Legislature(2013 - 2014)SENATE FINANCE 532
01/29/2013 09:00 AM Senate FINANCE
| Audio | Topic |
|---|---|
| Start | |
| SB19 | |
| SB18 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | SB 18 | TELECONFERENCED | |
| *+ | SB 19 | TELECONFERENCED |
SENATE BILL NO. 18
"An Act making appropriations, including capital
appropriations and other appropriations; making
appropriations to capitalize funds; and providing for
an effective date."
9:26:41 AM
Ms. Rehfeld discussed "Senate Bill 18/House Bill 64;
Department UGF/DGF/Other/Fed Summary - Capital Budget"
(copy on file). She shared that the summary included the
mental health capital items. The mental health portion of
the bill totaled $14.50 million; of that, $12.650 million
were general funds. The total proposed Capital Budget for
FY 14 was $1.838 billion. The UGF request was $795.237
million at roughly 44 percent; DGF was $74.617 million at
roughly 4 percent; other funds were $56.580 million at
roughly 3 percent; federal funds were $911.948 million at
49 percent of the total requested budget. The DGF included
the Renewable Energy Grant Funds and the Regional Education
Attendance Area Fund. Other funds included the
International Airport and statutory designated receipts.
Co-Chair Meyer noted that the bulk of the federal funds
were used for transportation. Ms. Rehfeld agreed.
Co-Chair Meyer stressed that the federal dollars were
"driving" much of our transportation programs. Ms. Rehfeld
replied that some of the other funds that were leveraged
were the request for the municipal water and sewer and
projects.
Co-Chair Meyer wondered if the federal funding for the
roads had been decreasing in recent years. Ms. Rehfeld
replied that there had been a continuation of a
considerable amount of federal funding. She explained that
Department of Transportation and Public Facilities (DOT/PF)
could provide a more detailed response.
9:30:46 AM
Ms. Rehfeld stated that Sections 1 through 3 of SB 18 were
the numbers sections. In the capital budget, Section 1 was
organized by department; and the projects were listed in
priority within each agency with the deferred maintenance
request at the end. The only exception was DOT/PH, because
their requests were listed in a program area with the
requests listed in alphabetical order. She stated that the
detail budget books contained listings of the projects in
order by reference numbers. She explained that Section 2
was the funding sources for the appropriations for Section
1 by department. Section 3 was the total summary of the
funding sources for Section 1.
Ms. Rehfeld stated that Section 4 was the federal and other
program receipt language for the LB&A provisions. Section 5
was for fund capitalizations, including the General
Obligation (GO) bond language. Section 6 was a fund
transfer section, which included the $25 million from the
general fund (GF) into the Energy Grant Fund. Section 7
regarded insurance claims. If there was a settlement for an
insurance claim, it could be used for the Catastrophic
Reserve Risk Management account. Section 8 was the National
Petroleum Reserve Alaska (NPRA) Grants estimated to be
$3.945 million in FY 14. These funds came from the sale,
rental, bonus, or royalties on leases issued within the
NPRA. The funds would be available for appropriation for
communities that were directly impacted by the leases. The
annual grant application process was prepared by DCCED.
Ms. Rehfeld stated that Section 9 was a reappropriation of
$1.750 million from the Akiak Rural Power System Upgrade.
This upgrade was completed for approximately $4.5 million,
and a portion of that was federal funding from the Denali
Commission. There was a balance in the project that was
requested for reappropriation to a rural power system
upgrade in Atmautlauk. Section 10 was a reappropriation of
balances in Department of Environmental Conservation (DEC)
for the engineering and management of municipal water and
sew projects. Section 11 was a reappropriation of
approximately $2 million from the Kodiak Near Island
facility in the Department of Fish and Game (DFG) to be
redirected to DFG's hunting and fishing licensing system.
Ms. Rehfeld shared that Section 12 were the lapse
provisions for the various sections, mostly related to
capital lapse provisions for reappropriations and fund
transfers. Section 13 declared that the reappropriations
would be effective June 30, 2013. Section 14 was the
effective date of July 1, 2013 for the FY 14 capital
budget.
