Legislature(2017 - 2018)SENATE FINANCE 532
04/23/2018 09:00 AM Senate FINANCE
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| HB147 | |
| HB176 | |
| HB213 | |
| HB216 | |
| HB267 | |
| HB400 | |
| HB212 | |
| HB216 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 147 | TELECONFERENCED | |
| += | HB 176 | TELECONFERENCED | |
| += | HB 213 | TELECONFERENCED | |
| += | HB 216 | TELECONFERENCED | |
| += | HB 267 | TELECONFERENCED | |
| += | HB 400 | TELECONFERENCED | |
| + | HB 212 | TELECONFERENCED | |
| + | TELECONFERENCED |
CS FOR SPONSOR SUBSTITUTE FOR HOUSE BILL NO. 216(FIN) am
"An Act relating to restitution; relating to the
office of victims' rights; relating to transfers from
the dividend fund; creating the restorative justice
account; relating to appropriations from the
restorative justice account for services for and
payments to crime victims, operating costs of the
Violent Crimes Compensation Board, operation of
domestic violence and sexual assault programs, mental
health services and substance abuse treatment for
offenders, and incarceration costs; relating to
contributions from dividends; relating to delinquent
minors; and providing for an effective date."
9:27:06 AM
Co-Chair MacKinnon gave a brief history of the bill. She
noted public testimony had been opened and closed.
9:28:01 AM
AT EASE
9:30:59 AM
RECONVENED
KELLY CUNNINGHAM, ANALYST, LEGISLATIVE FINANCE DIVISION,
discussed the fiscal notes. She discussed FN2, OMB
Component Number 3099, DHSS, Behavioral Health, Behavioral
Health Treatment and Recovery; the note had zero fiscal
impact. She continued to FN13, OMB Component Number 769,
ACS, Alaska Court System, Administration and Support; the
note was indeterminate and little fiscal impact was
expected.
9:33:21 AM
DOUG WOOLIVER, DEPUTY ADMINISTRATIVE DIRECTOR, ALASKA COURT
SYSTEM, stated that FN13 was indeterminate, as the
department did not know whether the legislature would
appropriate money to pay restitution. He said that should
the legislature appropriate a substantial amount of money
to the Office of Victims Rights for purposes of paying
restitution, it would have a fiscal impact on the system.
He said that if a person would be hired to do the work
there would currently be no work to do.
Co-Chair MacKinnon asked for the cost of the position.
Mr. Wooliver stated that originally a half-time position
was considered at $35 thousand annually. A full-time
position would be closer to $75 or $80 thousand annually.
9:35:04 AM
Ms. Cunningham addressed FN11, OMB Component Number 2952,
Department of Corrections (DOC), Health and Rehabilitation
Services. The note contained that largest fund change of
the set of notes. The bill would change the PFD Criminal
fund to the Restorative Justice fund, the bulk of the PFD
criminal funds were in DOC, which meant that the $11
million fund change and the $430 thousand UGF would keep
DOC whole. Another fiscal note in the packet would reflect
the reflect a decrease in UGF for DOC. She said that the
net UGF total of all the fiscal notes was $262.5 thousand.
Co-Chair MacKinnon asked whether the bill would result in a
change in regulation.
Ms. Cunningham responded that she could not speak to the
question.
Senator Micciche observed that the bill would change the
order of distribution. He wondered whether DOC programs
would suffer decreased funding because of the fund change.
Ms. Cunningham replied that the bill listed the percentages
of distribution by priority, DOC was the fifth on the list.
She stated that the allocation would appropriate much of
the fund to DOC healthcare. She said that the bill set up
guidance for future appropriations and DOC would not
experience a significant fund change.
Co-Chair MacKinnon stated that the answer to Senator
Micciche's questions was yes. She said that DOC would
become less of a priority for payment out of the fund, that
the bill prioritized victims over felons. She explained the
priority list on the fiscal note:
This bill establishes a new priority order for
allocation of these funds as follows:
1. Crime Victim Compensation Fund (AS 18.67.162)
2. Office of Victim's Rights for payments to victims
3. Nonprofit organizations to provide grants for
mental health and substance abuse services
4. Nonprofit organizations to provide grants for
services for crime victims and domestic violence and
sexual assault
programs
5. Programs in the Department of Corrections
9:39:18 AM
Senator Micciche stated he prioritized victim's over the
corresponding perpetrators. He thought it was difficult to
understand the full impact of the fiscal notes.
