Legislature(2015 - 2016)SENATE FINANCE 532

04/06/2015 09:00 AM Senate FINANCE

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09:01:55 AM Start
09:04:17 AM SB26
09:04:25 AM Public Testimony: Anchorage
09:52:51 AM Public Testimony: Kenai, Seward, Homer
10:59:55 AM Public Testimony: Mat-su, Glennallen, Delta Junction
11:32:54 AM SB86
11:52:19 AM Public Testimony: Mat-su
01:37:53 PM Public Testimony: Barrow, Ketchikan, Wrangell, Petersburg
03:02:45 PM Public Testimony: Sitka, Cordova, Valdez
03:08:04 PM Public Testimony: Juneau
04:31:39 PM Public Testimony: Fairbanks, Tok
05:39:53 PM Public Testimony: Bethel, Nome, Kotzebue, Unalaska
06:25:53 PM Public Testimony: Kodiak, Dillingham
07:05:38 PM Public Testimony: Statewide Teleconference - Offnet Sites
07:45:02 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
Presentation: Overview FY17 Operating Budget
+= SB 26 BUDGET: CAPITAL TELECONFERENCED
Heard & Held
-- Public Testimony --
+ Bills Previously Heard/Scheduled: TELECONFERENCED
= SB 86 REFINED FUEL SURCHARGE; MOTOR FUEL TAX
Moved CSSB 86(FIN) Out of Committee
+ Statewide Public Testimony: TELECONFERENCED
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Testimony to the Senate Finance Committee
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9:00 am Anchorage
10:00 am Kenai, Seward, Homer
11:00 am Mat-Su, Glennallen, Delta Junction
1:30 pm Barrow, Ketchikan, Wrangell, Petersburg
2:30 pm Sitka, Cordova, Valdez
3:30 pm Juneau
4:30 pm Fairbanks, Tok
5:30 pm Bethel, Nome, Kotzebue, Unalaska
6:30 pm Kodiak, Dillingham
7:00 pm Statewide Teleconference - Offnet Sites
                 SENATE FINANCE COMMITTEE                                                                                       
                       April 6, 2015                                                                                            
                         9:01 a.m.                                                                                              
                                                                                                                                
9:01:55 AM                                                                                                                    
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair  MacKinnon  called  the  Senate  Finance  Committee                                                                    
meeting to order at 9:01 a.m.                                                                                                   
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Anna MacKinnon, Co-Chair                                                                                                
Senator Pete Kelly, Co-Chair                                                                                                    
Senator Peter Micciche, Vice-Chair                                                                                              
Senator Mike Dunleavy                                                                                                           
Senator Click Bishop                                                                                                            
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Senator Lyman Hoffman                                                                                                           
Senator Donny Olson                                                                                                             
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Carl Uchytil,  Port Director, President,  Alaska Association                                                                    
of  Harbormasters  and   Port  Administrators,  Juneau;  Ken                                                                    
Alper, Director,  Tax Division,  Department of  Revenue; Tom                                                                    
Brice,   Laborers  942,   Juneau;   Melanie  Zahasky,   Hope                                                                    
Community  Resources, Juneau;  Beth Handley,  Hope Community                                                                    
Resources,   Juneau;   Doug  Bridges,   Catholic   Community                                                                    
Services, Board  Member, Alaska Mobility  Coalition, Juneau;                                                                    
Ed  Page, Executive  Director,  Marine  Exchange of  Alaska,                                                                    
Juneau; Lisa  Mariotti, Policy  Director, Alaska  Network on                                                                    
Domestic Violence and Sexual  Assault, Juneau; Jeff Weltzin,                                                                    
Tanana  Chiefs Conference,  Juneau;  Tom Begich,  Government                                                                    
Affairs Director,  Citizens for the  Educational Advancement                                                                    
of   Alaska's  Children,   Anchorage;   Dave  Donley,   Hope                                                                    
Community   Resources,   Juneau;  Senator   Cathy   Giessel;                                                                    
Representative Dan Ortiz; Representative Louise Stutes.                                                                         
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
Dan  Duane,  Association   of  Alaska  Housing  Authorities,                                                                    
Anchorage;  Robert Scanlon,  Chief Executive  Officer, Blood                                                                    
Bank of Alaska, Anchorage;  Robert Petersen, Board Chairman,                                                                    
Blood Bank  of Alaska,  Anchorage; Rebecca  Piersch, Shelter                                                                    
Manager, Abused  Women's Aid  in Crisis  (AWAIC), Anchorage;                                                                    
Joel  Renno, Case  Manager, AWAIC,  Anchorage; Erin  Wilson,                                                                    
Deputy  Director,  Aleutian  Housing  Authority,  Anchorage;                                                                    
Gabe Layman, Cook Inlet  Housing Authority, Anchorage; Tonja                                                                    
Rainbow,   Chief   Operations    Officer,   Hope   Community                                                                    
Resources,  Anchorage;  Kathy   Tongsgard,  Chief  Financial                                                                    
Officer, Hope Community  Resources, Anchorage; Lance Wilber,                                                                    
Director   of   Public   Transportation,   Municipality   of                                                                    
Anchorage,  Anchorage; Judy  Eledge, Self,  Anchorage; Regan                                                                    
Mattingly, Executive  Director, Alaska Center for  the Blind                                                                    
and Visually Impaired,  Anchorage; Bryan Clemenz, University                                                                    
of Alaska  Fairbanks (UAF)  College of  Engineering Advisory                                                                    
Development   Council,   Anchorage;  Dale   Nelson,   Alaska                                                                    
Professional Design  Council, Anchorage; Butch  Moore, Self,                                                                    
Anchorage;   Stacey   McAson,    Student   Body   President,                                                                    
University   of   Alaska   Anchorage,   Anchorage;   Matthew                                                                    
Ostrander,   Student   Senator,    University   of   Alaska,                                                                    
Anchorage;  Holly Scott,  Self,  Kenai;  Dennis Haas,  Self,                                                                    
Kenai; Kathy Fitzgerald, Self,  Kenai; Suzanne Fisler, Self,                                                                    
Kenai; David  Anderson, General  Manager, KBBI  Public Radio                                                                    
in  Homer  and KDLL  Public  Radio  in Kenai  and  Soldotna,                                                                    
Homer; Max Funk, Harbor Master,  City of Seward, Seward; Amy                                                                    
Seitz,  Alaska  Farm  Bureau,   Soldotna;  Abby  Ala,  Self,                                                                    
Soldotna;  Heidi  Chay,  District Manager,  Kenai  Soil  and                                                                    
Water Conservation  District, Kenai; Steve  Ashman, Division                                                                    
Manager, Municipality of Anchorage  Department of Health and                                                                    
Human   Services,    Anchorage;   Bryce    Wrigley,   Alaska                                                                    
Association  of  Conservation   Districts,  Delta  Junction;                                                                    
Rebecca  Wilburn,  Delta  Community School  District,  Delta                                                                    
Junction; Dennis McGlothin Jr.,  Copper River Basin Regional                                                                    
Housing Authority, Glennallen;  Gary Huntsinger, Self, Kenny                                                                    
Lake;  Ann Arrisi,  Hope  Community  Resources, Mat-Su;  Ray                                                                    
Collins,  Hope  Community  Resources, Mat-Su;  John  Moosey,                                                                    
Manager,  Mat-Su Borough,  Mat-Su;  Naomi Nelson,  Executive                                                                    
Director, Mat-Su  Community Transit (MASCOT),  Mat-Su; Carol                                                                    
Rushmore,  Director   of  Economic  Development,   City  and                                                                    
Borough  of  Wrangell,   Wrangell;  Steve  Corporon,  Alaska                                                                    
Association  of  Harbor  Masters  and  Port  Administrators,                                                                    
Ketchikan;  Seth Brakke,  Assistant  Public Works  Director,                                                                    
City of  Ketchikan, Ketchikan; Kyan Reeve,  Transit Manager,                                                                    
Ketchikan  Gateway  Borough,  Ketchikan; Roxane  Lee,  Self,                                                                    
Petersburg; Dr. Tom Conley, Sitka  School Board, Sitka; John                                                                    
David   Ragan,  Self,   Fairbanks;   David  Withoff,   Self,                                                                    
Fairbanks;  Paul Gill,  Self,  Fairbanks;  Jo Seamon,  Self,                                                                    
Fairbanks; Joe Hardenbrook,  Mayor's Office, Fairbanks North                                                                    
Star Borough,  Fairbanks; Joni Scharfenberg,  Fairbanks Soil                                                                    
and Water Conservation  District, Fairbanks; Russell Snyder,                                                                    
Grants  Coordinator,  Interior Regional  Housing  Authority,                                                                    
Fairbanks;   Adam  Barth,   Fairbanks  North   Star  Borough                                                                    
Transportation  Department,  Fairbanks; Dave  Miller,  Self,                                                                    
Fairbanks; Terry Duszyniski,  Self, Fairbanks; Aditi Shenoy,                                                                    
Invasive  Species  Specialist,   Fairbanks  Soil  and  Water                                                                    
Conservation District, Fairbanks;  Dan LaBrosse, Denali Deaf                                                                    
Community   Center,  Fairbanks;   Dr.  Ann   Marie  O'Brien,                                                                    
Superintendent,  Northwest Arctic  Borough School  District,                                                                    
Kotzebue; Kerry  Boyd, Superintendent, Yukon  Koyukuk School                                                                    
District, Fairbanks;  John Sargent,  Grant Manager,  City of                                                                    
Bethel;  Allan  Joseph,  Self,  Bethel;  John  Owens,  Self,                                                                    
Bethel;  Brian Lefferts,  Employee,  Yukon Kuskokwim  Health                                                                    
Corporation,  Bethel; Millie  Hawley, Kivalina  IRA Council,                                                                    
Kivalina;  Stan  Hawley,  Kivalina  IRA  Council,  Kivalina;                                                                    
Dolly Foster,  Tribe Secretary  and Treasurer,  Kivalina IRA                                                                    
Council,  Kivalina;   Shirley  Marquardt,  Mayor,   City  of                                                                    
Unalaska;  Brenda Akelkok,  Executive Director,  Bristol Bay                                                                    
Housing     Authority,    Dillingham;     Kevin    Tennyson,                                                                    
Weatherization  Director,  Bristol  Bay  Housing  Authority,                                                                    
Dillingham;   Stanley   Cole,  Hope   Community   Resources,                                                                    
Dillingham;   Carla   Kimmel,   Employee,   Hope   Community                                                                    
Resources,   Kodiak;   Glenda  Fernandez,   Hope   Community                                                                    
Resources,   Kodiak;   Jackie    Malutin,   Hope   Community                                                                    
Resources,  Kodiak; Jeff  Garcia, Hope  Community Resources,                                                                    
Kodiak;  Donna  Mendigorin,  Parent, Kodiak;  Corrie  Davis,                                                                    
Director,   Community  Support   Services,  Hope   Community                                                                    
Resources,  Kodiak;  Pat  Branson, Mayor,  City  of  Kodiak;                                                                    
Corrine Ferre, Employee, Kodiak  Soil and Water Conservation                                                                    
District,  Kodiak;  Sonia  Clary, Employee,  Hope  Community                                                                    
Resources,   Kodiak;  Herman   Morgan,  Self,   Aniak;  Kara                                                                    
Groicher,   Director,   Standing  Together   Against   Rape,                                                                    
Anchorage; Pinkey  Tooyak, Volunteer, Alaska Center  for the                                                                    
Blind and  Visually Impaired, Barrow;  Samantha Mintz-Gentz,                                                                    
Advocate, Standing Together  Against Rape, Anchorage; Thomas                                                                    
McKenzie-Corbitt,  Self,  Clam Gulch;  Karen  Gonne-Harrell,                                                                    
Case  Manager, Standing  Together  Against Rape,  Anchorage;                                                                    
Soma  Kliemann, Abused  Women's  Aid  in Crisis,  Anchorage;                                                                    
Richard  Webb, Self,  Fox; Chuck  Kancic,  Wasilla Soil  and                                                                    
Water  Conservation District,  Wasilla;  Rick Berns,  Mayor,                                                                    
City of Old  Harbor; Mike Wood, President,  Board of Susitna                                                                    
River  Coalition,  Chase;  Jeff  Smeenk,  District  Manager,                                                                    
Palmer Soil  and Water Conservation District,  Palmer; Nancy                                                                    
Anderson,   Department  of   Health   and  Human   Services,                                                                    
Municipality  of Anchorage;  John  Fulton, Manager,  Bristol                                                                    
Bay   Borough;  Surge   Kulikov,  Service   Advocate,  STAR,                                                                    
Anchorage;  Chris Reitan,  Galena  School District,  Galena;                                                                    
Louie  Flora, Legislative  Liaison,  Alaska  Center for  the                                                                    
Environment and Alaska Conservation Voters, Juneau.                                                                             
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
SB 26     BUDGET: CAPITAL                                                                                                       
                                                                                                                                
          SB 26 was HEARD and  HELD in committee for further                                                                    
          consideration.                                                                                                        
                                                                                                                                
SB 86     REFINED FUEL SURCHARGE; MOTOR FUEL TAX                                                                                
                                                                                                                                
          CSSB 86(FIN) was REPORTED out  of committee with a                                                                    
          "do pass"  recommendation and with  one previously                                                                    
          published  zero fiscal  note: FN  1(REV); one  new                                                                    
          fiscal  impact   note  from  the   Senate  Finance                                                                    
          Committee  for  the  Department  of  Environmental                                                                    
          Conservation; and one new  fiscal impact note from                                                                    
          the Department of Environmental Conservation.                                                                         
                                                                                                                                
SENATE BILL NO. 26                                                                                                            
                                                                                                                                
     "An  Act   making  appropriations,   including  capital                                                                    
     appropriations   and   other   appropriations;   making                                                                    
     appropriations to  capitalize funds; and  providing for                                                                    
     an effective date."                                                                                                        
                                                                                                                                
9:04:17 AM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon  reviewed the  balances of  the Statutory                                                                    
Budget  Reserve   as  well  as  the   Constitutional  Budget                                                                    
Reserve. She reviewed the testimony procedures.                                                                                 
                                                                                                                                
^PUBLIC TESTIMONY: ANCHORAGE                                                                                                  
                                                                                                                                
9:04:25 AM                                                                                                                    
                                                                                                                                
DAN  DUANE,  ASSOCIATION   OF  ALASKA  HOUSING  AUTHORITIES,                                                                    
ANCHORAGE  (via teleconference),  spoke  in  support of  two                                                                    
capital budget  programs funded  through the  Alaska Housing                                                                    
Finance Corporation  (AHFC); the Weatherization  Program and                                                                    
the  Supplemental  Housing  Development  Grant  Program.  He                                                                    
outlined  the  necessity  and   statewide  benefits  of  the                                                                    
weatherization  program.  He   relayed  several  correlating                                                                    
statistics  and  discussed   the  program's  resulting  cost                                                                    
savings.  He  urged  the  legislature   not  to  defund  and                                                                    
dismantle   the   successful  weatherization   program.   He                                                                    
understood  the  need  for budget  reductions.  However,  he                                                                    
suggested a  25 percent to 30  percent cut rather than  a 75                                                                    
percent to  80 percent cut  that was currently  proposed. He                                                                    
also  urged  support  for   the  AHFC  Supplemental  Housing                                                                    
Development Grant  Program and provided a  list of benefits.                                                                    
He  urged some  sort of  modest  funding to  keep the  grant                                                                    
program going. He thanked the  committee for the opportunity                                                                    
to testify.                                                                                                                     
                                                                                                                                
