Legislature(2015 - 2016)HOUSE FINANCE 519
03/01/2016 01:00 PM House FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| HB256 || HB257 | |
| Public Testimony: Homer, Kenai, Ketchikan, Kodiak, Mat-su, and Seward | |
| Public Testimony: Barrow, Dillingham, Fairbanks | |
| Public Testimony: Off-net | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 256 | TELECONFERENCED | |
| += | HB 257 | TELECONFERENCED | |
| + | TELECONFERENCED |
HOUSE BILL NO. 256
"An Act making appropriations for the operating and
loan program expenses of state government and for
certain programs, capitalizing funds, making
reappropriations, making supplemental appropriations,
and making appropriations under art. IX, sec. 17(c),
Constitution of the State of Alaska, from the
constitutional budget reserve fund; and providing for
an effective date."
HOUSE BILL NO. 257
"An Act making appropriations for the operating and
capital expenses of the state's integrated
comprehensive mental health program; and providing for
an effective date."
Co-Chair Neuman discussed the meeting agenda.
1:07:27 PM
AT EASE
1:07:53 PM
RECONVENED
^PUBLIC TESTIMONY: HOMER, KENAI, KETCHIKAN, KODIAK, MAT-SU,
and SEWARD
1:07:58 PM
MILO FARIS, SELF, MAT-SU (via teleconference), spoke about
the percentage of market value related to the Permanent
Fund. He spoke to the payment plan spearheaded by former
Governor Jay Hammond related to the earnings of the
Permanent Fund. He furthered that the Alaska Permanent Fund
Corporation (APFC) trustees had voted on the plan
unanimously in 2001. He stated that Governor Hammond had
planned that the state would get zero of the money from the
Permanent Fund. He spoke to an average annual earnings of
10 percent. He proposed taking 3 percent for inflation
proofing the fund. He stated that the legislature would
take away everything. He stated that the legislature was
going to reduce citizens' Permanent Fund Dividends. He
believed there needed to be a plan where the state got 80
percent of the earnings in bad years and zero in good
years.
Co-Chair Neuman relayed that the committee members read all
of the written comments.
1:11:38 PM
KEN SMITH, SENIORS, MAT-SU (via teleconference), spoke in
support of seniors. He stated that Representative Gattis
had told seniors they needed to leave the state if they
were on a fixed income. He was in strong opposition to the
remark. He stated that he was in Alaska to stay and did not
appreciate much of the money spent by the legislature,
including funds spent on special session and the
legislative information office. He emphasized that the
state's residents voted the legislators in office and could
vote them out. He stressed that seniors had strong
political pull. He was proud to be a senior.
1:13:17 PM
SARA SAXTON, ALASKA LIBRARIES, MAT-SU (via teleconference),
spoke in support of funding for libraries. She relayed her
experience with the state Battle of the Books competition.
She shared that at least one team had been at a
disadvantage in the competition due to slow internet
access. She urged support for broadband access grants and
Online With Libraries (OWL). She stressed that no student
should ever feel that the place they made their home put
them at a disadvantage academically or competitively. She
stated that eliminating the programs were cutting off
students and resources used by the state fire marshal's
office, the U.S. Coast Guard, Providence Hospital, and
other.
1:15:43 PM
NOEL MAXWELL, SELF, MAT-SU (via teleconference), spoke to
the importance of bringing in alternative revenue sources.
She believed using part of the Permanent Fund earnings
reserve appeared to be necessary to stabilize the budget.
She believed it was important to cut as much waste and
redundancy as possible. She thought it was imperative to
put a cap on spending and to provide for a way to restore
the Permanent Fund when revenue increased from other
resources. She did not support changes to the Permanent
Fund that would allow for unrestrained raids on the fund.
She asked the legislature to hold the agencies accountable
for their spending.
1:17:51 PM
DAVE MAXWELL, SELF, MAT-SU (via teleconference), spoke to
his past service to the State of Alaska. He spoke to
corruption and waste of money in government and a system
that failed to hold its own accountable. He shared his
personal history of employment.
1:20:36 PM
CARL BAKER, SENIORS, MAT-SU (via teleconference), spoke in
support of funding for seniors. He spoke in strong
opposition to recent comments made by Representative Gattis
about seniors. He stressed the importance of eliminating
waste in government. He stated that there were millions of
dollars wasted on a daily basis. He stated that seniors
were one of the larger income sources for the state. He
stressed that he would not be moving from the state and
would be buried in Alaska at the end of his life. He
understood that cuts were needed for many things, but he
urged the committee to cut the waste.
1:22:50 PM
SAMANTHA RUSSELL, HOPE COMMUNITY RESOURCES, MAT-SU (via
teleconference), spoke against cuts to behavioral health
services grants. She stressed that people with mental
health disabilities were valuable members of the community.
She relayed that many of the individuals needed minimal
services to remain safely and securely in their homes, but
when the services were not available, circumstances could
change quickly. She detailed that people lost social and
practical skills that could help secure employment, parents
had to stay home to care for children who were too
behaviorally or medically challenging for typical daycare,
and other. She discussed various attributes of the
programs. The grant funded outreach to over 60 families in
Mat-Su. She spoke to the state's plan to promote the health
of people with disabilities.
1:24:59 PM
LESLIE DAVIS, HOPE COMMUNITY RESOURCES, MAT-SU (via
teleconference), testified in support of funding for
behavioral health services grants. She communicated that
two to three families called weekly seeking local support
to identify resources and services to get help for their
loved one with a disability. She provided examples of
recent calls for help they had received at the resources
center. She shared that a mother had called looking for
housing for her recently diagnosed 30-year old daughter
with autism. She listed many other examples. She thanked
the committee for its time.
1:27:19 PM
GARY SMITH, SENIORS, SELF, MAT-SU (via teleconference),
spoke in support of funding for seniors. He had been a
resident for 36 years. He believed that Representative
Gattis owed the seniors of the state an apology. He
stressed that the seniors had made this country. He stated
that legislators could be taken out of office by a vote. He
emphasized instead of wanting seniors to leave, the
legislators should embrace them. He asked what the
legislature would do to young people who did not make
money, but cost money. He asked if young people would be
told to leave the state too. He stressed the importance of
seniors in the state.
1:28:30 PM
TODD PETTIT, FARMER, MAT-SU (via teleconference), spoke in
support of agricultural services. He expressed his concern
about cuts to the seed potato program. He stressed that the
cold weather, disease free certified seed program was world
renowned. He implored the committee to reconsider the
drastic cuts. He was a red meat producer and processor that
had formed the Denali Meat Company. He wanted to compete in
the public process to privately manage and operate Mt.
McKinley Meat and Sausage. He was in support of one-time
funding to keep the Mt. McKinley plant in operation until
it could transition to the private sector. He spoke to
allowing the future growth of livestock and he addressed
food security.
1:31:10 PM
JANE SOETEN, SENIORS, MAT-SU (via teleconference), stressed
support for senior benefits. She was against proposed cuts
to senior benefits and nutrition for seniors. She discussed
that lunch was served daily at the local senior center to
about 100 people. She testified in support of Meals on
Wheels and explained that six trucks delivered food to
seniors daily. She stated that many seniors were isolated
and the delivery drivers kept track of the seniors they
delivered food to. The group was working very hard to earn
money for its program. She urged the committee to not cut
food programs for seniors.
1:33:11 PM
ELIZABETH RIPLEY, MAT-SU HEALTH FOUNDATION, MAT-SU (via
teleconference), spoke in support of funds for public
health and behavioral health services grants. She noted
that the board had adopted focused areas for funding called
Healthy Minds, Healthy Aging, and Healthy Foundations for
Families. She was concerned that the proposed cuts to the
budget would adversely affect people who fell into all
three of the focus areas. Current laws did not permit all
providers to bill Medicaid. Until the situation was
rectified, cutting behavioral health grants would only
reinforce the current system that drove people to seek
emergency room care. She stressed that the Mat-Su hospital
cost Alaska $20 million in 2013; there were more visits to
the hospital than to the community mental health center.
She stressed that all of the state dollars were being
invested downstream. Cutting the grants would only increase
state costs. Investment upstream would have significant
savings downstream.
1:35:31 PM
ERNIE DIAMOND, DENALI MEAT COMPANY, MAT-SU (via
teleconference), spoke in support of Denali Meats. He hoped
to compete for a chance to lease and operate Mt. McKinley
Meats He was a professional meat production manager since
1971. He spoke in support of the one-time funding to keep
the Mt. McKinley Meat plant in operation. He believed
privatization would be positive for the plant and would
allow for increased production. He stated that farmers had
trepidation because they kept hearing that the meat plant
would be closed due to cut funding. He stated that the
plant would provide private sector jobs.
1:37:35 PM
EUGENE HABERMAN, SELF, MAT-SU (via teleconference), he did
not believe the public testimony time allowed the entire
population to be heard. He stated that the decisions made
by the legislature would likely not be in the interest of
the public. He did not support proposals in the legislature
to implement an income or sales tax or to reduce the
Permanent Fund Dividend. He stressed that implementing a
state income tax or sales tax without voter approval was
inappropriate. He shared that a sales tax had been brought
to the Wasilla community for approval. He stressed that a
budget crisis should allow for more public participation
and review.
Co-Chair Neuman relayed that the public comment period had
been expanded in the current session.
1:39:46 PM
AMY PETTIT, EXECUTIVE DIRECTOR, ALASKA FARMLAND TRUST, MAT-
SU (via teleconference), spoke in support of funding for
the Alaska agriculture industry. She spoke to the daunting
nature of the budget process. She relayed that it was
unsettling to face cuts and criticism of the legislature
who seemed to only want to talk about failures in the past.
She supported the governor's proposal, which made strategic
cuts, changed the Permanent Fund Dividend structure, and
looked for innovative ways to move forward and change the
state's dependency on the oil industry. She spoke against
cuts to the UAF Cooperative Extension program. The
agriculture industry in Alaska was currently thriving. She
spoke to controlled production of vegetables, year-round
hydroponic production of lettuces, herbs, and other
products. She stressed that food was a $2.5 billion
industry in Alaska. She asked the committee to return
funding to the Division of Agriculture, the Cooperative
Extension, and the Mt. McKinley Meat plant.
