Legislature(1997 - 1998)
05/11/1997 02:00 AM House FIN
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* first hearing in first committee of referral
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= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
May 11, 1997
2:00 A.M.
TAPE HFC 97-137, Side 1, #000 - end.
CALL TO ORDER
Co-Chair Hanley called the House Finance Committee meeting to order
at 2:00 a.m.
PRESENT
Co-Chair Hanley Representative Kelly
Co-Chair Therriault Representative Kohring
Representative Davies Representative Martin
Representative Davis Representative Moses
Representative Foster Representative Mulder
Representative Grussendorf
ALSO PRESENT
John Bitney, Alaska Housing Finance Corporation.
SUMMARY
SB 107 "An Act making and amending capital and other
appropriations and to capitalize funds; and providing for
an effective date."
HCS CSSB 107 (FIN) was reported out of Committee with a
"do pass" recommendation.
SENATE BILL NO. 107
"An Act making and amending capital and other appropriations
and to capitalize funds; and providing for an effective date."
Amendment 37 was WITHDRAWN. Co-Chair Hanley noted Amendment 37 was
incorporated into a previous amendment. Amendments 38 - 41 were
WITHDRAWN.
Representative Grussendorf MOVED to adopt Amendment 42 (copy on
file). There being NO OBJECTION, it was so ordered.
Amendments 43 and 44 were WITHDRAWN.
Representative Foster MOVED to adopt Amendment 45 (copy on file).
Amendment 45 expands the title of the Municipal Capital Matching
Grants program. There being NO OBJECTION, it was so ordered.
Representative Davis MOVED to adopt Amendment 46 (copy on file).
Amendment 46 would allow the Department of Public Safety to sell
five patrol vessels and buy two patrol vessels with the proceeds.
There being NO OBJECTION, it was so ordered.
Representative Kelly MOVED to adopt Amendment 47 (copy on file).
Amendment 47 would appropriate $175 thousand dollars to the
Department of Fish and Game from the Fish and Game Fund for the
Division of Wildlife Conservation. There being NO OBJECTION, it
was so ordered.
Representative Grussendorf MOVED to adopt Amendment 48 (copy on
file). Co-Chair Hanley OBJECTED. Representative Grussendorf
explained that the amendment would provide funding for renovation
of the Kiana High School. He noted that this project is number six
on the Department of Transportation and Public Facilities' priority
list. He emphasized that the project would correct a risk to
public safety. Co-Chair Hanley noted that the project will be at
the top of the list in the next legislative year. A roll call vote
was taken on the MOTION.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Davis, Foster, Kelly, Kohring, Martin, Mulder,
Therriault, Hanley
The MOTION FAILED (3-8).
Representative Mulder MOVED to adopt Amendment 49 (copy on file).
Amendment 49 would appropriate $364,100 thousand dollars from
Alaska Housing Finance Corporation (AHFC) dividend funds to the
Legislative Council for computer programs and equipment.
Representative Martin OBJECTED. A roll call vote was taken on the
MOTION.
IN FAVOR: Davies, Grussendorf, Moses, Davis, Foster, Kelly,
Kohring, Mulder, Therriault, Hanley
OPPOSED: Martin
The MOTION PASSED (10-1).
Representative Moses MOVED to adopt Amendment 50 (copy on file).
Amendment 50 would extend the lapse date on the Adak Reuse
Authority appropriation. There being NO OBJECTION, it was so
ordered.
Representative Foster WITHDREW Amendment 51.
Representative Mulder WITHDREW Amendment 52.
Representative Foster WITHDREW Amendment 53 and 54.
Representative Mulder WITHDREW Amendment 55.
Representative Grussendorf MOVED to adopt Amendment 56 (copy on
file). Amendment 56 would appropriate $250 thousand dollars from
the Investment Loss Trust Fund to the Department of Education for
the Galena School District for a Regional Vocation Charter School.
