Legislature(2017 - 2018)ADAMS ROOM 519
02/26/2018 01:30 PM House FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| HB285 || HB286 | |
| Department of Corrections Amendments | |
| Department of Environmental Conservation Amendments | |
| Department of Health and Social Services | |
| Department of Law | |
| Department of Military and Veterans Affairs | |
| Department of Natural Resources | |
| Department of Public Safety | |
| Department of Transportation and Public Facilities | |
| University of Alaska | |
| Legislature | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 286 | TELECONFERENCED | |
| += | HB 285 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| + | TELECONFERENCED |
HOUSE BILL NO. 285
"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."
HOUSE BILL NO. 286
"An Act making appropriations for the operating and
loan program expenses of state government and for
certain programs; capitalizing funds; amending
appropriations; making supplemental appropriations;
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."
1:33:52 PM
^DEPARTMENT OF CORRECTIONS AMENDMENTS
1:33:57 PM
Representative Kawasaki provided a subcommittee report for
the Department of Corrections (DOC) with a prepared
statement:
The House Finance Budget Subcommittee for the
Department of
Corrections held six meetings and a closeout with the
Department during the review of the FY19 Governor's
Amended Budget.
The Chair of the House Finance Budget Subcommittee for
the Department of Corrections recommends that the
House Finance Committee accept the Governor's FY19
Budget and subcommittee amendment proposals.
The numbers-only budget with amendment recommendations
totals:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) 288,939.1
Designated General Funds (DGF) 8,507.2
Other Funds 25,735.9
Federal Funds 7,695.9
Total 330,878.1
The Unrestricted General Fund difference from FY15
Management Plan to the FY19 House Subcommittee
Recommended budget is a reduction of $8,715.3, a
decrease 2.9 percent.
The Unrestricted General Fund difference from FY18
Management Plan to the FY19 House Subcommittee
Recommended budget is an increase of $21,931.1, an
increase of 8.2 percent.
Positions:
Permanent Full-time 1,893
Permanent Part-time 0
Temporary 0
Total 1,893
The Governor did not submit any amendments for this
agency.
The Subcommittee discussed a variety of issues during
the meetings, including some amendment proposals that
were not forwarded to the full House Finance
Committee.
1. Transfer Funding to Create a New Appropriation and
Allocation for Substance Abuse Monitoring and
Diversion Services, Transfer $750.0 UGF
An amendment was discussed that would have transferred
$750.0 UGF from the Electronic Monitoring allocation
to a new appropriation and allocation to establish a
substance abuse program. Individuals with charges
involving a nexus to alcohol or substance abuse would
be required to participate in a program established
under AS 47.38.020, an alcohol and substance abuse
monitoring program within the Department of Health and
Social Services in collaboration with the Department
of Corrections.
Subcommittee Discussion: AS 47.38.020 creates the
Alaska 24-7 Sobriety Program. This program monitors
incarcerated
and pretrial non-violent individuals with drug and
alcohol related charges or crimes.
The Department spoke in opposition to the proposed
amendment. The number of people serving time on
electronic monitoring for parole and probation has
decreased, but the number of people using electronic
monitoring during pretrial is increasing. The
Department relies on the same contract, equipment, and
staff for electronic monitoring in both allocations.
The Department testified that the cut of $750.0 UGF
would result in fewer people on electronic monitoring
and the loss of positions.
The Subcommittee discussed how to best provide the
Department with a tool to better monitor inmates with
alcohol and drug related charges. There was
disagreement if this would be best done within the
Department, as is currently provided, or by creating a
new program, as proposed in this amendment. However,
there was general agreement that the topic was worth
discussing in the House Finance Committee.
The amendment failed by a vote of 4 yeas and 5 nays.
2. Delete Two Professional Conduct Investigator
Positions and Funding for Personal Services in the
Office of the Commissioner, (268.8) UGF and (2) PFT
Positions
Subcommittee Discussion: In FY2018, the Subcommittee
transferred the entire Professional Conduct
Investigation Unit and three corresponding positions
from the Correctional Academy allocation and into the
Office of the Commission allocation. In the FY18
Management Plan two new Professional Conduct
Investigator positions were added to the Office of the
Commissioner (PCNs 20-T030 and 20-T039). These
positions are currently filled. The committee debated
the need for the two new positions and corresponding
funding.
The amendment failed by a vote of 4 yeas and 5 nays.
3. Delete Two Positions and Funding for Personal
Services in Information Technology MIS, (198.0) UGF
and 2 PFT Positions
Subcommittee Discussion: PCNs 20-6130, 20-6162, 20-
6914 and 20-6920 were transferred from the Palmer
allocation to Information Technology MIS allocation in
FY 17 when the Palmer Correctional Center closed. Two
of those positions were transferred to the Research
and Records allocation in
FY18. As of January 1, 2018, neither PCN 20-6914 nor
20-6920 had been filled or posted on Workplace Alaska.
The Department announced they have filled one of the
positions since January 11, 2018. In response, the
amendment sponsor proposed a conceptual amendment that
would instead delete $99.0 UGF and one position, this
passed without objection.
The amendment failed by a vote of 4 yeas and 5 nays.
4. Reducing Funding in Information Technology MIS,
(500.0) UGF
Subcommittee Discussion: An amendment was discussed
that would have reduced funding in the Information
Technology MIS allocation by $500 UGF.
The Department testified that a misplaced line item
for reimbursable service agreements to the new Office
of Information technology had caused the budget for
Information Technology MIS to appear overly inflated.
The sponsor withdrew their amendment.
5. Seven amendments were introduced that would have
deleted funds from the Population Management
allocation. The amendment sponsor spoke to the first
amendment and withdrew
it along with the other six amendments.
The subcommittee reviewed the following
recommendation, that was withdrawn by the sponsor:
House Judiciary Committee Support the Governor's
HB 295 to amend AS 12.30.006 AS 12.30.011
The committee discussed a statutory proposal that
would have urged the House finance Committee to
support the provisions in HB 295 creating an exception
to the requirement of mandatory own recognizance
release for persons charged with a misdemeanor or
class C felony who are assessed by a pretrial services
officer as low to moderate risk and have an out-of-
state criminal history that has not been used in
determining the person's risk level.
Subcommittee Discussion: The Subcommittee agreed with
the intention of the amendment but questioned if it
was appropriate to urge the full committee to endorse
a specific piece of legislation. The sponsored offered
a conceptual amendment to eliminate the bill number
from the wordage, but it was objected to.
The sponsor withdrew the amendment.
Representative Kawasaki relayed that the subcommittee had
no statutory recommendations. The governor did not submit
any amendments for DOC. He thanked Commissioner Dean
Williams, who had been present for all of the subcommittee
meetings, April Wilkerson, Juliana Melin, and Amanda Ryder.
Representative Pruitt noted that the report showed an
unrestricted general fund (UGF) difference between the FY
18 management plan and the recommendation. He asked about
the percentage if the supplemental request was added to the
management plan. He thought it would be closer to an actual
plan.
Representative Kawasaki did not have his paperwork with
him. However, he thought it would be even. He estimated the
fast-track supplemental request to be about $20 million. He
detailed that about $10 million dealt with population and
the other $10 million had to do with inmate healthcare. He
commented that it was roughly flat.
1:38:38 PM
Representative Kawasaki indicated that he had a series of
amendments that he would be forwarding a report that showed
all amendments passing unanimously with the exception of
one that passed 7 to 2.
Representative Kawasaki MOVED to ADOPT Amendment H DOC 1
(copy on file):
Administration and Support
Office of the Commissioner
H DOC 1 - Add Intent to Take Full Advantage of
Community Residential Centers While Prioritizing
Public Safety Offered by Representative Kawasaki
Wordage: It is the intent of the legislature that the
Commissioner of Corrections take full advantage of the
cost savings available through the tiered pricing
structure as stated in the CRC contracts, by
maximizing prisoner placement into these facilities
while prioritizing public safety.
Explanation: Currently the State pays $162.49 per bed,
per day in a correctional facility. If utilized, the
CRCs do significantly reduce the daily cost of housing
prisoners. However, to realize these significant
savings each CRC must be more fully occupied.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki reviewed the amendment and
indicated it was passed unanimously in the subcommittee.
Representative Wilson commented that when the legislature
passed SB 91, $1 million had been allocated for halfway
houses to have treatment. The allocation was to be paid for
over two years, $500,000 each year. She had heard from DOC
that treatment had not been implemented in the halfway
house. She reported, after further investigation, that much
of the money had been returned to the general fund. She
thought it was a step down from prison to a halfway house.
She wanted to ensure that treatment was provided. She urged
additional investigation because of high recidivism rates.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DOC 1 was ADOPTED.
Representative Kawasaki MOVED to ADOPT Amendment H DOC 2
(copy on file):
Administration and Support
Research and Records
H DOC 2 - Delete Two Vacant Positions
Offered by Representative Kawasaki
PCN's 20-6130, 20-6162, 20-6914 and 20-6920 and
funding were transferred from the Palmer allocation to
Information Technology MIS allocation in FY 17 when
the Palmer Correctional Center closed. All positions
were vacant in FY 18 and no recruitment had started
during the last legislative session, therefore the
Finance Subcommittee deleted the positions. They were
reinstated by the House Finance Committee.
All four positions were vacant as of 1/11/18. PCN's
20-6130 and 20-6162 were transferred to this
allocation in the Governor's FY 19 budget request and
reclassified. This amendment deletes the positions and
the associated post-vacancy personal services costs of
$229,483 ($235,706 positions costs less vacancy factor
of 2.64 percent in this allocation).
Representative Wilson OBJECTED for discussion.
Representative Kawasaki detailed the amendment. He relayed
that in offered testimony that the two IT positions were
still vacant with no recruitment going on and no
recruitment had ensued in the previous year. The allocation
had been pulled in the prior year's budget and restored by
the Senate. The remaining two positions were currently not
filled or advertised. The vote passed unanimously in
committee.
Representative Wilson noted she had deleted the positions
in the prior year because they had not been filled or
recruited. She WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DOC 2 was ADOPTED.
Co-Chair Seaton acknowledged that Representative Cathy
Tilton and Representative Steve Thompson had joined the
meeting.
Representative Kawasaki MOVED to ADOPT Amendment H DOC 4
(copy on file):
Population Management Institution
Director's Office
H DOC 4 - Add Intent Prioritizing Funding and
Solutions to Reduce the Disparity of Alaska Native
Incarceration
Offered by Representative Kawasaki
Wordage: It is the intent of the legislature that the
Commissioner of the Department of Corrections will
prioritize funding and implement solutions that reduce
the disparity in Alaska Native incarceration
throughout the state.
Explanation: Alaska Native individuals are
incarcerated at a drastically higher rate than any
other demographic group in the state. The underlying
causes of this (e.g. systematic racism, economic
disparity, etc.) must be accounted for in developing
and implementing appropriate solutions to resolve this
disparity of incarceration within the Alaska
corrections system.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki reviewed the amendment. He reported
that incarceration rates in jails were twice what the
normal population of Alaska Natives were. The intent
language had also been offered in the prior year's budget.
The subcommittee felt it was very important that the
language remained in the budget and that the commissioner
provided updates to the legislature. The amendment passed
by a vote of 7 to 2.
Representative Wilson asked how many of the Alaska Native
population was in pre-trial status, awaiting sentencing,
and have been sentenced. She was unsure the amendment had
been followed in the previous year. She thought the numbers
would be helpful in evaluating the issue in the following
year. She hoped the department could answer the question.
Co-Chair Seaton did not believe the department could answer
the question. Representative Wilson argued the importance
of the department being able to answer the question. She
did not want to continue putting intent language into the
budget without knowing whether it was utilized. Co-Chair
Seaton advised that the commissioner was online to answer
questions. He asked him to respond.
1:44:32 PM
COMMISSIONER DEAN WILLIAMS, DEPARTMENT OF CORRECTIONS (via
teleconference), had heard the intent language in the prior
year and relayed that the amendment was a priority for him
as well. He pointed out there were 2 things about the
disproportion of minority confinement. First, the
department encountered people that came to DOC or were
referred. However, it was not up to DOC to determine who
was incarcerated and who was not. The amount of control the
commissioner had as to who was incarcerated was very
limited. He noted some of the changes he was trying to make
within the department having to do with pre-release and
re-entry. He had paid close attention to the issue of a
disproportion of minority confinement and deeply cared. He
could have an effect on incorporating culturally relative
programs to reduce recidivism among Alaska Natives.
Representative Wilson restated her question to the
commissioner. She wanted to understand the percentages.
Commissioner Williams thought he would be able to provide
her the information within 1-2 days.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DOC 4 was ADOPTED.
Representative Kawasaki MOVED to ADOPT Amendment H DOC 5
(copy on file):
Population Management
Electronic Monitoring
H DOC 5 - Add Intent to Expand Electronic Monitoring
to Bethel
Offered by Representative Kawasaki
Wordage: It is the intent of the legislature that the
Commissioner of the Department of Corrections will
prioritize expanding the Electronic Monitoring program
to Bethel.
Explanation: Expanding electronic monitoring in Bethel
will help reduce adverse impacts of conviction to low-
risk individuals by allowing them to stay connected to
healthy social and work networks in the community,
reducing the risk of recidivism that accompanies
separation from work and family. Currently, electronic
monitoring is offered in Anchorage, Fairbanks, Juneau,
Kenai, Ketchikan, and Palmer. There are Regional and
Community jail operated electronic monitoring programs
in Barrow, Kodiak, and Sitka. So far this year, the
total average number of inmates on electronic
monitoring in Alaska is 205. Anchorage accounts for
116, Fairbanks has 39, Palmer has 28, Juneau has
averaged 11 and Kenai is at 7. All others have
averaged less than 1.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki indicated the amendment dealt with
intent language to prioritize expansion of electronic
monitoring to the Bethel Region. Currently, electronic
monitoring was offered in Anchorage, Fairbanks, Juneau,
Kenai, Ketchikan, Palmer, Barrow, Kodiak, and Sitka through
the community jail system. The subcommittee thought Bethel
was the next largest place and would help to reduce adverse
impacts. It was also much more affordable to keep a person
on electronic monitoring than it was to keep them in jail.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DOC 5 was ADOPTED.
Representative Kawasaki MOVED to ADOPT Amendment H DOC 3
(copy on file):
Facility-Capital Improvement Unit
Facility-Capital Improvement Unit
H DOC 3 - Create New Facility-Capital Improvement Unit
Appropriation and Transfer Allocation Funding and PCNs
to New Appropriation
Offered by Representative Kawasaki
Move the Facility-Capital Improvement Unit allocation
to a new Facility Capital Improvement appropriation.
This amendment funds the FY 19 request for the
Facility-Capital Improvement unit. However, by
creating a separate appropriation, it insures that the
funding may be expended only for facility maintenance
and repairs.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki reported that the amendment had
passed unanimously in subcommittee. The Department of
Environmental Conservation (DEC) was one of the only
budgets he handled that had a capital improvement request.
The amount of the request was $1 million. The subcommittee
added language to ensure that facility capital improvement
money was only used for facilities and not moved between
allocations.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DOC 3 was ADOPTED.
^DEPARTMENT OF ENVIRONMENTAL CONSERVATION AMENDMENTS
1:48:46 PM
Co-Chair Foster provided his subcommittee report:
The House Finance Budget Subcommittee for the
Department of Environmental Conservation held 4
meetings with the Department during the review of the
FY19 budget request.
The Chair of the House Finance Budget Subcommittee for
the Department of Environmental Conservation submits a
recommended operating budget for FY2019 to the House
Finance Committee as follows:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) $15,190.0
Designated General Funds (DGF) $24,511.3
Other Funds $17,418.7
Federal Funds $23,070.6
Total $80,190.6
The Unrestricted General Fund (UGF) difference from
the FY2015 Management Plan to the FY2019 House
Subcommittee budget recommendation is a reduction of
$7,052.0, a 31.7 percent decrease. The Subcommittee
recommendation reflects a total decrease in
Unrestricted General Funds of $107.9, a 0.7 percent
reduction from the FY2018 Management Plan.
Positions:
Permanent Full-time 485
Permanent Part-time 0
Temporary 1
Total 486
There were no Governor amendments for the Department
of Environmental Conservation.
The Department of Environmental Conservation Budget
House Finance Subcommittee did not have any amendments
for the Department of Environmental Conservation.
Co-Chair Foster thanked the department, Mr. Painter, and
the subcommittee members.
