Legislature(2013 - 2014)SENATE FINANCE 532

03/27/2014 09:00 AM Senate FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ SB 140 AIDEA: ARCTIC DEVELOPMENT PROGRAM/FUND TELECONFERENCED
Heard & Held
+ SB 166 BOARD OF NURSING; NURSES TELECONFERENCED
Moved CSSB 166(FIN) Out of Committee
+ HB 199 VPSO FIREARMS TELECONFERENCED
Scheduled But Not Heard
+= HB 266 APPROP: OPERATING BUDGET/LOANS/FUNDS TELECONFERENCED
Heard & Held
+= HB 267 APPROP: MENTAL HEALTH BUDGET TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
= SB 195 POSTSECONDARY EDUCATION LOANS/GRANTS
Moved CSSB 195(FIN) Out of Committee
CS FOR HOUSE BILL NO. 266(FIN)                                                                                                
                                                                                                                                
     "An  Act making  appropriations for  the operating  and                                                                    
     loan  program  expenses  of state  government  and  for                                                                    
     certain  programs,   capitalizing  funds,   and  making                                                                    
     reappropriations;  and   providing  for   an  effective                                                                    
     date."                                                                                                                     
                                                                                                                                
CS FOR HOUSE BILL NO. 267(FIN)                                                                                                
                                                                                                                                
     "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."                                                                                                        
                                                                                                                                
9:18:14 AM                                                                                                                    
                                                                                                                                
Co-Chair Kelly discussed housekeeping.                                                                                          
                                                                                                                                
9:18:34 AM                                                                                                                    
                                                                                                                                
Co-Chair Meyer MOVED to ADOPT the proposed committee                                                                            
substitute for HB 266, Work Draft 28-GH2671\E (Wallace                                                                          
3/26/14) as a working document.                                                                                                 
                                                                                                                                
Co-Chair Kelly OBJECTED for the purpose of discussion.                                                                          
                                                                                                                                
Co-Chair Meyer MOVED to ADOPT the proposed committee                                                                            
substitute for HB 267, WORK DRAFT 28-GH2673\R (Wallace                                                                          
3/26/14) as a working document.                                                                                                 
                                                                                                                                
9:19:31 AM                                                                                                                    
                                                                                                                                
Co-Chair Kelly OBJECTED for the purpose of discussion.                                                                          
                                                                                                                                
9:20:27 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:21:56 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
9:22:05 AM                                                                                                                    
                                                                                                                                
Mr. Armstrong stated  that the 4 page  narrative in members'                                                                    
packets(copy  on file)  explained  the 19  changes that  had                                                                    
been  incorporated into  the new  committee substitute  (CS)                                                                    
for HB  266 and HB 267.  He noted that the  reports could be                                                                    
found on  the Legislative  Finance website. He  reviewed the                                                                    
changes:                                                                                                                        
                                                                                                                                
     Commerce, Community and Economic Development:                                                                              
     Community and Regional Affairs                                                                                             
     Community and Regional Affairs                                                                                             
     Page 5                                                                                                                     
     Lines 13-14                                                                                                                
     Increase  $50,000  (UGF)  -provides necessary  UGF  for                                                                    
     Kawarek  Inc.  to  provide  sufficient  match  for  the                                                                    
     Federal Aviation Administration funding                                                                                    
                                                                                                                              
     Commerce, Community and Economic Development:                                                                              
     Corporations, Business and Professional Licensing                                                                          
     Page 6                                                                                                                     
     Lines 4-7                                                                                                                  
     Intent   Language    -provides   direction    to   find                                                                    
     efficiencies  and  cost  savings  measures  while  also                                                                    
     limiting  the  burden  of   the  licensing  process  on                                                                    
     license holders                                                                                                            
                                                                                                                              
     Commerce, Community  and Economic  Development Economic                                                                    
     Development (Tourism Marketing):                                                                                           
     Page 6                                                                                                                     
     Line 10 & 19                                                                                                               
     Reduce $800,000 (UGF) -reduces program by 5%                                                                               
                                                                                                                              
     Education and Early Development:                                                                                           
     K-12 Support                                                                                                               
     Foundation Program                                                                                                         
     Page 10                                                                                                                    
     Lines 11-20                                                                                                                
     Intent  -provides policy  guidance to  school districts                                                                    
     utilizing K-12 support funding                                                                                             
                                                                                                                                
     Education and Early Development:                                                                                           
     Teaching and Learning Support                                                                                              
     Student and School Achievement                                                                                             
     Page 10                                                                                                                    
     Lines 31-32                                                                                                                
     Increase  $750,000  (UGF)  -provides  Innovative  Grant                                                                    
     funding                                                                                                                    
                                                                                                                                
