Legislature(1999 - 2000)
04/20/1999 08:09 AM House CRA
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
HCR 6 - TASK FORCE: TRANSFER STATE FUNCTIONS Number 2749 CO-CHAIRMAN HARRIS announced that the final order of business would be HOUSE CONCURRENT RESOLUTION NO. 6, Establishing the Task Force on the Impacts of Transfers of Governmental Functions to Local Governments. REPRESENTATIVE BERKOWITZ, Sponsor of HCR 6, stated that there is much tension between the state and local governments due to the current budget shortfall. This resolution, HCR 6, would form a task force in order to manage the transfer of services and responsibilities from the state to the local level as well as vice versa. Representative Berkowitz expressed concern with how local governments will be effected by cuts to municipal assistance and revenue sharing. Therefore, the consequences should be studied in order to manage the transition in a manner that results in the least amount of dislocation and concern at the local level. REPRESENTATIVE MURKOWSKI inquired as to why the task force as proposed under HCR 6 does not include anyone outside of the legislature; is there a cost issue? REPRESENTATIVE BERKOWITZ stated that HCR 6 utilized the standard form for task forces. He was amenable to including others and thought it appropriate to include members of local government. REPRESENTATIVE MURKOWSKI noted that often federal money comes into the state with strings. She suggested that perhaps, it would be appropriate for the task force in HCR 6 to also review the federal-state relationship as well as the state-local relationship. REPRESENTATIVE BERKOWITZ said that made sense. He acknowledged the intertwining of the local, state, and federal government which he indicated was difficult to separate. The more the links between the three can be understood, the better the relationships between the three can be managed to minimize the impact on citizens. TAPE 99-26, SIDE B CO-CHAIRMAN HARRIS asked if HCR 6 is an attempt to delay the impacts of these transfers in responsibility. REPRESENTATIVE BERKOWITZ said that he wanted to ensure that the legislature thinks through the consequences of its actions. Some would suggest that HB 200 is the state pushing its taxing responsibilities onto local governments. Regardless of the truth of that notion, he indicated that a more global approach would be better than the piecemeal approach. Representative Berkowitz stated that he opposed cuts to municipal assistance and is not fond of transferring the senior and disabled veteran property tax exemption to the local governments. However, he recognized that he is unable to stop it or slow it down. Representative Berkowitz expressed the need to ensure that those type of concepts are managed well. There will be more such concepts. Representative Berkowitz was confident that these transitions could occur in an intelligent fashion, but with only 29 days left in session he was unsure of whether that could be accomplished in the crisis management mode. CO-CHAIRMAN HARRIS noted his background in local government and felt that including local government members in the task force would be a good idea. He suggested that a paragraph (3) be added to include representation from local municipalities. Number 2780 REPRESENTATIVE MURKOWSKI pointed out that there is a zero fiscal note attached to HCR 6. If public members are added to the task force, would there be a fiscal note. REPRESENTATIVE BERKOWITZ acknowledged that a fiscal note could be necessitated by the inclusion of public members on the task force. However, he believed that the zero fiscal note could be maintained through some fiscal responsibility. Number 2680 JULIE KRAFFT, Director, Member Services, Alaska Municipal League, noted that the committee should have information on the work done by the previous task forces on this issue. Ms. Krafft believed it is important for local government to communicate with state government regarding this. She agreed that the piecemeal approach has often been used and the effects on the local tax payers and the local government have not been discussed. Ms. Krafft supported HCR 6. She felt this would be a good education for all concerned. REPRESENTATIVE MURKOWSKI pointed out that the task force in 1991 included a representative from an unincorporated community and an unorganized borough. She indicated those areas should be represented on the task force created under HCR 6. CO-CHAIRMAN HARRIS announced that HCR 6 would be held. REPRESENTATIVE BERKOWITZ noted that Representative Davies was also contributed in drafting HCR 6.
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