Legislature(1999 - 2000)

03/08/1999 09:07 AM Senate FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
SB 72  CONSTITUTIONAL BUDGET RESERVE FUND                                                                                       
       APPROPRIATION                                                                                                            
                                                                                                                                
The following overview was taken in log note format.  Tapes and                                                                 
handouts will be on file with the Senate Finance Committee through the                                                          
21st Legislative Session, contact 465-2618.  After the 21st                                                                     
Legislative session they will be available through the Legislative                                                              
Library at 465-3808.                                                                                                            
                                                                                                                                
Time Meeting Convened: 9:07 A.M.                                                                                                
                                                                                                                                
Tape(s):  SFC-99 #48, Side A (000 - 585)                                                                                        
                                                                                                                                
                                                                                                                                
PRESENT:                                                                                                                        
                                                                                                                                
                                                                                                                                
X                                                                                                                               
Senator Parnell                                                                                                                 
X                                                                                                                               
Senator Adams                                                                                                                   
X                                                                                                                               
Senator Torgerson                                                                                                               
X                                                                                                                               
Senator P. Kelly                                                                                                                
                                                                                                                                
Senator Donley                                                                                                                  
X                                                                                                                               
Senator Green                                                                                                                   
                                                                                                                                
Senator Leman                                                                                                                   
                                                                                                                                
Senator Phillips                                                                                                                
X                                                                                                                               
Senator Wilken                                                                                                                  
                                                                                                                                
                                                                                                                                
ALSO PRESENT:  DAN SPENCER, Chief Budget Analyst, Office of                                                                     
Management and Budget; SHARON BARTON, Director, Division of                                                                     
Administrative Services, Department of Administration; NANCY SLAGLE,                                                            
Director, Division of Administrative Services, Department of                                                                    
Transportation and Public Facilities; KATHRYN DAUGHHETEE, Director,                                                             
Division of Administrative Services, Department of Law; BARBARA                                                                 
BRINK, Director, Public Defender Agency, Department of                                                                          
Administration;  David Blaisdell, Staff to Senator Parnell; aides to                                                            
committee members and other members of the Legislature.                                                                         
                                                                                                                                
VIA TELECONFERENCE:  Andree McCleod, George Hieruntmus, Kadeen                                                                  
Jackson, Michelle Cassano, Melba Cooke and Joan Fisher from                                                                     
Anchorage; David Leone from Fairbanks                                                                                           
                                                                                                                                
                                                                                                                                
LOG                                                                                                                             
SPEAKER                                                                                                                         
DISCUSSION                                                                                                                      
000                                                                                                                             
Co-chair Parnell                                                                                                                
Called the meeting to order at                                                                                                  
approximately 9:07 a.m.  He said the                                                                                            
committee would hear any public testimony                                                                                       
regarding SB 83 at this time.  Testimony                                                                                        
was limited to three minutes.  He                                                                                               
identified Anchorage and Fairbanks as being                                                                                     
on line via teleconference.                                                                                                     
040                                                                                                                             
Andree McLeod via                                                                                                               
teleconference from                                                                                                             
Anchorage                                                                                                                       
Explained the "Grants Management                                                                                                
Information" spreadsheet as faxed this date                                                                                     
by the Anchorage LIO.  With reference to                                                                                        
page three of the faxed documents she felt                                                                                      
the money for the Department of Health and                                                                                      
Social Services was too much and not being                                                                                      
properly accounted for.                                                                                                         
                                                                                                                                
Co-chair Parnell                                                                                                                
Monies not being tracked by Department of                                                                                       
Health and Social Services                                                                                                      
                                                                                                                                
Andree McLeod                                                                                                                   
Referred to monies CSED sent, but what                                                                                          
about the portion not accounted for?                                                                                            
                                                                                                                                
George Hieruntmus                                                                                                               
via teleconference                                                                                                              
from Anchorage                                                                                                                  
Asked catastrophic monies be fully funded.                                                                                      
This supplemental request is very                                                                                               
important.                                                                                                                      
                                                                                                                                
Co-chair Parnell                                                                                                                
Advised that CAMA has been fully funded at                                                                                      
the request of Administration.  House                                                                                           
Finance work draft version is also fully                                                                                        
funded.                                                                                                                         
                                                                                                                                
Kadeen Jackson via                                                                                                              
teleconference from                                                                                                             
Anchorage                                                                                                                       
Happy also to hear that CAMA is fully                                                                                           
funded.  Supported the comments made by the                                                                                     
prior testifier, Mr. Hieruntmus.  Asked                                                                                         
committee to give full support.                                                                                                 
                                                                                                                                