^DEPARTMENT OF HEALTH AND SOCIAL SERVICES
1:51:16 PM
Vice-Chair Gara read the subcommittee report for the
Department of Health and Social Services:
The House Finance Budget Subcommittee for the
Department of Health and Social Services held 8
meetings with the Department during the review of
their FY19 budget request.
The House Finance Budget Subcommittee for the
Department of Health and Social Services recommends
that the House Finance Committee accept the Department
of Health and Social Services' FY19 budget with the
following amendment recommendations:
The numbers-only budget with amendment recommendations
totals:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) $1,147,735.9
Designated General Funds (DGF) $81,019.1
Other Funds $122,145.7
Federal Funds $1,885,967.0
Total $3,236,867.7
The Unrestricted General Fund difference from FY15
Management Plan to the FY19 House Subcommittee
Recommended budget is a reduction of $103,643.3, a
decrease of
8.3 percent.
The Unrestricted General Fund difference from FY19
Governor's Adjusted Budget to the FY19 House
Subcommittee
Recommended budget is a decrease of $17,372.8, a
decrease of 1.5 percent.
Positions:
Permanent Full-time 3,417
Permanent Part-time 44
Temporary 76
Total 3,537
Representative Wilson asked why the FY 19 House
Subcommittee budget was being used rather than the FY 19
governor's adjusted budget. The committee had been
consistent up until the DHSS report. She wondered about the
reason for the change. Vice-Chair Gara responded that he
had not been reading the other subcommittee reports when
they were writing them. He thought people would want to
know the long-term budget change. He did not go through the
governor's amendments that were adopted.
Co-Chair Seaton asked if they would be in the amendments.
Vice-Chair Gara replied that there were a few of the
governor's amendments that were adopted and one that was
rewritten. Co-Chair Seaton asked if Vice-Chair Gara would
be moving the amendments. Vice-Chair Gara responded
affirmatively. Co-Chair Seaton indicated that the changes
would be discussed at the time the amendments were
discussed.
Representative Pruitt noticed a substantial change in
looking at the details. He was also curious about the
change.
Vice-Chair Gara continued his subcommittee report
presentation:
The subcommittee discussed a variety of issues during
the meetings, including one amendment proposal that
was ultimately withdrawn.
This amendment proposal would have transferred up to
$1.5 million from the Recidivism Reduction Fund to the
Alcohol and Other Drug Prevention and Treatment Fund
to give the state time to determine how to address
future projected shortfalls in the Alcohol Fund. In
the past few fiscal years, appropriations from the
Alcohol Fund have exceeded revenue to the fund. The
excess appropriations have been covered by a carry
forward balance. At current appropriation levels, the
carry forward balance will be exhausted in FY 20. This
issue will need to be addressed by future
legislatures.
The subcommittee made no statutory recommendations.
Co-Chair Seaton interrupted Vice-Chair Gara to take an at
ease.
1:57:30 PM
AT EASE
1:58:19 PM
RECONVENED
Co-Chair Seaton relayed that the amendments would be
offered in the order in which they were listed.
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 1 and H HSS
10 (copy on file):
Behavioral Health
Designated Evaluation and Treatment
H HSS 1 - 3-year State Matching Funds to Support
Hospital-based Mental Health Care (FY 19 - FY 21)
Offered by Representative Gara
In recent years, Alaska has not claimed all of the
federal Disproportionate Share Hospitals (DSH) funding
to which it is entitled due to a lack of matching
funds and federal receipt authority. With a commitment
of $1.9 million in Alaska Comprehensive Health
Insurance (ACHI) funds in FY 19, the State would be
able to leverage an additional $1.9 million of federal
DSH funds.
Currently, there is a major gap in the Alaska
Psychiatric Institute's (API) ability to admit
patients, due to its limited capacity of 80 beds.
Although API is claiming all of the DSH funding to
which it, as Alaska's only public psychiatric
hospital, is currently entitled, the State could claim
a portion of its unused DSH funds to support other
hospitals and community behavioral health programs
that are especially impacted by the lack of treatment
beds at API.
Specifically, these additional funds would enhance the
capacities of the State's three existing DSH-funded
hospital-based mental health treatment programs and
provide new financial support to approximately three
other hospitals impacted by the lack of treatment beds
at API.
These hospitals have been working hard to provide and
maintain safe environments for patients who are court-
ordered to psychiatric evaluation and treatment at API
(or one of the other two Designated Evaluation and
Treatment hospitals). Many of these patients are being
held for days and sometimes longer in their hospitals'
emergency departments awaiting transfer to API.
Services provided would depend on what the hospital
and, in some cases, the local community behavioral
health center determines makes the most sense for
their hospital/community, ranging from physician
(including psychiatric) and social work services,
additional security guards and substance use or mental
health services (assessments, evaluations), to
discharge planning and converting emergency rooms to
safe rooms, etc., all geared towards providing more
appropriate services for the mentally ill and
relieving the stress and pressures on emergency
departments.
While two other existing hospitals have approved
Certificates of Need to expand services to provide
treatment for people who would qualify for API
admission, these new services will not be online until
early 2019 and 2020, and ultimately are not
anticipated to meet the existing need. Further, the
Department of Health & Social Services has submitted
the Section 1115 Behavioral Health Medicaid Waiver
application to the Centers for Medicare and Medicaid
Services (CMS) which will help increase access to
community-based behavioral health services. Service
implementation will take multiple years and although
it is anticipated to begin in 2020, it will be based
on negotiations with and approval by CMS.
This enhanced DSH funding approach would enable the
State to help address a demonstrated crisis in the
provision of adequate and appropriate hospital-level
care for Alaskans experiencing a mental health crisis.
Without additional resources there will continue to be
expensive uncompensated care at medical facilities for
patients they hold, waiting for API admission.
Medicaid Services
Health Care Medicaid Services
H HSS 10 - 3-year Federal Funding Paired with GF in
DBH to Support Hospital-based Mental Health Care
(FY19-FY21) Offered by Representative Gara
In recent years, Alaska has not claimed all of the
federal DSH funding to which it is entitled due to a
lack of matching funds and federal receipt authority.
With a commitment of $1.9 million in Alaska
Comprehensive Health Insurance (ACHI) funds in
SFY2019, the State would be able to leverage an
additional $1.9 million of federal DSH funds.
Currently, there is a major gap in the Alaska
Psychiatric Institute's (API) ability to admit
patients, due to its limited capacity of 80 beds.
Although API is claiming all of the DSH funding to
which it, as Alaska's only public psychiatric
hospital, is currently entitled, the State could claim
a portion of its unused DSH funds to support other
hospitals and community behavioral health programs
that are especially impacted by the lack of treatment
beds at API.
Specifically, these additional funds would enhance the
capacities of the State's three existing DSH-funded
hospital-based mental health treatment programs and
provide new financial support to approximately three
other hospitals impacted by the lack of treatment beds
at API.
These hospitals have been working hard to provide and
maintain safe environments for patients who are court-
ordered to psychiatric evaluation and treatment at API
(or one of the other two Designated Evaluation and
Treatment hospitals). Many of these patients are being
held for days and sometimes longer in their hospitals'
emergency departments awaiting transfer to API.
Services provided would depend on what the hospital
and, in some cases, the local community behavioral
health center determines makes the most sense for
their hospital/community, ranging from physician
(including psychiatric) and social work services,
additional security guards and substance use or mental
health services (assessments, evaluations), to
discharge planning and converting emergency rooms to
safe rooms, etc., all geared towards providing more
appropriate services for the mentally ill and
relieving the stress and pressures on emergency
departments.
While two other existing hospitals have approved
Certificates of Need to expand services to provide
treatment for people who would qualify for API
admission, these new services will not be online until
early 2019 and 2020, and ultimately are not
anticipated to meet the existing need. Further, the
Department of Health & Social Services has submitted
the Section 1115 Behavioral Health Medicaid Waiver
application to the Centers for Medicare and Medicaid
Services (CMS) which will help increase access to
community-based behavioral health services. Service
implementation will take multiple years and although
it is anticipated to begin in 2020, it will be based
on negotiations with and approval by CMS.
This enhanced DSH funding approach would enable the
State to help address a demonstrated crisis in the
provision of adequate and appropriate hospital-level
care for Alaskans experiencing a mental health crisis.
Without additional resources there will continue to be
expensive uncompensated care at medical facilities for
patients they hold, waiting for API admission.
Representative Wilson OBJECTED for discussion.
Vice-Chair Gara spoke to both amendments. He explained that
the state had inadequate capacity at API. What was
recommended to be a 140-patient unit was an 80-patient
unit. Approximately 10 patients would not be able to be
served during retrofits over the following 1 year to 1.5
years. Alaska Psychiatric Unit would be a 70-patient unit.
He added that about 10-15 beds would be used by patients
going through the criminal justice system - forensic beds.
Accounting for those beds, there would be approximately 55
beds available to patients. He indicated that hospitals
were ending up housing psychiatric patients. At the Mat-Su
Regional Medical Center over 18,000 patient hours were
spent in emergency rooms - mostly emergency rooms and some
in other rooms. He suggested that most of the care was
uncompensated. The patients needed care at a place like
API.
Vice-Chair Gara continued that the state had a rebate for
Alaska Comprehensive Health Insurance Association (ACHIA)
payments. He relayed that $25 million was rebated from
Premera and $60 million came from the federal government.
The state was matching $1.9 million in returned ACHIA funds
with $1.9 million in general funds for 3 years to bridge
between what the state currently had and a fix in 3 years.
Co-Chair Seaton clarified that Vice-Chair Gara was talking
about amendments H HSS 1 and H HSS 10. Vice-Chair Gara
confirmed he was discussing Amendment H HSS 1 and H HSS 10.
He corrected himself. He relayed that the ACHIA funds would
match federal DSH funds. Currently, API was using all of
the federal DSH funds it could in-house. He explained that
DSH funds could also be used to help hospitals expand
services, protect patients, and protect workers. He relayed
an example where one of the emergency room doctors at the
Mat-Su Regional Medical Center indicated she had to protect
her stroke patients from someone having a mental health
episode. Funds would be granted to rural and urban
hospitals to try to address security concerns and help
patients waiting to be linked with community services they
needed. He thought the unanticipated rebate of ACHIA funds
could be very helpful in leveraging unleveraged federal DSH
funds.
2:02:39 PM
Representative Tilton had some questions for the department
about the DSH funding. She wanted to understand how the DSH
funds came in from the federal government. She wondered if
they came in as a lump sum granted out or whether they were
given to different hospitals based on the amount of service
they provided. She asked for clarification.
Vice-Chair Gara was certain they were not contingent on the
amount of services the hospitals provided because the state
had $10 million and was not giving those funds to hospitals
currently.
SHAWNDA O'BRIEN, ASSISTANT COMMISSIONER, FINANCE AND
MANAGEMENT SERVICES, DEPARTMENT OF HEALTH AND SOCIAL
SERVICES, explained that the state would receive the funds,
similar to how it received other federal funds. They were
not awarded in a block grant fashion. Instead, the state
would receive them to distribute to the hospitals based on
the needs of the hospitals and spending. The matching funds
would allow the department to take in more funds than it
currently received.
Representative Tilton asked if it was a one-to-one match to
receive the DSH funds. Ms. O'Brien responded in the
affirmative.
Representative Tilton asked if the funds came in as a block
grant to the state. Ms. O'Brien responded that it was not
received similar to a grant. It was not a set amount of
funds received and then dispersed. It was received based on
what the state spent or what was available to spend.
Representative Tilton asked if the information about what
was needed to be spent came from the hospitals. Ms. O'Brien
responded, "That's correct."
Representative Tilton clarified that the hospitals sent the
department information based on the number of patients they
treated that would qualify under the program. In turn, the
department would reimburse the hospital through the DSH
funds. Ms. O'Brien responded that it would be similar to
what Representative Tilton suggested. She elaborated that
things such as uncompensated care would be reimbursed.
There were criteria that would apply, although she was not
an expert on the subject.
Representative Tilton was wondering because in the
amendment the legislature would be getting $1.9 million for
3 years. She thought the state had the ability to receive
$10 million. She noted Vice-Chair Gara had mentioned API
had reached its capacity. She asked if there was a dollar
amount that each hospital could receive.
Ms. O'Brien believed the amount being requested in matching
funds to the federal funds was an amount the state could
reasonable disperse to certain hospitals. There were some
capacity issues that could be taken into consideration. The
department would not want to have matching funds for the
full $10 million that it was not able to utilize. It was an
amount the department thought was reasonable for what it
needed to accomplish.
Representative Tilton commented that it was based on usage.
She was wondering about the 3-year time period. She asked
if it was because of the way it was distributed based on
need and usage. Ms. O'Brien responded that it was a
conversation the department had with a requestor to
determine what was reasonable, what the department could
accomplish, and what the needs might be without
overestimating costs.
2:07:06 PM
Representative Tilton asked if it would be reasonable to
ask for a report from the department that would indicate
how much each hospital received, and the number of patients
the funds applied to. She was hoping for better information
in the future regarding API. Ms. O'Brien believed it would
be possible to generate such a report. She was unclear how
the department reported the information currently. However,
she did not see any reason why something could not be
prepared.
Representative Wilson asked about the notion of 3-year
funding without intent language. They were dealing with a
1-year operating budget. She thought the request should be
in the capital budget. Vice-Chair Gara responded that it
was an "INK t - temporary increment.
Representative Wilson understood a temporary increment.
However, in the following year, she wondered if there be
language regarding 2 additional years. Vice-Chair Gara
responded that in the following 2 years the budget would
include the funds. He offered that the governor would not
necessarily have to follow what the legislature passed. The
intention and how it worked in the budget previously, a 3-
year project through the operating budget, showed up as a
temporary increment. The numbers should show up unless
someone deleted them. Future policy makers could do so.
Representative Wilson was not aware the legislature could
designate the number of years. She asked if the funds
helped API because after 3 years they would have more rooms
available. She asked for clarification and commented that
it sounded like none of the money would go to API. Ms.
O'Brien responded that Representative Wilson was correct.
The department believed that in the following several
years, through other ongoing efforts, it would be able to
address many of the issues it faced presently including not
having enough beds or capacity.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H HSS 01 and H HSS 10
were adopted.
2:10:38 PM
Vice-Chair Gara MOVED to ADOPT Amendment GA 4 (copy on
file):
Children's Services
Children's Services Management
GA 4 2/14 Establish Children's Services Safety Officer
Recently the Office of Children's Services (OCS) has
received an increase in threats to employees and
Occupational Safety and Health Administration (OSHA)
complaints. OCS Management and Human Resources do all
they can to address obvious safety issues and respond
to OSHA complaints as they arise, but neither group
has the resources to proactively address the issue or
the requisite expertise to implement best practices. A
dedicated, full-time safety officer who is an expert
in workplace safety can help us eliminate or mitigate
risks in a cost-effective manner. He or she can: Work
with each of OCS' approximately 25 office locations to
ensure safety plans are up to date and that all staff
are aware of what to do in the event of an emergency
in each specific office.
Develop and deliver initial hire safety training to
all new employees. Provide periodic refresher training
to existing employees.
Investigate formal and informal safety complaints and
represent the division in administrative proceedings.
Provide litigation support to the Department of Law
when OCS is sued for workplace safety issues.
Participate in Labor-Management Committee meetings.
These meetings give front-line employees and their
union representatives a voice in OCS safety issues.
Giving them such a voice can help management address
safety issues at the lowest (and lowest cost) levels
possible. They also give employees outlets for safety
concerns, which can result in fewer costly formal
complaints to agencies like OSHA and AKOSH.
Identify cost effective solutions to safety problems.
For instance, inexpensive technology and free
administrative fixes can often solve safety problems
that would otherwise necessitate building remodels.
Experienced safety professionals can readily identify
such low or no-cost fixes.
Partner with outside agencies to ensure our workers
have adequate resources in the most remote locations.
For instance, the position can liaise with local law
enforcement agencies and Tribes to make sure our
workers have adequate resources and safety plans in
rural communities with no SOA offices. Currently, our
employees may be stuck with nowhere to seek shelter
and safety in the event of a violent threat in such a
village.
Coordinate with other SOA Departments who may have
resources in remote locations such as office space to
sleep in or vehicles to borrow. One of our current
problems involves employees being stuck outside in
sub-zero temperatures when rides from non-SOA
personnel fall through.
Coordinate with Human Resources to ensure
accountability with regard to workplace safety.
Be a culture-change champion. It's all too often that
we hear senior personnel say "this is what you signed
up for" when confronted by an employee about a safety
threat. This is likely the biggest barrier to a
culture of workplace safety at OCS. This position is
our most effective option to tear down that barrier.
