Legislature(1997 - 1998)
03/20/1998 08:15 AM House FIN
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HOUSE BILL NO. 325
"An Act making appropriations for the operating and
loan program expenses of state government, for certain
programs, and to capitalize funds; making
appropriations under art. IX, sec. 17(c), Constitution
of the State of Alaska, from the constitutional budget
reserve fund; and providing for an effective date."
RESULTS BASED GOVERNMENT
Division of Geological and Geophysical Surveys
Water Development
Mining Development
Co-Chair Hanley provided members with mission statements and
performance measures for the Division of Geological and
Geophysical Survey, Water Development and Mining Development
(Attachments 1, 2 and 3).
NICO BUS, ADMINISTRATIVE SERVICES MANAGER, DIVISION OF
SUPPORT SERVICES, DEPARTMENT OF NATURAL RESOURCES observed
that the Department of Natural Resources and the
Subcommittee agreed on all three mission statements.
Representative Davies questioned if "coal" needed to be
added to the mission statement of Mining Development. He
noted that the Department uses "mineral" and "coal"
separately.
DIVISION OF GEOLOGICAL AND GEOPHYSICAL SURVEYS (DGGS)
Representative Davies observed that the Department addressed
his concerns. He pointed out that part of the phrase is
missing from the next to last performance measure. The
performance measure should read "percentage of federal,
state and local agencies using DGGS information to develop
land use plans, building codes and zoning ordinances with
the intent of reducing losses from future geological
events."
Mr. Bus did not have the performance measure "percentage
change in communities with disaster plan" on his sheet.
Representative Davies noted that the Director was notified
and agreed with the performance measure.
Co-Chair Hanley MOVED to ADOPT the mission statement and
performance measures for the Division of Geological and
Geophysical Surveys as contained in Attachment 1 (copy on
file). There being NO OBJECTION, it was so ordered.
WATER DEVELOPMENT
JIM DERRINGER, STAFF, REPRESENTATIVE KELLY observed that the
mission statement for Water Development was moved from the
mission statement of the Division of Mining and Water
Development. The mining portion was removed. There were no
performance measures for damn compliance. A percentage of
dam inspections in compliance was added. Representative
Davies observed that the mission statement still contains a
reference to "mineral" resources. Co-Chair Hanley observed
that the mission statement should be amended to delete
"mineral and". He added that "water" should also be deleted
from the mission statement for Mining Development.
Mr. Bus suggested that "mineral" should remain in the
mission statement for Water Development. He observed that a
lot of the water resource activities support the mineral
industry. Representative Davies noted that the Subcommittee
supported the deletion. Representative Davies acknowledged
that a lot of water rights issues and permits are about
helping mineral development, but emphasized that the Water
Development component focuses on water issues.
In response to a question by Representative Martin, Mr. Bus
stated that the majority of the component's activity relates
to surface water. Representative Davies disagreed. He
pointed out that a lot of residential work is specific to
wells, which are subsurface. He estimated that the majority
of water issues in residential areas relate to subsurface
water.
Mr. Derringer observed that the only change in the mission
statement or performance measures from the last draft is the
addition of the percentage of dam inspections in compliance
under public safety.
Co-Chair Hanley observed that the Senate Finance Committee
is working on different components.
Representative Davies observed that the "percentage of dam
inspections in compliance" should be "percentage of dams
inspected and in compliance". He emphasized that dams
inspected and the numbers of dams in compliance are separate
issues.
Co-Chair Hanley MOVED to ADOPT the amended performance
measure, "percentage of dams inspected and in compliance".
There being NO OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to ADOPT the mission statement and
performance measures for Water Development as contained in
Attachment 2 (copy on file). There being NO OBJECTION, it
was so ordered.
MINING DEVELOPMENT
Mr. Bus stated that he was not clear on the performance
measures, adverse audit findings compared to total audit
findings and aged rentals and royalties received by
commodity over time.
Co-Chair Hanley discussed audit findings. He stressed that
it is not a bad thing to look at the types of audits that
are being done and the kinds of things that are being
identified.
Mr. Bus clarified that the measurement was to do the aging
of rentals and royalties. The Department is required by law
to do audits on the royalties. The desired outcome the
Department is trying to measure is the timely and accurate
deposit of revenues in the treasury. The mining industry is
time sensitive. After a certain number of years the rent
goes up. Mining on state lands is directed at increasing
revenues.
Co-Chair Hanley observed that the intent is to determine how
many payments are past due. He suggested the average time a
payment is late beyond 60 days.
Representative Foster clarified that the first year a mining
claim is staked a $20 dollar fee is paid per 40 acres.
After five years the claim becomes aged and the fee is
increased. The intent is that inactive claims should be
returned.
Mr. Bus noted that Alaska has a good mining business
climate.
Co-Chair Hanley suggested the deletion of the performance
measures, adverse audit findings compared to total audit
findings and aged rentals and royalties received by
commodity over time.
Representative Davies explained that the Subcommittee wanted
to measure the timeliness but felt that it was a measure of
the permitting operation. Mr. Bus noted that it would still
be measured and reported as an internal measure.
Representative Davies suggested that the performance
measures be adopted as contained in Attachment 3. Mr.
Derringer clarified that "water" would be deleted from the
mission statement. He questioned if "coal" would be
included as a separate item in the mission statement for
Mining Development. He observed that "mining" would not be
identified in the mission statement for Water Development.
Co-Chair Hanley MOVED to ADOPT the mission statement and
performance measures for Mining Development amended to
delete "water" and add "coal". There being NO OBJECTION, it
was so ordered.
Representative Davies questioned if "coal" should be added
to the mission statement for the Division of Mining and
Water Development. Co-Chair Hanley observed that the
Division's mission statement would be taken up at another
time.
In response to a question by Representative Foster, Mr. Bus
observed that the Division of Land administers gravel.
HB 325 was HELD in Committee for further consideration.
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