Ms. Cunningham addressed FN 10, OMB Component Number 2936,
Fund Capitalization, Crime Victim Compensation Fund. She
stated that FN9, OMB Component 2694, Department of
Administration (DOA), Violent Crimes Compensation Board,
was to be considered in conjunction with FN10. She pointed
out that FN 10 showed $1.2 million from the new fund
replacing $1 million of the PFD criminal fund, leaving a
net of $178.7 thousand. Those net funds would be
appropriated to the Violent Crimes Compensation Board who
would then distribute those funds to victims of violent
crimes.
Senator Micciche understood the total fund shift was $178.7
thousand.
Ms. Cunningham answered in the affirmative.
9:41:52 AM
AT EASE
9:48:40 AM
RECONVENED
Co-Chair MacKinnon solicited further questions on FN9 and
FN10.
Ms. Cunningham addressed FN12, OMB Component 2769,
Legislature, Office of Victims Rights. She detailed that
the note reflected a $251.4 thousand of the new fund, with
an offsetting $167.6 in UGF, that would give the office
$83.8 thousand to fund a one-time position. The position
was needed to transfer the data base from the judiciary and
to update all restitution records so that restitution
payments could be coordinated.
Co-Chair MacKinnon observed that there was no note
pertaining to associated regulation change. She thought
that the changes were in funding source alone and would not
require regulation changes. He hoped someone could speak to
the question of regualtion changes.
Ms. Cunningham understood that the temporary position would
be entering records from the judiciary so that they could
coordinate payments.
Co-Chair MacKinnon read from the fiscal note:
FY19 One-Time Increment: A full-time, nonpermanent
employee at a Range 13 would be needed for one year
(12 months) to perform data entry and establish
electronic files for all restitution judgements with
unpaid balances; the Court System statistics indicate
that there are 20,000 restitution judgments with
unpaid balances.
9:51:11 AM
Ms. Cunningham addressed FN7, OMB Component 981, Department
of Revenue (DOR), Permanent Fund Dividend Division. She
relayed that the note reflected $20 thousand in UGF for
FY19 for the division to take care of programming needs.
The costs went down $5 thousand in the out years and
maintained a $15 thousand base.
Co-Chair MacKinnon noted that PFD had testified that their
costs were unknown until they knew the volume of the
payments.
Vice-Chair Bishop interjected that the bill would require a
change in regualtion.
9:52:15 AM
Ms. Cunningham addressed FN8, OMB Component Number 2717,
Department of Law (LAW), Commercial and Fair Business. The
note had zero fiscal impact.
Ms. Cunningham addressed FN3, OMB Component Number 2134,
Department of Health and Social Services, Juvenile Justice,
Probation Services. The note had zero fiscal impact.
Co-Chair MacKinnon commented that there were remaining
administrative questions that pertained to the fiscal
notes.
9:53:03 AM
Co-Chair MacKinnon stated that the committee had further
questions concerning the fiscal notes.
REPRESENTATIVE CHUCK KOPP, SPONSOR, hoped to answer the
questions.
Co-Chair MacKinnon noted that the questions needed to be
answered by the administration.
HB 216 was HEARD and HELD in committee for further
consideration.
CS FOR SPONSOR SUBSTITUTE FOR HOUSE BILL NO. 216(FIN) am
"An Act relating to restitution; relating to the
office of victims' rights; relating to transfers from
the dividend fund; creating the restorative justice
account; relating to appropriations from the
restorative justice account for services for and
payments to crime victims, operating costs of the
Violent Crimes Compensation Board, operation of
domestic violence and sexual assault programs, mental
health services and substance abuse treatment for
offenders, and incarceration costs; relating to
contributions from dividends; relating to delinquent
minors; and providing for an effective date."
11:06:24 AM
Co-Chair MacKinnon brought the bill before the committee.
She stated that the committee had two questions pertaining
to the fiscal notes.
Co-Chair MacKinnon drew attention to FN12.
TAYLOR WINSTON, OFFICE OF VICTIMS' RIGHTS (OVR), ALASKA
LEGISLATURE (via teleconference), discussed FN12. She
explained that in order to provide restitution assistance
through the Restorative Justice account to victims the
administrative code and statute would need to be updated.