FY2019 Governor: $11,710.5
FY2019 Total Amendments: $158.6
FY2019 Total: $11,869.1
Representative Tilton OBJECTED for discussion.
Representative Tilton thought Vice-Chair Gara had mentioned
earlier that the amendment had been passed unanimously in
subcommittee, and it had not. She reported that it was not
passed unanimously.
Vice-Chair Gara apologized for being incorrect on
Representative Tilton's point. He explained the amendment.
He reported that there had been an increasing number of
threats to staff at the Office of Children's Services (OCS)
including murder and arson threats. The funding would pay
for one statewide safety officer to work with OCS staff to
help them protect themselves and to improve safety in the
workplace.
Representative Tilton recalled the subcommittee addressing
this amendment and thought the position could be absorbed
within the department. Vice-Chair Gara responded that in
the last 5 years there was an increasing number of youth
that were in OCS that paralleled a federal trend. Indiana,
for example, had its largest number of youth in foster care
which was attributed to the national heroin epidemic.
Alaska had its largest number of youth in foster care. He
argued that the Office of Childrens Services had too high
of a caseload to delete a case worker to pay for an OCS
safety officer. He suggested the office would be trading
from one inadequate area to another inadequate area.
Representative Wilson did not believe anyone was asking to
delete a position. Her understanding was that each office
was very different and that there were certain kinds of
protocols within the office. She argued that she was not
looking to delete or add a position.
Vice-Chair Gara relayed that there would be an amendment
for 2 specific officers - contract officers at different
facilities that did not have protective officers. The
person in the position would work on best practices with
the agency to protect all workers across the state. He
relayed that OCS had made a compelling case for the one
officer position to work with all case workers. The person
would address practices going into violent situations and
would also address some Occupational Safety and Health
Administration (OSHA) complaints against OCS because of the
dangers being faced by workers.
Co-Chair Seaton asked if Representative Tilton's objection
was to the position or the additional cost. He asked if
someone from the department was available to comment. Ms.
O'Brien responded that the department had explored the
possibility of using an existing position internally to
satisfy the need the department felt was necessary. She
continued that due to the serious nature of some of the
complaints and a current law suit the department faced, she
felt it was necessary to request a new position to
specifically address the issue across the division.
2:15:59 PM
Representative Wilson asked if the department had training
currently for workers about what to expect and when to call
on public safety for assistance when going into a
potentially dangerous situation. She asked what additional
training would be offered with an additional position.
Ms. O'Brien replied that the department received penalties
from the Occupational Safety and Health Administration
(OSHA). The Occupational Safety and Health Administration
provided recommendations and the department paid a fine.
The specific position would provide more in-depth training
than the ordinary training provided. The specific need in
OCS was due to a rising increase in assaults to staff. They
were not necessarily taking place in people's homes or away
from the office; they were occurring inside the offices.
The person in the position would be dedicated to focusing
on systemwide issues and working more closely with staff
and supervisors in a capacity the department currently did
not have.
Representative Tilton MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Grenn, Guttenberg, Kawasaki, Ortiz, Gara, Seaton,
Foster
OPPOSED: Pruitt, Thompson, Tilton, Wilson
The MOTION to adopt Amendment GA 4 PASSED (7/4).
Vice-Chair Gara MOVED to ADOPT Amendment GA 5 (copy on
file):
Children's Services
Front Line Social Workers
GA 5 2/14 Security Guards for Kenai and Fairbanks
Security guards are needed at Kenai and Fairbanks
field offices to respond to child protection workers
concern for safety. Recent threats and incidents has
led to a growing concern for workers safety. Security
guards will be used to prevent crime, maintain
security, assist clients and employees, and lead
safety meetings and drills.
Currently, the Office of Children's Services maintains
security guards in Anchorage, Wasilla, and Juneau.
There are no guards in Fairbanks and Kenai at this
time.
The Office of Children's Services has been involved in
an active Occupational Safety and Health Association
(OSHA) complaint as it relates to worker safety in one
of these offices. These efforts for the security
guards are a part of our efforts to better comply with
OSHA standards for worker safety.
FY2019 Governor: $62,834.6
FY2019 Total Amendments: $201.0
FY2019 Total: $63,035.6
Representative Tilton OBJECTED for discussion.
Vice-Chair Gara indicated that the amendment came with the
governor's amended budget. There were 2 major offices
without security guards, Fairbanks and Kenai. The amendment
would add contract security guards to both locations where
there had been recent threats. He remarked that there were
some smaller rural offices that would not have security
guards.
Representative Tilton spoke to her objection. She agreed
that security was important to everyone. However, she
wondered if the department had looked into other
opportunities such as a contract in which security was
shared for buildings. She suggested the department could
absorb the cost.
Representative Wilson asked whether the positions would be
full time or part time.
2:20:42 PM
Vice-Chair Gara believed the positions were full-time. He
asked for confirmation from the department. Ms. O'Brien
responded that the services would be offered through a
contract and the need would be full-time. The positions
would require a person to be present in the offices during
business hours.
Co-Chair Seaton clarified that no new state employees would
be brought online.
Representative Wilson was concerned because the report
indicated part-time rather than full-time. She asked how
much the state paid the security guards in the state
building in Fairbanks. Ms. O'Brien was not aware of the
amount.
Representative Wilson was curious to know. She was aware
there were security guards hired in the state building. She
thought $100,000 per person was high.
Representative Tilton MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Guttenberg, Kawasaki, Ortiz, Gara, Grenn, Foster,
Seaton
OPPOSED: Pruitt, Thompson, Tilton, Wilson
The MOTION to adopt Amendment GA 5 PASSED (7/4).
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 2 (copy on
file):
Public Assistance
Senior Benefits Payment Program
H HSS 2 - Defer Funding for the Senior Benefits
Payment Program to the Fiscal Note for HB 236/SB 170
Offered by Representative Gara
Funding to extend the Senior Benefits Payment Program
(estimated at $19.986.1 UGF) is expected to be
provided but requires passage of HB 236/SB 170.
Therefore, funding is deferred to the fiscal notes
associated with the legislation. These funds cannot be
provided in the operating budget until a new Senior
Benefits bill has passed both houses, as the current
statute expires this year. A reauthorization bill has
already passed the House.
Representative Tilton OBJECTED for discussion.
Vice-Chair Gara reviewed the amendment. He explained that
the House already passed senior benefits legislation.
Current law expired on June 30, 2018. He had hoped the
Senate would pass the same legislation. However, without
the passage of legislation there would not be a senior
benefits program the following year. If legislation passed,
the funds would be provided with the bill and with a fiscal
note that would go into the budget. The legislature could
not spend the funding without an appropriation.
Representative Tilton WITHDREW her OBJECTION.
There being NO OBJECTION, H HSS 2 was ADOPTED.
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 3 (copy on
file):
Public Assistance
Senior Benefits Payment Program
H HSS 3 - Extend the Senior Benefits Payment Program
Offered by Representative Gara
Wordage: It is the intent of the legislature to fully
fund the Senior Benefits Payment Program upon
reauthorization during the 2018 legislative session.
Explanation: Extend the Senior Benefits Payment
Program
There being NO OBJECTION, H HSS 3 was ADOPTED.
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 4 (copy on
file):
Public Assistance
Energy Assistance Program
H HSS 4 - Delete Excess Federal Receipt Authority
Offered by Representative Gara
Delete excess receipt authority.
Representative Wilson OBJECTED for discussion.
Vice-Chair Gara relayed that another amendment asked the
department if it had any empty authority funds that it had
received from the federal government in the past. He had
identified excess federal receipt authority in the amount
of $2.5 million which sat in the budget but was never
received by the state. The department agreed that it would
not receive the funds. The amendment deleted $2.5 million
of empty authority in the budget.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H HSS 4 was ADOPTED.
2:25:15 PM
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 5 (copy on
file):
Public Assistance
Public Assistance Field Services
H HSS 5 - Address Backlog of Public Assistance
Applications and Unmanageable Caseloads (FY 19 - FY
21)
Offered by Representative Gara
This amendment replaces the Governor's amendment GA 6
2/14 to add funding and 41 PFT to address the
department's application backlog, which has steadily
increased since FY 14. It now exceeds 20,000
applications from Alaskans for Public Assistance. This
temporary increment (FY 19 - FY 21) will remove the
funding from the base budget in FY 22 and allow the
legislature to evaluate the effectiveness of the
increment.
Testimony indicates new staff require close to a year
of training to independently process applications
properly. The current effort to use funds to pay
overtime to relatively low-paid state employees is
leading to a 40 percent burn-out rate for benefit
workers within the first year, which wastes state
money.
Representative Tilton OBJECTED for discussion.
Vice-Chair Gara relayed that Amendment H HSS 5 replaced a
governor's amended proposal in the governor's amended
budget. There was a substantial backlog in Public Benefits.
People were waiting an average of 40 days for food stamps
from the time they submitted their application. There was
an average wait time of 213 day to receive Medicaid. The
newer applications were being processed faster. Some of the
older applications were more than 3 years old. The long
waits were due, in part, to a computer system issue, and in
part, to a staffing issue. The department tried using
position funds for overtime pay for low paid workers making
Rage 12-14 salaries. The department found that these
workers burned out at exceptional rates. Roughly 35 percent
of these workers burned out within 1 year of employment.
Vice-Chair Gara continued that the department warned the
legislature in the previous year of the backlog and the
need to address it. The governor had submitted a proposal
for about $2.2 million in state funds to match $2.2 million
in federal funds to deal with the backlog into the future.
The subcommittee felt that unless the recession continued
the department could clear the backlog in 3 years based on
the testimony it heard. The subcommittee reduced the
governor's proposal to place the funding into the permanent
base and to put it in a 3-year temporary increment. The
department was hopeful it could reduce and eliminate the
bulk of the backlog within 3 years. Currently, over 15,000
applications for food stamps, medical care, or housing
benefits needed to be processed. He noted that the Public
Benefits section received about $6 million less than it
received in 2015. The division was not adequately funded to
be able to process the backlogged applications for food and
health care benefits.
2:28:05 PM
Representative Tilton relayed that the Division of Public
Assistance was authorized 287 eligibility technicians in
FY 18. Of those technicians, 89 positions had been vacant
over the prior 12 months. Currently, there were 44
positions vacant as of January 15, 2018. She had been told
by the department that there were 24 positions available in
the subcommittee process. The division had also been given
$500,000 to address their backlog in FY 18. They worked
8,874 hours of overtime that cost $348,000. The backlog was
declining before the use of overtime and was continuing to
decline with the status quo. She reported that of the
positions they had advertised, they only had 2 positions
advertised on Workplace Alaska and most of the positions
had been vacant for over 6 months.
Representative Tilton suggested that when the division did
its training it was done on a quarterly basis and could
take up to a year to fully train a person. Statistics
showed that the number of people applying for benefits was
starting to decline. She felt there was really no plan in
place to clear the backlog. She wanted to see a plan. The
money had been put forward without having a plan or
reducing the backlog. She thought it was like doing the
same thing over and over again and expecting different
results.
Vice-Chair Gara responded that the department asked for
transfer authority of $500,000 in the prior year that they
were not able to use. He relayed that the reason for the
vacant positions was because workers were burning out. The
number of Medicaid applications was going up and the
backlog was currently over 15,000. He reported that in the
prior year the number was 19,000 and the year before that
was 17,000. He argued that until there were enough people,
the 3-year increment would help get people the food and
health care they needed.
Representative Wilson asked how much of the backlog was due
to applications processed yearly. She wondered if it was
the renewal process or new applications that the state was
behind in processing.
Vice-Chair Gara answered that there was a backlog in both
renewal and new applications. It took about 40 days for
food stamps or the Supplemental Nutrition Assistance
Program (SNAP) applications to be processed. Income
eligibility verification had to be completed. New Medicaid
applications took an average of about 231 days. Someone
that walked in with a perfectly completed application would
get their application processed timelier. However, the
backlog was killing the department and keeping people from
receiving benefits. The renewal backlog for Medicaid was
about 65 days. For new and existing Medicaid applications
the timeframe was about 231 days. He reported that the
renewal applications for SNAP took about 43.4 days and the
existing and new applications took about 38.3 days to
process. He thought an impact could be made with renewal
every 2 years. However, there might be complaints about
people receiving benefits from two years prior who were no
longer eligible to receive them.
2:34:04 PM
Representative Wilson asked if applications for the Senior
Benefit Program contributed to the backlog. Vice-Chair Gara
responded that the Senior Benefit Program was not part of
the backlog. The backlog consisted of Adult Public
Assistance, Medicaid, Adult Temporary Assistance, and SNAP.
Co-Chair Seaton asked if the Senior Benefits Program had an
asset test and an income test. He asked if Snap, Medicaid,
and others had both an asset test and an income test.
Vice-Chair Gara responded that Senior Benefits did not have
an asset test. He was not sure if the others had an asset
test.
Representative Wilson was trying to figure out whether
things being more computerized was the problem. The
applicant had to provide proof. She wondered about time
saving measures with a computerized application. She
wondered if the computer problem had been solved.
Co-Chair Seaton commented that the committee was getting
into the weeds regarding how the agency worked.
Representative Wilson agreed but the issue had to do with
hiring 41 new people. She thought if the real problem had
to do with the computer system having an issue, it should
be addressed. She questioned being able to hire an
additional 41 people when 40 positions stood open. She
suggested the state would be looking to hire about 80
people. She wondered how adding more positions would solve
the problem. Co-Chair Seaton relayed that it was a
governor's amendment that was revised to be a temporary
allocation rather than part of the base.
Ms. O'Brien asked if Representative Wilson's question was
whether the department could process applications faster or
more efficiently through a computerized system rather than
through hard copy applications. Representative Wilson noted
there had been a comment made about a computer problem that
started the problems. If there was a computer problem, had
it been solved.
Ms. O'Brien responded that several different types of
programs were being addressed through the application
process. The Medicaid application, some of which could be
submitted electronically through the federally facilitated
market place, and the applications for the rest of the
programs could be received in paper form. Medicaid had a
different eligibility criterion depending on the type of
Medicaid a person was applying or eligible for. The amount
of work that went into determining eligibility did not only
require looking at what information was received, but also
required verification of its accuracy. There were
interviews that the division employees set up with
applicants. Often times applicants had to meet in person
with the eligibility workers. New workers were under
supervision with their work being verified and validated
outside the process in addition to the regular ongoing day-
to-day activities. The Medicaid computer system, Alaska's
Resource for Integrated Eligibility Services (ARIES), was
currently functional. She reported some difficulties in the
implementation of the system. The department employees were
working out of 2 separate systems including ARIES and the
Eligibility Information System (EIS) to manage the other
programs. Until the department was able to finish
developing the system, which was currently in the midst of
a procurement process, the department would continue to
work out of 2 systems. It was causing some of the extra
workload for staff.
Representative Tilton understood that some of the backlog
was for new applications, but for the most part they were
processed within about 7 days as long as all of the
requirements were met. She thought some of the backlog had
to do with incomplete applications. She asked how much of
the backlog fell into that category.
Ms. O'Brien thought the director of Public Assistance was
working on the data. She responded that about 54 percent of
applications received were rejected for eligibility of the
benefit. In addition to receiving the applications, not all
of the applicants ended up being recipients.
2:40:44 PM
Representative Tilton asked about the number of Alaskans
receiving Public Assistance. She thought the subcommittee
was told that the numbers had decreased. She had some
statistics showing the number of people receiving Public
Assistance in October 2017 was 225,134. In December 2017
the number decreased to 223,074, a decrease of 2,060 people
using Medicaid.
Ms. O'Brien responded that sometimes the point-in-time
information was deceiving. She relayed that the numbers
would change depending on where the department was at with
applications. The numbers would change due to the backlog.
Retroactive eligibility would change the numbers. She
thought that if Representative Tilton looked at the numbers
for December in the present day, they might look much
different because of the retroactivity. Also, she noted
that point-in-time information did not account for the
duplication of eligible persons. A person could be eligible
and then recertified and considered eligible again. Often
times when looking at point-in-time information, it might
skew how things were viewed. She thought looking at past
years or unduplicated information provided a better picture
of the total population being served.
Vice-Chair Gara had annual numbers from the department
indicated that Medicaid numbers were going up. The numbers
rose in 2016, 2017, 2018, and was projected to increase in
2019. He noted that when an economy was in recession there
would be more people on Medicaid. It was a measure of how
the economy was doing. In terms of the positions the
governor proposed, he suggested that the case loads would
return to the levels the eligibility workers had in 2015.
