Legislature(2013 - 2014)HOUSE FINANCE 519
04/14/2013 11:30 AM House FINANCE
| Audio | Topic |
|---|---|
| Start | |
| SB18 | |
| HR8 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
CS FOR SENATE BILL NO. 18(FIN) am
"An Act making, amending, and repealing
appropriations, including capital appropriations,
supplemental appropriations, reappropriations, and
other appropriations; making appropriations to
capitalize funds; and providing for an effective
date."
12:16:49 PM
Representative Costello MOVED to ADOPT the proposed
committee substitute for HCSCSSB 18, Work Draft, 28-
GS1798\E, Martin, 4/14/13, (FIN). There being NO OBJECTION,
it was so ordered.
Co-Chair Stoltze noted that the new version was similar to
the Committee Substitute (CS) introduced last night, with a
few additional and corrected projects.
JOE MICHEL, STAFF, REPRESENTATIVE BILL STOLTZE, discussed
the changes in the CS. He pointed out title change
regarding the "CBERRSA, Drainage and Rehabilitation" item
on page 8. Co-Chair Stoltze noted that the change was a
corrective designation.
Mr. Michel pointed out another title change for the
Chugiak/Eagle River parks and recreation audio/video
teleconference system, which was omitted and placed in the
budget for $75 thousand. The Anchorage, Eagle River,
Chugiak road drainage was relabeled as the Anchorage, Eagle
River, Parks Recreation Eagle River High School Stadium
Trails and Lighting Equipment Improvements. Co-Chair
Stoltze clarified that the projects were not in his
district.
Mr. Michel continued that the Anchorage Southcentral Law
Enforcement Tactical Range for $400 thousand was removed
and reinstated at $5 million. He noted the addition of a
line item for $300 thousand for the Fairbanks North Star
Borough North Star Volunteer Fire Department fire engine
replacement project. He added the Fairbanks North Star
Borough North Star Volunteer Fire Department station 34
driver repair project for $40 thousand. He pointed out the
item previously labeled Homer and Soldotna Artificial Turf
Field was relabeled the Soldotna High School Artificial
Turf Field.
Co-Chair Stoltze noted that the change was requested by the
delegation and signed-off by their mayor and members.
Mr. Michel noted that the number was changed from $500
thousand to $1.5 million to reflect the actual cost. Co-
Chair Stoltze added that the actual intent reflecting the
record was in CAPSIS.
Mr. Michel pointed out the Matanuska Susitna Borough
Volunteer Fire Department Mobile Treatment Center for $70
thousand. The Alaska Association of Conservation Districts
language included Kodiak Soil and Water Conservation
District Computer Backup System. He noted that $1 million
was added to the Alaska Association of Conservation
Districts. The $400 thousand was moved from the tactical
center to the correct location of the Alaska Laborers
Construction Industry Training Fund, training facility
site, work and equipment resulting in the new total of $3.4
million.
12:22:20 PM
Mr. Michel stated that the Department of Commerce,
Community and Economic Development had many title and name
changes to reflect the grant recipients.
Mr. Michel continued with the title change made to the
Alaska Native Heritage Center, Mable Pike Education Center
Classroom and Administration Addition. Another title change
was made to the Alaska Public Telecommunications Inc.
Mobile Video and Production Upgrade for an additional $277
thousand.
Co-Chair Stoltze thanked Mr. Michel for detailing the
technical changes.
Mr. Michel continued that the Gladys Wood Elementary School
would replace carpet in all classrooms for $220 thousand.
The Arctic National Wildlife Refuge Program was changed to
reflect a new title; Artic Power, Arctic Energy Issues for
$250 thousand.
12:24:10 PM
Mr. Michel continued to describe the changes. The Hope
Community Resources increment had $940 thousand removed,
eliminating the line item.
Mr. Michel discussed the Treadwell Historic Preservation
Restoration Society for the Treadwell Building Preservation
with an additional $25 thousand included. He noted that
acronyms such as YKCC water systems, which were elongated
for the full name, Yukon Kuskokwim Correctional Center
Water Systems.
12:25:38 PM
Mr. Michel moved from the numbers to the language section.
He mentioned the Alaska Gasline Development Corporation's
(AGDC) $25 million appropriation in the budget. Due to the
passage of HB 4, all of the monies included for AGDC were
placed into the fund created to better track all funding
related to the legislation of HB 4.
Mr. Michel noted other changes in the language section. He
began with section 21, subsection (f), which reflected the
amount of $25 million as appropriated from the general fund
to the Instate Natural Gas Pipeline fund. He mentioned that
a technical amendment would be proposed to correct the
drafting error. The $25 million was intended to come from
the Alaska Housing Finance Corporation (AHFC) fund. Section
26, subsection (b) removed the word "municipal." He noted
that section 32; subsection (g) removed the language "the
unexpended and unobligated balance estimated to be $1.758
million of the appropriation made in 2008 from Department
of Transportation and Public Facilities Kenai Borough Road
Projects was reappropriated to Department of Transportation
and Public Facilities to construct a road to Tanana."
12:28:33 PM
Mr. Michel pointed out section 37, subsection (b),
reappropriation language for the Anchorage Signal System
Emergency Vehicle Preemption which was inserted into Urban
Works Inc. for the purchase of housing for job development
programs. He introduced section 38, a new section. He noted
that section 40, subsection (e) the language "and other
community facilities" was inserted. He noted that section
50 was renumbered reflecting the changes made from the
senate version to the house as additional sections for
reappropriations.