     Environmental Conservation:                                                                                                
     Water                                                                                                                      
     Water Quality                                                                                                              
     Page 14                                                                                                                    
     Lines 3-4                                                                                                                  
     Increase  $400,000  (UGF) -partially  restores  funding                                                                    
     associated  with  State  Primacy for  Dredge  and  Fill                                                                    
     Activities                                                                                                                 
                                                                                                                                
     Health & Social Services:                                                                                                  
     Public Health                                                                                                              
     Health Planning and Systems Development                                                                                    
     Page 19                                                                                                                    
     Lines 17-30                                                                                                                
     Increase  $615,500  (UGF) -partially  restores  funding                                                                    
     for the  SHARP Program Intent language  added -provides                                                                    
     additional guidance to the program                                                                                         
                                                                                                                                
     Health & Social Services:                                                                                                  
     Senior Disability Services                                                                                                 
     Senior Community Based Grants                                                                                              
     Page 20 of HB 266 and Page 5 of HB 267                                                                                     
     Lines 15 & 20 of HB 266 and Lines 28 and 33 of HB 267                                                                      
     Increase $345,000  UGF -provides grant funding  for the                                                                    
     senior independent  living program ($200,000  GF/MH for                                                                    
     this program is included in HB 267)                                                                                        
     Increase $200,000  for a one-time  grant to  the Mat-Su                                                                    
     Aging and Disability Resource Center                                                                                       
                                                                                                                                
     Public Safety:                                                                                                             
     Alaska State Troopers                                                                                                      
     Page 29                                                                                                                    
     Lines 29-32                                                                                                                
     Intent  -provides  that  funding  may not  be  used  to                                                                    
     assist  federal  employees   in  enforcing  the  Marine                                                                    
     Mammal  Protection act  of 1972  as it  relates to  sea                                                                    
     otters in Southeast Alaska.                                                                                                
                                                                                                                                
     University of Alaska:                                                                                                      
     Fairbanks Campus                                                                                                           
     Page 38                                                                                                                    
     Lines 3 and 29                                                                                                             
     Increase  $500,000  -provides  funding  to  organize  a                                                                    
     fossil fuel integration program                                                                                            
                                                                                                                                
     Commerce, Community and Economic Development:                                                                              
     Alaska Seafood Marketing Institute                                                                                         
     Alaska Seafood Marketing Institute  Page 60 Lines 11-13                                                                    
     Increase   $388,600   (UGF)   -restores   Y2   of   the                                                                    
     subcommittee's reduction                                                                                                   
                                                                                                                                
     Department of Natural Resources New Language Section:                                                                      
     Page 63                                                                                                                    
     Lines 4-8                                                                                                                  
     Limits the replacement of federal  funding with UGF for                                                                    
     declining federal grants for  the Hot Shot firefighting                                                                    
     crews                                                                                                                      
                                                                                                                                
     University of Alaska:                                                                                                      
     New Language Section                                                                                                       
     Page 63                                                                                                                    
     Lines 19-22                                                                                                                
     $12,500,000  -Contingent  Appropriation -this  language                                                                    
     only takes  effect if the  existing power plant  at the                                                                    
     Fairbanks Campus  utilizes diesel  as its  primary fuel                                                                    
     source for 60 consecutive days                                                                                             
                                                                                                                                
     Office of the Governor:                                                                                                    
     Statewide Fuel Trigger                                                                                                     
     Page 65                                                                                                                    
     Lines 15-16                                                                                                                
     This  amends  the  University  of  Alaska's  allocation                                                                    
     formula  from 10  percent of  the total  plus or  minus                                                                    
     three percent to 15 percent  of the total plus or minus                                                                    
     five  percent. This  change reflects  recent allocation                                                                    
     disbursement within the fuel trigger formula.                                                                              
                                                                                                                                
     Agency-Wide   Technical   Additions  to   the   Numbers                                                                    
     Section:                                                                                                                   
     In-State Natural Gas Pipeline Fund                                                                                         
     Technical  Legislative  Finance   fund  code  amendment                                                                    
     designed   to   meet    accounting   requirements   for                                                                    
     separation   of   the    Alaska   Gasline   Development                                                                    
     Corporation budget  from money spent by  other agencies                                                                    
     at the request of AGDC.                                                                                                    
                                                                                                                                
9:27:57 AM                                                                                                                    
                                                                                                                                
                    Changes incorporated into                                                                               
     Senate CS for CS for House Bill 267 (FIN) 28-GH2673\R:                                                                 
                                                                                                                                
     Health & Social Services:                                                                                                  
     Behavioral Health                                                                                                          
     Services to the Seriously Mentally III                                                                                     
     Page 3 Line 27                                                                                                             
     Increase $75,000 UGF -replaces MHTAAR funding with UGF                                                                     
     Health & Social Services:                                                                                                  
     Behavioral Health                                                                                                          
     Suicide Prevention Council                                                                                                 
     Page 4                                                                                                                     
     Line 21 Increase $60,000 -provides additional funds                                                                        
     for the suicide prevention program needs                                                                                   
                                                                                                                                