Representative Tilton MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Kawasaki, Ortiz, Gara, Guttenberg, Seaton,
Foster
OPPOSED: Pruitt, Thompson, Tilton, Wilson, Grenn
The MOTION to adopt H HSS 5 PASSED (6/5).
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 6 (copy on
file):
Public Assistance
Women, Infants and Children
H HSS 6 - Delete Excess Statutory Designated Program
Receipt and Federal Authority
Offered by Representative Gara
Delete excess receipt authority
There being NO OBJECTION, Amendment H HHS 6 was ADOPTED.
2:44:13 PM
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 7 (copy on
file):
Departmental Support Services
Commissioner's Office
H HSS 7 - Delete Dept-level Conditional Language
Allowing Transfer of $25 Million Between
Appropriations in HB 285 Offered by Representative
Gara
Wordage: Delete Department Level Conditional Wordage
in the Mental Health Budget HB 285:
"At the discretion of the Commissioner of the
Department of Health and Social Services, up to
$25,000,000 may be transferred between all
appropriations in the Department of Health and Social
Services."
Explanation: This language is already in the operating
budget, HB 286. To avoid any confusion that the
Department has $50 million ($25 million twice) in
authority to transfer between appropriations, the
subcommittee recommends deleting this duplicative
authority from the Mental Health Budget.
Representative Tilton OBJECTED for discussion.
Vice-Chair Gara relayed that DHSS was the largest
department in the state. When Sean Parnell was governor,
the legislature gave $50 million to the department to move
between the divisions. He explained that there were a
number of benefits that people were statutorily entitled
to. It was unknown in any year how many people would apply
for any one benefit. The amendment deleted $25 million of
the transfer authority that was in the mental health
budget. He thought the intention was that $25 million of
transfer authority. It showed up in both the mental health
budget and in the operating budget.
Representative Tilton WITHDREW her OBJECTION.
Representative Wilson OBJECTED.
Representative Wilson asked if it had to do with the $17
million Vice-Chair Gara was going to bring up in an
amendment. Vice-Chair Gara responded in the negative. He
clarified that the intention of the subcommittee was to
retain $25 million of transfer authority within the
operating budget, but not an additional $25 million of
transfer authority within the mental health budget. The
portion in the mental health budget was being deleted.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H HSS 7 was ADOPTED.
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 8 (copy on
file):
Departmental Support Services
Commissioner's Office
H HSS 8 - Reduce Excess Receipt Authority
Offered by Representative Gara
Wordage: It is the intent of the legislature that the
department review fund sources in all allocations and
reduce excess receipt authority where the department
believes the collection of receipts is not achievable.
Explanation: Reduce excess receipt authority.
Representative Wilson OBJECTED for discussion.
Vice-Chair Gara read the amendment (see above). The
department would be working on their review during the
interim.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H HSS 8 was ADOPTED.
Vice-Chair Gara MOVED to ADOPT Amendment H HSS 9 (copy on
file):
Medicaid Services
Behavioral Health Medicaid Services
H HSS 9 - One-Time Funding for Study on Improving
Alaska's Capacity to Treat Defendants with Acute
Mental Health Needs Offered by Representative Gara
Funds will match existing MHTAAR to conduct a study to
determine whether Alaska needs a forensic hospital or
facilities apart from API for forensic services.
Representative Wilson OBJECTED for discussion.
Vice-Chair Gara conveyed that the amendment involved
matching funds that the CEO of the Alaska Mental Health
Trust Authority was recommending to his board. The money
was Mental Health Trust Authority Authorized Receipts
(MHTARR) to match general fund money in the amount of
$159,000. The state was not adequately prepared to treat
people with psychiatric conditions. The Alaska Psychiatric
Institute was not large enough. There was one study being
conducted about how to expand API. However, the study did
not account for the people at API that were involved in
criminal issues - forensic patients. The study in the
amendment would look for capacity outside of API to move
the forensic patients separating them from patients that
had not committed crimes. The study would also address the
lack of spaces necessary for those needing services.
Co-Chair Seaton invited Mr. Teal to the table to explain
the amendment further.
2:49:32 PM
DAVID TEAL, DIRECTOR, LEGISLATIVE FINANCE DIVISION, relayed
that the subcommittee report contained Amendment H HSS 9
which added $159,000 of general funds mental health money
to the medical services appropriation. The intent of adding
the money was to match the $159,000 of GF mental health
money that was already in the appropriation to complete a
study. However, the MHTARR money in Medicaid services was
not intended for a study. It was intended for other
services. During the subcommittee hearings, the AMHTA CEO,
Mike Abbott, testified that he was supportive of using the
$159,000 for the study and expected the trustees would be
as well. He continued that the subcommittee or the
legislature was not getting out in front of the board,
rather, the board would not be meeting until after session
was adjourned. They could not formally agree but have
informally noted they supported the study. His problem was
that as a change was made from providing services to
performing a study, it meant that both allocations should
be moved from the Medicaid appropriation to the behavioral
health appropriation under the behavioral health
administration component. There was not an amendment moving
the money to the proper appropriation. It could be done in
the current amendment or in round two of the amendment
process. Either way, he opined that the money should be
placed where it belonged rather than where it currently
resided.
2:51:52 PM
AT EASE
2:52:18 PM
RECONVENED
Co-Chair Seaton asked Mr. Teal to explain what was needed.
Mr. Teal suggested that assuming the committee approved the
amendment and wanted the study performed, there was a
concern that the money was in the wrong place. If the
committee voted on the amendment and assuming it passed,
then the committee could either make a verbal amendment or
wait for round two to introduce a more formal amendment.
Representative Wilson suggested $159,000 was already in the
budget and was intended to help people. If the funding was
removed and inserted somewhere else, she wondered if there
would be a hole in the budget. Mr. Teal responded that it
would remove funding for other services.
Vice-Chair Gara noted that the AMHTA CEO relayed that the
$159,000 was originally going to be used for administration
but felt the funds would better serve their beneficiaries
by using them for a study on how to address people with
psychiatric conditions. The trust authority did not expect
a decline in services.
Co-Chair Seaton asked if Vice-Chair Gara wanted to make a
conceptual amendment to Amendment H HSS 9. He thought the
funds should be in behavioral health administration. Mr.
Teal agreed. However, the current amendment would only move
$159,000 of mental health monies. Both fund sources would
need to be moved to the behavioral health appropriation.
Co-Chair Seaton thought the amendment was complex. He
wanted to have the amendment withdrawn and offered with
correct language in the second round of amendments.
Vice-Chair Gara WITHDREW Amendment H HSS 9.
Vice-Chair Gara relayed that Amendment H HSS 10 had already
been adopted and there were no other amendments. He noted
that the only other thing that was not discussed was the
reduction of $17 million from the budget. He explained that
it was due to the senior benefit funds, nearly $19 million,
which had to be adopted by the Senate in a senior benefits
bill.
Representative Wilson thanked Vice-Chair Gara for the
information.
Representative Pruitt commented that the information was
important to be aware of. Once $19 million was added it
would reflect an increase to the budget. He clarified that
it would be an increase. Representative Wilson added, "Of
1.5 percent."
Co-Chair Seaton invited Representative Grenn to give the
subcommittee report for the Department of Law.
^DEPARTMENT OF LAW
2:57:23 PM
Representative Grenn read the subcommittee report:
Subcommittee Meetings:
The House Finance Budget Subcommittee for the
Department of Law held three meetings with the
Department during the review of the FY 19 budget
request.
Recommendations:
The House Finance Budget Subcommittee for the
Department of Law recommends that the House Finance
Committee accept the Governor's FY 19 amended budget
for the Department of Law and the subcommittee
amendment proposals.
The numbers-only budget with amendment recommendations
totals:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) $50,646.3
Designated General Funds (DGF) $2,870.2
Other Funds $31,309.2
Federal Funds $1,492.4
Total $86,318.1
The Unrestricted General Fund difference from the FY
15 Management Plan to the FY 19 House Subcommittee
budget recommendation is a reduction of $8,629.0, a
14.6 percent decrease. From the FY 18 Management Plan,
the House Subcommittee recommendation reflects a total
increase in Unrestricted General Funds of $1,486.7 a 3
percent increase.
Positions:
Permanent Full-time 501
Permanent Part-time 0
Temporary 0
Total 501
Representative Grenn relayed that the subcommittee made no
statutory recommendations and made two amendment
recommendations. He concluded his report for the Department
of Law.
2:59:01 PM
Representative Grenn MOVED to ADOPT Amendment H LAW 1 (copy
on file):
Criminal Division
Third Judicial District: Anchorage
H LAW 1 - Fully fund one prosecutor position added in
FY 18 (Position was partially funded in FY 18)
Offered by Representative Grenn
Due to budget cuts, the Department of Law's Criminal
division has had a decreased ability to prosecute
cases. There was an effort to add two prosecutors in
FY 18, this addition adds the funds needed to fully
support the addition of two prosecutors and the
support staff needed for the criminal division to
increase its ability to effectively prosecute more
cases.
Representative Pruitt OBJECTED for discussion.
Representative Grenn read the amendment (see above).
Representative Pruitt wanted to know the initial change
from the Governor's Amended budget to the FY 18 management
plan regarding the criminal division and the prosecutors.
Representative Grenn called on the department to testify.
He thought Representative Pruitt's question had to do with
the safety action plan that the governor was proposing
within the Department of Law.
DAN SPENCER, DIRECTOR, ADMINISTRATIVE SERVICES, DEPARTMENT
OF LAW, asked Representative Pruitt to clarify his
question.
Representative Pruitt repeated his question. He thought the
intent was to increase the number of prosecutors and staff.
He asked about the difference between the budget versions.
He wondered about the $81,000 and its impact.
Mr. Spencer provided some background information from the
budget process in the prior year. The House Finance
Committee adopted an increase of $325,000 to fund 2
additional prosecutors. It did not add additional
positions. The conference committee reduced the amount
under the assumption that the department could not fill
both positions for the entire year which was correct. The
amendment would restore the funding that had been cut by
the conference committee in the previous year. The
department was using existing positions, one of which had
already been filled. The department was currently in the
process of filling the second position which would be
filled and fully funding through FY 19.
Representative Wilson asked what the department did with
the extra money. It sounded like the department had funding
for 1.5 people. Mr. Spencer indicated the department was
trying to hire the position currently.
Representative Wilson asked about the short funding. She
suggested the department started with $325,000 which was
reduced by $81,000. The department was asking that the
$81,000 be restored. Mr. Spencer responded that the funding
was given in FY 18. The funding being requested would apply
in FY 19.
Representative Wilson suggested two positions were added in
the prior year but only one of them was filled. Mr. Spencer
relayed that no positions were added. The department was
using existing unfilled positions.
Co-Chair Seaton clarified that the positions were existing
and unfilled. Mr. Spenser responded, "That's correct." One
of the positions was coming from another division.
Representative Pruitt WITHDREW his OBJECTION.
Representative Wilson OBJECTED.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Ortiz, Pruitt, Thompson, Gara, Grenn, Guttenberg,
Kawasaki, Foster, Seaton
OPPOSED: Tilton, Wilson
The MOTION TO ADOPT Amendment H LAW 1 PASSED (9/2).
3:04:59 PM
Representative Grenn MOVED to ADOPT Amendment H LAW 2 (copy
on file):
Civil Division
Commercial and Fair Business
H LAW 2 - Increment to add one attorney to the Civil
Division, Commercial and Fair Business section.
Offered by Representative Grenn
This amendment adds one attorney position with $187.0
UGF funding to the Consumer Protections (CP) unit.
This unit, currently staffed with only two attorneys,
pursues violations of state consumer protection
statutes. Beyond protecting the public from illegal
actions, the unit recovers money from settlements and
other legal matters. An additional attorney will
increase the unit's ability to pursue consumer
protections and may even pay for itself as a result of
increased recoveries.
Representative Wilson OBJECTED for discussion.
Representative Grenn read the amendment (see above).
Representative Grenn reported that the amendment passed 5/2
in the subcommittee.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Thompson, Gara, Grenn, Guttenberg, Kawasaki,
Ortiz, Seaton, Foster
OPPOSED: Pruitt, Tilton, Wilson
The MOTION to adopt Amendment H LAW 2 PASSED (8/3).
Co-Chair Seaton conveyed that the committee would be taking
a 5-minute break.
3:07:18 PM
AT EASE
3:15:55 PM
RECONVENED
^DEPARTMENT OF MILITARY AND VETERANS AFFAIRS
3:16:00 PM
Representative Kawasaki read the subcommittee report:
The House Finance Budget Subcommittee for the
Department of Military and Veterans' Affairs held 4
meetings with the Department of Military and Veterans'
Affairs during the review of the FY19 budget request.
The House Finance Budget Subcommittee for the
Department of Military and Veterans' Affairs
recommends that the House Finance Committee accept the
Governor's FY19 Budget and 3 subcommittee amendment
proposals:
The numbers-only budget with amendment recommendations
totals:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) $16,653.6
Designated General Funds (DGF) 28.4
Other Funds 10,195.4
Federal Funds 30,691.5
Total $57,568.9
The Unrestricted General Fund difference from FY15
Management Plan to the FY19 House Subcommittee
Recommended budget is a reduction of $7,536.0, a
decrease of 31.2 percent.
The Unrestricted General Fund difference from FY18
Management Plan to the FY19 House Subcommittee
Recommended budget is an increase of $304.2, an
increase of 1.9 percent.
Positions:
Permanent Full-time 277
Permanent Part-time 2
Temporary 0
Total 279
The Governor did not submit any amendments for this
agency.
Representative Kawasaki concluded his report by thanking
the Department of Military and Veterans Affairs including,
Commissioner Laurie Hummel, Deputy Commissioner Bob Dole,
Brian Duffy, and Ron Clark. He also thanked Lacey Sanders
from the Legislative Finance Division.
Representative Wilson asked about the $304,000 increase
between FY 18 and FY 19. Representative Kawasaki responded
that there was a special assistant position within the
agency for $164,000. There were also positions that changed
because of the C-17 changes. There was maintenance money
added to the budget.
Representative Kawasaki MOVED to ADOPT Amendment H MVA 1
(copy on file):
Military and Veterans' Affairs
Office of the Commissioner
H MVA 1 - Decrement funding to Expand the Alaska State
Defense Force for Rural Engagement
Offered by Representative Kawasaki
This amendment deletes $210.9 UGF from the Governor's
FY 19 request for the expansion of the Alaska State
Defense Force. Because of the limited amount of
revenue for FY 19 and the state's uncertain fiscal
future, the legislature does not wish to use state
funds to expand the Alaska State Defense Force at this
time.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki reported that the committee had
seen the amendment several times in the prior 2 years. It
would expand the Alaska State Defense Force. During the
state's uncertain fiscal times the subcommittee felt it was
unwise to forward the amendment. It did not preclude the
Alaska State Defense Force from requesting funds in the
future. They would continue on with status quo funding. The
amendment passed 6/1 in the subcommittee.
Representative Wilson WITHDREW her OBJECTION.
Co-Chair Foster OBJECTED.
Co-Chair Foster supported the program.
Co-Chair Foster MAINTAINED his OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Wilson, Gara, Grenn, Guttenberg, Kawasaki,
Ortiz, Pruitt, Tilton, Seaton
OPPOSED: Foster
Representative Thompson was absent from the vote.
The MOTION to adopt Amendment H MVA 1 PASSED (9/1).
3:21:41 PM
AT EASE
3:22:37 PM
RECONVENED
Representative Kawasaki MOVED to ADOPT Amendment H MVA 2
(copy on file):
Military and Veterans' Affairs
Veterans' Services
H MVA 2 - Reduce UGF that is replaced by a Federal
Grant Offered by Representative Kawasaki
The Department of Military and Veterans' Affairs
received an increase to their federal State
Administrative Agency grant award to pay for a program
manager position and its associated costs. The
position was previously paid for with UGF and that
funding was maintained in the Veterans' Services base
budget. This amendment deletes $100.0 of UGF for the
costs that are now being covered through federal
grants.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki explained that during the testimony
and analysis on the budget the subcommittee found that DMVA
had received an increment to a state administrative agency
grant award in the amount of about $100,000 for a program
manager and associated costs including the 4-person office
of Veteran's Affairs. Since the department received an
agency grant increment, the subcommittee felt that the
undesignated general fund support could be removed. Since
that time, the subcommittees received additional detail
including the fact that the average veteran's service
officer workload was increasing about 3700 veterans per
year. The numbers were expected to increase further in the
following year. In addition, the grant increase only
covered the cost incurred for the federal fiscal year which
ended on September 30, 2018. Presently, he recommended that
members vote against Amendment H MVA 2.