1:42:07 PM
JOHN ALCANTRA, SELF, MAT-SU (via teleconference), testified
in support of funding for the University; he believed cuts
were too severe. He stated that in general the cuts in the
committee's bill went too far. He stated that there was
money set aside to get the state through rough times. He
did not want the University system cut so significantly.
1:43:11 PM
MARY JO JOINER, ALASKA LIBRARY ASSOCIATION, KENAI (via
teleconference), testified in support of the restoration of
the Online With Libraries program to the governor's
proposed level. She had recently received an angry call
from a community member that there were no IRS forms at the
local post office and very few at the library. She had
tried to explain that the forms were available online, but
he did not have the ability to access and print forms at
home. She stated that if the legislature expected Alaskans
to go online to file for the Permanent Fund Dividend, to
send email, to apply for jobs, and other, they must have
internet access. She stated that without internet access in
the state's public libraries, many Alaskans did not have
access to and could not afford broadband. She stated that
the $262,000 leveraged more than $1 million in federal e-
rate funds. The program would no longer be able to fulfill
its purpose without sufficient broadband speeds. She asked
the committee for its continued support.
1:45:27 PM
AMBER SWEETLAND, STUDENT, SOLDOTNA (via teleconference),
testified in support of funding for the University. She was
concerned about cuts made to the University budget. She
relayed that the entire community depended on the campus
and its programs. She stated that the campus made it
possible for many members of the community to receive an
education. She wanted to ensure they were not forgotten.
She thanked the committee for its time.
1:46:57 PM
CHERYL TUTTLE, STUDENT, KENAI (via teleconference),
testified in support of funding for the University. She
stressed that the office in Kenai had made many difficult
decisions based on the budget. She relayed that they had
decided not to travel to meet with the legislature in order
to save funds. She stressed that if too much funding was
removed she wondered who would take care of educating
Alaskans.
1:48:17 PM
SALLY CASSANO, KDLL PUBLIC RADIO, KENAI (via
teleconference), spoke in opposition to cuts to public
radio. She listed small communities that were kept informed
by public radio. She believed rural Alaska relied more on
public radio than in any other locations in the country.
She relayed that it was the only link to the outside for
some individuals. Access to national and local programming
kept residents informed. She listed numerous communities
who were kept informed by public radio.
1:49:31 PM
RACHEL BON, STUDENT, KENAI (via teleconference), testified
in support of funding for the University. She was opposed
to cuts of $1.3 million to the Kenai River Campus. She
relayed that a cut of that size would mean most of the
students would need to go to another location in the state
for school. She shared that many students were talking
about leaving the state to receive a degree if the campus
was cut. She communicated that the cut would negatively
impact the economy. She thought that cutting education
should not be the solution.
1:51:24 PM
BILL LARNED, KDLL PUBLIC RADIO, KENAI (via teleconference),
spoke against cuts to public radio funding. He stressed
that services were tied together to keep listeners tuned
in. He stated that there were very few employees at public
radio stations with very modest salaries; the rest of the
work was done by volunteers. He stressed that as lean as
the station was, it had a budget threshold where it began
to break down. He relayed that public radio had already
sustained cuts in Alaska state grants. He stated that some
equipment upgrades were desperately needed to prevent
uninterrupted feeds. He stressed that the amount needed was
relatively small.
1:53:32 PM
GEORGE PIERCE, SELF, KASILOF (via teleconference), stated
that legislators got the state into the current mess and
now wanted the people to bail them out. He stressed that
the legislature needed to stay away from the Permanent
Fund. He stated that the dividend was the only money that
Alaskans get for their resources. He believed the state
needed to charge more for its resources. He thought an
income tax was fairer than a state income tax. He wondered
why the legislature was not looking for new revenue. He
asked the legislature to increase taxes on the state's
resources. He stated that the programs could not be
afforded. He did not support funding for the Ambler Road or
the Legislative Information Office. He suggested cutting
the salaries of legislators. Oil and gas taxes were not
working for Alaskans. He stated that taxes should be
implemented on mining, fishing, and other; they should pay
their fair share. He stated that it was not the state's job
to fund nonprofits.
1:56:03 PM
AMY SEITZ, EXECUTIVE DIRECTOR, ALASKA FARM BUREAU, SOLDOTNA
(via teleconference), spoke in support of Mt. McKinley
Meats. She thanked Representative Pruitt and the Department
of Natural Resources subcommittee for keeping Mt. McKinley
Meat and Sausage in the budget for another year. She stated
that without the industry the state's food security would
be impacted. She asked the committee to keep it in the
budget for another year before it could be privatized. She
supported the seed potato program and asked for its
reinstatement. She stated that there was an additional cut
to the plant materials center, which she did not support.
1:58:20 PM
FRED STURMAN, SELF, KENAI (via teleconference), was
disappointed in the governor and the legislature. He stated
that the governor was going to give up $9 million for
employees. He remarked that there was a state employee for
every 43 people. He stated that the legislature needed to
get tough on government. He stated that the salaries and
benefits for state employees were too high. He relayed that
employees on the North Slope had taken a 20 percent salary
decrease. He stressed that jobs had been lost in Anchorage.
He supported the use of red pencils to cut the budget.
2:00:50 PM
JACK ROBERTS, STUDENT, KPC, SOLDOTNA (via teleconference),
testified in support of funding for the University. He was
working to further his education in the healthcare field.
He would hate to see the nursing program get cut at Kenai
Peninsula College. He understood there was a tight budget,
but he believed proposed cuts to the University system were
way too deep. He stated that one of the first things the
legislature should cut was its own salary and budget.
2:02:20 PM
HEIDI CHAY, KENAI SOIL AND WATER CONSERVATION DISTRICT,
SOLDOTNA (via teleconference), spoke in support of the
state's agriculture industry. She relayed that feeding
Alaskans was a $2.5 billion industry that was growing
rapidly. She discussed the need to diversify the state's
economy. She spoke to increasing food security. She urged
the committee to fund the Cooperative Extension in the
University budget and to the Division of Agriculture. She
asked for extended funding for the Mt. McKinley Meat plant
paid its own way through fees collected; she supported
continued funding for one year in order for the plant to
transition to private ownership. She stressed that
eliminating funding for potatoes put the crop at risk.
2:04:40 PM
HEATHER FOXWORTHY, SELF, KODIAK (via teleconference), spoke
in support of funds for Parents as Teachers. She discussed
how investing in early education saved money later on.
Additionally, how the brain synapses formed in the first
three years of life laid down the foundation for a lifetime
of learning. She relayed that Parents as Teachers served
all families. She discussed the organization's three-
pronged approach. The parent educators conducted home
visits and connected families to other services in the
community when needed. She rooted for families. She
stressed that parent educators provided extensive services
for all of their needs.
2:06:56 PM
JEAN BARBER, SELF, KODIAK (via teleconference), spoke in
support of Hope Community Resources that served children
with special needs. She stated that without the program
there were many young people who would only exist, but
would not really live. She stressed that the individuals
deserved a full life just like everyone else.
2:08:10 PM
MARK PUYOPY, RECIPIENT, HOPE COMMUNITY RESOURCES, KODIAK
(via teleconference), testified in support of Hope
Community Resources. He was a Hope services recipient. He
enjoyed bowling, hunting, and fishing with the recreational
program.
2:09:16 PM
CORRIE DAVIS, HOPE COMMUNITY RESOURCES, KODIAK (via
teleconference), testified in support of funds for Hope
Community Resources and people with developmental
disabilities. She asked the committee to restore the 5
percent proposed cut. She stressed that the proposed cut
would affect the lives of at least 25 community members and
would dramatically impact 8 families in Kodiak. There were
many children who could not attend regular daycare due to
their disabilities. The base grants funded recreation
programs for the individuals. The cost of institutionalized
care is tremendous; the base grants helped keep people from
being institutionalized and saved the state a substantial
amount of money in the long-term.
2:10:38 PM
AHARON DOLPH, RECIPIENT, HOPE COMMUNITY RESOURCES, KODIAK
(via teleconference), testified in support of funds for
Hope Community Resources. He implored the committee to not
cut behavioral health services program grants. He thanked
the committee.
2:12:00 PM
SHARI TANTTILA, HOPE COMMUNITY RESOURCES, KODIAK (via
teleconference), testified in support of funds for Hope
Community Resources and disabled Alaskans. She was in
support of the recreation program offered at Hope. She
stressed that the grants made such a difference in the
lives of disabled individuals using the programs. She hoped
that each and every disabled individual in Alaska could
make their choices. She asked the committee to her comments
into consideration.
2:13:07 PM
MEDI SANTAMARIA, HOPE COMMUNITY RESOURCES, KODIAK (via
teleconference), testified in support of funds for Hope
Community Resources. She stated that the grants enabled her
to do many important things that made her life better. She
urged the committee to not take away the grant funds.
2:13:36 PM
BERNIE GRAHAM, RECIPIENT, HOPE COMMUNITY RESOURCES, KODIAK
(via teleconference), testified in support of funds for the
Hope Community Resources recreational program. She spoke to
the activities she did with the program including fishing.
She was proud to bring home fish to feed her housemates.
She spoke to other programs such as art, beach combing,
hunting, and safety. She would be very sad without the
recreation program. She had used the program every day for
ten years.
2:15:31 PM
JULIA WILEY, RECIPIENT, HOPE COMMUNITY RESOURCES, KODIAK
(via teleconference), testified in support of funds for the
Hope Community Resources recreational program. She shared
that she did various activities including art, camping,
hiking, fishing, kayaking, bowling, and other. She went to
Hope every day.
2:16:25 PM
SONIA CLARY, HOPE COMMUNITY RESOURCES, KODIAK (via
teleconference), testified in support of funds for Hope
Community Resources. She was concerned about reductions to
grants in the Department of Health and Social Services. She
urged the committee to reconsider the cuts impacting
disabled Alaskans.
2:17:21 PM
JUSTIN WOODS, HOPE COMMUNITY RESOURCES, KODIAK (via
teleconference), testified in support of funds for the Hope
Community Resources recreational program for individuals
with developmental disabilities. He had worked on
developing outdoor programs for many years with the
program. He relayed that the programs provided individuals
with important access and opportunities to be out in the
community. The program taught individuals important life
skills and proving to themselves their abilities and
contribution. The programs supported the individuals in
harvesting their own fish and meat to offset their limited
budgets and to experience the pride and satisfaction of
providing for their own and other's needs. He implored the
committee to not cut the important lifelines provided
through the developmental disability grants.