     Health & Social Services:                                                                                                  
     Senior Disability Services Senior Community Based                                                                          
     Grants Page 5                                                                                                              
     Lines 28 and 33                                                                                                            
     Increase $200,000 UGF -provides grant funding for the                                                                      
     Aging and Disability Resource Center                                                                                       
                                                                                                                                
     Revenue:                                                                                                                   
     Alaska Mental Health Trust Authority                                                                                       
     Mental Health Trust Operations                                                                                             
     Page 7                                                                                                                     
     Lines 15-16                                                                                                                
     Increase $500,000 -provides funding for a Fetal                                                                            
     Alcohol Spectrum Disorders Media Campaign                                                                                  
                                                                                                                                
9:28:51 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:33:12 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
9:33:26 AM                                                                                                                    
                                                                                                                                
Co-Chair  Meyer pointed  out to  the committee  that the  CS                                                                    
reduced the  tourism marketing money by  $800,000, but noted                                                                    
that the money for  the Alaska Seafood Marketing Institute's                                                                    
marketing program  was increased on  page 2 of the  bill; he                                                                    
assumed that this change put the two on equal footing.                                                                          
                                                                                                                                
Co-Chair Kelly  replied that in  the spirit of  balance both                                                                    
programs  had been  reduced the  same amount.  Mr. Armstrong                                                                    
added that  both programs  had taken  a 5  percent reduction                                                                    
within the CS.                                                                                                                  
                                                                                                                                
9:34:07 AM                                                                                                                    
                                                                                                                                
Co-Chair  Kelly  WITHDDREW  his OBJECTION.  There  being  NO                                                                    
further OBJECTION, Work  Draft 28-GH2671\E (Wallace 3/26/14)                                                                    
and WORK  DRAFT 28-GH2673\R  (Wallace 3/26/14)  were ADOPTED                                                                    
as a working documents for HB 266 and HB 267.                                                                                   
                                                                                                                                
Co-Chair  Kelly noted  that amendments  to the  CS would  be                                                                    
taken up the following day.                                                                                                     
                                                                                                                                
Mr. Armstrong stated  that there would be  an amendment that                                                                    
dealt with the 4 contracts  that had been settled, which was                                                                    
not contained within the current CS.                                                                                            
                                                                                                                                
9:35:14 AM                                                                                                                    
                                                                                                                                
Mr.  Armstrong expressed  appreciation to  Amanda Ryder  and                                                                    
David Teal for their help on the two budget bills.                                                                              
                                                                                                                                
9:35:54 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
10:09:21 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair Kelly  announced an amendment by  Senators Hoffmann                                                                    
Olson and  Bishop. Co-Chair Kelly  requested to be  added as                                                                    
sponsors to Amendment 1.                                                                                                        
                                                                                                                                
10:09:58 AM                                                                                                                   
                                                                                                                                
Senator Hoffman MOVED to ADOPT Amendment 1:                                                                                     
                                                                                                                                
     OFFERED IN: The Senate Finance Committee                                                                                   
     TO: HB 266 / HB 267                                                                                                        
     OFFERED BY:  Senator Hoffman, Senator Bishop, Senator                                                                      
     Olson                                                                                                                      
                                                                                                                                
     DEPARTMENT: Fund Capitalization                                                                                            
     APPROPRIATION: Fund Capitalization (no approps out)                                                                        
     ALLOCATION: Community Revenue Sharing Fund                                                                               
                                                                                                                                
     AMEND LANGUAGE SECTION 25(b) AS FOLLOWS:                                                                                   
                                                                                                                                
     Sec. 25(b):                                                                                                                
     (b)  An  amount equal  to  20  percent of  the  revenue                                                                    
     collected   under  AS   43.20.030(c),  not   to  exceed                                                                    
     $53,000,000  [50,000,000],  is  appropriated  from  the                                                                  
     general fund to the community revenue sharing fund (AS                                                                     
     29.60.850).                                                                                                                
                                                                                                                                
     EXPLANATION: This amendment adds  $3 million UGF to the                                                                    
     Community  Revenue Sharing  Fund (from  $50 million  to                                                                    
     $53 million).  This amendment is  $3 million  above the                                                                    
     Senate's  budget and  $7 million  below the  Governor's                                                                    
     request.                                                                                                                   
                                                                                                                                
10:10:07 AM                                                                                                                   
                                                                                                                                
Co-Chair Meyer OBJECTED for the purpose of discussion.                                                                          
                                                                                                                                
