Legislature(1995 - 1996)
03/27/1996 08:40 AM House FIN
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
HOUSE FINANCE COMMITTEE
MARCH 27, 1996
8:40 A.M.
TAPE HFC 96 - 96, Side 1, #000 - end.
TAPE HFC 96 - 96, Side 2, #000 - end.
TAPE HFC 96 - 97, Side 1, #000 - #100.
CALL TO ORDER
Co-Chair Mark Hanley called the House Finance Committee
meeting to order at 8:40 A.M.
PRESENT
Co-Chair Hanley Representative Martin
Co-Chair Foster Representative Mulder
Representative Brown Representative Navarre
Representative Grussendorf Representative Parnell
Representative Kelly Representative Therriault
Representative Kohring
ALSO PRESENT
Karen Crane, Director, Libraries, Archives & Museums,
Department of Education; Mike Greany, Director, Legislative
Finance Division; Karen Rehfeld, Director, Administrative
Services, Department of Education; John Shively,
Commissioner, Department of Natural Resources; Nico Bus,
Director, Division of Administrative Services, Department of
Natural Resources.
SUMMARY
HB 412 An Act making 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.
HB 412 was HELD in Committee for further
consideration.
HB 413 An Act making appropriations for the operating
expenses of the state's integrated comprehensive
mental health program; and providing for an
effective date.
1
HB 413 was HELD in Committee for further
consideration.
AGENCIES:
DEPARTMENT OF EDUCATION
DEPARTMENT OF FISH AND GAME
DEPARTMENT OF NATURAL RESOURCES
DEPARTMENT OF PUBLIC SAFETY
HB 230 An Act making appropriations to the Department of
Education for support of kindergarten, primary,
and secondary education and for community schools
programs for fiscal year 1996 and fiscal year
1997; making appropriations from the
constitutional budget reserve fund under art. IX,
sec. 17(c), Constitution of the State of Alaska;
and providing for an effective date.
HB 230 was HELD in Committee for further
consideration.
HB#412
HB#413
HB#230
HOUSE BILL 412
"An Act making 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."
HOUSE BILL 413
"An Act making appropriations for the operating
expenses of the state's integrated comprehensive mental
health program; and providing for an effective date."
HOUSE BILL 230
"An Act making appropriations to the Department of
Education for support of kindergarten, primary, and
secondary education and for community schools programs
for fiscal year 1996 and fiscal year 1997; making
appropriations from the constitutional budget reserve
fund under art. IX, sec. 17(c), Constitution of the
State of Alaska; and providing for an effective date."
DEPARTMENT OF EDUCATION (DOE)
2
Co-Chair Hanley noted that DOE #3 had been moved into the
Capital Budget. Representative Navarre pointed out that the
Capital Budget currently was not before the Committee for
consideration and that budget also would be cut. He added
that DOE #3 would restore funding to the FY97 Governor's
proposed level in order to give the State Library sufficient
funds to purchase up-to-date materials such as books and
periodicals. He stressed that this concern should be
contained in the Operating Budget.
KAREN CRANE, DIRECTOR, LIBRARIES, ARCHIVES & MUSEUMS,
DEPARTMENT OF EDUCATION, pointed out that the proposed
allocation would be the only funds provided to the State
Library for library materials. The materials budget has
been reduced over the last ten years. while the cost of
books during that time has risen over 80%, and the cost of
periodicals has risen over 150%.
Representative Navarre MOVED to adopt DOE #3. Co-Chair
Hanley OBJECTED. Representative Grussendorf spoke in
support of the amendment remaining in the operational
budget. Representative Navarre recommended that a policy
call be made to determine if the request should continue to
be an on-going operating item. He urged the Committee's
support.
Representative Brown inquired what had been included in
Statewide #2 amendment.
KAREN REHFELD, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF EDUCATION, noted that the amendment
provided $150 thousand general fund dollars for Statewide
Library Electronic Doorway (SLED), $75 thousand program
receipt dollars for SLED and $75 thousand dollars for
library materials.
A roll call was taken on the MOTION to adopt DOE #3.
IN FAVOR: Navarre, Brown, Grussendorf, Foster.
OPPOSED: Kohring, Martin, Mulder, Parnell,
Therriault, Kelly, Hanley.
The MOTION FAILED (4-7).
