Legislature(2015 - 2016)Anch LIO Conf Rm
10/17/2016 10:00 AM Senate LEGISLATIVE BUDGET & AUDIT
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| Approval of Minutes | |
| Executive Session | |
| Aslc/acpe Performance Review | |
| Deed Performance Review | |
| Audit Preliminary Reports | |
| Audit Final Reports | |
| Legislative Revised Programs (rpls) | |
| 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
October 17, 2016
10:11 a.m.
MEMBERS PRESENT
Representative Mike Hawker, Chair
Representative Kurt Olson
Representative Lance Pruitt
Representative Steve Thompson (via teleconference)
Representative Sam Kito
Senator Anna MacKinnon, Vice Chair
Senator Lyman Hoffman
Senator Click Bishop
MEMBERS ABSENT
Representative Mark Neuman (alternate)
Senator Cathy Giessel
Senator Bert Stedman
Senator Pete Kelly (alternate)
OTHER LEGISLATORS PRESENT
Representative Mike Chenault
Representative Laura Reinbold
COMMITTEE CALENDAR
APPROVAL OF MINUTES
EXECUTIVE SESSION
ASLC/ACPE PERFORMANCE REVIEW
DEED PERFORMANCE REVIEW
AUDIT PRELIMINARY REPORTS
AUDIT FINAL REPORTS
LEGISLATIVE REVISED PROGRAMS (RPLS)
PREVIOUS COMMITTEE ACTION
No previous action to record
WITNESS REGISTER
KRIS CURTIS, Legislative Auditor
Legislative Audit Division
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Offered her recollection regarding
attendance during the approval of minutes portion of the
Legislative Budget and Audit Committee meeting.
JULI LUCKY, Staff
Representative Mike Hawker
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Provided information related to attendance
during the approval of minutes portion of the Legislative Budget
and Audit Committee meeting.
DAVID TEAL, Legislative Fiscal Analyst
Legislative Finance Division
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Addressed three RPLs for the Legislative
Budget and Audit Committee.
ACTION NARRATIVE
10:11:10 AM
CHAIR MIKE HAWKER called the Legislative Budget and Audit
Committee meeting to order at 10:11 a.m. Senators Bishop,
Hoffman, and MacKinnon, and Representatives Kito, Thompson (via
teleconference), and Hawker were present at the call to order.
Representatives Olson and Pruitt arrived as the meeting was in
progress.
^Approval of Minutes
Approval of Minutes
10:13:35 AM
SENATOR MACKINNON moved that the minutes from the Legislative
Budget and Audit Committee meeting on August 18, 2016, be
approved as presented.
10:13:53 AM
REPRESENTATIVE THOMPSON objected to point out a discrepancy in
the attendance reported in the August 18, 2016, Legislative
Budget and Audit Committee minutes, wherein Senator Kelly is
marked as having been present in one instance and as absent in
another.
10:14:38 AM
CHAIR HAWKER offered his understanding that his staff had
acknowledged the issue and the discrepancy would be corrected.
10:15:08 AM
REPRESENTATIVE THOMPSON removed his objection.
10:15:13 AM
SENATOR MACKINNON withdrew her motion that the minutes from the
Legislative Budget and Audit Committee meeting on August 18,
2016, be approved as presented.
10:15:17 AM
SENATOR MACKINNON moved that the minutes from the Legislative
Budget and Audit Committee meeting on August 18, 2016, be
approved, as amended to [correct the attendance].
10:15:47 AM
CHAIR HAWKER objected for the purpose of discussion.
10:15:55 AM
KRIS CURTIS, Legislative Auditor, Legislative Audit Division,
Alaska State Legislature, offered her recollection that Senator
Kelly had not been in attendance at the meeting on 8/18/16.
10:16:04 AM
JULI LUCKY, Staff, Representative Mike Hawker, Alaska State
Legislature, offered her understanding that Senator Kelly had
not been present during the 8/18/16 meeting, and she assured the
committee that the attendance record would be corrected.
CHAIR HAWKER offered his interpretation that Senator MacKinnon's
motion was to correct the status of Senator Kelly's attendance
during the August 18, 2016, meeting.
