Legislature(1999 - 2000)

2000-04-20 House Journal

Full Journal pdf

2000-04-20                     House Journal                      Page 3348
HB 281                                                                       
The following was read the second time:                                        
                                                                               
HOUSE BILL NO. 281                                                            
"An Act providing for the issuance of general obligation bonds in             
the amount of $665,000,000 for the purposes of paying the cost of              
design, construction, and renovation of public elementary and                  
secondary schools, renovation of state buildings, capital                      
improvements at the University of Alaska, and capital                          
improvements to state harbors; and providing for an effective                  
date."                                                                         
                                                                               
with the:                                                 Journal Page         
                                                                               
	FIN RPT CS(FIN) NT 7DP 2NR 2AM                                   3325         
	2 FISCAL NOTES (REV)                                             3326         
                                                                               
Representative Green moved and asked unanimous consent that the                
following committee substitute be adopted in lieu of the original bill:        
                                                                               
CS FOR HOUSE BILL NO. 281(FIN)                                                
"An Act relating to the financing of construction of public school            
facilities, facilities for the University of Alaska, and facilities for        
ports and harbors; authorizing the commissioner of revenue to sell             
the right to receive a portion of the anticipated revenue from a               
certain tobacco litigation settlement to the Alaska Housing Finance            
Corporation; relating to the deposit of certain anticipated revenue            
from a certain tobacco litigation settlement; authorizing the                  
issuance of bonds by the Alaska Housing Finance Corporation                    
with proceeds to finance public school construction, facilities for            
the University of Alaska, and facilities for ports and harbors;                
providing for the creation of subsidiary corporations of the Alaska            
Housing Finance Corporation for the purpose of financing or                    
facilitating the financing of public school construction, facilities           
for the University of Alaska, and facilities for ports and harbors;            
and providing for an effective date."                                          
                                                                               

2000-04-20                     House Journal                      Page 3349
HB 281                                                                       
There being no objection, it was so ordered.                                   
                                                                               
                                                                               
Amendment No. 1 was offered  by Representative Davies:                          
                                                                               
Page 5, following line 20:                                                     
	Insert "Egan Building Classroom Addition		7,600,000"                          
                                                                               
Page 5, line 25:                                                               
	Delete "36,000,000"                                                           
	Insert "31,000,000"                                                           
                                                                               
Page 5, line 30:                                                               
	Delete "25,199,054"                                                           
	Insert "22,579,054"                                                           
                                                                               
Representative Davies moved and asked unanimous consent that                   
Amendment No. 1 be adopted.                                                    
                                                                               
Representative Mulder objected.                                                
                                                                               
The question being:  "Shall Amendment No. 1 be adopted?"  The roll             
was taken with the following result:                                           
                                                                               
CSHB 281(FIN)                                                                  
Second Reading                                                                 
Amendment No. 1                                                                
                                                                               
YEAS:  17   NAYS:  18   EXCUSED:  0   ABSENT:  5                             
                                                                               
Yeas:  Berkowitz, Brice, Cissna, Croft, Davies, Grussendorf, Hudson,           
Joule, Kapsner, Kemplen, Kerttula, Kookesh, Moses, Smalley,                    
Therriault, Whitaker, Williams                                                 
                                                                               
Nays:  Bunde, Coghill, Cowdery, Davis, Dyson, Foster, Green, Halcro,           
Harris, James, Kohring, Kott, Morgan, Mulder, Murkowski, Phillips,             
Porter, Rokeberg                                                               
                                                                               
Absent:  Austerman, Barnes, Masek, Ogan, Sanders                               
                                                                               
And so, Amendment No. 1 was not adopted.                                       

2000-04-20                     House Journal                      Page 3350
HB 281                                                                       
Amendment No. 2 was offered  by Representative Davies:                          
                                                                               
Page 3, Line 16                                                                
Insert new section:                                                            
"(b)  In addition to the authorization provided by (a) of this                
section, and notwithstanding the limitation contained in AS                    
18.56.090 or other provision of law, the Alaska Housing Finance                
Corporation is authorized to issue $49,000,000 in bonds to finance             
state grants for construction and major maintenance of public                  
school facilities."                                                           
                                                                               
Delete:                                                                        
Page 3, Line 17                                                                
 "(b)  Subject to agreements with bondholders and appropriation as             
described in (c) of this section, the Alaska Housing Finance                   
Corporation shall make the proceeds of the bonds issued under (a) of           
this section"                                                                  
                                                                               