Representative Navarre MOVED to adopt DOE #5 which would
provide partial funding for the 1997 Vocational Student
Leadership Organizations Joint Conference. Co-Chair Hanley
asked if the request had been included in the Governor's
FY97 budget. Ms. Rehfeld stated that the money had been cut
in last years budget. There is no money in the Department's
FY97 budget for this concern.
3
A roll call was taken on the MOTION to adopt DOE #5.
IN FAVOR: Navarre, Brown, Grussendorf.
OPPOSED: Martin, Mulder, Parnell, Therriault,
Kelly, Kohring, Hanley, Foster.
The MOTION FAILED (3-8).
Co-Chair Hanley distributed DOE #7, a technical change to
"other funds", which would reflect in the Governor's amended
budget. Ms. Rehfeld advised that the action taken by the
Committee regarding the Arts Council budget, the numbers for
the federal receipts and the gifts and grants authorization
did not match the Governor's amended request. The amendment
would address that concern.
In response to Representative Brown's question, Ms. Rehfeld
stated that the maximum federal anticipated amount, based on
the amount allocated by the Committee for FY97 would be $296
thousand dollars. The hope would be to raise enough in the
gift and grants allocations to be able to match some portion
of that amount. The maximum amount of needed federal
authorization would be $300 thousand dollars.
Representative Therriault questioned if local art
contributions had been used for FY96 match. Ms. Rehfeld
thought that did happen. There being NO OBJECTION, DOE #7
was adopted.
Representative Brown MOVED to reduce federal receipts to
$400 thousand dollars. She thought that would more
accurately reflect the expected utilization of federal
funds. Representative Kohring questioned if that would
create an impact to the general fund. Co-Chair Hanley
explained that the motion would only reduce the federal
authorization. Ms. Rehfeld commented that it would be
difficult to determine if $400 thousand dollars would be
excessive without a word from the National Endowment for
Arts (NEA).
Representative Therriault voiced concern that receiving an
allocation from the federal government was in question. He
thought that Representative Brown's motion was "premature".
Representative Brown countered that the amendment would
restore the allocation to the Governor's level. With cuts
proposed by the Committee, she thought it would not be
possible to capture the federal funds. The budget should be
accurate and reflect the action of the Committee.
Representative Brown MOVED to AMEND the earlier motion and
insert $459 thousand dollars instead of $400 thousand
dollars as the federal receipt number. There being NO
OBJECTIONS, it was adopted.
4
DEPARTMENT OF FISH AND GAME (DFG)
Representative Grussendorf MOVED to adopt F&G #1. Co-Chair
Hanley MOVED to amend F&G #1 to $40 thousand dollars for the
sport fisheries. There being NO OBJECTION to amend the
amendment, it was reduced. There being NO OBJECTION to the
amendment as amended, it was adopted.
Representative Grussendorf MOVED to adopt F&G #2. Co-Chair
Hanley OBJECTED. Representative Grussendorf pointed out
that F&G #2 would restore money back into the stream and
refuge permit, Division of Habitat. Last year, that
component was cut by $500 thousand dollars. Federal funding
did not provide enough for the salmon stream enhancement,
which resulted in inadequate permitting.
Co-Chair Hanley MOVED to add back $50 thousand dollars to
F&G #2. Representative Navarre OBJECTED. Representative
Grussendorf stated that would not be enough to accomplish
the necessary tasks of permitting.
A roll call was taken on the MOTION to amend F&G #2.
IN FAVOR: Parnell, Therriault, Kelly, Kohring,
Martin, Foster, Hanley.
OPPOSED: Navarre, Brown, Grussendorf.
Representative Mulder was not present for the vote.
The MOTION PASSED (7-3).
Representative Navarre OBJECTED stating that the component
was inadequate and would result in less economic development
and the Department's ability to deal with requests for
permitting. Representative Navarre stressed that such a
reduction would have the potential of excellerating
destruction within the fishery resources. He pointed out
that $50 thousand dollars was a "small" request to address
such a "large" concern. Representative Navarre WITHDREW his
OBJECTION. Representative Therriault OBJECTED.
A roll call was taken on the MOTION to adopt F&G #2.
IN FAVOR: Navarre, Brown, Grussendorf, Kelly,
Kohring, Hanley, Foster.
