Legislature(2025 - 2026)BARNES 124

04/03/2025 08:00 AM House COMMUNITY & REGIONAL AFFAIRS

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Audio Topic
08:06:01 AM Start
08:10:07 AM HB133
08:40:59 AM Presentation(s): Community Service Block Grant Program
09:58:06 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Presentation: Community Service Block Grant TELECONFERENCED
Program by Pauletta Bourne, Grants Administrator
Division of Community and Regional Affairs,
Department of Commerce, Community and Economic
Development; and Tiel Smith, Executive Director,
Rural Alaska Community Action Program, Inc.
-- Testimony <Invitation Only> --
+= HB 133 PAYMENT OF CONTRACTS TELECONFERENCED
Heard & Held
-- Testimony <Invitation Only> --
+= HJR 15 WILDFIRE PREPAREDNESS TELECONFERENCED
<Bill Hearing Canceled>
-- Testimony <Invitation Only> --
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HCR 3 AI LEGISLATIVE TASK FORCE TELECONFERENCED
Scheduled but Not Heard
                    ALASKA STATE LEGISLATURE                                                                                  
    HOUSE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE                                                                   
                         April 3, 2025                                                                                          
                           8:06 a.m.                                                                                            
                                                                                                                                
                             DRAFT                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Rebecca Himschoot, Co-Chair                                                                                      
Representative Donna Mears, Co-Chair                                                                                            
Representative Carolyn Hall                                                                                                     
Representative Ky Holland                                                                                                       
Representative Mike Prax                                                                                                        
Representative Justin Ruffridge                                                                                                 
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 133                                                                                                              
"An  Act  establishing  a  30-day deadline  for  the  payment  of                                                               
contracts   under  the   State  Procurement   Code;  establishing                                                               
deadlines   for   the   payment   of   grants,   contracts,   and                                                               
reimbursement    agreements     to    nonprofit    organizations,                                                               
municipalities,  and  Alaska  Native organizations;  relating  to                                                               
payment   of   grants   to  named   recipients   that   are   not                                                               
municipalities; and providing for an effective date."                                                                           
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
PRESENTATION(S):  COMMUNITY SERVICE BLOCK GRANT PROGRAM                                                                         
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
HOUSE JOINT RESOLUTION NO. 15                                                                                                   
Urging  the  Governor,  the   Department  of  Natural  Resources,                                                               
division  of  forestry and  fire  protection,  the Department  of                                                               
Public Safety, municipalities of  the state and relevant wildfire                                                               
planning  and response  agencies,  and the  Alaska delegation  in                                                               
Congress to prepare for the 2025 wildfire season.                                                                               
                                                                                                                                
     - BILL HEARING CANCELED                                                                                                    
                                                                                                                                
HOUSE CONCURRENT RESOLUTION NO. 3                                                                                               
Establishing the Joint Legislative Task Force on Artificial                                                                     
Intelligence.                                                                                                                   
                                                                                                                                
     - SCHEDULED BUT NOT HEARD                                                                                                  
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 133                                                                                                                  
SHORT TITLE: PAYMENT OF CONTRACTS                                                                                               
SPONSOR(s): REPRESENTATIVE(s) HIMSCHOOT                                                                                         
                                                                                                                                
03/12/25       (H)       READ THE FIRST TIME - REFERRALS                                                                        
03/12/25       (H)       CRA, STA                                                                                               
03/25/25       (H)       CRA AT 8:00 AM BARNES 124                                                                              
03/25/25       (H)       Heard & Held                                                                                           
03/25/25       (H)       MINUTE(CRA)                                                                                            
03/27/25       (H)       CRA AT 8:00 AM BARNES 124                                                                              
03/27/25       (H)       Heard & Held                                                                                           
03/27/25       (H)       MINUTE(CRA)                                                                                            
04/03/25       (H)       CRA AT 8:00 AM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
ELLA LUBIN, Staff                                                                                                               
Representative Rebecca Himschoot                                                                                                
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Answered questions during the hearing on HB
133 on behalf of Representative Himschoot, prime sponsor.                                                                       
                                                                                                                                
HANNAH LAGER, Director                                                                                                          
Division of Administrative Services                                                                                             
Department of Commerce, Community, and Economic Development                                                                     
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Answered questions during the hearing on HB
133.                                                                                                                            
                                                                                                                                