9:07:20 AM                                                                                                                    
                                                                                                                                
ROBERT  SCANLON,  CHIEF  EXECUTIVE OFFICER,  BLOOD  BANK  OF                                                                    
ALASKA,  ANCHORAGE (via  teleconference), urged  support for                                                                    
the  construction project  for  the Blood  Bank building  in                                                                    
Anchorage. He  explained that the new  building would better                                                                    
meet  FDA  requirements.  He also  indicated  that  the  new                                                                    
building would  allow the blood  bank to  provide additional                                                                    
services. He  reported that the  Blood Bank of Alaska  was a                                                                    
first  responder  responsible  for providing  blood  to  the                                                                    
entire state in the event of a disaster or crisis.                                                                              
                                                                                                                                
9:09:15 AM                                                                                                                    
                                                                                                                                
ROBERT  PETERSEN,  BOARD  CHAIRMAN, BLOOD  BANK  OF  ALASKA,                                                                    
ANCHORAGE  (via teleconference),  urged support  for funding                                                                    
for the  Blood Bank of  Alaska's new building.  He discussed                                                                    
the  details  of  the  project  and  reported  that  it  was                                                                    
currently  on schedule  and under  budget.  The project  was                                                                    
scheduled to  be completed at  the end of 2015.  He reported                                                                    
that  the project  would  be completed  under  budget by  $6                                                                    
million  if the  project remained  on schedule.  He reported                                                                    
that  there was  a $5  million  gap and  suggested that  the                                                                    
blood bank could  raise $3 million of those  funds. He asked                                                                    
that the  state fund the  remaining $2 million to  close the                                                                    
gap and  complete the project. He  thanked committee members                                                                    
for their time.                                                                                                                 
                                                                                                                                
9:11:49 AM                                                                                                                    
                                                                                                                                
REBECCA  PIERSCH, SHELTER  MANAGER,  ABUSED  WOMEN'S AID  IN                                                                    
CRISIS  (AWAIC),   ANCHORAGE  (via   teleconference),  urged                                                                    
support for additional monies for  the program. She reported                                                                    
that AWAIC was  the largest emergency shelter  in Alaska and                                                                    
that it  operated over capacity  for 67 percent of  the year                                                                    
in FY  14. She  stated that  the AWAIC  Intervention Project                                                                    
was  an  evidence-based program  and  provided  a number  of                                                                    
statistics  supporting  its  benefits.  She  understood  the                                                                    
severe budget constraints facing  Alaska. She suggested that                                                                    
the program  saved the state  over $2 million  annually. The                                                                    
municipality  of  Anchorage  contributed over  half  of  the                                                                    
project's  costs. She  believed  that  everyone deserved  to                                                                    
live  in a  community where  response to  and prevention  of                                                                    
domestic  violence and  sexual assault  was a  priority. She                                                                    
urged  legislators  to  continue funding  for  the  critical                                                                    
program.                                                                                                                        
                                                                                                                                
9:14:32 AM                                                                                                                    
                                                                                                                                
JOEL   RENNO,   CASE    MANAGER,   AWAIC,   ANCHORAGE   (via                                                                    
teleconference), spoke in support  of the Empowering Choices                                                                    
Housing Program  (ECHP). He  shared his  personal experience                                                                    
witnessing the benefits of the  program. He detailed some of                                                                    
the  benefits resulting  from  victims securing  independent                                                                    
housing. He  conveyed the difficulty for  victims to provide                                                                    
first  and   last  month's  rent  to   escape  from  abusive                                                                    
partners.  The  ECHP program  provided  the  help needed  to                                                                    
remove  victims from  their abusive  environments and  place                                                                    
them  into a  safe and  stable  home base.  He continued  to                                                                    
identify  the positive  effects of  the program.  He thanked                                                                    
the committee for its time and consideration.                                                                                   
                                                                                                                                
9:17:21 AM                                                                                                                    
                                                                                                                                
ERIN  WILSON, DEPUTY  DIRECTOR, ALEUTIAN  HOUSING AUTHORITY,                                                                    
ANCHORAGE  (via teleconference),  spoke  in  support of  two                                                                    
programs; AHFS  Weatherization Program and  the Supplemental                                                                    
Housing   Development  Grant   Program.  She   outlined  the                                                                    
importance of  the weatherization program and  reported that                                                                    
280  homes  received  energy upgrades  in  her  region.  The                                                                    
recipients of the program had  seen reductions in the use of                                                                    
diesel fuel and reported a  cash savings of about 40 percent                                                                    
on average.  She provided  additional secondary  benefits of                                                                    
the   program.  She   relayed   that   ISER  reported   that                                                                    
implementing   energy    efficiency   measures    like   the                                                                    
weatherization  program was  the single-most  cost effective                                                                    
method of  addressing significant  rural energy  issues. She                                                                    
urged    the   legislature    to   continue    funding   the                                                                    
weatherization program.  She added her support  for a modest                                                                    
capital   request   for   the  AHFC   Supplemental   Housing                                                                    
Development  Grant Program.  Federal dollars  were leveraged                                                                    
for a  minimal state  investment. She thanked  the committee                                                                    
for its time.                                                                                                                   
                                                                                                                                
9:19:21 AM                                                                                                                    
                                                                                                                                
GABE LAYMAN,  COOK INLET  HOUSING AUTHORITY,  ANCHORAGE (via                                                                    
teleconference), spoke  in support of the  AHFC Supplemental                                                                    
Housing  Development  Grant  Program. He  provided  a  brief                                                                    
summary of the program. He  specified that the program could                                                                    
not fund  more than 20 percent  of the cost for  any housing                                                                    
project  making  it  an important  tool  in  attracting  and                                                                    
securing  non-state   funding  dollars.  He   discussed  the                                                                    
challenges of  energy efficiency,  the high cost  of energy,                                                                    
and  high  energy  consumption   in  Alaska.  He  gave  some                                                                    
statistics  regarding  the cost  of  energy  per family  per                                                                    
year. He  continued to provide additional  information about                                                                    
the benefits  of the  AHFC Supplemental  Housing Development                                                                    
Grant Program and urged support by the legislature.                                                                             
                                                                                                                                
9:21:48 AM                                                                                                                    
                                                                                                                                
TONJA  RAINBOW,  CHIEF  OPERATIONS OFFICER,  HOPE  COMMUNITY                                                                    
RESOURCES,  ANCHORAGE (via  teleconference),  asked for  the                                                                    
inclusion of  at least $361  thousand in the  capital budget                                                                    
for  Hope Community  Resources'  budget to  meet health  and                                                                    
safety  needs.  She  cited  some   statistics  from  a  2009                                                                    
legislative research report that  estimated the state's cost                                                                    
savings  for having  licensed  homes  serving Alaskans  with                                                                    
disabilities.  She   urged  the  committee  to   grant  Hope                                                                    
Community Resources' capital request.                                                                                           
                                                                                                                                
9:23:41 AM                                                                                                                    
                                                                                                                                
KATHY  TONGSGARD, CHIEF  FINANCIAL  OFFICER, HOPE  COMMUNITY                                                                    
RESOURCES,  ANCHORAGE (via  teleconference), indicated  that                                                                    
$361  thousand  of the  $788  thousand  initial request  was                                                                    
imperative  to  pay  for the  licensing  recommendations  of                                                                    
significant  health  and  safety items.  She  discussed  the                                                                    
approximate  100  properties  across  the  state  that  were                                                                    
inspected annually.  The recommendations that  resulted from                                                                    
the inspections  had to  be addressed  in a  timely fashion.                                                                    
Without a state subsidy rents  would be increased. She urged                                                                    
support for  the $361 thousand  capital request  and thanked                                                                    
the committee for its time.                                                                                                     
                                                                                                                                
9:25:29 AM                                                                                                                    
                                                                                                                                
LANCE   WILBER,    DIRECTOR   OF    PUBLIC   TRANSPORTATION,                                                                    
MUNICIPALITY OF  ANCHORAGE, ANCHORAGE  (via teleconference),                                                                    
encouraged  the  committee's  support for  transit  matching                                                                    
funds of  $1 million. The Alaska  Mobility Coalition offered                                                                    
a $4  to $5 return for  every dollar of matching  funds. The                                                                    
funds  would be  used statewide  for a  variety of  purposes                                                                    
including capital  or maintenance improvements.  He provided                                                                    
some  examples of  the use  of funds  in previous  years. He                                                                    
appreciated the committee's consideration and support.                                                                          
                                                                                                                                
9:26:57 AM                                                                                                                    
                                                                                                                                
JUDY  ELEDGE, SELF,  ANCHORAGE  (via teleconference),  spoke                                                                    
about  her concerns  regarding the  uncertainty of  Alaska's                                                                    
economy. She opined  that the state could no  longer fund an                                                                    
out-of-control  operating budget  or a  capital budget  that                                                                    
was seen as  a dream. She urged the  legislature to complete                                                                    
the  projects that  the state  had begun  and only  fund the                                                                    
projects  that were  necessary  before  considering a  state                                                                    
income tax.  She asked  the committee  to balance  the state                                                                    
budget.                                                                                                                         
                                                                                                                                
9:28:59 AM                                                                                                                    
                                                                                                                                
REGAN MATTINGLY,  EXECUTIVE DIRECTOR, ALASKA CENTER  FOR THE                                                                    
BLIND    AND     VISUALLY    IMPAIRED,     ANCHORAGE    (via                                                                    
teleconference),  requested  support  for  a  $188  thousand                                                                    
capital request.  He reported that  the center was  the only                                                                    
vision rehabilitation  agency in the state.  He familiarized                                                                    
the  committee   about  the   facility  and   provided  some                                                                    
background   information.    He   relayed    that   deferred                                                                    
maintenance  projects and  energy  efficiency upgrades  were                                                                    
the center's  top priorities. He asserted  that the building                                                                    
needed a  new roof  and boiler. The  center had  raised $100                                                                    
thousand and  was requesting $188 thousand  from the state's                                                                    
capital budget.  He thanked the committee  members for their                                                                    
time.                                                                                                                           
                                                                                                                                
9:30:42 AM                                                                                                                    
                                                                                                                                
BRYAN CLEMENZ, UNIVERSITY OF  ALASKA FAIRBANKS (UAF) COLLEGE                                                                    
OF ENGINEERING ADVISORY  DEVELOPMENT COUNCIL, ANCHORAGE (via                                                                    
teleconference), spoke in support  of $10 million in funding                                                                    
for  the engineering  or E-Life  Building. He  discussed the                                                                    
benefits  of  the new  building  and  urged the  committee's                                                                    
support. He closed by thanking the committee.                                                                                   
                                                                                                                                
9:32:24 AM                                                                                                                    
                                                                                                                                
DALE NELSON,  ALASKA PROFESSIONAL DESIGN  COUNCIL, ANCHORAGE                                                                    
(via teleconference), urged support  for funding to complete                                                                    
the UAF Engineering facility.  He expressed his appreciation                                                                    
for past funding  and he hoped that there would  be funds to                                                                    
complete  the   current  building   project.  He   would  be                                                                    
submitting written testimony as well.                                                                                           
                                                                                                                                
9:33:42 AM                                                                                                                    
                                                                                                                                
BUTCH   MOORE,   SELF,   ANCHORAGE   (via   teleconference),                                                                    
identified himself  as Breanna  Moore's father. He  spoke in                                                                    
favor  of  funding  the Council  on  Domestic  Violence  and                                                                    
Sexual   Assault  (CDVSA)   intervention  program   and  the                                                                    
Empowering Choice  Housing Program  (ECHP). He  asserted the                                                                    
importance of  both programs. He  reported that on  June 26,                                                                    
2014, his daughter was murdered  by her boyfriend. He stated                                                                    
that  his family  had been  a victim  of domestic  violence.                                                                    
Since the loss  of his daughter there were  many things that                                                                    
had come to  his family's attention. He  relayed that Alaska                                                                    
led  the nation  reporting 3  times the  amount of  rape per                                                                    
capita, 2.5  times the murder  rate, and 2 times  the sexual                                                                    
assault  rate.  He  concluded  that   Alaska  was  the  most                                                                    
dangerous  state in  America. Alaska  replaced Tennessee  as                                                                    
the most dangerous state in  the United States in 2015 based                                                                    
on the  Federal Bureau  of Investigation's four  major crime                                                                    
categories;   murder,  aggressive   assault,  robbery,   and                                                                    
incidences of  forcible rape. Anchorage and  Fairbanks rated                                                                    
number  2 and  number  3  on the  Forbes  list  of the  most                                                                    
dangerous  cities  for  women.   He  was  astounded  by  the                                                                    
statistics. The two programs allowed  women to leave and get                                                                    
away  from   sexual  assault   and  domestic   violence.  He                                                                    
suggested that if the programs  were cut, then victims would                                                                    
have  nowhere to  go.  He  revealed that  one  of his  three                                                                    
daughters moved  to Portland and  was living there  when her                                                                    
sister  was murdered.  She currently  had two  grandchildren                                                                    
and would  not return  to Alaska. He  suggested that  it was                                                                    
scary for women  to live in Alaska. He  restated his request                                                                    
for  funding support  for CDVSA's  intervention program  and                                                                    
for ECHP.                                                                                                                       
                                                                                                                                
Co-Chair  MacKinnon  inquired  about  further  testimony  in                                                                    
Anchorage.  She  explained that  she  would  be passing  the                                                                    
gavel  to Vice-Chair  Micciche at  10:00 a.m.  for testimony                                                                    
from Kenai, Seward, and Homer.                                                                                                  
                                                                                                                                
9:38:36 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:47:18 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
STACEY MCASON, STUDENT BODY  PRESIDENT, UNIVERSITY OF ALASKA                                                                    
ANCHORAGE, ANCHORAGE (via  teleconference), expressed thanks                                                                    
for  the  state's  previous   support  for  maintenance  and                                                                    
funding for  some of the campus'  larger buildings including                                                                    
the engineering  building. She pointed  out the  benefits of                                                                    
being able to  keep up with maintenance.  She mentioned that                                                                    
postcards were in  the mail to legislators.  She thanked the                                                                    
committee again for its support.                                                                                                
                                                                                                                                
9:48:14 AM                                                                                                                    
                                                                                                                                
MATTHEW  OSTRANDER, STUDENT  SENATOR, UNIVERSITY  OF ALASKA,                                                                    
ANCHORAGE (via  teleconference), expressed  his appreciation                                                                    
for capital  funding of the  university system.  He reported                                                                    
that there  were buildings in desperate  need of maintenance                                                                    
and  upgrades. He  commented that  maintenance of  the Wells                                                                    
Fargo  Sports  Complex  would  be   funded  by  the  campus.                                                                    
Currently,  the building  had several  problems. He  thanked                                                                    
the  committee  for  recognizing the  importance  of  higher                                                                    
education  in Alaska  and asked  for  continued support.  He                                                                    
commented  that approximately  one  thousand postcards  were                                                                    
sent to  Juneau with  individual student  messages reminding                                                                    
lawmakers  about the  importance of  access to  education in                                                                    
Alaska.                                                                                                                         
                                                                                                                                
