCLOUGH, explained that HB 204 would update Alaska's procurement code. Co-Chair Stedman noted the previously published fiscal note from the Department of Administration. Co-Chair Hoffman MOVED to report HB 204 out of committee with individual recommendations and the accompanying fiscal note. Seeing NO OBJECTION it was SO ORDERED. HB 204 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal note: FN2 (DOA). HOUSE BILL NO. 205 "An Act relating to state and public entity procurement, including the State Procurement Code, procurement preferences, and contract awards; relating to the meaning of 'Alaska bidder'; and providing for an effective date." 2:20:34 PM Representative Fairclough stated that HB 205 streamlined the procurement process and updates other statutes. Co-Chair Stedman noted the two previously published fiscal notes. Co-Chair Hoffman MOVED to report HB 205 out of committee with individual recommendations and the accompanying fiscal notes. Seeing NO OBJECTION it was SO ORDERED. HB 205 was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal notes: FN2 (DOA) and FN3 (DLWD). CS FOR HOUSE BILL NO. 196(FIN) "An Act relating to the power project fund and to the bulk fuel revolving loan fund; establishing a bulk fuel loan account and making the bulk fuel loan account and the bulk fuel bridge loan account separate accounts in the bulk fuel revolving loan fund; providing for technical assistance to rural borrowers under the bulk fuel bridge loan program; relating to the administration and investment of the bulk fuel revolving loan fund by the division in the Department of Commerce, Community, and Economic Development responsible for community and regional affairs; and providing for an effective date." 2:21:33 PM REPRESENTATIVE BRYCE EDGMON, explained that HB 196 consolidated the two rural fuel loans into the Division of Community and Regional Affairs. He remarked that the administration supported the bill. Co-Chair Stedman noted the three previously published fiscal notes. Co-Chair Hoffman MOVED to report CS HB 196 (FIN) out of committee with individual recommendations and the accompanying fiscal notes. Seeing NO OBJECTION it was SO ORDERED. CS HB 196 (FIN) was REPORTED out of committee with a "do pass" recommendation and with previously published fiscal notes: FN 4 (HFIN/DCCED), FN5 (HFIN/DCCED), and FN6 (FIN/DCCED). 2:22:56 PM RECESSED 4:34:20 PM RECONVENED CS FOR HOUSE BILL NO. 286(FIN) "An Act providing for and relating to the issuance of general obligation bonds for the purpose of paying the cost of state transportation projects; and providing for an effective date." 4:34:32 PM Co-Chair Hoffman MOVED to ADOPT the proposed committee substitute for CS HB 286 (FIN), Work Draft 27-GH2769\E (Kirsh, 4/14/12). WESTON EILER, STAFF, SENATOR BERT STEDMAN, explained the changes in the committee substitute. He stated that the committee substitute added two projects, and makes one elimination. There is no total amount change put before voters as part of the general obligation transportation bond. He looked at page 2, Section 3, line 11 changed the amount from $191.4 million to $195.4 million. He stated that line 20 added a project for port improvements of $3 million. He explained that a project was added on line 22 for boat harbor improvements of $1 million. He looked at page 3, Section 4, line 10 replaced the total amount for the section for the Department of Transportation and Public Facilities to $258.5 million. He stated that there was deletion of line 27 of the previous version, which was $4 million for port clearance access improvements. He stated that the changes had been agreed to by the delegations from western Alaska. Co-Chair Stedman WITHDREW his OBJECTION. Seeing NO further OBJECTION it was SO ORDERED. Senator Olson commented thanked the committee for considering his district's projects. 4:37:40 PM KAREN REHFELD, DIRECTOR, OFFICE OF MANAGEMENT AND BUDGET, thanked the committee for their work on the bill. Co-Chair Stedman noted the new zero fiscal note. Co-Chair Hoffman MOVED to report SCS CS HB 286 (FIN) out of committee with individual recommendations and the accompanying fiscal note. Seeing NO OBJECTION it was SO ORDERED. CS HB 286 (FIN) was REPORTED out of committee with a "do pass" recommendation and with a new fiscal impact note from the Department of Revenue. 4:39:03 PM RECESSED ADJOURNMENT 6:41:17 PM The meeting was adjourned at 6:41 PM.