Legislature(1999 - 2000)
03/06/2000 02:10 PM House FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
March 6, 2000
2:10 P.M.
TAPE HFC 00 - 57, Side 1
TAPE HFC 00 - 57, Side 2
TAPE HFC 00 - 58, Side 1
TAPE HFC 00 - 58, Side 2
TAPE HFC 00 - 59, Side 1
CALL TO ORDER
Co-Chair Mulder called the House Finance Committee meeting
to order at 2:10 p.m.
PRESENT
Co-Chair Mulder
Co-Chair Therriault Representative Foster
Vice Chair Bunde Representative Grussendorf
Representative Austerman Representative Moses
Representative J. Davies Representative Phillips
Representative G. Davis Representative Williams
ALSO PRESENT
Representative Reggie Joule; Dwayne Peeples, Director,
Administrative Services, Department of Corrections; Karen
Rehfeld, Director, Division of Education Support Services,
Department of Education and Early Development; Kenneth
Bischoff, Director, Division of Administrative Services,
Department of Transportation; Trisha Gentle, Executive
Director, Council on Domestic Violence and Sexual Assault.
SUMMARY
HB 312 An Act making and amending appropriations for the
operating and loan program expenses of state
government, for certain programs, and to
capitalize funds; making appropriations under
art. IX, sec. 17©, Constitution of the State of
Alaska, from the constitutional budget reserve
fund; and providing for an effective date.
Amendments were heard for the following
departments:
Department of Corrections
Department of Administration
Department of Education and Early Development
Department of Public Safety
HB 312 was HELD in Committee for further
consideration.
HB 313 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.
HB 313 was HEARD and HELD in Committee for
further consideration.
HOUSE BILL NO. 312
"An Act making and amending appropriations for the
operating and loan program expenses of state
government, for certain programs, and to capitalize
funds; making appropriations under art. IX, sec.
17(c), Constitution of the State of Alaska, from the
constitutional budget reserve fund; and providing for
an effective date."
DEPARTMENT OF CORRECTIONS
Representative Grussendorf MOVED to ADOPT Amendment Corr-3:
Administration and Operations BRU
Inmate Health Care Component $500.0 GENERAL FUND
Co-Chair Mulder OBJECTED.
These General Funds support both state permanent full-
time positions and contract positions that provide a
full array of medical, mental health, and dental
support to the Department's Institutions, and contract
Community Residential Centers. The Department admits
approximately 30,000 offenders annually into its
institutions and the daily population of prisoners
numbers approximately 4,300. The Department is
required to provide medical, dental, and mental health
services as necessary to ensure the continued health
of the prisoners.
During the last few years, additional financial
resources, via supplemental and revised programs, has
been appropriated by the legislature to provide
necessary and critical services. The Department is in
the process of reviewing medical health services to
contain costs and increase efficiencies. The proposed
budget reductions will significantly impact the
operations health care services and will result in an
elimination of nursing staff and other services, which
may threaten prisoner health and safety. If the
Department is not able to safely provide services that
meet this budget reduction level, it may request
future supplemental support to continue adequate
health care to Alaska's state prisoners.
Representative Grussendorf spoke in support of Amendment
Corr-4. He emphasized that a lack of funds could result in
litigation. He stressed that early treatment can reduce
costs.
Co-Chair Mulder responded that personal services were
studied in the components. There are 100 people within
personal services administrating health in the
institutions. There are $7.3 million dollars in state funds
and $5.5 million dollars in contracts for medical services.
He stressed that $500 thousand dollars can be reduced
without affecting services.
Representative Grussendorf noted that the reduction would
result in a reduction to the 24-hour nursing staff.
Representative J. Davies acknowledged the size of the
component but questioned how the number spent compares to
health care in other facilities.
DWAYNE PEEPLES, DIRECTOR, ADMINISTRATIVE SERVICES,
DEPARTMENT OF CORRECTIONS provided information on the
amendment. He observed that the department is in the
process of reviewing its health care system with the intent
to reduce costs without affecting services. The department
has concerns about the level of cuts. He stressed that the
department is population driven. Reductions in out-of-state
prisoners have put more pressure on institutions. If the
efficiencies are not realized and the population continues
to grow the department might need a supplemental.
A roll call vote was taken on the motion to ADOPT Amendment
Corr-3.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
Representative Grussendorf MOVED to ADOPT Amendment Corr-4:
Community Residential Centers
Existing Community Residential Centers Component
$550.0 GENERAL FUND
Co-Chair Mulder OBJECTED.
The Department currently has 718 community residential
center beds under contract with 10 providers throughout the
state. The average cost is approximately $60 per CRC bed.
The Department will have to reduce the in-state CRC beds
under contract from 718 to approximately 693 or 25 fewer
beds for FY2001.
Such a reduction could seriously impact the Department's
ability to keep the institution counts at their emergency
caps in order to assure better public protection. If the
prisoner population increases beyond the department's
ability to safely house offenders in institutional "hard
beds" and the remaining 693 CRC "soft beds", this may
result in the need to request supplemental funding later in
the fiscal year.
Representative Grussendorf spoke in support of the
amendment. He emphasized that the reduction in soft beds
would result in greater costs.