9:50:04 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:52:16 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
Vice-Chair Micciche switched  to the Legislative Information                                                                    
office in Kenai to hear further public testimony.                                                                               
                                                                                                                                
^PUBLIC TESTIMONY: KENAI, SEWARD, HOMER                                                                                       
                                                                                                                                
9:52:51 AM                                                                                                                    
                                                                                                                                
HOLLY  SCOTT, SELF,  KENAI (via  teleconference), asked  the                                                                    
committee to support funding in  the amount of $361 thousand                                                                    
for  Hope Community  Resources. She  gave information  about                                                                    
Hope Community  Resources and  shared some  of what  she had                                                                    
witnessed  as a  former employee.  She believed  the capital                                                                    
monies requested  would result in  a saving to the  state in                                                                    
the long run  and would provide safe and  secure housing for                                                                    
the disabled.                                                                                                                   
                                                                                                                                
9:53:49 AM                                                                                                                    
                                                                                                                                
DENNIS  HAAS, SELF,  KENAI  (via teleconference),  indicated                                                                    
his 34 year-old  daughter was a recipient  of Hope Community                                                                    
Resources for  over ten  years. He  discussed the  number of                                                                    
people  it served  and urged  funding support  for its  $364                                                                    
thousand capital  request. He mentioned that  Hope Community                                                                    
Resources  kept  people  in their  communities  and  out  of                                                                    
institutions. He  provided additional information  about the                                                                    
properties  owned by  Hope Community  Resources. He  relayed                                                                    
how  important the  capital monies  were in  maintaining the                                                                    
properties  and providing  additionally  needed housing.  He                                                                    
thanked the committee for listening to his testimony.                                                                           
                                                                                                                                
9:54:57 AM                                                                                                                    
                                                                                                                                
KATHY FITZGERALD,  SELF, KENAI (via  teleconference), shared                                                                    
that she  was a  parent of a  participant of  Hope Community                                                                    
Resources.  She urged  support for  the  capital request  to                                                                    
keep  the facility  funded. She  explained how  difficult it                                                                    
was  for people  with  Medicaid waivers  to find  affordable                                                                    
housing.  She  emphasized  how  critical  it  was  for  Hope                                                                    
Community Resources  to receive  capital monies in  order to                                                                    
maintain the  safety and  security of  its homes.  She asked                                                                    
that the  legislature fund Hope  Community Resources  in the                                                                    
amount of $361 thousand.                                                                                                        
                                                                                                                                
9:56:24 AM                                                                                                                    
                                                                                                                                
SUZANNE FISLER,  SELF, KENAI (via teleconference),  spoke in                                                                    
support of  funding the capital  request for  Hope Community                                                                    
Resources. She explained  that her older son  was a resident                                                                    
at  one  of  Hope   Community  Resources'  facilities  which                                                                    
allowed  him  enough   stability  to  successfully  maintain                                                                    
employment.   She  attributed   her  younger   son's  active                                                                    
participation in his community to  the help provided by Hope                                                                    
Community   resources.   She  encouraged   the   committee's                                                                    
continued support.                                                                                                              
                                                                                                                                
9:57:39 AM                                                                                                                    
                                                                                                                                
DAVID ANDERSON, GENERAL MANAGER,  KBBI PUBLIC RADIO IN HOMER                                                                    
AND  KDLL PUBLIC  RADIO IN  KENAI AND  SOLDOTNA, HOMER  (via                                                                    
teleconference),  urged  support  for  the  radio's  capital                                                                    
request for  $10 thousand  to assist  with the  purchase and                                                                    
installation of new  audio control boards for  an air studio                                                                    
and  production  studio.  He   explained  that  the  current                                                                    
consoles  were 13  years old,  had  failing components,  and                                                                    
parts  were no  longer  available. He  identified the  other                                                                    
funding sources  that would make  up the total  project cost                                                                    
of $51 thousand. He outlined  the importance of public radio                                                                    
in emergency  situations and was  concerned about  any lapse                                                                    
in  service that  could  result from  a  failed console.  He                                                                    
mentioned  letters  of  support  from  the  Kenai  Peninsula                                                                    
Office of Emergency Management and  the Homer Volunteer Fire                                                                    
Department. He  appreciated the committee's support  for the                                                                    
project.                                                                                                                        
                                                                                                                                
9:59:48 AM                                                                                                                    
                                                                                                                                
MAX  FUNK,  HARBOR  MASTER,  CITY  OF  SEWARD,  SEWARD  (via                                                                    
teleconference),  urged   support  for  the   Department  of                                                                    
Transportation and  Public Facilities harbor  matching grant                                                                    
program. The City of Seward  applied for a grant through the                                                                    
program  in the  amount of  $5.6 million.  He discussed  the                                                                    
funding details.  He indicated that  the project was  in the                                                                    
engineering  design stage.  He listed  the many  deficits of                                                                    
the current dock.  He stated that the  project would replace                                                                    
the  old creosote-treated  pilings with  fewer and  stronger                                                                    
galvanized  steel  pilings.  He  continued  to  outline  the                                                                    
improvements that  would be made  to the dock  and indicated                                                                    
that  the first  phase  of the  project  was completed.  The                                                                    
project could  continue with the state's  financial help. He                                                                    
closed by thanking the committee.                                                                                               
                                                                                                                                
10:02:26 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
10:02:39 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
AMY    SEITZ,   ALASKA    FARM    BUREAU,   SOLDOTNA    (via                                                                    
teleconference),  testified in  support of  funding for  the                                                                    
Alaska  Association of  Conservation Districts.  She pointed                                                                    
out  that there  were over  350 members  of the  Alaska Farm                                                                    
Bureau statewide.  She discussed projects that  the Soil and                                                                    
Water  Conservation  Districts   worked  on,  including  GIS                                                                    
mapping of  soils and  watersheds, land  capability surveys,                                                                    
conservation  planning  assistance   for  farmers,  resource                                                                    
education at  local schools, and control  of invasive plants                                                                    
around the state.  She spoke to the costs  of invasive plant                                                                    
control in  the event  that the conservation  districts were                                                                    
not  funded.  She  listed  the ratio  of  federal  to  state                                                                    
funding for  the districts  as 10  to 1  and stated  that it                                                                    
would be "devastating" for the  districts not to receive the                                                                    
funding. She  mentioned that the districts  utilized private                                                                    
funding and volunteer labor.                                                                                                    
                                                                                                                                
10:04:49 AM                                                                                                                   
                                                                                                                                
ABBY ALA, SELF, SOLDOTNA  (via teleconference), testified in                                                                    
support   of  funding   for   the   Alaska  Association   of                                                                    
Conservation Districts.  She related  that she was  a second                                                                    
generation farmer from  the Kenai area, and  related that as                                                                    
a  child  she  had  attended  soil  and  water  conservation                                                                    
meetings  with  her father.  She  relayed  that in  previous                                                                    
years the  Kenai area Soil  and Water  Conservation District                                                                    
had invested  in farm equipment  for vegetable  growing. She                                                                    
related  that  she  took  part   in  a  Community  Supported                                                                    
Agriculture project  that provided  100 families  with boxes                                                                    
of vegetables  every week. She  commented that the  Soil and                                                                    
Water Conservation  District had  aided with the  growth and                                                                    
development  of her  farm through  information support.  She                                                                    
mentioned that  she had served  as a volunteer on  the Kenai                                                                    
area board.                                                                                                                     
                                                                                                                                
10:06:36 AM                                                                                                                   
                                                                                                                                
HEIDI  CHAY,   DISTRICT  MANAGER,   KENAI  SOIL   AND  WATER                                                                    
CONSERVATION    DISTRICT,   KENAI    (via   teleconference),                                                                    
testified in  support of funding for  the Alaska Association                                                                    
of  Conservation Districts.  She  discussed invasive  plants                                                                    
and pointed out  that the Homer Soil  and Water Conservation                                                                    
district  had   provided  essential   coordinating  services                                                                    
through  the cooperative  weed management  area to  mitigate                                                                    
the  propagation of  Elodea, a  harmful and  costly invasive                                                                    
plant. She  discussed programs that relied  on state funding                                                                    
and worked  on the important  task of preventing  the spread                                                                    
of  invasive   plants.  She  mentioned  the   importance  of                                                                    
investing  local  food  production,  highlighting  the  $1.8                                                                    
million industry  on the Kenai  Peninsula and  stressing the                                                                    
importance  of   the  Kenai  Soil  and   Water  Conservation                                                                    
District  to  provide  the infrastructure  to  support  farm                                                                    
development.                                                                                                                    
                                                                                                                                
10:08:54 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
10:14:49 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
CARL UCHYTIL,  PORT DIRECTOR, PRESIDENT,  ALASKA ASSOCIATION                                                                    
OF HARBORMASTERS AND  PORT ADMINISTRATORS, JUNEAU, testified                                                                    
in support of  a capital request for matching  funds for the                                                                    
Municipal Harbor  Grant program.  He relayed that  the $10.4                                                                    
million  matching   grant  program  was  critical   for  the                                                                    
membership of  the Alaska  Association of  Harbormasters and                                                                    
Port Administrators.  He explained that the  association had                                                                    
$14  million from  the  membership  for tier  1  and tier  2                                                                    
projects. He noted that he  had delivered a letter on behalf                                                                    
of  the  association  to   each  finance  committee  member,                                                                    
thanking them  for past support  and urging full  support of                                                                    
the  current request.  He stated  that  the association  had                                                                    
been  formed  when  the   harbors  transitioned  from  state                                                                    
ownership  to being  owned by  municipalities. He  furthered                                                                    
that harbors in Juneau have  benefitted from the program. He                                                                    
contrasted the recent  work on Aurora Harbor  with an older,                                                                    
state-owned harbor in disrepair.                                                                                                
                                                                                                                                
10:17:54 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
10:22:52 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
STEVE  ASHMAN, DIVISION  MANAGER, MUNICIPALITY  OF ANCHORAGE                                                                    
DEPARTMENT  OF HEALTH  AND  HUMAN  SERVICES, ANCHORAGE  (via                                                                    
teleconference),  testified in  support of  funding for  the                                                                    
Domestic Violence  and Sexual Assault  Intervention Program.                                                                    
He explained that the statewide  program was a collaboration                                                                    
funded  through  the  municipality   of  Anchorage  and  the                                                                    
Department  of  Health and  Human  Services.  He added  that                                                                    
there  was also  program  collaboration  with the  Anchorage                                                                    
Police Department  Domestic Violence Compliance  Office, the                                                                    
Municipal   Attorney's   office,    and   three   non-profit                                                                    
organizations.  He  discussed   the  success  with  offender                                                                    
accountability  and victim  protection as  well as  improved                                                                    
rates of  recidivism, incidence, and arrests.  He noted that                                                                    
arrests for violation of conditions  of release increased by                                                                    
almost  500  percent,  and the  number  of  arrest  warrants                                                                    
served increased  by 78 percent.  He added that  the funding                                                                    
also went toward victim  support including temporary housing                                                                    
and  support.   He  clarified  that  the   municipality  was                                                                    
requesting $850,000.                                                                                                            
                                                                                                                                
Co-Chair MacKinnon handed the gavel to Senator Dunleavy.                                                                        
                                                                                                                                
10:26:17 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
10:59:14 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: MAT-SU, GLENNALLEN, DELTA JUNCTION                                                                         
                                                                                                                                
10:59:55 AM                                                                                                                   
                                                                                                                                
BRYCE   WRIGLEY,   ALASKA    ASSOCIATION   OF   CONSERVATION                                                                    
DISTRICTS,  DELTA JUNCTION  (via teleconference),  testified                                                                    
in support of a $600,000  request for the Alaska Association                                                                    
of Conservation  Districts (AACD).  He shared that  over the                                                                    
past five  years $3.1  million had  been contributed  by the                                                                    
state; the funding had enabled  the districts to bring in an                                                                    
additional   $32.5  million.   He   communicated  that   the                                                                    
districts  resolved  local  erosion  problems,  created  and                                                                    
enhanced fish and wildlife  habitat, perform land capability                                                                    
surveys,  and managed  invasive weeds.  He detailed  that in                                                                    
the  Lower  48  over  $132 billion  was  spent  annually  on                                                                    
controlling invasive species. He  stressed that without soil                                                                    
and  water  districts  there  was   no  one  else  with  the                                                                    
capability  or  the  will  to   provide  the  services.  The                                                                    
increment would allow  the 12 districts to  keep their doors                                                                    
open and to continue seeking federal funding.                                                                                   
                                                                                                                                
11:01:51 AM                                                                                                                   
                                                                                                                                
REBECCA  WILBURN,  DELTA  COMMUNITY SCHOOL  DISTRICT,  DELTA                                                                    
JUNCTION  (via teleconference),  testified against  proposed                                                                    
reductions to the Base Student  Allocation (BSA) and to one-                                                                    
time education  funds. She shared that  it was disappointing                                                                    
that state  representatives had  not contacted  her district                                                                    
to  inquire  about  potential  impacts  of  reductions.  She                                                                    
explained  that the  reduction would  result  in a  $500,000                                                                    
decrease in  the district's tight  budget. The  district had                                                                    
proposed  cost  savings  initiatives to  its  representative                                                                    
that  would   eliminate  unfunded  mandates;   however,  she                                                                    
observed that the focus seemed to  be on cuts rather than on                                                                    
reform. She  stressed that a cut  to the BSA would  only put                                                                    
Rural  Education  Areas  farther behind.  She  advised  that                                                                    
education funding was mandated by the constitution.                                                                             
                                                                                                                                
11:04:20 AM                                                                                                                   
                                                                                                                                
DENNIS MCGLOTHIN  JR., COPPER  RIVER BASIN  REGIONAL HOUSING                                                                    
AUTHORITY,  GLENNALLEN  (via teleconference),  testified  in                                                                    
support  of Copper  River Basin  Regional Housing  Authority                                                                    
weatherization assistance program.  He communicated that the                                                                    
program  was  more than  beneficial  to  the state  and  its                                                                    
residents.  He  shared  a  letter  from  a  client  who  had                                                                    
received  a weatherization  grant through  the program.  The                                                                    
client  was  very   happy  with  the  work   and  its  rapid                                                                    
completion.                                                                                                                     
                                                                                                                                
11:06:30 AM                                                                                                                   
                                                                                                                                
GARY  HUNTSINGER,  SELF,  KENNY LAKE  (via  teleconference),                                                                    
testified  in support  of funds  for  a home  weatherization                                                                    
program. He shared  that he had saved between  $200 and $600                                                                    
during  the  winter. He  was  grateful  to the  program  and                                                                    
lauded its success.                                                                                                             
                                                                                                                                
