05/02/1995 08:35 AM House FIN

  SENATE BILL NO. 142                                                          
                                                                               
       "An   Act  establishing   the  Alaska   Human  Resource                 
       Investment Council and  transferring certain  functions                 
                                                                               
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       of  other  entities  to  the  council;  establishing  a                 
       planning mechanism  for employment  training and  other                 
       human resource  investment needs; and providing  for an                 
       effective date."                                                        
                                                                               
  BOB ROBADEAU, OFFICE OF THE LIEUTENANT GOVERNOR testified in                 
  support of SB  142.  He  noted that similar legislation  was                 
  vetoed by Governor Hickel.  He stressed that SB 142 attempts                 
  to  address concerns  by agencies  that  were raised  by the                 
  previous  legislation.   He  observed  that the  legislation                 
  consolidates  three   federally  mandated  councils.     The                 
  Governor's Council  on Vocational Education, the  Alaska Job                 
  Training  Council  and  the   Employment  Security  Advisory                 
  Council would  be combined  into the  Alaska Human  Resource                 
  Investment Council.  He noted that  the bill requires no new                 
  general fund dollars.   He observed  that federal funds  are                 
  directly  earmarked for  the  councils.   He noted  that the                 
  councils are needed to garner federal funds.  He stated that                 
  the new  Alaska Human  Resource Investment  Council will  be                 
  housed in the  Office of the  Governor.  He emphasized  that                 
  the Council can be used as an economic development tool.                     
                                                                               
  Representative Therriault questioned the need for section 1,                 
  Legislative Findings  and Purpose.   Mr.  Robadeau spoke  in                 
  support of retaining section 1.                                              
                                                                               
  Representative Parnell noted  that there is a  fiscal impact                 
  note for the Office of the Governor.  Mr. Robadeau clarified                 
  that  interagency   transfer  dollars   would  be  used   to                 
  consolidate oversight by  the Office of  the Governor.    He                 
  emphasized  that  a  savings will  be  realized  by reducing                 
  members from 40  to 23.  He added that the Council will also                 
  save money by reducing the number of meetings from 12 to 4 a                 
  year.                                                                        
                                                                               
  Representative Brown  queried how  existing members will  be                 
  transitioned.    Mr.  Robadeau explained  that  a  six month                 
  sunset will  allow private industry representatives  to plan                 
  their   own  consolidation.      The  Governor   hopes  that                 
  consolidation can occur  through attrition.   He noted  that                 
  specific  seats are  mandated by  federal law.   He stressed                 
  that the existing  councils can  recommend members of  their                 
  own councils that meet  the criteria outlined.   He observed                 
  that the existing councils support the legislation.                          
                                                                               
  Representative  Brown  asked what  can  be done  to increase                 
  resident  hire.    Mr.  Robadeau  emphasized that  it  makes                 
  economic sense to  hire Alaskans  if they are  trained.   He                 
  observed that the  infrastructure to train Alaskans  exists.                 
  He stressed  that the  Council will  be  represented by  the                 
  private sector  consumers.  He  emphasized that some  of the                 
  largest employers in the State are involved.  He stated that                 
                                                                               
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  employers  want to identify jobs  and develop a mechanism to                 
  train Alaskans.   He pointed out that  Congress approved the                 
  consolidation of councils in 1993.   Since then, twenty  one                 
  states have consolidated.                                                    
                                                                               
  Representative  Therriault   MOVED  to  delete   section  1,                 
  Legislative   Findings   and   Purpose.       Representative                 
  Grussendorf OBJECTED.   He  emphasized that council  members                 
  will be from  the public and could benefit  from legislative                 
  direction.                                                                   
                                                                               
  Representative Therriault  MOVED to  amend his  amendment to                 
  delete  (a),  page  1,  line  7  through page  2,  line  13.                 
  Representative Grussendorf OBJECTED.                                         
                                                                               
  Representative Parnell noted that the purpose  section could                 
  be included in a sponsor statement or other direction to the                 
  Council.                                                                     
  A  roll  call vote  was  taken on  the  MOTION to  amend the                 
  amendment.                                                                   
                                                                               
  IN FAVOR: Brown,  Grussendorf,   Navarre,  Kelly,   Kohring,                 
  Martin,        Mulder, Parnell, Therriault                                   
  OPPOSED:  (none)                                                             
                                                                               
  Co-Chair Hanley  and Co-Chair  Foster were  absent from  the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (9-0).                                                     
                                                                               
  A  roll call  vote was  taken on the  main MOTION  to delete                 
  section 1 (a).                                                               
                                                                               
  IN FAVOR: Kelly,   Kohring,    Martin,   Mulder,    Parnell,                 
  Therriault OPPOSED: Brown, Grussendorf, Navarre                              
                                                                               
  Co-Chair Hanley  and Co-Chair  Foster were  absent from  the                 
  vote.                                                                        
                                                                               
  The MOTION PASSED (6-3).                                                     
                                                                               
  Representative Navarre MOVED  to incorporate  section 1  (a)                 
  into  a  House Finance  Committee Letter  of Intent.   There                 
  being NO OBJECTION, it was so ordered.                                       
                                                                               
  Representative Parnell MOVED  to report  HCS CSSB 142  (FIN)                 
  out  of  Committee  with  individual  recommendations,   the                 
  accompanying fiscal notes,  and the House  Finance Committee                 
  Letter  of  Intent.   There being  NO  OBJECTION, it  was so                 
  ordered.                                                                     
                                                                               
  HCS CSSB 142 (FIN) was reported out of Committee with  a "do                 
                                                                               
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  pass" recommendation and a House Finance Committee Letter of                 
  Intent,  and with a fiscal impact  note by the Office of the                 
  Governor dated 3/27/95, and with  six zero fiscal notes  all                 
  dated 3/27/95  by the  University of  Alaska, Department  of                 
  Education,  Department  of  Labor, Department  of  Health  &                 
  Social  Services,   Department  of  Commerce   and  Economic                 
  Development,  and  Department  of   Community  and  Regional                 
  Affairs.