Co-chair Parnell                                                                                                                
Happy to announce that subsidized adoption                                                                                      
has also been funded.                                                                                                           
                                                                                                                                
Michelle Cassano                                                                                                                
via teleconference                                                                                                              
from Anchorage                                                                                                                  
American Diabetes Association.  People with                                                                                     
diabetes are in life-threatening situation.                                                                                     
They not only need their medication                                                                                             
supplied, but also medical services to                                                                                          
monitor their situation.                                                                                                        
                                                                                                                                
David Leone via                                                                                                                 
teleconference from                                                                                                             
Fairbanks                                                                                                                       
Director, Resource Center, Fairbanks,                                                                                           
supported subsidized adoption, healthy                                                                                          
families and community health grants and                                                                                        
asked full supplementation of these                                                                                             
programs.                                                                                                                       
                                                                                                                                
Barbara Bennett via                                                                                                             
teleconference from                                                                                                             
Anchorage                                                                                                                       
State Soup Kitchen in Anchorage.  Supported                                                                                     
healthy families.                                                                                                               
                                                                                                                                
Melba Cooke via                                                                                                                 
teleconference from                                                                                                             
Anchorage                                                                                                                       
Supported funding for medication and HIV.                                                                                       
                                                                                                                                
Joan Fisher via                                                                                                                 
teleconference from                                                                                                             
Anchorage                                                                                                                       
Supported funding for medication and health                                                                                     
services.                                                                                                                       
                                                                                                                                
Co-chair Parnell                                                                                                                
Closed the public testimony for SB 83.  He                                                                                      
noted a CS work draft and spreadsheet                                                                                           
should be before all committee members for                                                                                      
their perusal.                                                                                                                  
(brief at ease at 9:23 a.m.)                                                                                                    
                                                                                                                                
Co-chair Parnell                                                                                                                
Called the committee back to order                                                                                              
                                                                                                                                
David Blaisdell                                                                                                                 
Finance staff to Co-chair Parnell was                                                                                           
invited to join the committee.  He briefly                                                                                      
compared the new CS to the original bill.                                                                                       
Section 2: transfer from GF to Federal                                                                                          
Funds.                                                                                                                          
                                                                                                                                
Senator Adams                                                                                                                   
With reference to the disaster declared in                                                                                      
Southeast Alaska, he asked if the money has                                                                                     
been spent, how do we recover it?                                                                                               
                                                                                                                                
Co-chair Parnell                                                                                                                
Asked if his question was in reference to                                                                                       
the Southeast Alaska disaster of October?                                                                                       
                                                                                                                                
Senator Adams                                                                                                                   
Yes.                                                                                                                            
                                                                                                                                
Co-chair Parnell                                                                                                                
Explained there were potential Federal                                                                                          
funds available along with other sources to                                                                                     
cover work already done.                                                                                                        
                                                                                                                                
David Blaisdell                                                                                                                 
Continued explanation.  Money for trails                                                                                        
was not funded.                                                                                                                 
                                                                                                                                
Co-chair Parnell                                                                                                                
Department of Natural Resources suggested                                                                                       
that trails not be funded at this time.                                                                                         
                                                                                                                                
Senator Kelly                                                                                                                   
(Inaudible apparent temporary disconnection                                                                                     
at the table.)                                                                                                                  
                                                                                                                                
Senator Torgerson                                                                                                               
Explained                                                                                                                       
                                                                                                                                
David Blaisdell                                                                                                                 
Section 5: Department of Corrections,                                                                                           
possible transportation savings.                                                                                                
Section 22:  Public Defender not funded.                                                                                        
                                                                                                                                
Senator Adams                                                                                                                   
No balance if Office of the Public Advocate                                                                                     
is funded and not Public Defender.                                                                                              
                                                                                                                                
Co-chair Parnell                                                                                                                
This was at the recommendation of Senator                                                                                       
Wilken as the subcommittee co-chair.                                                                                            
                                                                                                                                
Senator Wilken                                                                                                                  
Looked at the budget.  Agency must                                                                                              
prioritize their caseload in order to get                                                                                       
through this year and then take up matter                                                                                       
next year.                                                                                                                      
                                                                                                                                
Senator Adams                                                                                                                   
                                                                                                                                
                                                                                                                                
David Blaisdell                                                                                                                 
Continued.  Pioneer Homes, Fairbanks boiler                                                                                     
replacement.  Funding for this was                                                                                              
transferred to AHFC.  Increased funding for                                                                                     
certified nursing aides.  Decrement will                                                                                        
come from last year's general fund monies.                                                                                      
                                                                                                                                