2:18:28 PM
JEFFREY GARCIA, RECIPIENT, HOPE COMMUNITY RESOURCES, KODIAK
(via teleconference), testified in support of funds for the
Hope Community Resources recreational program. He stated
that the developmental disability grants helped him enjoy
his life to the fullest.
2:18:59 PM
CONOR GAHAN, VOLUNTEER, HOPE COMMUNITY RESOURCES, KODIAK
(via teleconference), testified in support of funds for
Hope Community Resources. He was an international volunteer
with Hope. He relayed that in his country similar programs
were only now coming into place to increase the quality of
life for people with mental and physical disabilities.
Alaska already had the programs in place and he did not
believe the funds should be cut. He believed the
legislature should give the individuals the quality of life
they deserved.
2:19:28 PM
TERRY HAINES, SELF, KODIAK (via teleconference), testified
in support of funds for Hope Community Resources and public
broadcasting. He asked the committee to look at the current
funding amount for public broadcasting and compare it to
other parts of the budget. He asserted that cutting the
funding was symbolic in looking at the entire scope of the
budget. He stressed that public radio provided essential
services that could not be provided at a cheaper cost.
Services included participation in the representational
government for rural residents. He spoke to the emergency
information services that public radio provided.
2:22:06 PM
MONTE HAWVER, DIRECTOR, BROTHER FRANCIS SHELTER, KODIAK
(via teleconference), spoke against proposed mental health
cuts and energy assistance cuts. He shared that when he had
opened the shelter in 1991, the first item added was mental
health services. He felt that it was essential to have
mental health care professionals within the school system
and the domestic violence shelter. All of the services
flowed out of the local behavioral health center in Kodiak.
He relayed that there had not been a suicide in the Kodiak
school system in seven years. Many people had done a
significant amount of work to make that happen. He
emphasized the importance of mental health services in
keeping the state's children healthy and alive. He stressed
that great progress had been made and he did not want to
see a loss in the momentum. He stressed that in a declining
economy, mental health services should not be cut.
2:24:38 PM
KATIE BAXTER, PUBLIC LIBRARIES, KODIAK (via
teleconference), spoke in support of the OWL program. She
urged the restoration of the internet connectivity program.
She stressed that in the near future the astonishing cuts
would hit at the local level within homes, businesses, and
special entities. The OWL system would be an anchor in the
time of job readiness, when school resources are cut, and
when businesses need to seek new ways to establish business
practices. She urged the committee to restore the
governor's funding of $761,800 for the OWL internet
connectivity program. She provided further information
about the program.
2:26:41 PM
ALAN SCHMITT, PUBLIC BROADCASTING, KODIAK (via
teleconference), was concerned about the quality of life in
Alaska and the long-term health of the state's economy with
the draconian cuts that were proposed. He urged the
committee to focus its efforts on raising additional
revenues. He testified in support of funds for public
broadcasting. He stressed that the proposed cuts could have
a ripple effect on the economy. He urged the committee to
keep the quality of life in remote Alaska as it is, which
required assistance. He supported the public library.
2:28:32 PM
BOB BRODIE, SELF, KODIAK (via teleconference), believed the
governor's proposal to tap the Permanent Fund, increase
revenue from other sources, and make cuts was a practical
mix. He stated that if the legislature cut too far it would
eliminate federal funds coming into the state. He supported
public broadcasting and was opposed to cutting the service.
He spoke to the importance of public radio, which was
essential to rural communities. He noted that radio enabled
rural Alaska to follow government.
2:30:34 PM
ANN DIXON, DIRECTOR, PUBLIC LIBRARY, HOMER (via
teleconference), testified in support of Online With
Libraries, broadband internet access, and the video
conference network. She shared that OWL supported the
internet cost for 43 of the smallest rural libraries in
Alaska. She stressed that OWL funding leveraged over $1
million in federal e-rate funding; Alaska paid 19 percent,
and e-rate paid 79 percent. The OWL network was a cost-
saving, viable method to conduct government, implement
training, and further education. She asked the committee to
imagine not having access to conduct its business. She
urged the committee to restore the governor's proposed cut
to state libraries; further cuts would be detrimental.
2:32:59 PM
JILL LUSH, EXECUTIVE DIRECTOR, SPROUT FAMILY SERVICES,
HOMER (via teleconference), urged the committee to restore
funds for Best Beginnings and Parents as Teachers as listed
in the governor's budget. She stressed that investing in
children was a moral issue for individuals with voting
power. She emphasized that investing in children was also a
financial issue. She stated that an investment in early
childhood was a smart one. Research showed that supporting
early learning had significant social payback. He provided
statistics. She relayed that the nonprofit supported
children and families. She supported funds for the
Imagination Library.
2:34:43 PM
LISA ASSELIN, HOMER EARLY CHILDHOOD COALITION, HOMER (via
teleconference), implored the committee to restore funding
for Best Beginnings to the level in the governor's budget.
She discussed that state investment in early childhood
education should always be a priority. She spoke in
opposition to cuts to the organization that supported early
literacy, which essentially shut the door on the state's
youngest and most vulnerable population. She stressed that
early literacy was a foundation for success in school and
in life. She spoke in support of the Imagination Library.
She wondered why the legislature would defund a program
that supported every child in the state regardless of where
they live in the state and other.
2:36:15 PM
MICHAEL MCCARTHY, SELF, HOMER (via teleconference), relayed
that he had never been so appalled by the legislature's
actions. He believed cutting so severely from state
programs was detrimental to the state. He stated that the
reason for government was to pay for services. He was
willing to pay from the Permanent Fund to help pay for
services. He was opposed to the luxurious Legislative
Information Office. He was against cuts to public radio. He
asked the legislature to reduce tax benefits to the oil
companies. He spoke to the devastation of the education
services for children.
2:38:43 PM
NAOMI SCHEFFEL, KBC CAMPUS UAA, HOMER (via teleconference),
testified in support of funding for the University. She
shared that she is a single mother and had only been able
to continue her education due to satellite campuses such as
KBC. She stressed that the governor's cuts to the
University were manageable, but the cuts by the legislature
were too deep. She stressed that the additional cuts would
force many students to give up dreams and education
opportunities. She urged the committee to protect education
in order to protect childrens' futures as well.
2:39:44 PM
SANNON MCBRIDE-MORIN, KBBI, HOMER (via teleconference),
urged the committee to restore funds to public radio. She
supported new revenue sources for the state including a
state income tax. She supported HB 247 that would reduce
tax credits to the oil industry. She did not want to see
drastic cuts to social services, public radio, vulnerable
Alaskans, and other. She stressed that public radio was a
critical connection to rural Alaska. She stressed that it
was her link to the community.
2:42:11 PM
MAKO HAGGERTY, KBBI, HOMER (via teleconference), stressed
that it was difficult to come out of a downward spiral when
infrastructure was chopped. He supported funds for roads
and bridges and public radio, which he believed were all
part of public infrastructure. He asked the committee to
consider adding to the budget.
2:43:53 PM
BONI MCNATT, PEONY INDUSTRY, HOMER (via teleconference),
spoke in opposition to cuts to the UAF Cooperative
Extension program. She stated that the industry used,
valued, and needed the service for the success of its
livelihood. She stressed that budget cuts would eliminate
research programs and reduce staff and salaries, which
would cripple the Cooperative Extension. She stated that
new businesses brought money into Alaska including the
Alaska peony industry. She stated that farming in Alaska
was difficult enough; assistance was needed from the
extension. She provided information about the peony
industry.
2:46:15 PM
GENARITA GROBAREK, CONSCIOUS EARTH FARM, HOMER (via
teleconference), spoke in opposition to cuts to the
Cooperative Extension program. She was concerned that cuts
would negatively impact her farm. She stated that without
the services they would lose an essential tool to help
manage her farm. She shared that Alaska imported 90 percent
of its food. Cutting budgets would cripple the industry.
Supporting food sustainability in Alaska would benefit the
state. She spoke to the importance of developing the
state's agriculture.
2:48:15 PM
JAMES HORNADAY, KPC COLLEGE, HOMER (via teleconference),
testified in support of funding for the University. He
shared that he was a retired businessman, judge, and former
mayor of Homer and he understood how difficult budget cuts
were. He stated that a $50 million budget cut was not
feasible. He stated that the $15 million cut in the
governor's proposed budget was tough enough. The University
had already taken a look at reducing expenses by 10
percent. He stressed that further cuts were too deep. He
believed there would need to be a combination of budget
cuts, taxes, and possibly accessing the earnings of the
Permanent Fund. He stated that just cutting was not
responsible.
2:49:43 PM
CLYDE BOYER, SELF, HOMER (via teleconference), supported
the governor's proposed budget, which he believed was
adequate and necessary to fund all of the various services
that were important to Alaska and its communities. He
stated that the per capita budget was actually smaller than
it had been in many years. He remarked that reducing the
budget put the state's economy into a recession mode. He
stated that legislators needed to be thinking about new
funds. He believed a state income tax should be
reinstituted. He also believed a small sales tax would help
bring in funds from non-residents. He stated that it would
be acceptable to take funds from the Permanent Fund if
needed.
2:51:20 PM
SHANNON CEFALU, KBC COLLEGE, HOMER (via teleconference),
testified in support of funding for the University. She
stated that the school in Homer was already very small; it
had a minimal number of staff and was already as condensed
as possible. She stressed that the proposed cuts would be a
devastating change to the campus, which would likely cause
students to be forced to relocate to other colleges. She
strongly urged the committee to accept the governor's
proposed budget.
2:52:24 PM
BOB MOORE, SELF, HOMER (via teleconference), spoke in
support of the University, behavioral health services, and
K-12 programs. He suggested using a scalpel to make cuts
instead of a chainsaw. He urged the committee to not allow
firearms on any University campus by any personnel other
than security. He quoted Thomas Jefferson: "a well-educated
populous is critical to the success of a democracy."
2:53:30 PM
DONNA RAE FAULKNER, OCEANSIDE FARMS, HOMER (via
teleconference), was shocked at the proposed cuts by the
legislature. She suggested using a scalpel to make cuts
instead of a chainsaw. She stated that the governor's
proposed cuts were dramatic, but the legislature's
proposals were devastating to Alaskans. She relayed that it
felt like an assault on the state's communities, way of
life, interconnectedness, and humanity. She asked the
committee to avoid making such deep cuts across the board.