12:30:05 PM
Co-Chair Stoltze OPENED public testimony.
JANICE, WRENTMORE, SKAGWAY, discussed the fiscal note
attached to the Juneau access budget request, which called
for $10 million in FY 13 and increased to $50 million in FY
14. In the year 2020 an unfunded balance for the uncertain
project was $260 million. She pointed out that a
cost/benefit analysis was not available and she believed
that the data would help determine whether the investment
was sound or not. She noted that Representative Bill Thomas
pointed out that the project belonged to Haines and Skagway
as well as Juneau. The Haines and Skagway communities had
concerns about the impacts of the projects. She requested a
complete Environmental Impact Statement (EIS) including
geotechnical issues. The official position of Skagway and
Haines were consistently independent of the positions of
Juneau. The communities supported marine access as the
preferred alternative due to concerns about impacts on the
communities.
12:33:30 PM
PAUL BROWN, ALASKA LEADERS, JUNEAU, stated that the Alaska
Leaders Series was Alaska's history. He appreciated the
legislature's help with the endeavors of the Alaska Leaders
Series. He noted urgency to complete the Ted Stevens story.
He spoke about the untimely death of Ted Stevens, which
left no biographies. He noted that his organization had
compiled an enormous amount of research and was ready to
produce. Financial support was crucial. He recognized that
the budget was tight but he requested the funding, which
would prevent a loss of history. He pointed out that many
of Ted Stevens' peers were aging and the time for
interviews was now.
12:35:52 PM
PAULETTE SIMPSON, ALASKA LEADERS, JUNEAU, echoed the
testimony. She added that many people around the state
supported the project. She stated that the Ted Stevens
story was the Alaska story.
Representative Costello asked if those people requesting
funds would specify the amount.
Mr. Brown replied that the request for the Alaska Leaders
Series was $950 thousand.
12:36:57 PM
GRANT BAKER, ENGINEERING PROFESSOR, ANCHORAGE (via
teleconference), testified the he had worked as an
engineering professor for 25 years. He created several new
engineering programs at University of Alaska Anchorage that
resulted in a tripling of enrollment. He worked with the K-
12 schools to establish engineering academies and other
programs that help to better prepare students for college.
He expressed appreciation for the support of the programs
and the engineering buildings. He stated that the support
meant that billions of dollars in ongoing projects would
remain in Alaska.
12:38:29 PM
HEATHER ARNETT, ASSOCIATION OF ALASKA HOUSING AUTHORITIES
(via teleconference), thanked the committee for statewide
affordable housing programs. She noted that community
leaders around the state were including affordable housing
when developing community and regional economic development
plans. She appreciated the increase in funding for AHFC
supplemental housing developmental grant program to $10
million. She appreciated the restoration of funding to AHFC
senior citizen housing development fund of $4.5 million.
Alaska had the fastest growing senior population in the
United States.
12:39:43 PM
JOHN ZASADA, ANCHORAGE NEIGHBORHOOD HEALTH CENTER,
ANCHORAGE (via teleconference), appreciated support for the
shuttle that connected the downtown transit center with the
new Anchorage Health Center. The health center increased
services by an additional 2500 patients since the initial
CAPSIS request, with an addition of 500 new patients per
month. The shuttle had increased its ridership from 20 per
day in October to 33 per day in April. He was working with
the Anchorage municipality to address a permanent route to
the new health center by 2015.
12:41:05 PM
JOHN CREWS, ALASKA VOCATIONAL TECHNICAL CENTER (AVTEC),
ANCHORAGE (via teleconference), appreciated the capital
funding for phase one of the Diesel Heavy Shop Replacement
and deferred maintenance, which were both crucial to the
continued mission of AVTEC. He requested the reinstatement
of the ice navigation upgrade to the marine simulator at
AVTEC. He asked that the $375 thousand be reinserted into
the capital budget to equip AVTEC with the tools it
required to prepare captains and pilots working in the
uniquely Alaskan waters.
12:42:23 PM
SHEILA HORTON, BEHAVIORAL HEALTH CLINICAL DIRECTOR, COPPER
RIVER NATIVE ASSOCIATION, COPPER CENTER (via
teleconference), thanked the committee for the $2 million
appropriation for completion of the new building. The funds
were important as the center was located in an
unincorporated area with no borough or city to provide
fiscal support. The agency provided services such as a
Village Public Safety Officer (VPSO) program. Copper River
Native Association had a vibrant dental clinic, a health
department with community health aides and a popular elders
program that provided opportunities for the indigenous
population in the Copper River Valley.
12:44:10 PM
GARRY FORRESTER, VALLEY PERFORMING ARTS, MATSU, requested
an increment for Valley Performing Arts. The original
CAPSIS request was $4.7 million and his organization
reduced it to $1.7 million, which was the minimal amount
required to purchase the local theater. The purchase would
produce a return of over $1 million. The most recent
appraisal of the property was $2.8 million. The purchase
and remodeling of the existing structure provided a sound
business decision, which would meet the needs of the
growing community.