11:07:23 AM                                                                                                                   
                                                                                                                                
ANN   ARRISI,   HOPE   COMMUNITY  RESOURCES,   MAT-SU   (via                                                                    
teleconference), testified  in support of $361,000  for Hope                                                                    
Community  Resources. The  organization served  the neediest                                                                    
Alaskans  statewide,  including   over  1,400  Alaskans  who                                                                    
experienced challenges with  physical and/or mental wellness                                                                    
(many of the individuals  had developmental disabilities and                                                                    
many were  children). She stressed  that without  state help                                                                    
the individuals  and their  families would  have significant                                                                    
reductions in their  quality of life. The  funding would pay                                                                    
state  mandated upgrades  to state  licensed residences  for                                                                    
disabled  Alaskans   to  address   other  life   and  safety                                                                    
requirements. She  detailed that without the  capital budget                                                                    
funding  Hope  would serve  fewer  Alaskans;  some of  those                                                                    
Alaskans  would require  institutional services,  which were                                                                    
costly  and   would  increase  the  operating   budget.  She                                                                    
underscored  that the  increase  would be  immediate if  the                                                                    
residences  closed.  She  spoke  to  cost  savings  of  over                                                                    
$10,000 for  recipients of home and  community-based waivers                                                                    
compared  to  nursing  homes.   She  detailed  that  capital                                                                    
funding stabilized housing for  people with disabilities and                                                                    
had a direct impact on lowering Medicaid care costs.                                                                            
                                                                                                                                
11:09:30 AM                                                                                                                   
                                                                                                                                
RAY   COLLINS,  HOPE   COMMUNITY   RESOURCES,  MAT-SU   (via                                                                    
teleconference),  encouraged  the  community to  include  at                                                                    
least  $361,000 for  Hope  Community  Resources. He  relayed                                                                    
that   the  organization   served   the  neediest   Alaskans                                                                    
statewide  (over 1,400  Alaskans  with  physical and  mental                                                                    
disabilities).  He   detailed  that  the  majority   of  the                                                                    
individuals receiving  services from Hope were  dealing with                                                                    
a developmental  disability; most  dealt with  a combination                                                                    
of  mental  and developmental  challenges  and  many of  the                                                                    
individuals were  children. He  stressed that  without state                                                                    
help the  individuals and families would  have a significant                                                                    
reduction  in their  quality of  life.  He underscored  that                                                                    
neglecting to provide funding would  have a direct impact on                                                                    
the lives of individuals.                                                                                                       
                                                                                                                                
11:11:12 AM                                                                                                                   
                                                                                                                                
JOHN   MOOSEY,   MANAGER,   MAT-SU  BOROUGH,   MAT-SU   (via                                                                    
teleconference),  testified in  support  of  a $2.2  million                                                                    
request  for a  septage  and treatment  facility. He  shared                                                                    
that the  prior year the  borough had been informed  that it                                                                    
would be  cut off from  delivering its septic  to Anchorage.                                                                    
Currently all septage was taken  to Anchorage for treatment.                                                                    
Phase  one  of  the  project  would  cover  engineering  and                                                                    
design.  He relayed  that the  work would  benefit the  vast                                                                    
majority of  borough residents. The project  was expected to                                                                    
be completed be completed by  2020 if it received funding to                                                                    
move forward.  He relayed that  the project was  the borough                                                                    
assembly's top priority.                                                                                                        
                                                                                                                                
Senator Dunleavy returned the gavel to Co-Chair MacKinnon.                                                                      
                                                                                                                                
11:13:40 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
11:32:22 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
SENATE BILL NO. 86                                                                                                            
                                                                                                                                
     "An Act relating to a refined fuel surcharge; relating                                                                     
     to the motor fuel tax; relating to a qualified dealer                                                                      
     license; and providing for an effective date."                                                                             
                                                                                                                                
11:32:54 AM                                                                                                                   
                                                                                                                                
Co-Chair  MacKinnon   relayed  that  public   testimony  had                                                                    
previously been heard on the legislation.                                                                                       
                                                                                                                                
Vice-Chair  Micciche  relayed  that  the  legislation  would                                                                    
supplement  the Spill  Prevention and  Response (SPAR)  fund                                                                    
[under the Department  of Environmental Conservation]. There                                                                    
was currently  an inadequate amount  of funding  coming from                                                                    
the production of  oil and gas. The legislation  was a "user                                                                    
pays  or  spiller pays"  bill  that  would take  $.0095  per                                                                    
gallon  at  the  distribution level  and  provided  adequate                                                                    
funding for  the response fund.  He detailed that  the state                                                                    
had primacy for  spill prevention and response  and the bill                                                                    
would  enable  the  state  to continue  with  the  level  of                                                                    
service it had been delivering for many years.                                                                                  
                                                                                                                                
11:34:13 AM                                                                                                                   
                                                                                                                                
Co-Chair MacKinnon asked for verification  that the cost was                                                                    
under  one   penny.  Vice-Chair  Micciche  replied   in  the                                                                    
affirmative.                                                                                                                    
                                                                                                                                
Senator Dunleavy asked for verification  that the cost would                                                                    
be one penny per  gallon. Vice-Chair Micciche clarified that                                                                    
it would be less than one penny per gallon.                                                                                     
                                                                                                                                
Senator Dunleavy  asked what the  average cost would  be for                                                                    
individuals using fuel oil to heat their homes.                                                                                 
                                                                                                                                
Vice-Chair  Micciche  answered  that the  cost  would  equal                                                                    
approximately  $4.00  per  year  for  the  average  Alaskan;                                                                    
however,  the  larger users  such  as  mines and  businesses                                                                    
would pick up the majority of  the load. For example, if 500                                                                    
gallons of  oil was used per  year, the cost would  be under                                                                    
$5.00.                                                                                                                          
                                                                                                                                
Senator Dunleavy surmised that  the surcharge would apply to                                                                    
everyone, including  nonprofits such as  schools. Vice-Chair                                                                    
Micciche  replied that  there were  some  exemptions in  the                                                                    
bill, but the  surcharge would apply to  everyone other than                                                                    
the state.                                                                                                                      
                                                                                                                                
11:35:47 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
11:36:02 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
Vice-Chair Micciche relayed that the  hope was that the cost                                                                    
would  not  be passed  down,  but  it  was not  possible  to                                                                    
guarantee that  the surcharge would go  to the distributors.                                                                    
However,  there  were  five exemptions  in  the  legislation                                                                    
including fuel sold to a  federal or state government agency                                                                    
for  official use,  fuel  refined and  used  outside of  the                                                                    
United   States,  liquefied   petroleum  gas   (propane  and                                                                    
aviation  fuel),  and  fuel   sold  or  transferred  between                                                                    
qualified dealers.                                                                                                              
                                                                                                                                
Senator  Dunleavy wondered  if school  districts fell  under                                                                    
the state agency category. Vice-Chair  Micciche did not know                                                                    
[Note: answer was provided after the following "at ease"].                                                                      
                                                                                                                                
11:36:51 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
11:40:03 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
Vice-Chair Micciche, in response  to a question from Senator                                                                    
Dunleavy,  stated  that the  surcharge  went  to the  dealer                                                                    
level; however, fuel  sold to a federal  or state government                                                                    
did not include local governments as an exemption.                                                                              
                                                                                                                                
Co-Chair  MacKinnon asked  for detail  on the  bill's fiscal                                                                    
notes.                                                                                                                          
                                                                                                                                
Vice-Chair  Micciche  spoke  to  the  bill's  fiscal  notes,                                                                    
beginning with  a zero  fiscal note  from the  Department of                                                                    
Environmental  Conservation  (FY  16   through  FY  21).  He                                                                    
relayed  that  there  would  be  no  fiscal  impact  to  the                                                                    
Division    of   Spill    Prevention   and    Response   for                                                                    
implementation of the legislation.                                                                                              
                                                                                                                                
Senator  Bishop  communicated  that  the  legislation  would                                                                    
alleviate  the  projected revenue  shortfall  for  FY 16  at                                                                    
approximately $7 million.                                                                                                       
                                                                                                                                
Vice-Chair Micciche  addressed a  zero fiscal note  from the                                                                    
Department  of Revenue  (DOR)(FY  16 through  FY 21).  There                                                                    
would be  a change  in revenue, at  an expected  $.0095; the                                                                    
change would bring  in $7,600,000 million in FY 16  with a 2                                                                    
percent  increase across  FY 17  through FY  21 ($7,750,000,                                                                    
$7,900,000,    $8,050,000,   $8,200,000,    and   $8,350,000                                                                    
respectively).  The  estimated  supplemental in  FY  15  was                                                                    
$50,000;  there  was  no  estimated capital  in  FY  16.  He                                                                    
relayed that the  $50,000 would cover the  costs of updating                                                                    
systems, form, and draft regulations for the new surcharge.                                                                     
                                                                                                                                
11:43:24 AM                                                                                                                   
                                                                                                                                
Co-Chair MacKinnon asked  if DOR had anything to  add to the                                                                    
fiscal analysis of the bill.                                                                                                    
                                                                                                                                
KEN ALPER,  DIRECTOR, TAX  DIVISION, DEPARTMENT  OF REVENUE,                                                                    
confirmed that  there were no continuing  costs; any changes                                                                    
would  be absorbed  within the  department's operations  and                                                                    
excise  tax  group  under  the Tax  Division.  There  was  a                                                                    
relatively  small   startup  cost  to  adapt   some  of  the                                                                    
documents and systems to the new surcharge.                                                                                     
                                                                                                                                
Co-Chair MacKinnon  wondered if the projected  revenue would                                                                    
be  recurring into  the future.  She asked  for verification                                                                    
that the  bill did  not include a  sunset clause.  Mr. Alper                                                                    
replied  in the  affirmative. He  explained the  expectation                                                                    
that as  long as  fuel was  consumed in  Alaska it  would be                                                                    
subject to the surcharge.                                                                                                       
                                                                                                                                
Co-Chair MacKinnon asked if the  fund was currently solvent.                                                                    
Mr.  Alper replied  that the  SPAR fund  was anticipated  to                                                                    
have shortfalls  in the current  fiscal year. He  added that                                                                    
under the legislation the money  would be deposited into the                                                                    
general  fund  and  subject to  appropriation  it  would  be                                                                    
transferred into  the SPAR fund.  He remarked that  a fiscal                                                                    
note from  the Legislative  Finance Division  described some                                                                    
of the  mechanisms; the issue  was outside the scope  of the                                                                    
Tax Division.                                                                                                                   
                                                                                                                                
11:45:40 AM                                                                                                                   
                                                                                                                                
Vice-Chair  Micciche  relayed  that the  fund  was  $800,000                                                                    
short in  the current fiscal  year and the  shortfall became                                                                    
substantial  in  following years.  He  did  not believe  the                                                                    
state should pay for the solvency of the fund.                                                                                  
                                                                                                                                
Vice-Chair  Micciche stated  that the  last fiscal  note was                                                                    
from  the  Legislative  Finance   Division  for  the  Senate                                                                    
Finance  Committee.  The  note  addressed  the  need  for  a                                                                    
supplemental  appropriation  and  appropriated  the  revenue                                                                    
generated in FY 16 to the  ONH fund, resulting in a net zero                                                                    
impact on  the fiscal gap.  He commented that  currently the                                                                    
note  included  a  .8  percent  surcharge,  which  had  been                                                                    
changed to .95 percent to  factor in exemptions provided for                                                                    
aviation  fuels. He  noted that  currently  the DOR  numbers                                                                    
were more  accurate. He  detailed that FY  16 through  FY 21                                                                    
showed $7.5 million, which would  be the amount for the fund                                                                    
to  remain  solvent.  The change  in  revenues  showed  $7.5                                                                    
million per year with a 2 percent increase through FY 21.                                                                       
                                                                                                                                
Co-Chair MacKinnon asked  what would happen if  the fund was                                                                    
over   funded.  She   understood   there  were   outstanding                                                                    
settlements  the fund  was  waiting  to receive.  Vice-Chair                                                                    
Micciche responded that all of  the money would be deposited                                                                    
into  the  prevention  account,  which  funded  all  of  the                                                                    
smaller spills. He referenced dry  cleaning fluid spills and                                                                    
old gas  stations that were  no longer in operation  and had                                                                    
no one to  pay for the cleanup. The surcharge  had been kept                                                                    
at a lower level to avoid funding more than required.                                                                           
                                                                                                                                
11:49:08 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
11:49:43 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
Vice-Chair Micciche  relayed that all funds  were subject to                                                                    
appropriation. He  stated that  in the  event the  SPAR fund                                                                    
was  over funded  the goal  was to  provide only  the amount                                                                    
needed to adequately fund the agency.                                                                                           
                                                                                                                                
Vice-Chair  Micciche MOVED  to  REPORT CSSB  86(FIN) out  of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes. There  being NO OBJECTION, it was                                                                    
so ordered.                                                                                                                     
                                                                                                                                
CSSB 86(FIN) was REPORTED out  of committee with a "do pass"                                                                    
recommendation  and  with   one  previously  published  zero                                                                    
fiscal note: FN 1(REV); one  new fiscal impact note from the                                                                    
Senate   Finance    Committee   for   the    Department   of                                                                    
Environmental Conservation;  and one new fiscal  impact note                                                                    
from the Department of Environmental Conservation.                                                                              
                                                                                                                                
11:50:44 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
11:51:51 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                
SENATE BILL NO. 26                                                                                                            
                                                                                                                                
     "An  Act   making  appropriations,   including  capital                                                                    
     appropriations   and   other   appropriations;   making                                                                    
     appropriations to  capitalize funds; and  providing for                                                                    
     an effective date."                                                                                                        
                                                                                                                                
^PUBLIC TESTIMONY: MAT-SU                                                                                                     
                                                                                                                                
11:52:19 AM                                                                                                                   
                                                                                                                                
NAOMI NELSON,  EXECUTIVE DIRECTOR, MAT-SU  COMMUNITY TRANSIT                                                                    
(MASCOT), MAT-SU (via  teleconference), testified in support                                                                    
of  funding  for  the public  and  community  transportation                                                                    
state match. She relayed that  state match was vital funding                                                                    
that  enabled the  organization to  leverage federal  funds.                                                                    
She  discussed the  role of  public  transportation to  take                                                                    
people  to work,  to  the  doctor, to  the  store, etc.  She                                                                    
communicated that supporting  public transit supported other                                                                    
health  and  human  services   agencies,  built  a  stronger                                                                    
community, lead to better health, and saved money.                                                                              
                                                                                                                                
11:54:17 AM                                                                                                                   
RECESSED                                                                                                                        
                                                                                                                                
1:36:17 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: BARROW, KETCHIKAN, WRANGELL, PETERSBURG                                                                    
                                                                                                                                
1:37:53 PM                                                                                                                    
                                                                                                                                
CAROL RUSHMORE,  DIRECTOR OF ECONOMIC DEVELOPMENT,  CITY AND                                                                    
BOROUGH   OF   WRANGELL,  WRANGELL   (via   teleconference),                                                                    
testified in  support of  $1.5 million  for the  upgrade and                                                                    
repair  of the  city's pool  and recreational  facility. She                                                                    
detailed  that  the  borough  and   the  state  had  already                                                                    
invested in  the assessment and emergency  repairs needed to                                                                    
move the  project forward.  She shared  that the  repair and                                                                    
upgrades represented long-term  community health and benefit                                                                    
issues.  She relayed  that the  signing of  the project  was                                                                    
critical to keeping the existing facility open.                                                                                 
                                                                                                                                