Replace with:                                                                  
"(c)  Subject to agreements with bondholders and appropriation as            
described in (c) of this section, the Alaska Housing Finance                   
Corporation shall make the proceeds of the bonds issued under (a) and         
(b) of this section"                                                          
                                                                               
Page 3, Line 26                                                                
Insert new section:                                                            
"(4)  Alaska Housing Finance Corporation to pay for expenditures in            
(e) of this section."                                                          
                                                                               
Delete:                                                                        
Page 3 Line 31 through Page 5 Line 16                                          
                                                                               
Insert new section:                                                            
"1. Construction Projects                                                    
                                                                               
Kashunamiut		Chevak School Replacement                     $28,272,551         
Lower Yukon		Pilot Station School Replacement               17,654,003         
Southwest Region	Manokotak School Replacement               14,689,464         
Lower Yukon		Kotlik School Replacement                      17,910,901         
Bering Strait		Elim School Phase III                        12,146,788         

2000-04-20                     House Journal                      Page 3351
HB 281                                                                       
Northwest Arctic	Noorvik K-12 Improvements                  13,633,183         
Bering Strait		Golovin School Phase III                      9,609,516         
Southwest Region	Togiak School Replacement                  25,027,049         
Bering Strait		Koyuk K-12 School                               600,737         
Yupiit				Akiachak Elementary                                                  
					Replacement And Secondary                                                 
					Renovation                                             14,370,287         
                                                                               
                                              Sub-Total  	$153,914,479         
                                                                               
                                                                               
2. Major Maintenance and Improvement Projects                                
                                                                               
Juneau City Bor.	Auke Bay Elementary Roof                                      
					Replacement                                              $653,842         
Petersburg City		Fascia/Soffit Repair/                                         
					Replacement Recovery of Funds                             112,960         
Yukon-Koyukuk	Nulato Structural Repairs                        400,724         
Juneau City Bor.	Marine Drake Roof Replacement                 599,501         
Pribilof Island		St. George School Remodel                   4,385,970         
Bering Strait		Shishmaref School Roof                                          
					Replacement And Renovation,                                               
					Phase III                                               8,133,754         
Juneau City Bor.	Harborview Elementary Gym                                     
					Roof Replacement                                          106,604         
Chatham			Angoon Elementary School                                             
					Major Maintenance	                                      2,222,675         
Lake & Peninsula	Pedro Bay School Renovation/                                  
					Relocation/Reconstruction                               1,557,714         
Wrangell City		Wrangell Elementary And High                                    
					School Structural Repairs                                 363,650         
Wrangell City		Elementary and Middle School                                    
					Renovation                                              1,229,000         
Ketchikan			Schoenbar Renovation, Phase I                    2,219,785         
Wrangell City		Middle School Shop Renovation                   168,518         
Hoonah City		Swimming Pool Sprinkler                           212,458         
North Slope Bor.	Tikigaq School Renovation                   3,713,270         
Kenai Peninsula	McNeil Canyon Elementary                                       
					Wastewater Treatment System                                               
					Replacement                                               125,300         

2000-04-20                     House Journal                      Page 3352
HB 281                                                                       
Tanana City		Tanana Kitchen Renovation                         426,179         
Chatham			Angoon High School Major                                             
					Maintenance                                             1,687,794         
Iditarod Area		Takotna Community School                                        
					Water Project                                             179,512         
Iditarod Area		Blackwell School Heating                                        
					 Renovation & Site Repair                                 280,010         
Wrangell City		Elementary & High Schools                                       
					Roof & Exterior Repairs                                   103,760         
Galena				Project Education Food Service                                       
					Renovation                                                159,088         
Delta/Greely		Fort Greely Utility Conversion                 1,996,941         
Sitka City Bor. 	Blatchley Middle School Exterior                              
					Upgrade                                                   317,638         
Southwest Region	Clark's Point Generator Building               36,302         
Kenai Peninsula	Kenai Central High School                                      
					Reinsulate Exterior Walls                                 367,648         
Yakutat City		Yakutat High School Gym                                          
					Structural Repairs                                         86,936         
Dillingham City	Elementary School Weatherization               146,860         
Yupiit				Akiak High School Repairs                            329,954         
Juneau City Bor.	High School Heating & Ventilation              65,303         
Juneau City Bor.	High School Auxiliary Gym Floor                               
					Replacement                                               109,385         
Nenana City		Elementary Wing Sprinkler                                         
					Expansion                                                 106,333         
Alaska Gateway	Tok Multipurpose Recreation                                     
					Complex Renovation                                        969,494         
Southwest Region	Koliganek School Weather Protection           379,555         
Galena				High School Repairs                                  128,662         
Juneau City Bor.	Floyd Dryden Middle School                                    
					Gym Floor Replacement                                     108,236         
Hoonah City		Hoonah Schools Renovation                       1,223,725         
Lower Yukon		Alakanuk Mechanical System                                        
					Upgrade                                                   997,557         
Kuspuk			George Morgan Sr. High School                                         
					Sewage System Replacement                                 411,975         
Lower Yukon		Emmonak Mechanical System                                         
					Upgrade                                                   715,772         
                                                                               