Senator Adams                                                                                                                   
New boiler needed for Fairbanks.  Asked                                                                                         
explanation of $500,000.                                                                                                        
                                                                                                                                
David Blaisdell                                                                                                                 
Section 9: Debt Service                                                                                                         
                                                                                                                                
Senator Green                                                                                                                   
Returned to Pioneer Homes.  How will money                                                                                      
be classified for nursing aides?                                                                                                
                                                                                                                                
Co-chair Parnell                                                                                                                
Explained that the funds would be subject                                                                                       
to Legislative appropriation.                                                                                                   
                                                                                                                                
David Blaisdell                                                                                                                 
Debt Service, deleted proposal by the                                                                                           
Executive Branch.  Concerned about                                                                                              
presentation and requested Co-chair Parnell                                                                                     
provide explanation of this section.                                                                                            
                                                                                                                                
Co-chair Parnell                                                                                                                
Explained that in last year's bill the                                                                                          
general fund monies were going into debt                                                                                        
service.  However, the debt has not gone                                                                                        
down.  Wanted to be consistent with the way                                                                                     
Legislative Finance viewed this matter.                                                                                         
                                                                                                                                
David Blaisdell                                                                                                                 
Section 10 (e) (m) (n):  Department of                                                                                          
Health and Social Services.   CAMA had                                                                                          
requested an increase.  Subsidized adoption                                                                                     
would also be funded.  This process                                                                                             
transferred funds from the Federal                                                                                              
government, which in turn would be turned                                                                                       
over to the Department of Community and                                                                                         
Regional Affairs, zeroing out the increase.                                                                                     
                                                                                                                                
Co-chair Parnell                                                                                                                
Further explained the transfer of Federal                                                                                       
monies to the Department of Community and                                                                                       
Regional Affairs.  The department would                                                                                         
then transfer these funds back to help fund                                                                                     
these programs.                                                                                                                 
                                                                                                                                
David Blaisdell                                                                                                                 
Section 12:  increased reduction                                                                                                
Section 14 (d) transfer of equal amounts                                                                                        
from the Alaska State Troopers to Detach.                                                                                       
The Department of Transportation and Public                                                                                     
Facilities funding of the Harborview                                                                                            
facility maintenance was deleted.                                                                                               
                                                                                                                                
Senator Adams                                                                                                                   
What will happen to this facility?                                                                                              
                                                                                                                                
Senator Torgerson                                                                                                               
Requested this be removed from the                                                                                              
Department of Transportation and Public                                                                                         
Facility's budget until Harborview can be                                                                                       
taken over by the City of Valdez.                                                                                               
                                                                                                                                
Co-Chair Sean                                                                                                                   
Parnell                                                                                                                         
Requested Dan Spencer join the committee                                                                                        
and provide comment on any of preceeding                                                                                        
matters.                                                                                                                        
                                                                                                                                
                                                                                                                                
Dan Spencer                                                                                                                     
Chief Budget Analyst, Office of Management                                                                                      
and Budget was invited to join the                                                                                              
committee.  As discussed with staff to Co-                                                                                      
chair Parnell's office earlier, he did not                                                                                      
bring many here to comment.  He thanked the                                                                                     
Co-chair for the opportunity to review and                                                                                      
comment on the proposed CS.                                                                                                     
                                                                                                                                
                                                                                                                                
He said there were some concerns.  Asked                                                                                        
for more time to review the CS.                                                                                                 
                                                                                                                                
                                                                                                                                
Believed attorney general has alleviated                                                                                        
most of their concerns.                                                                                                         
                                                                                                                                
                                                                                                                                
He advised they would have more comment                                                                                         
prepared for tomorrow's meeting.                                                                                                
                                                                                                                                
                                                                                                                                
It was further advised the committee that                                                                                       
there was someone available from the Office                                                                                     
of the Public Defender to testify.                                                                                              
                                                                                                                                
Barbara Brink                                                                                                                   
Director, Public Defender's Office,                                                                                             
Department of Administration was invited to                                                                                     
join the committee.                                                                                                             
Concerned that the Public Defender Agency                                                                                       
would not be funded this year.                                                                                                  
                                                                                                                                
                                                                                                                                
Pointed out why the program that should                                                                                         
have been stabilized was not.                                                                                                   
                                                                                                                                
                                                                                                                                
"Every year we try to estimate the case                                                                                         
load.  This year we had a five-percent                                                                                          
increase.  Our numbers indicate that will                                                                                       
continue to rise."                                                                                                              
                                                                                                                                
