Legislature(2013 - 2014)Anch Temporary LIO
12/16/2014 09:00 AM Senate LEGISLATIVE BUDGET & AUDIT
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| Audio | Topic |
|---|---|
| Start | |
| Revised Program - Legislative (rpls) | |
| Executive Session | |
| Audit Requests | |
| Other Committee Business | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
ALASKA STATE LEGISLATURE
LEGISLATIVE BUDGET AND AUDIT COMMITTEE
December 16, 2014
9:09 a.m.
MEMBERS PRESENT
Senator Anna MacKinnon, Chair
Senator Kevin Meyer
Senator Click Bishop (via teleconference)
Senator Cathy Giessel
Representative Mike Hawker, Vice Chair
Representative Bob Herron (via teleconference)
Representative Kurt Olson (via teleconference)
Representative Scott Kawasaki (alternate) (via teleconference)
MEMBERS ABSENT
Representative Alan Austerman
Representative Andy Josephson
Representative Bill Stoltze (alternate)
Senator Donald Olson
Senator Mike Dunleavy (alternate)
OTHER LEGISLATORS PRESENT
Representative Sam Kito III
COMMITTEE CALENDAR
APPROVAL OF MINUTES
REVISED PROGRAM - LEGISLATIVE (RPLS)
EXECUTIVE SESSION
AUDIT REQUESTS
OTHER COMMITTEE BUSINESS
PREVIOUS COMMITTEE ACTION
No previous action to record
WITNESS REGISTER
DAVID TEAL, Legislative Fiscal Analyst (via teleconference)
Legislative Finance Division
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided information and answered questions
regarding RPLs 05-5-0211, 08-5-0194, and 18-5-0360 to the Joint
Committee on Legislative Budget and Audit.
JEANNE MUNGLE, Director (via teleconference)
Administrative Services
Department of Commerce, Community, and Economic Development
Juneau, Alaska
POSITION STATEMENT: Responded to questions regarding the
urgency of RPL #08-5-0194, the Cordova Community Center.
ELAINE BUSSE FLOYD, Director
Division of Environmental Health
Department of Environmental Conservation
Anchorage, Alaska
POSITION STATEMENT: Provided information and answered questions
regarding RPL #18-5-0360, Tsunami Marine Debris Cleanup.
ELISE HSICH (via teleconference)
Exxon Valdez Oil Spill Trustee Council (EVOSTC)
Anchorage, Alaska
POSITION STATEMENT: Provided information and answered questions
regarding RPL #18-5-0360, the Cordova Community Center.
KRISTIN CURTIS, Legislative Auditor (via teleconference)
Legislative Audit Division
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided information regarding an upcoming
audit and Alaska's Financial Statement FY14.
LAURA PIERRE, Staff
Senator Anna MacKinnon
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided information and answered questions
regarding the status of upcoming RFPs, and contracts for oil and
gas consultants.
ACTION NARRATIVE
9:08:56 AM
CHAIR ANNA MACKINNON called the Legislative Budget and Audit
Committee meeting to order at 9:08 a.m. Senators Meyer,
Giessel, MacKinnon, and Bishop (via teleconference), and
Representatives Hawker (via teleconference) and Herron (via
teleconference) were present at the call to order.
Representatives Olson (via teleconference) and Kawasaki (via
teleconference) arrived as the meeting was in progress. Also in
attendance was Representative Kito, III.
^APPROVAL OF MINUTES
APPROVAL OF MINUTES
CHAIR MACKINNON announced that the first order of business would
be approval of the minutes.
REPRESENTATIVE HAWKER made a motion to approve the minutes of
October 28, 2014. There being no objection, the minutes from
the meeting of October 28, 2014 were approved.
REPRESENTATIVE HAWKER made a motion to approve the minutes of
October 29, 2014. There being no objection, the minutes from
the meeting of October 29, 2014 were approved.
REPRESENTATIVE HAWKER made a motion to approve the morning and
afternoon minutes of November 28, 2014. There being no
objection, the morning and afternoon minutes from the meetings
of November 28, 2014 were approved.