2000-04-20                     House Journal                      Page 3353
HB 281                                                                       
Iditarod Area		David-Louis Memorial School                                     
					Asbestos Abatement & Demolition                           417,246         
Denali Borough		Cantwell School Heating And                                    
					Sprinkler System                                          668,125         
Hydaburg City		Upgrading Facilities & Tanks                                    
					Project                                                   899,948         
Lower Kuskokwim	Districtwide Water Treatment,                                  
					Subsurface Sources                                      1,470,000         
Denali Borough		Cantwell School Code Upgrade                                   
					& Roof Repair                                             334,468         
Dillingham City	Central Administration Roof                     50,250         
Kenai Peninsula	Soldotna High School Roofing                                   
					Replacement                                               644,014         
Tanana City		Tanana School Major Maintenance                 2,976,374         
Yakutat City		Yakutat High School Renovation                   143,906         
Chugach			Whittier Fire Alarm Replacement                       40,431         
Mat-Su Borough	Fire Alarm Systems, 5 Schools                   620,648         
Juneau City Bor.	Gastineau Elementary Heating                                  
					Coil Replacement                                          133,053         
Iditarod Area		Innoko River School Water                                       
					& Sewer Emergency                                         190,407         
Denali Borough		Anderson School Heating                                        
					& Ventilation                                           1,164,266         
Mat-Su Borough	Septic System Upgrade,                                          
					Colony High School                                        159,416         
Mat-Su Borough	Fuel Tank Replacement                                           
					Districtwide                                              126,261         
Mat-Su Borough	Fire Sprinklers & Piping,                                       
					3 Schools                                               1,381,770         
Alaska Gateway	Tetlin Sewer Line                                85,031         
Dillingham City	High School Fire Panel                                         
					Replacement                                                64,623         
Dillingham City	High School Gym Roof                           158,151         
Kuspuk			Crow Village Sam School                                               
					Sewage System Replacement,                                                
					Chuathbaluk                                               349,272         
Juneau City Bor.	Floyd Dryden Middle School                                    
		 			Renovation                                             3,629,683         
Kake City			Kake Middle School Renovation                                      
					& Generator Installation                                  300,075         

2000-04-20                     House Journal                      Page 3354
HB 281                                                                       
Iditarod Area		Innoko River School                                             
					Vocational Education Code Upgrade                          73,821         
Dillingham City	Elementary Gym Floor                            51,562         
Copper River		Glennallen High School Gym                                       
					Floor Renovation                                          183,544         
Chugach			Tatitlek Fire Alarm                                                  
					Replacement & Security System                              35,471         
Kuspuk			Johnnie John Sr. School Sewage                                        
					System Replacement,                                                       
					Crooked Creek                                             356,257         
Iditarod Area		McGrath School Foundation                                       
					& Deterioration Repairs                                   188,835         
Mat-Su Borough	Boiler & Water Heater Replacement,                              
					4 Schools                                                 221,051         
Sitka City Borough	Districtwide Major Maintenance              482,058         
Chugach			Districtwide Fuel Tank Upgrades                      227,642         
Galena				High School Floor Renovation                         128,786         
Hoonah City		Hoonah Pool Upgrades                              167,394         
Chugach			Tatitlek Generator Replacement                       197,122         
Lower Kuskokwim	Kilbuck School Boiler Replacement              287,041         
Mat-Su Borough	Carpet Replacement,                                             
					6 Elementary Schools                                      423,507         
Yukon Flats		Chalkyitsik Sewage Lagoon                                         
					& Water Tank                                              780,341         
Lower Kuskokwim	Districtwide Asbestos Abatement              4,865,404         
Iditarod Area		McGrath School Heating &                                        
					Mechanical Design & Renovation                            244,373         
Lower Kuskokwim	Districtwide ADA Upgrade                     2,203,040         
Iditarod Area		Holy Cross School Shower,                                       
					Bathroom & Flooring Deterioration                          49,384         
Yukon Flats		Fort Yukon High School                                            
					Gym Sprinklers                                            115,353         
Dillingham City	Oil Tank Removal/Replacement                    51,562         
                                                                               