Co-Chair Mulder explained that the appropriation is a $600
thousand dollar increase over FY00 actuals. He did not
think that the prison population has increased greatly. He
noted that $450 thousand dollars were approved for
electronic monitoring slots.
Representative Grussendorf observed that 30,000 people are
going into the system. He maintained that the state would
be better off having the 28 beds that are in question.
Representative J. Davies questioned the statewide impact.
Co-Chair Mulder responded that the Bethel cultural programs
were fully funded. Anchorage would be the major community
impacted. Electronic monoriting will be fully functional in
Anchorage.
Mr. Peeples pointed out that the receipts are collected
from prisoners. These beds help alleviate pressure.
Representative J. Davies spoke in support of the amendment.
He concluded that a request for a supplemental could arise.
Co-Chair Mulder noted that the model was built on a steady
population.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
DEPARTMENT OF ADMINISTRATION
Representative G. Davis MOVED to ADOPT Amendment Admin-1:
DELETE
Department of Administration
Longevity Bonus Grants BRU
Longevity Bonus Grants Component $2,844.5
Representative Grussendorf OBJECTED.
Representative G. Davis spoke in support of the amendment.
He stressed that the amendment would reduce the Longevity
Bonus Grant by one month's payment. He observed that other
services go to assist needy seniors. He explained that his
intent was for less needy seniors to assist more needy
seniors. He observed that there is legislation pending to
make the program needs based and expressed his support.
Representative Grussendorf expressed concern that money
taken from the bonus program would result in an additional
burden on the supplemental. He noted that there are
problems with addressing issues through the supplemental.
He stated that he would be hesitant to support the
amendment without passage of the legislation.
Representative J. Davies echoed comments by Representative
Grussendorf and noted that the program is not currently
needs based. Seniors that rely on the money would be
adversely affected. He stated that he would probably
support needs based legislation. He pointed out the program
has been in place and felt that the current commitment
should be met. The program has been discussed annually.
Co-Chair Therriault agreed that the amendment would take
the funds away in an "artful manner". He stressed that
there are seniors that do not need the funds. He agreed
that the issue should be addressed within legislation.
Representative Phillips spoke against the amendment. She
felt that more seniors need the bonus than do not. Many
Alaskans could not live in Alaska without their checks.
Vice Chair Bunde pointed out that there is a difference
between wants and needs. He maintained that the current
system is based on wants. He questioned the average age of
recipients.
Representative G. Davis spoke in support of the amendment.
He conceded that the intent of the amendment was to draw
focus to the issue. He WITHDREW Amendment DOA-1.
Vice Chair Bunde MOVED to ADOPT Amendment Admin-2:
Add:
Department of Administration
Public Communications Services
Public Broadcasting Radio $200. GF
Delete:
Department of Public Safety
Council on Domestic Violence and Sexual Assault
Council on Domestic Violence and Sexual Assault
$200,000 General Funds
Add:
Department of Public Safety
Council on Domestic Violence and Sexual Assault
Council on Domestic Violence and Sexual Assault
$535,000 I/A (TANF from H&SS)
Representative J. Davies OBJECTED.
Amendment DOA-2 restores the Council on Domestic Violence
and Sexual Assault (CDVSA) to the FY 00 level by using
available TANF funds. The amendment also restores $200,000
dollars in state general funds to support government-funded
radio.
Vice Chair Bunde spoke in support of the amendment. He
recalled the large response during the statewide
teleconference in support of public radio and the Council
on Domestic Violence and Sexual Assault.
Co-Chair Mulder observed that the amendment would restore
CDVSA.
Representative Grussendorf expressed concern that the TANF
funds might not be available. Co-Chair Therriault explained
that the funds are available. He observed that review of
other states show that CDVSA would be an appropriate use of
TANF funds.
Representative Grussendorf questioned if CDVSA would be
short funded with the amendment. Co-Chair Mulder stated
that the amendment would leave CDVSA at the FY00 level.
Representative J. Davies questioned if the FY00 level is
sufficient to meet the FY01 demand.
Representative G. Davis recalled testimony in support of
increased needs for domestic violence and sexual assault
programs.
Co-Chair Mulder explained that CDVSA spends little of their
funds on prevention. The majority goes to treatment. He
spoke in support of increased spending for prevention
programs.
Representative J. Davies observed that shelter personnel
spend a lot of their time seeking grants for prevention. He
stated that he would not categorize shelters as treatment.
He spoke in support of providing added resources for
prevention.
Co-Chair Mulder observed that the state of Alaska spends
twice as much on domestic violence and sexual assault as
other states. He questioned if the need is double.
Representative J. Davies pointed out that if the trend is
increasing and it is funded at last year's level that the
need at this time is not being covered. He stressed how
extreme the need is to have a shelter open 24 hours a day.
Representative G. Davis noted that he would support the
amendment. He acknowledged that a shortfall remains in the
Public Communications Services component but felt that they
could live within that budget.
Representative Grussendorf echoed concerns with the use of
TANF funds. He questioned if the component could use the
felon funds if TANF funds are not realized. Co-Chair Mulder
acknowledged that the funding source would be a
consideration in the following years.