REPRESENTATIVE HAWKER made a motion to approve the minutes of
December 2, 2014. There being no objection, the minutes from
the meeting of December 2, 2014 were approved.
^REVISED PROGRAM - LEGISLATIVE (RPLs)
REVISED PROGRAM - LEGISLATIVE (RPLs)
9:11:35 AM
CHAIR MACKINNON announced that the next order of business would
be consideration of three RPLs.
9:11:44 AM
DAVID TEAL, Legislative Fiscal Analyst, Legislative Finance
Division, Alaska State Legislature, referred to Revised Program
Legislative (RPL) #05-5-0211, and stated the Department of
Education, Alaska State Council on the Arts (ASCA) is requesting
$120,000 of statutory designated program receipts authorization
in order to accept funding provided by the Margaret A. Cargill
Foundation. He advised the money is available as an Alaska Arts
Education Planning Partnership project grant and is intended to
develop a plan to increase the competency, tenure, and
expertise, of art teachers in Alaska. In particular, he pointed
out, this funding would be used to explore the best methods of
supporting early career professional development in arts
teaching methodologies.
9:13:50 AM
REPRESENTATIVE HAWKER referred to the letter, dated 11/20/2014,
from the Margaret A. Cargill Foundation and surmised that the
urgency in this matter is that the grant payment of $120,000
will be payable immediately upon receipt of the signed
conditions of the grant agreement, if the committee so approves.
9:14:14 AM
MR. TEAL answered in the affirmative.
9:14:38 AM
MR. TEAL referred to RPL #08-5-0194 and stated that the
Department of Commerce, Community and Economic Development
(DCCED) is requesting $1.5 million of Exxon Valdez Oil Spill
(EVOS) trust funding for construction of the Cordova Community
Center. He explained that the Exxon Valdez Oil Spill Trustee
Council (EVOSTC) intends to move the majority of its
administration from Anchorage to Cordova. He advised that in
November 2010, the EVOSTC approved approximately $7 million for
this project with the intent of providing approximately one-
third of the funds needed to construct the facility. He pointed
out that there were several appropriations listed in the prior
RPL [RPL #08-1-0248]. In referring to the current RPL, he noted
a statement reporting that project costs have risen since those
appropriations. In order to maintain the intended funding level
of one-third of total project costs, the EVOSTC approved an
additional $1.3 million of trust money plus approximately
$200,000 in earnings. The RPL, he explained, does not provide
the full cost of the building or the "shares of that cost, the
state, EVOS, the city and private donations." He paraphrased a
"cryptic" statement on page 2, paragraph 3, "... that the
funding in the RPL will facilitate the project obtaining the
balance of the anticipated funding needs from private
donations." He expressed that there was confusion regarding the
funding history as the best information shows that, to date,
there is approximately $10.5 million of undesignated gift funds
(UGF) appropriated to this project plus another $1 million from
the Commercial Passenger Vessel [Tax] Fund. He remarked that
this would bring EVOS funding up to approximately $9 [million],
including interest and the current RPL. He advised that
Representatives from the City of Cordova and EVOS are available
to address questions the committee may have with regard to the
project costs, funding, and how much additional money from
various sources may be required to complete the project.
9:17:21 AM
REPRESENTATIVE HAWKER extended that he has trepidation about the
[Cordova Community Center project], but that he is not in
opposition to the EVOS or the [Cordova Community Center]. He
voiced his concern that the committee approving another $1.5
million out of the EVOS for this project is premature and is
lacking in adequate due diligence on behalf of the legislature.
He opined that the request belongs in the capital budgeting
process of the legislature where it can be evaluated in more
detail and with the benefit of the entire legislature. In that
manner, he offered, proper time will be provided for the request
to be analyzed and presented to the House and Senate Finance
Committees. At this point, he continued that unless the request
is a life, health, safety, mission critical, emergency funding,
he could not support the RPL.
9:18:58 AM
JEANNE MUNGLE, Director, Administrative Services, Department of
Commerce, Community, and Economic Development (DCCED), pointed
out that the project's target completion date is scheduled for
May 2015, and DCCED determined it would request the approval
now.