10:17:01 AM
CHAIR HAWKER withdrew his objection to the motion to approve the
minutes from the Legislative Budget and Audit Committee meeting
on August 18, 2016, as amended to correct the record of
attendance. There being no further objection, it was so
ordered.
^Executive Session
Executive Session
10:17:48 AM
SENATOR MACKINNON moved that the Legislative Budget and Audit
Committee enter executive session under Uniform Rule 22(b)(3)
and AS 24.20.301 for the discussion of confidential audit and
performance review reports. There being no objection, it was so
ordered.
10:18:18 AM
The committee took an at-ease from 10:18 a.m. to 3:21 p.m. for
the purpose of the executive session.
3:21:15 PM
CHAIR HAWKER called the Legislative Budget and Audit Committee
back to order at 3:21 p.m. Present at the call back to order
were Senators Bishop, Hoffman, and MacKinnon, and
Representatives Kito, Olson, Thompson (via teleconference),
Pruitt, and Hawker.
^ASLC/ACPE Performance Review
ASLC/ACPE Performance Review
3:22:25 PM
SENATOR MACKINNON moved that the committee release the Alaska
Student Loan Corporation/Alaska Commission on Post-Secondary
Education preliminary performance review report to the agencies
for response. There being no objection, it was so ordered.
^DEED Performance Review
DEED Performance Review
3:22:53 PM
SENATOR MACKINNON moved that the committee release the
Department of Education and Early Development final performance
review report to the public. There being no objection, it was
so ordered.
^Audit Preliminary Reports
Audit Preliminary Reports
3:23:31 PM
SENATOR MACKINNON moved that the following preliminary audit be
released to the agency for response: Department of Commerce,
Community and Economic Development, Alaska Regional Development
Organizations. There being no objection, it was so ordered.
^Audit Final Reports
Audit Final Reports
3:24:00 PM
SENATOR MACKINNON moved that the following final audits be
released to the public: Department of Commerce, Community &
Economic Development Board of Certified Direct Entry Midwives,
sunset; Department of Commerce, Community & Economic Development
Board of Registration for Architects, Engineers, and Land
Surveyors, sunset; Department of Commerce, Community & Economic
Development Board of Veterinary Examiners, sunset; Department
of Commerce, Community & Economic Development Regulatory
Commission of Alaska FY 15 annual report; Department of
Administration - State Travel Office; University of Alaska -
University Travel. There being no objection, it was so ordered
that those reports shall be released to the public.
^Legislative Revised Programs (RPLs)
Legislative Revised Programs (RPLs)
3:25:28 PM
CHAIR HAWKER announced that the committee would take up three
revised program(s) - legislative (RPLs).
3:26:34 PM
DAVID TEAL, Legislative Fiscal Analyst, Legislative Finance
Division, Alaska State Legislature, at the request of Chair
Hawker, addressed the three RPLs before the committee. The
first was RPL 06-7-0283, from the Department of Health and
Social Services (DHSS) requesting $3,000,000 in federal funds
for the Division of Behavioral Health and Substance Abuse. He
said it is related to opioid addiction and the department is
"out of federal authorization." He suggested questions
pertaining to this RPL would be best addressed to the
department. He relayed that the Legislative Finance Division
asked only whether this money would replace the general fund
money that was appropriated last year. He added, "They are for
different purposes."
3:27:29 PM
CHAIR HAWKER asked - considering how late in the year it is and
how rapidly the legislative session is approaching - if the RPLs
should be deferred to the legislature to address during the
Thirtieth Legislative Session or if it is appropriate for the
Legislative Budget and Audit Committee to authorize the receipt
of these funds at this time.
MR. TEAL answered that the department has requirements to get
underway rapidly in January, before the new session begins;
therefore, he said he thinks "the case is pretty clear for
approval before session."