Vice Chair Bunde noted that Alaska's population did not
grow last year. He commented that there are some traditions
in Alaska that the state can do without.
Co-Chair Therriault reiterated that the TANF funds are
available this year. He stressed that other states have
used TANF funds for domestic violence service and head
start programs. He assured members that he is working with
the Legislative Finance Division to assure that the funds
are not over committed. He maintained that federal
government block grants to the state have worked well.
(TAPE CHANGE, HFC 00 57, Side 2)
Representative J. Davies noted that the State of Alaska is
number one in regards to rape cases and high in regards to
domestic violence cases in the nation.
ANNALEE MCCONNELL, DIRECTOR, OFFICE OF MANAGMENT AND
BUDGET, OFFICE OF THE GOVERNOR spoke in support of the
amendment. She observed that the Department of Health and
Social Services is trying to determine the appropriate use
of TANF funds. The Governor is in support of increasing
the funds for the Council on Domestic Violence. She noted
that more information would be available on the next day
regarding the use of the funds.
Representative J. Davies MOVED an amendment to Amendment
ADMIN-2, which would add $130 thousand dollars to the
Public Communications Services, Public Broadcasting. He
noted that the amendment to the amendment would restore
full funding. He observed that there was a great deal of
input from the public regarding the importance of public
radio. He observed that many elements within the budget are
important and emphasized that the state should support the
service. He observed that technological efficiencies have
resulted in savings but maintained that the component could
not take further reductions without losing stations. He
pointed out the importance of public radio to connect the
state.
Representative Grussendorf stressed the importance of
public radio. Sitka serves other communities that rely on
public radio for weather, local news and emergencies.
Public radio is more than just entertainment.
Representative Austerman echoed comments by Representative
Grussendorf, but explained that he would vote against the
amendment due to the need to pay for essential services in
Alaska. He stressed that without the use of Permanent Funds
that there need to be reductions. He felt that the
component could make up the difference.
A roll call vote was taken on the motion to amend Amendment
Replacement DOA-2.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
There being NO OBJECTION, Amendment DOA-2 was adopted.
.
Representative G. Davis MOVED to ADOPT Amendment DOA-2A:
Add:
Senior Services BRU
Protection, Community Services, and Administration
Component $15.0 MHTAAR
Representative G. Davis explained that Mental Health Trust
Board approved the funding at its February meeting. It
would allow the Commission on Aging to extend outreach to
rural areas of Alaska. It will additionally assess service
needs of rural trust beneficiaries.
Co-Chair Mulder observed that the Board was unanimous in
its support.
There being NO OBJECTION, it was so ordered.
Vice Chair Bunde MOVED to ADOPT Amendment Admin-3:
Department of Administration
Public Communications Services
Public Broadcasting Radio $330. GF
Add $330.0 GF to restore funding for public radio
grants to FY00 level.
Representative G. Davis OBJECTED.
Representative Moses MOVED to amend Amendment DOA-3:
Department of Administration
Public Communications Services
Public Broadcasting Radio $130. GF
There being NO OBJECTION, the amendment was amended.
Representative Moses spoke in support of the amendment. He
stressed the importance of public radio in rural areas.
Representative G. Davis stated that his intention is to
take reductions from urban areas. Vice Chair Bunde
responded that urban areas could not be shut down without
affecting rural areas.
Representative Grussendorf pointed out that urban areas
service other smaller communities without other radio
stations or newspapers.
Vice Chair Bunde observed that public radio stations
encourage lobbying with state funds. He noted that public
radio is well supported in his district.
Co-Chair Mulder observed that the Committee heard testimony
that only 1 of 10 provide financial support public radio in
Sitka.
Representative Grussendorf pointed out that mayors around
Southeast have named public radio as their top concern.
Representative J. Davies pointed out that urban areas are
hubs to provide support to urban areas. He added that
school board and assembly meetings are broadcast in
Fairbanks. Meetings with legislative members are broadcast.
He maintained that commercial stations couldn't provide the
same services.
Co-Chair Therriault spoke against the amendment. He
questioned the support for public radio in smaller
communities. He observed that the state of Alaska is
putting additional money in every resident's pocket through
the dividend.
Vice Chair Bunde stated that he listens to public radio. He
MOVED to Amend Amendment-DOA-3, by changing the funding
source to municipal assistance.
Representative Grussendorf noted that the Juneau and Sitka
Assembly meetings are broadcast on public radio.
Representative G. Davis OBJECTED.
A roll call vote was taken on the motion to amend Amendment
DOA-3.
IN FAVOR: Williams, Bunde, Davies
OPPOSED: Austerman, Bunde, Davis, Foster, Grussendorf,
Phillips, Therriault, Mulder
The MOTION FAILED (3-8).
Representative Moses stated that the service is more
important than the legislative information offices. He
observed that of the 232 people that testified before the
Committee on 3/4/00 that no one spoke in support of cutting
the budget.
Representative Phillips observed that public radio is well
supported in her district.
Co-Chair Mulder noted that his constituents still request
that the budget be cut. Vice Chair Bunde echoed comments by
Co-Chair Mulder.