9:19:59 AM
REPRESENTATIVE HAWKER reiterated that DCCED's project completion
date is May 2015, and noted there is a $1.5 [million] or more
"overrun" with regard to the "cryptic" statement, "In addition,
securing these funds will facilitate the project obtaining the
balance of anticipated needs ... ." He accessed that this is an
issue DCCED should have been aware of long before this December
committee meeting and asked why the request was not identified
earlier. He asked what the consequences were in the event the
estimated completion date went later than May 2015, and the
decision postponed into the [2015] legislative session.
9:21:09 AM
MS. MUNGLE conveyed that this is not a DCCED's project, but
because it has grant authority with the Division of Community
and Regional Affairs, DCCED is facilitating this request through
the grant process. She noted that it was brought before DCCED's
attention in November [2014] as a need in order to secure two-
thirds of the total project cost that have come from a variety
of sources at the local, state, and federal levels.
9:22:12 AM
SENATOR MEYER offered that this project has been around for a
while as he had previously worked on it through the capital
budget process. He opined that [initially the project] was to
be a community center for the City of Cordova and it now appears
that the scope has expanded to a library, museum, conference
center, and includes use by EVOS. He asked if this expanded
scope added to the cost. The state has been funding this
through the capital budget for a while and, he questioned, will
this be the "it" or will there be additional capital money
requested and perhaps operating costs. He asked the current
status of the project, the total cost of project, and if this
amount of money will be sufficient.
9:23:47 AM
MS. MUNGLE deferred to Elise Hsieh, Exxon Valdez Oil Spill
Trustee Council (EVOSTC), who is available via teleconference.
9:24:17 AM
SENATOR MEYER stated he is in agreement with Representative
Hawker and supports this request going before the House and
Senate Finance Committees to obtain more detail, including the
history and the expectations of the project in the future.
9:24:39 AM
CHAIR MACKINNON directed the committee's attention to the bottom
of page 1, "Previous Legislative Consideration" which depicts
the state's commitment to this project to date.
9:25:33 AM
SENATOR MEYER noted his concern and the amount of commitment the
state has given to this project. He said the project may have
expanded over the years as this should have been completed some
time ago. The House and Senate Finance Committees are better
entities to ask questions and determine if there is an
expectation of future funding both from the capital and
operating side.
There being no further comments from witnesses or committee
members, Senator MacKinnon set RPL #08-5-0194 aside.
9:27:16 AM
MR. TEAL referred to RPL #18-5-0360, and he advised that the
Department of Environment Conservation (DEC) is requesting $1.5
million of federal receipts. The money comes from the National
Oceanic and Atmospheric Administration (NOAA) for marine debris
cleanup activities related to the tsunami that struck Japan in
March 2011. He stated that although the final funding has not
yet been awarded from NOAA, the DEC expects to receive $900,000
within the next couple of weeks and another $600,000 in February
2015. The DEC is requesting authorization now to ensure that
contracts can be finalized in April 2015, and cleanup activities
can occur between May and September 2015.
9:28:26 AM
SENATOR MEYER stated that capital money had been appropriated to
this project and questioned the total amount of the
appropriation.
9:29:00 AM
MR. TEAL responded that within previous legislative
consideration the DEC, Division of Environment Health received
$1 million of federal receipt authority in FY13.
9:29:32 AM
ELAINE BUSSE FLOYD, Director, Division of Environmental Health,
Department of Environmental Conservation, stated that the $1
million in capital appropriation went through the DCCED and then
to non-governmental organizations (NGOs) that directly perform
marine debris cleanup. The [DEC] received $1 million in federal
authority two years ago in order that it could receive money
from NOAA from the Government of Japan. She noted that the DEC
is currently asking NOAA for $1.5 million of the Government of
Japan money. Alaska is poised to have received a total of $2.5
million of the $5 million that the Government of Japan gave to
the United States.
9:30:29 AM
SENATOR MEYER surmised that Alaska, if the RPL is approved, will
have received $2.5 million from the federal government, and $1
million appropriated in the general fund.