She opposed cuts to the OWL program. She was concerned
about rural communities that would be further separated
from urban areas. She stressed the importance of public
radio and opposed cuts. She supported the seed potato
program. She spoke to the importance of food safety.
2:56:04 PM
BRETT GLIDDEN, HAVEN HOUSE, HOMER (via teleconference),
stressed that domestic violence and sexual assault did not
discriminate. She stated that individuals and families
attempting to put the pieces of their lives back together
after trauma would be impacted exponentially by most if not
all of the budget cuts proposed. She stressed that most of
the budget cuts would negatively impact Alaskans. She
stated that accessing the Alaska affordable heating
assistance program could make a difference for a mother
between having the resources to provide food for her
children and not being able to meet their basic needs. She
stated that the cuts would add insult to injury. She did
not support reducing behavioral health grants and substance
abuse programs. She asked the committee to support more
behavioral health services to help more Alaskans.
2:58:03 PM
JESSICA COOK, NATIONAL EDUCATION ASSOCIATION ALASKA,
PALMER, spoke in support of education for Alaskans. She
stated that children were Alaska's most precious natural
resource. She stressed that the time to tackle the problem
was now. She discussed that the state had relied too long
on oil revenues to fund the state government. She relayed
that it was not possible to cut the state's way to a better
future. She stated that even altering tax structures would
not, by itself, make the state economically healthy. She
implored the committee to look at taking action on a multi-
pronged approach even if it meant tapping into Permanent
Fund reserves.
3:00:27 PM
KATHIE WASSERMAN, EXECUTIVE DIRECTOR, ALASKA MUNICIPAL
LEAGUE, JUNEAU, spoke in support of pursuing additional
revenues. She stated that most of the projects and programs
were valid and very important to the state. She stated that
the governor's proposal put an additional $35 million in
revenue sharing into the budget for revenue sharing;
communities depended on the funds. At some point many
municipalities would have to raise taxes; there was no
other way to get money outside of taxes and fees and the
money provided by the state. She encouraged the committee
to keep revenue sharing at the governor's proposed $50
million.
3:01:51 PM
VALERIE BROOKS, NATIONAL EDUCATION ASSOCIATION ALASKA,
KETCHIKAN, spoke in support of education funds. She shared
that over 400 delegates had determined that its focus
should be on how to bring in revenues. First, she urged the
committee to consider Permanent Fund earnings; the
municipal league did not support a specific proposal. She
urged the legislature to find compromise to deal with the
budget deficits. The organization understood that revenue
sources must be diversified, but she urged the legislature
to assure that no one segment of the population bore the
brunt of the additional revenue being identified. She
understood that there was a need for cuts, but there was no
way to cut the state out of the deficit. The organization
urged the legislature to minimize the impact of the cuts on
essential services such as public education.
3:03:38 PM
LINDA MURPHY, SELF, SOLDOTNA, testified in support of the
$35 million in the governor's proposed budget for municipal
revenue sharing. She was vice mayor of the City of
Soldotna, but was speaking on her own behalf. She stated
that Soldotna would feel pain if it lost revenue sharing,
but it could absorb the loss and raise taxes; however, many
smaller communities had no tax base. She urged the
committee to look at additional sources of revenue
including a portion of Permanent Fund earnings. She hoped
the committee would remember that local governments were
the legislature's partners with the same constituents. She
stated that the difference was that when the issue got to
the municipal level, communities had no choice but to raise
revenues through taxes or to cut services.
3:05:42 PM
RODNEY DIAL, SELF, KETCHIKAN (via teleconference), did not
support funding public radio; he believed citizens should
fund the program. He did not support new taxes. He stated
that it was wrong to allow people to collect welfare for
life and then ask the public to accept new taxes to support
welfare. He was offended by claims that cutting entitlement
programs would cause Alaskans harm, but that somehow
pulling more money out of the pockets of working Alaskans
would not. He asked to significantly reduce Medicaid
funding. He did not support superfluous education programs.
3:08:06 PM
SUSAN PICKRELL, SELF, KETCHIKAN (via teleconference),
testified against cuts to senior services. She worked with
more than 200 Alaska Native elders in Ketchikan; the
program did not receive state funds. She shared that many
elders had lived a subsistence lifestyle making their
living by fishing, hunting, or by building the
infrastructure of the villages and towns that legislators
represented. She furthered that many of the individuals did
not pay into social security or state unemployment. The
elders worked hard but did not get guaranteed insurance or
a state retirement. She stated that they could not and
would not move away as suggested by Representative Gattis.
She relayed that if state benefits were reduced, many
elders would be choosing between food and toilet paper. She
discussed that in the past elders had been revered. She
stressed that the legislature had an obligation that
seniors would not spend their last years worrying about how
they would live and eat.
3:10:04 PM
BILL ROTECKI, SELF, KETCHIKAN (via teleconference),
testified against cuts to public broadcasting. He believed
cuts needed to be done judiciously, fairly, and wisely. He
communicated that cutting public broadcasting
disproportionately would harm the small communities and
their ability to deal with emergencies. He stated that it
was not practical for people in rural communities to go
online due to expensive costs. He spoke in support of
University outreach and research. He stated that it was
necessary to recognize the need the state had to strengthen
existing industries and grow new industries to replace
revenues formerly provided by oil; it was exactly what the
University programs did. He supported the Cooperative
Extension.
3:12:03 PM
JANALEE GAGE, SELF, KETCHIKAN (via teleconference), spoke
in support of implementing an income tax. She stressed that
every one of the programs discussed were a vital part of
the state's infrastructure. She stated that as a working
individual with a disability she had firsthand experience
of being approached by a stranger and told that this "was
no place for a cripple to live." She stated that by making
the cuts the legislature was handing lifelong Alaskans a
blue ticket out of Alaska and away from their homes. She
testified against cuts to public radio that was essential
to rural Alaska.
3:12:55 PM
JOE WILLIAMS, SELF, SAXMAN (via teleconference), discussed
that for the past 30 or 40 years the state had lived off
the graces of oil. He believed it was time that residents
and citizens of the state own up to the free way they had
been living. He was in support of a personal tax. He stated
that the legislature was elected to do what was right. He
encouraged an income tax, a school tax, and other. He
strongly encouraged the legislature to close the LIO in
Anchorage. He spoke against cuts to the Alaska Marine
Highway System (AMHS). He thought Southcentral should be
charged the same user fee to use its highways.
3:15:03 PM
MICHELLE O'BRIEN, KETCHIKAN SCHOOL BOARD, KETCHIKAN (via
teleconference), spoke against cuts to public broadcasting.
She shared what public broadcasting had been doing to run
lean. She detailed that public radio had implemented a
series of collaboration techniques and combined services in
order to run more efficiently. Public radio used an
extensive volunteer base. The station had determined that
funding would be based on the investment of the local
community. The current proposal was catastrophic for rural
areas. She urged the committee to maintain Base Student
Allocation (BSA) funding and the $50 increase. Not
investing in the state's youth was a future investment in
increased incarceration rates and substance abuse.
3:16:29 PM
EDWARD BAKER, SELF, KETCHIKAN (via teleconference),
supported funds for senior services. He did not believe
social services programs were sufficient. He shared that he
had only received the Permanent Fund around six times in
his lifetime in Alaska due to his work for Alaska Airlines,
which took him out of state. He spoke to his health
problems. He spoke against cuts that reduced the longevity
to $47. He believed seniors should be given consideration.
He did not believe social services were sufficient.
3:18:55 PM
LICHA KELLEY, EXECUTIVE DIRECTOR, RENDEZVOUS SENIOR DAY
SERVICE, KETCHIKAN (via teleconference), testified against
cuts to senior services. She stressed that the service
provided a warm lunch and relayed that most of the
individuals would go home with nothing for dinner. She
stated that the individuals went home with a hug every day.
She stressed that it was the legislature's honor and duty
to take care of seniors. She implored the committee to
restore the funding.
3:21:23 PM
KIMBERLE BLUNT, SENIOR CENTER, KETCHIKAN (via
teleconference), testified against cuts to senior services.
She shared that seniors received one meal per day at the
center. Seniors enjoyed friendship and social interaction
provided by the center. The center kept seniors alive and
provided social interaction. She believed that it was very
important the seniors received support. She shared that she
had a brain injury. She stated that everyone she knew
counted on the Permanent Fund.
3:22:37 PM
TERRI WHYTE, SELF, KETCHIKAN (via teleconference), urged
the committee to restore funding for public broadcasting.
She spoke to the importance of helping students to gain
public speaking experience. She stated that if public radio
was cut from the state the communities would lose. Students
would miss opportunities to learn about public radio and
public speaking forums. She would miss her favorite
programs and hosting a show.
3:24:58 PM
LOREN STANTON, SELF, KETCHIKAN (via teleconference),
appreciated cuts of $40 million for the gasline expenses
from the governor's budget. He had also heard that the
legislature may put the funds back in the budget, which he
did not appreciate. He was especially opposed to the $26.5
million for groundwork in terms of selling the gas. He
stated that $1.5 million of the funds were supposedly to
pay for a single person to sell gas to China. He stressed
the importance of cutting tax credits to oil companies. He
believed the decision on an income tax and taking funds
from the Permanent Fund was too difficult for the
legislature to make; he believed the people should be heard
on the issue.
3:27:37 PM
ALLISON SACCO, SELF, MAT-SU (via teleconference), was
concerned with the budget cuts and there overall effects.
She stressed that all of the services and programs were
part of the state's infrastructure and were important. She
stated that cutting jobs may increase the number of people
on public assistance. She thanked committee members for
their time.
3:29:04 PM
JASON TAURIANE, KPC PARAMEDIC STUDENT ASSOCIATION, KENAI,
testified in support of funding for the University. He
shared that the local college was a lifeline to community
members and students. He implored the committee to make
smart cuts. He stressed that the proposed cuts to the
University system would cause deep cuts at the small
community colleges like KPC. A program like the paramedic
program required teachers from many disciplines to provide
the necessary breadth of knowledge. He understood that cuts
needed to be made and he supported them, but he asked the
committee to make smart cuts that were well researched. He
supported the budget proposed by the University Board of
Regents. He did not support using funds from the Permanent
Fund, which he believed would disproportionately impact the
poor and families. He supported a combination of income
tax, sales tax, and lotteries. He asked the committee to
consider how to build the state's economy and become
sufficient.