12:45:50 PM
LAURIE FAUBERT, CHUGIAK CHILDREN'S SERVICES (CCS) EARLY
LEARNING CENTER, MATSU (via teleconference), testified in
favor of the local Head Start and Learning Center. She
noted that she was a parent, board member and council
member of the Wasilla Head Start and Early Learning Center.
She requested funding of $4 million for the new Palmer Head
Start and administrative offices.
12:46:55 PM
MARK LACKEY, CCS EARLY LEARNING, MATSU (via
teleconference), echoed the testimony requesting $4 million
for a new Head Start facility in the Palmer area.
12:48:09 PM
LEANN MASON, CCS, MAT-SU (via teleconference), spoke in
support of the Head Start program. She worked at the Palmer
Head Start facility and was a grandparent of seven
children. She echoed the request for $4 million for the
expansion of the Head Start facility in Palmer. She stated
that the Head Start program had a 20-year history of
impacting families.
12:49:08 PM
DAN KENNEDY, VALLEY PERFORMING ARTS, MAT-SU (via
teleconference), volunteered for Valley Performing Arts and
testified in support of securing a community asset on the
Parks Highway with the $1.7 million increment. He explained
that Valley Performing Arts was an economic development
engine. He noted that the private sector would fund a
portion of the funding needs for the project.
12:50:04 PM
JANET KENNEDY, VALLEY PERFORMING ARTS, MAT-SU (via
teleconference), spoke in support of a $1.7 million
increment for purchase of the abandoned and foreclosed Mat-
Su cinema. The cinema would be reinvented as a community
theater for theater groups and other gatherings. She
discussed that the current agreement for purchase was
contingent upon state funding.
12:51:31 PM
JOEL FULLER, SELF, MAT-SU (via teleconference), spoke in
support of funds for the West Dowling Road Phase II. He
mentioned the Department of Transportation and Public
Facilities' application in the Corp of Engineers for
construction of the connector. He pointed out an agreement
with the Municipality of Anchorage who would participate in
the funding and take over responsibility from Department of
Transportation and Public Facilities. He strived to ensure
that the connection was constructed.
12:52:38 PM
TIFFANY MUKAABYA, MATSU (via teleconference), testified in
support of the $4 million request for a new CCS center in
Palmer. She pointed out that the area was growing and that
CCS had a remarkable reputation in Palmer. She explained
that her child suffered from anxiety and depression and
Head Start provided many new opportunities for growth and
happiness despite the experience of many deployments.
12:54:21 PM
ANNE MARIE SANFORD, CCS, MATSU, testified in support of
funding for $4 million for the new CCS Head Start facility
in Palmer. She stated that CCS made a positive impact on
her family's life.
12:55:26 PM
DOMINIQUE PRIDE, ALASKA CENTER FOR ENERGY AND POWER,
FAIRBANKS (via teleconference), testified in appreciation
for the funding for the Alaska Center for Energy and Power
and Applied Energy Resource Institution at the University
of Alaska Fairbanks.
12:56:14 PM
TABER REHBAUM, BIG BROTHERS BIG SISTERS, FAIRBANKS (via
teleconference), testified in appreciation for the
Mentoring for Educational Success Initiative funding in the
capital budget. The funding would assist in meeting the
goal of a 90 percent graduation rate by 2020 across the
state. She mentioned that academic risks and academic
failures had a strong correlation to involvement in the
justice system.
12:57:22 PM
CLARK MILNE, UAF ALUMNI, FAIRBANKS (via teleconference),
testified in support of funding for $30 million for bridge
funding for supplementation of the $100 million
appropriated last year. He noted that the $30 million would
be shared by the University of Alaska Fairbanks (UAF) and
the University of Alaska Anchorage (UAA).
12:58:23 PM
JOMO STEWART, FAIRBANKS ECONOMIC DEVELOPMENT CORPORATION,
FAIRBANKS (via teleconference), [undecipherable]. See Mr.
Stewart's testimony later in the meeting.
12:59:12 PM
ROGER PEARSON, NIKISKI (via teleconference), testified in
support for the Alaska history global web project. He
supported the project which would digitize materials on
Alaska history for museums and libraries around the state.
He stated that 2017 would mark the 150th anniversary of the
transfer of Alaska from Russia to the United States. The
project would honor the past efforts of two great Alaska
leaders; Governor William Egan and Senator Ted Stevens.
1:00:44 PM
LOU BENCARDINO, ALASKA VOCATIONAL TECHNICAL CENTER (AVTEC)
SEWARD (via teleconference), was an Alaska Vocational
Technical Center (AVTEC) board member and was employed as
the dock manager for Alaska Railroad. He noted the request
of $375 thousand.
1:01:55 PM
JIM HUNT, CITY OF SEWARD, SEWARD (via teleconference),
thanked the committee for the $10 million for the Seward
Marine Industrial Center Coastal Villages Home Port Effort.
He noted that the project provided a crucial economic
engine for the region.
1:02:59 PM
JOMO STEWART, FAIRBANKS ECONOMIC DEVELOPMENT CORPORATION,
FAIRBANKS (via teleconference), testified in appreciation
for the legislature's efforts in helping Fairbanks address
its energy issues this session. He appreciated the
difficult decisions and hard work.