MS. FLOYD answered in the affirmative.
9:30:45 AM
SENATOR MEYER questioned if $3.5 million represented enough
money to clean up the debris, and asked if money from the
fishing industry or any other source had been received.
9:31:00 AM
MS. FLOYD answered that EVOS contributed money directly to one
of its contractors, a marine debris clean up NGOs, and the state
contributed $200,000 in FY12 for the first aerial survey of over
8,000 pictures of the tsunami debris. The aerial survey
verified evidence seen on the ground along the coast and Gulf of
Alaska, she said. In response to Senator Meyer's question, she
stated that $3.5 million is not enough money but that is the
amount the department is working with. She noted that
approximately $1 million of the Government of Japan money will
be left after Alaska receives the $1.5 million it is poised to
receive. She stated that NOAA advised that the Alaska Statement
of Work (contract request) was signed in early December, but
requires clearance from "a couple of layers up." She further
stated that Alaska will be asking for additional funding next
year, subsequent to reviewing the 2015 season.
9:32:24 AM
MS. FLOYD responded to Senator Meyer's question that Alaska was
hit harder than all of the Western states and Canada as it has
the most coastline. She pointed out that the wind and currents
bypassed the majority of the Pacific states and those states
report that their beaches are clean. British Columbia has
coastline more similar to ours and it recently reported that
[the beaches] are "tidied up" as well. She pointed out that the
British Columbia beaches are normally flat, civilians can drive
on them, and the beaches are easily accessible. Whereas, she
noted, Alaska's beaches are more of an industrial operation to
get to.
9:33:40 AM
REPRESENTATIVE HERRON requested information regarding the scale
[of damage] and how successful the contractors were.
MS. FLOYD responded that last year a report was submitted to the
legislature, and the 2014 season report will be available this
session.
[The committee was advised that a representative from the Exxon
Valdez Oil Spill Trustee Council was on line regarding RPL #08-
5-0194, Cordova Community Center].
9:34:58 AM
ELISE HSICH, Exxon Valdez Oil Spill Trustee Council (EVOSTC),
apologized for previously being "muted" via teleconference. She
stated that in 2010 the Cordova Community Center project was
perceived by the EVOSTC and supported by state, and federal
trustees. She explained there was a delay in funding the
Cordova Center construction project as the U.S. Department of
Justice (DOJ) had concerns. Therefore, the [Alaska] Department
of Law (DOL) worked closely with DOJ to resolve concerns in
order that the money would flow to Cordova. As the committee is
aware during 2008 construction costs were lower due to a
dramatic market turn. Unfortunately, she noted, by the time
Cordova received funding its construction costs were higher. In
the interim, she explained, the Cordova Community Center has
been managed by DCEED even though it did have an issue with a
contractor, the cost expansion has to do with the initial delay
with DOJ. She maintains that the scope has not increased at the
Cordova Community Center since the 2010 initial funding by the
EVOSTC. The EVOSTC approved another $1.3 [million], however, it
was contingent upon fund raising and additional monies. As that
fund [raising] continues it is getting closer to the two-thirds
mark ($1.3 million] which is needed to complete this project,
she remarked, and pointed out that approximately $750,000 has
been raised plus a bond is before the City of Cordova for
another $3 million. However, "this has not been approved by
your body" which, she stated, makes it more difficult on the
budget side for it to pass through the coordinating agencies to
get the project funded. She said she is working closely with
DOL and DOJ, and that DOJ is poised to release funding as soon
as the two-thirds mark is hit. She deferred to the City of
Cordova as to the estimated date of final construction, but
there is a last push to get the project completed in late
spring. The City [of Cordova] in past resolutions with the
EVOSTC agreed to cover maintenance costs and operating costs of
the [Cordova Community Center].
9:38:39 AM
REPRESENTATIVE HAWKER made a motion that the Legislative Budget
& Audit Committee approve the following RPLs: RPL #05-5-[02]11,
The Department of Education and Early Development, $120,000 of
statutory designated program receipts and; RPL #18-5-0360,
Department of Environmental Conservation, $1.5 million in
federal receipt authority.
