Legislature(2001 - 2002)
2001-02-16 Senate Journal
Full Journal pdf2001-02-16 Senate Journal Page 0405 SB 96 SENATE BILL NO. 96 BY THE SENATE RULES COMMITTEE BY REQUEST OF THE GOVERNOR, entitled: "An Act relating to the issuance of certificates of participation to finance demolition of all or part of the existing facility known as the Alaska Psychiatric Institute and construction of a new facility to be 2001-02-16 Senate Journal Page 0406 known as the Alaska Psychiatric Institute; giving notice of and approving the entry into, and the issuance of certificates of participation in, a lease- purchase agreement for demolition of all or part of the existing facility known as the Alaska Psychiatric Institute and construction of a new facility to be known as the Alaska Psychiatric Institute; and providing for an effective date." was read the first time and referred to the Health, Education and Social Services and Finance Committees. The following fiscal information was published today: Fiscal Note No. 1, Department of Revenue Governor's transmittal letter dated February 15: Dear President Halford: The Alaska Psychiatric Institute (API) is Alaska's only public psychiatric hospital. API provides services for persons who cannot be safely served in either community-based mental health centers or community hospitals. The current API facility dates from the early 60's, is permeated with asbestos, and must be replaced. I am transmitting this bill to finance capital construction for a replacement facility for the API. The majority of patients at API have been involuntarily committed to treatment and come from all regions of the state. API is the ultimate "safety net" for persons who are mentally ill or otherwise suffer from mental disorders. In addition, API treats patients arrested and subsequently court-ordered to the facility for a variety of needs, including evaluations for competency to stand trial, treatment following a finding of incompetency, and persons previously found not guilty by reason of insanity. The bill identifies funding sources for the $58,750,000 necessary for the construction of the replacement facility. There is presently $19,200,000 available from prior appropriations for this purpose that can be used for the project. In addition, the Legislature appropriated 2001-02-16 Senate Journal Page 0407 $3,000,000 in Mental Health Trust Authority Authorized Receipts for the project. A lease-purchase agreement would be security for the remaining $36,550,000, which the state would raise through the state bond committee's issuance of certificates of participation. The significant contribution of state money up front in the project will have the practical effect of lowering the lease payments because there will be additional security provided to the purchasers of the certificates of participation. I urge your prompt and favorable action on this measure. Sincerely, /s/ Tony Knowles Governor