Legislature(1993 - 1994)
02/22/1994 01:36 PM House FIN
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HOUSE BILL NO. 454
"An Act making a supplemental appropriation to the
Department of Law to pay costs of certain continuing
legal proceedings; and providing for an effective
date."
JIM BALDWIN, ASSISTANT ATTORNEY GENERAL, DEPARTMENT OF LAW
urged the Committee to support HB 454. He noted that the
Legislature has financed oil and gas litigation on a half
year basis so that activities can be reviewed at the
beginning of each legislative session. He stressed that oil
and gas litigation is a constantly shifting activity. He
observed that the Department of Law was funded for FY 94 at
the same level as FY 93. The Department had requested $25
million dollars for FY 94. He maintained that the pace of
the current litigation requires additional funds.
Mr. Baldwin advised that the amount requested in HB 454
needs to be increased by an additional $2.5 million dollars.
Co-Chair Larson stated that the Department's amended request
would be for $13,837.5 million general fund dollars and
$4,612.5 million dollars in Permanent Fund Corporation
receipts.
Co-Chair Larson MOVED to ADOPT the new total amount of
$18,450.0 million dollars, $13,837.5 million general fund
dollars and $4,612.5 million dollars in Permanent Fund
Corporation receipts. There being NO OBJECTION, it was so
ordered.
Mr. Baldwin noted that the matters funded in HB 454 are in
active litigation. He expounded that the amount of money
that the Department intends to expend for various aspects of
the litigation is subject to the attorney/client privilege.
Co-Chair Larson stressed that under AS 44.62.310 executive
sessions are allowed for matters of personnel, finances,
litigation, matters that may effect the operations of state
government or attorney/client privileges. He reiterated
that the matter before the Committee could effect
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attorney/client privileges.
EXECUTIVE SESSION
Co-Chair MacLean MOVED that the Committee meet in EXECUTIVE
SESSION for the purpose of discussing matters in CSHB 454
(FIN) that could effect finances of the State of Alaska and
attorney/client privileges. There being NO OBJECTION, the
House Finance Committee met in EXECUTIVE SESSION from 1:45
p.m. to 2:23 a.m.
REGULAR SESSION
Co-Chair Larson RECONVENED the Committee in REGULAR SESSION
at 2:23 a.m.
Co-Chair Larson reiterated that the total amount
appropriated by CSHB 454 (FIN) to the Department of Law is
$18,450.0 million dollars, $13,837.5 million general fund
dollars and $4,612.5 million dollars in Permanent Fund
Corporation receipts.
Representative Navarre MOVED to report CSHB 454 (FIN) out of
Committee with individual recommendations. There being NO
OBJECTION, it was so ordered.
CSHB 454 (FIN) was reported out of Committee with a "do
pass" recommendation.
sb54
SENATE BILL NO. 54
"An Act relating to violations of laws by juveniles;
and providing for an effective date."
Co-Chair Larson noted that HCS CSSB 54 (FIN) was adopted by
the House Finance Committee during the 2/11/94 meeting. He
explained that transmittal of the bill was held to allow
agencies an opportunity to revise their fiscal notes for
consideration by the Committee.
CAROL COLLINS, STAFF, HOUSE FINANCE COMMITTEE clarified that
HCS CSSB 54 (FIN) (version, 8-LS0384\G) was previously
adopted by the Committee. She observed that departments had
submitted the following revised fiscal notes; five zero
fiscal notes, two by the Department of Administration, one
by the Department of Public Safety, one by the Department of
Law and one by the Department of Health and Social Services;
and with four fiscal impact notes, two by the Department of
Health and Social Services, one by the Department of
Corrections, and one by the Alaska Court System. She added
that the Committee did not consider the letter of intents by
the Senate and the House Judiciary Committee during previous
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action.
Representative Parnell MOVED to RESCIND the Committee's
action in reporting from Committee HCS CSSB 54 (FIN). There
being NO OBJECTION, it was so ordered.
Ms. Collins clarified that a drafting error was made in
section 13 of the previous version of HCS CSSB 54 (FIN).
The error was corrected in the version before the Committee.
Representative Hanley noted that the Department of Health
and Social Services submitted a revised fiscal note for
$1,125.0 million dollars.
ELMER LINDSTROM, SPECIAL ASSISTANT, DEPARTMENT OF HEALTH AND
SOCIAL SERVICES expresed the Department's concern that the
Department would be required to place juveniles in private
treatment facilities as defined on page 15. He observed
that in-state costs for a private treatment facility could
be as high as $18 thousand dollars a month. He emphasized
that the Department of Law has assured the Department of
Health and Social Services that the placement of juveniles
into a private facility would be optional. He stressed that
the option to use private treatment facilities would remain
but that the Department did not anticipate exercising the
option. If the Department exercised the options of a
private treatment facility the cost would be born by the
Division of Medical Assistance in the medicaid budget.
Mr. Lindstrom stated that the Department of Health and
Social Services was withdrawing their two fiscal impact
notes, for $1,125.0 million dollars and $0.2 hundred dollars
with the understanding that the Department would not be
compelled to make placements in private facilities.
Representative Hanley provided members with AMENDMENT 1
(copy on file). Amendment 1 would delete on page 15, lines
13 - 16, "treatment facilities' means a hospital, clinic,
institution, center, or other health care facility that has
been designated by the department for the treatment of
juveniles."
Representative Brown stressed that the language gives the
Department the option of placing juveniles in private
facilities. She observed that there are currently four
juveniles being held who are awaiting treatment beds. She
noted that construction of treatment beds would be
expensive. She suggested that it may be possible to meet
the needs for treatment through contract with private
facilities. She recommended that the language be kept in
the legislation.
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MARGOT KNUTH, CRIMINAL DIVISION, DEPARTMENT OF LAW clarified
that under AS 47.10.080(b)(i) placement in a private
treatment facility is discretionary. She acknowledged that
litigation could result from the language. She estimated
that there is a 85 percent chance that the court would rule
in favor of the state with regards to the state's failure to
make placements in private facilities.
Representative Hanley MOVED to ADOPT AMENDMENT 1.
Representative Brown OBJECTED.
In response to a question by Representative Grussendorf, Ms.
Knuth observed that juveniles awaiting placement in the
MacLaughlin correctional facility are held at the Johnson
detention facility. Ms. Knuth was not aware of any
litigation initiated by a juvenile awaiting placement in a
juvenile treatment facility.
A roll call vote was taken on the motion to adopt AMENDMENT
1.
IN FAVOR: Parnell, Hanley, Martin, Larson
OPPOSED: Brown, Foster, Grussendorf, Hoffman, Navarre,
MacLean
Representatives Therriault was not present for the vote.
The MOTION FAILED (4-6).
Representative Brown noted that the content of the
legislation has changed. She questioned the applicability
of the letter of intents. Members decided to address the
letter of intents when the legislation is before the House.
(Tape Change, HFC 94-38, Side 1)
Representative Foster MOVED to report HCS CSSB 54 (FIN) out
of Committee with individual recommendations and with the
accompanying fiscal notes. There being NO OBJECTION, it was
so ordered.
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