Legislature(2011 - 2012)SENATE FINANCE 532
03/24/2011 03:00 PM Senate FINANCE
| Audio | Topic |
|---|---|
| Start | |
| HB108 || HB109 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 108 | TELECONFERENCED | |
| += | HB 109 | TELECONFERENCED | |
| + | TELECONFERENCED |
HOUSE BILL NO. 108
"An Act making appropriations for the operating and loan
program expenses of state government, for certain programs,
and to capitalize funds; and providing for an effective
date."
HOUSE BILL NO. 109
"An Act making appropriations for the operating and capital
expenses of the state's integrated comprehensive mental
health program; and providing for an effective date."
3:07:39 PM
Co-Chair Hoffman explained that a packet of amendments
existed for member consideration.
3:08:21 PM
Co-Chair Stedman MOVED to adopt Amendment 1.
Co-Chair Hoffman OBJECTED for purpose of discussion.
TIM GRUSSENDORF, STAFF, SENATOR HOFFMAN, explained
Amendment 1. He stated that the amendment included two
contract agreements ratified and placed before the
committee by the governor:
1. The Alaska Vocational Technical Center Teachers'
Association. If approved by the Legislature, the
monetary terms of this agreement become effective July
1, 2011, and remain in effect through June 30, 2014.
2. The Alaska Higher Education Crafts and Trades
Employees for FY1012 and FY 2013.
Co-Chair Hoffman WITHDREW his OBJECTION.
There being NO OBJECTION, it was so ordered. Amendment 1
was ADOPTED.
3:09:21 PM
Co-Chair Stedman MOVED Amendment 2.
Co-Chair Hoffman OBJECTED for purpose of discussion.
Mr. Grussendorf explained the amendment.
I Education and Early Development
1. DEPARTMENT: Education and Early Development
APPROPRIATION: Teaching and Learning Support
ALLOCATION: Early Learning Coordination
ADD: $380.0 General Funds (UGF 1004)
EXPLANATION: Additional funding for Best Beginnings.
2. DEPARTMENT: Education and Early Development
APPROPRIATION: K-12 Support
ADD CONDITIONAL LANGUAGE:
A school district may not receive state education aid
for K-12 support appropriated under sec. 1 of this Act
and distributed by the Department of Education and
Early Development under AS 14.17 if the school
district
(1) has a policy refusing to allow recruiters for any
branch of the United States military, Reserve
Officers' Training Corps, Central Intelligence Agency,
or Federal Bureau of Investigation to contact students
on a school campus if the school district allows
college, vocational school, or other job recruiters on
a campus to contact students;
(2) refuses to allow the Boy Scouts of America to use
school facilities for meetings or contact with
students if the school makes the facility available to
other non-school groups in the community; or
(3) Has a policy of refusing to have an in-school
Reserve Officers' Training Corps program or a Junior
Reserve Officers' Training Corps program.
Amendment 2 1 of 10
[Department of Environmental Conservation
1. DEPARTMENT: Environmental Conservation
APPROPRIATION: Environmental Health ALLOCATION: Air
Quality
ADD: $155.0 General Fund (1004) and 1 PFT
EXPLANATION:
Air quality permits will need to be in place before
construction can begin on a gas pipeline project.
Major construction permits take a minimum of three
years to complete. Currently the Division of Air
Quality is working with the Alaska Pipeline Project,
the Denali Project and the Alaska Stand Alone Gas
Pipeline Project on air quality permit requirements.
The FY20 12 funding request reflects the division's
expectation for increased work on pipeline projects.
The addition of an Environmental Engineering Associate
I (range 21) will allow the Division to efficiently
handle the expected increase of air permit work
associated with this major new infrastructure within
the state in addition to other resource development
permitting.
The $55,000 in General Fund Program Receipts will
assist with the recovery of direct permit related
costs. The $155,000 General Fund request for FY2012 is
intended to provide some initial flexibility during
the next fiscal year as gas pipeline efforts increase.
