30TH ALASKA STATE LEGISLATURE FIRST SESSION CONFERENCE COMMITTEE ON HB57 and HB59 June 21, 2017 4:03 p.m. 4:03:49 PM CALL TO ORDER Chair Seaton called the Conference Committee meeting on HB57 and HB59 to order at 4:03 p.m. MEMBERS PRESENT: House: Representative Paul Seaton, Chair Representative Neil Foster Representative Lance Pruitt Senate: Senator Lyman Hoffman, Vice-Chair Senator Anna MacKinnon Senator Donny Olson MEMBERS ABSENT None ALSO PRESENT: Representative David Eastman; Representative Dave Talerico; Representative Geran Tarr; Representative Cathy Tilton; Senator Dennis Egan SUMMARY HB 57 APPROP: OPERATING BUDGET/LOANS/FUNDS HB 57 was HEARD and HELD in committee for further consideration. CS FOR HOUSE BILL NO. 57(FIN) am(brf sup maj fld)(efd fld) "An Act making appropriations for the operating and loan program expenses of state government and for certain programs; capitalizing funds; repealing appropriations; and making supplemental appropriations and reappropriations." and SENATE CS FOR CS FOR HOUSE BILL NO. 57(FIN) am S "An Act making appropriations for the operating and loan program expenses of state government and for certain programs; capitalizing funds; repealing appropriations; making supplemental appropriations and 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." 4:04:21 PM Co-Chair Seaton invited Lacey Sanders of the Legislative Finance Division to join legislators at the table. He reported that the conference committee would be addressing open items in HB 57 based on the motion sheets distributed to members earlier in the day dated June 21th on the following: · Department of Health and Social Services · Department of Natural Resources · University of Alaska · Legislature · Personal Services Reductions · Supplemental Items 4:04:56 PM Senator Hoffman MOVED to RESCIND action on HSS Item 1. There being NO OBJECTION, it was so ordered. 4:05:10 PM Senator Hoffman MOVED to ADOPT HSS Item 1 - Senate. There being NO OBJECTION, it was so ordered. 4:05:23 PM Senator Hoffman MOVED to ADOPT the following in Department of Health and Social Services budget: Item 3 House Item 4 House Item 5 Line 1 House minus $246.1 for a revised total of $1,435.5 Line 2 House minus $864.7 for a revised total of $2,425.7 Personal services funding has been reduced by 25% in recognition that the positions will not be hired by July 1st and other line items have been reduced by an additional $290.4 of Unrestricted General Funds. Item 6 Senate plus $586.2 for a revised amount of minus $300.0 Item 7 Line 1 Senate minus $867.1 for a revised amount of $860.0 and change the allocation to Foster Care Base Rate Line 2 Senate plus $867.1 for a revised amount of minus $860.0 and change the allocation to Foster Care Base Rate Item 8 House Item 10 House Item 12 Senate Item 13 House Item 14 Senate Item 15 House Item 16 Senate plus $708.8 for a revised amount of minus $84.2 Item 17 Line 1 Senate plus $104.0 as IncT for FY18 through FY20 Line 2 Senate plus $378.9 as IncOTI for FY18, plus $378.9 as IncT for FY18 and FY19, plus $275.0 as IncT for FY18 through FY20 And add intent language: It is the intent of the legislature that public health nursing develop a three-year plan to contract with community health centers and/or other health care providers to realize efficiencies while offering similar levels of services. The Department shall present the three-year phased plan to the finance committee co-chairs and the Legislative Finance Division by January 30, 2018. Item 18 House Item 19 Senate plus $300.0 for a revised amount of minus $171.6 Item 20 Senate for both lines Item 21 Senate for both lines Item 25 House Item 26 Senate Item 27 House Representative Pruitt OBJECTED. Co-Chair Hoffman WITHDREW Item 27 from the motion. Item 28 House for both lines Item 29 Senate Item 30 Senate And add intent language: It is the intent of the legislature that the level of funding for day habilitation services in assisted living homes be sufficient to provide a 'soft cap' on recipients of up to 12 hours of services per week. There being NO OBJECTION, it was so ordered. Co-Chair Seaton indicated that the action closed the conference-able items, with the exception of Item 27, in the Department of Health and Social Services budget. Co-Chair Hoffman MOVED to ADOPT Item 27 - House. Representative Pruitt thought there would be concern among members in his caucus whether the state should be funding abortions. He would be maintaining his objection. 4:11:29 PM AT EASE 4:12:39 PM RECONVENED Co-Chair Hoffman WITHDREW his motion MOVED to ADOPT Item 27. He recommended that HSS Item 27 remain OPEN. Co-Chair Seaton relayed that the committee would not be closing out the DHSS budget in the current meeting. He also announced that the Department of Education and Early Development's budget would be taken up the following day. 4:13:17 PM Senator Hoffman MOVED to ADOPT the following in the Department of Natural Resources budget: Item 4 Senate Representative Pruitt OBJECTED. Representative Pruitt spoke to his objection. Many of the members of his caucus that were very passionate about maintaining the House version. Representative Pruitt MAINTAINED his OBJECTION. 4:13:56 PM AT EASE 4:15:12 PM RECONVENED A roll call vote was taken on the motion. IN FAVOR: Senator MacKinnon, Representative Foster, Senator Hoffmann, Representative Seaton OPPOSED: Senator Olson, Representative Pruitt. The MOTION to ADOPT Item 4 - Senate PASSED (House: 2/1 - Senate: 2/1). Co-Chair Seaton indicated that the action closed the conference-able items in the Department of Natural Resources. 4:16:09 PM Senator Hoffman MOVED to ADOPT the following in the University of Alaska budget: Item 3 Senate plus $8,251.7 for a revised amount of minus $8 million There being NO OBJECTION, it was so ordered. Co-Chair Seaton indicated that the action closed the conference-able items in the University of Alaska budget. 4:16:36 PM Senator Hoffman MOVED to ADOPT the following in the Legislature budget: Item 1 Senate Item 2 Senate Item 3 Senate And add intent language: It is the intent of the legislature that the $300.0 Unrestricted General Fund reduction be restored in the FY19 budget. Item 4 Senate Item 5 Senate Item 6 Senate Item 7 Senate Item 8 Senate Item 9 House 4:17:34 PM AT EASE 4:17:40 PM RECONVENED Item 10 Senate minus $15,000 Unrestricted General Fund (1004) Item 11 House Item 12 Senate Item 13 Senate Item 14 Senate Item 15 Senate Item 16 Senate There being NO OBJECTION, it was so ordered. Co-Chair Seaton indicated that the action closed the conference-able items in the Legislature budget. 4:18:25 PM Senator Hoffman MOVED to ADOPT the following in Personal Services Reductions: All Items House There being NO OBJECTION, it was so ordered. Co-Chair Seaton indicated that the action closed the conference-able items in Personal Services Reductions. 4:18:44 PM Senator Hoffman MOVED to ADOPT the following in the Supplemental Items: Item 4 Senate There being NO OBJECTION, it was so ordered. Co-Chair Seaton indicated that the action closed the conference-able items in the Supplemental Items. 4:19:07 PM Co-Chair Seaton announced that a meeting was scheduled on BASIS for the following day at 10:00 a.m. to take up the remaining conference-able items. ADJOURNMENT 4:19:29 PM The meeting was adjourned at 4:19 p.m.