3:28:46 PM
MR. TEAL next addressed RPL 10-7-5000, from the Department of
Natural Resources (DNR), which requests $1,147,500 in federal
receipts to cover a grant for Forest Inventory and Analysis. He
explained that in anticipation of a motion made by the
Legislative Budget and Audit Committee, DNR made a multi-year
request, which is not customary. He said it is actually
confusing, because the Legislative Budget and Audit Committee
approves operating money for one year only in most cases. He
said there is no need to appropriate multiple years. He
indicated that the department has said it is possible to wait
for the FY 17 money, and "it's certainly possible to wait for
the FY 18 and 19 money." He requested that the committee
clarify whether it is going to change the date from multiple
years to a single year request for FY 17 only.
3:30:13 PM
CHAIR HAWKER said there are other clarifications that need to be
made, as well. He explained there is an inconsistency in the
RPL submitted by DNR: the first sentence in the statement of
purpose [uses the term "capital budget"], while the matrix
[lists the funding source as "operating"]. Chair Hawker asked
for confirmation that the committee should make clear that this
RPL relates to the operating budget - not the capital budget.
MR. TEAL answered that is correct. He said the heading of the
RPL is correct where it says "operating." He acknowledged that
the mention of federal authority in the capital budget also
makes reference to Section 1 of the operating budget; therefore,
he said he thinks the use of the word "capital" was just a
typographical error.
CHAIR HAWKER said he would also like clarification that if the
Legislative Budget and Audit Committee makes the appropriation
for FY 17 only, and it leaves the amount the same for the
$1,147,500 in federal receipts, that authority, if unspent,
"would last at the end of FY 17," and then the House and Senate
Finance Committees would have the opportunity to consider an
appropriation in FY 18 and 19. He summarized, "So, leaving the
money the same is not going to cause any problems. If anything,
it would simply provide for a bit of excess empty federal
authority for ... the remainder of this fiscal year."
MR. TEAL responded that Chair Hawker is correct, but with one
additional factor, which is that DNR believes it will spend most
of the money in FY 17, so it is actually a good idea to leave
the amount as requested. If the department does not need all
the money, then it would lapse, and DNR would take the issue up
again within the normal budget process for FY 18.
3:32:34 PM
CHAIR HAWKER moved that RPL 10-7-5000 be interpreted as applying
as an operating budget item, and that the authority granted by
the RPL be only for the remainder of FY 17 in the operating
budget. There being no objection, RPL 10-7-5000 was thus
amended.
3:33:48 PM
MR. TEAL next addressed RPL 12-7-3004, which is a request from
the Department Public Safety (DPS) for $1,000,000 in additional
federal receipts to coordinate, administer, and monitor funds
for the Council on Domestic Violence and Sexual Assault (CDVSA).
He explained that the department is short on federal
authorization and is requesting authorization that will allow
the grants to be issued.
CHAIR HAWKER asked Mr. Teal to confirm that although it does not
say so specifically, the RPL would apply only to the remainder
of FY 17.
MR. TEAL responded that is correct.
3:35:13 PM
CHAIR HAWKER asked committee members if they had any questions
for the agencies regarding the RPLs. [No response was given.]
3:35:23 PM
SENATOR MACKINNON moved that the committee approve the following
RPLs: RPL 06-7-0283 Department of Health and Social Services,
Behavioral Health Substance Abuse Grants for $3,000,000 federal
receipts, fund code 1002, as an operating budget item; RPL 10-7-
5000 Department of Natural Resources, Forest Inventory and
Analysis for $1,147,500 federal receipts, fund code 1002, as an
operating budget item, as amended; and RPL 12-7-3004 Department
of Public Safety, Council on Domestic Violence and Sexual
Assault Grants for $1,000,000 federal receipts, fund code 1002,
as an operating budget item. There being no objection, it was
so ordered.
3:36:56 PM
CHAIR HAWKER relayed that the committee should anticipate
meeting in early December and again in January, shortly before
the start of the Thirtieth Legislative Session.
3:37:56 PM
The committee took a brief at-ease at 3:38 p.m.
3:38:56 PM
ADJOURNMENT
There being no further business before the committee, the
Legislative Budget and Audit Committee meeting was adjourned at
3:39 p.m.
| Document Name | Date/Time | Subjects |
|---|