She said that the fiscal note focused primarily on a one-
time cost for a one-year, non-permanent position to
complete the work on the restitution case management
system. She added that additional costs for electronic case
management.
Co-Chair MacKinnon asked whether the fiscal note needed
amending to reflect additional capital cost to support the
software system.
Ms. Winston understood that the fiscal note reflected the
cost of $83,000 for staffing, approximately $5,000 for
computer related costs, and $1000 for the printing of
information to be distributed to various entities for
informational purposes.
11:09:54 AM
Co-Chair MacKinnon summarized the fiscal note and asked
whether the note would need to be updated to reflect the
statute change.
Ms. Winston affirmed that statutory change would be needed
to reflect language that authorized the office to help
victims with the restorative justice account.
Representative Kopp had not heard of a need for additional
statutory change. He disagreed with Ms. Winston and
announced that OVR had broad authority in statute to assist
victims with representation in court and in the return of
property hearings. He stated that the Department of
Administration, and not OVR, would not be writing the
checks. He asserted that OVR would set priority order of
victims presenting who were due restitution. He did not
believe that it was necessary to amend the bill.
11:12:24 AM
Ms. Winston agreed that OVR had broad jurisdiction with
assisting victims with regard to restitution, generally.
She believed that the office could accomplish the work
without changing statute but adding the jurisdictional
duties of the office to statute would be cleaner.
11:13:33 AM
AT EASE
11:14:24 AM
RECONVENED
Co-Chair MacKinnon explained that the committee had
Representative Kopp referenced page 3, Section 4 of the
bill:
(c) The office of victims' rights shall adopt
regulations under AS 44.62 (Administrative Procedure
Act) to establish a process for payments of
restitution balances from the restorative justice
account established in AS 43.23.048.
Representative Kopp understood that the language in the
section was enough to enable the office to carry out the
duties prescribed in the bill.
Co-Chair MacKinnon requested clarification that the office
would not be issuing payments.
Representative Kopp stated that the language on Line 14
dealt with OVR making eligibility decision on a priority
order.
Co-Chair MacKinnon referenced FN11.
11:17:09 AM
APRIL WILKERSON, DIRECTOR, ADMINISTRATIVE SERVICES,
DEPARTMENT OF CORRECTIONS (via teleconference), stated that
there would be no regualtion changes needed for the
department. She said that the fiscal note adequately
represented the anticipated fiscal impact of the
legislation. She thought the fiscal note was adequately
representative.
Co-Chair MacKinnon MOVED to AMEND FN 11. There being NO
OBJECTION, it was so ordered.
Co-Chair MacKinnon MOVED TO AMEND FN 12. There being NO
OBJECTION, it was so ordered.
Representative Kopp said that the bill would reprioritize
the vehicle established by the legislature in 1988 as the
Crime Victims Compensation Fund. He lamented that it had
become largely the Inmate Healthcare Fund, and that a large
portion would still be given to inmate healthcare, but by
setting a priority order, victims were sent the message
that they are considered first and foremost. He relayed
that reestablishing priority order gave clear direction to
the administration what the legislature considered to be
the highest purpose of the fund.
11:19:43 AM
Senator Micciche understood that the maximum amount a crime
victim could receive for restorative justice was $10,000.
Representative Kopp agreed.
11:19:58 AM
Senator Olson asked how to ensure that the fund would not
be spent on something other than victim's rights in the
future.
Representative Kopp responded that the legislature should
be vigilant and monitor the fund to be sure it was working
as intended.
Vice-Chair Bishop MOVED to report CSSSHB 216(FIN) out of
Committee with individual recommendations and the
accompanying fiscal notes. There being NO OBJECTION, it was
so ordered.
CSSSHB 216(FIN) was REPORTED out of committee with a "do
pass" recommendation and with a new fiscal impact note from
the Department of Corrections; and a new fiscal impact note
from the Legislature; and with seven previously published
fiscal notes, three zero notes: FN2(DHS), FN3(DHS),
FN8(LAW); three with fiscal impact: FN7(REV), FN9(ADM),
FN10(ADM/FUND CAP); and one indeterminate note: FN 13(AJS).
11:21:15 AM
AT EASE
11:23:09 AM
RECONVENED
Co-Chair MacKinnon discussed the agenda for the following
day. She informed that the committee would consider HB 267
in addition to the published agenda.