A roll call vote was taken on the motion to adopt Amendment
DOA-3 as amended.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
Representative J. Davies MOVED to ADOPT Amendment Admin-4:
Public Communications Services
Public Broadcasting Satellite Infrastructure Component
Add $100.0 GF to avoid ARCS going off the air for 6
weeks to two months.
Representative G. Davis OBJECTED.
Representative J. Davies spoke in support of the amendment.
He stated that the intent of the reduction was to stimulate
university receipts. He explained that the cut was made
last year, but has not been realized. It was not addressed
in the supplemental. Funds were not added in to the FY00
base.
Representative J. Davies noted that the university already
pays $100 thousand dollars. There was an intention by the
other body to require additional funding from the
university.
A roll call vote was taken on the motion to adopt Amendment
DOA-4.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
(TAPE CHANGE, HFC 00 - 58, SIDE 1)
Representative J. Davies MOVED to ADOPT Amendment Admin-5:
Public Communications Services BRU
Satellite Infrastructure Component
Add $50.0 statutory designated program receipts.
Co-Chair Mulder observed that Dan Spencer, Department of
Administration indicated that contractual arrangements
might be available. The amendment would allow a contractual
arrangement. There being NO OBJECTION, it was so ordered.
Representative Moses MOVED to ADOPT Amendment Admin-6 as
amended:
Public Communications Services BRU
ADD $200.5 GF spread through the following components
in the amounts listed to restore 5% reduction and
additional $200.0 reduction to radio.
Public Broadcasting Commission Component 2.8
Public Broadcasting Radio 130.0
Public Broadcasting TV 39.7
Satellite Infrastructure $28.0
Representative G. Davis OBJECTED.
Representative Moses stressed the importance of public
radio in rural areas. It is a life and death issue.
Representative Phillips clarified that the previous
amendment added funds to the satellite infrastructure
component.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Mulder
Co-Chair Therriault was absent from the vote.
The MOTION FAILED (3-7).
Representative Grussendorf MOVED to ADOPT Amendment Admin-
7:
Leases Component
Add $1043.6 GENERAL FUND
Representative G. Davis OBJECTED.
Representative Grussendorf spoke in support of the
amendment. He stressed that the leasing component is under
funded and that a supplemental would be required.
Representative G. Davis spoke against the amendment. The
leasing component was funded at the FY 00 level. He pointed
out that there is an attempt to get contractual support
from other departments. He acknowledged that there might be
a supplemental. He pointed out that leasing costs have come
in under projected amounts in the past years.
Co-Chair Mulder noted that $33.5 million dollars a year are
spent on leasing. He acknowledged that there has been a
strategy to encourage the department to keep leasing costs
down through short funding. He noted that it would be a
challenge.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
Representative Moses was absent from the vote.
The MOTION FAILED (2-8).
Representative J. Davies MOVED to ADOPT Amendment Admin-8:
Longevity Bonus Grants Component
Add $1,755.5 GF
Representative G. Davis OBJECTED.
Representative J. Davies spoke in support. He observed that
the component is short funded and that a supplemental would
be needed.
Co-Chair Therriault pointed out that a month of checks
would be $4,600 dollars. He argued that the appropriation
would be sufficient if there were a drop off in enrollment.
Representative J. Davies pointed out that checks cannot be
issued if the full amount is not available.
Representative G. Davis observed that projections from
previous years have varied. He acknowledged that there
could be a supplemental request.
Representative Phillips spoke in support of legislation
allowing pro-ration of the bonus. Co-Chair Mulder stated
that he would endorse pro-ration legislation.
Representative Austerman pointed out that the supplemental
is part of the budget process. He maintained that the
supplemental is an appropriate way of handling unknowns.
Co-Chair Therriault observed that there are variables in
projecting funding. He stated that he would prefer not to
over-fund the request. He felt that the required amount
would be less than the request.
Representative J. Davies stated that the problem with
under-funding is that it causes concerns amongst the
recipients. He preferred to risk over-funding the
component.
Representative Grussendorf expressed concern that a cap has
been proposed on the amount available through a
supplemental. He observed that the legislature is building
in the need for a supplemental, but expressed concern that
if there is a cap on the supplemental that programs would
have to be prioritized.
Representative Williams recalled similar arguments in FY00.
He spoke in support of saving money where possible. He
stressed that seniors can be reassured through the efforts
of legislators, speaking to seniors in their districts.
Vice Chair Bunde stated that he would prefer to underfeed
the request.
Representative J. Davies stressed that there is no savings
if there is a supplemental.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
Representative Grussendorf MOVED to ADOPT Amendment Admin-
9:
Legal and Advocacy Services BRU
Office of Public Advocacy Component
Add $335.8 GF for Child in Need of Aid Caseload
Increase.
Representative G. Davis OBJECTED.
Representative Grussendorf spoke in support of the
amendment. He observed that HB 375 would shorten the time
that an abused child is held by the court. Caseload has
increased 37 percent. The per lawyer caseload has increased
from 75 to 200 cases each. He questioned how the abused
child could be fast tracked when the caseload ratio is
high. He pointed out that money is being put into
enforcement and incarceration, but stressed the need for
representation.