1:03:41 PM
RON INOUYE, FRIENDS OF THE UA MUSEUM TANANA YUKON
HISTORICAL SOCIETY, FAIRBANKS (via teleconference),
testified in support of full funding for the completion of
the State Library and Archives and Museum (SLAM) building.
The governor proposed $20 million and the goal was a total
of $50 for project completion. He became interested in the
project after two floods in the State Archive building. He
believed that the new building would streamline services
for museums and archives throughout the state. He pointed
out the potential for economic diversity in Fairbanks as a
result of the project.
1:05:03 PM
MAYOR JIM KACSH, CITY OF CORDOVA, CORDOVA (via
teleconference) testified in support of the Cordova Center
and the original request of $7.7 million. The city secured
an extra $1.3 million reducing the need for state funding.
A partnership from the state was required to access the
EVOS funds and complete the project in 2014.
1:05:53 PM
BRET BRADFORD, CITY OF CORDOVA, COUNCIL MEMBER, CORDOVA
(via teleconference), requested funding for the final $5
million to secure $5.3 million in EVOS funding for the
Cordova Center. The Cordova Center was planned as a state-
of-the-art facility with a library, museum, city hall,
theater and convention facilities.
1:06:53 PM
KRISTIN CARPENTER, CITY OF CORDOVA, COUNCIL MEMBER, CORDOVA
(via teleconference), echoed the request of the Mayor. She
appreciated the consideration for the funds. She
appreciated the committee's consideration of increasing the
funding from the proposed $1 million to $5 million for
completion of the Cordova Center. The new building would
eliminate energy inefficiencies of the existing facility.
The center was designed as an economic development
mechanism.
1:08:15 PM
TIMOTHY ROONEY, CITY/BOROUGH MANAGER, WRANGELL (via
teleconference), requested the reinstatement of the
supplemental revenue sharing to the budget for all of
Alaska's municipalities. The sharing represented $248
thousand additional dollars for Wrangell. The funds were
utilized to offset increased energy costs in the community.
The funds helped to offset reduced revenue resulting from
the senior citizen property tax exemption.
1:10:16 PM
MAYOR LEW WILLIAMS, CITY OF KETCHIKAN, KETCHIKAN (via
teleconference), testified in appreciation for the funding
for reconstruction of the Ketchikan Medical Center. The
center was owned by the city, but operated by Peace Health,
a nonprofit organization. The facility covered Ketchikan,
Prince of Wales Island, Metlakatla, Wrangle and Petersburg.
The center was the number one priority for the region. The
city of Ketchikan would contribute $38 million in bonds
supported by local sales tax.
1:11:22 PM
PATTI MACKEY, KETCHIKAN MEDICAL CENTER FOUNDATION,
KETCHIKAN (via teleconference) testified in appreciation
for the funding budgeted for the center's renovation
project. The hospital and associated facilities were
critical to providing health care throughout Southern South
East Alaska. If the medical center cannot accommodate the
surgical and clinical needs, patients would be required to
travel out of the community incurring increased costs and
disruptions of family life and delays in receiving
lifesaving care.
1:12:32 PM
DAVID JOHNSON, PHYSICIAN, KETCHIKAN MEDICAL CENTER,
KETCHIKAN (via teleconference), requested support for the
center's additions and alterations. The center's surgical
area was aging and limited clinical space affected the
ability to serve patients. The project was critical to
retaining medical staff in the rural Alaskan community.
1:13:40 PM
JULIE SANDE, KETCHIKAN MEDICAL CENTER, KETCHIKAN (via
teleconference), spoke in favor of a request for $20
million for the Ketchikan Medical Center renovation
project. She echoed prior testimony from Ketchikan
regarding the crucial nature of the project.
1:14:15 PM
CINDI SQUIRE, TAKU COMMUNITY COUNCIL DISTRICT (via
teleconference), testified in hope that the $1.5 million
for the Sylvan Drive reconstruction project would remain in
the capital budget throughout the remainder of the
legislative process.
1:15:54 PM
DR. ALEX HILLS, UAA SCHOOL OF ENGINEERING ADVISORY BOARD,
PALMER (via teleconference), echoed the testimony of Clark
Mills from Fairbanks and expressed appreciation for the $30
million appropriation for the new engineering buildings at
UAA and UAF. The new facilities were required for the
education of the Alaska-grown engineers. He stated that he
taught and lectured at many universities around the world.
1:17:38 PM
MAYOR LUKE HOPKINS, MAYOR, FAIRBANKS NORTH STAR BOROUGH,
FAIRBANKS (via teleconference), requested the committee's
consideration of the supplemental revenue sharing $25
million one-time request.
1:18:26 PM
MEERA KOHLER, ALASKA VILLAGE ELECTRIC CO-OP, ANCHORAGE (via
teleconference), testified in request of $1.5 million for a
feasibility analysis of the All-Alaska Energy Plan. The
project encompassed a large scale generation of the North
Slope and developing a large-capacity transmission grid to
serve the entire state. She explained that the project
would capture jobs that had been exported to the Lower 48
and to other countries. Only low-cost energy could reduce
the cost of living in the state. The transmission grid
would allow the state to move power. She requested the
restoration of the item in the capital budget.
1:20:14 PM
LINDA LEARY, CHAIR, ALASKA RAILROAD, SACRAMENTO (via
teleconference), requested $35 million for the Alaska
Railroad for the Collision Control System as mandated by
the federal government for passenger service. The Alaska
Railroad had invested $60 million and required additional
funding for the remaining balance.