3:31:43 PM
AT EASE
3:46:50 PM
RECONVENED
^PUBLIC TESTIMONY: BARROW, DILLINGHAM, FAIRBANKS
3:47:41 PM
HELEN SIMMONDS, KEY COALITION, BARROW (via teleconference),
encouraged the committee to reinstate the $640,000
behavioral health grant. She stated that her son had shown
great benefit from the grant. She announced that the
monthly visits that the grant funded had made a significant
positive impact on her son's life and wellbeing. She shared
some background of her son's history with incarceration.
She stressed that he had shown significant progress.
3:50:03 PM
ERIN HOLLINGSWORTH, SELF, BARROW (via teleconference),
urged the committee to restore funding for public
broadcasting. She shared that the public radio was
essential for the smaller communities to access emergency
broadcasting and information. She remarked that the public
radio had pivotal cultural programming. She shared that the
public radio allowing access to the outside world.
3:52:05 PM
MICHAEL JEFFERY, SELF, BARROW (via teleconference), urged
the committee to restore funding for public broadcasting.
He echoed the remarks of Ms. Hollingsworth. He testified in
support of funding for behavioral health services. He spoke
in support of the adult dental Medicaid program.
3:54:55 PM
LINDA PAYTON, KBRW RADIO, BARROW (via teleconference),
urged the committee to restore funding for public
broadcasting. She shared that she was an avid listener of
public radio. She remarked that she understood the state's
difficult budget crisis. She felt that reducing the budget
by 100 percent would be greatly detrimental to the public
radio. She stressed that the public radio provided vital
information for emergency and safety services. She stressed
that her local community did not have consistent access to
the internet.
3:58:05 PM
GLENN EDWARDS, SELF, BARROW (via teleconference), urged the
committee to restore funding for public broadcasting. He
stressed that many people in Barrow did not have access to
the internet. He echoed the comments of the previous
testifier as related to the public radio funding.
3:58:43 PM
ALANNAH HURLEY, UNITED TRIBES OF BRISTOL BAY, DILLINGHAM
(via teleconference), felt that many of the budget
reductions were aimed at rural Alaskans. She stressed that
many residents of Dillingham were dependent on subsistence
living. She felt that the legislature was focused on
reductions aimed at rural Alaska. She stressed that there
were no alternative services. She remarked that many rural
families depended on the receipt of the permanent fund
dividend.
4:01:21 PM
IDA NOONKESSER, DIRECTOR, CITY OF DILLINGHAM SENIOR CENTER,
DILLINGHAM (via teleconference), testified against cuts to
senior services. She shared that the services provided to
seniors were essential to the health and wellbeing of the
native elders in the community of Dillingham. She shared
some of the programs that the funding would provide,
including meals and basic transportation services. She
shared that many elders were unable to drive or afford cab
fare. She stressed that the elders had spent their lives
participating in the community, and felt that they needed
to be treated respectfully.
4:04:01 PM
COURTENAY CARTY, EXECUTIVE ASSISTANT, CITY OF DILLINGHAM,
DILLINGHAM (via teleconference), spoke in support of
restoring the governor's proposed supplemental request of
an additional $35 million for the revenue sharing fund. She
shared that Dillingham faced a 4.1 percent decrease in
revenue sharing from the prior year, and was attempting
maintain its current level of services while managing the
reduction. The committee's current proposal reduced the
City of Dillingham's revenue sharing contribution by more
than 34 percent from the current fiscal year.
4:05:37 PM
MARILYN CASTEEL, EXECUTIVE DIRECTOR, SAFE, DILLINGHAM (via
teleconference), testified against the elimination of the
district attorney's office in Dillingham. She felt that the
cut had a negative effect on the victims in Dillingham. She
also urged the committee to restore funding for public
broadcasting. She did not believe that the reduction in the
state's budget should affect the citizens of the state.
4:07:47 PM
DAN DUNAWAY, KDLG RADIO, DILLINGHAM (via teleconference),
urged the committee to restore funding for public
broadcasting. He shared that cutting the state funds for
public radio would make it difficult to receive a federal
match for the local radio. He also spoke against the
elimination of the district attorney office in Dillingham.
4:08:51 PM
DAN PASQUARIELLO, DILLINGHAM POLICE DEPARTMENT, DILLINGHAM
(via teleconference), spoke against the elimination of the
district attorney office in Dillingham. He shared that
there would be a great public safety issue as a result of
the office elimination. He shared that his community would
not benefit from attorneys traveling from the Anchorage
District Attorney's Office, because charges would most
likely be either dismissed or greatly reduced. He stressed
that the traveling attorneys would not have access to an
office that was equipped to store case files, receive
faxes, or send email.
4:12:04 PM
MICHAEL WEST, DIRECTOR, ALASKA EARTHQUAKE CENTER,
UNIVERSITY OF ALASKA FAIRBANKS (UAF), FAIRBANKS (via
teleconference), testified in support of funding for
research at the Alaska Earthquake Center. He testified in
support of funding for the University. He stressed that the
modest state funding provided the "nucleus" to attach to
other specific financial interests.
4:14:09 PM
PAT IVEY, SELF, FAIRBANKS (via teleconference), testified
in support of funding for the University, she testified
against cuts to senior services, and funding for education.
She remarked that the reductions to the university budget
would not be able to recoup within the organization. She
shared that seniors were the fasted growing population in
Alaska. She remarked that the seniors needed help. She felt
that the community based grants would provide a quality of
life.
4:16:23 PM
JEFF BENOWITZ, UAF-GEOLOGY, FAIRBANKS (via teleconference),
testified in support of funding for the University. He
spoke specifically to research funding, specifically
research faculty. He remarked that the students and faculty
would feel the greatest negative impact.
4:18:14 PM
RICHARD FINEBERG, SELF, FAIBANKS (via teleconference),
encouraged the committee to restructure the North Slope oil
revenue structure. He expressed disappointment regarding
the legislature's avoidance of business misconduct. He
encouraged a change in the state's petroleum audit system.
He shared that historical information about major North
Slope producers were available on his website.
4:19:59 PM
RICHARD SEIFERT, SELF, FAIRBANKS (via teleconference),
testified in support of funding for the University. He
stated that he was heavily involved in the university. He
encouraged the committee to reconsider its priorities. He
spoke in support of exploring alternative revenue sources.
He stressed that cutting the university research funding
was shortsighted. He was willing to pay an income tax. He
spoke in support of using the Permanent Fund earnings to
pay for essential services.
4:22:19 PM
ANNA PLAGER, SELF, FAIRBANKS (via teleconference),
encouraged the committee to consider alternative revenue
services. She suggested that the committee use their time
wisely. She felt that the legislators were too focused on
reelection. She remarked that government was an economic
driver in the state. She felt that the legislators must
solve the greater issues, before cutting essential
services. She encouraged the committee to follow the
governor's leadership. She spoke in support of a state
income tax.
4:24:31 PM
JAN HANSOM, COOPERATIVE EXTENSION SERVICES, FAIRBANKS (via
teleconference), testified in support of funding for the
University. She spoke against the reduction to the
Cooperative Extension Services at the university,
specifically to the 4H program. She shared that the program
had hundreds of volunteers that leveraged the cost of the
staff for the program. She testified in support of a state
income tax.
4:26:18 PM
DAKOTA WILCHER, COOPERATIVE EXTENSION SERVICES, FAIRBANKS
(via teleconference), testified in support of funding for
the University. He specifically spoke in support of funding
for the 4H program through Cooperative Extension Services.
He shared that the program had impacted his life in a major
way, as he was only 18-years-old.
4:27:45 PM
RICHANA MAHLE, WOMEN AND CHILDREN'S CENTER FOR INNER
HEALING (WCCIH), FAIRBANKS (via teleconference), testified
in support of funding for behavioral health services. She
shared that the WCCIH had helped her get sober and stay out
of jail. She felt that the mental health programs
understood the main problems relating to drug abuse. She
stressed that the programs reduced crime and community
disruption. She felt that the underlying issues must be
addressed in order to have a positive impact on the
community.
4:29:59 PM
KARL KASSEL, MAYOR, FAIRBANKS NORTH STAR BOROUGH,
FAIRBANKS (via teleconference), spoke in support of using
the Permanent Fund to fund essential programs and testified
in support of a state income tax. He remarked that property
taxes were currently in the middle of the country's
average. He felt the shifting the tax burden to
municipalities was statistically incorrect.
4:32:19 PM
ANDREA MERCHANT, WCCIH, FAIRBANKS (via teleconference),
testified in support of funding for behavioral health
services. She felt that the budget cuts for mental health
and addiction services would have a violent impact on the
community. She remarked that drug use was a problem
throughout the state. She expressed that she was unsettled
even considering the implications of the program budget
reduction.
4:34:02 PM
MICHAEL ORI MILLER, UAF, FAIRBANKS (via teleconference),
testified in support of funding for the University. He
shared that he was enrolled in the university while still
in high school. He began in the pre-engineering program and
completed his degree in civil engineering. He was currently
awaiting his graduate acceptance at UAF. He encouraged the
committee to fund the completion of the new engineering
building. He remarked that the university continued to
produce engineers that were equipped with the tools to
enhance the economy for the state.
4:36:06 PM
CALEB SMITH, UAF, FAIRBANKS (via teleconference), testified
in support of funding for the University. He encouraged the
committee to fund a new engineering building at UAF. He
remarked that he was a teaching assistant, and the labs
were not receiving a quality education. He wanted the
legislature to support the state's workforce.
4:37:30 PM
BILL SCHNABEL, UAF, FAIRBANKS (via teleconference),
testified in support of funding for the University. He
stated that he had worked hard in the university system. He
stressed that there was great economic benefit to providing
new engineering graduates to the state. He announced that
he had two children, and he hoped that they would attend
UAF. He urged the committee to restore university funding
to the governor's proposal.
4:39:15 PM
SOPHIE TIDLER, UAF, FAIRBANKS (via teleconference),
testified in support of funding for the University. She
shared that she had utilized many of the university
programs. She felt that the university provided diverse and
complex experiences. She remarked that the previous
investments from the state to the university. She stressed
that there was a current unfinished engineering building.