Representative Wilson suggested that the grants for
veterans' service offices came from several different
agencies. She asked if the grant would only apply for the
next couple of months into the state's fiscal year.
Representative Kawasaki responded in the affirmative. The
amendment passed 4/3 in subcommittee. He reiterated his
opposition to the amendment.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: None
OPPOSED: Gara, Grenn, Guttenberg, Kawasaki, Ortiz, Pruitt,
Tilton, Wilson, Foster, Seaton
Representative Thompson was absent from the vote.
The MOTION to adopt Amendment H MVA 2 FAILED (0/10).
Representative Kawasaki MOVED to ADOPT Amendment H MVA 3
(copy on file):
Alaska Aerospace Corporation
H MVA 3 - Legislative Intent for Receiving a Options
for a Return of Investment for the Alaska Aerospace
Corporation Offered by Representative Kawasaki
Wordage: It is the intent of the legislature that the
Department of Military and Veterans' Affairs and the
Alaska Aerospace Corporation develop options to
realize a return from the State's investment in the
Alaska Aerospace Corporation and the associated State
assets. The Department of Military and Veterans'
Affairs shall submit a preliminary summary of the
options and any relevant statute revisions to the
House and Senate Finance Committees and to the
Legislative Finance Division by September 30, 2018 and
a final summary being submitted to the same committees
by December 1, 2018.
Explanation: The state is experiencing a fiscal crisis
and should begin to realize returns on its investment
in the Alaska Aerospace Corporation.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki explained that the amendment was
intent language for the Alaska Aerospace Corporation. The
language would request that the corporation develop options
to return state investment in the from of dividends or some
other sort of asset. The Department of Military and
Veterans Affairs mentioned that at a recent meeting the
Alaska Aerospace Development Corporation had started to
develop options and was moving towards the idea of
investments. Investments and future earnings would be
deposited into the general fund. He thought the amendment
was in line with what DMVA was already doing. The intent
language passed 6/1 in the subcommittee process.
Representative Wilson asked whether DMVA would keep track.
She also asked about a repayment figure. Representative
Kawasaki responded that the state had invested over $80
million from the inception of the Alaska Aerospace
Corporation. The figure included several general fund
increments added into the budget between 2010-2013.
3:27:09 PM
Representative Wilson asked how much had been paid back to-
date. Representative Kawasaki responded that they did not
have statutory authority to pay any dividends back. In the
previous session, the subcommittee had recommended that the
legislature create statutes to allow them to do so. The
board seemed to be pursuing the issue as a board mandate.
He thought they would require statutory changes in the end.
Representative Wilson asked if they could still pay back
the general fund without having to pay it in the form of
dividends. Representative Kawasaki thought the board was
currently discussing paying back into the general fund.
They would need further statutory changes. They would
submit statute revisions necessary for them to comply with
providing dividends similar to the Alaska Railroad
Corporation or other public corporations or entities in the
state.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, H MVA 3 was ADOPTED.
^DEPARTMENT OF NATURAL RESOURCES
3:28:51 PM
Representative Guttenberg read the report of the Department
of Natural Resources:
The House Finance Budget Subcommittee for the
Department of Natural Resources held ten meetings with
the department during the review of the FY19 budget
request.
The Chair of the House Finance Budget Subcommittee for
the Department of Natural Resources recommends that
the House Finance Committee accept the Department of
Natural Resources FY19 Amended Budget with further
amendment(s):
The budget with amendment totals:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) $57,683.3
Designated General Funds (DGF) $32,793.3
Other Funds $35,775.5
Federal Funds $16,644.3
Total $142,896.4
The Unrestricted General Fund difference from FY15
Management Plan to the FY19 House Subcommittee
Recommended budget is a reduction of $28.972 million,
a decrease of 33.4 percent.
Positions:
Permanent Full-time 625
Permanent Part-time 215
Temporary 62
Total 902
The Subcommittee discussed a variety of issues during
the meetings. Those that I have not put forward for
consideration by the House Finance Committee include,
but are not limited to:
1. An amendment proposal was discussed that would
have reduced funding for oil & Gas in the
allocation to match FY17 actual spending under
1108, adjusted for inflation of 2.2 percent.
2. An amendment proposal was viewed but not
discussed that would have increased Fire
Preparedness by $700,000 Funds to cover the
increased costs of aviation contracts for air
tankers and helicopters necessary to be prepared
to fight fires.
Representative Guttenberg MOVED to ADOPT Amendment GA 7
(copy on file):
Administration & Support Services
Office of Project Management & Permitting
GA 7 2/14 Alaska Geospatial Council
The Alaska Geospatial Council (AGC) was established
through a Memorandum of Agreement between six state
departments and the University of Alaska and endorsed
by Governor Walker in July 2015. Since that date,
additional members have been annexed to include
federal and local governments and Alaska Native
representation. The AGC is led by the Alaska
Department of Natural Resources, and its purpose is
to:
- Modernize Alaska's geospatial holdings and
infrastructure;
- Eliminate redundant expenditures and unnecessary
staff activity across all SOA business units;
- Foster data sharing while making geospatial data
broadly available, and;
- Implement the Alaska Geospatial Strategic Plan.
The Alaska Geospatial Council has been funded by a
capital project that will exhaust all funds by March
2019. This increment will allow the council and its
services to continue through the end of FY Senator 19.
If this program ends the state and the public will
lose access to a large amount of geospatial
information. This information is used by pilots for
updated elevation data (safety), updating flood plain
information (safety), marketing Alaska's resource, and
other governmental, recreational and industrial
applications.
This increment will primarily maintain access to
statewide satellite imagery, which is one of the seven
core data layers the AGC provides access to. During
the first five months of the current contract with
GeoNorth there have been an average of 2.5 million
digital data requests a month from 1,500 unique users
who downloaded an average of 127 GB of data per month.
This is a heavily used dataset and maintaining access
to it is crucial.
This increment will fund four months of the
coordinator's salary for the Alaska Geographic
Information Officer, the principal representative of
the Alaska Geospatial Council, and continue
contractual services for the distribution of satellite
imagery for the unfunded portion of FY 19.
As capital funds will run out halfway through FY 19,
an increment estimated to be $400.0 will be considered
to maintain these efforts in the FY 20 budget.
FY 19 Governor: $6,299.8
FY 19 Total Amendments: $100.0
FY 19 Total: $6,399.8
Representative Wilson OBJECTED for discussion.
Representative Guttenberg read the amendment (see above).
Representative Wilson asked about a user fee, being that
the area was heavily used. Representative Guttenberg
responded that the question was raised in committee. Anyone
had access to the information. It was not restricted. The
state was unaware of who was using it or how much was being
used. It was simply available to the public.
Representative Wilson asked if they could charge a user
fee. Representative Guttenberg deferred to the department.
3:34:31 PM
STEVE MASTERMAN, DIRECTOR, GEOLOGICAL AND GEOPHYSICAL
SURVEYS (via teleconference), responded that the division
was actively looking at the issue in discussions around
this increment with the Office of Management and Budget
(OMB). They asked DNR to begin the process of becoming a
revenue generating source of state government in some
fashion. The department was beginning the task of becoming
revenue generating. He thought they would be making
progress within the following couple of years.
Representative Wilson remarked that she hoped the
department could do it before the following year.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Grenn, Guttenberg, Kawasaki, Ortiz, Gara, Seaton,
Foster
OPPOSED: Pruitt, Tilton, Wilson
Representative Thompson was absent from the vote.
The MOTION to adopt Amendment GA 7 PASSED (7/3).
Representative Guttenberg MOVED to ADOPT Amendment H DNR 1
(copy on file):
Administration & Support Services
Office of Project Management & Permitting
H DNR 1 - Reduce Compensatory Mitigation Program
Offered by Representative Guttenberg
As of 2/15/18, the department had spent $26,136 of the
$200,000 appropriated in the FY 18 operating budget
for compensatory mitigation program in OPMP, leaving
an unspent amount of $173,864.
DNR estimates spending another $50,000 of the
appropriation before the end of FY 18 and acknowledges
that they do not need $200,000 for the compensatory
mitigation program in FY 19.
This amendment reduces the base budget amount from
$200,000 to $100,000.
Representative Wilson OBJECTED for discussion.
Representative Guttenberg presented the amendment (see
above).
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DNR 1 was ADOPTED.
3:37:07 PM
Representative Guttenberg MOVED to ADOPT Amendment H DNR 2
(copy on file):
Administration & Support Services
Mental Health Trust Lands Administration
H DNR 2 - Increase Mental Health Trust Land Office
Budget Offered by Representative Guttenberg
The Mental Health Trust requested a $355.2 increase to
the Land Office budget in FY 19 from the FY 18 level,
which was not included in the Governor's budget. This
amendment grants that increase, less $29.0 that was
for merit increases.
Representative Wilson OBJECTED for discussion.
Representative Guttenberg reviewed the amendment (see
above).
Co-Chair Seaton clarified that the legislature had tried to
reduce merit increases throughout the budget.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DNR 2 was ADOPTED.
Representative Guttenberg MOVED to ADOPT Amendment H DNR 3
(copy on file):
Fire Suppression, Land & Water Resources
Mining, Land & Water H DNR 3 - Restore Northern Region
Permits Position.
Offered by Representative Guttenberg
Add back $107.0 and 1 PFT position for Northern Region
Permits and Easements, which were deleted in the
Governor's budget. Retaining this position will reduce
the backlog of permits.
Representative Wilson OBJECTED for discussion.
Representative Guttenberg read the amendment (see above).
He had received emails from someone with a long-term lease
who had been paying year-to-year lease fees. They had tried
to purchase the property they were on. When the constituent
had contacted the department to facilitate the transfer
into the private sector, he was told that there were 100
people in the backlog. The position was part of the
operation that they were deleting within the department.
There was a backlog of people trying to obtain permits and
land transfers into private ownership. The subcommittee
thought that it was part of the state's core mission. The
amendment would restore a position being deleted.
Representative Wilson asked why the governor removed it.
3:40:33 PM
BRENT GOODRUM, DEPARTMENT OF NATURAL RESOURCES, DIVISION OF
MINING, LAND, AND WATER, ANCHORAGE (via teleconference),
responded that there were many difficult decisions to be
made. The division had considered eliminating this
particular position. He reported that there were over 100
permit and easement applications for the use of state lands
in the Northern regional office to be processed. The
reinstatement of the position would allow the division to
process 40 authorizations per year helping to grow the
economy. He anticipated positive results from the
reinstatement of the position.
Representative Wilson asked why the governor proposed the
position's deletion. She wondered if the position was
currently filled. Mr. Goodrum responded that the position
was currently vacant. It had been filled in the previous
fiscal year. He reported that it was a time in which many
difficult decisions had to be made. Representative
Guttenberg was offering a way to help maintain and continue
to reduce permit backlog.
Representative Wilson asked when the position was filled
last. Mr. Brent responded that it had been vacated about 8
months.
Representative Wilson assumed he was having a difficult
time filling the position. She asked why the position had
not been filled. Mr. Brent replied that agencies had to
manage vacancy backlog. The department's budget process
began in July and August and the position was being
considered for reduction. Until the budget process was
completed, it was not prudent to hire someone into a
position potentially being cut.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Guttenberg, Kawasaki, Ortiz, Gara, Grenn, Foster
Seaton
OPPOSED: Pruitt, Tilton, Wilson
Representative Thompson was absent from the vote.
The MOTION PASSED (7/3). Amendment H DNR 3 was ADOPTED.
3:44:45 PM
Representative Guttenberg MOVED to ADOPT Amendment H DNR 4
(copy on file):
Parks & Outdoor Recreation
Parks Management & Access
H DNR 4 - Add Grants Administrator for Pittman-
Robertson Fund (IncT FY19-21)
Offered by Representative Guttenberg
The amount of federal Pittman-Robertson funding has
increased significantly, and the Division of Parks and
Outdoor Recreation has become increasingly involved in
finding and administering eligible projects. This
amendment adds a non-permanent Grant Administrator I
position, to be funded with Vehicle Rental Tax
receipts and Pittman-Robertson funds (through the
Department of Fish and Game).
Representative Wilson OBJECTED for discussion.
Representative Guttenberg read the amendment (see above).
Co-Chair Seaton clarified that the grant administrator
position would coordinate between non-profits and
municipalities, entities that could potentially supply
match funding for federal receipts of a 3:1 match.
Representative Wilson asked about the internal agency (IA)
receipts from the Department of Fish and Game and whether
they were Pittman-Robertson funds or general fund dollars.
She also wondered why vehicle tax money was being used.
Representative Guttenberg deferred to the department about
specifics. He had asked if the funds were available, which
was confirmed.
Co-Chair Seaton clarified that it was a 3:1 match including
the administrative position. The position was paid with
one-quarter state funding and three-quarters federal
Pittman-Robertson funding.
3:47:33 PM
FABIENNE PETER-CONTESSE, DIRECTOR OF ADMINISTRATIVE SUPPORT
SERVICES, DEPARTMENT OF NATURAL RESOURCES, confirmed that
funding from DFG would consist of 75 percent Pittman-
Robertson funds and 25 percent vehicle rental tax receipts.
The vehicle rental tax receipts were determined to be the
appropriate match by the Legislative Finance Division
(LFD). She indicated Alexie Painter was in the room if
members had specific questions about the fund source.
Representative Wilson asked about rental cars as they
related to parks and recreation.
3:48:39 PM
ALEXEI PAINTER, ANALYST, LEGISLATIVE FINANCE DIVISION,
explained that vehicle rental taxes were currently spent in
multiple departments including the Department of
Transportation and Public Facilities (DOT), the Department
of Commerce, Community and Economic Development (DCCED),
and the Department of Natural Resources (DNR) in the
Division of Parks and Recreation. Historically, when there
had been increases in vehicle rental tax receipts including
in FY 17, the money would be distributed to all three
departments. There was concern that the increment was a
one-time increase in FY 17 and that it might not last.
Rather than distributing it, about $3 million remained
available for use. Funding the position was determined to
be a reasonable use of surplus funds.
Representative Wilson did not think it was a reasonable
idea to use the funds. The money was available, so it was
being used. Mr. Painter responded that the split between
the departments was not even. He could not explain the
methodology used to determine the split, a previous House
Finance Chairman designed the split. He believed the
statute designated the fund for tourism and other purposes.
He thought Representative Grenn was the expert because of
his pending legislation.
Representative Wilson asked if Mr. Painter was comfortable
with the time span of 3 years. Mr. Painter replied that
part of the increase was temporary. There were some
payments bundled into 1 year. It was expected that the
funds would not last. There was about $1.6 million
collected in FY 16 that was used in the capital budget.
That amount was likely sustainable going forward. He added
that $21,000 would not make a large dent in the fund.
Representative Wilson would be maintaining her objection.
She indicated that the position was a 3-year temporary
position, which she thought would be difficult to fill. She
was unsure about using vehicle tax money for the amendment.
She thought the position should be a permanent full-time
position.
Co-Chair Seaton added that the Pittman-Robertson funds had
to be used on hunter or wildlife viewing. He elaborated
that wildlife viewing would satisfy the tourism related
requirement necessary to use the vehicle tax funding. It
made sense because the state was anticipating 20 percent
more visitors in Alaska.
Representative Wilson asked how the state was paying the
person. The person would not be doing the viewing, they
would be writing a grant. As she understood, the IA
receipts including the Pittman-Robertson funds and the
vehicle tax. Co-Chair Seaton responded that it was not a
grant writer, but a grant administrator for the projects
that included trails and wildlife viewing. The position
would be eligible for a 75 percent federal match.
3:53:16 PM
Representative Pruitt understood that the original vehicle
rental tax was supposed to be used for tourism marketing.
He relayed that when the legislature increased the fees a
couple of years prior, the intent was to use the fees
collected for matching Pittman-Robertson funds. He thought
the amendment spoke to how the state's budget was difficult
to understand and track. Instead of the legislature using
the funds for the intended purposes, the amendment was
changing how the funds would be used. He wondered where the
receipts from licenses and tag fees were being spent.
Ms. Peter-Contesse responded that she could not speak for
the Department of Fish and Game budget. However, the fish
and game which benefited from the license increases had
sideboards that other types of match did not. For instance,
fish and game funds had to be used specifically for hunter
or angler access. The reason DNR was involved with the
issue was because if it could find other types of match not
related to fish and game, the department could expand the
use of Pittman-Robertson funds to things such as trail
access for wildlife viewing. The idea was to get access to
the 3:1 match instead of using specific fish and game
funds. The proposal was for DNR to work in concert with DFG
to maximize the use of federal dollars.