1:22:46 PM
LARRY DEVILBISS, MATSU MAYOR SOLDOVIA (via teleconference),
testified in appreciation for $60 million for municipal
revenue sharing. He advocated for the $25 million
supplemental request for municipal revenue sharing.
1:23:40 PM
TIM DILLON, CITY MANAGER, SOLDOVIA (via teleconference)
testified about a reappropriation of $1.9 million for
generators in his rural community. He requested the
reinstatement of the $1.9 million request in the capital
budget.
1:24:23 PM
JEFF GREEN, CRAIG FACILITIES MANAGER, KETCHIKAN (via
teleconference), testified in support of the budget gap
funding of $750 thousand. The Craig facility was the only
year-round buyer of seafood products on Prince of Wales
Island.
1:26:29 PM
JOSH VANDAGRIFF, ANCHORAGE (via teleconference), testified
in support of the $1.5 million project for Sylvan Drive
improvements. He stated that the project would improve the
sidewalk and drains in the densely populated area. The
project would enrich the inhabitant's quality of life as
well as their children's safety.
1:27:20 PM
ROBERT ORAVEC, ANCHORAGE (via teleconference) testified in
support the $1.5 million for the Sylvan Drive project. He
noted that Sylvan Drive was the optimal access to the Old
Seward Highway. He stated that pedestrians used Sylvan
Drive without sidewalks to access the intersection for bus
service.
1:28:33 PM
RENEE MCLAUGHLIN, HISTORIC KETCHIKAN, KETCHIKAN (via
teleconference), testified in support of funding for the
restoration of the Yates Memorial Hospital for $49
thousand. The hospital had 110 years of history and
required key stabilization measures. She added that the
project would yield economic development benefits.
1:29:55 PM
BRIAN LEFFERTS, YUKON KUSKOKWIM HEALTH CORPORATION, BETHEL
(via teleconference), testified in support of the
reinstatement of $5 million in the Department of
Environmental Conservation capital budget as proposed by
the governor. He noted that in-home plumbing was the
greatest health intervention in history. He furthered that
over 4000 homes in rural Alaska lacked running water and
thousands more were served by aging systems at risk of
losing their running water.
1:31:51 PM
RYAN RAY, SET FREE ALASKA, PALMER (via teleconference)
testified for the reinstatement of $1.4 billion to mitigate
the substance abuse issues via the Freedom Project. He
stated that the original request was for $2.6 million and
he requested that the first phase for $851 thousand be
added to the project.
1:33:36 PM
SHIRLEY MARQUARET, AML, UNALASKA (via teleconference),
testified in support of the supplemental funding of $25
million for municipality revenue sharing. She noted that
many communities were struggling with significant financial
pressure due to high energy costs. The funds were used to
help compensate for the high cost of energy. She
appreciated the $60 million in revenue sharing placed in
the budget, but stressed the importance of reinstating the
additional $25 million.
1:34:55 PM
SUSAN KLEIN, VICE PRESIDENT COMMUNITY COUNCIL, ANCHORAGE
(via teleconference), testified in opposition to the Elmore
North Access Extension. She opined that funding the
extension was premature before the district plan was
completed.
1:35:42 PM
ROBERT CLAUS, CHAIR, CRAIG CITY SCHOOL DISTRICT (via
teleconference), supported the addition of $750 thousand
for the inner island ferry system. He noted that school
travel for academic competitions were essential to the
program.
1:36:32 PM
DENNIS WATSON, GENERAL MANAGER, INTER-ISLAND FERRY, CRAIG
(via teleconference), spoke in favor of funds for ferry
service. He explained that the ferry service was essential
and provided a road to resources. He stated that without
the funds the ferry would have to discontinue service. He
urged support for supplemental municipal revenue sharing.
1:38:15 PM
DENNIS JOHNSON, PROGRAM DIRECTOR, ALASKA PRETRIAL SERVICES,
ANCHORAGE (via teleconference), spoke in support of funding
for a pretrial program that provided a service to various
communities. The program had a low rate of recidivism and
helped with treatment of substance abuse problems. He
stated that the program helped save money and paid for
itself.
1:40:06 PM
VENUS WOODS, ALASKA NATIVE JUSTICE CENTER, ANCHORAGE (via
teleconference), testified on behalf on the Partners for
Progress Reduce Criminal Recidivism Program. She expressed
appreciation for the capital budget request.
1:40:37 PM
PAT BRANSON, MAYOR, KODIAK (via teleconference),
appreciated the funding for the $500 thousand in the
capital budget for the replacement for the pump house,
which serviced Kodiak residents' and canneries' water
needs. She requested reconsideration of the funding of the
very important health and safety project.
1:41:36 PM
GARY SNIDER, ANCHORAGE (via teleconference) testified in
support of the removal of $20 million for northern access
to the University and Medical District area. He explained
that residents of the University area were not in favor of
increased traffic.
1:42:17 PM
AMANDA METIVIER, FACING FOSTER CARE IN ALASKA, ANCHORAGE
(via teleconference), testified in support of funding for
the recommended increase for state child protection staff.
She stated that a recent study recommended $22 million in
funding for the staff support that were overburdened and
overworked. The funding would decrease the turnover rates
among state child protection staff.