PAULETTA BOURNE, Grants Administrator                                                                                           
Division of Community and Regional Affairs                                                                                      
Department of Commerce, Community & Economic Development                                                                        
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT:  Co-offered the Community Service Block                                                                   
Grant Program presentation.                                                                                                     
                                                                                                                                
LIZZIE KUBITZ, Legislative Liaison                                                                                              
Department of Commerce, Community & Economic Development                                                                        
Juneau, Alaska                                                                                                                  
POSITION  STATEMENT:   Answered  questions  during the  Community                                                             
Service Block Grant Program presentation.                                                                                       
                                                                                                                                
SANDRA MOLLER, Director,                                                                                                        
Division of Community and Regional Affairs                                                                                      
Department of Commerce, Community & Economic Development                                                                        
Juneau, Alaska                                                                                                                  
POSITION  STATEMENT:   Answered  questions  during the  Community                                                             
Service Block Grant Program presentation.                                                                                       
                                                                                                                                
TEIEL SMITH, CEO                                                                                                                
RurAL CAP                                                                                                                       
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:    Co-offered the  Community  Service  Block                                                             
Grant Program presentation.                                                                                                     
                                                                                                                                
JASMINE BOYLE, Chief Development Officer                                                                                        
RurAL CAP                                                                                                                       
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:   Answered  questions  during the  Community                                                             
Service Block Grant Program presentation.                                                                                       
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
8:06:01 AM                                                                                                                    
                                                                                                                                
CO-CHAIR  DONNA MEARS  called the  House  Community and  Regional                                                             
Affairs  Standing  Committee  meeting   to  order  at  8:06  a.m.                                                               
Representatives  Prax, Ruffridge,  Hall, Holland,  Himschoot, and                                                               
Mears were present at the call to order.                                                                                        
                                                                                                                                
The committee took an at-ease from 8:07 a.m. to 8:09 a.m.                                                                       
                                                                                                                                
CO-CHAIR MEARS noted that today's  presentations on the Community                                                               
Service Block Grant (CSBG) program  are mandatory to meet federal                                                               
eligibility requirements.  The purpose  of the CSBG program is to                                                               
relieve  the causes  and conditions  of  poverty.   The state  is                                                               
required to  hold at  least one  legislative hearing  every three                                                               
years  in  conjunction with  development  of  the state  plan  to                                                               
maintain eligibility.                                                                                                           
                                                                                                                                
                  HB 133-PAYMENT OF CONTRACTS                                                                               
                                                                                                                                
8:10:07 AM                                                                                                                    
                                                                                                                                
CO-CHAIR MEARS announced  that the first order  of business would                                                               
be HOUSE  BILL NO.  133, "An Act  establishing a  30-day deadline                                                               
for the  payment of contracts  under the State  Procurement Code;                                                               
establishing deadlines for the payment  of grants, contracts, and                                                               
reimbursement    agreements     to    nonprofit    organizations,                                                               
municipalities,  and  Alaska  Native organizations;  relating  to                                                               
payment   of   grants   to  named   recipients   that   are   not                                                               
municipalities; and providing for an effective date."                                                                           
                                                                                                                                
8:10:18 AM                                                                                                                    
                                                                                                                                
CO-CHAIR HIMSCHOOT,  as prime sponsor  of HB 133, gave  a summary                                                               
of the bill, which would  address delayed payments to nonprofits,                                                               
Tribes, and municipalities  that don't have the  means to weather                                                               
the storm  that's created when  the state makes late  payments on                                                               
awarded grants or nonprofits.                                                                                                   
                                                                                                                                
