05/02/1995 08:35 AM House FIN

  SENATE BILL NO. 124                                                          
                                                                               
       "An  Act  relating  to  the  human  services  community                 
       matching grant program; and  providing for an effective                 
       date."                                                                  
                                                                               
  SENATE MIKE MILLER, SPONSOR testified in support of SB  124.                 
  He observed  that the community match for the Human Services                 
  Community Matching Grants Program was set at 30 percent.  He                 
  observed  that the  authorizing  statute was  structured  to                 
  increase  the community  match to 50  percent in FY  96.  He                 
  stressed  that  cities  are  facing  declining  revenues  in                 
  municipal assistance and revenue sharing.  He stated that 30                 
  percent participation should  be maintained.  He  noted that                 
  most  matching  grant  programs only  require  a  30 percent                 
  match.   He  emphasized that the  legislation will  not cost                 
  additional state dollars.                                                    
                                                                               
  In response to a question  by Representative Martin, Senator                 
  Miller clarified that  communities will match $.30  cents on                 
  each  state dollar.   No  additional  state dollars  will be                 
  required.  He  reiterated that cities currently match at the                 
  30 percent level.   He noted  that the current general  fund                 
  contribution  to  the  program  is  $1.7  million   dollars.                 
  Fairbanks  and  Anchorage  contribute  approximately  $500.0                 
  thousand dollars for a total of $2.3 million dollars.                        
                                                                               
  Representative Mulder noted  that a similar bill  was vetoed                 
  by  the  Governor  in  FY  95.   Senator  Miller  could  not                 
  elaborate on why the previous legislation was vetoed.                        
                                                                               
  Representative  Kohring  MOVED  to  report  SB  124  out  of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal note.  There being NO OBJECTION, it  was                 
  so ordered.                                                                  
                                                                               
  SB  124  was reported  out  of  Committee with  a  "do pass"                 
                                                                               
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  recommendation and with a zero fiscal note by the Department                 
  of Health & Social Services.