STEVE  CORPORON, ALASKA  ASSOCIATION OF  HARBOR MASTERS  AND                                                                    
PORT ADMINISTRATORS,  KETCHIKAN (via  teleconference), spoke                                                                    
in  support of  Ketchikan  municipal  harbor facility  grant                                                                    
funding of  $10.4 million.  He recounted  how the  state had                                                                    
originally   built  and   maintained   the  harbors   before                                                                    
ownership was transferred  to local municipalities; however,                                                                    
municipalities did  not have the  rate structures  in place.                                                                    
He added that  wooden harbors were designed for a  30 to 35-                                                                    
year  service life;  the  harbors were  currently  45 to  50                                                                    
years  old.  He described  the  deteriorated  status of  the                                                                    
Ketchikan  harbor.  He  shared that  the  local  communities                                                                    
scraped  together   50  percent  of  funding   through  rate                                                                    
increases  and bond  initiatives (the  community was  on its                                                                    
third rate hike in three  years). He stated that the funding                                                                    
would cover  four projects in Sitka,  Seward, and Ketchikan.                                                                    
He  stressed that  the harbors  were not  ADA compliant  and                                                                    
were barely able-bodied compliant.                                                                                              
                                                                                                                                
1:43:00 PM                                                                                                                    
                                                                                                                                
SETH  BRAKKE,  ASSISTANT  PUBLIC  WORKS  DIRECTOR,  CITY  OF                                                                    
KETCHIKAN, KETCHIKAN (via  teleconference), spoke in support                                                                    
of  funding for  the Water  Street Bridge  Number 2  and the                                                                    
Front  Mill and  Stedman Street  Reconstruction Project.  He                                                                    
detailed  that  the  Water  Street  Bridge  project  was  an                                                                    
ongoing collaboration  between the  city and  the Department                                                                    
of Transportation and Public  Facilities for bridge repairs.                                                                    
He stressed that the project  was critical to transportation                                                                    
needs. He relayed  that the project was about to  go out for                                                                    
bid. He communicated that the  Front Mill and Stedman Street                                                                    
project involved the city's key  route through the community                                                                    
and would provide for overdue repairs.                                                                                          
                                                                                                                                
1:44:30 PM                                                                                                                    
                                                                                                                                
KYAN  REEVE,  TRANSIT  MANAGER, KETCHIKAN  GATEWAY  BOROUGH,                                                                    
KETCHIKAN  (via teleconference),  testified in  favor of  $1                                                                    
million in  state match  for transit  in Alaska.  He relayed                                                                    
that receiving  the state support  had been critical  in the                                                                    
development of  a successful transport system  in Ketchikan;                                                                    
the system  served over 400,000  people per year.  The state                                                                    
match had enabled the community  to bring in over $1 million                                                                    
in federal  grants over the  past three years.  He testified                                                                    
in  support of  $8 million  for the  Front Mill  and Stedman                                                                    
Street  Reconstruction Project  and the  replacement of  the                                                                    
Water  Street  Bridge.  He  supported  the  Tongass  Highway                                                                    
rehabilitation  and reconstruction  project and  funding for                                                                    
the Alaska Marine Highway Ketchikan Ferry Terminal project.                                                                     
                                                                                                                                
Co-Chair MacKinnon welcomed Representative  Dan Ortiz to the                                                                    
committee room.                                                                                                                 
                                                                                                                                
1:47:19 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
1:57:01 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
ROXANE   LEE,   SELF,   PETERSBURG   (via   teleconference),                                                                    
testified  in support  of public  radio.  She detailed  that                                                                    
prior  to public  radio access  in Petersburg  the community                                                                    
had  been  cut off  from  news,  emergency information,  and                                                                    
other state issues. She related  the memorable experience of                                                                    
the development of the first  radio station in Wrangell. She                                                                    
gathered that the majority of  the state legislators did not                                                                    
live in  rural Alaska  and therefore  could not  realize the                                                                    
full  effect  of the  proposed  cuts  to public  radio.  She                                                                    
understood  that some  cuts  were  necessary. She  mentioned                                                                    
alternative revenue  sources such  as the Permanent  Fund or                                                                    
state  income  tax. She  stressed  the  importance of  radio                                                                    
connection in rural Alaska.                                                                                                     
                                                                                                                                
1:59:49 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
2:11:18 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
TOM  BRICE, LABORERS  942, JUNEAU,  testified in  support of                                                                    
funding for the Juneau Access  road project. He related that                                                                    
once the record  of decision was made on  the project within                                                                    
the upcoming 12 to 18  months, a $4 million investment would                                                                    
enable the  state to capture  the remaining $574  million in                                                                    
federal funds; the total state  funds would be approximately                                                                    
$52 million. He referred to the  project as a major piece of                                                                    
transportation infrastructure for  Alaska. He addressed jobs                                                                    
the project  created and the  importance of  bringing Juneau                                                                    
closer to  the road system.  He thanked the  legislature for                                                                    
its historical support of the project.                                                                                          
                                                                                                                                
Co-Chair MacKinnon relayed  that she may have  a conflict of                                                                    
interest  related to  the project  given that  her husband's                                                                    
family owned a piece of property on the project route.                                                                          
                                                                                                                                
2:14:06 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
2:31:12 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair  MacKinnon noted  that  the  committee was  hearing                                                                    
public testimony on  SB 26. There were  no testifiers online                                                                    
or in the room at the time.                                                                                                     
                                                                                                                                
2:32:00 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
3:02:34 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: SITKA, CORDOVA, VALDEZ                                                                                     
                                                                                                                                
3:02:45 PM                                                                                                                    
                                                                                                                                
DR.   TOM   CONLEY,   SITKA   SCHOOL   BOARD,   SITKA   (via                                                                    
teleconference),  expressed his  interest  in testifying  on                                                                    
the operating budget (HB 72).                                                                                                   
                                                                                                                                
Co-Chair MacKinnon  relayed that HB  72 may be heard  by the                                                                    
Senate Finance Committee on Tuesday.                                                                                            
                                                                                                                                
3:03:56 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
3:07:58 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: JUNEAU                                                                                                     
                                                                                                                                
3:08:04 PM                                                                                                                    
                                                                                                                                
MELANIE   ZAHASKY,   HOPE   COMMUNITY   RESOURCES,   JUNEAU,                                                                    
testified in  support of $361,000  in funding  for Jeffrey's                                                                    
Hope,  a   licensed  residential   home  that   housed  four                                                                    
individuals   with  disabilities.   She  introduced   Gloria                                                                    
Costello, a resident  at the home, and  her service provider                                                                    
Beth  Handley.  She  communicated   that  the  deck  at  the                                                                    
residence was  in need of  repair. She detailed  that access                                                                    
to the  backyard was difficult  due to the disrepair  of the                                                                    
back  deck. She  discussed  the  correlation between  stable                                                                    
housing and lowered Medicaid costs.                                                                                             
                                                                                                                                
BETH  HANDLEY, HOPE  COMMUNITY RESOURCES,  JUNEAU, spoke  in                                                                    
support of funding for Hope  Community Resources. She shared                                                                    
that the residence was full of activity.                                                                                        
                                                                                                                                
3:13:52 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
3:15:20 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
DOUG  BRIDGES, CATHOLIC  COMMUNITY  SERVICES, BOARD  MEMBER,                                                                    
ALASKA MOBILITY  COALITION, JUNEAU, testified in  support of                                                                    
Department of Transportation  and Public Facilities matching                                                                    
funds in the amount of  $1 million to support transportation                                                                    
services statewide. He emphasized  that the funds would help                                                                    
leverage federal  funding at a  4 to 1 or  5 to 1  ratio. He                                                                    
communicated  that the  Juneau transit  system had  accessed                                                                    
$130,812  during  the  current  fiscal  year.  Additionally,                                                                    
there was  support for the dialysis  transportation provided                                                                    
by Catholic Community Services in  conjunction with the City                                                                    
and   Borough  of   Juneau.   He   discussed  that   transit                                                                    
represented support for  economies. He spoke to  the role of                                                                    
transit in supporting hospitals  and medical services. There                                                                    
was an  accessible taxi  in Juneau  that was  funded through                                                                    
the same grant process.                                                                                                         
                                                                                                                                
Co-Chair  MacKinnon  relayed  that  several  testifiers  had                                                                    
spoken in support of the $1 million matching funds.                                                                             
                                                                                                                                
3:20:46 PM                                                                                                                    
                                                                                                                                
ED  PAGE, EXECUTIVE  DIRECTOR,  MARINE  EXCHANGE OF  ALASKA,                                                                    
JUNEAU,  testified in  support  of the  maritime safety  net                                                                    
used by communities along the  state's coastline. He relayed                                                                    
that the program had most  recently been partially funded by                                                                    
the  state cruise  ship head  tax. The  state's contribution                                                                    
was currently around  15 percent of the safety  net that had                                                                    
saved   lives  and   aided   efficiency  and   environmental                                                                    
protection.  He relayed  that  the  industry supporting  the                                                                    
marine   safety   program   recognized  that   if   maritime                                                                    
operations  in the  state were  expanded they  needed to  be                                                                    
done  safely  in  an  environmentally  responsible  way.  He                                                                    
stressed  that   state  funding  was  instrumental   in  the                                                                    
program's long-term success. He  believed the capital budget                                                                    
was   the   appropriate   fund  source   because   currently                                                                    
additional vessel  tracking sites  were being  built through                                                                    
the Arctic and Northwest Alaska Aleutian Islands.                                                                               
                                                                                                                                
3:23:40 PM                                                                                                                    
                                                                                                                                
LISA MARIOTTI,  POLICY DIRECTOR, ALASKA NETWORK  ON DOMESTIC                                                                    
VIOLENCE AND  SEXUAL ASSAULT,  JUNEAU, testified  in support                                                                    
of  a $2  million  request for  the  Alaska Housing  Finance                                                                    
Corporation  (AHFC) Empowering  Choice Housing  Program. She                                                                    
explained  that the  program  helped  victims rebuild  their                                                                    
lives  after leaving  violent homes.  She detailed  that the                                                                    
program was  a public-private partnership. She  relayed that                                                                    
the  shelter  programs  and participants  did  not  directly                                                                    
receive the  funds; the money went  with parental assistance                                                                    
directly  to private  landlords in  the 12  communities that                                                                    
offered the  program. She elaborated that  participants paid                                                                    
a  portion  of their  rent  depending  on their  income  and                                                                    
ability  to  pay. The  program  had  replace an  inefficient                                                                    
program four years earlier. She  shared that over 400 people                                                                    
had been  assisted in the four-year  period; currently there                                                                    
were 186 program participants (74  percent were female heads                                                                    
of   households  with   children).   She  provided   further                                                                    
information  about  program  participants.   She  emphasized                                                                    
that  the  program saved  money  by  breaking the  cycle  of                                                                    
violence.   She  discussed   that   children  with   adverse                                                                    
experiences  had difficulties  with school,  interacted with                                                                    
juvenile  justice  systems,  and  later  in  life  with  the                                                                    
criminal justice systems.                                                                                                       
                                                                                                                                
3:26:41 PM                                                                                                                    
                                                                                                                                
JEFF WELTZIN, TANANA CHIEFS  CONFERENCE, JUNEAU, thanked the                                                                    
committee  for the  past five  years of  support. He  shared                                                                    
that the conference  had used $4.2 million  of capital money                                                                    
in the past four years to  leverage over $22 million for the                                                                    
construction  of seven  new  primary  healthcare clinics  in                                                                    
rural  Alaska. Additionally,  over the  past five  years the                                                                    
conference  had  used  $1.6  million  in  capital  funds  to                                                                    
leverage  $6.5  million  of  federal  foundation  funds.  He                                                                    
stressed that without the past  support the conference would                                                                    
not  have   had  the  ability  to   leverage  other  funding                                                                    
resources.                                                                                                                      
                                                                                                                                
3:28:20 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
3:31:08 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair  MacKinnon  welcomed  Senator Dennis  Egan  in  the                                                                    
room.                                                                                                                           
                                                                                                                                
3:31:51 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
4:31:33 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: FAIRBANKS, TOK                                                                                             
                                                                                                                                
4:31:39 PM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon handed the gavel to Senator Bishop.                                                                          
                                                                                                                                
JOHN  DAVID  RAGAN,  SELF, FAIRBANKS  (via  teleconference),                                                                    
asked the  committee to  make smart  choices related  to the                                                                    
budget. He addressed  the Juneau Access road.  The state was                                                                    
supposed to put  $4 million into the project  in the current                                                                    
year.  He relayed  that in  return the  state would  receive                                                                    
$574  million in  federal matching  funds.  He believed  the                                                                    
state  would be  required to  pay  back $27  million to  the                                                                    
federal government  if it  did not put  the $4  million into                                                                    
the  project. He  stressed  that the  state  was not  saving                                                                    
money  by not  spending  $4 million.  He  stressed that  the                                                                    
state funds  like the $4  million increment primed  the pump                                                                    
to bring  in massive  amounts of  matching funds.  He stated                                                                    
that making the cuts risked  throwing the state into a major                                                                    
recession. He stated that the  budget gap was so substantial                                                                    
that the cuts did not really solve the problem.                                                                                 
                                                                                                                                
4:34:31 PM                                                                                                                    
                                                                                                                                
DAVID   WITHOFF,  SELF,   FAIRBANKS  (via   teleconference),                                                                    
testified in opposition  to a proposed $1.8  million for the                                                                    
Alaska Center for Unmanned  Aircraft systems integration. He                                                                    
hoped  that  unmanned  aircrafts  had a  bright  future.  He                                                                    
relayed that if the state  had a significant amount of money                                                                    
he would heartily support spending  public money to research                                                                    
ways to make the systems  profitable; however, the state did                                                                    
not have  a lot of  money. He reasoned that  if non-military                                                                    
applications of unmanned  aircrafts were profitable, private                                                                    
businesses would already  be using them. He  did not believe                                                                    
it was appropriate to use  public funds for what amounted to                                                                    
a small  startup company that  had not shown any  profit. He                                                                    
hoped  the  legislature  would consider  restoring  language                                                                    
that  encouraged the  University of  Alaska to  cut programs                                                                    
and  positions that  had  little  interaction with  students                                                                    
rather  than  cutting low  paid  employees  such as  adjunct                                                                    
faculty.                                                                                                                        
                                                                                                                                
4:36:16 PM                                                                                                                    
                                                                                                                                
PAUL GILL,  SELF, FAIRBANKS  (via teleconference),  spoke in                                                                    
support  of  funds  for  the   Alaska  Center  for  Unmanned                                                                    
Aircraft   systems  integration.   He   detailed  that   the                                                                    
University of  Alaska Fairbanks (UAF) had  recently approved                                                                    
an  aerospace  minor.  He encouraged  funding  for  the  new                                                                    
engineering  building at  UAF. He  discussed a  lack of  lab                                                                    
space. He continued that new  technology kept coming in, but                                                                    
the university continued to use  the old technology as well.                                                                    
He believed  that if construction  was frozen it  would cost                                                                    
more to restart  construction in the future.  He stated that                                                                    
$31.3 million  would complete the building,  but $10 million                                                                    
would enable construction to continue for one year.                                                                             
                                                                                                                                