OPPOSED: Parnell, Therriault, Martin.
Representative Mulder was not present for the vote.
The MOTION PASSED (7-3).
5
Representative Grussendorf MOVED to adopt F&G #3. Co-Chair
Hanley OBJECTED. Representative Grussendorf explained that
F&G #3 would provide $200 thousand dollars for subsistence.
He stated that if the State is to gain control over Fish and
Game management, subsistence issues need to be addressed.
Representative Brown observed that the Division of
Subsistence which is most closely tied to the people in
rural Alaska will now be centralized in urban Alaska. The
effects of these cuts would close regional office functions
in Dillingham and Bethel.
Co-Chair Hanley MOVED to amend F&G #3 to $50 thousand
dollars. There being NO OBJECTION, it was amended. There
being NO OBJECTION to the amendment as amended, it was
adopted.
DEPARTMENT OF NATURAL RESOURCES (DNR)
Representative Therriault MOVED to adopt DNR #1.
Representative Brown OBJECTED. Representative Therriault
explained that the amendment would address the special
projects in the DNR budget for gifts and grants. Co-Chair
Hanley added, last year there was $1.1 million dollars in
gifts and grants in DNR. He stressed that there should not
count as general funds in last years budget. This fiscal
year, the Governor has moved that forward.
Co-Chair Hanley explained that either it could be moved into
general funds which would have the effect of increasing last
year's budget, or it could be treated the same as last year.
The actual budget comparison would then be the same.
MIKE GREANY, DIRECTOR, LEGISLATIVE FINANCE DIVISION,
commented that the amendment would provide consistency with
general budget authorization from the Legislature. He
added, until there is a long term solution to the gifts and
grants scenario, the Division would request that item be
viewed as a temporary solution specific to a particular
case.
(Tape Change, HFC 96-96, Side 2).
Representative Brown commented that the amendment does not
appear to be a gift or grant. She stressed that program
receipts are a valid way for the State to function. The
decision to treat program receipts as part of the general
fund, and reducing them, is not the best approach. Program
receipts are not a drain on the general fund.
Representative Brown questioned the difference between the
amount of the amendment and the amount of the special
projects.
6
NICO BUS, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF NATURAL RESOURCES, remarked that the amendment
would restore two projects back to the Governor's request.
Although, he added this amendment would not address the
North Star project. There being NO OBJECTION, DNR #1 was
adopted.
Representative Grussendorf MOVED to adopt DNR #2.
Representative Mulder OBJECTED. Representative Grussendorf
pointed out that the Forest Practices Act and the functions
associated with it have been reduced by 40%. Fishing and
logging industries have voiced support for the Forest
Practices Act.
Representative Mulder MOVED to AMEND DNR #2, reducing the
amount from $300 thousand dollars to $150 thousand dollars.
Representative Therriault stated that when the Forest
Practices Act was passed, it was an unrealistic source of
funding. He advised that the Commissioner of DNR does have
the latitude to determine that forestry operations be
contracted with private consultants. Then the expenses
would be picked up outside of the State general fund.
Representative Brown asked if $150 thousand dollars would be
adequate to do the inspection work required by the Division.
JOHN SHIVELY, COMMISSIONER, DEPARTMENT OF NATURAL RESOURCES,
stated that at the $150 thousand dollar level "some" field
inspections could be completed. The allocation would not
allow a complete job to be accomplished. He agreed with
Representative Grussendorf, that the Forest Practices Act
provides an insurance policy for the fishing and timber
industries. Commissioner Shively also agreed with
Representative Therriault that who makes the payment for
these concerns should be addressed as a public policy
question.
Representative Brown asked if DNR currently has the
authority to charge the industry a fee for the service.
Commissioner Shively replied that regulations would have to
be adopted to charge a fee or to adopt contracting.
Representative Brown WITHDREW the OBJECTION to the
amendment. The amendment to the amendment was adopted.
There being NO OBJECTION to the amendment as amended, DNR #2
was adopted.
Representative Navarre noted that he would HOLD DNR #3, DNR
presented in these amendments were addressed in the DNR #1.
Mr. Bus clarified that DNR #3 was addressed in DNR #1; DNR
7
addressed in DNR #1.
Representative Navarre MOVED to adopt DNR #6.