With several pipeline related proposals being worked
on within the state, the Division anticipates that
there will be some costs that are not permit-specific
as various projects move forward. This could include
work on Environmental Impact Statement (EIS) reviews
or the development of approaches that collectively
assist multiple companies through common data
collection.
2. DEPARTMENT: Environmental Conservation
APPROPRIATION: Spill Prevention and Response
ALLOCATION: Contaminated Sites Program
ADD: $20.0 General Fund (1004)
EXPLANATION:
This amendment restores the original increment request
of $20,000 in General Funds to complete an
Environmental Impact Study and identification of
contaminated sites during the gasline planning stage.
The Environmental Impact Statement process will
require identification of contaminated sites along the
right-of-way as well as fuel spill prevention and
mitigation measures. During construction of the
pipeline the Department must conduct inspections,
assessments, and cleanup of any contaminated soil or
groundwater that occurs as a result of oil and
hazardous substance releases at construction camps or
other pipeline support infrastructure.
Amendment 2 2 of 10
3. DEPARTMENT: Environmental Conservation
APPROPRIATION: Water ALLOCATION: Water Quality
ADD: $82.0 General Fund (1004)
1 PFT Environmental Engineer II
EXPLANATION:
This amendment restores the original increment request
of $82,000 in General Fund to establish a full time
Environmental Engineer II position (range 23) to work
in the Water Division on the gas pipeline project.
The AGIA process requires the applicant have the
Environmental Impact Statement (EIS) out for public
comment by June 2014, so scoping and drafting needs to
begin approximately January 2012. A full time
position, beginning half way through FY20 12, is
needed to begin work with the applicant to address
wetlands, water and wastewater issues in the scoping
and drafting of the Environmental Impact Statement
(EIS) permits need to be in place as part of that
process. The applicant therefore needs to start
working on these permits at least 18 months (January
2013) prior to the June 2014 due date in order to
address agencies concerns, identify mitigation
measures and complete a thorough public comment
process. Division of Water work includes wetlands,
storm water and domestic wastewater discharge permits.
The most significant workload will be associated with
storm water permits needed to address the run off from
construction activities. DEC has been delegated
permitting responsibility from EPA for all waste water
permitting. Additional permitting will consist of
issuing the state certifications of Corps of
Engineers' permits for activities in waters and
wetlands. Wastewater discharge permits will be
required for field planning and construction camps.
Amendment 2 3 of 10
Fish and Game
1. DEPARTMENT: Fish and Game APPROPRIATION: Habitat
ALLOCATION: Habitat
ADD: $103.5 General Fund (1004)
EXPLANATION:
The Senate Finance subcommittee eliminated the
Governor's increment for the lead position of gasline
projects. This increment was to support one new Range
20 Habitat Biologist IV PCN 11-1968 position to be
stationed in Fairbanks. It would support the
Division's participation in planning/permitting of gas
line projects.
The impact of not funding this request is that the
Division would be entirely dependent upon the project
developer to fully fund positions, travel, and all
other associated costs necessary for the division to
fulfill its statutory obligations in regard to the
review and permitting of this project. Further, loss
of this funding/position would eliminate the
Division's ability to plan and work on these projects
in advance of a reimbursement agreement being in
place.
I Health and Social Services
1. DEPARTMENT: Health and Social Services
APPROPRIATION: Public Health ALLOCATION: Nursing
ADD: $450.0 General Funds (1004) and 7 PFTs.
EXPLANATION:
Pay for the increased cost of the Norton Sound Nursing
Program after the Norton Sound Health Corporation's
grant is returned to the State.
Assuming direct provision of public health nursing
services comes at a higher cost to the State than when
the Norton Sound Health Corporation operated the
program, the most notable being that salaries and
benefits for state public health nurses are higher
than what Norton Sound Health Corporation pays and
other state costs are higher.