4:38:29 PM                                                                                                                    
                                                                                                                                
JO SEAMON,  SELF, FAIRBANKS (via teleconference),  asked the                                                                    
committee  to   continue  funding  existing  jobs   to  keep                                                                    
maintaining the state's schools.                                                                                                
                                                                                                                                
4:39:09 PM                                                                                                                    
                                                                                                                                
JOE  HARDENBROOK,  MAYOR'S   OFFICE,  FAIRBANKS  NORTH  STAR                                                                    
BOROUGH,  FAIRBANKS   (via  teleconference),  asked   for  a                                                                    
restoration  of  funding  for  phase four  of  four  of  the                                                                    
Barnette  Magnet   School  renovations.  He   reasoned  that                                                                    
putting  off  the  final phase  would  increase  cost  would                                                                    
increase  the amount  of time  to complete  the project.  He                                                                    
detailed  that  the   project  was  item  4   on  the  major                                                                    
maintenance and renovation list;  unfortunately only items 1                                                                    
through   3   were   funded  in   the   governor's   budget.                                                                    
Additionally, he  asked for funding for  the UAF engineering                                                                    
building. He  reiterated that every year  that projects were                                                                    
put off meant that costs would  increase to wrap them up. He                                                                    
asked the committee to up  the governor's $8 million request                                                                    
to $10 million.                                                                                                                 
                                                                                                                                
4:40:49 PM                                                                                                                    
                                                                                                                                
JONI  SCHARFENBERG, FAIRBANKS  SOIL  AND WATER  CONSERVATION                                                                    
DISTRICT, FAIRBANKS  (via teleconference), spoke  in support                                                                    
of  funding  for  the  Alaska  Association  of  Conservation                                                                    
Districts. She  detailed that conservation  districts worked                                                                    
with state and federal  agencies to promote natural resource                                                                    
development.  She  provided   additional  detail  about  the                                                                    
districts.  The   Fairbanks  Soil  and   Water  Conservation                                                                    
District had  leveraged over  $400,000 of  non-state dollars                                                                    
utilizing $40,000 of state money  in 2014. She detailed that                                                                    
the districts saved  the state money and  brought money into                                                                    
the state. She  mentioned a project in need  of funding that                                                                    
worked to  eradicate aquatic invasive elodea,  which had the                                                                    
potential to  spread throughout  the state's  waterways. She                                                                    
elaborated  that  money  had been  allocated  to  Kenai  and                                                                    
Anchorage   to  work   on   the   eradication.  The   elodea                                                                    
infestation  in the  Chena Slough,  Chena  Lakes, and  Chena                                                                    
River posed  a grave threat  to the state  fisheries economy                                                                    
and  recreational activities.  She  stressed  that the  more                                                                    
time that went by, the harder it would be to control.                                                                           
                                                                                                                                
Senator Bishop  asked if the  elodea was present  in Mat-Su.                                                                    
Ms.  Scharfenbreg replied  that  elodea was  present in  the                                                                    
Kenai,  Sand   Lake  in  Anchorage,  Cordova,   and  in  the                                                                    
Interior. She did not know whether it was in Mat-Su.                                                                            
                                                                                                                                
4:44:00 PM                                                                                                                    
                                                                                                                                
RUSSELL  SNYDER,   GRANTS  COORDINATOR,   INTERIOR  REGIONAL                                                                    
HOUSING    AUTHORITY,   FAIRBANKS    (via   teleconference),                                                                    
testified on  behalf of  Alaska Housing  Finance Corporation                                                                    
(AHFC) and other regional housing  authorities. He asked for                                                                    
continued funding  for the supplemental  housing development                                                                    
grant  that  provided a  20  percent  match of  all  federal                                                                    
Indian housing  block grants. He  stressed that  the program                                                                    
was vital for rural communities  that had limited funds. The                                                                    
agency employed over 90 staff  with the supplemental funding                                                                    
and  the  weatherization  program.   He  detailed  that  the                                                                    
weatherization  program helped  weatherize  homes and  saved                                                                    
Alaskans money  on heating bills.  He relayed that  cash was                                                                    
saved in  rural communities as  a result of the  program. He                                                                    
thanked  the  legislature  for  funding  the  Alaska  Energy                                                                    
Authority (AEA) renewable energy grant.                                                                                         
                                                                                                                                
4:46:20 PM                                                                                                                    
                                                                                                                                
ADAM  BARTH,  FAIRBANKS  NORTH STAR  BOROUGH  TRANSPORTATION                                                                    
DEPARTMENT,  FAIRBANKS  (via teleconference),  testified  in                                                                    
support of community transportation  matching funds that the                                                                    
state  had  funded  the  past  few  years  to  help  transit                                                                    
agencies  fund operations  in  their communities.  Fairbanks                                                                    
received about  $113,000; it was  able to fund a  portion of                                                                    
its  transit system.  He detailed  that the  district's blue                                                                    
line had  provided approximately  170,000 rides in  the past                                                                    
year; the  funding would cover  26 percent of the  rides. He                                                                    
stated that the blue line  would operate more frequently and                                                                    
would enable more people to  get around town. He thanked the                                                                    
committee for its past support.                                                                                                 
                                                                                                                                
4:48:14 PM                                                                                                                    
                                                                                                                                
DAVE   MILLER,   SELF,   FAIRBANKS   (via   teleconference),                                                                    
requested  funds  for  the  Cold  Climate  Housing  Research                                                                    
Center.  He  spoke  to  the  successes  of  the  center.  He                                                                    
detailed that the center  taught homebuilders and commercial                                                                    
contractors   the  importance   of   energy  efficient   and                                                                    
sustainable building  practices statewide. He  reasoned that                                                                    
the  energy  efficiency  and  sustainability  would  benefit                                                                    
future generations  as well.  Additionally, he  testified in                                                                    
support of  homeless assistance  grants. He  volunteered for                                                                    
an  organization providing  shelter for  homeless teenagers.                                                                    
He  emphasized the  importance of  the individuals  who were                                                                    
preyed  upon and  frequently  had  no place  to  go but  the                                                                    
hospital  or  the  police station.  The  grant  enabled  the                                                                    
organization   to  provide   safe   shelter   and  to   help                                                                    
individuals get on their feet to head down the right path.                                                                      
                                                                                                                                
4:50:19 PM                                                                                                                    
                                                                                                                                
TERRY  DUSZYNISKI,  SELF,  FAIRBANKS  (via  teleconference),                                                                    
spoke  in  favor  of  funds for  the  Cold  Climate  Housing                                                                    
Research Center.  He stated that  the work conducted  by the                                                                    
research  center over  the past  15 years  was vital  to the                                                                    
Alaska housing industry. He spoke  to the high costs of home                                                                    
heating in Fairbanks.  He detailed that the  center had come                                                                    
up with ways  to help make houses less  expensive to operate                                                                    
in rural Alaska.  He also thanked the  committee for funding                                                                    
for public broadcasting.                                                                                                        
                                                                                                                                
4:52:08 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
4:59:57 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
ADITI  SHENOY, INVASIVE  SPECIES SPECIALIST,  FAIRBANKS SOIL                                                                    
AND    WATER   CONSERVATION    DISTRICT,   FAIRBANKS    (via                                                                    
teleconference), communicated that  elodea was an aggressive                                                                    
aquatic  invasive   species  that  could   transform  native                                                                    
habitats. She  discussed the  potential impact  on grayling,                                                                    
salmon, and  other commercially important species  for sport                                                                    
and  commercial  fishing.  She  discussed  impacts  on  fish                                                                    
habitat;  the  plant  increased sedimentation  and  degraded                                                                    
water  quality.  She  discussed  the  importance  of  acting                                                                    
quickly on the  infestation in Chena Slough;  the slough fed                                                                    
directly  into Chena  River where  plant fragments  could be                                                                    
washed   downstream  into   the  Tanana   and  Yukon   River                                                                    
drainages.  She shared  that a  recent infestation  had been                                                                    
located  in  Alexander  Lake in  Mat-Su.  She  stressed  the                                                                    
importance of eradicating the species  in Interior Alaska in                                                                    
order to  prevent from  spreading it to  other areas  in the                                                                    
state.  She spoke  to federal  matching funds  available for                                                                    
the  eradication  in  Chena Lakes  and  Slough;  legislative                                                                    
money would help to begin the eradication program.                                                                              
                                                                                                                                
5:03:34 PM                                                                                                                    
                                                                                                                                
DAN LABROSSE,  DENALI DEAF COMMUNITY CENTER,  FAIRBANKS (via                                                                    
teleconference), asked  for support  for a  $995,000 request                                                                    
that  would  enable  the  center  to  purchase  its  current                                                                    
building. He  spoke to the  Navigator program  that serviced                                                                    
deaf and  hard of  hearing individuals statewide;  it helped                                                                    
individuals  secure  employment  and living  situations.  He                                                                    
communicated   that   deaf   individuals  in   Alaska   were                                                                    
marginalized.  He shared  that the  first two  years of  the                                                                    
project  had been  funded by  the legislature;  the $995,000                                                                    
was the  third and final  increment. He stated  that without                                                                    
the funding  there was  a good chance  the center  would not                                                                    
survive  another year.  He noted  that there  was a  heavily                                                                    
used facility  in Anchorage. He  stressed that  the services                                                                    
were vital to the community.                                                                                                    
                                                                                                                                
5:05:36 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
5:11:29 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
DR.  ANN  MARIE  O'BRIEN, SUPERINTENDENT,  NORTHWEST  ARCTIC                                                                    
BOROUGH  SCHOOL  DISTRICT,  KOTZEBUE  (via  teleconference),                                                                    
spoke in  support of  funding for  the Kivalina  school. She                                                                    
detailed that it was in  the community's interest to provide                                                                    
students with a  suitable facility in which  to enrich their                                                                    
education.  She sincerely  recognized the  difficulty facing                                                                    
the  state budget.  She shared  that Kivalina  was the  last                                                                    
school remaining  on the  list of  schools in  the Kasayulie                                                                    
settlement;  on January  5, 2010  the community  of Kivalina                                                                    
had  voted overwhelmingly  in  favor  of a  site  for a  new                                                                    
school.  She provided  information about  the elected  site.                                                                    
Governor  Walker's  proposed  capital budget  included  $2.5                                                                    
million  for the  Kivalina evacuation  and  access road  and                                                                    
$4.6 million for the planning  and design of the replacement                                                                    
school. She asked the committee  to consider that the school                                                                    
was  operating  at  220 percent  capacity;  there  were  132                                                                    
children attending  school in  Kivalina. She  continued that                                                                    
the school had  used every available space  possible to make                                                                    
room  for  classrooms. She  thanked  the  committee for  its                                                                    
consideration.                                                                                                                  
                                                                                                                                
5:15:47 PM                                                                                                                    
                                                                                                                                
KERRY BOYD,  SUPERINTENDENT, YUKON KOYUKUK  SCHOOL DISTRICT,                                                                    
FAIRBANKS  (via teleconference),  requested support  for the                                                                    
governor's  proposed   increment  for  Nulato's   Andrew  K.                                                                    
Demoski  School in  the Department  of  Education and  Early                                                                    
Development  major maintenance  capital  budget. She  shared                                                                    
that the school  had been on the major  maintenance list for                                                                    
eight  years;  it  had  ranked  number 2  out  of  over  100                                                                    
applications for the  past two years. She  detailed that the                                                                    
school  was part  of a  Regional Education  Attendance Area;                                                                    
the   only  funding   source  the   district  had   for  new                                                                    
construction and  major maintenance was through  the state's                                                                    
major maintenance list.                                                                                                         
                                                                                                                                
5:17:13 PM                                                                                                                    
                                                                                                                                
TOM BEGICH,  GOVERNMENT AFFAIRS  DIRECTOR, CITIZENS  FOR THE                                                                    
EDUCATIONAL  ADVANCEMENT  OF ALASKA'S  CHILDREN,  ANCHORAGE,                                                                    
spoke  in support  of funding  for the  Kivalina school.  He                                                                    
relayed that  the school  had been an  integral part  of the                                                                    
Kasayulie lawsuit;  it was  a last  piece of  the negotiated                                                                    
settlement.  He  spoke  in support  of  the  capital  budget                                                                    
proposed by  the governor for major  maintenance and capital                                                                    
construction for  the Kivalina road and  school. He stressed                                                                    
that  the  funding  of the  school  was  critical  Kasayulie                                                                    
consent decree.                                                                                                                 
                                                                                                                                
5:18:56 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
5:39:53 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: BETHEL, NOME, KOTZEBUE, UNALASKA                                                                           
                                                                                                                                
5:39:53 PM                                                                                                                    
                                                                                                                                
JOHN   SARGENT,  GRANT   MANAGER,   CITY   OF  BETHEL   (via                                                                    
teleconference),  testified in  support of  funding for  the                                                                    
statewide  transit system.  He relayed  that the  prior year                                                                    
the  state  had allocated  $1  million  to the  program.  He                                                                    
remarked that  the program received matching  federal funds.                                                                    
He  detailed that  the  transit system  in  Bethel had  been                                                                    
running  for six  years. The  local  tribe was  not able  to                                                                    
afford the match;  therefore, the state match  had been very                                                                    
beneficial the prior year. The  city had used its portion of                                                                    
the money to obtain a grant for 15 permanent bus shelters.                                                                      
                                                                                                                                
Senator Bishop handed the gavel to Co-Chair MacKinnon.                                                                          
                                                                                                                                
5:42:48 PM                                                                                                                    
                                                                                                                                
ALLAN JOSEPH,  SELF, BETHEL (via  teleconference), testified                                                                    
in  support of  $5 million  for the  Alaska Village  Council                                                                    
Presidents  (AVCP) Regional  Housing  Authority program.  He                                                                    
shared that the  grant program was primarily  used for green                                                                    
projects (e.g.  energy efficient  doors, windows,  etc.) and                                                                    
infrastructure costs (i.e. water  and sewer connections). He                                                                    
detailed that green projects  helped prevent runaway heating                                                                    
costs;  fuel costs  were hovering  around $7  per gallon  in                                                                    
many  villages.  He  elaborated  that  AVCP  housing  served                                                                    
Bethel and other surrounding regions,  which had some of the                                                                    
highest rates of poverty, unemployment,  and energy costs in                                                                    
the state. He stressed that  many residents could not afford                                                                    
to renovate  their homes to  make them energy  efficient. He                                                                    
noted  that  supplemental  grant  funds provided  up  to  20                                                                    
percent  match for  federal  Housing  and Urban  Development                                                                    
funds.  He further  discussed the  need for  housing in  the                                                                    
region. He  urged the legislature  to continue  investing in                                                                    
programs that saved money for Alaska residents.                                                                                 
                                                                                                                                
5:45:09 PM                                                                                                                    
                                                                                                                                
JOHN  OWENS, SELF,  BETHEL  (via  teleconference), spoke  in                                                                    
support  of  funding  for ACVP  Regional  Housing  Authority                                                                    
weatherization  grants.  He  communicated  that  the  region                                                                    
consisted of  26,000 residents and 8,100  homes. He detailed                                                                    
that the  program had  conducted weatherization  services in                                                                    
36  villages   from  2008  to  2014.   He  provided  further                                                                    
statistics  related  to  the   program.  He  discussed  that                                                                    
weatherization  work was  beneficial to  the local  economy;                                                                    
the organization  had hired 1,324 village  workers from 2008                                                                    
to  present. He  reasoned  that  weatherization had  already                                                                    
proven to lower energy costs  in the region by approximately                                                                    
35 percent.  He hoped  the program  would continue  far into                                                                    
the future.                                                                                                                     
                                                                                                                                