Representative Therriault OBJECTED. Representative Navarre
advised that parks and recreation management could use
additional program receipts. DNR #6 would provide an
additional $93 thousand dollars to that component.
Representative Brown asked if there would be enough program
receipts to provide the needed funding. Mr. Bus remarked
that the reduction was to general funds. In order to
accommodate the recommendation, the Division of Parks would
need to curtail operations resulting in minimized revenue
collections. Representative Navarre WITHDREW the MOTION to
move DNR #6.
Representative Navarre MOVED to adopt DNR #7.
Representative Therriault OBJECTED. Representative Navarre
questioned why there was a reduction to the oil and gas
development component, a comity which drives the entire
economy of the State. He strongly urged continued support
of the requested funding, given the stakes at risk.
Representative Therriault replied that the Oil and Gas
Division has not taken any reductions over the last few
years. He thought this Division should also take
reductions, without jeopardizing their core functions.
Representative Navarre stressed that there was good reason
why that Division has not taken cuts; their activities pay
for the budget. Representative Brown elaborated that the
reduction would be a mistake. To maintain a stable leasing
program will require an adequate number of people to provide
analysis to work with the public.
A roll call was taken on the MOTION to move DNR #7.
IN FAVOR: Brown, Grussendorf, Navarre.
OPPOSED: Therriault, Kelly, Kohring, Parnell,
Hanley, Foster.
Representatives Martin and Mulder were not present for the
vote.
The MOTION FAILED (3-6).
DEPARTMENT OF PUBLIC SAFETY (DPS)
Co-Chair Hanley MOVED to adopt DPS #1. He stated that the
Fish and Game subcommittee appropriated $200 thousand
dollars Department of Fish and Game funds derived from civil
fines and forfeitures to pay for an RSA with the Department
of Law. The remaining $292 thousand dollars was to be
8
divided between Fish and Wildlife enforcement within the
Department of Public Safety and ComFish special projects for
damaged resource studies. The net effect would be two new
Fish and Wildlife enforcement officers and two new troopers.
There being NO OBJECTION, DPS #1 was adopted.
Representative Kohring MOVED to adopt DPS #2.
Representative Brown OBJECTED. Co-Chair Hanley MOVED to
AMEND DPS #2, deleting $561.4 thousand general fund dollars
and replacing $250 thousand general fund dollars. There
being NO OBJECTION to the amendment to DPS #2, it was
changed.
Representative Brown indicated that it was Representative
Kohring's intent to cut the arts to increase the troopers.
She voiced her OBJECTION to taking money out of the Arts
Council which serves people throughout the State and putting
it into funding troopers which serves only a few
communities. She concluded that the Legislature has not
done a good job looking at the overall effects of the
criminal justice system.
A roll call was taken on the MOTION to adopt DPS #2.
IN FAVOR: Grussendorf, Kelly, Kohring, Martin,
Mulder, Navarre, Parnell, Therriault,
Hanley, Foster.
OPPOSED: Brown.
The MOTION PASSED (10-1).
Representative Grussendorf MOVED to adopt DPS #3 which would
restore the decrement for program receipt authority.
Representative Mulder OBJECTED. Representative Grussendorf
noted that the increment would address fire suppression
costs. The cost of fire suppression in Alaska is $380
million dollars annually; the state's death toll from fires
averages 1.2 persons per week.
Representative Parnell MOVED to AMEND DPS #3 from $180.2
thousand dollars to $50 thousand dollars designated program
receipts. The subcommittee funded fire suppression level
training at the same increment as last year. Representative
Brown stressed that the increment should be recognized.
This would be a fee for service operations, where the public
interest is served. She questioned why it was being reduced
to $50 thousand dollars. Representative Brown pointed out
that the Legislative Budget and Audit (LBA) Committee was
not an efficient way to conduct business during the interim.
She suggested that the budget should move toward a
sustaining situation, where industry can receive the
services that they need.
9
(Tape Change, HFC 96 - 97, Side 1).
There was NO OBJECTION to amend the amendment. There was NO
OBJECTION to adopting the amended DPS #3.
HB 412 was HELD in Committee for further consideration.
HB 413 was HELD in Committee for further consideration.
HB 230 was HELD in Committee for further consideration.
ADJOURNMENT
The meeting adjourned at 10:05 A.M.MARCH 27, 1996
8:40 A.M.
