03/13/1997 01:20 PM House RES

 HB 138 - BOARD OF STORAGE TANK ASSISTANCE                                     
                                                                               
 Number 0135                                                                   
                                                                               
 CO-CHAIRMAN OGAN announced the first order of business was House              
 Bill No. 138, "An Act relating to the Board of Storage Tank                   
 Assistance; and providing for an effective date."                             
                                                                               
 JOHN C. BARNETT, Executive Director, Board of Storage Tank                    
 Assistance, came forward to testify.                                          
                                                                               
 Number 0191                                                                   
                                                                               
 CO-CHAIRMAN OGAN referred to the zero fiscal note by the Department           
 of Environment Conservation (ADEC) and said he had requested                  
 clarification.  The explanation had been that the costs associated            
 with the board's activities are already in the ADEC's FY 98 budget            
 request.  However, the fiscal note extends beyond that, to the year           
 2000.  He asked whether it should reflect those costs.                        
                                                                               
 MR. BARNETT said current statutory provisions for underground                 
 storage tank owners allow them to appeal costs related to financial           
 assistance.  In addition, they allow owners who have a disagreement           
 with the ADEC to appeal costs for cleanup plans for a leaking tank            
 site.  The ADEC believes those appeals would still have to be dealt           
 with, resulting in hiring an unbiased hearing officer and other               
 costs to deal with appellants over the next few years.                        
                                                                               
 MR. BARNETT said those costs have already been considered while the           
 board is in place.  If the board were not in place, those costs               
 would be carried forward in the ADEC's budget.  It would not be an            
 increase to the existing budget but would basically maintain the              
 status quo over the next few years.                                           
                                                                               
 Number 0375                                                                   
                                                                               
 REPRESENTATIVE JOE GREEN suggested there should be a savings.  He             
 asked whether this meant the allocated time and expense would be              
 borne by the ADEC.  He further asked whether there was so much                
 leeway in the ADEC that it could either operate the program or not.           
                                                                               
 MR. BARNETT said the board contains volunteer members who serve               
 without compensation.  He himself is the sole employee.  In                   
 addition, there is a travel budget, plus minor miscellaneous costs.           
 If the board did not exist, the ADEC would hear appeals through an            
 independent hearing officer.  That would probably cost more than              
 the combined expenses for travel and the executive director.                  
                                                                               
 MR. BARNETT advised members there was a review the previous summer            
 by the ADEC.  Hearing officers are predominantly attorneys, and               
 those appeals would take place in communities statewide.  On the              
 other hand, the board has tried to minimize costs by conducting               
 teleconferences.  Only when an appeal is complex or involves a                
 serious issue does the board go to that location.  Adding a hearing           
 officer when needed, on an on-call basis, plus the costs associated           
 with that, was determined to cost the same as the existing                    
 configuration.  In addition, Mr. Barnett believed if he were a tank           
 owner, he would rather talk to private-sector members, who were               
 volunteers and somewhat unbiased, than to an attorney.                        
                                                                               
 NUMBER 0547                                                                   
                                                                               
 REPRESENTATIVE BEVERLY MASEK referred to a letter by Michele Brown,           
 Commissioner of the ADEC, explaining the zero fiscal note is                  
 appropriate because costs associated with the board's activities              
 are already in the FY 98 budget request.  Representative Masek                
 asked what the total budget request is for FY 98.                             
                                                                               
 MR. BARNETT said the total annual cost is $110,000.  This has been            
 pretty much the same since the board's inception in 1990.                     
                                                                               
 Number 0606                                                                   
                                                                               
 CO-CHAIRMAN OGAN said it seems the fiscal note should be zero for             
 1998 and $110,000 for every year past that.  There being no House             
 Finance Committee referral, he would take it upon himself to see              
 whether a zero fiscal note is appropriate.  He said from a                    
 resources standpoint, he has no opposition, and he believes it is             
 a good program.                                                               
                                                                               
 Number 0640                                                                   
                                                                               
 CO-CHAIRMAN BILL HUDSON made a motion to move HB 138 from the                 
 committee with a zero fiscal note.  He asked unanimous consent.               
 There being no objection, it was so ordered.