4:41:10 PM
MICHAEL COOK, SELF, FAIRBANKS (via teleconference), felt
that Alaskans would be willing to pay for essential
services and government operations. He encouraged the
committee to use the permanent fund for state government.
He also spoke in support of a state income tax. He felt
that the committee should be friendly and helpful.
4:43:13 PM
DOUG TOELLE, DIRECTOR, ACCESS ALASKA, FAIRBANKS (via
teleconference), testified against cuts to senior services.
He echoed the testimony of Mr. O'Keefe from the previous
day's meeting. He shared a personal story about his
experience living with multiple sclerosis. He remarked that
he had a positive experience with Access Alaska, which used
state funds to provide beneficial services.
LANCE ROBERTS, SELF, FAIRBANKS (via teleconference),
testified in support of budget reductions. He thanked the
subcommittees that made cuts to the governor's budget of 9
percent or more. He expressed disappointment in how little
cuts were made in the Department of Labor and Workforce
Development, and suggested that one deputy commissioner
position should be eliminated. He thanked the committee for
the committee substitute that drafted with additional
budget reductions. He supported using funds other than
unrestricted general funds. He mentioned the ISER-Goldsmith
Plan [a plan developed by Scott Goldsmith, professor
emeritus of the University of Alaska's Institute of Social
and Economic Research (ISER)] and felt that the budget
could be reduced without cutting the permanent fund
dividend or imposing additional taxes. He suggested
budgeting based on the cyclic nature of oil prices, and
diversifying income. He thought that the private economy
was the way to achieve diversification in the economy.
JEANETTE GRASTO, NAMI, FAIRBANKS (via teleconference),
testified against proposed cuts to senior services,
disability services, and cuts that targeted people at or
near poverty. She shared that she was a board member of
NAMI and a parent of two adult children with disabilities.
She supported full funding for community-based services to
include early intervention and prevention, assisted living,
case management, supportive and emergency housing, and
mental health and substance abuse treatment. She suggested
that if the cuts were made to human services; individuals
would seek more expensive services such as emergency
medicine, nursing homes, psychiatric hospitals, jails, or
prison. She discussed mental health treatment access in the
Fairbanks area and lack of housing support. She was opposed
to cutting the permanent fund and was supportive of a state
income tax.
4:49:44 PM
MOLLY MCDERMOTT, UAF, FAIRBANKS (via teleconference), spoke
in opposition to cuts to the University budget. She related
that she was a research biologist with the U.S. Geologic
Survey, a masters student at the UAF, and president of the
Biology Graduate Student Association. She discussed her
educational history, and highlighted that she returned
Alaska to pursue graduate studies due to UAF's position as
a leading institution in arctic research. She thought
research was key to Alaska's future, and thought that the
governor's proposed cuts to the University were more
reasonable. She supported utilizing the permanent fund and
utilizing new tax revenues. She discussed her intent to
pursue her PhD at UAF if possible. She thought the
University helped the state retain talent and draw talent
to the state from other areas.
JESSICA HERZOG, UAF, FAIRBANKS (via teleconference), spoke
in opposition to cuts to the University budget. She related
that she came to UAF due to its reputation as a premier
arctic research institution. She discussed research funding
and suggested that students would need to seek opportunity
elsewhere if the state was unable to offer its programs.
4:52:00 PM
RYAN BURNHAM, UAF COLLEGE OF ENGINEERING AND MINES,
FAIRBANKS (via teleconference), spoke in opposition to cuts
to the University system. He related that he was an
engineering student and an army national guardsman. He
discussed research and its importance to the university. He
discussed the unique environment in which UAF was situated,
and thought that the institution offered a unique
perspective across many fields. He supported completion of
construction on the engineering learning and innovation
facility at UAF. He expressed support for a sales tax
rather than an income tax, because it would tax everyone
equally.
4:53:36 PM
NIKKI HINES, PRISONER RE-ENTRY COORDINATOR, CITY OF
FAIRBANKS (via teleconference), spoke against cuts to
behavioral health. She testified that any reduction in
funding would have devastating effects in the community.
She referred to SB 91 and the criminal justice reform
initiative, which redirected offenders from jail to
rehabilitation services, mental health service, and
substance abuse programs. She though cuts to behavioral
health was counterproductive to the state's goal of
reducing recidivism and restorative justice. She discussed
ex-offenders waiting inordinately long times for mental
health services. She anticipated that without the needed
services, crime rates would rise. She thought that cutting
behavioral health would increase costs in other areas and
would reflect no savings overall.
4:54:43 PM
CORINNE BOWELL, SELF, FAIRBANKS (via teleconference), spoke
in opposition to cuts to senior services and disability
services. She shared that she was the mother of a survivor
of a traumatic brain injury. She related that her family
spent a great deal of time at Access Alaska. She was
concerned about the quality of life for senior citizens and
people experiencing disabilities. She recounted that her
family utilized the services of Access Alaska, and was
concerned that budget cuts would be detrimental. She
considered quality of life to be the very important to
senior citizens and people with disabilities, and Access
Alaska was an important service provider to that end.
4:56:54 PM
RANDY BOWELL, SELF, FAIRBANKS (via teleconference), spoke
in support of funding for disability support services and
Access Alaska. He related that he experienced a traumatic
brain injury. He supported property investments as a source
of income for the state. He spoke in support of investing
Alaska's resources for economic growth.
4:58:24 PM
DOUGLAS COST, UAF, FAIRBANKS (via teleconference), spoke in
support of funding for the University. He related that he
was a PhD student at UAF and worked with the International
Arctic Research Center. He discussed the budget challenges
the state was facing and thought education was the best
chance for the state to diversify the economy. He thought
cuts to research and education would undermine the state's
capacity to rebound from financial constraints and
ecological and social issues. He suggested that to strip
funding for research from UAF would contribute to people
leaving the state and reliance on outside expertise.
5:00:20 PM
KAILYN DAVIS, UAF, SELF (via teleconference), testified in
support of funding for the University. She worked as an
undergraduate lab assistant at UAF in order to enjoy the
research education opportunity offered by her mentor. She
mentioned the extensive work of her mentor in advanced
geologic theory. She discussed research education and
encouraged the committee to consider restoring funding for
research in the University budget. She suggested cutting
funding for inter-collegiate sports.
5:01:36 PM
ROGER BURGGRAF, SELF, FAIRBANKS (via teleconference),
testified in favor of funding for the University. He spoke
in support of economic development in the state. He was
concerned about destruction of any economic engines in the
state through unreasonable taxes. He relayed concern for
the oil, mining, and fishing industries. He thought cutting
funding for research would be a destructive effort, and
mentioned arctic research and climate change. He was
concerned that cuts to research funding would result in
lost matching funds from federal grants. He advised the
committee to take care with what they were cutting. He
asked the committee to review his written testimony.
5:04:17 PM
AMEE MCHATTEN, FNA, FAIRBANKS (via teleconference), spoke
in favor of substance abuse prevention programs. She
relayed her personal story of addiction and recovery. She
recounted her personal successes after more than a year of
addiction treatment.
5:05:44 PM
SIMON MATTHEW, SELF, STEVENS VILLAGE (via teleconference),
testified in support of funding for state troopers. He was
opposed to cuts to the permanent fund dividend. He was in
favor of taxing non-residents.
5:07:22 PM
CURTIS WATKINS, SELF, FAIRBANKS (via teleconference),
testified in support of alternate funding such as income
tax thought that the budget shortfall could not be solved
by cuts alone. He thought that cuts would result in
unintended consequences. He believed that over-zealous cuts
to the ferry and highway systems could result in
infrastructure collapse. He felt that other additional
budget cuts would result in the population feeling less
secure, our most vulnerable residents to be more at risk,
and leave schools unable to meet the future needs of our
citizens. He encouraged the committee to consider other
sources of revenue, such as tapping into the permanent
fund, and perhaps a state income tax. He mentioned
increasing the fuel tax, as well as instituting a tobacco
and alcohol.
5:08:40 PM
SUE SHERIF, SELF, FAIRBANKS (via teleconference), testified
in favor of the Online with Libraries (OWL) program and
funding the Alaska state libraries to the governor's
proposed levels. She discussed the OWL program, explaining
that the federal e-rate program combined with local funds
to pay for high cost bandwidth in rural areas. She
specified that e-rate paid 60 to 90 percent of the high-
cost bandwidth for over 40 communities where the public
library was often the only location in the community where
broadband internet access was available to the general
public. Without the OWL funding, the public libraries would
be unable to leverage the nearly $2 million in e-rate
funding. She discussed different uses of the program,
including online classes and webinars, filing of tax forms,
and other activities such as online banking. She mentioned
state agencies that realized cost savings in travel through
utilizing the OWL video conferencing network. She discussed
the high cost of bandwidth in Alaska as compared to other
states.
5:10:58 PM
LISA HERBERT, PRESIDENT, FAIRBANKS CHAMBER OF COMMERCE,
FAIRBANKS (via teleconference), spoke in support of the
committee "right-sizing" government. She related that the
chamber represented over 700 business and organizations
throughout Interior Alaska. The Chamber's board of
directors unanimously adopted a fiscal position to support
a comprehensive long-term sustainable fiscal plan for the
state. The chamber's position included encouraging the
legislature to continue making budget cuts to "right-size"
government before imposing new tax revenues. The chamber
supported use of the permanent fund earnings reserve in the
current year, and supported strategic investments to
support long-term economic growth such as research funds
for the University. She discussed other concepts such as
careful examination of formula-funded programs; reopening
of salary and benefit negotiations, and identification of
areas where privatization of services could be utilized.
5:13:07 PM
SUSHEILA KHERCE, SELF, FAIRBANKS (via teleconference),
testified in support of funding for the University. She
related her personal experience with obtaining her master's
degree at UAF. She thought the proposed cuts to the
University were detrimental to the state and would hamper
its growth. She was willing to pay a state income tax or
sales tax, which she saw as investments in the state. She
saw the University as an important force in helping the
private sector grow with qualified, educated workers.
5:14:28 PM
KRIS WILSON, SELF, NORTH POLE (via teleconference),
testified in support of funding for the University. He
discussed the advantage of having degree programs that
would keep people in the state. He related a personal story
about being an employee of the University and about former
University President Mark Hamilton. He suggested there
could not be economic growth without support from the
state.