1:43:18 PM
LESLIE ROHR, LOVE INC., KENAI (via teleconference),
testified in support of the funding for the purchase and
beginning renovation of the future family hope center
project. She noted that Love Inc. in Kenai served over 80
families a year with urgent shelter and transitional
housing. Her organization had support of the school
district and Alaska Housing Finance Corporation (AHFC).
1:44:32 PM
PATRICK CHANDLER, CENTER FOR ALASKA COASTAL STUDIES, HOMER
(via teleconference), testified in support of the $1
million to clean up debris generated by the 2011 tsunami in
Japan. He noted that it was essential to the state's
coastal habitats that the debris was removed as quickly as
possible. He noted that the funding would help protect
Alaskan ecosystems and fisheries.
1:45:34 PM
MERRILL SANFORD, MAYOR, JUNEAU testified in support of the
Juneau access road. He reassured that the majority of the
city assembly had interest in seeing the Juneau access
built following the conclusion of the litigation.
1:46:38 PM
Vice-Chair Neuman CLOSED public testimony.
1:46:49 PM
AT EASE
2:24:21 PM
RECONVENED
Co-Chair Stoltze introduced the amendment packet.
Co-Chair Stoltze MOVED Amendment 1. Representative Costello
objected for the purpose of discussion.
AMEND THE FOLLOWING SUBSECTION
*Sec. 21. FUND CAPITALIZATION
(f) The sum of $25,000,000 is appropriated from
the [GENERAL FUND] Alaska Housing Capital
Corporation Account to the in-state natural gas
pipeline fund (AS 31.25.100).
Explanation: this amendment corrects a fund source for
the in-state natural gas pipeline fund. The funding
source for this appropriation should be from the
Alaska Housing Capital Corporation account, not the
general fund.
Co-Chair Stoltze clarified that the amendment properly
placed the item in the capital budget. Representative
Costello WITHDREW her OBJECTION. There being NO OBJECTION,
it was so ordered. Amendment 1 was ADOPTED.
2:25:38 PM
Co-Chair Stoltze explained that Amendment 2 would be
skipped and reintroduced at the end of the meeting's
amendment process.
Co-Chair Stoltze MOVED Amendment 3. Representative Costello
OBJECTED for the purpose of discussion.
AMEND PAGE 16, LINES 17-20
Kenai Peninsula Borough
[500,000]$1,500,000[500,000]$1,500,000
Soldotna High Schools
Artificial Turf Field (HD 28-30)
Explanation: This amendment increases funding for the
project by $1 million (from $500,000 to $1,500,000).
The additional funding is from the Alaska Capital
Income fund
Mr. Michel discussed the amendment. Amendment 3 changed
page 16, lines 17-20 of the CS. He noted that the title was
corrected and the amount allocated was increased by $1
million.
Co-Chair Stoltze explained that the mistakes made by staff
were excusable in the busy time of the session.
Representative Costello WITHDREW her OBJECTION. There being
NO OBJECTION, it was so ordered. Amendment 3 was ADOPTED.
2:26:47 PM
Representative Thompson MOVED Amendment 4. Co-Chair Stoltze
OBJECTED for discussion.
Page 14, line 13
Delete: Station 34 Driveway Repair
Insert: Station 3 Driveway Repair
Representative Thompson explained the typographical error
changing station 3 to station 34. Co-Chair Stoltze WITHDREW
his OBJECTION. There being NO OBJECTION, it was so ordered.
Amendment 4 was ADOPTED.
2:27:12 PM
Co-Chair Stoltze MOVED Amendment 5. Representative Holmes
OBJECTED for discussion.
AMEND PAGE 59 LINES 10-11
Remove "Research, Restoration"
AMEND PAGE 59 LINES 22
After "Salmon" insert "Research, Restoration and"
Co-Chair Stoltze explained that Department of Fish and Game
staff informed the committee of the need to further define
the language in the fisheries appropriation. Representative
Holmes WITHDREW her OBJECTION. There being NO OBJECTION, it
was so ordered. Amendment 5 was ADOPTED.
2:27:54 PM
Co-Chair Stoltze MOVED amendment 6. Representative Costello
OBJECTED for discussion.
Agency:
Department of Commerce, Community and Economic
Development
Grant to Named Recipient (AS 37.05.316)
Project:
Homer Electric Association, Inc. - Replacement of
Seldovia Emergency Generators
Amount:
$250,000
Funding Source:
Alaska Capital Income Fund
Explanation:
The project would replace two stand-by generators that
provide emergency power to south Kachemak Bay
communities.
To ensure that south Kachemak Bay residents are not
left without power for an extended period of time,
Homer Electric Association has two 1,259 kilowatt
standby generators located at the Gerry Willard
Generation Plant in Seldovia. The two generators are
used to supply power to the area when central station
power is not available. They are critically important
to the area, especially in the winter when an extended
power outage is not uncommon. The existing back-up
generation system in Seldovia is in need of
replacement.
The two refurbished generators are beyond their
expected operating life and are in constant need of
attention while running. Many of the parts needed to
repair these generators are no longer available and,
in past cases, have had to be fabricated overseas and
at great expense. The potential for a breakdown is
increasing each year and the consequences of a
malfunction can be very serious if the weather is bad
and the temperatures are cold.