8:10:58 AM                                                                                                                    
                                                                                                                                
ELLA  LUBIN,  Staff,  Representative  Rebecca  Himschoot,  Alaska                                                               
State  Legislature,  in  response  to  Representative  Himschoot,                                                               
prime  sponsor,  said the  bill  sponsor's  office met  with  the                                                               
Department  of  Health   (DOH)  to  learn  the   reason  for  the                                                               
prevalence   of  delayed   payments,  which   are  training   and                                                               
personnel.   High  turnover rates  impede training  capabilities,                                                               
and  many  grants  require  complex  adjudication  and  reporting                                                               
protocols,  including  intradepartmental  communication,  all  of                                                               
which require a high level  of training.  Furthermore, grants and                                                               
reimbursements,  such as  Medicaid,  that come  from the  federal                                                               
government,   often  require   additional   adjudication.     The                                                               
department  explained that  they are  currently rebuilding  their                                                               
workforce  after COVID-19  burnout  and  increased vacancies  and                                                               
expect that  a delayed  effective date for  HB 133  would provide                                                               
adequate time for continued hiring  and training on these complex                                                               
systems  and  protocols.   In  addition,  the current  accounting                                                               
system that  was implemented in  2019 have caused  delays between                                                               
the department and  its grantees.  They are  working with several                                                               
other  departments  to employ  a  new  system that  would  create                                                               
continuity   between   departments   and   make   several   other                                                               
improvements to  speed up processes.   While this  information is                                                               
specific  to DOH,  she  believed the  overarching  themes may  be                                                               
similar across other departments.                                                                                               
                                                                                                                                
CO-CHAIR HIMSCHOOT added that several  zero fiscal notes had been                                                               
submitted  by  multiple departments.    She  reiterated that  her                                                               
office  was actively  looking  into the  questions  posed by  the                                                               
committee at  a previous hearing  and indicated that  a committee                                                               
substitute (CS)  would be forthcoming that  would include several                                                               
changes, like a  delayed effective date to  allow the departments                                                               
time to come into compliance.                                                                                                   
                                                                                                                                
CO-CHAIR  MEARS  initiated  a discussion  on  the  Department  of                                                               
Commerce, Community & Economic Development (DCCED) fiscal note.                                                                 
                                                                                                                                
CO-CHAIR HIMSCHOOT  said she  was trying  to understand  why that                                                               
section  of  the  bill  was necessary  and  was  considering  its                                                               
removal.                                                                                                                        
                                                                                                                                
MS. LUBIN noted that the section  in question is Section 3, which                                                               
talks about advancing grants to grantees.                                                                                       
                                                                                                                                
8:16:14 AM                                                                                                                    
                                                                                                                                
HANNAH  LAGER,  Director,  Division of  Administrative  Services,                                                               
Department  of  Commerce,  Community,  and  Economic  Development                                                               
(DCCED), said  DCCED's fiscal note  includes a change  in revenue                                                               
in a  negative amount to  the general fund  (GF).  The  impact of                                                               
Section  3 is  that  it  would require  an  automatic advance  on                                                               
grants,  which would  result in  outlaying funds  earlier in  the                                                               
year resulting in lost interest revenue  to the GF as those funds                                                               
are held by the state.                                                                                                          
                                                                                                                                
8:17:16 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRAX  asked whether the problems  occurring at DOH                                                               
are happening at DCCED.                                                                                                         
                                                                                                                                
MS.  LAGER  said  generally,  she's   not  concerned  about  late                                                               
payments to  grantees.   She said  the testimony  for HB  133 has                                                               
made it  apparent that  there may  be some  miscommunication with                                                               
grantees  in  terms  of  expectations  on the  front  end.    She                                                               
explained that  most do  not receive funding  in the  first month                                                               
and should  expect to see it  in the third month  after the grant                                                               
agreement is completed.                                                                                                         
                                                                                                                                
REPRESENTATIVE PRAX  asked whether  DCCED interfaces with  DOH on                                                               
some grants.                                                                                                                    
                                                                                                                                
MS.  LAGER answered  no,  most are  grants  to municipalities  or                                                               
named recipients through legislative action.                                                                                    
                                                                                                                                
REPRESENTATIVE PRAX asked whether  DCCED is involved in improving                                                               
or streamlining the entire system.                                                                                              
                                                                                                                                
MS. LAGER  said different departments work  on different projects                                                               
at different paces.   She added that DCCED  grants have different                                                               
requirements than those issued by DOH.   Similar to DOH, she said                                                               
DCCED  is actively  working on  improving their  grant system  to                                                               
integrate with the financial system.                                                                                            
                                                                                                                                
REPRESENTATIVE  PRAX opined  that  customer  interface should  be                                                               
consistent.                                                                                                                     
                                                                                                                                
CO-CHAIR  MEARS   agreed  that   department  portals   should  be                                                               
consistent.   She pointed out that  it takes a lot  of commitment                                                               
and work to streamline.                                                                                                         
                                                                                                                                