He noted that the a facility at the air base could be leased for $1
dollar to operate a vocational school. A roll call vote was taken
on the MOTION.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Davis, Foster, Kelly, Kohring, Martin, Mulder,
Therriault, Hanley
The MOTION FAILED (3-8).
Co-Chair Therriault MOVED to adopt Amendment 57 on behalf of
Representative Vezey (copy on file). He clarified that the
amendment would reappropriate funds within the same district.
There being NO OBJECTION, it was so ordered.
Amendments 58 - 61 reflect changes in capital matching grants
requests.
Co-Chair Hanley MOVED to adopt Amendment 58 (copy on file). He
explained that the amendment would change capital matching grant
funding in Representative Nicholia's district. There being NO
OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to adopt Amendment 59 (copy on file).
Amendment 59 would reappropriate funding from the Tetlin
Washerteria to the Arctic Village powerline. The appropriation was
reduced by $900 due to an over-allocation in funding. There being
NO OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to adopt Amendment 60 (copy on file).
Amendment 60 would expand a capital matching grant to the city of
Kiana for gravel site selection to include bulk fuel extraction.
There being NO OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to adopt Amendment 61 (copy on file).
Amendment 61 corrects an over-allocation. There being NO
OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to adopt Amendment 62 (copy on file).
Amendment 62 contains updated appropriations for judgement and
claims for the Department of Law. There being NO OBJECTION, it was
so ordered.
Representative Davies MOVED to adopt Amendment 63 (copy on file).
Amendment 63 would appropriate $400 thousand dollars to the
Department of Administration to complete the Satellite
Interconnection Project. He explained that the project would fund
the installation of automation equipment for public broadcasting in
order to realize reductions in long-term operation costs. A roll
call vote was taken on the MOTION.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Davis, Foster, Kelly, Kohring, Martin, Mulder,
Therriault, Hanley
The MOTION FAILED (3-8).
Representative Davies WITHDREW Amendment 64 (copy on file).
Amendments 65 was WITHDRAWN.
Co-Chair Hanley MOVED to adopt Amendment 67 (copy on file). Co-
Chair Hanley explained that Amendment 67 amends the title on a
capital matching grant. There being NO OBJECTION, it was so
ordered.
Representative Martin MOVED to adopt Amendment 66 (copy on file).
He explained that the amendment would add "multipurpose community
use resource center" to an appropriation for the Anchorage-Central
Terrace/Fairmount Phase I project in the Mountain View area.
JOHN BITNEY, ALASKA HOUSING FINANCE CORPORATION explained that this
is a new AHFC capital project. He observed that there are eighty
units. Some units would be sold and others renovated. The project
would cost $1.5 million dollars. He noted funding will also come
from the municipality of Anchorage. He stated that AHFC supports
the amendment.
Representative Martin noted that residents did not want additional
units built in the Mountain View area. He clarified that a task
force appointed by the Legislative Budget and Audit Committee
recommended that some of the older units be cleaned up. He
observed that the Boys and Girls Club has raised $2 million dollars
for the project. Co-Chair Hanley pointed out that if the funding
is only going to be used to tear down the old buildings that the
language adding a multipurpose community use resource center would
not be needed.
Mr. Bitney explained that what is torn down will be rebuilt. In
addition, a number of units would be sold to the private sector.
Co-Chair Therriault observed that $2 million dollars in private
sector funding is available. He emphasized that the center could
be built with private sector funding without expanding the
appropriation.
Representative Martin spoke in support of the amendment.
Representative Mulder noted that it is a $4 million dollar project,
with half of the funding coming from the private sector. He
stressed that it is a community wide project.
Co-Chair Hanley acknowledged that it is a good project. He
expressed concerns regarding the use of AHFC funds for the project.
He noted that other communities with AHFC housing projects may
decide to use AHFC funding for other priority projects with
matching funding.
Representative Grussendorf noted that members of the minority
caucus support the amendment. He acknowledged the affect the
amendment could have on future AHFC capital funds.
A roll call vote was taken on the MOTION to adopt Amendment 66.