5:47:32 PM                                                                                                                    
                                                                                                                                
BRIAN   LEFFERTS,    EMPLOYEE,   YUKON    KUSKOKWIM   HEALTH                                                                    
CORPORATION, BETHEL  (via teleconference), spoke  in support                                                                    
of  funding  for  the  village  safe  water  and  wastewater                                                                    
infrastructure state  match for federal funding.  He relayed                                                                    
that much of  the federal money had already  been awarded to                                                                    
the communities,  but a  state match  was required  in order                                                                    
for projects to move forward.  The federal grant funding had                                                                    
a  limited window;  therefore,  construction schedules  were                                                                    
tight.  He  detailed  that  there  would  not  be  time  for                                                                    
completion of  new and ongoing  projects if the  state funds                                                                    
were  not provided.  The corporation  was concerned  that an                                                                    
absence  of  state  funding   would  hurt  the  communities'                                                                    
chances of receiving the federal  funds again in the future.                                                                    
He communicated  that in 2014  water and sanitation  was the                                                                    
top  priority   identified  at   the  annual   Tribal  Unity                                                                    
gathering in Bethel. He detailed  that nearly half the homes                                                                    
in  the Yukon-Kuskokwim  Delta  lacked  indoor plumbing.  He                                                                    
discussed the  high rate  of chronic  respiratory infections                                                                    
in children living in homes without plumbing.                                                                                   
                                                                                                                                
5:50:52 PM                                                                                                                    
                                                                                                                                
MILLIE   HAWLEY,  KIVALINA   IRA   COUNCIL,  KIVALINA   (via                                                                    
teleconference),  requested $2.5  million  for the  Kivalina                                                                    
evacuation  road   project.  The  funds  would   enable  the                                                                    
community  to  continue  studies  that  would  lead  towards                                                                    
providing an  evacuation road; the  road would  provide life                                                                    
safety  for  residents.  The  community  was  interested  in                                                                    
putting in a new school at  the end of the road. She pointed                                                                    
to various studies that had  been done or were underway. She                                                                    
relayed that  the Native Village  of Kivalina  had committed                                                                    
no less  than $1  million to the  evacuation road.  The road                                                                    
was needed  due to  increased sea  storms that  were eroding                                                                    
the community's shoreline.                                                                                                      
                                                                                                                                
5:53:58 PM                                                                                                                    
                                                                                                                                
STAN   HAWLEY,   KIVALINA   IRA   COUNCIL,   KIVALINA   (via                                                                    
teleconference),  encouraged  the committee  to  appropriate                                                                    
funds for new school in  Kivalina. He relayed that residents                                                                    
needed an  opportunity for work,  expansion, and  to provide                                                                    
infrastructure to  support the health and  welfare of tribal                                                                    
members.  The school  would provide  youths  with access  to                                                                    
increased educational opportunities.                                                                                            
                                                                                                                                
5:55:13 PM                                                                                                                    
                                                                                                                                
DOLLY FOSTER,  TRIBE SECRETARY  AND TREASURER,  KIVALINA IRA                                                                    
COUNCIL, KIVALINA (via teleconference),  spoke in support of                                                                    
the Kivalina  evacuation road  and a  new school.  She noted                                                                    
that the new school was  part of the [Kasayulie] settlement.                                                                    
She asked  the committee to  consider the eroding  island of                                                                    
Kivalina and  its need for  the projects. She  urged support                                                                    
of $4.6 million for the school planning.                                                                                        
                                                                                                                                
5:56:56 PM                                                                                                                    
                                                                                                                                
SHIRLEY   MARQUARDT,   MAYOR,    CITY   OF   UNALASKA   (via                                                                    
teleconference), spoke in support  of the reappropriation of                                                                    
$1.5  million from  the Unalaska  geothermal project  to the                                                                    
Unalaska  fuel  conservation  project. [Note:  much  of  the                                                                    
testimony   was  indecipherable   due   to   a  poor   phone                                                                    
connection.] She spoke  in support of projects  that did not                                                                    
have  significant  road  blocks  in order  to  decrease  the                                                                    
community's energy costs.                                                                                                       
                                                                                                                                
Co-Chair MacKinnon  commented on the poor  phone connection.                                                                    
Ms. Marquardt  reiterated the request to  reappropriate $1.5                                                                    
million to  the Unalaska  fuel conservation project  for its                                                                    
new powerhouse  and water utility.  She noted that  with the                                                                    
two  projects combined  the  city would  still  need to  pay                                                                    
approximately $400,000  to $500,000; the  community believed                                                                    
the  cost was  worth it  and would  be able  to pay  off the                                                                    
projects within 10 years. She spoke to cost savings.                                                                            
                                                                                                                                
Vice-Chair  Micciche  asked  that Ms.  Marquardt  submit  an                                                                    
email with her testimony.                                                                                                       
                                                                                                                                
6:01:15 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
6:23:11 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: KODIAK, DILLINGHAM                                                                                         
                                                                                                                                
BRENDA  AKELKOK,  EXECUTIVE  DIRECTOR, BRISTOL  BAY  HOUSING                                                                    
AUTHORITY,   DILLINGHAM  (via   teleconference),  spoke   in                                                                    
support   of   the   Alaska  Housing   Finance   Corporation                                                                    
supplemental  housing  development  grant that  leveraged  a                                                                    
significant amount of federal  HUD funding. She communicated                                                                    
that the  primary source  of HUD  money was  derived through                                                                    
the   Native   American    Housing   Assistance   and   Self                                                                    
Determination  Act.  She  detailed that  without  the  grant                                                                    
fewer homes  would be constructed  to meet  homelessness and                                                                    
overcrowding   conditions.  The   funds  would   enable  the                                                                    
community  to  build  to  the  statewide  energy  efficiency                                                                    
standard.                                                                                                                       
                                                                                                                                
6:25:53 PM                                                                                                                    
                                                                                                                                
KEVIN   TENNYSON,  WEATHERIZATION   DIRECTOR,  BRISTOL   BAY                                                                    
HOUSING  AUTHORITY, DILLINGHAM  (via teleconference),  spoke                                                                    
in support of  Bristol Bay Housing Authority  grant fund. He                                                                    
relayed that the  housing authority had fixed  400 homes and                                                                    
had  increased the  energy  ratings from  one-star  up to  a                                                                    
four-stars.  He  noted that  the  budget  was down  from  $4                                                                    
million in  2008 to  $1.4 million  at present.  He discussed                                                                    
that the  organization had created  jobs in the  rural areas                                                                    
and  had provided  much needed  training  for residents.  He                                                                    
stressed   that   the   program   was   cost-effective.   He                                                                    
underscored  that the  improvements saved  an average  of 40                                                                    
percent for rural homeowners.                                                                                                   
                                                                                                                                
6:27:25 PM                                                                                                                    
                                                                                                                                
STANLEY  COLE,  HOPE  COMMUNITY RESOURCES,  DILLINGHAM  (via                                                                    
teleconference),  interviewed  a  Hope  Community  Resources                                                                    
recipient in  Dillingham. He spoke  in support of  a funding                                                                    
request that  would enable the  organization to  remodel its                                                                    
deck for  use. He  detailed that  Hope provided  services to                                                                    
1,400 individuals with physical  and mental disabilities. He                                                                    
relayed that  without continued  state help  the individuals                                                                    
and  their families  would see  significant quality  of life                                                                    
reductions. He shared that a  person's ability to live where                                                                    
they called  home had a  direct impact on  lowering Medicaid                                                                    
healthcare  costs. He  asked the  committee  to support  the                                                                    
inclusion of a minimum of $361,000 for the organization.                                                                        
                                                                                                                                
                                                                                                                                
6:29:10 PM                                                                                                                    
                                                                                                                                
DAVE  DONLEY, HOPE  COMMUNITY  RESOURCES,  JUNEAU, spoke  in                                                                    
support of funding for Hope  Community Resources. He relayed                                                                    
that  the  money  would  help   keep  the  Hope  homes  open                                                                    
throughout the  state. He discussed that  the state licensed                                                                    
the  facilities; the  request  had been  reduced to  include                                                                    
only the projects the state  had ordered the organization to                                                                    
do. He  communicated that a  portion of the  funding request                                                                    
had  been  identified  by   the  organization  for  projects                                                                    
effecting safety  in the homes.  He shared that  Hope raised                                                                    
approximately $2 million  annually to pay for  the costs. He                                                                    
elaborated that a 2009  legislative research study indicated                                                                    
significant  operating   budget  savings  that   occur  from                                                                    
individuals living in the homes  instead of in institutions.                                                                    
Additionally,  the  legislative research  report  identified                                                                    
billions of  dollars in savings in  potential capital budget                                                                    
expenses. He stressed that the  costs would exist one way or                                                                    
another; Hope's  strategy represented a much  more efficient                                                                    
way of providing services.                                                                                                      
                                                                                                                                
Co-Chair MacKinnon  noted that Representative  Louise Stutes                                                                    
was present in the committee room.                                                                                              
                                                                                                                                
6:32:19 PM                                                                                                                    
                                                                                                                                
CARLA  KIMMEL, EMPLOYEE,  HOPE  COMMUNITY RESOURCES,  KODIAK                                                                    
(via teleconference),  spoke in support of  funding for Hope                                                                    
Community Resources.  The organization believed  the funding                                                                    
would help improve the lives  of its recipients. She relayed                                                                    
that  the  grants  went  to housing  and  group  homes.  She                                                                    
questioned where  the residents would  go if the  funds were                                                                    
not provided.  She stressed that  the recipients  worked and                                                                    
volunteered in  the community. The grants  provided means to                                                                    
improve  homes,  provide  individuals  with  equipment,  and                                                                    
other. The organization  worked with the state  and tried to                                                                    
save money.  Her program  helped children  with disabilities                                                                    
improve their  lives. She stressed  that failing  to provide                                                                    
the funds  would mean residents  would end up on  the street                                                                    
or in institutions. She stressed that it would not be fair.                                                                     
                                                                                                                                
6:34:33 PM                                                                                                                    
                                                                                                                                
GLENDA  FERNANDEZ,  HOPE  COMMUNITY RESOURCES,  KODIAK  (via                                                                    
teleconference), testified  in support  of funding  for Hope                                                                    
Community Resources. She asked  the committee to support the                                                                    
inclusion of  at least $361,000  in the capital  budget. She                                                                    
communicated  that   the  funds  would  help   the  neediest                                                                    
Alaskans statewide. She elaborated  that the majority of the                                                                    
organization's   recipients  had   a  developmental   and/or                                                                    
physical disability; many of  the individuals were children.                                                                    
She stressed  that without the state's  help the individuals                                                                    
and their  families would see substantial  reductions to the                                                                    
quality of life.  She implored the committee  to provide the                                                                    
funding.                                                                                                                        
                                                                                                                                
6:35:54 PM                                                                                                                    
                                                                                                                                
JACKIE  MALUTIN,  HOPE   COMMUNITY  RESOURCES,  KODIAK  (via                                                                    
teleconference),  spoke  in  support  of  funding  for  Hope                                                                    
Community Resources. She shared  some of the activities that                                                                    
she  participated  in  on  a   recent  trip  with  the  Hope                                                                    
Community  Resources  Center.  She  relayed  that  Hope  had                                                                    
helped her grow.                                                                                                                
                                                                                                                                
6:37:20 PM                                                                                                                    
                                                                                                                                
JEFF   GARCIA,  HOPE   COMMUNITY   RESOURCES,  KODIAK   (via                                                                    
teleconference), testified  in support  of funding  for Hope                                                                    
Community  Resources. He  shared that  the organization  had                                                                    
helped him with his needs. He thanked the organization.                                                                         
                                                                                                                                
6:38:15 PM                                                                                                                    
                                                                                                                                
DONNA  MENDIGORIN,  PARENT,   KODIAK  (via  teleconference),                                                                    
spoke  in support  of funding  for Hope  Community Services.                                                                    
She shared  that Hope was able  to help her family.  She was                                                                    
very   thankful   for   the   services   provided   by   the                                                                    
organization.                                                                                                                   
                                                                                                                                
6:39:37 PM                                                                                                                    
                                                                                                                                
CORRIE  DAVIS, DIRECTOR,  COMMUNITY  SUPPORT SERVICES,  HOPE                                                                    
COMMUNITY RESOURCES, KODIAK  (via teleconference), testified                                                                    
in  support of  a  minimum of  $361,000  for Hope  Community                                                                    
Resources.  She  detailed that  the  funding  would pay  for                                                                    
upgrades to state-licensed  residences for disabled Alaskans                                                                    
that the  state had  ordered. The  capital funding  for Hope                                                                    
reduced the  operating budget; funds  were needed  to comply                                                                    
with state and federal  licensing requirements. She stressed                                                                    
that without  capital budget funding Hope  would serve fewer                                                                    
Alaskans;  some  of the  Alaskans  would  require much  more                                                                    
costly  institutional  services   that  would  increase  the                                                                    
operating  budget.  She  underscored that  the  increase  in                                                                    
Medicaid cost  would be immediate if  the residences closed.                                                                    
She  spoke  to  research  showing the  savings  of  services                                                                    
provided  in-home.   She  emphasized  that   stable  housing                                                                    
increased health for people.                                                                                                    
                                                                                                                                
6:42:03 PM                                                                                                                    
                                                                                                                                
PAT  BRANSON, MAYOR,  CITY OF  KODIAK (via  teleconference),                                                                    
spoke  in support  of  $3.5 million  for  the building  road                                                                    
pavement  rehabilitation project  in  Kodiak. She  explained                                                                    
that  there were  over  10,000 vehicle  trips  per day.  She                                                                    
noted that  the funding would  help make the  road drivable.                                                                    
She urged  support of funding  for state transit  money. She                                                                    
detailed that  the transit system used  state matching funds                                                                    
to  operate. She  relayed that  the transit  system provided                                                                    
transportation  for  many  Hope Community  Resources  Center                                                                    
recipients.                                                                                                                     
                                                                                                                                
6:44:07 PM                                                                                                                    
                                                                                                                                
CORRINE FERRE, EMPLOYEE, KODIAK  SOIL AND WATER CONSERVATION                                                                    
DISTRICT, KODIAK  (via teleconference), spoke in  support of                                                                    
funds for  the Kodiak Soil and  Water Conservation District.                                                                    
She  highlighted   that  the  district  worked   with  state                                                                    
agencies   to   provide   cost-effective  soil   and   water                                                                    
management.  Additionally,  the  soil  and  water  districts                                                                    
worked  towards  eradicating  invasive plants.  She  relayed                                                                    
that  the  districts  brought  in  millions  of  dollars  in                                                                    
federal funds;  the small  amount of  funds received  in the                                                                    
capital budget  were necessary matching funds.  She declared                                                                    
that the  districts used funds  to help develop  the state's                                                                    
resources  including agriculture,  mining, reclamation,  and                                                                    
habitat. She shared the districts  had used $51,000 in state                                                                    
funds  to support  projects that  brought  in an  additional                                                                    
$110,000  in grant  funds  to the  community.  She spoke  to                                                                    
other efforts supported by the districts.                                                                                       
                                                                                                                                
