2011-08-24                     House Journal                      Page 1307
HB 108                                                                                                                        
The following letter was dated and received June 29, 2011, at                                                                   
3:37 p.m.:                                                                                                                      
                                                                                                                                
"Dear Speaker Chenault:                                                                                                         
                                                                                                                                
On this date, I signed with line item vetoes the following bill passed                                                          
by the first special session of the Twenty-Seventh Alaska State                                                                 
Legislature and am transmitting the engrossed and enrolled copies to                                                            
the Lieutenant Governor's Office for permanent filing:                                                                          
                                                                                                                                
    CONFERENCE CS FOR HOUSE BILL NO. 108                                                                                        
    "An Act making appropriations for the operating and loan                                                                    
    program expenses of state government and for certain programs,                                                              
    capitalizing funds, amending appropriations, and making                                                                     
    reappropriations; and providing for an effective date."                                                                     
                                                                                                                                
    Chapter No. 3, FSSLA 2011                                                                                                   
    [Effective Date:  See Chapter]                                                                                              

2011-08-24                     House Journal                      Page 1308
The budget I presented to the Legislature limited the growth in the                                                             
State operating budget while preserving the programs and services                                                               
important to Alaskans. I appreciate the careful consideration and                                                               
support from the Legislature of this request.                                                                                   
                                                                                                                                
House Bill 108, as passed by the Legislature, contained appropriations                                                          
for Fiscal Year 2011 and Fiscal Year 2012 totaling $11.8 billion, of                                                            
which $7.8 billion is general fund. The budget includes special                                                                 
appropriations for tax credits, revenue sharing, and direct deposits to                                                         
the retirement system costs, and includes funding for public education,                                                         
the university, public health and safety, transportation, resource                                                              
development, and funding for State government programs, services,                                                               
and grants.                                                                                                                     
                                                                                                                                
                                                                                                                                
In addition, HB 108 includes savings and special appropriations of                                                              
$3.5 billion, including $1.1 billion to forward fund K-12 education in                                                          
FY 2013, and $929 million for inflation proofing of Alaska's                                                                    
Permanent Fund. $479.5 million is appropriated for the retirement                                                               
system unfunded liability and $526 million for permanent fund                                                                   
dividends.                                                                                                                      
                                                                                                                                
Through line-item vetoes, I have reduced the appropriations in HB 108                                                           
by $12.1 million. This reduction in debt service costs results from the                                                         
$199 million in debt buy-down for previously approved debt and lease                                                            
financing.                                                                                                                      
                                                                                                                                
Please note that HB 108, Section 13(g), relating to funding for tourism                                                         
marketing, is repealed in Section 54 of Senate Bill 46 and replaced                                                             
with $12 million in SB 46, Section 13.                                                                                          
                                                                                                                                
The enclosed spreadsheet contains a summary of the vetoed                                                                       
appropriations including the appropriation cite, fund source, and the                                                           
reason for the veto.                                                                                                            
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Sean Parnell                                                                                                                    
Governor"                                                                                                                       
                                                                                                                                

2011-08-24                     House Journal                      Page 1309
A spreadsheet from the Office of the Governor, Office of Management                                                             
and Budget, pertaining to budget vetoes accompanied the letter and is                                                           
on file in the Chief Clerk's office.