8:22:41 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HOLLAND  commented on  the challenges  involved in                                                               
processing the  Supplemental Nutrition Assistance  Program (SNAP)                                                               
benefits,  which  is emblematic  of  a  systemwide problem.    He                                                               
questioned how  different state  agencies manage  the improvement                                                               
processes and the ability  to create efficiencies, consistencies,                                                               
and productivity  changes.  He  said he  is inclined to  keep the                                                               
current  effective   date  and   asked  whether  DCCED   has  the                                                               
information technology  (IT) resources  to address  these issues.                                                               
In  addition,  he  asked  how  Ms. Lager  would  respond  to  his                                                               
observation that this is a systemic issue across departments.                                                                   
                                                                                                                                
MS. LAGER clarified that DCCED  does not administer SNAP benefits                                                               
and declined  to speak on that  topic.  She explained  that DCCED                                                               
is undergoing a  comprehensive review process of  its IT projects                                                               
and system  replacements to evaluate whether  resources are being                                                               
effectively managed.                                                                                                            
                                                                                                                                
REPRESENTATIVE   HOLLAND  clarified   that  the   comments  about                                                               
efficiency and productivity are  about staff and grantee awardees                                                               
and processes, not the selection of projects.                                                                                   
                                                                                                                                
8:29:45 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE asked  whether all  grants received  by                                                               
DCCED are stored in the GFANSI account.                                                                                         
                                                                                                                                
MS. LAGER  said the  vast majority  are in  the General  Fund and                                                               
Other  Non-Segregated  Investments  (GFANSI) account  aside  from                                                               
federal funding streams and specialty funding sources.                                                                          
                                                                                                                                
CO-CHAIR MEARS  highlighted the  significant cost  of modernizing                                                               
systems.                                                                                                                        
                                                                                                                                
8:33:32 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE asked whether  interest had been paid on                                                               
late payments.                                                                                                                  
                                                                                                                                
CO-CHAIR  HIMSCHOOT shared  her understanding  that no  money had                                                               
been paid; however, technically, it should have been.                                                                           
                                                                                                                                
MS.  LUBIN  responded  that after  speaking  with  Department  of                                                               
Transportation &  Public Facilities (DOT&PF), it  seems as though                                                               
there is no definite data on that.                                                                                              
                                                                                                                                
8:36:57 AM                                                                                                                    
                                                                                                                                
CO-CHAIR  HIMSCHOOT  suggested  that  more would  come  to  light                                                               
through the  forthcoming committee substitute (CS)  and asked for                                                               
the committee's patience as they gather more information.                                                                       
                                                                                                                                
8:37:24 AM                                                                                                                    
                                                                                                                                
CO-CHAIR MEARS announced that HB 133 was held over.                                                                             
                                                                                                                                
8:38:17 AM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 8:38 a.m. to 8:40 a.m.                                                                       
                                                                                                                                
^PRESENTATION(S):  Community Service Block Grant Program                                                                        
    PRESENTATION(S):  Community Service Block Grant Program                                                                 
                                                                                                                              
8:40:59 AM                                                                                                                    
                                                                                                                                
CO-CHAIR MEARS  announced that the  next order of  business would                                                               
be   the   Community   Service   Block   Grant   (CSBG)   Program                                                               
presentation.                                                                                                                   
                                                                                                                                
8:41:42 AM                                                                                                                    
                                                                                                                                
PAULETTA BOURNE, Grants Administrator,  Division of Community and                                                               
Regional  Affairs (DCRA),  Department  of  Commerce, Community  &                                                               
Economic  Development (DCCED),  began a  PowerPoint presentation,                                                               
titled  "Community  Services  Block  Grant  (CSBG)  State  Plan,"                                                               
[included  in  the  committee  packet],  beginning  on  slide  2,                                                               
"General   Information,"   which   read  as   follows   [original                                                               
punctuation provided]:                                                                                                          
                                                                                                                                
     Federal  program  funded  by  the  U.S.  Department  of                                                                    
     Health and Human Services (HHS)                                                                                            
                                                                                                                                