3:56:07 PM
Representative Pruitt asked if the legislature needed to
change statute in order to remove DFG fund sideboards which
would allow the department to use the funds for things the
state parks wanted such as wildlife viewing.
Ms. Peter-Contesse thought there was a federal requirement
in the Pittman-Robertson and Dingle-Johnson acts that
required a fish and game fund not to be used for anything
besides hunter and angler access. However, she was not an
expert on fish and game funds. She believed if the
legislature tried to change statute diverting those funds,
the state would risk losing Pittman-Robertson and Dingle-
Johnson funding.
Representative Pruitt commented that when he had directed
his questions to DFG they had not responded clearly. He was
confused about the sideboards and the use of Dingle-Johnson
funds. He suggested the state was using vehicle rental tax
receipts to match Dingle-Johnson funds. He asked why the
state was using tourism rental tax money for a purpose
other than what those monies were intended for. He thought
the legislature would need to provide answers to the
public.
Ms. Peter-Contesse responded that in order to have a
Pittman-Robertson program through the federal government,
there had to be a fish and game fund that could not be used
outside of hunter access. There were certain other
sideboards which DFG could speak to. If Pittman-Robertson
funds were matched with general funds or vehicle rental tax
funds (any funds outside of fish and game funds), it would
expand the use of those Pittman-Robertson funds. In other
words, the funds could be used for a broader scope of
projects. Whether or not the match came from vehicle tax
receipts, the amendment would allow DNR to work in
collaboration with DFG, to look for non-profits, and match
opportunities for some of the available dollars. She
relayed that DFG would likely be focused on using their
fish and game funds to match the federal government funds.
Mr. Painter added that there was insufficient DFG revenues
to match all of the Pittman-Robertson monies that were
coming in. The amount of the increase in Pittman-Robertson
funds over the past several years had been so great that
the state had actually reverted some of those funds.
Finding additional sources of match would allow the
legislature to expend more of the funds. The intention was
not to displace fish and game funds, it was to supplement
them. The state could not completely match all of the
Pittman-Robertson funds using just the fish and game fund
without draining the fund completely.
Representative Pruitt remarked that it took LFD to finally
properly address his question.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Kawasaki, Ortiz, Gara, Guttenberg, Seaton, Foster
OPPOSED: Pruitt, Tilton, Wilson, Grenn
Representative Thompson was absent from the vote.
The MOTION to adopt Amendment H DNR 4 PASSED (6/4).
^DEPARTMENT OF PUBLIC SAFETY
4:02:22 PM
Representative Kawasaki read the subcommittee report for
the Department of Public Safety:
The House Finance Budget Subcommittee for the
Department of Public Safety held five meetings with
the Department during the review of the FY19 budget
request.
The House Finance Budget Subcommittee for the
Department of Public Safety recommends that the House
Finance Committee accept the Department of Public
Safety's FY19 budget with the following amendment
recommendations.
The numbers-only budget with amendment recommendations
totals:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) $161,792.7
Designated General Funds (DGF) 8,282.4
Other Funds 11,217.0
Federal Funds 16,487.6
Total $197,779.7
The Unrestricted General Fund difference from FY15
Management Plan to the FY19 House Subcommittee
Recommended budget is a reduction of $9,617.9, a
decrease of 5.6 percent.
The Unrestricted General Fund difference from FY18
Management Plan to the FY19 House Subcommittee
Recommended budget is an increase of $2,243.5, an
increase of 1.4 percent.
Positions:
Permanent Full-time 804
Permanent Part-time 18
Temporary 11
Total 833
The Governor did not submit any amendments for this
agency.
The subcommittee discussed a variety of issues during
the meetings, including one amendment proposal the
subcommittee failed to pass:
1. An amendment proposal was discussed that would
have deleted $1,000.0 UGF from the Grants, Benefits
line of the Village Public Safety Officer Program. The
subcommittee voted down this proposal 2 yeas to 8
nays.
The Department voiced concern that while approximately
$2,300.0 UGF of unexpended VPSO funds in FY2017 lapsed
back to the General Fund, having funds available to
hire unfilled positions is still necessary. (Members
were reminded the FY2018 Enacted budget included
intent language that any unexpended VPSO funds would
lapse back to the General Fund.) The Department said
approximately half of the requests to expend funds
were accepted from VPSO contractors.
Some subcommittee members noted that the VPSO Program
lacks resources, filled positions and could use
funding to help recruit. A member voiced optimism that
if the funds are left available for the Department and
VPSO contractors, they can hire more VPSOs.
A member felt that funds were left unexpended because
of the overly restrictive environment of distributing
the funds from DPS to VPSO contractors. Another member
voiced concern that any failure in the program is not
just because of funds. This discussion lent itself to
the subsequent statutory recommendation to revisit the
VPSO statutes.
The following statutory recommendations are shared
with the House Finance Committee. These
recommendations will be submitted to the relevant
policy committees for consideration.
1. House State Affairs Committee Amend AS
18.70.080 to authorize the Commissioner of Public
Safety to establish by regulation a schedule of
reasonable fees for services provided by the
Department of Public Safety under AS 18.70.050. The
fee established for a service may not exceed the
actual cost of providing the service. The commissioner
may define or establish the "actual cost of providing
a service" by regulation. The Department of Public
Safety shall charge and collect the fees established
under this subsection. The department may waive
collection of a fee upon a finding that collection is
not economically feasible or in the public interest.
As heard in subcommittee on February 6, the Division
of Fire & Life Safety cannot charge fees for regular
building inspections only for plan reviews, as
authorized under AS 18.70.080(b). Currently, the
Designated General Funds are raised by charging for
plan reviews, but the funds are used for conducting
regular building inspections.
The Department stated that because of the current lack
of authority to charge fees for regular inspections,
the Division is unlikely to raise the additional
$125.0 of GF/Program Receipts (DGF) requested in the
Governor's FY19 budget.
By giving the Department authority to charge fees for
regular inspections, with a waiver available to
entities such as nonprofits or childcare facilities
that cannot bear the cost of an inspection fee, the
Division of Fire & Life Safety may be better able to
recoup some of the cost of regular inspections.
In subcommittee on February 20, the House State
Affairs Committee Chair expressed interest in
introducing this proposal, which was agreed upon with
the House Community & Regional Affairs Committee
Chair.
2. House Community & Regional Affairs Committee In
coordination with Village Public Safety Officer
Program grantees and the Department of Public Safety,
the subcommittee recommends the Legislature revisits
the VPSO Program statutes, AS 18.65.670, to enhance
the mission of the VPSO Program to preserve public
peace, protect life and property in rural villages.
The VPSO Program statutes have not been updated in
nearly 40 years, except to authorize firearms for
Village Public Safety Officers. Over the years, the
legislature has provided direction to the Department
of Public Safety through budget intent language.
Revisiting the statutory language may not only improve
communication between the Legislature, Department of
Public Safety and the VPSO Grantees, but also enhance
the function of this vitally important public service
in rural communities.
Representative Kawasaki reported that both statutory
language amendments were received without any objections.
The governor did not submit any amendments for DPS. He
thanked DPS including Commissioner Monegan, Kelly Howell,
and Allison Hanzawa. He also thanked Amanda Ryder from LFD.
Representative Kawasaki MOVED to ADOPT Amendment H DPS 1
(copy on file):
Alaska State Troopers
Alaska Bureau of Highway Patrol
H DPS 1 - Dec to Align FY19 Budgeted
Consulting Services and Software Funding with FY 16
and FY 17 Actual Expenditures
Offered by Representative Kawasaki
Actual expenditures in the Services line item for
Consulting Services and Software were $21.3 in FY 16
and $3.6 in FY 17. This amendment reduces this
allocation by $100.0 to an FY 19 budget request level
of $44.2 which exceeds expenditures that occurred in
FY 16 and FY 17.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki reported that the amendment was
offered by Representative Wilson and dealt with actual
expenditures used for consulting services in a previous
year. The department stated on record that they did not
have a problem with the amendment. The amendment was passed
without objection.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DPS 1 was ADOPTED.
4:07:48 PM
Representative Kawasaki MOVED to ADOPT Amendment H DPS 2
(copy on file):
Alaska State Troopers
Prisoner Transportation
H DPS 2 - Decrement Funding to Reflect Downward Trend
in Actual Expenditures Between FY 13 and FY 17
Offered by Representative Kawasaki
Between FY 13 and FY 17, actual expenditures decreased
by 41 percent (from $3.1 million to $1.8 million).
Given the trend, the FY 18 budget and the FY 19
Governor's Request appear to be overfunded. This
amendment removes "excess" funding in this allocation.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki reported that the amendment came
from the fiscal analyst that found that actual expenditures
for prisoner transportation had decreased between FY 13 and
FY 17. The average savings from year-to-year was between
$400,000 and $500,000. The amendment was a decrement of
$400,000 in what was perceived to be excess funding for the
allocation. It passed 8:1 in the subcommittee.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DPS 2 was ADOPTED.
Representative Kawasaki MOVED to ADOPT Amendment H DPS 3, H
DPS 4, H DPS 5, H DPS 6, and H DPS 7 (copies on file):
H DPS 3:
Alaska State Troopers
Alaska State Trooper Detachments
H DPS 3 - Transfer Funding from AST Detachments to
VPSO Program to Increase VPSO Travel Linked to H DPS 6
- Transfer Funding from AST Detachments to VPSO
Program to Increase VPSO Travel TrIn 345860
Offered by Representative Kawasaki
The Governor's FY19 budget increases AST Detachment
travel by $2 million UGF to improve law enforcement
access to rural communities. This amendment
appropriates a portion ($585.0) of the request to the
Village Public Safety
Officer Program to increase VPSO travel to rural
communities. The 585.0 amount reflects the actual
expenditure for total grantee travel in FY17.
H DPS 4:
Alaska State Troopers
Alaska State Trooper Detachments
H DPS 4 - Align AST Travel Line with FY14-FY17 Average
Actual Travel Expenditures
Offered by Representative Kawasaki
The Governor's proposed FY19 request in the travel
line is $3,376.2, an increase of $2,000.0 from FY18.
Between FY14 and FY17, the average actual expenditures
were $2,018.0 for AST Detachments.
To meet the need for increased AST presence in rural
areas of the state while balancing the continued
constraints on expenditures, this amendment aligns the
Governor's requested travel increment with the 4-year
average (FY14-FY17) of actual travel expenditures.
Although this decrement removes $773.2 UGF from the
Governor's FY19 request, if approved, the AST
Detachment's travel line will still increase by $641.8
UGF from FY18
H DPS 5:
Alaska State Troopers
Alaska State Trooper Detachments
H DPS 5 - AST Detachments Wordage Requiring Travel
Expenditures of $641.8 to Rural Communities
Offered by Representative Kawasaki
Wordage: Of the amount appropriated in this
allocation, $641,800 must be expended in the travel
line to improve law enforcement access to rural
communities.
Explanation: The amount reflected in the wordage
requires that the FY19 increase in the travel line be
expended for AST travel to rural communities.
H DPS 6:
Village Public Safety Officer Program
H DPS 6 - Transfer Funding from AST Detachments to
VPSO Program to Increase VPSO Travel Linked to H DPS 3
- Transfer Funding from AST Detachments to VPSO
Program to Increase VPSO Travel TrOut 345859
Offered by Representative Kawasaki
The Governor's FY19 budget increases AST Detachment
travel by $2 million UGF to improve law enforcement
access to rural communities. This amendment
appropriates a portion ($585.0) of the request to the
Village Public Safety Officer Program to increase VPSO
travel to rural communities. The 585.0 amount reflects
the actual expenditure for total grantee travel in
FY17.
H DPS 7:
Village Public Safety Officer Program
H DPS 7 - VPSO Intent that $585.0 be used for Travel
to Rural Communities
Offered by Representative Kawasaki
Wordage: It is the intent of the legislature the
amount of $585,000 be provided to VPSO grantees for
the purpose of travel to rural communities. It is also
the intent of the legislature the Department support
VPSO contractors' efforts to provide public safety
services to the maximum geographic area surrounding
their duty station.
Explanation: The provision of public safety in remote
rural Alaska comes with challenges related to
distance. Intending the amount of $585,000 for VPSO
contractors to be expended for VPSOs to cover the
maximum geographic area practicable clarifies that
some VPSO expenditures will be used be for fuel and
travel. VPSO rovers and travel from village to village
provides a significantly broader reach for the
Department.
Representative Kawasaki relayed that these amendments were
all related to an amendment that was passed in
subcommittee.
Representative Wilson OBJECTED for discussion on the
combined amendments.
Representative Kawasaki explained that the amendments were
funds transferred in and transferred out for the Village
Public Safety Officer Program (VPSO), the Alaska State
Trooper (AST) travel line for detachments, and intent
language to ensure that the VPSO funding that was included
as part of the travel decrement remained with the VPSO
program for travel. His explanation applied to all 4
amendments. In his research he found that part of the
governor's Public Safety Action Plan was to increase travel
to improve law enforcement access to rural communities. The
governor requested $2 million. He had reviewed the history.
He reported that in the previous couple of years the AST
detachment allocation travel line was $1.9 million in FY 13
and $2.6 million in FY 14, and $2.2 million in FY 15. $1.5
million in FY 16, and $1.8 million in FY 17. In the prior
year the actual was $1.376 million. The governor's request
of the $2 million increment would have put the amount up to
$3.376 million, a historical high. He commented that the
percentage of travel in the overall budget for AST
detachment was typically between 3.27 percent in FY 09
actuals and 3.62 percent in FY 14 actuals. If the
legislature were to accept the entire $2 million for AST
travel in the detachment section, the percentage would
increase to 4.6. Instead, the subcommittee decided to
advance $641,000 to significantly increase the travel
amount.
Representative Kawasaki continued that the second part of
the amendment dealt with moving $585,000 to the VPSO grants
and benefits line. The subcommittee included language for
the VPSO program to be able use the money for
transportation to remote villages. There was a decrement of
about $773,000. The Alaska State Troopers would receive
$642,00 of the $2 million for detachment traveling.
4:12:21 PM
Representative Ortiz asked for the net impact of the
decrements and increments. Representative Kawasaki
responded that the governor in the Public Safety Action
Plan had requested $2 million to improve rural law
enforcement which appeared in the AST detachments line for
travel. The subcommittee allocated $642,000 of the $2
million request. It also allocated $585,000 to the VPSO
budget with the anticipation that the money would be used
for travel to remote Alaska. Finally, the subcommittee
removed $773,000 from the original $2 million request.
Representative Wilson wanted to verify the amendments being
discussed. Representative Kawasaki replied that he was
discussing Amendments H DPS 3 through H DPS 7. The reason
why it looked odd was because there had to be money
transferred in and money transferred out as well as intent
language.
Representative Wilson WITHDREW her OBJECTION.
Co-Chair Foster OBJECTED.
Co-Chair Foster was objecting because people in rural
Alaska always wanted to see public safety was strengthened
to the greatest extent possible. He supported the full
funding of the governor's request.
Co-Chair Foster MAINTAINED his OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Pruitt, Tilton, Wilson, Grenn, Kawasaki, Ortiz,
Seaton
OPPOSED: Gara, Guttenberg, Foster
Representative Thompson was absent from the vote.
The MOTION to adopt Amendments H DPS 3, H DPS 4, H DPS 5, H
DPS 6, and H DPS 7 PASSED (7/3).
Representative Kawasaki MOVED to ADOPT Amendment H DPS 8
(copy on file):
Village Public Safety Officer Program
H DPS 8 - Maintain VPSO Rural Firefighter Specialist
Training in Sitka
Offered by Representative Kawasaki
Wordage: It is the intent of the legislature that the
VPSO Rural Firefighter Specialist Training remain in
Sitka.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki explained the amendment contained
intent language stating that the VPSO rural firefighter
specialist training would remain in Sitka. There was
intense debate over the hour spent in subcommittee on this
one language amendment. He reported receiving further
information from the department and a memo that just
reached people's desk in the current day regarding cost
comparisons in shifting the firefighter training and
Emergency Trauma Technician (ETT) training from Sitka to
Palmer.
Co-Chair Seaton asked Representative Kawasaki to summarize
the memo since members did not have it in their packets.
Representative Kawasaki reported that the previous year's
actuals to train 10 VPSOs at the firefighter training and
12 VPSO at the ETT training in Sitka cost the state
$52,722. The total cost to train 13 VPSOs in both trainings
in Palmer was estimated to be $56,862. The subcommittee
concluded that there was not a savings or a major cost
difference. However, having it in Sitka was beneficial
because the fire department in Sitka volunteered training
services.