Co-Chair Mulder pointed out that the budget was increased
by 11 percent and stressed that the subcommittee has been
committed to the component. Representative Grussendorf
acknowledged the work by the subcommittee, but added that
more money is needed.
Representative G. Davis observed that the request is an
increment and that increments are hard to fund.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
Representative J. Davies MOVED to ADOPT Amendment Admin-10:
Legal and Advocacy Services BRU
Office of Public Advocacy Component
Add $355.0 GF/MH for Public Guardian Caseload
Reduction.
Representative G. Davis OBJECTED.
Representative J. Davies spoke in support of the amendment.
He observed that the services go to persons that are
disabled. He maintained that the quality of service has
deteriorated. The Office of Public Advocacy also provides
training for private advocates. He observed that caseload
should be at 50 per guardian and is now at 93.
Co-Chair Therriault stated that he would like to find
funding for the request and noted that if the longevity
bonus program was needs based there would be additional
funds for programs such as this.
Representative J. Davies spoke in support of the amendment.
Representative G. Davis acknowledged the need and stressed
that the state of Alaska needs to support the function of
the Office of Public Advocacy.
Discussion ensued regarding pressure by the public to cut
the budget, the responsibility of representatives to make
decisions, the September 14, 1999 vote on a long-range
fiscal plan and the need to pursue another fiscal plan.
Representative J. Davies stressed that there were good
reasons why some Alaskan voters did not support the plan
proposed in the September 14, 1999 advisory vote.
(TAPE CHANGE, HFC 00 - 58, SIDE 2)
Discussion continued regarding the need for a long-range
fiscal plan.
Representative J. Davies asked how people in good conscious
could say no to helping individuals with Alzheimer's
disease when we live in a state that has more money than
any other state in the Union.
Representative Moses commented that it is not appropriate
to tax those without an income the same as those that are
very wealthy.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
There was no Amendment Admin-11.
Representative Grussendorf MOVED to ADOPT Amendment Admin-
12:
Legal and Advocacy Services BRU
Public Defender Agency Component
Add $755.2 GENERAL FUND
Representative G. Davis OBJECTED.
Representative Grussendorf spoke in support. The public
defender must take assigned cases. The caseload has
increased 43 percent. Attorneys work approximately 21 hours
a week of uncompensated time. Continuances are necessary
due to the heavy workload, which further slows the process.
Prosecuting attorneys have access to state resources.
Public Defenders often meet their clients for the first
time when they go to court. He observed that new
legislation has increased workload.
Representative G. Davis noted that the Public Defender
Agency received an appropriation in the FY00 supplemental.
He acknowledged the need and that the caseload would not be
reduced.
Representative Grussendorf reiterated that new legislation
continues to increase the caseload.
Representative G. Davis acknowledged that new legislation
increases the demand for the services of the Alaska Public
Defenders Agency and the Office of Public Advocacy.
Representative J. Davies stressed that resources are pushed
thin. The law requires that a defense be provided. He
expressed concern that the state of Alaska could find
itself behind a class action lawsuit.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Davis, Phillips,
Williams, Therriault, Mulder
Representatives Foster and Bunde were absent from the vote.
The MOTION FAILED (3-6).
Representative J. Davies MOVED to ADOPT Amendment Admin-13:
Alaska Longevity Programs Management BRU
Pioneers Homes Component
ADD $100.0 in fee support/Pioneer's Home Recpts (1118)
Representative G. Davis OBJECTED.
Representative J. Davies spoke in support of the amendment.
The appropriation would be used to replace worn beds in the
homes. He observed that 80 percent of the beds are 20 to 35
years old. The average age of resident is 80 years old. At
this rate it would take 6 years to replace the beds and 75
beds would be replaced each year.
Representative G. Davis spoke against. He noted that all
but $100 thousand dollars of the increment was funded. He
expressed hope that the fee support bill would be enacted
and that more funds would be available.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault
Co-Chair Mulder was absent from the vote.
The MOTION FAILED (3-7).
Representative J. Davies MOVED to ADOPT Amendment Admin-14:
Page 2, line 15:
Senior Services $3,974,300 ($2,481,300GF and
$1,493,100 Other Funds)
Page 2, line 18:
Home and Community Based Care $3,391.
Representative G. Davis OBJECTED.
Representative J. Davies explained that the amendment
restores a $349,900 GF/MH reduction for statewide services
for Alaskans with Alzheimer's disease and related
disorders. The appropriation would provide services for
patients and their families and caregivers. The
appropriation would help keep people in their homes.
Representative G. Davis maintained that the Mental Health
Trust is addressing the issue. He stressed that private
services are being increased each year. Assistance is also
available from the Alzheimer's Association.
Representative J. Davies agreed that a lot is being done,
but questioned how much of the need is not being met.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
Representative Moses was absent from the vote.
The MOTION FAILED (2-8).
Representative J. Davies MOVED to ADOPT Amendment Admin-15:
Centralized Administrative Services BRU
Component: Retirement & Benefits
ADD $345.5 in Benefits Systems Receipts
Representative G. Davis observed that the funding source
would not be the General Fund. He did not object.