     •For  the Federal  Fiscal Year  2026 funding  cycle, we                                                                    
     anticipate receiving $2.3M to $2.5M                                                                                        
     •By  statute  95  percent to  Community  Action  Agency                                                                    
     (Rural Alaska Community Action Program)                                                                                    
     •5 percent for State administrative costs                                                                                  
                                                                                                                                
8:43:19 AM                                                                                                                    
                                                                                                                                
MS. BOURNE continued to slide 3, "Purpose of CSBG," which read                                                                  
as follows [original punctuation provided]:                                                                                     
                                                                                                                                
     Purpose and Goals                                                                                                          
                                                                                                                                
     •Alleviate the causes and conditions of poverty                                                                            
     •Revitalization of low-income communities                                                                                  
     •Empowerment of low-income  families and individuals in                                                                    
     rural and urban areas to become fully self-sufficient                                                                      
                                                                                                                                
8:43:41 AM                                                                                                                    
                                                                                                                                
MS. BOURNE continued to slide 4, "State Plan," which read as                                                                    
follows [original punctuation provided]:                                                                                        
                                                                                                                                
     42 USC §9908  (3) requires states to hold  at least one                                                                    
     legislative hearing every three years                                                                                      
     •In conjunction with the development of the State Plan                                                                     
     •Developing the Federal Fiscal Year 2025 State Plan                                                                        
     •State  Plan outlines  the activities  to undertake  in                                                                    
     the Federal Fiscal Year                                                                                                    
                                                                                                                                
8:44:31 AM                                                                                                                    
                                                                                                                                
MS. BOURNE continued to slide 5, "Program Components," which                                                                    
read as follows [original punctuation provided]:                                                                                
                                                                                                                                
     RurALCAP identifies several  program components through                                                                    
     the following departments within their agency:                                                                             
     •Administrative Services                                                                                                   
     •Development                                                                                                               
     •Communication and External Affairs                                                                                        
     •Early Childhood Education Division                                                                                        
     •Community Development Division                                                                                            
     •Rural Housing Division                                                                                                    
     •Housing Services Division                                                                                                 
                                                                                                                                
MS BOURNE  continued to slide  6, "Outcome Measures,"  which read                                                               
as follows [original punctuation provided]:                                                                                     
                                                                                                                                
     Identified in the State Plan                                                                                               
                                                                                                                                
     •Track results and reported on quarterly basis                                                                             
       •Progress reviewed by RurALCAP staff who use it to                                                                       
     evaluate results and make changes when necessary                                                                           
                                                                                                                                
8:46:01 AM                                                                                                                    
                                                                                                                                
MS.  BOURNE   in  response   to  a   series  of   questions  from                                                               
Representative Prax,  said CSBG  is directed by  federal statutes                                                               
and   confirmed  that   5  percent   would   cover  the   state's                                                               
administrative  costs.   She  explained that  the  state plan  is                                                               
available on  DCRA's website along with  its performance outcomes                                                               
and measurements.   She referenced  a document, titled  "FFY 2023                                                               
State  CSBG Factsheet"  [included in  the committee  packet], and                                                               
spoke to  the benefits provided to  the 1,987 families in  FY 23,                                                               
such as weatherization and rental assistance.                                                                                   
                                                                                                                                
8:50:15 AM                                                                                                                    
                                                                                                                                
MS.  BOURNE, in  response  to  a question  about  the purpose  of                                                               
today's  hearing,  said 42  U.S.C.  9908  is broad,  adding  that                                                               
DCRA's intent is  to provide further information  and educate the                                                               
legislature  on  its efforts  to  reduce  poverty throughout  the                                                               
state.                                                                                                                          
                                                                                                                                
8:52:00 AM                                                                                                                    
                                                                                                                                
LIZZIE  KUBITZ,  Legislative  Liaison,  Department  of  Commerce,                                                               
Community  &   Economic  Development   (DCCED),  stated   that  a                                                               
legislative informational hearing must be  held to be eligible to                                                               
receive the federal funding.                                                                                                    
                                                                                                                                
8:56:00 AM                                                                                                                    
                                                                                                                                
SANDRA  MOLLER,  Director,  Division of  Community  and  Regional                                                               
Affairs  (DCRA), Department  of  Commerce,  Community &  Economic                                                               
Development   (DCCED),   in   response   to   a   question   from                                                               
Representative  Ruffridge  about  Head Start  funding,  suggested                                                               
hearing the  presentation from the  Rual Alaska  Community Action                                                               
Program  (RurAL  Cap)  first,   which  would  help  describe  the                                                               
activities proposed in the state plan.                                                                                          
                                                                                                                                