There being no objection, RPL #05-5-0211 and RPL #18-5-0360 were
approved.
^EXECUTIVE SESSION
EXECUTIVE SESSION
9:39:38 AM
CHAIR MACKINNON stated that the committee would move into
executive session to discuss confidential audit reports. She
advised that Paulyn Swanson, staff to incoming Chair Mike
Hawker, Laura Pierre and Erin Shine, staff to Chair MacKinnon,
and Kristin Curtis, Legislative Auditor and her support team
would be included in executive session, as well as contract
staff for the Department of Corrections performance review.
9:40:01 AM
REPRESENTATIVE HAWKER made a motion to move to executive session
for the purpose of discussing confidential audit reports under
AS 24.20.301. There being no objection, the committee went into
executive session at 9:40 a.m.
11:22:47 AM
CHAIR MACKINNON brought the committee back to order at 11:22
a.m. Senators Meyer, Bishop, Giessel, and Mackinnon, and
Representatives Herron, Olson, and Hawker were present at the
call to order.
^AUDIT REQUESTS
AUDIT REQUESTS
11:23:25 AM
REPRESENTATIVE HAWKER made a motion that the following final
audits be released to the public: The Department of Commerce,
Community and Economic Development, Alcohol Beverage Control
Board Sunset Review; and the Department of Commerce, Community
and Economic Development Regulatory Commission of Alaska FY13
annual report. There being no objection, the aforementioned
audits were released to the public.
11:23:51 AM
REPRESENTATIVE HAWKER made a motion that the Legislative Budget
& Audit Committee direct the legislative auditor to perform a
preliminary sampling regarding the error rate noted in the FY13
report, at the Regulatory Commission of Alaska (RCA), by
reviewing the FY14 data base. He requested a preliminary
response prior to the completion of a full FY14 report.
11:24:26 AM
KRISTIN CURTIS, Legislative Auditor, Division of Legislative
Audit, Alaska State Legislature, stated that the [Division of
Legislative Audit] will not be required to audit the FY14 report
as it would have to do the FY15 report. She confirmed the
[audit division] will review the error rates as a proactive
measure using FY14 data. Specifically, she noted, that tariffs
drove the recommendation. There being no objection, the motion
is approved.
11:25:01 AM
REPRESENTATIVE HAWKER made a motion that the Department of
Corrections performance review, final report, be released to the
public.
There being no objections, the aforementioned was released to
the public.
11:25:15 AM
CHAIR MACKINNON stated her intention as Chairman of the
Legislative Budget & Audit Committee to enter into a contract
not to exceed $35,000 with CGL [Consulting] to review population
management, both at the backend and the frontend, assist in
sharing costs the state is currently incurring, and to provide a
report.
11:25:48 AM
REPRESENTATIVE HAWKER noted that part of the health care cost
examination is specifically to provide information and guidance
on the ability to recover health care costs from either
Medicaid, Medicare, Independent Health Facilities (IHFs),
private insurance companies or any other outside source.
11:26:06 AM
CHAIR MACKINNON stated that with regard to [prison] population
management, she is interested in backend population management,
reviewing possible early release, and crafting authority under
Alaska Statutes and the Alaska State Constitution. In addition,
she noted, she is interested in reviewing the frontend
management of population and determining if there are other
methods to provide care and guidance to those becoming
incarcerated in prisons at this time.
11:26:55 AM
MS. CURTIS informed the committee that the opinion on the
state's FY14 Financial Statements has been released and in the
December 10, [2014] opinion the state did receive an unqualified
opinion for all of its opinionated except the general fund and
the governmental activities. She remarked that both the general
fund and the governmental activities received a qualified
opinion because she was unable to gather sufficient, adequate
audit evidence about the Medicaid services and related federal
avenues. She advised that the Medicaid system was replaced
October 1, 2013, as it has been plagued with system defects
since it came on line. She expressed that despite a great deal
of effort on behalf of the audit team, and the Department of
Health & Social Services program staff, the defects were so
significant that not enough evidence was obtainable in which to
base an opinion.
