SENATE RULES COMMITTEE March 30, 1994 11:36 a.m. MEMBERS PRESENT Senator Rick Halford, Chair Senator Steve Rieger, Vice Chair Senator George Jacko Senator Suzanne Little Senator Fred Zharoff MEMBERS ABSENT All Members Present COMMITTEE CALENDAR SENATE BILL NO. 310 "An Act relating to the management and sale of state timber; relating to the classification of state land that would preclude harvesting of timber or would designate harvesting of timber as an incompatible use; relating to the administration of forest land, proposals for state forest, and the determination of sustained yield; and providing for an effective date." HOUSE BILL NO. 529 "An Act amending the medical assistance and community developmental disabilities grants appropriations in sec. 38, ch. 65, SLA 1993; and providing for an effective date." PREVIOUS SENATE COMMITTEE ACTION SB 310 - See Resources minutes dated 3/2/94, 3/16/94, 3/22/94 and 3/28/94. HB 529 - No previous action to record. WITNESS REGISTER Senator Drue Pearce State Capitol Juneau, AK 99801 POSITION STATEMENT: Offered information on HB 529 ACTION NARRATIVE TAPE 94-4 SIDE A Number 001 CHAIRMAN RICK HALFORD called the Senate Rules Committee meeting to order at 11:36 a.m. SENATOR JACKO moved and asked unanimous consent that SB 310 (STATE/PRIVATE/MUNI TIMBER OPERATION/SALE) be approved for calendaring at the Chair's discretion. SENATOR LITTLE objected. The roll was taken with the following result: Senators Jacko, Rieger, Zharoff and Halford voted "Yea" and Senator Little voted "Nay." The Chair stated the motion carried. CHAIRMAN HALFORD brought HB 529 (APPROP: AMEND CERTAIN FY 94 APPROPS) before the committee, and he explained that the bill was before the committee the previous day for a calendaring motion, however, because the Rules Committee is the only committee of referral in the Senate, it requires a substantive hearing. He also noted that HB 529 is exactly the same as SB 360, which has passed out of the Senate Finance Committee with all "do pass" recommendations. CHAIRMAN HALFORD opened the public hearing on HB 529. SENATOR DRUE PEARCE, Co-chair of the Senate Finance Committee, said the legislation was introduced in response to a timing problem. In the FY 94 budget the Governor and the Legislature authorized transferring $1.6 million from the Community Developmentally Disabilities grant appropriation to the Medical Assistance appropriation. Project Choice, which is a waiver program, is to finance care for individuals whose care used to funded through the DD grants. The DD grants had been in the budget of Medical Assistance. However, implementation of the waiver program has been substantially delayed and $400,000 of the $1.6 million has been used to date in FY 94. At the beginning of 1994, DD grantees were instructed by the department to spend their grants as though $1.6 had not been removed from the grant line. The department assumed each grantee would receive a corresponding payment from waiver benefits, but implementation was delayed so the grantees have not received the anticipated waiver revenue which necessitates this fund transfer. Senator Pearce said there is zero net general fund impact; it restores $1.2 to the DD grant line for the Medical Assistance budget so that grantees can complete their 1994 operations. Section 22 of the FY 94 supplemental bill has been removed because it is no longer necessary with the transfer of funds in HB 529. Senator Pearce also noted that there is an April 1 deadline on the legislation. The hold-back money, which is $443,500, can only be dispersed on April 1. There being no other witnesses present to testify on HB 529, CHAIRMAN HALFORD closed the public hearing and stated the bill was available for action by the committee. SENATOR RIEGER moved that HB 529 be passed out of committee with individual recommendations. Hearing no objection, it was so ordered. SENATOR RIEGER moved and asked unanimous consent that be approved for calendaring at the Chair's discretion. Hearing no objection, it was so ordered. There being no further business to come before the committee, the meeting was adjourned at 11:42 a.m.