8:56:53 AM                                                                                                                    
                                                                                                                                
TEIEL SMITH,  CEO, RurAL  CAP, said he  preferred to  discuss the                                                               
written report instead of the PowerPoint.                                                                                       
                                                                                                                                
8:58:32 AM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease at 8:58 a.m.                                                                                 
                                                                                                                                
8:59:38 AM                                                                                                                    
                                                                                                                                
CO-CHAIR MEARS advised Mr. Smith  to continue with the PowerPoint                                                               
presentation to comply with federal requirements.                                                                               
                                                                                                                                
9:00:07 AM                                                                                                                    
                                                                                                                                
MR.  SMITH  directed  attention  to  a  PowerPoint  presentation,                                                               
titled "Public Hearing Community  Services Block Grant" [included                                                               
in  the committee  packet],  beginning on  slide  2, "A  National                                                               
Network  Working  Together,"  which  read  as  follows  [original                                                               
punctuation provided]:                                                                                                          
                                                                                                                                
       • RurAL CAP is a member of the National Community                                                                        
     Action Partnership (NCAP)                                                                                                  
     • NCAP includes 1,000+ local Community Action Agencies                                                                     
     and State Associations                                                                                                     
       • RurAL CAP is the only Community Action Agency in                                                                       
     Alaska                                                                                                                     
                                                                                                                                
9:01:44 AM                                                                                                                    
                                                                                                                                
MR. SMITH discussed  RurAL Cap's mission on slide 3,  which is to                                                               
empower   low-income   Alaskans  through   advocacy,   education,                                                               
affordable  housing, and  direct services  that respect  Alaska's                                                               
unique values  and cultures.   He explained the graphic  on slide                                                               
4,  which  showed  the  intersection  of  rural  housing,  family                                                               
services, and community development.                                                                                            
                                                                                                                                
9:05:42 AM                                                                                                                    
                                                                                                                                
MR. SMITH  advanced to slide 5,  which showed a map  of statewide                                                               
service  providers  across  Alaska.   He  described  RurAL  Cap's                                                               
strategic  5-year goals  and  external  strategic initiatives  on                                                               
slide  6:  housing in  rural  Alaska,  local leadership  capacity                                                               
building, and workforce development.                                                                                            
                                                                                                                                
9:09:43 AM                                                                                                                    
                                                                                                                                
MR. SMITCH concluded  on slide 7, "Statewide  Impact," which read                                                               
as follows [original punctuation provided]:                                                                                     
                                                                                                                                
     FY 2024 Highlights                                                                                                         
     • 596 Alaskans obtained safe and affordable housing                                                                        
      • 880 children across 21 communities received early                                                                       
     childhood services                                                                                                         
     • 418 Alaskans experienced improved health and safety                                                                      
     due to improvements within their homes                                                                                     
                                                                                                                                
9:11:55 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HOLLAND  asked  what  RurALCap  is  doing  as  it                                                               
relates  to   entrepreneurship  in  struggling   communities  and                                                               
socioeconomic situations.                                                                                                       
                                                                                                                                
MR.  SMITH  said  education,  training, and  jobs  are  the  real                                                               
solution to long-term sustainability.                                                                                           
                                                                                                                                
9:15:05 AM                                                                                                                    
                                                                                                                                
JASMINE BOYLE, Chief Development  Officer, RurAL CAP, shared that                                                               
RurAL CAP  has 150  unique programs and  400-500 employees  in 60                                                               
communities   across  the   state.     She  spoke   to  workforce                                                               
development and  the training  of employees  in villages  off the                                                               
road system, as  well as programs like Parents as  Teachers.  She                                                               
highlighted the  Alaska Vocational  Technical Center  (AVTEC) and                                                               
Alaska  Legal Services  as  two of  RurAL  CAP's best  successes.                                                               
RurAL  CAP  is also  focusing  on  workforce development  in  the                                                               
construction  field  to ensure  that  local  workforce can  seize                                                               
economic opportunities.   She concluded that RurAL  CAP is taking                                                               
a wide lens on workforce  development to ensure that new economic                                                               
opportunities  are  providing  jobs  and  economic  security  for                                                               
Alaskan families in the long-term.                                                                                              
                                                                                                                                