^OTHER COMMITTEE BUSINESS
OTHER COMMITTEE BUSINESS
11:28:02 AM
CHAIR MACKINNON announced that the next order of business is
contract and audit findings and discussions of two education
studies the committee was taxed with under HB 278. The
Education sub-committee completed the subject scopes on October
28, [2014], with the next step being the issuance of two
Requests for Proposal (RFPs) to contract out studies for
completion.
11:28:34 AM
LAURA PIERRE, Staff, Senator Anna MacKinnon, Alaska State
Legislature, reiterated that the Education sub-committee
prepared two scopes of work of which were approved and are
prepared to go out to RFP. She noted they are currently at
Legislative Legal and Research Studies for final review, but the
RFP could "hit the street" tomorrow for the 21-day open proposal
period, if approved. She explained that the RFP describes a
timeline of how the study will be developed and when the final
report is due to the legislature.
11:29:33 AM
SENATOR MEYER asked if Alaska vendors receive more points and he
recommended that someone within Alaska perform the study because
the state's education system has a long history.
11:29:57 AM
MS. PIERRE responded in the affirmative and stated there is the
Alaska [Product] Preference (APP) and someone doing business in
the State of Alaska will receive the APP. They have heard from
one company and she expects the responses to be Alaska based.
11:30:27 AM
REPRESENTATIVE HAWKER advised that the RFPs look simple on paper
but through the sub-committee process, that Chair MacKinnon
lead, these have been worked through literally word-by-word,
line-by-line, and concept-by-concept with clear direction in the
RFPs that comply with the statute intent behind HB 278.
11:31:01 AM
MS. PIERRE advised that subsequent to the RPFs closing they will
return to the [Legislative Budget & Audit Committee] with the
intent that a sub-committee score both of the RFPs, and then
award.
11:31:19 AM
REPRESENTATIVE HAWKER interjected that it "may" be awarded as
even though the committee may have received compliant responses
the committee does not necessarily have to award if it decides
it is uncomfortable with the outcome.
11:31:33 AM
REPRESENTATIVE HAWKER made a motion that the Legislative Budget
& Audit Committee authorize the chair as procurement officer to
solicit and award a contract for an amount not to exceed a total
contract amount of $225,000 for a study of the state education
funding structure. There being no objection, the motion is
approved.
11:32:01 AM
REPRESENTATIVE HAWKER made a motion that the Legislative Budget
& Audit Committee authorize the chair as procurement officer to
solicit and award a contract for an amount not to exceed a total
contract amount of $275,000 for a study of Alaska's school
funding formula. There being no objection, the motion is
approved.
11:32:27 AM
CHAIR MACKINNON announced that the next order of business would
be a discussion of two legislative oil & gas consultants. She
stated that her intention is to have a firm contract in place
for a smooth transition as the committee moves into the [2015]
legislative session. She advised [the contract] will allow for
no interruption of consulting services as the [legislature]
continues its business with oil & gas discussions. Chair
MacKinnon advised the discussion is of the contracts of Janak
Mayer and Nikos Tsafos.
11:33:02 AM
MS. PIERRE remarked that a new contract would be provided for
the consultants rather than continuing to amend their current
contract that contains a specific scope and proposal the
committee had authorized. She explained the new contract is not
based on any scope or proposal the consultants have presented as
it is [based on] general consulting on the plethora of oil and
gas related matters before the legislature. The $10,000 a month
retainer would be maintained with additional payment based on
daily rates for the amount of work performed outside the $10,000
monthly retainer of 40 hours total, she said. She advised that
the aforementioned has taken place since August [2014] and
appears to work quite well for the needs of the legislature, and
in not paying a significant amount for work that possibly is not
being completed.
11:34:15 AM
REPRESENTATIVE HERRON surmised that there might be a site
specific project and the legislature could enter into a contract
with a future date.
CHAIR MACKINNON answered in the affirmative.