TAPE HFC 96 - 96, Side 1, #000 - end.
TAPE HFC 96 - 96, Side 2, #000 - end.
TAPE HFC 96 - 97, Side 1, #000 - #100.
CALL TO ORDER
Co-Chair Mark Hanley called the House Finance Committee
meeting to order at 8:40 A.M.
PRESENT
Co-Chair Hanley Representative Martin
Co-Chair Foster Representative Mulder
Representative Brown Representative Navarre
Representative Grussendorf Representative Parnell
Representative Kelly Representative Therriault
Representative Kohring
ALSO PRESENT
Karen Crane, Director, Libraries, Archives & Museums,
Department of Education; Mike Greany, Director, Legislative
Finance Division; Karen Rehfeld, Director, Administrative
Services, Department of Education; John Shively,
Commissioner, Department of Natural Resources; Nico Bus,
Director, Division of Administrative Services, Department of
Natural Resources.
SUMMARY
HB 412 An Act making 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
10
constitutional budget reserve fund; and providing
for an effective date.
HB 412 was HELD in Committee for further
consideration.
HB 413 An Act making appropriations for the operating
expenses of the state's integrated comprehensive
mental health program; and providing for an
effective date.
HB 413 was HELD in Committee for further
consideration.
AGENCIES:
DEPARTMENT OF EDUCATION
DEPARTMENT OF FISH AND GAME
DEPARTMENT OF NATURAL RESOURCES
DEPARTMENT OF PUBLIC SAFETY
HB 230 An Act making appropriations to the Department of
Education for support of kindergarten, primary,
and secondary education and for community schools
programs for fiscal year 1996 and fiscal year
1997; making appropriations from the
constitutional budget reserve fund under art. IX,
sec. 17(c), Constitution of the State of Alaska;
and providing for an effective date.
HB 230 was HELD in Committee for further
consideration.
HOUSE BILL 412
"An Act making 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."
HOUSE BILL 413
"An Act making appropriations for the operating
expenses of the state's integrated comprehensive mental
health program; and providing for an effective date."
HOUSE BILL 230
"An Act making appropriations to the Department of
Education for support of kindergarten, primary, and
11
secondary education and for community schools programs
for fiscal year 1996 and fiscal year 1997; making
appropriations from the constitutional budget reserve
fund under art. IX, sec. 17(c), Constitution of the
State of Alaska; and providing for an effective date."
DEPARTMENT OF EDUCATION (DOE)
Co-Chair Hanley noted that DOE #3 had been moved into the
Capital Budget. Representative Navarre pointed out that the
Capital Budget currently was not before the Committee for
consideration and that budget also would be cut. He added
that DOE #3 would restore funding to the FY97 Governor's
proposed level in order to give the State Library sufficient
funds to purchase up-to-date materials such as books and
periodicals. He stressed that this concern should be
contained in the Operating Budget.
KAREN CRANE, DIRECTOR, LIBRARIES, ARCHIVES & MUSEUMS,
DEPARTMENT OF EDUCATION, pointed out that the proposed
allocation would be the only funds provided to the State
Library for library materials. The materials budget has
been reduced over the last ten years. while the cost of
books during that time has risen over 80%, and the cost of
periodicals has risen over 150%.
Representative Navarre MOVED to adopt DOE #3. Co-Chair
Hanley OBJECTED. Representative Grussendorf spoke in
support of the amendment remaining in the operational
budget. Representative Navarre recommended that a policy
call be made to determine if the request should continue to
be an on-going operating item. He urged the Committee's
support.
Representative Brown inquired what had been included in
Statewide #2 amendment.
KAREN REHFELD, DIRECTOR, DIVISION OF ADMINISTRATIVE
SERVICES, DEPARTMENT OF EDUCATION, noted that the amendment
provided $150 thousand general fund dollars for Statewide
Library Electronic Doorway (SLED), $75 thousand program
receipt dollars for SLED and $75 thousand dollars for
library materials.
A roll call was taken on the MOTION to adopt DOE #3.
IN FAVOR: Navarre, Brown, Grussendorf, Foster.
OPPOSED: Kohring, Martin, Mulder, Parnell,
Therriault, Kelly, Hanley.
The MOTION FAILED (4-7).