Requested funds, in combination with the grant funding
NSHC was receiving, will support hiring 7 staff,
leasing clinic and office space, traveling to the
villages to provide itinerant public health nursing
services, purchasing supplies and equipment, and
paying overhead costs, such as utilities and phone
service. This
Amendment 2 4 of 10 includes a one-time $30,000
purchase of office supplies and medical equipment for
the facility. Without these funds, existing resources
in the rest of the State will have to be stretched to
provide necessary services to this area. Public health
nurses will need to travel from Anchorage and other
parts of the State to Nome and the Bering Strait
villages to provide services; other services will no
longer be available at all
2. DEPARTMENT: Health and Social Services
APPROPRIATION: Senior and Disabilities Services
ALLOCATION: Senior and Disabilities Services
Administration
ADD: $300.0 General Fund Mental Health (1037)
EXPLANATION:
The $300,000 will support the Traumatic/Acquired Brain
Injury Program in Senior and Disabilities Services.
The Alaska Mental Health Trust Authority approved this
recommendation for the FY 12 budget, but it was not
included in the Governor's Budget.
If this money is not included in the budget, the
Traumatic/Acquired Brain Injury
Program Mini-Grant program will go away. The Trust
funded this projected in FYll with MHTAAR funds. These
grant funds are important because many people with TBI
do not qualify for Medicaid or other state assistance
because their disability is mostly cognitive and not
physical These funds help people get a
neuropsychological exam, assistive technology and
memory devices, treatment, and more.
In addition to the grant program, the $300,000 will
support the development of the Traumatic/Acquired
Brain Injury Longitudinal registry which was a
requirement in SB 219. Funds are needed to contract
someone to develop the registry, and then work with
providers to encourage participation in the registry.
I Department of Law
1. DEPARTMENT: Law APPROPRIATION: Civil Division
ALLOCATION: Oil, Gas and Mining
ADD: $2,700.0 General Funds (1004), IncOTI
EXPLANATION:
The Department of Law's Oil, Gas and Mining section
continues to play a major role in the State's top
priority project related to the construction of a gas
pipeline and bringing natural gas to market. A number
of contracts with outside counsel and experts are
underway and will continue as needed. Funding will
assist the department in the preparation of
legislation and implementation of a comprehensive plan
to commercialize North Slope gas. This amendment
reinstates the amount requested in the Governor's
budget. The subcommittee deferred this request to full
finance.
Amendment 2 5 of 10
Natural Resources
1. DEPARTMENT: Natural Resources APPROPRIATION: Land &
Water Resources ALLOCATION: Alaska Coastal and Ocean
Management
DELETE: Entire allocation -all funding and positions.
$ 2,679.0 Federal Receipts (code 1002) $ 1,672.6 GtF
Match (code 1003) $ 95.5 ItA Receipts (code 1007) $
244.6 CIP Receipts (code 1061) $ 4,691.7 Total
Permanent Full Time Positions 33
EXPLANATION:
The Alaska Coastal Management Program will terminate
July 1, 2011 unless legislation is enacted and signed
by the governor that extends the sunset provision of
AS 44.66.020 (a) and the related effective date. The
appropriation for the program should properly appear
in a fiscal note attached to the pending legislation.
I University of Alaska
1. DEPARTMENT: University of Alaska APPROPRIATION:
University of Alaska Anchorage ALLOCATION: Anchorage
Campus
ADD: $311.1 General Funds (U GF) 1004 $ 15.0
University Receipts (DGF) 1048
EXPLANATION:
$326.l for UAA Recruitment and Retention of Alaska
Natives into Nursing (RRANN)/ Nursing Workforce
Diversity. This addition will replace federal funds
which are no longer available in FY12 to the RRANN
program. Since students
Amendment 2 6 of 10 were first admitted to this
program in 1999, 120 Alaska Native nurses have
graduated. There are currently 65 pre-majors and 35
students in the clinical nursing programs. This
program provides tutoring, interaction with role
models, stipends and other forms of assistance to
students across the State, many of whom come from
small rural village schools and from families with no
previous college graduates. The State is far from
achieving general population equivalence for nurses
from under-represented minorities in Alaska. Patient
care has been shown to improve when culturally aligned
staff is involved, particularly for elders and others
with language and cognitive issues. The requested
funding will support three existing program staff.