There being NO OBJECTION, it was so ordered.
DEPARTMENT OF EDUCATION AND EARLY DEVELOPMENT
Co-Chair Mulder MOVED to ADOPT Amendment DEED-1:
Delete
Early Development
Head Start Grants $75. GF
Add
Early Development
Head Start Grants $75. I/A (TANF)
Add
Commissions and Boards
Alaska State Council on the Arts $75. GF
Co-Chair Mulder explained that federal funds could be used
for Head Start Grants. This allows movement of general
funds to restore 75,000 to the Arts Council.
There being NO OBJECTION, it was so ordered.
Co-Chair Mulder MOVED to ADOPT Amendment DEED-1A:
Alaska Postsecondary Education Commission
WWAMI Medical Education $1,444,200 Postsecondary Recpts
Co-Chair Mulder explained that the request is funded in the
language section, Section 31(b). This change was made at
the request of the Commission so that net surplus funds
would be used and there would be no net impact on the
student loan program.
There being NO OBJECTION, it was so ordered.
Co-Chair Mulder MOVED to ADOPT Amendment DEED-2:
Page 8, line 8:
Delete '678,213,600'
Insert "685,765,900"
Delete "649,007,000"
Insert "656,559,300"
Page 8, line 9:
Delete "669,887,400"
Insert "677,439,700"
Co-Chair Mulder OBJECTED.
Representative J. Davies observed that Amendment DEED-2
increases the allocation for the quality school initiative
to $7,552,300 dollars GF. He pointed out that the first
benchmark and exit exam tests would be given in the next
week.
Co-Chair Mulder responded that there would need to be a
statutory change to increase the funding. There is
legislation to make the change. He suggested that the money
would be available if the legislation is enacted.
Representative J. Davies argued that the appropriation
could be made without enacting legislation. He noted that
it would be a one-time appropriation. He questioned what
would happen to children in the third grade that do not
meet the benchmark requirements. He stressed that measures
must be taken to assure that they are not deficient in the
next test.
Vice Chair Bunde suggested that there needs to be time to
assess the situation before more money is added.
Representative J. Davies noted that the average teacher
puts $800 dollars of their money into supplies every year.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
Amendment DEED-3 was WITHDRAWN.
Representative J. Davies MOVED to ADOPT Amendment DEED-4:
Alaska Postsecondary Education Commission BRU
WWAMI Medical Education component
Switch $1,444.2 Corp Receipts to GF
Co-Chair Mulder OBJECTED. Co-Chair Mulder explained that
the WWAMI and WITCHIE programs were funded with corporate
receipts.
Representative J. Davies spoke in support of Amendment
DEED-4. He noted that the amendment would change the
funding source to general funds and maintained that the
receipts would be more appropriately used for the Alaska
Scholars' Program. Co-Chair Mulder responded that the
Scholars' Program has been funded through the foundation
formula. He suggested that the use of corporate receipts is
appropriate and would help stabilize the programs.
Vice Chair Bunde noted that corporate receipts come from
the interest earned on student loans. This amount is the
excess, which is not needed to run the program. Students
are being asked to subsidize other students. He felt that
the money should be used to reduce loan levels. He stressed
that the program was not implemented to make money for the
state.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Foster, Williams, Mulder
Co-Chair Therriault and Representatives Davis and Phillips
were absent from the vote.
The MOTION FAILED (3-5).
Representative J. Davies MOVED to ADOPT Amendment DEED-5:
Page 8; line 15, in both places:
Delete "39,775,100"
Insert "44,855,000"
Increases the appropriation for Pupil Transportation
by $5,079,900 GF.
Representative J. Davies spoke in support.
Representative J. Davies stressed that the Fairbanks School
District was a hard negotiator. The contracts have to be
approved by the Department of Education and Early
Development. The department could have sent the contracts
back for further negotiation. There is a lack of
competition. He maintained that the cost would come from
student education.
Co-Chair Mulder noted that the component was funded at the
FY00 level. Representative J. Davies pointed out that the
supplemental request was not incorporated into the FY00
amount.
Representative Phillips observed that there has not been an
increase in pupil enrollment or road miles in several
years.
Representative Austerman pointed out that bus services have
increased. School districts can redraw boundaries.
Representative Grussendorf noted that the cost of fuel has
influenced costs. He pointed out that if there are five
empty seats available the bus is still going to run the
same routes.
Representative Phillips replied that the state should have
been reimbursed for low fuel prices.
Representative J. Davies observed that contracts are
negotiated. The questioned is what drives costs up. He
agreed that fuel costs are driving contract costs higher.
School districts do not have rebate clauses in their
contracts. He reiterated that the Department of Education
and Early Development reviews contracts. There are
conditional lane miles. Fairbanks added a new school that
added a new set of bus routes.
Vice Chair Bunde observed that the Anchorage School
District maintains its own buses.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Mulder
Co-Chair Therriault and Representative Williams were absent
from the vote.
The MOTION FAILED (3-6).