12
Representative Navarre MOVED to adopt DOE #5 which would
provide partial funding for the 1997 Vocational Student
Leadership Organizations Joint Conference. Co-Chair Hanley
asked if the request had been included in the Governor's
FY97 budget. Ms. Rehfeld stated that the money had been cut
in last years budget. There is no money in the Department's
FY97 budget for this concern.
A roll call was taken on the MOTION to adopt DOE #5.
IN FAVOR: Navarre, Brown, Grussendorf.
OPPOSED: Martin, Mulder, Parnell, Therriault,
Kelly, Kohring, Hanley, Foster.
The MOTION FAILED (3-8).
Co-Chair Hanley distributed DOE #7, a technical change to
"other funds", which would reflect in the Governor's amended
budget. Ms. Rehfeld advised that the action taken by the
Committee regarding the Arts Council budget, the numbers for
the federal receipts and the gifts and grants authorization
did not match the Governor's amended request. The amendment
would address that concern.
In response to Representative Brown's question, Ms. Rehfeld
stated that the maximum federal anticipated amount, based on
the amount allocated by the Committee for FY97 would be $296
thousand dollars. The hope would be to raise enough in the
gift and grants allocations to be able to match some portion
of that amount. The maximum amount of needed federal
authorization would be $300 thousand dollars.
Representative Therriault questioned if local art
contributions had been used for FY96 match. Ms. Rehfeld
thought that did happen. There being NO OBJECTION, DOE #7
was adopted.
Representative Brown MOVED to reduce federal receipts to
$400 thousand dollars. She thought that would more
accurately reflect the expected utilization of federal
funds. Representative Kohring questioned if that would
create an impact to the general fund. Co-Chair Hanley
explained that the motion would only reduce the federal
authorization. Ms. Rehfeld commented that it would be
difficult to determine if $400 thousand dollars would be
excessive without a word from the National Endowment for
Arts (NEA).
Representative Therriault voiced concern that receiving an
allocation from the federal government was in question. He
thought that Representative Brown's motion was "premature".
Representative Brown countered that the amendment would
13
restore the allocation to the Governor's level. With cuts
proposed by the Committee, she thought it would not be
possible to capture the federal funds. The budget should be
accurate and reflect the action of the Committee.
Representative Brown MOVED to AMEND the earlier motion and
insert $459 thousand dollars instead of $400 thousand
dollars as the federal receipt number. There being NO
OBJECTIONS, it was adopted.
DEPARTMENT OF FISH AND GAME (DFG)
Representative Grussendorf MOVED to adopt F&G #1. Co-Chair
Hanley MOVED to amend F&G #1 to $40 thousand dollars for the
sport fisheries. There being NO OBJECTION to amend the
amendment, it was reduced. There being NO OBJECTION to the
amendment as amended, it was adopted.
Representative Grussendorf MOVED to adopt F&G #2. Co-Chair
Hanley OBJECTED. Representative Grussendorf pointed out
that F&G #2 would restore money back into the stream and
refuge permit, Division of Habitat. Last year, that
component was cut by $500 thousand dollars. Federal funding
did not provide enough for the salmon stream enhancement,
which resulted in inadequate permitting.
Co-Chair Hanley MOVED to add back $50 thousand dollars to
F&G #2. Representative Navarre OBJECTED. Representative
Grussendorf stated that would not be enough to accomplish
the necessary tasks of permitting.
A roll call was taken on the MOTION to amend F&G #2.
IN FAVOR: Parnell, Therriault, Kelly, Kohring,
Martin, Foster, Hanley.
OPPOSED: Navarre, Brown, Grussendorf.
Representative Mulder was not present for the vote.
The MOTION PASSED (7-3).
Representative Navarre OBJECTED stating that the component
was inadequate and would result in less economic development
and the Department's ability to deal with requests for
permitting. Representative Navarre stressed that such a
reduction would have the potential of excellerating
destruction within the fishery resources. He pointed out
that $50 thousand dollars was a "small" request to address
such a "large" concern. Representative Navarre WITHDREW his
OBJECTION. Representative Therriault OBJECTED.
A roll call was taken on the MOTION to adopt F&G #2.
14
IN FAVOR: Navarre, Brown, Grussendorf, Kelly,
Kohring, Hanley, Foster.