11:34:29 AM
REPRESENTATIVE HAWKER voiced he completely supports the
continuity that is being planned in bringing Janak [Mayer] and
Nikos [Tsafo] on board on this basis. The contract has
termination clauses and other clauses wherein the state is
appropriately protected and he described the consultants as core
background and financial modeler economists.
REPRESENTATIVE HAWKER pointed to the "motion in front of me,"
last sentence "... not to exceed a total amount for each
contractor of $200,000 for professional services." He expressed
there are two separate motions and suggested the following
specific wording: "... the amount for the contractor Janak Mayer
..." and another motion worded specifically: "... for the
contractor Niko Tsafos of $200,000 ... ."
11:35:40 AM
MS. PIERRE agreed, and pointed out that the [12/11/14] memo
reads $175,000, and in speaking with Legislative Audit it was
determined that $200,000 is more reasonable. She advised that
including the monthly retainer, the contract would start
February 1, 2015 until January 31, 2016, 12 months at $120,000.
She further advised the $80,000 would be a buffer as far as
travel expenses any special project the legislature may
potentially request.
11:36:26 AM
CHAIR MACKINNON presented the hope that there will be a natural
gas pipeline "in front of us." Therefore, as Representative
Mike Hawker becomes chair there may be an opportunity to put
forward a gas symposium so that everyone has the knowledge and
information provided to past legislators, she offered. Chair
MacKinnon opined there may be briefings from the upcoming
administration on how it is negotiating inside the confines of
advancing a natural gas pipeline to Alaskans.
11:37:06 AM
REPRESENTATIVE HAWKER made a motion that the Legislative Budget
& Audit Committee authorize the chair as procurement officer to
enter into a contract with Mr. Janak Mayer for professional
services regarding oil and gas fiscal systems, project designs,
concepts, and agreements, as provided by the exemption in
legislative procurement procedure [AS 36.30.]040(a)(1) and
findings by the procurement officer. Not to exceed a total
contract amount for the contractor of $200,000 for professional
services provided through January 31, 2016. There being no
objection, the motion is approved.
11:37:51 AM
REPRESENTATIVE HAWKER made a motion that the Legislative Budget
& Audit Committee authorize the chair as procurement officer to
enter into a contract with Mr. Nikos Tsafos for professional
services regarding oil and gas fiscal systems, project designs,
concepts, and agreements, as provided by the exemption in
legislative procurement procedure [AS 36.30.]040(a)(1) and
findings by the procurement officer. Not to exceed a total
contract amount for the contractor of $200,000 for professional
services provided through January 31, 2016. There being no
objection, the motion is approved.
11:38:40 AM
CHAIR MACKINNON advised the committee there is a request to
enter into contracts with other consultants. At this time, she
directed, until the plans of advancing an LNG project by the
incoming administration are determined, the requests are
postponed. She noted that the consultants are standing ready to
go forward and assist the legislature, and the issue of
expending additional dollars for contract support services can
be re-evaluated in January.
11:39:17 AM
MS. PIERRE added that in the event Representative Hawker, as
incoming chair, chooses to go forward with an RFP process for an
additional consultant, the Legislative Audit [team] previously
worked on the RFP and it is available.
11:39:39 AM
REPRESENTATIVE HAWKER stated that as the environmental intention
of the incoming administration is unknown legal services for
contract review and analysis may be required.
11:40:18 AM
CHAIR MACKINNON noted that the committee had maintained its
quorum in order to conduct business.
11:40:46 AM
ADJOURNMENT
There being no further business before the committee, the
Legislative Budget & Audit Committee meeting was adjourned at
11:40 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| LB&A Agenda 12.16.14.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| Minutes 8.6.14.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| Minutes 10.28.14.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| Minutes 10.29.14.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| Minutes 11.28.14 am.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| Minutes 11.28.14. pm.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| Minutes 12.2.14.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| 2014-12-10_RPLCompletedPacketWithoutBackup.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| Education Cost Studies Memo.pdf |
JBUD 12/16/2014 9:00:00 AM |
|
| Oil and Gas Consultant Contracts.pdf |
JBUD 12/16/2014 9:00:00 AM |