IN FAVOR: Grussendorf, Kohring, Martin, Mulder, Davies, Foster
OPPOSED: Kelly, Moses, Davis, Therriault, Hanley
The MOTION PASSED (6-5).
Co-Chair Hanley provided members with Amendments 101 - 110 (copies
on file). Co-Chair Hanley MOVED to adopt Amendment 101.
Co-Chair Therriault MOVED to AMEND Amendment 101, delete "Office of
the Governor, Office of Management and Budget, Governmental
Coordination" and insert "Department of Natural Resources,
Commissioner's Office." There being NO OBJECTION, it was so
ordered. There being NO OBJECTION, Amendment 101 was adopted as
amended.
Co-Chair Hanley MOVED to adopt Amendment 102. He explained that
excess program receipts were identified in the Alaska Seafood
Marketing Institute's budget. There being NO OBJECTION, it was so
ordered.
Co-Chair Hanley MOVED to adopt Amendment 103. He clarified that
the amendment corrects a technical problem relating to the
appropriation of Fishery Resource Landing Taxes to local
communities. There being NO OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to adopt Amendment 104. He noted that the
amendment would appropriate $5.6 million dollars to the Alaska Debt
Retirement Fund. The appropriation includes $6 thousand dollars
from the General Fund and $5 million dollars from the Investment
Loss Trust Fund. There being NO OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to adopt Amendment 105. The amendment would
appropriate $1.5 million dollars from the Investment Life Trust
Fund and $1.5 million in AHFC dividend dollars for the Johnson
Youth Center. There being NO OBJECTION, it was so ordered.
Representative Mulder MOVED to adopt Amendment 106. Amendment 106
allows the carry-forward of $2.5 million general fund dollars in
the Department of Corrections funds and $500 thousand federal
dollars for the Point MacKenzie farm project. There being NO
OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to adopt Amendment 107. Amendment 107 would
appropriate $400 thousand dollars for the Department of
Corrections, Harborview Treatment Program. There being NO
OBJECTION, it was so ordered.
Co-Chair Hanley MOVED to adopt Amendment 108. He explained that
the amendment clarifies, in the front section, the appropriation of
a $70 million dollar AHFC dividend.
Co-Chair Hanley MOVED to adopt Amendment 109. He explained that
the amendment would appropriate $50 thousand dollars for a study on
the renovation of the Juneau Capitol School building.
Representative Mulder suggested that the appropriation include
study and planning. Co-Chair Hanley noted that Mr. Welker
recommended the appropriation level for the study.
There being NO OBJECTION, Amendment 109 was adopted.
Co-Chair Hanley MOVED to adopt Amendment 110. He noted that
section A of Amendment 110 would fund the FY 98 COLA amounts for
the second year of the collective bargaining agreements. Section
B includes language for four new contracts. Representative Kohring
OBJECTED. He spoke against the amendment. He asserted that a
salary study should be completed before the increases are funded.
Co-Chair Hanley noted that the majority's goal of a $60 million
dollar reduction would not be adversely affected by the amendment.
A roll call vote was taken on the MOTION to adopt Amendment 110.
IN FAVOR: Davies, Grussendorf, Moses, Davis, Foster, Kelly, Mulder,
Therriault, Hanley
OPPOSED: Kohring, Martin
The MOTION PASSED (9-2).
Representative Foster MOVED to adopt Amendment 99 (copy on file).
Amendment 99 would appropriate $300 thousand dollars for the
construction of a seawall in Bethel.
A roll call vote was taken on the MOTION.
IN FAVOR: Davies, Grussendorf, Moses, Foster
OPPOSED: Davis, Kelly, Kohring, Martin, Mulder, Therriault, Hanley
The MOTION FAILED (4-7).
Co-Chair Therriault MOVED to report CSSB 107 (FIN) out of Committee
with individual recommendations.
HCS CSSB 107 (FIN) was reported out of Committee with a "do pass"
recommendation.
ADJOURNMENT
The meeting adjourned at 3:30 a.m. .m.
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