2013-06-24                     House Journal                      Page 1338
HB 65                                                                                                                         
The following letter dated May 21, 2013, was received:                                                                          
                                                                                                                                
"Dear Speaker Chenault:                                                                                                         
                                                                                                                                
On this date, I have signed with line item vetoes the following bill                                                            
passed by the first session of the Twenty-Eighth 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. 65                                                                                        
     "An Act making appropriations for the operating and loan                                                                   
     program expenses of state government and for certain programs,                                                             
     capitalizing funds, and making reappropriations; and providing for                                                         
     an effective date."                                                                                                        
                                                                                                                                

2013-06-24                     House Journal                      Page 1339
     Chapter No. 14, SLA 2013                                                                                                   
     [Effective Date:  See Chapter]                                                                                             
                                                                                                                                
                                                                                                                                
As passed by the Legislature, CCS HB 65 contains appropriations for                                                             
Fiscal Year 2013 and Fiscal Year 2014, totaling $10.7 billion,                                                                  
including $4.76 billion in unrestricted general funds. 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 management, and funding for State                                                                      
government programs, services, and grants.                                                                                      
                                                                                                                                
I am committed to a responsible budget that provides essential public                                                           
services, makes strategic investments to grow our economy, and limits                                                           
draws on budget reserves. Through line item veto, I have reduced the                                                            
State operating budget as follows:                                                                                              
                                                                                                                                
Adjustment for Non-Covered Geographic Differential Calculation                                                                
The Legislature passed Senate Bill 95, relating to compensation and                                                             
geographic pay differentials for public officials not covered by                                                                
collective bargaining agreements. In reviewing the fiscal note prepared                                                         
for the bill, an error was discovered that overstated the implementation                                                        
costs for the geographic pay differential in certain locations. I have                                                          
reduced appropriations in five departments and nine budget                                                                      
components by a total of $1.8 million, of which $1.42 million is                                                                
unrestricted general fund.                                                                                                      
                                                                                                                                
Working together, we were able to set a general fund spending target,                                                           
focus on key priorities, significantly reduce spending from the current                                                         
year, and establish a lower band of State spending over the next five                                                           
years.                                                                                                                          
                                                                                                                                
Thank you for your leadership.                                                                                                  
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Sean Parnell                                                                                                                    
Governor"