Ms. Rehfeld highlighted some specific funding sources. She
stated that OMB proposed to spend $120.2 million from the
Alaska Housing Capital Corporation Fund, which was set up
in 2006 with a $300 million appropriation. Since that time,
there had been other appropriations into that fund and
interest had been earned. She stressed that there were
needed investments in order to grow the economy. The $95.2
million request for the Susitna Watana project and the $25
million Alaska Gasline Development Corporation, totaling
$120.2 million.
9:38:54 AM
Ms. Rehfeld shared that $20.745 million out of AIDEA
dividends that were proposed to fund 3 Roads to Resources
programs and one other: $8.5 million for Ambler; $7.5
million for the Dalton Highway; $2 million for a smaller
program; and $2.745 for the strategic minerals assessment.
Senator Hoffman wondered if there was a location within the
budget for the Roads to Resources projects. Ms. Rehfeld
replied that Ambler and Dalton Highway were specifically
written in the budget, and the $2 million for the smaller
program would be outlined by DOT/PF.
Ms. Rehfeld stated that the Alaska Housing Finance
Corporation (AHFC) dividends were currently lower than
three years prior. In the current budget proposal, $10.6
million in AHFC dividends was directed completely to their
debt service.
Ms. Rehfeld pointed out that there was no request for using
the Alaska Capital Income Fund that had a balance of
approximately $76 million
Ms. Rehfeld summarized the projects in the proposed budget:
Susitna Watana project; weatherization and home energy
rebates and renewable energy; the infrastructure, highways,
aviations, and village safe water; the Nightmute School and
the Kwigillingok school deferred maintenance.
Co-Chair Meyer wondered if the last two schools' requests
mentioned were a result of the Kaysulie lawsuit. Ms.
Rehfeld responded that Nightmute was the next school that
was on the "Kaysulie List" for funding in FY 14, and was a
$33 million project. It was funded in 2012, but the funds
were not available to complete the project. The next school
on the "Kaysulie List" was Kwethluck, which would be
addressed in the FY 15 budget.
9:43:19 AM
Co-Chair Meyer wondered if the State Library and Museums
Project (SLAM) was complete. Ms. Rehfeld replied that the
previous request of $20 million for SLAM would not complete
the project, because $50 million was required to complete
SLAM. She stressed that the governor supported SLAM.
Co-Chair Meyer noted that there were many projects that
were in-progress. He stressed the need to focus on
completing projects. He wondered why the Engineering
Buildings for the University of Alaska Anchorage (UAA) and
University of Alaska Fairbanks (UAF) were not included in
the list of requests. Ms. Rehfeld that OMB was supportive
of the Engineering Buildings project, but there was
imperative work that was required for existing University
of Alaska buildings.
Senator Hoffman expressed gratitude for the addition of $50
million for the weatherization and home energy rebate
programs. He wondered if there was a conversation regarding
the mobilization of the workforce to implement the rebate
programs. Ms. Rehfeld responded that there was discussion
regarding the success of the programs. She understood that
there was currently more demand that what workers were able
to accomplish.
SB 18 was HEARD and HELD in committee for further
consideration.
9:47:46 AM
AT EASE
9:48:36 AM
RECONVENED
Co-Chair Kelly discussed the week's agenda, and
housekeeping.
| Document Name | Date/Time | Subjects |
|---|---|---|
| FY2014 Governor Capital Budget Department Summary 1 29 2013.pdf |
SFIN 1/29/2013 9:00:00 AM |
SB 18 |
| FY2014 Operating Budget - Summary by Department 01 29 2013.pdf |
SFIN 1/29/2013 9:00:00 AM |
SB 19 |
| 2 6 13_Sen Kelly Sen Meyer- State Match and Maintenance of Effort Requirements for Federal Funds.pdf |
SFIN 1/29/2013 9:00:00 AM |
SB 19 |