Senator Hoffman  explained that the amendment  increased the                                                                    
revenue sharing by  $3 million. The original  request by the                                                                    
governor  had been  for $60  million,  the subcommittee  had                                                                    
recommended a  funding level of  $50 million;  the amendment                                                                    
would  add $3  million and  would  result in  a number  that                                                                    
would be $7 million below the governor's budget.                                                                                
                                                                                                                                
10:10:37 AM                                                                                                                   
                                                                                                                                
Mr.  Armstrong explained  that the  reduction in  2014 would                                                                    
have no effect on FY15 revenue  shares. He said that the $53                                                                    
million would take  effect in the next  cycle; $57.6 million                                                                    
would be distributed  in FY16, $56.1 in FY17,  $55.1 in FY18                                                                    
and $54.4 in FY19.                                                                                                              
                                                                                                                                
10:11:29 AM                                                                                                                   
                                                                                                                                
Co-Chair  Kelly  explained  that  the  amendment  considered                                                                    
public  testimony  on  the legislation  regarding  municipal                                                                    
assistance  and the  concern for  life,  health, and  safety                                                                    
issues.                                                                                                                         
                                                                                                                                
10:12:04 AM                                                                                                                   
                                                                                                                                
Co-Chair  Meyer  WHITHDREW  his OBJECTION.  There  being  NO                                                                    
further OBJECTION, Amendment 1 was ADOPTED.                                                                                     
                                                                                                                                
CSHB 266(FIN)  was HEARD and  HELD in committee  for further                                                                    
consideration.                                                                                                                  
                                                                                                                                
CSHB 267(FIN)  was HEARD and  HELD in committee  for further                                                                    
consideration.                                                                                                                  
                                                                                                                                
10:12:21 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
10:14:31 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair Kelly handed the gavel over to Co-Chair Meyer.                                                                         
                                                                                                                                

Document Name Date/Time Subjects
CS SB 140 (LC) letter of Support_North Slope Borough.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB 140 (CL) ARPA_Polar map.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB 140 (CL) Letter of Support- City of Seward.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB 140 (CL) Letter of Support- NANA.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB 140 (CL) Letter of Support- Stephen Trimble.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB 140 (CL) Sponsor Statement.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB 140 (LC) Sectional Analysis.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB 140 (SL) Supporting Document-Planning and Infrastructure Section of AAPC Preliminary Report.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB 140(LC) Explanation of Changes.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
CSSB166 Sectional Analysis vsn R.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB 166 Backup re backgrnd checks.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB 166 changes from O to R.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB 166 Comments DeLapp.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB 166 Nursing 2014 Stats.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB 166 Support Evans.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB 166 Support Farnstrom.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB 166 Support Sanders.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB166 Sponsor Statement.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB166 Support APNO.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB166 Support Gillette.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
HB 199 2014 Sponsor Statement.pdf SFIN 3/27/2014 9:00:00 AM
HB 199
HB 199 ADPS Draft Regulation Change to 13 AAC 96.pdf SFIN 3/27/2014 9:00:00 AM
HB 199
HB 199 Information Hearing BBNA Testimony and Resolutions CEO Ralph Anderson.pdf SFIN 3/27/2014 9:00:00 AM
HB 199
HB 199 Informational Meeting Summary 9 26 2013.pdf SFIN 3/27/2014 9:00:00 AM
HB 199
HB 199 Letters--Informational Hearing--9 26 2013.pdf SFIN 3/27/2014 9:00:00 AM
HB 199
HB 199 Media-Resolutions-Letters.pdf SFIN 3/27/2014 9:00:00 AM
HB 199
SB 140 Letter of Support_ PT Public Policy.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
SB 140 Senate Resources mar 27.pdf SFIN 3/27/2014 9:00:00 AM
SB 140
SB 166 Blank CS for FIN.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB 166 SEctional vsn G.pdf SFIN 3/27/2014 9:00:00 AM
SB 166
SB195 work draft version N.pdf SFIN 3/27/2014 9:00:00 AM
SB 195
SB195CS(FIN)-EED-ACPE-3-26-14.pdf SFIN 3/27/2014 9:00:00 AM
SB 195
HB266 Summary of Changes for HB266 version E and HB267 version R.pdf SFIN 3/27/2014 9:00:00 AM
HB 266
HB 267
HB266 work draft version E.pdf SFIN 3/27/2014 9:00:00 AM
HB 266
HB267 work draft version R.pdf SFIN 3/27/2014 9:00:00 AM
HB 267
HB266 Amendment #1 - Hoffman-Olson-Bishop-Kelly.pdf SFIN 3/27/2014 9:00:00 AM
HB 266
SB140 LUKIN_SarahTestimony 3-27-14.pdf SFIN 3/27/2014 9:00:00 AM
SB 140