Legislature(1993 - 1994)

03/29/1994 08:00 AM House STA

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
  HB 530 - REQUIRED REPORTS OF STATE AGENCIES                                  
                                                                               
  Number 449                                                                   
                                                                               
  CHAIRMAN VEZEY opened HB 530, sponsored by the Office of the                 
  Governor, for discussion.                                                    
                                                                               
  Number 452                                                                   
                                                                               
  LINDA REXWINKEL, OFFICE OF MANAGEMENT & BUDGET (OMB),                        
  addressed HB 530.  She stated HB 530 is the culmination of a                 
  study by the OMB working with departments to identify annual                 
  reports which were either duplicative, unnecessary, or could                 
  be amended to biennial.  She noted HB 530 reflects those                     
  reports the Governor is forwarding to the legislature for                    
  consideration of reporting requirement amendment or repeal.                  
  She noted the sectional analysis.  HB 530 is an efficiency                   
  measure.  Zero fiscal notes were provided by the                             
  departments.                                                                 
                                                                               
  MS. REXWINKEL noted AS 43.56.018, subsection (c), a                          
  Department of Revenue report similar to those mentioned in                   
  Sections 16, 17, and 18, was inadvertently omitted from HB
  530 in the drafting process.                                                 
                                                                               
  Number 466                                                                   
                                                                               
  CHAIRMAN VEZEY questioned what was omitted.                                  
                                                                               
  Number 467                                                                   
                                                                               
  MS. REXWINKEL answered Section 16, 17, and 18, refer to                      
  reports by Department of Revenue which deal with education                   
  tax credits for the various taxes the department collects.                   
  Inadvertently, AS 43.56.018(c) amending the gas property                     
  tax, was omitted from HB 530.  A letter from Department of                   
  Revenue should be in the packet requesting that section be                   
  included in the bill.                                                        
                                                                               
  Number 476                                                                   
                                                                               
  CHAIRMAN VEZEY stated he did not understand how oil and gas                  
  related to Sections 16, 17, and 18.  Section 16, he                          
  commented, dealt with colleges and universities.                             
                                                                               
  Number 478                                                                   
                                                                               
  MS. REXWINKEL answered Sections 16, 17, and 18, repeal the                   
  annual reporting requirement by Department of Revenue to                     
  Legislative Budget & Audit on the income tax education                       
  credits taken under the Alaska Net Income Tax.  She referred                 
  to page 2.  The gas property tax was inadvertently omitted                   
  from the variety of income tax education credits which are                   
  reported by Department of Revenue.                                           
                                                                               
  MS. REXWINKEL noticed the committee did not have the                         
  Department of Revenue letter and stated she would follow up                  
  on it.                                                                       
                                                                               
  Number 502                                                                   
                                                                               
  CHAIRMAN VEZEY reiterated the intent of HB 530 and inquired                  
  if it would apply to mining operations.                                      
                                                                               
  Number 506                                                                   
                                                                               
  MS. REXWINKEL replied Section 18, AS 43.65.018(c), is the                    
  statute citation which deals with mining.                                    
                                                                               
  Number 509                                                                   
                                                                               
  CHAIRMAN VEZEY asked what Section 16 applied to.                             
                                                                               
  MS. REXWINKEL replied Section 16 applies to Alaska Net                       
  Income Tax Act.  Other sections deal with the Alaska Oil &                   
  Gas Properties Production Taxes, Mining License Tax and                      
  Fisheries Tax, all of which have a reporting requirement to                  
  Legislative Budget & Audit from Department of Revenue on the                 
  education credit associated with those taxes.                                
                                                                               
  Number 516                                                                   
                                                                               
  CHAIRMAN VEZEY asked what the Alaska Net Income Tax Act                      
  (ANITA) was.                                                                 
                                                                               
  MS. REXWINKEL responded she was unable to answer that                        
  question.  She stated there are various taxes and filings                    
  required by businesses and ANITA was probably the corporate                  
  income tax.                                                                  
                                                                               
  Number 524                                                                   
                                                                               
  CHAIRMAN VEZEY asked where on the sectional analysis was the                 
  section that had the inadvertent deletion.                                   
                                                                               
  MS. REXWINKEL answered the section was not on the sectional                  
  analysis because the sectional analysis follows the bill.                    
  Another section should be included.                                          
                                                                               
  Number 534                                                                   
                                                                               
  CHAIRMAN VEZEY stated the sectional analysis had just been                   
  received that morning; therefore, HB 530 would be held in                    
  committee for review until next week.                                        
                                                                               
  CHAIRMAN VEZEY asked how much of HB 530 was house cleaning                   
  and how much was relaxing reporting requirements.                            
                                                                               
  (REPRESENTATIVE ULMER left the meeting at 10:14 a.m.)                        
                                                                               
  Number 543                                                                   
                                                                               
  MS. REXWINKEL answered HB 530 was meant to be house keeping                  
  measures.  The reports were placed into statute prior to                     
  current budgetary provisions and/or under different                          
  organizational structures.  Therefore, either the committees                 
  or commissions are not functioning, and/or the information                   
  is duplicative.  HB 530 is not intended to relax reporting                   
  requirements.  The Governor thought the information was                      
  fully available.                                                             
                                                                               
  Number 552                                                                   
                                                                               
  CHAIRMAN VEZEY questioned the opinion of the Legislative                     
  Budget & Audit.                                                              
                                                                               
  MS. REXWINKEL stated she was not aware of it.                                
                                                                               
  Number 563                                                                   
                                                                               
  REPRESENTATIVE KOTT clarified the costs in the right column                  
  of the sectional analysis were savings.                                      
                                                                               
  Number 564                                                                   
                                                                               
  MS. REXWINKEL affirmed REPRESENTATIVE KOTT.  She stated                      
  those costs are what the departments current project is the                  
  cost of producing those reports, and the amount of money                     
  they would save if the reports were not done.  She noted the                 
  zero fiscal notes and stated most of the dollars are very                    
  nominal, therefore the departments would not have produced a                 
  fiscal note in the first place to receive additional moneys                  
  to produce those reports.  It is not anticipated the                         
  departments budgets will be reduced by the nominal figures.                  
                                                                               
  Number 572                                                                   
                                                                               
  CHAIRMAN VEZEY commented he had seen nothing but zero fiscal                 
  notes.                                                                       
                                                                               
  MS. REXWINKEL stated some of the fiscal notes may include in                 
  the analysis section a detailed list of the nominal amounts.                 
                                                                               
  Number 577                                                                   
                                                                               
  REPRESENTATIVE KOTT clarified he was referring to the                        
  sectional analysis.                                                          
                                                                               
  MS. REXWINKEL stated HB 530 is meant to be noncontroversial.                 
  The Governor's Office worked very hard to pick innocuous                     
  reports to eliminate controversy.                                            
                                                                               
  Number 587                                                                   
                                                                               
  CHAIRMAN VEZEY asked the committee to review the sectional                   
  analysis before the meeting on Thursday; action on HB 530                    
  might be possible.                                                           
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  CHAIRMAN VEZEY adjourned the meeting at 10:19 a.m.                           
                                                                               

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