Legislature(2017 - 2018)SENATE FINANCE 532
04/25/2018 01:30 PM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| SB142 | |
| HB316 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 142 | TELECONFERENCED | |
| + | HB 316 | TELECONFERENCED | |
| + | TELECONFERENCED |
SENATE BILL NO. 142
"An Act making appropriations, including capital
appropriations, supplemental appropriations,
reappropriations, and other appropriations; making
appropriations to capitalize funds; and providing for
an effective date."
1:35:51 PM
Vice-Chair Bishop MOVED to ADOPT the committee substitute
for SB 142, Work Draft 30-GS2565\O (Martin, 4/24/18).
Co-Chair MacKinnon OBJECTED for discussion.
1:36:06 PM
AT EASE
1:37:47 PM
RECONVENED
1:37:57 PM
LAURA CRAMER, STAFF, SENATOR ANNA MACKINNON, explained the
committee substitute (CS). She pointed out the differences
and changes between the governor's proposed budget and the
current version. She noted that the governor had also
introduced a nontraditional capital request bill that was
contingent on the passage of some form of revenue. She
stated that the CS included some items in the governor's
contingency bill. She thanked the work of the various
departments and the Legislative Finance Division (LFD) on
the development of the budget. She read from a prepared
statement:
Section 1, Pages 2-10: Agency capital appropriations
proposed by the Governor and amended by the Senate
Finance Committee
Changes/Highlights:
Page 2, line 19: Bulk Fuel Upgrades uses nearly
$5 million in AIDEA Dividends to replace UGF
Page 3, lines 18-20: Added the Cruise ship tender
dock reconstruction for $1,105,000 using Cruise
Vessel Passenger funds
Page 3, lines 31-32: Added the Ketchikan Cruise
ship berth 4 dock expansion for $3,000,000 using
CVP funds
Page 4, lines 5-9: Funds the first 5 projects on
the school major maintenance list $24,203,372
Page 5, lines 14-15: This has to do with the
Pittman Robertson Funds we receive from the
Federal Government there was concern with
overspending the Fish and Game fund, so we have
replaced the $2 million fish and game funds with
$2 million in Statutory Designated receipts and
$2 million in Charter Revolving loan funds
1:40:38 PM
AT EASE
1:40:58 PM
RECONVENED
Ms. Cramer looked at page 4 and noted that the CS included
$24.2 million in maintenance funding for the top five
projects on the Major Maintenance list. She continued to
address her prepared statement:
Page 5, lines 19-20: Funded the Governor's project to
modernize and replace the existing election voting
system $4.8 million $3.8 million is funded using $3
million in federal and $800,000 in reappropriations
found in Section 14 with $1 million currently in the
election fund
Page 5, lines 21-27: Included $20 million to address
deferred maintenance needs within State agencies and
included intent language that the Office of the
Governor prioritize deferred maintenance needs and
distribute the funds to address the highest priority
issues
Page 5, line 28 page 6, line 21: Included IT
projects for State agencies to modernize old systems
and upgrades in order to remain in compliance with
federal requirements
Page 6, lines 25-26: Funded the Emergency Medical
Services Match for Code Blue at the FY18 level of
$500,000
Page 6, lines 29-30: Funded the Pioneer Homes
Renovations and Repair at the FY 18 level of
$1,000,000
Page 7, lines 15-20: Included the projects approved by
the Exxon Valdez Oil Spill Trustee Council using EVOS
funds
Page 7, lines 30-31: Reduced the National Mineral
Security Program funding based on anticipated reduced
funding from the Federal government from $16 million
to $5 million
Page 8, lines 24-25: Included funding for AHFC for
facility deferred maintenance $3 million in Federal
Funds and $3 million of AHCC funds this is in
addition to $3 million in AHFC funds and $1 million
Federal funds included in the operating budget for on-
going maintenance
Page 9, lines 4-5: Funded the Senior Citizen Housing
and the FY18 level - $1 million
Page 9, lines 6-7: Funded the Supplemental housing
development program at the FY18 level - $3 million
Page 9, lines 13-17: In response to the accident that
closed the highway and rerouted traffic for multiple
days Added intent language to the Department of
Transportation directing them to develop a temporary
traffic control plan, as well as emergency traffic
control guidelines for the Glenn Highway from milepost
0 to 35.