9:25:42 AM                                                                                                                    
                                                                                                                                
MS. BOURNE, in response to  a series of questions about measuring                                                               
goals,  explained  that  the board  meets  quarterly  to  discuss                                                               
priorities  and goals  to further  the development  of the  state                                                               
plan.                                                                                                                           
                                                                                                                                
9:27:09 AM                                                                                                                    
                                                                                                                                
MS. BOYLE said  the CSBG Act requires Tribes to  submit a plan to                                                               
receive the grant,  which is the approximately  $2.5 million that                                                               
comes  to community  action organizations  for rapid  response to                                                               
community needs.   As part of the CSBG  administration, RurAL CAP                                                               
provides  regular updates  to the  committee.   Historically, the                                                               
committee  has requested  an update  on everything  RurAL CAP  is                                                               
doing in  Alaska.  She added  that CSBG funding offsets  the cost                                                               
of  childcare programs,  construction  costs  for rural  housing,                                                               
service delivery  for community  partners, and  is utilized  in a                                                               
variety of ways, which are  summarized in the federal fiscal year                                                               
2025  (FFY  25)  CSBG  State  Plan  [included  in  the  committee                                                               
packet].  She  characterized the CSBG as the glue  that holds all                                                               
other funding  together and acts  as a buffer for  the continuity                                                               
and delivery of services when funding changes.                                                                                  
                                                                                                                                
9:37:09 AM                                                                                                                    
                                                                                                                                
MS. BOURNE,  in response to a  series of questions, said  the FFY                                                               
2026 state  plan isn't due to  the U.S. Department of  Health and                                                               
Human Services until  August 29, 2025.  As such,  RurAL CAP is in                                                               
the  beginning states  of gathering  information on  the proposed                                                               
use of  the $2.3  to $2.5  million, so there  is time  to provide                                                               
additional  information and  hear input  from legislators  on the                                                               
FFY  2025 plan.   She  said  the FFY  2025 State  Plan offers  an                                                               
example  of  the information  being  proposed  in the  2026  CSBG                                                               
funding, adding  that a draft  example of the proposed  2026 plan                                                               
would be provided to the committee for feedback.                                                                                
                                                                                                                                
9:40:57 AM                                                                                                                    
                                                                                                                                
CO-CHAIR HIMSCHOOT,  in response  to confusion about  the purpose                                                               
of  the hearing,  clarified  that the  legislature  must hold  an                                                               
informational  hearing  every  three  years  to  fulfill  federal                                                               
requirements,  but she  questioned  whether the  purpose of  this                                                               
hearing  is to  receive an  overview on  funding decisions  or to                                                               
offer input.   She asked  how much of  the CSBG is  state funding                                                               
and whether the 24-member board is offering state level input.                                                                  
                                                                                                                                
9:42:45 AM                                                                                                                    
                                                                                                                                
MS. MOLLER said  the CSBG program is fully funded  by the federal                                                               
government with no  state match and up to 5  percent allotted for                                                               
state  administrative  services.   In  response  to a  series  of                                                               
questions,  she reiterated  that CSBG  funds are  used to  offset                                                               
unknowns or emergency funding.   She confirmed that 95 percent of                                                               
the CSBG funding is awarded to  RurAL CAP - notwithstanding the 5                                                               
percent  for state  administrative costs    as  RurAL CAP  is the                                                               
only state service action program in Alaska.                                                                                    
                                                                                                                                
CO-CHAIR  HIMSCHOOT  clarified   that  the  Community  Assistance                                                               
Program  (CAP) and  RurAL CAP  are  completely separate  programs                                                               
with CAP being state and RurAL CAP being federal.                                                                               
                                                                                                                                
MS. MOLLER, in  response to a question from  the co-chair, stated                                                               
that RurAL  CAP is  composed of both  state and  federal funding;                                                               
however, she  reiterated that the  CSBG program is  only federal.                                                               
It's  run through  DCRA to  enhance the  services that  RurAL cap                                                               
provides.                                                                                                                       
                                                                                                                                