5:16:45 PM
HEATHER KOPONEN, SELF, FAIRBANKS (via teleconference),
spoke in support of a state income tax. She testified in
support of the University. She thought that the committee
should cut what she considered to be corporate welfare
rather than cutting human services. She testified in
support of a decreased permanent fund dividend. She thought
government programs helped all people be functioning
contributing members of society. She suggested that cutting
social programs resulted in increased costs to law
enforcement, courts, and society; and detracted from
productivity. She spoke in support of Access Alaska and
behavioral health funding.
5:18:25 PM
BONNIE WOLDSTAD, SELF, FAIRBANKS (via teleconference),
spoke in opposition to cuts in funding for the high-
endurance patrol vessels in the Department of Public
Safety. She specifically opposed cutting the funds
appropriated for the repairs and engine repower of the
patrol vessel. She referred to comments by coastal
communities, fishing industry participants, and other
interested parties; after which the legislature
appropriated additional funds. She related that she had
been working with the staff of Senator Lisa Murkowski and
Senator Dan Sullivan to review National Oceanic and
Atmospheric Administration (NOAA) funding used for
fisheries patrol and enforcement. She thought that Alaska
ranked 10th or 11th in federal funding allocation, and the
state currently received $1 million to $2 million from
NOAA. She discussed existing fund used by DPS for
activities such as dockside sampling and fisheries and
wildlife patrols.
5:20:43 PM
JOMO STEWART, FAIRBANKS ECONOMIC DEVELOPMENT CORPORATION,
FAIRBANKS (via teleconference), testified in support of
funding for the University. He referred to a resolution
passed by the Fairbanks Economic Development Board, calling
for a balanced solution to address the state's budget
challenge. The resolution called for thoughtful and prudent
budget cuts as well as increased revenues and expanded use
of investment earnings. He thought that the university was
a major economic engine for the state and was indispensable
to Alaska's future economy. He referred to a joint letter
from his organization and the Juneau Economic Development
Council that supported adequate University funding. He
referred to a presentation by Dan White, Vice-President for
Academic Affairs and Research at UAA; which highlighted the
importance of the University to the state's economy. He
thanked the committee for their consideration and efforts
on the budget.
5:23:08 PM
KAREN TABER, FAIRBANKS WELLNESS COALITION, FAIRBANKS (via
teleconference), testified in support of suicide prevention
programs and spoke in favor of funding for substance abuse
prevention programs. She testified in support of funding
for behavioral health services. She stated that the
coalition fostered wellness through data-driven prevention
programs. She discussed risk factors and suicide
prevention.
5:24:02 PM
JIMMY FOX, ALASKA PARENT TEACHER ASSOCIATION, FAIRBANKS
(via teleconference), spoke in support of funding for Pre-K
programs and K-12 education. He thought that the
legislature had cut too much from the budget and supported
creating additional revenue streams. He discussed a recent
endorsement of the governor's plan by Moody Analytics. He
discussed education spending and operational costs in the
state. He mentioned the correlation between lack of
education and incarceration. He emphasized the importance
of Pre-k education, and thought that children who received
Pre-k education were more likely to graduate from high
school, obtain jobs, and be contributing members of
society.
5:26:14 PM
BOB HARCHAREK, MAYOR, CITY OF BARROW (via teleconference),
testified in favor of funding the budget at the governor's
proposed levels. He furthered that he was president of the
Alaska Municipal League and vice chair of the Alaska Local
Boundary Commission. He discussed his educational
background and teaching experience. He recounted that the
City Council of Barrow had unanimously endorsed the
governor's sustainable long term fiscal plan; particularly
the need to generate immediate revenue and have a long-term
fiscal plan, including an income tax. He discussed a
reduction in the permanent fund dividend. He spoke in
support of the revenue sharing program. He was concerned
that the elimination of the municipal revenue sharing would
result in the majority of the second class cities would no
longer be able to function.
5:30:03 PM
DALLAS BROWER, SELF, BARROW (via teleconference), wanted
recognition that seniors from all over Alaska had built the
state up. She was in strong opposition to recent remarks by
Rep about cutting funding for seniors. She testified
against cuts to senior services. She stated that she
directed a vocational rehabilitation center. She related a
personal story of utilizing the Meals on Wheels program,
and wondered how many seniors had had the same need. She
emphasized the importance of the program, and urged the
committee to support programs for seniors.
5:32:24 PM
LINDSEY LAYLAND, SELF, DILLINGHAM (via teleconference),
spoke against a fish tax and a state sales tax. She relayed
that she was a commercial fisher and fish technician. She
expressed concern for rural area residents paying more for
essential items that were already extremely costly. She
thought a state income tax was a positive solution for
reducing the state deficit.
5:34:57 PM
GINA CARPENTER, SELF, DILLINGHAM (via teleconference),
testified in opposition to a state sales tax and testified
in support of a state income tax. She thought a state sales
tax would provide an undue burden to coastal communities
where resources were generated, and considered a state
income tax was fairer. She thanked the committee for their
work.
5:36:21 PM
TED KREIG, SELF, DILLINGHAM (via teleconference), testified
in support of a state income tax. He mentioned out of state
residents who did not spend money locally. He spoke in
opposition to a state sales tax, which he considered would
place an unfair burden on rural residents. He opposed
cutting the permanent fund dividend, and highlighted the
importance of the dividend to rural residents who had
little other income.
5:37:59 PM
WENDY DEMERS, FEA/NEA, FAIRBANKS, testified in support of a
sustainable budget. She shared that she was a teacher at
the oldest elementary charter school in the state. She
spoke in support of restructuring the permanent fund
dividend earnings to help pay the deficit. She highlighted
the benefit of a steady revenue source. She relayed that
her school was facing a cut of $115,000 to $150,000; which
translated to the loss of one teacher of seven, or two to
three support staff. She thanked the committee for their
hard work.
5:39:38 PM
TIM PARKER, NEA, FAIRBANKS, testified in support of funding
for K-12 education. Student learning was his top priority;
he currently had 130 students. He asked the committee to
consider how much the state had cut in the last three years
from K-12 education. He shared that the state had cut about
$105 million during that time from education. He stressed
that cutting education was a bad idea; every time education
funding was cut it decreased the amount of student learning
that was occurring. He referred to the constitutional
requirement to adequately fund education. He encouraged the
committee to look at education as an investment; every
dollar that was put into education would benefit kids. He
encouraged the committee to look at Permanent Fund
earnings. He welcomed committee members to visit his
classroom any time.
5:41:52 PM
SANDY JAMIESON, SELF, FAIRBANKS (via teleconference),
testified in support of funding for K-12 education. He
recalled that he had to pay school tax out of his first
paycheck; at first he had felt shocked, but then it made
him feel like a part of the community. He was supportive of
an income tax and school tax. He relayed that the first 20
years he lived in Alaska there had been a sales tax, but it
had been a mess.
5:43:11 PM
JON CHRISTENSEN, SELF, FAIRBANKS (via teleconference),
discussed that Alaska's per capita spending was three to
four times the national average and Alaska's education
costs were almost double the national average. He shared
that he could appreciate education because he grew up in a
two to four person school room. He stated that the budget
of that school made the current budgets look unbelievably
shocking. He communicated that the experience had not hurt
him and he had earned an engineering degree. He opined that
a small school and less money did not disadvantage students
if they wanted to learn. He stated that it did not matter
to him where things were cut, but he believed cuts needed
to be made. He referred to oil revenue and thought it would
be wise to structure the state's revenues based on market
swings in order to prevent the same financial crisis in the
future. He thought the role of government should decrease
in individual's lives.
5:45:43 PM
TONYA BROWN, SELF, FAIRBANKS (via teleconference),
testified in support of funding for the University. She
related that she was alumni from UAF and had obtained two
degrees there. She spoke to the value of receiving a good
education. She understood that most of the state's income
came from oil revenue, but she did not believe giving tax
credits that would hurt the state's budget would make
sense. She discussed lost revenue through not having a
sales tax. She believed there were logical answers to the
funding issue that did not involve cutting the budget.
5:47:53 PM
REBECCA RANSDELL, SELF, FAIRBANKS (via teleconference),
testified in support of funding for the University. She
stressed that education was the wrong place to make such
radical cuts. She emphasized that there was no way the
University system could take such a hit and maintain the
ability to provide the state's children with a high quality
education. She discussed the value of research, which could
provide opportunities for employment as well as graduate
school. She continued that research at the University of
Alaska attracted students and new faculty. She implored the
committee to not rob Alaskan youth of the opportunity to
get a quality education.
5:49:19 PM
JESSICA HEDGE, COUNSELOR, FAIRBANKS NATIVE ASSOCIATION,
FAIRBANKS (via teleconference), testified against cuts to
behavioral health services. She had benefited from the
programs and was a productive member of society. She
related a personal workplace story about an individual who
was upset because her children were in placement. She
worked with women to support them in becoming productive
members of society. She stated that the services helped the
individuals become who they wanted to be. She stressed that
it would not be possible if the money was taken away. She
emphasized that the cuts would hurt real people with real
problems. She watched every day how mental health, the
workforce, and the University worked together to provide
services. She spoke to the high financial cost of substance
abuse. She asked the committee to imagine what could be
done with the money as productive members of society.
5:51:36 PM
AT EASE
5:56:00 PM
RECONVENED
SHARON ALDEN, SELF, FAIRBANKS (via teleconference),
expressed support for additional revenue for the state. She
stated that the cuts had gone deep enough. She discussed
that current spending was at 1977 per capita levels. She
stated that the legislature had done significant work
cutting the budget, some of which she agreed with and some
she did not. She believed it was time to focus on finding
additional revenue. She supported the governor's plan, and
spoke in support on an income tax. She suggested 10 percent
of an individual's federal income tax liability, which she
believed would be fairer than taking money from the
Permanent Fund. She remarked that using the Permanent Fund
would mean taxing a four year old the same as an adult.
5:58:16 PM
AT EASE
6:17:29 PM
RECONVENED
^PUBLIC TESTIMONY: OFF-NET
6:17:29 PM
CHRIS EMRICH, CITY OF FALSE PASS, ANCHORAGE (via
teleconference), opposed cuts to revenue sharing. He spoke
about the importance of the state's support. He opined that
certain critical necessities would be removed from
communities without funding. He suggested maintaining
revenue sharing levels recommended by Governor Walker. He
thanked the committee for the opportunity to testify.