Representative Grussendorf MOVED to ADOPT Amendment DEED-6:
Page 8, line 28:
Delete "62,843,200"
Insert "68,251,600"
Delete "8,019,500"
Insert "13,427,900"
Page 8, line 30:
Delete "26,071,500"
Insert "31,479,900"
KAREN REHFELD, DIRECTOR, DIVISION OF EDUCATION SUPPORT
SERVICES, DEPARTMENT OF EDUCATION AND EARLY DEVELOPMENT
explained that the amendment would increases allocation for
childcare assistance and licensing by $5,408,400 GF.
Co-Chair Mulder explained that the intention of the
subcommittee was to continue daycare for welfare to work
parents. People would continue to receive assistance during
the transition from welfare to work. He noted that the
amendment would address the waiting list of low-income
recipients that have not gone through welfare to work. He
observed that the subcommittee has discussed a step down
for recipients. There was a $700.0 thousand dollar increase
over FY00.
Representative J. Davies pointed out that three people do
the licensing for the state of Alaska. Co-Chair Mulder
explained that only three positions were transferred. The
subcommittee recommended that the three positions that were
transferred be RSA back into Foster Care to maintain
efficiency. The Department of Education and Early
Development had not taken a position.
Ms. McConnell pointed out that it is not an issue of
splitting licensing. She observed that services were
inadequate before the split. Foster care licensing must be
taken care of first. The current level of resources cannot
provide adequate care. It is not a matter of efficiency.
The most life threatening situations must be taken care of
first. There was a $1.5 million dollar supplemental. The
$700 thousand dollars approved by the subcommittee does not
equal the FY00 level with the supplemental.
Representative J. Davies estimated that 440 children would
have to be removed. There is a wait list of over 1,000.
Co-Chair Mulder stressed that the subcommittee is
sympathetic but could not ascertain how many kids would
transition from Pass I to Pass II.
Co-Chair Mulder noted that the state has made a major
commitment to childcare.
Representative J. Davies questioned what would happen to
families that come off the program.
Ms. McConnell clarified that out of $4.5 million dollars,
$1.8 million is for the wait list. An additional $1.2
million dollars would be needed for Pass II. The goal of
the Administration is to continue the welfare to work
support and not take anyone off.
Co-Chair Therriault felt that there might be another way to
deal with the need.
Representative J. Davies WITHDREW Amendment DEED-6.
Representative Grussendorf MOVED to ADOPT Amendment DEED-7:
Page 8, line 28:
Delete "62,843,200"
Insert "64,843,200"
Delete "8,019,500"
Insert "10,019,500"
Delete "6,029,200"
Insert "8,029,200"
Increases allocation for Head Start Grants by $2,000,000
GF.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips, Williams,
Therriault, Mulder
The MOTION FAILED (3-8).
Representative Grussendorf MOVED to ADOPT Amendment DEED-8
K-12 Support BRU
Youth in Detention Component
Add $300.0 GF
Representative Grussendorf spoke in support of the
amendment.
Co-Chair Mulder explained that the component could be
reduced without the amendment. Representative Grussendorf
asked about the number of beds. Co-Chair Mulder believed
that they were on-line at this time. Additional beds were
funded, but there are more juveniles waiting to fill those
beds than there are beds available. The Subcommittee
recommended forestalling opening of those beds at this
time. Representative Grussendorf asked if there would not
be bed space available for FY01.
Ms. Rehfeld stated that when the budget was created some
funds were recommended for the expansion and for new
residential beds at Ketchikan, Matsu and potentially Kenai.
In response to a question by Representative J. Davies, Ms.
Rehfeld stated that the Department of Education and Early
Development is not currently providing services for Adult
correction facilities. The Subcommittee did allow a portion
of the increment.
Co-Chair Mulder replied that the HESS subcommittee were not
allowing for the Ketchikan, Matsu and MacLaughlin expansion
to come on line. Inmate programs currently provide an
opportunity to get a GED. They tried to "marry the DEED
and HESS budgets.
JANET CLARKE, DIRECTOR, DIVISON OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF HEALTH AND SOCIAL SERVICES explained that the
overcrowding is occurring at the Johnson and MacLaughlin
youth facilities. She stressed that additional funds are
needed. Co-Chair Mulder pointed out that a $300 thousand
dollar increment was provided to serve those kids.
Co-Chair Therriault added that funding was included for
utilities and maintenance. There have been a variety of
timing issues. He emphasized that there is no money for
opening additional beds. Representative Grussendorf asked
about the extra $300 thousand dollars, which was put in by
the Subcommittee.
Representative Grussendorf WITHDREW DEED-8.
(TAPE CHANGE, HFC 00-59, SIDE 1).
DEPARTMENT OF PUBLIC SAFETY
Amendment DPS-1 was WITHDRAWN.
Representative G. Davis MOVED to ADOPT Amendment DPS-2:
Delete
Violent Crimes Compensation BRU
Violent Crimes Compensation Component $300. PFDF
Representative G. Davis explained that the amendment
corrects an inadvertent error.
There being NO OBJECTION, it was so ordered.
Representative Grussendorf noted that the Council on
Domestic Violence and Sexual Assault FY00 appropriation was
$100 thousand dollars short.