9:51:21 AM                                                                                                                    
                                                                                                                                
MS. BOYLE added  that about 65 percent of RurAL  CAP's funding is                                                               
through   the  federal   government  and   the  remaining   is  a                                                               
combination of  competitive grants  that are applied  for through                                                               
the  state, Tribal  partners, local  municipalities, and  private                                                               
sector partners.  She added that  RurAL CAP also has its own for-                                                               
profit subsidiary  that helps  offset some  projects.   RurAL CAP                                                               
does not  receive any  direct funding from  the state  that's not                                                               
applied  for  through  a  competitive  grant.    She  shared  her                                                               
understanding  that  the  purpose   of  today's  presentation  is                                                               
informational  to share  what's being  done with  the passthrough                                                               
funding from the federal government.                                                                                            
                                                                                                                                
9:58:06 AM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Community  and Regional  Affairs Standing  Committee meeting  was                                                               
adjourned at 9:58 a.m.                                                                                                          

Document Name Date/Time Subjects
2025 DCRA CSBG Presentation to HCRA 4.3.25.pdf HCRA 4/3/2025 8:00:00 AM
Community Service Block Grant Program
2025 RurAL CAP CSBG Presentation to HCRA 4.3.25.pdf HCRA 4/3/2025 8:00:00 AM
Community Service Block Grant Program
Alaska FFY25 CSBG State Plan.pdf HCRA 4/3/2025 8:00:00 AM
Community Service Block Grant Program
FFY23 Alaska CSBG Factsheet.pdf HCRA 4/3/2025 8:00:00 AM
Community Service Block Grant Program
DNR Response to HRES re wildland fire at 3.14.25 meeting.pdf HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HJR 15
HJR 15 Fiscal Note 4.1.2025.pdf HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HJR 15
HB 133 Sponsor Statement - Version G.pdf HCRA 3/25/2025 8:00:00 AM
HCRA 3/27/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HCRA 4/10/2025 8:00:00 AM
HB 133
HB 133 - Version G 3.8.25.pdf HCRA 3/25/2025 8:00:00 AM
HCRA 3/27/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HCRA 4/10/2025 8:00:00 AM
HB 133
HB 133 Sectional Analysis - Version G.pdf HCRA 3/25/2025 8:00:00 AM
HCRA 3/27/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HCRA 4/10/2025 8:00:00 AM
HB 133
HB 133 Fiscal Note - DOA-OPPM 3.21.25.pdf HCRA 3/25/2025 8:00:00 AM
HCRA 3/27/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HB 133
HB 133 Research - Impact of Delayed Payment.pdf HCRA 3/25/2025 8:00:00 AM
HCRA 3/27/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HCRA 4/10/2025 8:00:00 AM
HB 133
HB 133 Testimony - Prompt Payment Resolution -FINAL 3.25.25.pdf HCRA 3/25/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HB 133
HB 133 Written Testimony - Received by 3.26.25.pdf HCRA 3/27/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HB 133
HB 133 Testimony - Received by 3.24.25.pdf HCRA 3/25/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HB 133
HCR 3 Sponsor Statement.pdf HCRA 3/27/2025 8:00:00 AM
HCRA 4/1/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HCRA 4/10/2025 8:00:00 AM
HCR 3
HCR 3 Version A.pdf HCRA 3/27/2025 8:00:00 AM
HCRA 4/1/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HCRA 4/10/2025 8:00:00 AM
HCR 3
HCR 3 Fiscal Note - LEG-COU-3.26.25.pdf HCRA 3/27/2025 8:00:00 AM
HCRA 4/1/2025 8:00:00 AM
HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HCRA 4/10/2025 8:00:00 AM
HCR 3
HB 133 Fiscal Note - DFG-DAS 3.29.25.pdf HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HB 133
HB 133 Fiscal Note - DNR-SSD 3.28.25.pdf HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HB 133
HB 133 Fiscal Note - LAW-WASD 3.28.25.pdf HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HB 133
HB 133 Fiscal Note - DOLWD-CO 3.28.25.pdf HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HB 133
HB 133 Fiscal Note - DCCED-DAS 3.28.25.pdf HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HB 133
HB 133 Testimony - Received by 4.4.25.pdf HCRA 4/3/2025 8:00:00 AM
HCRA 4/8/2025 8:00:00 AM
HB 133