                                              Sub - Total  $64,881,310         
                                                                               
	Total Grants for Schools                              $218,795,789"         
                                                                               
                                                                               

2000-04-20                     House Journal                      Page 3355
HB 281                                                                       
Page 5, Line 16                                                                
Insert new section:                                                            
                                                                               
"Sec. 1.  AS 14.11.100(a) is amended by adding a new paragraph to            
read:                                                                          
(10) subject to (h), (i), (j)(2-4), and (p) of this section and after         
projects financed by the bonds, notes, or other indebtedness have              
been approved by the commissioner, 70 percent of payments made                 
by a municipality during the fiscal year for the retirement of                 
principal and interest on outstanding bonds, notes, or other                   
indebtedness authorized by the qualified voters of the municipality            
on or after July 1, 1997, but on or before April 15, 2000, to pay              
the costs that exceed $200,000 of school construction projects and             
major maintenance projects that are approved under AS                          
14.07.020(a)(11)."                                                             
                                                                               
 * Sec. 2.  AS 14.11.100(h) is amended to read:                              
 (h)  An allocation under (a)(4), (5), (6), (7), (8), ¦ORá (9), or (10) of 
this section for school construction begun after July 1, 1982, shall be        
reduced by the amount of money used for the construction of                    
residential space, hockey rinks, planetariums, saunas, and other               
facilities for single purpose sporting or recreational uses that are not       
suitable for other activities and by the money used for construction that      
exceeds the amount needed for construction of a facility of efficient          
design as determined by the department.  An allocation under (a)(4),           
(5), (6), (7), (8), ¦ORá (9),or (10) of this section may not be reduced    
by the amount of money used for construction of a small swimming               
pool, tank, or water storage facility used for water sports.  However,         
an allocation shall be reduced by the difference between the amount            
of money used to construct a swimming pool that exceeds the                    
standards adopted by the department and the amount of money that               
would have been used to construct a small swimming pool, tank, or              
water storage facility, as determined by the commissioner.                     
 Sec. 3.  AS 14.11.100(i) is amended to read:                                
(i)  For the purposes of (a)(4) - (10) ¦(a)(4) - (9)á of this section,     
	(1)  an indebtedness for bonds is incurred after the bonds are sold;          
	(2)  reimbursement for a cash payment may only be made after the              
payment is made to a vendor; and                                               
                                                                               

2000-04-20                     House Journal                      Page 3356
HB 281                                                                       
(3)  payments may not be made for costs that are incurred under               
a contract after the contract has been released.                               
                                                                             
  Sec. 4.  AS 14.11.100(j) is amended to read:                               
 (j)  Except as provided in (l) of this section, the state may not allocate    
money to a municipality for a school construction project under (a)(5),        
(6), (7), ¦ORá (9), or (10) of this section unless the municipality        
complies with the requirements of (1) - (4) of this subsection, the            
project is approved by the commissioner before the local vote on the           
bond issue for the project or for bonds authorized after March 31,             
1990, but on or before April 30, 1993, the bonds are approved by the           
commissioner before reimbursement by the state, and the local vote             
occurs before July 1, 1987, or after June 30, 1988.  In approving a            
project under this subsection, and to the extent required under (a)(8)         
of this section, the commissioner shall require                                
        (1)  the municipality to include on the ballot for the bond issue,     
for bonds authorized on or before March 31, 1990, or after April 30,           
1993, the estimated total cost of each project including estimated total       
interest, estimated annual operation and maintenance costs, the                
estimated amounts that will be paid by the state and by the                    
municipality, and the approximate amount that would be due in annual           
taxes on $100,000 in assessed value to retire the debt;                        
       (2)  that the bonds may not be refunded unless the annual debt          
service on the refunding issue is not greater than the annual debt             
service on the original issue;                                                 
        (3)  that the bonds must be repaid in approximately equal annual       
principal payments or approximately equal debt service payments over           
a period of at least 10 years;                                                 
     (4)  the municipality to demonstrate need for the project by              
establishing that the school district has                                      
             (A)  projected long-term student enrollment that indicates        
the district  has inadequate facilities to meet present or projected           
enrollment;                                                                    
             (B)  facilities that require repair or replacement in order to    
meet health and safety laws or regulations or building codes;                  
             (C)  demonstrated that the project will result in a reduction     
in annual operating costs that economically justifies the cost of the          
project; or                                                                    
             (D)  facilities that require modification or rehabilitation for   
the purpose of improving the instructional program.                            