OPPOSED: Parnell, Therriault, Martin.
Representative Mulder was not present for the vote.
The MOTION PASSED (7-3).
Representative Grussendorf MOVED to adopt F&G #3. Co-Chair
Hanley OBJECTED. Representative Grussendorf explained that
F&G #3 would provide $200 thousand dollars for subsistence.
He stated that if the State is to gain control over Fish and
Game management, subsistence issues need to be addressed.
Representative Brown observed that the Division of
Subsistence which is most closely tied to the people in
rural Alaska will now be centralized in urban Alaska. The
effects of these cuts would close regional office functions
in Dillingham and Bethel.
Co-Chair Hanley MOVED to amend F&G #3 to $50 thousand
dollars. There being NO OBJECTION, it was amended. There
being NO OBJECTION to the amendment as amended, it was
adopted.
DEPARTMENT OF NATURAL RESOURCES (DNR)
Representative Therriault MOVED to adopt DNR #1.
Representative Brown OBJECTED. Representative Therriault
explained that the amendment would address the special
projects in the DNR budget for gifts and grants. Co-Chair
Hanley added, last year there was $1.1 million dollars in
gifts and grants in DNR. He stressed that there should not
count as general funds in last years budget. This fiscal
year, the Governor has moved that forward.
Co-Chair Hanley explained that either it could be moved into
general funds which would have the effect of increasing last
year's budget, or it could be treated the same as last year.
The actual budget comparison would then be the same.
MIKE GREANY, DIRECTOR, LEGISLATIVE FINANCE DIVISION,
commented that the amendment would provide consistency with
general budget authorization from the Legislature. He
added, until there is a long term solution to the gifts and
grants scenario, the Division would request that item be
viewed as a temporary solution specific to a particular
case.
(Tape Change, HFC 96-96, Side 2).
Representative Brown commented that the amendment does not
15
appear to be a gift or grant. She stressed that program
receipts are a valid way for the State to function. The
decision to treat program receipts as part of the general
fund, and reducing them, is not the best approach. Program
receipts are not a drain on the general fund.
Representative Brown questioned the difference between the
amount of the amendment and the amount of the special
projects.
NICO BUS, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES,
DEPARTMENT OF NATURAL RESOURCES, remarked that the amendment
would restore two projects back to the Governor's request.
Although, he added this amendment would not address the
North Star project. There being NO OBJECTION, DNR #1 was
adopted.
Representative Grussendorf MOVED to adopt DNR #2.
Representative Mulder OBJECTED. Representative Grussendorf
pointed out that the Forest Practices Act and the functions
associated with it have been reduced by 40%. Fishing and
logging industries have voiced support for the Forest
Practices Act.
Representative Mulder MOVED to AMEND DNR #2, reducing the
amount from $300 thousand dollars to $150 thousand dollars.
Representative Therriault stated that when the Forest
Practices Act was passed, it was an unrealistic source of
funding. He advised that the Commissioner of DNR does have
the latitude to determine that forestry operations be
contracted with private consultants. Then the expenses
would be picked up outside of the State general fund.
Representative Brown asked if $150 thousand dollars would be
adequate to do the inspection work required by the Division.
JOHN SHIVELY, COMMISSIONER, DEPARTMENT OF NATURAL RESOURCES,
stated that at the $150 thousand dollar level "some" field
inspections could be completed. The allocation would not
allow a complete job to be accomplished. He agreed with
Representative Grussendorf, that the Forest Practices Act
provides an insurance policy for the fishing and timber
industries. Commissioner Shively also agreed with
Representative Therriault that who makes the payment for
these concerns should be addressed as a public policy
question.
Representative Brown asked if DNR currently has the
authority to charge the industry a fee for the service.
Commissioner Shively replied that regulations would have to
be adopted to charge a fee or to adopt contracting.
Representative Brown WITHDREW the OBJECTION to the
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amendment. The amendment to the amendment was adopted.
There being NO OBJECTION to the amendment as amended, DNR #2
was adopted.
Representative Navarre noted that he would HOLD DNR #3, DNR
presented in these amendments were addressed in the DNR #1.
Mr. Bus clarified that DNR #3 was addressed in DNR #1; DNR
addressed in DNR #1.
Representative Navarre MOVED to adopt DNR #6.