Page 9, lines 26-28: Funded the Municipal Harbor
Facility grant fund at $5 million using UGF and a
reappropriations found in Section 22
Page 10, line 6-10:
Funded Federal-Aid Highway match $51 million in UGF
and $14 million in reappropriations found in Section
21
The Federal aid aviation and other non-federal
aid highway program state match can be found in
Section 21
1:47:18 PM
Ms. Cramer continued with her testimony:
Items removed from the Governor's requested budget in
Section 1:
Port of Anchorage $40 million
The Correctional Security Upgrade project
was moved from the numbers section to the
language section as we are funding this using a
reappropriations found in Section 18
The Fish and Game vessel and aircraft
maintenance repair and upgrades was moved from
the numbers section to the language section as we
are using a Reappropriation found in Section 20
Did not include the amendment from the
Governor requesting legal and financial due
diligence relating to AK LNG for DNR and DOR -
$750.0 for both
Did not include the amendment from the
Governor relating to the Enhanced 9-1-1 for
$8,477,000
Removed funding relating to the Adak Airport
operations as it is an item in the operating
conference committee
Public and Community Transportation State
Match $1,000,000 Fully funded Community
Assistance in the Operating Budget which
communities could prioritize the local
transportation match program
Removed the Governor's project for the
Commuter Rail Concept for $4.5 million
Sec. 2 pages 11-13: The breakout of funding by agency
for the appropriations made in section 1
Sec. 3 pages 14-15: The breakout of statewide funding
for the appropriations made in section 1
UGF: $139,492,862
DGF: $$62,951,500
Other: $73,355,000
FED: $1,087,996,679
Sec. 4 page 16: Supplemental capital projects and
grants
Page 16, lines 10-11: Included the project to
move barracks from JBER to Mertarvik to help
relocate the residents of the village of Newtok -
$960.0 leverages $3.8 million in Federal funds
through the Denali Commission
Page 16, lines 15-17: This increase the
appropriation to an EVOS project that was funded
in the FY18 capital budget by $3 million due to
an update appraisal of the land
Page 16, lines 21 26: Funding for the
processing and storage of untested sexual assault
kits statewide - $2.5 million also added intent
language to guide the department in this process
Page 17, line 5: Included the Klutina Lake road
survey project for $350.0 requested by the
governor
Page 17, lines 9-12: Included funding for the
University of Alaska to conduct a study on Long-
acting contraception's and for them to provide
interim reports to the legislature - $500.0
Sec. 5 page 18: Funding by agency for the
appropriations made in Sec. 4
Sec. 6 page 19: Statewide funding for the
appropriations made in Sec. 4
UGF: $10,310,00
Other - EVOS: $3,000,000
TOTAL: $13,310,000
Sec. 7 pages 20: Included some supplemental operating
items proposed by the Governor there are still
several outstanding supplemental items that have not
been agreed to by both bodies.
Sec. 8 page 21: Funding by agency for the
appropriations made in Sec. 7
Sec. 9 page 22: Statewide funding for the
appropriations made in Sec. 7
UGF: $3,795,700
DGF: $780,000
Fed Rcpts: $6,500,000
TOTAL: $11,075,700
Sections 10-19 are primarily Governor's request
supplemental language sections as follows:
Sec. 10 (c) page 23, lines 1-7: Department of
Administration labor contract negotiations and
arbitration support $792,000 extends lapse date
through FY19
Sec. 11 page 23, lines 8-18: Department of Education
and Early Development (a) $400,000 from the municipal
capital project matching grant fund to Mt. Edgecombe
boarding school for maintenance and operation of the
Aquatic Center (b) the 1 percent for arts funds
relating to the aquatic center estimated to be
$200,000 is appropriated to the DEED for equipment,
capital improvements, or maintenance of the aquatic
facility
Sec. 12 page 23, lines 19-23: Department of Health and
Social Services - $5 million to the Alaska temporary
assistance program to satisfy the Federal maintenance
of effort requirement for FY18 and FY19
Sec. 13 page 23, lines 24-27: Department of Law -
$3,370,486 to the civil division for judgments and
settlements for FY18
1:52:54 PM
Ms. Cramer continued with her testimony:
Sec. 14 page 23, line 28 page 24, line 11: Fund
capitalization of the election fund for $3 million
from reappropriations listed in this section
Sec. 15 page 24, lines 12-20: Standard language no
change Federal and Other Program Receipts Standard
Federal receipt authority language for agencies to
receive Federal and other receipt authority from
Legislative Budget and Audit
Sec. 16 page 24, lines 21-25: Standard language no
change Insurance Claims amounts to be received in
settlement of insurance claims are appropriated to the
general fund from the (1) State insurance catastrophe
reserve account or (2) appropriate state agency to
mitigate the loss
Sec. 17 page 24, line 26 page 25, line 31: National
Petroleum Reserve Alaska Impact Grant appropriated
to the Department of Commerce, Community, and Economic
development for capital project grants under the NPR-A
impact grant program. This year's grants total
$11,611,722
Sec. 18 page 26, lines 1-5: Department of Corrections
Reappropriation to the Department of Corrections for
$1,605,479 for security upgrades at correctional
facilities this project was a request from the
administration
Sec. 19 page 26, lines 6-22: No change from what the
Governor proposed - Department of Environmental
Conservation Reappropriations not to exceed $200,000
to the DEC for project administration of water quality
enhancement, water supply, sewage, and solid waste
facilities grants to municipalities
Sec. 20 page 26, line 23 page 27, line 11:
Department of Fish and Game Reappropriations
estimated to be $309,025 to Fish and Game for
maintenance of, repair of, and upgrades to vessels and
aircraft
Sec. 21 page 27, lines 12-24: Department of
Transportation and Public Facilities (a)
Reappropriation of $12,111,142 to DOT for federal aid
aviation match and other non-federal aid highway
program match
Page 27, line 25 -page 33, line 26: Various
reappropriations of to federal aid highway match
Page 33, line 27 Page 34, line 14: Amendment
requested by the Governor - Reappropriations not
to exceed $10 million to DOT, Alaska
international airport system for rehabilitation
of runways and taxiways
Sec. 22 page 34, lines 15-19: Fund Capitalization
Reappropriation $1.97 million to the harbor facility
grant fund for the muni harbor grant program - $3
million in numbers section equals $5 mil for the
program Funds first project on the list Sitka
Crescent Harbor
Sec. 23 page 34, lines 20-22: Fund Transfer The
large vessel gaming and gambling tax account balance
estimated to be $8,700,000 is appropriated to the
Alaska marine highway system fund
Sec. 24 page 34, lines 23-28: Fees collected for NRA
license plates estimated to be $6,000 is appropriated
to the Department of Commerce to be distributed as a
grant to the Alaska SCTP non-profit corporation for
statewide youth shotgun sports programs.