2000-04-20                     House Journal                      Page 3357
HB 281                                                                       
Sec. 5.  AS 14.11.100 is amended by adding a new subsection to read:         
	(p) The total amount of public school construction projects                   
approved for reimbursement by the department under (a)(10) of this             
section may not exceed $163,267,600.                                           
                                                                               
Delete:                                                                        
Page 5, Line 20 through Page 6, Line 2                                         
                                                                               
Replace with:                                                                  
	"University of Alaska - Southeast                                            
			Egan Building Classroom Addition                       $7,600,000         
	University of Alaska - AVTEC Seward                                           
			Student Housing                                         4,200,000         
	University of Alaska - Anchorage                                              
			Consortium Library                                       31,000,000         
	University of Alaska - Fairbanks                                              
			Deferred Maintenance, Renewal and                                           
			Replacement, Code Compliance                              8,000,000         
	University of Alaska - Statewide Deferred                                     
			Maintenance, Renewal and Replacement                                        
			Code Compliance                                          14,000,000         
                                                                               
	TOTAL                                                    $64,800,00"         
                                                                               
Delete:                                                                        
Page 6, Lines 3-17                                                             
                                                                               
Replace with:                                                                  
"(3) Department of Transportation and Public Facilities to pay for             
phase one construction and renovation of port and harbor facilities as         
follows:                                                                       
                                                                               
TRANSFER PROJECTS                                                             
Ketchikan Area Harbors                                      $7,000,000         
Petersburg Area Harbors                                      3,300,000         
Juneau Area Harbors                                          6,333,700         
Klawock                                                        860,000         
Seldovia                                                      2,500,00         
Whittier                                                     1,835,600         
Valdez                                                      3,013,500         

2000-04-20                     House Journal                      Page 3358
HB 281                                                                        
Cordova                                                      4,337,800         
Wrangell Area Harbors                                        3,000,000         
Sitka Area Harbors                                           4,038,900         
                                                                               
TOTAL                                                      $36,219,500         
                                                                               
And add to CORP OF ENGINEERS MATCH list:                                       
                                                                               
Nome                                                      $1,000,000"         
                                                                               
Page 7, Line 6                                                                 
Insert new section:                                                            
                                                                               
"(e) Alaska Housing Authority to pay for construction and                     
renovation of corporation facilities as follows:                               
                                                                               
									AHFC Bonds                                            Federal         
                                                              Receipts         
                                                                               
  AHFC Chugach View Renovation	$2,000,000                 $2,000,000         
  (Anchorage Senior Units)                                                     
                                                                               
  AHFC Eyak Manor Renovation		 1,600,000                                       
  (Cordova)                                                                    
                                                                               
  AHFC Senior and Statewide			   975,000                                       
  Deferred Maintenance and                                                     
  Renovation                                                                   
                                                                               
  TOTAL								$4,575,000                                 $2,000,000"         
                                                                               
Page 7, Line 7                                                                 
Replace:  "Sec. 5" With "Sec. 6."                                              
                                                                               
                                                                               
Representative Davies moved and asked unanimous consent that                   
Amendment No. 2 be adopted.                                                    
                                                                               
Representative Therriault objected.                                            
                                                                               

2000-04-20                     House Journal                      Page 3359
HB 281                                                                       
The question being:  "Shall Amendment No. 2 be adopted?"  The roll             
was taken with the following result:                                           
                                                                               
CSHB 281(FIN)                                                                  
Second Reading                                                                 
Amendment No. 2                                                                
                                                                               
YEAS:  15   NAYS:  25   EXCUSED:  0   ABSENT:  0                             
                                                                               
Yeas:  Berkowitz, Brice, Cissna, Croft, Davies, Grussendorf, Hudson,           
Joule, Kapsner, Kemplen, Kerttula, Kookesh, Morgan, Moses, Smalley             
                                                                               
Nays:  Austerman, Barnes, Bunde, Coghill, Cowdery, Davis, Dyson,               
Foster, Green, Halcro, Harris, James, Kohring, Kott, Masek, Mulder,            
Murkowski, Ogan, Phillips, Porter, Rokeberg, Sanders, Therriault,              
Whitaker, Williams                                                             
                                                                               
And so, Amendment No. 2 was not adopted.                                       
                                                                               
Representative Green moved and asked unanimous consent that CSHB
281(FIN) be considered engrossed, advanced to third reading and                
placed on final passage.                                                       
                                                                               
Representative Berkowitz objected.                                             
                                                                               
CSHB 281(FIN) will be in third reading on the April 21, 2000,                  
calendar.