Co-Chair Stoltze explained that a reappropriation from the
other body for $1.9 million utilized an improper fund
source within the district appropriation. The energy
project was critical and the expectation was created to
fund the project.
Representative Costello WITHDREW her OBJECTION. There being
NO OBJECTION, it was so ordered. Amendment 6 was ADOPTED.
2:29:10 PM
Co-Chair Stoltze MOVED amendment 7. Representative Costello
OBJECTED for discussion.
Page 35, line 3
Delete 175,000
Insert 100,000
Insert New Grant to Names Recipient Agency:
Department of Commerce, Community and Economic
Development
Grant to Names Recipient (AS 37.05.316)
Project:
Junior Achievement of Alaska - Statewide K-12 Business
Education Program
Amount:
$75,000
Funding Source:
General Funds
Explanation:
Funds will be used to support K-12 economic education
programs in Anchorage, Kenai, Fairbanks, and Mat-Su.
Included I the grant is funding to support programs in
rural Alaska. This would include, but no limited to
schools in the North Slope, Northwest Alaska, the YK
Delta, Southeast and Southwest Alaska.
Mr. Michel explained the amendment provided a zero fund
change because no additional monies were added to the
capital budget. The money was simply transferred from one
project to the Junior Achievement of Alaska Statewide K-12
Business Education Program.
Representative Costello WITHDREW her OBJECTION. There being
NO OBJECTION, it was so ordered. Amendment 7 was ADOPTED.
2:29:56 PM
Co-Chair Stoltze MOVED amendment 8. Representative Costello
OBJECTED for the purpose of discussion.
Page 22, following line 21:
Insert new material to read:
Appropriation Items 150,000
General Fund 150,000"
Adjust fund sources and totals accordingly.
Page 22, lines 26-27:
Delete all material.
Adjust fund sources and totals accordingly.
Mr. Michel explained that Amendment 8 was proposed for
House District 1. Funding from federal receipts was
discovered and a new project, The North Pole Archival
System replaced the prior project.
Representative Costello WITHDREW her OBJECTION. There being
NO OBJECTION, it was so ordered. Amendment 8 was ADOPTED.
2:30:44 PM
AT EASE
2:35:21 PM
RECONVENED
Co-Chair Stoltze WITHDREW Amendment 2 and MOVED new
Amendment 2, which was sponsored by all members of the
committee. Representative Costello OBJECTED for discussion.
Sec. A. DEPARTMENT OF COMMERCE, COMMUNITY AND ECONOMIC
DEVELOPMENT. The sum of $21,000,000 is appropriated
from the general fund to the Department of Education
and Early Development to be distributed as capital
grants to school districts according to the average
daily membership for each district adjusted under AS
14.17.410(b)(2)(A) - (D) for student safety and
security enhancement, and for school districts with an
average daily membership of 4,500 or less, for student
safety and security enhancement, for fixed costs and
energy relief.
Sec. B. This Act takes effect July 1, 2013
Co-Chair Stoltze explained that amendment added to the
already existing $25 million. The amendment was education-
based for capital projects addressing safety and security.
The one-time funding would augment the schools funding. He
noted that the larger urban schools displayed a greater
need for security upgrades so the amendment provided
flexibility for the smaller schools to participate in the
security safety and enhancement funding. The funding could
also be used for fixed costs and energy relief.
2:37:25 PM
Representative Holmes supported the amendment and the
ability to supply new security projects to improve the
safety and security. She advocated for a broad
interpretation of the language.
Representative Wilson requested testimony from the
commissioner. She asked if the security upgrades were
linked to the shooting incident in Connecticut.
COMMISSIONER MIKE HANLEY, COMMISSIONER, DEPARTMENT OF
EDUCATION AND EARLY DEVELOPMENT, replied that
superintendents around the state were interviewed following
the Connecticut incident and each school's security needs
were identified.
Representative Wilson asked if the discussion provided a
mandate regarding the budget. Commissioner Hanley replied
yes that safety issues and financial challenges were
identified in the process.
Representative Wilson understood that the survey would be
performed again to address security needs. She wished to be
proactive with the security process. She understood that
her districts were reviewing plans for new locks and a
front door monitor.
2:40:46 PM
Representative Kawasaki asked about larger school districts
and their security measures, which were addressed in other
capital budget items. He asked about rural school districts
and their security needs. Commissioner Hanley replied that
the needs were identified and the best way to address them
was determined. He stressed that each community was
different so a formula was not useful. Decisions about
student safety were made at a local level.
2:41:42 PM
Representative Kawasaki stated that his district composed a
plan for capital appropriations in relation to student
safety needs. He asked if the funding might lapse into a
future year. Co-Chair Stoltze stated that a length of
ability existed for capital projects. The grant would be
treated in a standard method. The grant allowed the school
districts latitude to shift resources from security
initiatives to other needs. The intent of the amendment was
to allow flexibility and to prevent money from being drawn
away from classrooms.
Representative Kawasaki appreciated that the amendment
would provide for enhanced security needs in schools. He
understood that small rural district could now take
advantage of the opportunity for security enhancements
along with the fixed costs of energy. He stated that larger
school districts encountered similar energy concerns,
especially in Fairbanks.
2:44:13 PM
Representative Gara stated that most school districts did
not have the expertise to determine their security needs.