                                                                                                                                
She specified that they did not get funding                                                                                     
for rural positions last year.                                                                                                  
Due to case-loads, she explained they could                                                                                     
not leave the vacant positions open.                                                                                            
Referred to comments of the Chief Justice                                                                                       
on Friday that the most expensive cases                                                                                         
were those involving felonies and child                                                                                         
protection.                                                                                                                     
                                                                                                                                
                                                                                                                                
The Court system appointed the Public                                                                                           
Defender to the cases they handle.  They                                                                                        
have no control over their workload or                                                                                          
priorities.  A case has motions that must                                                                                       
be filed.  They have investigation that                                                                                         
must be done.  DNA, blood, and fingerprints                                                                                     
testing must be done.  Unfortunately, the                                                                                       
numbers keep going up.                                                                                                          
Must have enough attorneys to go to Court                                                                                       
to make all appearances.                                                                                                        
Invited all legislators to visit their                                                                                          
local Public Defender office in their                                                                                           
district to see how difficult things really                                                                                     
were.                                                                                                                           
They get furniture donated from the Court                                                                                       
System and Alaska State Troopers.                                                                                               
Must continue to respond to the                                                                                                 
appointments as made by the Court.                                                                                              
                                                                                                                                
Dan Spencer                                                                                                                     
Advised he would testify tomorrow on any                                                                                        
further matter.                                                                                                                 
                                                                                                                                
Co-chair Parnell                                                                                                                
Requested written response to the spread-                                                                                       
sheet attached to the proposed CS.                                                                                              
                                                                                                                                
Dan Spencer                                                                                                                     
Confirmed.                                                                                                                      
                                                                                                                                
Co-chair Parnell                                                                                                                
Amendments clarified.  Must be sponsored by                                                                                     
a member of the Senate Finance Committee.                                                                                       
However, he left the matter up to the                                                                                           
individual member whether he or she wished                                                                                      
to sponsor an amendment as proposed by                                                                                          
another legislator.  Requested two copies                                                                                       
be turned into his office by tomorrow no                                                                                        
later than 11:00 a.m.  Intend to deliver                                                                                        
notebooks sometime tomorrow afternoon or                                                                                        
evening.                                                                                                                        
Will not take up CBR bill, SB 72.                                                                                               
                                                                                                                                
Senator Wilken                                                                                                                  
Western Alaska Fisheries Disaster.  He                                                                                          
referred to where the funds were coming                                                                                         
from and how they were obligated.  Hoped                                                                                        
the committee could get an answer for this                                                                                      
question as originally posed by Senator                                                                                         
Kelly.                                                                                                                          
                                                                                                                                
Co-chair Parnell                                                                                                                
Brought up question as to why they are even                                                                                     
in supplemental.  He did not believe last                                                                                       
year that these fell within the statute.                                                                                        
The bounds of the statute regarding                                                                                             
supplementals have been stretched                                                                                               
considerably.  Will see that there is                                                                                           
legislation this year to tighten this up.                                                                                       
                                                                                                                                
Senator Kelly                                                                                                                   
Heard a comment was made a few days ago                                                                                         
when they spoke that because of lower oil                                                                                       
prices; anything dealing with the oil                                                                                           
industry could be qualified under disaster                                                                                      
relief.  The statute should be looked at                                                                                        
and tightened down.                                                                                                             
                                                                                                                                
Senator Adams                                                                                                                   
Does not mind the committee looking at                                                                                          
different disasters.                                                                                                            
Never protested the amounts individuals                                                                                         
sought as long as they were qualified.                                                                                          
People in rural Alaska are not trying to                                                                                        
gouge anyone.  Would be happy to assist in                                                                                      
working out procedures to seek relief for                                                                                       
different types of disasters.                                                                                                   
                                                                                                                                
Co-chair Parnell                                                                                                                
Co-chair Torgerson will chair calendar of                                                                                       
bills tomorrow.                                                                                                                 
                                                                                                                                
Senator Adams                                                                                                                   
With regards to SB 72, is it anticipated                                                                                        
the bill will be taken up?                                                                                                      
                                                                                                                                
Co-chair Parnell                                                                                                                
Did not anticipate taking up SB 72 today or                                                                                     
tomorrow.                                                                                                                       
                                                                                                                                
                                                                                                                                
Adjourned meeting at approximately 9:58                                                                                         
A.M., tape number 48, Side A at log number                                                                                      
585.                                                                                                                            
                                                                                                                                
SENATE FINANCE COMMITTEE                                                                                                        
LOGNOTES                                                                                                                        
03/08/99                                                                                                                        
                                                                                                                                
                                                                                                                                
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