6:20:02 PM
SONDRA KAPLAN MAT-SU HEALTH SERVICES & MAT-SU HEALTH
BOARD, WASILLA (via teleconference), testified in support
of funding for behavioral health services, particularly
because of the current heroin epidemic reaching communities
throughout the state. She did not believe it was the right
time to cut services for people in critical need. She
suggested that the behavioral health system was
instrumental in realizing savings from the judicial system
redesign and reinvestment. The behavioral health system was
essential in order to achieve cost savings in Medicare
reform. She believed that the cuts would ultimately lead to
additional spending in other areas. She also expressed her
concern with the $3.6 million cut in the Medicare dental
services and thought higher costs would result because of
adults seeking care in emergency rooms. She urged the
committee to refrain from making the two cuts she
discussed. The thanked the committee.
6:22:21 PM
RACHEL GREENBERG, EXEC. DIRECTOR, MAT-SU SENIOR SERVICES,
PALMER (via teleconference), testified against cuts to
senior services. She reported that Mat-Su Senior Services
had already sustained cuts relating to the Affordable Care
Act and the minimum wage increase equal to $150 thousand.
Also, grant funds for Mat-Su Senior Services was decreased
by $12 thousand in the current year. The proposed budget
containing a 2.85 percent to 5 percent reduction in senior
grant funds would result in an additional cut of $31
thousand to $56 thousand for Mat-Su Senior Services. If the
proposed cut to heating assistance was approved seniors
would likely rely more on programs and services offered at
senior centers and senior services organizations. Access to
these organizations helps seniors to remain independent,
out of expensive assisted living homes and skilled nursing
facilities, and out of the hospital. She suggested that
because of an increased senior population the funding
provided for in FY 16 would actually be a cut to the
budget. She reviewed a list of services provided through
the senior grant program. She thanked the committee for its
time and work.
6:25:11 PM
VANESSA REINHARDT, SELF, WASILLA (via teleconference),
appreciated the fierce independence of Alaskans. She
suggested that legislators should get back to basics and
look at what the state constitution said that it had to
fund and then budget from that point. She supported the
state and others pursuing resource development. She also
supported a flat income tax and a seasonal statewide sales
tax. She thanked members for their time.
6:26:50 PM
ED MARTIN JR., SELF, HAWAII (via teleconference), mentioned
a "pie fallacy." He explained that the governor had given
legislators a "pie" (budget) and indicated how it would be
applied. He contested that the governor was actually
proposing a redistribution of wealth. He wanted to take
from the people in order to change the system. He argued
that it was not new wealth. The state's new wealth came
from people's efforts. He relayed that his family were
homesteaders. He mentioned the state selling 1 million
acres of land to its people. The governor had not offered
anything towards the development or settlement of the
people of Alaska. He opposed using the people's Permanent
Fund. He supported all Alaskans receiving a voucher in
order to have a steak of ownership. He favored creating new
wealth. He thanked the committee for its time.
6:29:44 PM
PHIL HORTON, BOARD PRESIDENT, MAT-SU HEALTH SERVICES,
WASILLA (via teleconference), testified in support of
funding for behavioral health services. He believed the
state would pay more in the future if the proposed cuts
were sustained. He also supported funding the Medicare
adult dental services. He thanked the committee members for
their time.
6:31:00 PM
SHAWN PHILLIPS, CITY OF FORT YUKON, FORT YUKON (via
teleconference), opposed several of the proposed cuts
including the state's revenue sharing program. She
explained that Fort Yukon provided many services to
outlying communities but certain businesses were increasing
prices because of current economic challenges. She was
concerned with other reductions especially for elders,
families, and children. She furthered that the state
revenue sharing program was a lifeline to many small
communities and some might not survive without assistance.
She thanked the committee for the opportunity to speak.
6:32:59 PM
KAREN HARRIS, SELF, PALMER (via teleconference), asked the
committee to preserve $3.1 billion for tourism in the
governor's budget. She expressed her thanks to the
committee.
6:34:24 PM
BOB FASSINO, SELF, WASILLA (via teleconference), spoke in
favor of the governor's plan. He supported the
implementation of a flat rate income tax that was simple
and would help to stabilize things. He did not envy the
committee's position of having to make tough decisions. He
thought Alaska had a bright future. He appreciated the
committee's time.
6:35:38 PM
CLAIRE STEPHENS, SELF, ANCHORAGE (via teleconference),
spoke in favor of cutting the budget equally across the
board. She reasoned that Alaskan's were in a crisis
together just as having grown accustomed to Alaska's rich
lifestyle together. She stressed the importance of stopping
the deficit, balancing the budget, and reducing
governmental costs. She mentioned that every budgeted item
should be cut by an equal percentage so that everyone
suffered equally in proportion to the amount they received
in the past. Alaskan's were resourceful and creative and
would find ways to overcome the shortfall if necessary. She
also spoke in favor of applying a percentage cut to
executive branch employees and to legislator salaries. She
favored deleting per diem pay during special sessions and
capping the PFD at a maximum of $1000. She provided
additional details and sideboards around her solutions. She
thanked members.
6:38:27 PM
KAY CLEMENTS, KHNS GENERAL MANAGER, HAINES (via
teleconference), urged the committee to restore funding for
public broadcasting. She asked the committee to reconsider
funding a portion of public radio. Without receiving any
state funding public radio would be at risk of not
receiving federal funding. She also spoke in favor of the
Online with Libraries program. She appreciated the
committee's time and the work it was doing.
6:40:17 PM
CYRUS COOPER, SELF, HEELY (via teleconference), supported
a statewide sales tax. He added that the money created from
a sales tax needed to be walled off to fund specific
programs. He also favored an income tax applicable to
everyone who earned a wage in the state. He made it clear
that using PFD monies was akin to stealing money as opposed
to borrowing it. He considered it an "easy out." He
observed that the state did not have a comprehensive
strategy about to fight the rise in heroin addiction.
Additionally, he thought there was an effort to suppress
self-sufficiency. He thanked members for the opportunity to
testify.
6:42:33 PM
PATRICIA PREYDTE, SELF, DILLINGHAM (via teleconference),
testified in support of funding for the University. She
thought the level of reductions was far beyond what the
governor recommended. She objected to Representative
Wilson's opinion that the research and outreach portions at
the university did not merit funding. She added that in her
experience in rural Alaska the cooperative extension and
the marine advisory program. They produced more results for
the money spent on other things. The extension service gave
more value for the dollars spent. She also spoke of
supporting the seafood industry. She saw the benefits of
getting young people trained through the Marine Advisory
program. She thanked the committee for its time.
6:44:36 PM
KAY ANDREWS, SELF, ALEKNAGIK (via teleconference), asked to
retain the PFD program. She spoke of Governor Hammond being
concerned about using the oil wealth. She hoped the state
would look to other resources to help fund government. She
hoped that legislators could see and appreciate some of the
struggles in various communities. She spoke of relief
provided when one of the native corporations bought out a
fuel company resulting in lower fuel prices. The cost for
her to fill up her truck went from $125 to $75. The
reduction in cost helped to pay for food for her family.
She supported an income tax rather than a sales tax. In her
community there was already an income tax in place. She
mentioned a large gap between the "haves" and the "have-
nots" and asked the committee to avoid across the board
reductions. She asked for careful consideration in crafting
a fiscal plan. She thanked the committee for its time and
hard work.
6:48:36 PM
WILLIAM MORRIS, CITY OF ANDERSON, ANDERSON (via
teleconference), spoke in favor of maintaining the revenue
sharing program. He expressed his concerns about losing
funding and how it would greatly affect rural communities.
The majority of funding for the City of Anderson was from
the revenue sharing. He spoke of the reverberating effects
of the proposed cuts. He explained that when he made cuts
he removed items out of the top of a program rather than
the bottom. He mentioned the health of communities as a
whole.
6:51:31 PM
JAY KENICK, SELF, NOME (via teleconference), understood the
fiscal crisis the state was in with a 66 percent reduction
in oil prices. He indicated that if his oil bill was
reduced because of the price of oil going down he would be
happy to pay a state tax. However, when his oil bill simply
stabilized and additional taxes were taken out of his
income he would be fearful of his own personal economy. He
hoped that cuts could be made equally rather than taking
more from rural resources in comparison to any other urban
type center. He was hopeful that the state's leadership
could find a solution.
6:53:26 PM
MATTHEW GILBERT, SELF, HAINES (via teleconference),
reported growing up in Arctic Village and received his
degree from the University of Alaska, Anchorage. He urged
the committee to restore funding for public broadcasting.
He did not agree with many of the suggested cuts because of
so many people potentially losing their jobs. He suggested
that with cuts came unemployment and eventually more crime.
He favored reducing oil tax credits. He claimed the oil
companies made billions of dollars every year even with the
low price of oil. He hoped to see smartly crafted cuts. He
also testified in support of funding for the University and
other education funding.
6:56:27 PM
AT EASE
7:05:49 PM
RECONVENED
STEVE GINNIS, FAIRBANKS NATIVE ASSOCIATION, FAIRBANKS (via
teleconference), testified in support of funding for
behavioral health services. He opposed the $8.5 million
dollar reduction proposed by the House Finance Committee.
He also testified in support of funding for the University.
He believed that the research program was important because
it generated revenue. He also testified against cuts to
senior services. He was very troubled by many of the
proposed reductions and hoped the legislature would revisit
some of them. He understood the financial pinch on the
state. He wished legislators well. He was aware that the
landscape of Alaska was going to change. He thanked the
committee for its time.
7:09:02 PM
AT EASE
7:14:34 PM
RECONVENED
DONNA BELL, SELF, HAINES (via teleconference), urged the
committee to restore funding for public broadcasting. She
thought the removal of the program was very sad. She also
testified in favor of the Online with Libraries program.
She closed by saying thank you.
7:15:22 PM
CAROL DUIS, SELF, HAINES (via teleconference), urged the
committee to restore funding for public broadcasting and
for Online with Libraries program. She supported education
as well. She felt that any related cuts would cause a
significant amount of damage to the state and to its
children. She hoped the legislature would consider other
options including eliminating legislative per diem and
reconsidering the oil tax credits. She wanted to see more
measured responses and the consideration of additional
options.
HB 256 was HEARD and HELD in committee for further
consideration.
HB 257 was HEARD and HELD in committee for further
consideration.
Co-Chair Thompson reviewed the agenda for the following
day.
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