He wondered if the department would provide efficient ideas
for school security to the various districts. Commissioner
Hanley replied that multiple resources for security
existed. The primary resource was the control and monitor
of the building's entrance. He stated that the department
would not be working with the districts to determine the
best resources for their schools.
Representative Gara opined that a central clearing house
would be valuable to the districts without the necessary
expertise. Commissioner Hanley replied that the department
did have access to resources and would share the
information with those districts seeking it.
Representative Gara believed that the department could best
determine the most efficient safety approaches.
Co-Chair Stoltze agreed that the department ought to
provide resources to enable school districts to choose the
optimal security plans. He noted that some districts
deferred such guidelines.
2:46:43 PM
Representative Costello liked the broad nature of the
amendment. She noted additional safety considerations that
were available through the increment. She shared a story
about visiting a school with poorly functioning windows,
which she deemed a fire hazard. She added that drop-off
zones also required additional attention to promote student
safety.
2:48:00 PM
Representative Thompson supported the amendment. He did not
agree with the department dictating the individual school
projects. He shared that larger schools required more
funding to correct their security issues. He noted that
Fairbanks arrived at a $30 thousand per school
appropriation.
2:48:58 PM
Co-Chair Stoltze stated that the fiscal year ending June
30, 2014 would lapse under AS 37.25.020, the traditional
lapse date.
Representative Kawasaki appreciated the additional
intentions stated about the amendment. He asked how the
department anticipated distribution of the funds.
Co-Chair Stoltze explained that the role of the department
was to create the formula.
Commissioner Hanley stated that the intent language of the
amendment was clear. The funds would be distributed per
statutory language based on the adjusted average daily
membership.
Co-Chair Austerman highlighted that the amendment stated a
one-time funding source in the capital budget as opposed to
the operating budget.
Co-Chair Stoltze MOVED that the last line of section (a)
after "energy relief" there would be a period. He MOVED to
DELETE "for the fiscal year ending June 30, 2014" adding a
new section (c) "This Act lapses under AS 37.25.020" as
stated on page 148 of the bill. There being NO OBJECTION,
it was so ordered.
Representative Costello WITHDREW her OBJECTION. There being
NO OBJECTION, it was so ordered. Amendment 2, as amended
was ADOPTED.
Representative Gara MOVED Amendment 9. Co-Chair Stoltze
OBJECTED for discussion.
Page 106, line 27:
Delete "3,390,000"
Insert "5,413,521"
Delete "4,975,000"
Insert "6,998,521"
Page 106, following line 31:
Insert new material to read:
"APPROPRIATION GENERAL
ITEMS FUND
Workload Study Implementation 2,023,521 2,023,521
Social Worker Support Staff"
Adjust fund sources and totals accordingly.
Representative Gara stated that the Office of Children's
Services commissioned a study to address their chronic
workforce shortage. He understood that the commissioner
suggested that master's level social workers were not
necessary to solve the shortage. The shortage levels were
acute in Mat-Su and in the rural areas. He suggested hiring
support staff as determined by a study commissioned in
2011. He lamented that the results of the study were
unavailable during the operating budget process. The
opportunity to address the issue in the operating budget
was missed due to the lack of the study's data. The study's
findings were finally available and the data showed that 45
additional support staff would improve the situation
immensely.
2:54:38 PM
Co-Chair Stoltze noted that the funding vehicle existed for
the operating budget. He expressed discomfort with the
amendment's process.
Representative Wilson assumed that the intent was for the
department to return to the legislature in the operating
budget process to prove the process.
2:55:35 PM
DAVID TEAL DIRECTOR, LEGISLATIVE FINANCE DIVISION, stated
that the amendment changed the structure of the FY 13
budget because it was located in section 7 of the bill. The
amendment would not provide operating money for FY 14. The
amendment added $2 million to the FY 13 budget. He did not
believe that the amendment served the sponsor's intention.
Representative Gara stated that his intention was to
include the amendment in the FY 14 budget. He stated that
he was unable to address the item in the conference
committee.
A roll call vote was taken on the motion.
IN FAVOR: 3
OPPOSED: 8
Amendment 9 FAILED.
Co-Chair Stoltze WITHDREW his OBJECTION. There being NO
OBJECTION, it was so ordered.
Representative Costello MOVED to REPORT HCSCSSB 18 (FIN)
out of committee with individual recommendations.
HCSCSSB 18 (FIN) as amended was REPORTED out of committee
with a "do pass" recommendation.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 18 HCS WORKDRAFT FIN 28-GS1798 E .pdf |
HFIN 4/14/2013 11:30:00 AM |
SB 18 |
| SB 18 EAgencySummary.pdf |
HFIN 4/14/2013 11:30:00 AM |
SB 18 |
| SB 18 E HouseDistrictSummary_impact.pdf |
HFIN 4/14/2013 11:30:00 AM |
SB 18 |
| SB 18 HCS E AMENDMENTS 1-9.pdf |
HFIN 4/14/2013 11:30:00 AM |
SB 18 |
| SB 18 Capital Budget Public Testimony.pdf |
HFIN 4/14/2013 11:30:00 AM |
SB 18 |
| SB 18 Capital Budget Public Testimony 2 .pdf |
HFIN 4/14/2013 11:30:00 AM |
SB 18 |