Representative Therriault OBJECTED. Representative Navarre
advised that parks and recreation management could use
additional program receipts. DNR #6 would provide an
additional $93 thousand dollars to that component.
Representative Brown asked if there would be enough program
receipts to provide the needed funding. Mr. Bus remarked
that the reduction was to general funds. In order to
accommodate the recommendation, the Division of Parks would
need to curtail operations resulting in minimized revenue
collections. Representative Navarre WITHDREW the MOTION to
move DNR #6.
Representative Navarre MOVED to adopt DNR #7.
Representative Therriault OBJECTED. Representative Navarre
questioned why there was a reduction to the oil and gas
development component, a comity which drives the entire
economy of the State. He strongly urged continued support
of the requested funding, given the stakes at risk.
Representative Therriault replied that the Oil and Gas
Division has not taken any reductions over the last few
years. He thought this Division should also take
reductions, without jeopardizing their core functions.
Representative Navarre stressed that there was good reason
why that Division has not taken cuts; their activities pay
for the budget. Representative Brown elaborated that the
reduction would be a mistake. To maintain a stable leasing
program will require an adequate number of people to provide
analysis to work with the public.
A roll call was taken on the MOTION to move DNR #7.
IN FAVOR: Brown, Grussendorf, Navarre.
OPPOSED: Therriault, Kelly, Kohring, Parnell,
Hanley, Foster.
Representatives Martin and Mulder were not present for the
vote.
The MOTION FAILED (3-6).
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DEPARTMENT OF PUBLIC SAFETY (DPS)
Co-Chair Hanley MOVED to adopt DPS #1. He stated that the
Fish and Game subcommittee appropriated $200 thousand
dollars Department of Fish and Game funds derived from civil
fines and forfeitures to pay for an RSA with the Department
of Law. The remaining $292 thousand dollars was to be
divided between Fish and Wildlife enforcement within the
Department of Public Safety and ComFish special projects for
damaged resource studies. The net effect would be two new
Fish and Wildlife enforcement officers and two new troopers.
There being NO OBJECTION, DPS #1 was adopted.
Representative Kohring MOVED to adopt DPS #2.
Representative Brown OBJECTED. Co-Chair Hanley MOVED to
AMEND DPS #2, deleting $561.4 thousand general fund dollars
and replacing $250 thousand general fund dollars. There
being NO OBJECTION to the amendment to DPS #2, it was
changed.
Representative Brown indicated that it was Representative
Kohring's intent to cut the arts to increase the troopers.
She voiced her OBJECTION to taking money out of the Arts
Council which serves people throughout the State and putting
it into funding troopers which serves only a few
communities. She concluded that the Legislature has not
done a good job looking at the overall effects of the
criminal justice system.
A roll call was taken on the MOTION to adopt DPS #2.
IN FAVOR: Grussendorf, Kelly, Kohring, Martin,
Mulder, Navarre, Parnell, Therriault,
Hanley, Foster.
OPPOSED: Brown.
The MOTION PASSED (10-1).
Representative Grussendorf MOVED to adopt DPS #3 which would
restore the decrement for program receipt authority.
Representative Mulder OBJECTED. Representative Grussendorf
noted that the increment would address fire suppression
costs. The cost of fire suppression in Alaska is $380
million dollars annually; the state's death toll from fires
averages 1.2 persons per week.
Representative Parnell MOVED to AMEND DPS #3 from $180.2
thousand dollars to $50 thousand dollars designated program
receipts. The subcommittee funded fire suppression level
training at the same increment as last year. Representative
Brown stressed that the increment should be recognized.
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This would be a fee for service operations, where the public
interest is served. She questioned why it was being reduced
to $50 thousand dollars. Representative Brown pointed out
that the Legislative Budget and Audit (LBA) Committee was
not an efficient way to conduct business during the interim.
She suggested that the budget should move toward a
sustaining situation, where industry can receive the
services that they need.
(Tape Change, HFC 96 - 97, Side 1).
There was NO OBJECTION to amend the amendment. There was NO
OBJECTION to adopting the amended DPS #3.
HB 412 was HELD in Committee for further consideration.
HB 413 was HELD in Committee for further consideration.
HB 230 was HELD in Committee for further consideration.
ADJOURNMENT
The meeting adjourned at 10:05 A.M.
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