2. DEPARTMENT: University of Alaska APPROPRIATION:
University of Alaska Anchorage ALLOCATION: Anchorage
Campus
ADD: UAA Health Sciences Building Staffing $392.6 UGF
(1004) + 4 PFT
EXPLANATION:
In 2008, the Senate Finance Committee approved $46
million in funding for the University of Anchorage
Health Sciences Building in the interest of increasing
the number of qualified medical professionals in
Alaska. That investment has now come to fruition. For
next fiscal year, we have committed funding the heat,
water, and other operating necessities. It is now
incumbent on our Committee to finish what we started
and fund the staffing that will allow the new building
to operate at full capacity. These four positions will
staff state of the art clinical simulation
laboratories. These laboratories connect classroom
learning with hands on experience, so that young
medical professionals are more ready to deploy their
skills immediately upon graduation. A failure to fund
this new staffing will leave those laboratories
unutilized, which undermines our previous investments
and perpetuates Alaska's shortage of qualified medical
professionals.
I Courts
1. DEPARTMENT:
APPROPRIATION:
ALLOCATION:
ADD:
DEPARTMENT:
Alaska Court System Therapeutic Courts Therapeutic
Courts
$79.9 General Funds (1004)
Health and Social Services
Amendment 2 70f10
APPROPRIATION: Behavioral Health ALLOCATION: Alcohol
Safety Action Program
ADD: $79.9 Inter-Agency Receipts (1007) and 1 PFT
EXPLANATION:
This amendment brings funding for case management at
the Anchorage Municipal Wellness Court in line with
other misdemeanor therapeutic courts in the state by
providing case management services through the Alcohol
Safety Action Program.
Probation Officer 1.0 FTE =$79,921. The probation
officer works directly with participants, monitoring
compliance with the treatment plan and other court
requirements. The probation officer also manages
referrals to treatment and other ancillary services
such as housing, medical care, and job placement.
2. DEPARTMENT: Department of Administration
APPROPRIATION: Legal & Advocacy Services ALLOCATION:
Public Defender Agency
ADD: $172.2 Unrestricted General Funds 1004
ALLOCATION: Office of Public Advocacy
ADD: $66.7 Unrestricted General Funds 1004
DEPARTMENT: Department of Law
APPROPRIATION: Criminal Division
ALLOCATION: Criminal Justice Litigation
ADD: $3.3 Unrestricted General Funds 1004
DEPARTMENT: Alaska Court System
APPROPRIATION: Alaska Court System
ALLOCATION: Trial Courts
ADD: $242.2 riA Receipts 1007 DELETE: $242.2
Unrestricted General Funds 1004
EXPLANATION: This amendment completes the effort
initiated in FY11 to distribute funding for transcript
costs directly into the requesting agencies'
Amendment 2
8 of 10 budgets (specifically the Departments of
Administration and Law). FY11 covered the costs of
Grand Jury transcripts, while this FY12 amendment
addresses funding for Appellate transcripts. This net-
zero amendment transfers general funds from the Court
System to the Departments of Administration and Law,
and provides for an offsetting amount of inter-agency
receipts within the Court System.
I LANGUAGE Sections
1. Amend section 20(g) to read:
(g) The sum of$300,000 is appropriated from the
general fund to the Office of the Governor for [GRANTS
FOR] the purpose of providing [TRAUMA INFORMATION TO
CAREGIVERS OF] appropriate trauma-informed behavioral
health intervention and treatment services to victims
of domestic violence or sexual assault for the fiscal
year ending June 30, 2012.
Add the following subsections to the Fund Transfers
section (Sec. 241.
Effective Date: July 1, 2011.
1.