Sec. 25 page 34 page 35 line 3: Reappropriation
estimated to be $98,782 to the City of Kodiak for
design and engineering of a new fire hall due to
structural damage as a result of the earthquake in
2017
1:57:14 PM
Ms. Cramer continued with her testimony:
Sec. 26 page 35, lines 4-20: Reappropriation of
Legislative Appropriations for renovation and repair
of, technology improvements to, and other necessary
projects related to legislative building and
facilities
Sec. 27 page 35, line 21-26: Lapse (a) capital
projects, Insurance claims to state agencies to
mitigate loss, and NPR-A grants lapse (b)
capitalization of funds, insurance claims to the state
insurance catastrophe reserve account, and fund
transfer do not lapse (c) capital projects lapse
unless a fiscal year is specified
Sec. 28 page 35, lines 27-28: Immediate Effective Date
for supplemental capital items and Agency operating
appropriations
Sec. 29 page 35, lines 29-30: June 30, 2018 Effective
Date for Agency reappropriations, other
reappropriations
Sec. 30 page 35, line 31 page 36, line 1: July 1,
2018 Effective Date except as provided in sections 28
and 29
1:58:41 PM
Co-Chair MacKinnon WITHDREW her OBJECTION. There being NO
further OBJECTION, the proposed committee substitute was
adopted.
1:59:01 PM
AT EASE
2:01:03 PM
RECONVENED
Senator Micciche relayed that he had asked for
clarification on the difference between the amount of
Undesignated General Funds (UGF) in the governor's version
and the current version of the bill. He noted that the
difference was $2.8487.9 million lower than the governor's
version.
Vice-Chair Bishop shared that when the committee began to
contain spending and find efficiencies he had looked into
the Department of Transportation and Public Facilities'
(DOT) Highway Equipment Working Capital Fund. He discovered
that previously the fund expended $25 million annually. He
worked with the State Equipment Fleet (SEF) and reported
that last year's and the current year's appropriation was
$15 million. He expounded that after explaining his
methodology for the cuts that included extending the length
of time equipment was used, the SEF were currently using
the same equipment he had identified four year's earlier.
He thanked the department and appreciated working with SEF.
2:03:10 PM
Co-Chair MacKinnon commented that the state continued to
face significant budget deficits. The capital budget was
based on funds from savings and state revenue was not
sufficient to support some of the appropriations without
taking other measures. She acknowledged that there were
additional wants and needs throughout the state. She
prioritized public safety and deferred maintenance through
the reapporpriation process. She looked forward to hearing
public testimony.
Co-Chair MacKinnon announced that public testimony would be
heard the following day.
SB 142 was HEARD and HELD in committee for further
consideration.
2:05:10 PM
AT EASE
2:11:36 PM
RECONVENED
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 316 Supporting Doc ACLU.pdf |
SFIN 4/25/2018 1:30:00 PM |
HB 316 |
| HB316 Sponsor Statement.pdf |
SFIN 4/25/2018 1:30:00 PM |
HB 316 |
| HB 316 Supporting Doc Legislative Research- Convicstions for Marijuana Possession 07-17.pdf |
SFIN 4/25/2018 1:30:00 PM |
HB 316 |
| SB 142 Capital Work Draft version O.pdf |
SFIN 4/25/2018 1:30:00 PM |
SB 142 |
| HB 316 - Response to Sen. MacKinnon question_.pdf |
SFIN 4/25/2018 1:30:00 PM |
HB 316 |