05/03/1996 08:20 AM House FIN

  SENATE BILL 134                                                              
                                                                               
       "An Act  establishing an  endowment for  the Robert  B.                 
       Atwood  journalism  chair at  the University  of Alaska                 
       Anchorage; and providing for an effective date."                        
                                                                               
  WENDY   REDMAN,   VICE   PRESIDENT,  UNIVERSITY   RELATIONS,                 
  UNIVERSITY OF  ALASKA, noted that  Bob Atwood's contribution                 
  to the  State of  Alaska and  the community  of Alaskans  is                 
  immense.  SB 134 honors him by establishing an endowment for                 
  the  Robert B. Atwood Journalism  Chair at the University of                 
  Alaska-Anchorage.    That  action would  establish  for both                 
  public and private entities to  match contributions from Mr.                 
  Atwood to permanently fund the chair.                                        
                                                                               
  Co-Chair  Hanley  asked  if  there  were any  federal  funds                 
  available for the service.   He questioned if  State support                 
  would  limit that ability.  Ms.  Redman was not aware of any                 
  available federal monies.                                                    
                                                                               
  Representative Brown  questioned why the  Legislature should                 
  be  involved   in  mandating  this   type  of   legislation,                 
  suggesting  that  the  Board  of  Regents should  have  that                 
  responsibility.  Ms. Redman  replied that the bill had  been                 
  accompanied from the  University with  a $1 million  general                 
  fund dollar fiscal  note to be  matched with private  funds.                 
  Traditionally, that is how endowments have been established.                 
  The fiscal note was dropped along the way.                                   
                                                                               
  Representative   Brown   understood   that    Mr.   Atwood's                 
  contribution   was  contingent   on  a  State   match  being                 
  appropriated.  Ms. Redman agreed that had been the  original                 
  intent, although, the community  council has requested  that                 
  the legislation be pursued without  the fiscal note in order                 
  to set it up in statute, thus  giving it more prestige.  She                 
                                                                               
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  suggested that could help to raise the needed private funds.                 
                                                                               
                                                                               
  Representative Brown inquired  how the initial terms  of the                 
  bill would be  carried out  without any money  in the  fund.                 
  Ms. Redman  replied that  to date  $1.3 million  dollars has                 
  been donated;  at this  time, there  is zero  money in  that                 
  fund.  The University is hopeful, that without  the matching                 
  money,  Mr. Atwood will be compelled to contribute the money                 
  he had committed.                                                            
                                                                               
  In response  to Representative  Brown's concern,  Ms. Redman                 
  pointed out  that the University of Alaska  does support the                 
  bill.    Representative  Brown  asked  if  it  was  "normal"                 
  protocol to mandate  endowments.  Ms. Redman  stated that it                 
  was not normal and  that the Board of  Regent's do not  need                 
  the authorization  of the Legislature  to set up  an endowed                 
  chair.                                                                       
                                                                               
  Representative  Martin MOVED  to  report SB  134  am out  of                 
  Committee  with  individual  recommendations  and  with  the                 
  accompanying fiscal note.  There being NO OBJECTION, it  was                 
  so ordered.                                                                  
                                                                               
  SB  134 am was  reported out of  Committee with a  "do pass"                 
  recommendation and  with a zero  fiscal note  by the  Senate                 
  Finance Committee dated 2/23/96.