Representative Grussendorf MOVED to ADOPT Amendment DPS-3
as amended by the sponsor:
Add:
Council on Domestic Violence and Sexual Assault
Council on Domestic Violence and Sexual Assault 100.0
KENNETH BISCHOFF, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF TRANSPORTATION acknowledged that
the Council's FY99 budget was $100 thousand dollars greater
than FY00.
TRISHA GENTLE, EXECUTIVE DIRECTOR, COUNCIL ON DOMESTIC
VIOLENCE AND SEXUAL ASSUALT explained that the Council's
grant line was reduced by $100 thousand dollars in FY00.
Ms. Gentle explained that the grants line contained a $120
thousand dollar federal grant.
Ms. McConnell explained that the misunderstanding occurred
in the other body. She stressed that there was a clear
effort by Senator Parnell to correct the problem.
Co-Chair Therriault referred to the component summary for
the Council.
Ms. McConnell explained that there was an increase in other
funds. The intent was to keep state support steady.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Williams, Therriault, Mulder
The MOTION FAILED (3-8).
Representative Grussendorf MOVED to ADOPT Amendment DPS-4:
Village Public Safety Officers Component:
Page 24, line 31:
Delete "7,548,000"
Insert "8,148,000"
Delete "7,498,000"
Insert "8,098,000"
Page 24, line 33:
Delete "5,523,500"
Insert "6,123,500"
Amendment DPS-4 would increase the allocation for Village
Public Safety Officer program contracts by $600,000 dollars
GF.
REPRESENTATIVE REGGIE JOULE spoke in support of the
amendment. He stressed that the amendment would help retain
officers.
Vice Chair Bunde questioned if more funding would solve the
problem. Representative Joule responded that there needs to
be more support from trooper response and higher salaries.
Representative G. Davis pointed out that village public
safety officers were given a raise a couple of years ago.
He acknowledged that the raise helped reduce turnover. He
observed that VPSO's are paid through non-profit
organizations. The indirect cost rate can be as high as 20
percent. He noted that there is incentive to go to direct
costs. He acknowledged that the program would benefit from
an additional increase, but stated that "it was not in the
cards" for the current budget.
Representative Joule responded that it is not often that
VPSO's move into trooper positions due to a lack of tiered
training. He stressed the importance of encouraging VPSO
officers to advance.
A roll call vote was taken on the motion.
IN FAVOR: Davies, Grussendorf, Moses, Foster, Austerman
OPPOSED: Bunde, Davis, Phillips, Williams, Therriault,
Mulder
The MOTION FAILED (5-6).
Representative Grussendorf MOVED to ADOPT Amendment DPS-5.
Representative G. Davis OBJECTED. Representative
Grussendorf observed that the first part of the amendment,
which would provide funding for FEMA code adoption, could
be contained in the capital budget. Representative G. Davis
confirmed. Representative Grussendorf MOVED to Amend
Amendment DPS-5 by striking the addition on line 16, page
24. There being NO OBJECTION, it was so ordered.
Representative Grussendorf MOVED to ADOPT Amendment DPS-5
as amended.
Page 24, line 17
Fire Prevention Operations Component:
Add $40 GFPR
Representative Grussendorf explained that the amendment
would allow yearly school inspections. He observed that
there are a lot of modular and temporary classrooms.
Representative G. Davis did not think a yearly inspection
was a necessary expense. Schools are inspected on a two-
year cycle. He felt that two-year inspections were
sufficient.
Representative Grussendorf maintained that the state would
be liable if inspections are reduced from one to two years.
Representative J. Davies stressed that the inspections are
an insurance policy. He observed that there is a tendency
to defer fire code related expenses. He maintained that the
request would result in savings through the reduction of
fires.
A roll call vote was taken on the motion.
IN FAVOR: Moses, Williams, Davies, Grussendorf
OPPOSED: Austerman, Bunde, Davis, Foster, Phillips,
Therriault, Mulder
The MOTION FAILED (4-7).
Co-Chair Mulder questioned the use of a plane transferred
to the Southeast region and RSA amounts from the Office of
the Governor.
Ms. Bischoff explained that the Fish and Wildlife Division
relocated a plane to Southeast Alaska for use by the Alaska
State Troopers and the Office of the Governor. The RSA with
the Office of the Governor was $165 thousand dollars in
FY00.
Co-Chair Mulder questioned the cost of enforcement versus
the RSA cost. Co-Chair Therriault questioned if the RSA was
included in travel costs. Ms. McConnell confirmed that it
was included in travel as a RSA.
Co-Chair Therriault questioned if all trips were listed.
Ms. McConnell thought that each trip was accounted for
individually. She noted that there was no allocation of
purpose for trips and that trips had multiple purposes.
In response to a question by Vice Chair Bunde, Mr. Bischoff
discussed the use of aircraft for enforcement. Aircraft are
used for high sea fisheries control, emergency response and
prisoner transfer. The airport in questioned was a surplus
plane that was acquired by Senator Stevens.
Ms. McConnell pointed out that there are costs associated
with commercial air transportation.
HB 312 and HB 313 were HELD in Committee for further
consideration.
Adjournment
The meeting adjourned at 6:55 p.m.
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