Representative Pruitt asked if transportation costs were
included. He also asked the length of the training.
4:18:46 PM
KELLY HOWELL, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF PUBLIC SAFETY, answered that the
Rural Fire Protection Specialist Training in Sitka was
2 weeks long.
Representative Pruitt asked about the cost per day and
whether it included transportation. Ms. Howell had just
received the information while sitting in committee. She
had not had a chance to review it. She believed that it
included the cost of travel for instructors to Sitka. The
travel to get VPSO to the training had already occurred
because the two-week Rural Fire Protection Specialist
Training was added onto the basic law enforcement training
that they attend.
Representative Wilson wanted to hear from the commissioner
about why DPS thought it was more beneficial to have the
training in Palmer. He had indicated in subcommittee that
it was not just about money, but about the relationship
between rural firefighters and VPSOs.
4:20:35 PM
WALT MONEGAN, COMMISSIONER, DEPARTMENT OF PUBLIC SAFETY,
conveyed that the department felt there was a value to
bringing the training to Palmer. The department brought in
rural firefighters from outlying areas. They got to work
side-by-side with VPSOs in the training in Palmer, unlike
when the VPSOs received their training in Sitka. The value
was learning, understanding, and working in a cooperative
manner and developing relationships.
Representative Wilson responded that the money was almost a
wash because the VPSOs were already at the location,
although they would fly out of Anchorage. She thought it
was important in developing relationships to do so in a
non-emergent situation. She suggested that she was not
looking to move the program away from Sitka, just the two-
week training because other people would be going to Palmer
for training. She thought relationship building was
important and could only be obtained in Palmer.
Co-Chair Seaton asked for the vote in subcommittee.
Representative Kawasaki reported that the subcommittee vote
was 5/4.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Gara, Guttenberg, Kawasaki, Ortiz, Foster, Seaton
OPPOSED: Tilton, Wilson, Grenn, Pruitt
Representative Thompson was absent from the vote.
The MOTION to adopt H DPS 8 PASSED (6/4).
Representative Kawasaki MOVED to ADOPT Amendment H DPS 9
(copy on file):
Village Public Safety Officer Program
H DPS 9 - Disperse funding for VPSO Program to grant
recipients
Offered by Representative Kawasaki
Wordage: It is the intent of the legislature that the
Department disperse funding meant for the VPSO Program
to VPSO grant recipients. VPSO grantees are encouraged
to use the funding for recruitment and retention of
VPSOs, however they may use the funds for other
purposes within their mission, such as operational
costs to better utilize filled positions or housing
multiple VPSOs in a single community, if judged to be
more beneficial to public safety.
Explanation: The VPSO program is vital to rural
communities. This program should be fully funded and
the efforts to meet recruitment and retention goals
should be supported.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki explained that the amendment
contained intent language dealing with the VPSO program and
that the department should disperse the funding meant for
the VPSO program to grant recipients. The subcommittee
heard that in the following year the program anticipated $1
million back from the VPSO program. The discussion had been
that there were several requests that had been denied over
the prior year. The amendment passed 8/1 in subcommittee.
Representative Wilson commented that the department was
carefully looking after the money. The way the amendment
was written it appeared the VPSO program was doing
something wrong. However, she opined that it was not. She
thought the amendment clarified how the money would be
spent.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DPS 9 was ADOPTED.
4:24:45 PM
Representative Kawasaki MOVED to ADOPT Amendment H DPS 10
(copy on file):
Statewide Support
Commissioner's Office
H DPS 10 - Dec to Align the FY19 Budget for Printing
Charges & Training Materials with FY16 and FY17 Actual
Expenditures
Offered by Representative Kawasaki
Actual expenditures in the Services line item for
Other Services (printing charges for training
materials) were $10.0 in FY 16 and $32.0 in FY 17.
This amendment reduces this allocation by $100.0 to an
FY 19 budget request of $75.0 which is twice the
amount of FY 2017 actual expenditures
Representative Wilson OBJECTED for discussion.
Representative Kawasaki explained that the amendment was
offered by Representative Wilson in the subcommittee
process. She had scrubbed the budget and found that actual
expenditures in the service line item for other services
printing charges. She requested an average time period and
asked to reduce the item by $100,000. There was no
objection from the department, and the amendment was passed
without objection by the subcommittee.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DPS 10 was ADOPTED.
Representative Kawasaki MOVED to ADOPT Amendment H DPS 11,
H DPS 12, and H DPS 13 (copies on file):
H DPS 11:
Statewide Support
Alaska Wing Civil Air Patrol
H DPS 11 - Alaska Wing Civil Air Patrol Decrement
(Replaced with IncOTI)
Offered by Representative Kawasaki
Although the increment provides two-thirds the level
of funding in FY19 that the Governor requested, this
amendment adds intent language that the Alaska Wing
Civil Air Patrol find non-state funding sources to
support its operations. In anticipation of support
from non-state funding sources in FY20, the one-time
increment will remove all UGF funding from the base
budget in FY20.
H DPS 12:
H DPS 12 - Replace 2/3 of FY19 Funding Request with
IncOTI (Non-State Funding Should Be Used in FY20)
Offered by Representative Kawasaki
Although the increment provides two-thirds the level
of funding in FY19 that the Governor requested, this
amendment adds intent language that the Alaska
H DPS 13:
H DPS 13 - AK Civil Air Patrol Intent to Actively
Search for Non-State Funding
Offered by Representative Kawasaki
Wordage: It is the intent of the legislature that the
Alaska Wing Civil Air Patrol actively search for non-
state funding to support its operations.
Explanation: Although the increment provides two-
thirds the level of funding in FY19 that the Governor
requested, this amendment adds intent language that
the Alaska Wing Civil Air Patrol to find non-state
funding sources to support its operations. In
anticipation of support from non-state funding sources
in FY20, the one-time increment will remove all UGF
funding from the base budget in FY20.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki reviewed the amendments. He
reported that the amendments were offered from the member
from Sitka. In researching the amendments, he found that
very few funds were non-state funding sources. He wanted to
light a fire under the Alaska wing of the Civil Air Patrol
to find other sources of revenue. The amendment that passed
8/1 reduced the amount of state support for the Alaska
Civil Air Patrol in a one-time increment. Hopefully they
would be able to find some funds outside of state funding
sources.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendments H DPS 11, H DPS 12,
and H DPS 13 were ADOPTED.
4:27:15 PM
Representative Kawasaki MOVED to ADOPT Amendment H DPS 14
and H DPS 15 (copies on file):
Statewide Support
Criminal Justice Information Systems Program
H DPS 14 - Add Temporary Funding for 3 PFT Positions
for NIBRS Data Entry (FY19-FY21)
Offered by Representative Kawasaki
The department requested $595.0 and 6 PFT positions
for a new unit to review law enforcement case reports
in the Alaska Records Management System (ARMS) for
completeness, and work to ensure that data can be used
for enhanced crime statistical reporting by all ARMS
users. The data will be reported in the National
Incident Based Reporting System (NIBRS) format which
will allow for more timely and robust crime
statistical information for better agency-to-agency
and state-to-state crime statistics reporting.
While the subcommittee recognizes that creating new
systems is labor intensive, adding six new positions
to the base budget with no further scrutiny did not
seem to be prudent.
This amendment adds the funding level and positions
requested by the Governor, however, the funding and
positions will be removed from the FY22 budget unless
the department provides justification for continued
funding.
H DPS 15 - Replace Base Funding for 3PFT NIBRS Data
Entry Positions with IncT Funding
Offered by Representative Kawasaki
The department requested $595.0 and 6 PFT positions
for a new unit to review law enforcement case reports
in the Alaska Records Management System (ARMS) for
completeness, and work to ensure that data can be used
for enhanced crime statistical reporting by all ARMS
users. The data will be reported in the National
Incident Based Reporting System (NIBRS) format which
will allow for more timely and robust crime
statistical information for better agency-to-agency
and state-to-state crime statistics reporting.
While the subcommittee recognizes that creating new
systems is labor intensive, adding six new positions
to the base budget with no further scrutiny did not
seem to be prudent.
This amendment adds the funding level and positions
requested by the Governor, however, the funding and
positions will be removed from the FY22 budget unless
the department provides justification for continued
funding.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki explained both amendments.
Representative Wilson was concerned with adding people to a
system that they had not started yet. She thought it was
premature. Representative Kawasaki countered that there had
been some discussion in committee on the topic, which
resulted in the number of positions being reduced from 6 to
3. The reason why he thought the positions were necessary
was to get things up and running. Currently, the department
was using 4 permanent full-time positions to help in
getting the records system updated to the point that it
could be consolidated into the new national incident-based
reporting system, necessary in 2021.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Gara, Grenn, Guttenberg, Kawasaki, Ortiz, Seaton,
Foster
OPPOSED: Tilton, Wilson, Pruitt
Representative Thompson was absent from the vote.
The MOTION PASSED (7/3). Amendments H DPS 14 and H DPS 15
were ADOPTED.
4:30:48 PM
Representative Kawasaki MOVED to ADOPT Amendment H DPS 16
(copy on file):
Statewide Support
Laboratory Services
H DPS 16 - Intent that the Crime Lab Actively Seek
Rental Arrangements from Federal, Municipal and other
State Agencies
Offered by Representative Kawasaki
Wordage: It is the intent of the legislature that the
Department of Public Safety actively seek arrangements
to rent space in the Alaska Scientific Crime Detection
Laboratory to municipalities, federal agencies, and
other state agencies.
Explanation: The Alaska Scientific Crime Detection
Laboratory was designed to handle capacity beyond the
laboratory's current needs. This amendment directs the
Department of Public Safety to actively seek
municipalities, federal agencies, and other state
agencies to rent the underutilized space to the
highest cost benefit ratio possible, so that the
laboratory operates in a more cost-effective manner.
Representative Wilson OBJECTED for discussion.
Representative Kawasaki read from the amendment (see
above). He reported that the amendment passed without
objection in the subcommittee process.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H DPS 16 was ADOPTED.
^DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES
4:32:01 PM
Co-Chair Foster read the subcommittee report for the
Department of Transportation and Public Facilities:
The House Finance Budget Subcommittee for the
Department of Transportation and Public Facilities
held 5 meetings with the Department of Transportation
and Public Facilities during the review of the FY19
budget request.
The Chair of the House Finance Budget Subcommittee for
the Department of Transportation submits a recommended
operating budget for FY2019 to the House Finance
Committee as follows:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) $178,621.5
Designated General Funds (DGF) $97,972.1
Other Funds $306,846.7
Federal Funds $2,118.2
Total $585,558.5
The Unrestricted General Fund (UGF) difference from
the FY2015 Management Plan to the FY2019 House
Subcommittee budget recommendation is a reduction of
$99,983.1, a 35.9 percent decrease.
Positions:
Permanent Full-time 2,912
Permanent Part-time 337
Temporary 130
Total 3,379
There were no Governor amendments for the Department
of Transportation and Public Facilities.
The House Finance Subcommittee for the Department of
Transportation and Public Facilities recommends
funding the Alaska Marine Highway System (AMHS) at a
level that provides predictability and stability in
their service levels.
1. In addition to the Governor's request; the Alaska
Marine Highway Fund should be capitalized with $35
million.
a. This funding should be available for the AMHS peak
performance months of May through September;
b. Ensuring funding through peak performance months
provides reliable scheduling, resulting in increased
ridership and therefore increased cost recovery.
4:36:12 PM
Co-Chair Foster MOVED to ADOPT Amendment H DOT 1 and
H DOT 2 (copied on file):
H DOT 1:
Highways, Aviation and Facilities Southcoast Region
Highways and Aviation
H DOT 1 - Add Base Increment Transferring Adak Airport
Operating Costs from Capital to Operating Budget
Offered by Representative Foster
If Alaska is to continue operating the Adak airport,
necessary funds need to be included in the operating
budget. There is $52.0 remaining of the investment
earnings on the original $10 million as a one-time
increment.
H DOT 2:
H DOT 2 - Add One-time Increment Transferring Adak
Airport Operating Costs from Capital to Operating
Budget
Offered by Representative Foster
If Alaska is to continue operating the Adak airport,
necessary funds need to be included in the operating
budget. There is $52.0 remaining of the investment
earnings on the original $10 million.
Representative Wilson OBJECTED for discussion.
Co-Chair Foster explained that both amendments added
increments transferring Adak Airport costs to the operating
budget. The first amendment was an increment of $690,000 in
UGF, fund source 1004 UGF. The second amendment was a
one-time increment of $52,000 for federal funds, with a
fund source of 1190 Adak Air. The two amendments moved the
operational costs of Adak Airport into the operating
budget. Prior, all operational costs for the airport at
Adak have been in the capital budget. The increment of
$52,000 was the remaining total of the investment earnings
of the original $10 million that Alaska had received when
the US Navy withdrew from the Adak Airport. The state had
slowly used up the available funds and would exhaust the
account in the current year. Therefore, the Adak Airport
needed to be moved from the capital budget to the operating
budget like all the other rural airports throughout Alaska.
Representative Wilson asked if the state received any
federal funding for the Adak Airport or if landing fees
were paid by users. Co-Chair Foster responded that he was
not aware of any.
4:38:22 PM
AMANDA HOLLAND, ACTING DEPUTY COMMISSIONER, DEPARTMENT OF
TRANSPORTATION AND PUBLIC FACILITIES, answered that the
Adak Airport had been funded through receipts from the US
Department of Defense. The state's rural airport system had
some funding outside of UGF. There were some rural airport
leasing receipt monies.
Representative Wilson asked who used the airport. Ms.
Holland replied that the airport was used by residents,
Alaskans, and tourist. It was a popular stop for hunters.
There were also some commercial businesses using the
airport. Co-Chair Foster added that there were no landing
fees and the population was about 200 people.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Gara, Grenn, Guttenberg, Ortiz, Foster, Seaton
OPPOSED: Wilson, Pruitt, Tilton
Representative Kawasaki and Representative Thompson were
absent from the vote.
The MOTION to adopt Amendments H DOT 1 and H DOT 2 PASSED
(6/3).
^UNIVERSITY OF ALASKA
4:41:02 PM
Representative Guttenberg read the subcommittee report for
the University of Alaska:
The House Finance Budget Subcommittee for the
University of Alaska held 6 meetings with the
University of Alaska during the review of the FY19
budget request.
The Chair of the House Finance Budget Subcommittee for
the University of Alaska recommends that the House
Finance Committee accept the University of Alaska's
FY19 Amended Budget as follows:
Fund Source (dollars are in thousands):
Unrestricted General Funds (UGF) 336,033.5
Designated General Funds (DGF) 331,131.2
Other Funds 86,530.4
Federal Funds 143,852.7
Total 897,547.8
The Unrestricted General Fund difference from FY15
Management Plan to the FY19 House Subcommittee
Recommended budget is a reduction of $34.56 million, a
decrease of 9.3 percent.
The Unrestricted General Fund difference from FY18
Management Plan to the FY19 University of Alaska House
Finance Subcommittee recommended $19 million, an
increase of 6.0 percent.
Positions:
Permanent Full-time 3,993
Permanent Part-time 189
Temporary 0
Total 4,182
The following statutory recommendation are also
submitted to the House Finance Committee:
1. Amend AS 14.42.033 (a) to read (a) Except as
provided under (b) and (c) of this section, as a
condition of participating in a medical education
program under AS 14.42.033, a program participant
shall agree to either return to the state and actively
engage in professional medical practice or repay
financial support provided by the state on behalf of
the program participant. The financial support to be
repaid is equal to the full [50 percent of the] amount
paid for each program participant by the state to the
contracting postsecondary institution, plus interest.
The rate of interest is equal to the 12th Federal
Reserve District discount rate in effect on March 1 of
the year in which the financial support is provided
plus two percentage points. Interest imposed under
this subsection begins to accrue when the person
terminates studies under the medical education
program. Accrued interest shall be added to the
principal balance of the repayment obligation at the
time the borrower is obligated to commence repayment
and at the end of a deferment period.
Representative Wilson queried the amount of the UGF budget
for the University of Alaska in the prior year.
Representative Guttenberg replied that it was $317 million.
Representative Guttenberg MOVED to ADOPT Amendment H UOA 1
(copy on file):
Budget Reductions/Additions - Systemwide
H UOA 1 - University of Alaska Increment
Offered by Representative Guttenberg
The FY19 Governor's Operating Budget for the
University of Alaska is $317 million, while the FY19
Board of Regent's budget request totals $341 million.
This will add $19 million to partially bridge the
budget shortfall.