The amount of punitive damages deposited into the
general fund under AS.09.17.020G) for the fiscal years
ending June 30, 2007, through June 30, 2012, estimated
to be $120,000, is appropriated from the general fund
to the civil legal services fund (AS 37.05.590).
2.
The unexpended and unobligated balance on June 30,
2011, of the accounts of the Alaska Housing Capital
Corporation, a subsidiary of the Alaska Housing
Finance Corporation created under AS 18.56.086,
estimated to be $387,178,400, is appropriated to the
budget reserve fund (AS 37.05.450(a)).
Add the following under a NEW Fund Transfers section
(Sec. 25): Effective date: June 30, 2011
1.
(a) The unexpended and unobligated balance on October
31,2010, of the former regional cruise ship impact
fund (AS 43.52.230(c)), repealed by sec. 12, ch. 101,
SLA 2010, estimated to be $3,259,900, is appropriated
to the commercial passenger vessel tax account (AS
43.52.230(a)).
2.
(b) The sum of$22,659,900 is appropriated from the
general fund to the large passenger vessel gaming and
gambling tax account (AS 43.35.220) established as
Amendment 2 90f10 a subaccount within the commercial
vessel passenger tax account
(AS 43.52.230(a)).
3.
(c) The sum of$400,000,000 is appropriated from the
general fund to the power cost equalization endowment
fund (AS 42.45.070).
4.
(d) The sum of $60,000,000 is appropriated from the
general fund to the Alaska marine highway system
vessel replacement fund (AS 37.05.550).
5.
(e) The sum of $1, 000,000,000 is appropriated from
the general fund to the budget reserve fund (AS
37.05.540(a)).
3:17:04 PM
Senator Olson asked about the last item which noted $1
billion transferred to a budget reserve fund. He wondered
whether the fund referred to was the Statutory Budget
Reserve (SBR) or the Constitutional Budget Reserve (CBR).
Mr. Grussendorf replied SBR.
Co-Chair Hoffman WITHDREW his OBJECTION.
KAREN REHFELD, DIRECTOR, OFFICE OF MANAGEMENT AND BUDGET,
discussed the amendment. She looked forward to working with
the committee during the conference committee process.
3:18:42 PM
AT EASE
3:18:59 PM
RECONVENED
Senator Ellis advocated for saving before spending. He
noted the large component of savings in the bill. He asked
for a total of savings established by the legislation.
Co-Chair Hoffman answered Page 9 Items 1 and 2 and Page 10
identified the savings.
Mr. Grussendorf responded that the total savings equaled
$1,869,178,400.
DAVID TEAL, LEGISLATIVE FINANCE DIVISION, responded that he
did not categorize the gambling tax as a savings account.
He surmised that the total savings was $1.46 billion.
Co-Chair Hoffman clarified that the numbers appeared in the
operating budget due to an understanding with the House
regarding the supplemental budget. The savings amounts were
initially included in the supplemental budget, but because
of the disagreement, the savings amounts were moved to the
operating budget. The conference committee would decide the
amount of savings.
Mr. Grussendorf informed the committee about a technical
correction for Amendment 2. He explained that Page 4, Item
1 for Department of Fish and Game showed $103.5 general
fund, but one position was added. The position was not
reflected in the first portion of the Amendment.
Co-Chair Hoffman WITHDREW his OBJECTION. There being NO
OBJECTION, it was so ordered. Amendment 2 was ADOPTED.
3:23:34 PM
Co-Chair Stedman MOVED to report SCSCSHB 108, as amended,
adding one permanent full time position to the Department
of Fish and Game amendment on Page 4 out of committee with
individual recommendations.
There being NO OBJECTION, it was so ordered.
Co-Chair Stedman MOVED to report SCSCSHB109 out of
committee with individual recommendations.
There being NO OBJECTION, it was so ordered.
SCSCSHB 108 was reported out of committee with individual
recommendations.
SCSCSHB 109 was reported out of committee with individual
recommendations.
Co-Chair Hoffman thanked the citizens of Alaska for their
public testimony and interest in the operating budget.
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