Representative Wilson OBJECTED for discussion.
Representative Guttenberg explained that the University of
Alaska budget was like no other. The Board of Regents'
budget that was adopted was a public document. The
legislature was able to see every increment and how the
campuses and programs were managed. The legislature only
got to see department budgets after they went through the
Office of Management and Budget. He suggested that the
University's budget was more transparent than any of the
other departments. Over the past 10 years, the cuts to the
UA budget had been devastating. The University lost 50
programs and student enrollment decreased. The University
had brought in about $1 billion in research revenue over
the same period. The University requested an increase of
$24 million. The amendment started out at $24 million and
was reduced to reflect the fact that the state could not
afford it. He continued that the return on investment in
Alaska was significant. The committee could only agree on
$19 million.
Co-Chair Seaton asked if Representative Guttenberg was
addressing Amendment H UOA 1. Representative Guttenberg
responded in the affirmative.
4:45:37 PM
AT EASE
4:46:39 PM
RECONVENED
Co-Chair Seaton explained that there was a two-page
subcommittee narrative report. The back page was labeled
differently. He indicated the committee should be referring
to the agency transaction detail sheet in the 2018
Legislative Operating Budget House Subcommittee Amends
column. The time stamp on the bottom of the page was
2018-02-22 18:14:20. Amendment H UOA 1 was not as it was
presented in the narrative report. The committee was
considering them as they appeared on the spreadsheet. He
asked Representative Guttenberg to review his amendment
again. Representative Guttenberg relayed that the amendment
reflected an increase of $19 million over the prior year.
Representative Wilson reported that the governor kept the
University whole by not proposing any cuts. She was also
concerned that enrollment was down but was not convinced it
was due to reductions. She opined that it was a competitive
market. She understood why the regents wanted additional
money. However, the state could not afford it. She
appreciated the discussions and thought the state needed to
become more competitive.
Vice-Chair Gara commented that the University had been
slashed over the past several years in excess of $50
million not accounting for inflation. Professors were
leaving, and students were choosing to attend college
elsewhere. He thought the state needed to reverse those
trends. He appreciated the amendment.
4:49:54 PM
Representative Thompson stated that the University's Board
of Regents requested $341 million to stay whole and to
advance their new plans to make the University better. The
University's numbers showed that a budget of $317 million
requested by the governor, with inflation and other
automatic increases, would fall short by $9 million. The
University had already lost 5000 students. He speculated
that students witnessed programs being cut and were
reluctant to attend for fear of other programs being
deleted. He thought the idea of students going outside of
the state for their education was devastating. He believed
the state's future was dependent upon its young people. He
would be supporting the amendment. Previously, the
University's budget was $375 million. The current amendment
was a good and necessary compromise.
Representative Grenn agreed with Representative Thompson.
He thought it was a good compromise. He thought a strong
university system was needed for the economy.
Representative Ortiz concurred with the prior 2 speakers.
He agreed with the representative from North Pole that the
University needed to stay competitive. He asserted that a
university that was cutting its programs and reducing its
offerings was not competitive. He provided examples of
incentives to attract students. He reported hearing that
less students were staying in Alaska to attend college
because the University of Alaska system was not
competitive. He would be supporting the amendment as an
economic investment in Alaska's education system and its
youth.
Representative Wilson MAINTAINED her OBJECTION.
A roll call vote was taken on the motion.
IN FAVOR: Gara, Grenn, Guttenberg, Kawasaki, Ortiz,
Thompson, Foster, Seaton
OPPOSED: Pruitt, Tilton, Wilson
The MOTION Amendment H UOA 1 PASSED (8/3).
4:54:05 PM
Representative Guttenberg MOVED to ADOPT Amendment H UOA 2
(copy on file):
Anchorage Campus
H UOA 2 - Add funding to maintain operations of the
Alaska Justice Information Center (AJiC)
Offered by Representative Guttenberg
These funds, in conjunction with the Alaska Mental
Health Trust's $225.0 MHTAAR, are required for the
operations of the Alaska Justice Information Center
whose mission is to "compile, analyze, and report on
criminal justice topics to policymakers and
practitioners in order to improve public safety,
increase criminal justice system accountability, and
to reduce recidivism."
Representative Wilson OBJECTED for discussion.
Representative Guttenberg explained the amendment. The
amount was left out of the original budget. It used Mental
Health Trust Authority Authorized Receipts (MHTAAR) to
match funds for the Alaska Justice Information Center.
Representative Wilson asked if it was a required match.
Representative Guttenberg responded that it brought the
state back to what it did the previous year.
Representative Wilson restated her question. Representative
Guttenberg responded that it was a part of the Alaska
Mental Health Trust Authority to be providing the service.
It had been something done in the previous year, but it had
been left out of the budget.
Representative Thompson was unclear about the comment made
by the bill sponsor regarding compiling, analyzing, and
reporting on criminal justice topics. He asked if the
legislature had received a report regarding the prior year.
He was confused. Representative Guttenberg believed the
amount was the ongoing operations costs of the Alaska
Justice Information System. He encouraged Mr. Baker to
further elaborate.
Co-Chair Seaton asked for the subcommittee vote on the
amendment. Representative Guttenberg responded, "Without
objection."
4:56:26 PM
MILES BAKER, DIRECTOR, GOVERNMENT RELATIONS, UNIVERSITY OF
ALASKA, relayed that it was an item that came to the
University through the mental health budget. The University
did not have a say about what was submitted by the Alaska
Mental Health Trust Authority (AMHTA) board. The item in
the amendment was an investment made in the previous year
that included $225,000 from the AMHTA receipts. It had
$150,000 in a general fund match for the Alaska Justice
Information Center for work they were doing related to the
crime bill. It was the University's understanding that when
the bill came over, it was intended to be a continuation of
that funding. However, the $150,000 general fund portion
did not make it into the budget. He thought it had been a
technical error. It had been pointed out in the
subcommittee that the AMHTA board identified the mistake.
He talked with OMB and had the amount submitted as a budget
increment. It would continue to work with flat funding as
it had in the prior year.
Representative Wilson asked if the cost of the report was
$300,000 total. Mr. Baker did not feel qualified to speak
to the work being done for the increment. He could only
speak to what happened in the budget process. He was
unfamiliar with what the Alaska Justice Information Center
was doing regarding the increment. Representative Wilson
commented that it was only $300,000.
Representative Wilson MAINTAINED her OBJECTION
A roll call vote was taken on the motion.
IN FAVOR: Grenn Guttenberg, Kawasaki, Ortiz, Gara, Seaton
Foster
OPPOSED: Pruitt, Thompson, Tilton, Wilson
The MOTION to adopt Amendment H UOA 2 PASSED (7/4).
Representative Guttenberg indicted he had one other item.
He pointed to page 2 of the report narrative which
contained a statutory recommendation. It was not part of
the budget process. The committee adopted it and moved it
along. He explained that for students that received the
Alaska WWAMI Regional Medical Education Program Scholarship
but did not return, they would have to pay 100 percent
rather than 50 percent. As a statutory recommendation it
was up to anyone who wanted to adopt it and to make it a
bill. He thought someone had done so.
5:00:28 PM
AT EASE
5:00:46 PM
RECONVENED
Co-Chair Foster invited Co-Chair Seaton to present his
finance subcommittee report for the legislature.
^LEGISLATURE
5:00:52 PM
Co-Chair Seaton read the finance subcommittee report for
the Legislature:
The House Finance Budget Subcommittee for the
Legislature held four meetings with the agency during
the review of the FY19 budget request.
The House Finance Budget Subcommittee for the
Legislature recommends that the House Finance
Committee accept the Legislature's FY19 budget with
the following amendment recommendations:
The numbers-only budget with amendment recommendations
totals:
Fund Source: (dollars are in thousands)
Unrestricted General Funds (UGF) $64,550.0
Designated General Funds (DGF) 321.0
Other Funds 832.6
Federal Funds -0-
Total $65,703.7
The UGF difference from FY15 Management Plan to the
FY19 House Subcommittee Recommended budget is a
reduction of $12,354.2, a decrease of 16.1 percent.
The UGF difference from FY18 Management Plan to the
FY19 House Subcommittee Recommended budget is an
increase of $962.9, an increase of 1.5 percent.
Positions:
Permanent Full-time 234
Permanent Part-time 399
Temporary 6
Total 549
The Governor did not submit any amendments for this
agency and the subcommittee did not make any statutory
recommendations.
The subcommittee made no statutory recommendations.
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 1 (copy on
file):
Budget and Audit Committee
Legislative Finance
H LEG 1 - Reduce the House Finance portion of
Legislative Finance's budget
Offered by Representative Seaton
Representative Wilson OBJECTED for discussion.
Co-Chair Seaton reported that the amendment reduced the
House Finance Committee travel budget by $25,000.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 1 was ADOPTED.
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 2 (copy on
file):
Legislative Council
Administrative Services
H LEG 2 - Add 6 temporary PCNs to match personal
services expenditure report
Offered by Representative Seaton
This is a technical correction. The six temporary PCNs
were included in the Personal Services budget but were
not noted in the allocation report when the
Legislative Affairs Agency switched to the new budget
system in FY18. This corrects that oversight. There is
no increase in the budget.
Representative Wilson OBJECTED for discussion.
Co-Chair Seaton read the amendment (see above).
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 2 was ADOPTED.
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 3 (copy on
file):
Legislative Council
Council and Subcommittees
H LEG 3 - Transfer $27.9 from Services to Personal
Services for Senate Spec Comm of the Arctic
Offered by Representative Seaton
This is a technical correction. When Senate Finance
eliminated the Senate Special Committee on the Arctic,
the funding of $27,900 was removed from the Personal
Services line; however, the $27,900 was budgeted in
the Services line. There is no change to the budget.
Representative Wilson OBJECTED for discussion.
Co-Chair Seaton read the amendment (see above).
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 3 was ADOPTED.
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 4 (copy on
file):
Legislative Council
Council and Subcommittees
H LEG 4 - Eliminate funding for the House Special
Committee on Arctic Policy, Economic Development and
Tourism
Offered by Representative Seaton
This amendment eliminates the funding to the House
Special Committee on Arctic Policy, Economic
Development and Tourism. In recent years, funding to
standing, special and joint committees has been
greatly reduced and, in many instances, eliminated. In
2017, AET's funding was reduced from $27,850 to
$10,000. This amendment would eliminate the remaining
funds.
Representative Wilson OBJECTED for discussion.
Co-Chair Seaton read the amendment (see above).
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 4 was ADOPTED.
5:05:30 PM
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 5 (copy on
file):
Legislative Council
Legislature State Facilities Rent
H LEG 5 - Annual CPI-U Increase for Statewide Leases
Offered by Representative Seaton
The Legislature State Facilities Rent allocation pays
for leases and some operating expenses associated with
space rented by the Legislature statewide. There are
22 Legislative Information Office (LIO) sites outside
of Juneau. Many of these sites also have office space
for Legislator interim offices. There are two sites
for Legislator interim offices which are not co-
mingled with an LIO (North Pole and Eagle River).
An increment of $47,600 is needed to pay for
contractually obligated CPI-U increases for most
statewide leases. There are no contingency funds in
this allocation. The full amount is required to meet
the Legislature's contractual obligations in FY19.
Representative Wilson OBJECTED for discussion.
Co-Chair Seaton read the amendment (see above).
Representative Wilson wanted to understand the amendment.
She asked if the two offices were paid differently.
Co-Chair Seaton responded that there were 2 offices that
were not connected with a legislative information office
(LIO). The amendment ensured that the consumer price
increases in the contract were funded, as there was not any
contingency language outside of the LIO contracts.
Representative Wilson relayed that a couple of years prior,
she had looked at the leases when Fairbanks was going out
for its lease again and whether it was economical to
combine the North Pole office with the Fairbanks office.
She found that it would have actually cost more to the
state to combine them. There was no space in the Fairbanks
office. A different location would have had to be leased
costing more. She wanted people to understand that it was
not an additional cost.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 5 was ADOPTED.
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 6 (copy on
file):
Legislative Operating Budget
Legislature State Facilities Rent
H LEG 6 - Transfer $126.0 from Personal Services (H)
to Services (H) for Legal and Research Services
Transfer Authority
Offered by Representative Seaton
Speaker of the House Edgmon approved a transfer of
$126,000 from House Operating to Legal and Research
Services. In the Governor's FY 19 budget, OMB
inadvertently reflected the transfer out from the
Services line instead of from Personal Services. This
corrects the line items. There is no change to the
budget.
Representative Wilson OBJECTED for discussion.
Co-Chair Seaton read the amendment (see above).
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 6 was ADOPTED.
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 7 (copy on
file):
Legislative Operating Budget
H LEG 7 - Transfer $63.0 from Personal Services (H) to
Services (H) for Administrative Services Authority
Offered by Representative Seaton
Speaker of the House Edgmon approved a transfer of
$63,000 from House Operating to Administrative
Services. In the Governor's FY19 budget, OMB
inadvertently reflected the transfer out from the
Services line instead of from Personal Services. This
corrects the line items. There is no change to the
budget.
Representative Wilson OBJECTED.
Co-Chair Seaton read the amendment (see above).
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 7 was ADOPTED.
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 8 (copy on
file):
Legislative Operating Budget
Session Expenses
H LEG 8 - Reduce the House Operating Budget
Offered by Representative Seaton
Representative Wilson OBJECTED
Co-Chair Seaton read the amendment (see above).
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 8 was ADOPTED.
5:09:54 PM
Co-Chair Seaton MOVED to ADOPT Amendment H LEG 9 (copy on
file):
Legislative Operating Budget
Session Expenses
H LEG 9 - Replace UGF with Interagency Receipts to
account for full statute set revenue
Offered by Representative Seaton
In FY19, there will be a full set of Alaska Statutes
produced, as opposed to just the supplement set in
FY18. This brings an anticipated increase in revenue
in Interagency Receipts and a corresponding reduction
in the Unrestricted General Fund
Representative Wilson OBJECTED for discussion.
Co-Chair Seaton read the amendment (see above).
Representative Wilson did not understand where the savings
was on the inter-agency receipts in making the statute
books. Co-Chair Seaton replied that the legislature printed
all of the statute books which were bought by several
agencies becoming inter-agency receipts instead of UGF.
Representative Wilson WITHDREW her OBJECTION.
There being NO OBJECTION, Amendment H LEG 9 was ADOPTED.
Co-Chair Seaton stated for the record that although the
numbers had been reviewed, there had been some numbers
misspoken. The numbers printed in the meeting documents
were the numbers that would be used rather than any verbal
errors. He returned to a question that Vice-Chair Gara had
asked that he would quickly answer.
Vice-Chair Gara mentioned that Representative Pruitt
correctly noted that in the DHSS report the committee
compared FY 15 to FY 19 governor's budget to the
subcommittee's numbers. The fiscal year 18 numbers were on
page 5 of the multi-year allocation. He conveyed that the
big change in the department concerned Medicaid. He
reported the FY 18 supplemental amount of about $91 million
and the department anticipated an additional $27 million in
FY 19. He thought there was a difference of $118 million
from what legislators left session knowing about. The other
two large changes were taking out money for senior benefits
until a bill was passed. He hoped the legislation passed
soon. The only other thing not addressed in subcommittee
had to do with a $6 million reduction for behavioral health
because the department was shifting more towards federal
funding. He relayed that although there had been about $100
million decrease since FY 15 in the department, the numbers
for the FY 18 management plan in UGF totaled $1.047
billion. The governor's increase reflected the Medicaid
increase which went up to $1.165 billion. The
subcommittee's decrease reflected the delay in putting the
Senior Benefits Program money in the budget. It was about
$17 million lower than the governor's budget plus the
amendments that were passed.
Co-Chair Seaton thanked the agencies, the Legislative
Finance Division, and the staff that had worked diligently
on the budget.
Co-Chair Foster reviewed the agenda for the following day.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 286 - HB 285 Subcommittee Reports and Amendments DLAW DMVA DNR DPS.pdf |
HFIN 2/26/2018 1:30:00 PM |
HB 285 HB 286 |
| HB 286 - HB 285 Subcommittee Reports and Amendments DOc DEC DHSS.pdf |
HFIN 2/26/2018 1:30:00 PM |
HB 285 HB 286 |
| HB 286 - HB 285 Subcommittee Reports and Amendments DOT UA LEG.pdf |
HFIN 2/26/2018 1:30:00 PM |
HB 285 HB 286 |
| HB 286 RE_ 2018 DOC HFIN Alaska Native Population.pdf |
HFIN 2/26/2018 1:30:00 PM |
HB 286 |