6:46:00 PM                                                                                                                    
                                                                                                                                
SONIA  CLARY,  EMPLOYEE,  HOPE COMMUNITY  RESOURCES,  KODIAK                                                                    
(via teleconference),  testified in support of  a minimum of                                                                    
$361,000 for  Hope Community Resources. She  shared that one                                                                    
of the largest benefits of  working for the organization was                                                                    
getting to  meet and know  its recipients. She spoke  to the                                                                    
benefits added  to the community  by the  individuals served                                                                    
by the organization; she could  not imagine life without the                                                                    
individuals. She  stressed the importance of  looking at the                                                                    
"human face" of  the cuts. She asked the  committee to think                                                                    
about  its  neighbors.  She  emphasized  the  importance  of                                                                    
embracing people and their differences.                                                                                         
                                                                                                                                
6:48:08 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
7:04:54 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
^PUBLIC TESTIMONY: STATEWIDE TELECONFERENCE - OFFNET SITES                                                                    
                                                                                                                                
7:05:38 PM                                                                                                                    
                                                                                                                                
HERMAN MORGAN,  SELF, ANIAK (via  teleconference), testified                                                                    
in  support of  funding  for the  Mid-Yukon  Soil and  Water                                                                    
Conservation  District. He  stated that  there were  various                                                                    
types  of  plant life  that  were  getting contaminated.  He                                                                    
referred to  challenges with invasive weeds.  [Note: much of                                                                    
the testimony was indecipherable.]                                                                                              
                                                                                                                                
7:07:17 PM                                                                                                                    
                                                                                                                                
KARA  GROICHER, DIRECTOR,  STANDING  TOGETHER AGAINST  RAPE,                                                                    
ANCHORAGE  (via  teleconference),  testified in  support  of                                                                    
funding   for   sexual   assault   and   domestic   violence                                                                    
prevention. She  shared that the  funding helped  to provide                                                                    
the  most  basic  needs;   without  the  funding  vulnerable                                                                    
members  of the  community would  be in  crisis and  in dire                                                                    
need for services. She detailed  that the funding provided a                                                                    
replacement pair of jeans for  a woman hoping evidence would                                                                    
be  recovered  from  the  ones  she  had  to  leave  behind.                                                                    
Additionally,  it  provided  counseling  services,  a  track                                                                    
phone, and airfare  for a family in crisis  needing a safety                                                                    
plan  and a  new  start in  order  to lead  a  life free  of                                                                    
interpersonal violence.                                                                                                         
                                                                                                                                
7:08:54 PM                                                                                                                    
                                                                                                                                
PINKEY TOOYAK,  VOLUNTEER, ALASKA  CENTER FOR THE  BLIND AND                                                                    
VISUALLY  IMPAIRED, BARROW  (via  teleconference), spoke  in                                                                    
support of $188,000  for repairs and upgrades  to the Alaska                                                                    
Center for the Blind and  Visually Impaired. She shared that                                                                    
in 1983 the legislature  had appropriated funds that enabled                                                                    
the organization  to purchase a building.  The center needed                                                                    
a  roof   replacement  in  addition  to   energy  efficiency                                                                    
repairs.                                                                                                                        
                                                                                                                                
7:10:59 PM                                                                                                                    
                                                                                                                                
SAMANTHA  MINTZ-GENTZ, ADVOCATE,  STANDING TOGETHER  AGAINST                                                                    
RAPE, ANCHORAGE  (via teleconference),  spoke in  support of                                                                    
reinstating  funds  for  the Alaska  Domestic  Violence  and                                                                    
Sexual Assault  Intervention Program. She stressed  that the                                                                    
funds  were  necessary  for   ongoing  support  of  domestic                                                                    
violence  and sexual  assault survivors.  She  spoke to  the                                                                    
tragic repercussions  that interpersonal  violence had  on a                                                                    
person's life. The financial support  offered by the program                                                                    
worked  to  alleviate  the  burden.  She  relayed  that  the                                                                    
program was necessary to ensure  the safety and progress for                                                                    
survivors  in   Alaska.  She  provided  examples   of  women                                                                    
benefitting from the program.  She implored the committee to                                                                    
reinstate funds.                                                                                                                
                                                                                                                                
7:14:20 PM                                                                                                                    
                                                                                                                                
THOMAS    MCKENZIE-CORBITT,    SELF,   CLAM    GULCH    (via                                                                    
teleconference), expressed  support of the  budget decisions                                                                    
of  the committee.  He recognized  that budget  planning was                                                                    
always difficult.                                                                                                               
                                                                                                                                
7:15:14 PM                                                                                                                    
                                                                                                                                
KAREN   GONNE-HARRELL,  CASE   MANAGER,  STANDING   TOGETHER                                                                    
AGAINST RAPE, ANCHORAGE  (via teleconference), spoke against                                                                    
proposed cuts  to  the  Alaska Domestic Violence  and Sexual                                                                    
Assault  Intervention Program.  She  communicated that  STAR                                                                    
had assisted close  to 500 people since  the past September.                                                                    
The program  had paid  for immediate,  safe housing  and had                                                                    
developed a  safety plan. Once  the individuals  were stable                                                                    
they could  begin to heal,  gain employment, and  other. The                                                                    
program helped  relocate and  transport clients,  paid rent,                                                                    
installed  security  systems,  and   other.  She  urged  the                                                                    
committee to not cut the funding.                                                                                               
                                                                                                                                
7:18:01 PM                                                                                                                    
                                                                                                                                
SOMA KLIEMANN, ABUSED WOMEN'S AID  IN CRISIS, ANCHORAGE (via                                                                    
teleconference), spoke  in support  of funds for  the Alaska                                                                    
Domestic Violence  and Sexual Assault  Intervention Program.                                                                    
She shared that  the program provided hope to  people in the                                                                    
community;  it gave  people the  opportunity  to become  and                                                                    
stay safe. Additionally, it provided  people with the chance                                                                    
to find themselves  in a place where they were  no longer in                                                                    
fear and running from an  abuser. The program provided court                                                                    
advocacy,   relocation,  safety   devices,  increased   home                                                                    
security, rent, and other. She  communicated that since 2002                                                                    
the program had provided  16,000 individuals with safety and                                                                    
resources  in  38  communities.   She  emphasized  that  the                                                                    
program  covered the  entire state.  She underscored  that a                                                                    
loss  of the  program would  be devastating.  She asked  the                                                                    
committee to restore the funds.                                                                                                 
                                                                                                                                
7:19:41 PM                                                                                                                    
                                                                                                                                
RICHARD WEBB,  SELF, FOX (via teleconference),  testified in                                                                    
support  of $188,305  for capital  upgrades  for the  Alaska                                                                    
Center  for the  Blind  and Visually  Impaired facility.  He                                                                    
shared that  he had lost  his vision just before  his forty-                                                                    
first birthday; he  had believed his life was  over and that                                                                    
he  could  not  do  anything without  vision.  He  was  very                                                                    
grateful that he  had found the Alaska Center  for the Blind                                                                    
and Visually  Impaired. The  center had  showed him  that he                                                                    
could continue to do the things  he loved to do. He stressed                                                                    
that  the   facility  was  the  only   comprehensive  vision                                                                    
rehabilitation center  in Alaska. He had  traveled 370 miles                                                                    
to the  facility to obtain  the training he  had desperately                                                                    
needed.  He  urged  the committee  to  support  the  capital                                                                    
appropriation.  He  added  that   matching  funds  had  been                                                                    
raised. He stressed that the  facility roof should have been                                                                    
replaced three years earlier.                                                                                                   
                                                                                                                                
7:23:16 PM                                                                                                                    
                                                                                                                                
CHUCK KANCIC, WASILLA SOIL  AND WATER CONSERVATION DISTRICT,                                                                    
WASILLA (via teleconference), spoke  in support of funds for                                                                    
the  Wasilla  Soil  and   Water  Conservation  District.  He                                                                    
detailed  that the  district in  Wasilla was  established in                                                                    
1948  to   advise  residents  and  neighbors   on  the  best                                                                    
conservation management  practices. He  relayed that  in the                                                                    
past year  the district  had been  at a  critical crossroads                                                                    
due to the lack of funding  that had been exacerbated by the                                                                    
current  funding   situation  for  the  upcoming   year.  He                                                                    
communicated  that  the  district budget  leveraged  a  high                                                                    
level  of  federal funds.  He  stressed  that without  state                                                                    
operating funds the  district would not have  the ability to                                                                    
qualify for  federal, state, and  local funds.  The district                                                                    
served  the  Wasilla area  as  a  leader in  community-based                                                                    
salmon   restoration   projects  and   public   conservation                                                                    
outreach. He stated that the  district typically operated at                                                                    
a 25 percent  more efficient level than  the government when                                                                    
planning,  implementing, and  completing projects.  District                                                                    
capital  projects  included  an  ATV  crossing  construction                                                                    
project, Lake  Lucile Park trails upgrade,  salmon education                                                                    
in elementary  schools, and a  fall and  winter conservation                                                                    
series.                                                                                                                         
                                                                                                                                
7:25:21 PM                                                                                                                    
                                                                                                                                
RICK BERNS, MAYOR, CITY OF  OLD HARBOR (via teleconference),                                                                    
testified in  support of  funds for  the Old  Harbor Airport                                                                    
safety  and  expansion  project.   He  elaborated  that  the                                                                    
project would  extend the current  airfield from  2,700 feet                                                                    
to  4,700  feet and  would  remove  side slopes  for  safety                                                                    
purposes.  The community  used a  private-public partnership                                                                    
to advance the  project; it had secured  federal and private                                                                    
contributions  totaling   above  $9  million.   The  largest                                                                    
portion  of  the federal  match  had  been the  construction                                                                    
support from the innovative  readiness training program; the                                                                    
program provided training  opportunities for service members                                                                    
and  units  to  prepare  them  for  wartime  missions  while                                                                    
supporting  the needs  of underserved  communities. All  but                                                                    
40,000 cubic yards  of material had been moved  to the site.                                                                    
He relayed that  the project had not  received state funding                                                                    
the prior year;  $4 million would complete  the drilling and                                                                    
blasting  for the  project and  a  minimum appropriation  of                                                                    
$2.5 million in  FY 16 would provide  sufficient funding for                                                                    
construction   oversight,  monitoring,   and  drilling   and                                                                    
blasting.                                                                                                                       
                                                                                                                                
7:28:24 PM                                                                                                                    
                                                                                                                                
MIKE  WOOD, PRESIDENT,  BOARD  OF  SUSITNA RIVER  COALITION,                                                                    
CHASE  (via  teleconference),   spoke  against  the  Susitna                                                                    
Hydroelectric Project.  He did  not believe the  project was                                                                    
necessary to  solve Alaska's energy needs.  Additionally, he                                                                    
stated  that  the project  would  endanger  a viable  salmon                                                                    
river.  He   asked  the   committee  to   reappropriate  the                                                                    
remaining funds from  the project for use  on more important                                                                    
items. He  noted that  federal matching  money needed  to be                                                                    
returned.  He  opined that  much  better  solutions [to  the                                                                    
state's energy problems] existed.                                                                                               
                                                                                                                                
7:30:34 PM                                                                                                                    
                                                                                                                                
JEFF  SMEENK,  DISTRICT  MANAGER,   PALMER  SOIL  AND  WATER                                                                    
CONSERVATION   DISTRICT,    PALMER   (via   teleconference),                                                                    
advocated  for   funding  for  the  Alaska   Association  of                                                                    
Conservation  Districts.   He  stressed  that   funding  the                                                                    
organization was  an incredible  investment of  state funds.                                                                    
He relayed that the  organization was lean. The organization                                                                    
focused   on  the   sustainable   development  of   Alaska's                                                                    
resources; it  had a great  knowledge base.  He communicated                                                                    
that  on   agricultural  related   issues  many   times  the                                                                    
districts were the "go-to" organization  for the Division of                                                                    
Agriculture  and  the   University's  Cooperative  Extension                                                                    
Service.  He  noted  that   the  districts  were  relatively                                                                    
autonomous  and  focused on  the  issues  important to  each                                                                    
region.  The   Palmer  district   had  elected  to   make  a                                                                    
significant  investment  in   the  technology  of  precision                                                                    
agriculture. He  believed the work would  help the community                                                                    
and the Department of  Transportation and Public Facilities'                                                                    
mission to  control invasive weeds  along the  roadsides. He                                                                    
relayed  that  the  organization   used  state  funds  as  a                                                                    
multiplier for federal grants.                                                                                                  
                                                                                                                                
7:32:59 PM                                                                                                                    
                                                                                                                                
NANCY  ANDERSON, DEPARTMENT  OF HEALTH  AND HUMAN  SERVICES,                                                                    
MUNICIPALITY  OF ANCHORAGE  (via  teleconference), spoke  in                                                                    
support   of  funding   for  domestic   violence  prevention                                                                    
programs. She  asked the committee to  consider an increment                                                                    
for $850,000 to continue to  fund the program that partnered                                                                    
with agencies such as STAR,  AWAIC, Victims for Justice, the                                                                    
Alaska  Police Department,  and  the municipal  prosecutor's                                                                    
office.  She   detailed  that  the  program   had  decreased                                                                    
recidivism  by almost  50 percent.  As  a result,  it had  a                                                                    
significant  cost savings.  She discussed  that the  program                                                                    
gave  a message  to  offenders that  the  state took  sexual                                                                    
assault and domestic violence seriously;  if an offender was                                                                    
arrested and  convicted they would  be held  accountable for                                                                    
following  conditions.  She  noted   that  the  state  funds                                                                    
accounted for  approximately 46 percent of  the program; the                                                                    
other  54 percent  was provided  by  the police  department,                                                                    
Municipality of Anchorage  prosecutor's office, STAR, AWAIC,                                                                    
and  Victims  for  Justice.  She   urged  the  committee  to                                                                    
continue funding the program.                                                                                                   
                                                                                                                                
7:36:07 PM                                                                                                                    
                                                                                                                                
JOHN   FULTON,    MANAGER,   BRISTOL   BAY    BOROUGH   (via                                                                    
teleconference),  testified in  support of  the bill  in its                                                                    
current  form.  He explained  that  Naknek  was located  297                                                                    
miles  Southwest  of  Anchorage  and is  the  heart  of  the                                                                    
Bristol   Bay  Sockeye   fishery.   He   relayed  that   the                                                                    
community's sewer system served  a large population increase                                                                    
in the summer  months as a result of the  salmon fishery. He                                                                    
detailed  that the  community owned  and operated  the sewer                                                                    
system  that  was  over  30  years  old.  He  spoke  to  the                                                                    
increased  demand   on  the  system   over  the   years.  He                                                                    
elaborated that in 2007 there had  been a major break in the                                                                    
sewer system; had  it occurred during the  fishery season it                                                                    
would have  been disastrous. The  current bill  provided the                                                                    
necessary funding  to address the borough's  needs. He urged                                                                    
the committee to maintain the funding at its current level.                                                                     
                                                                                                                                
7:38:12 PM                                                                                                                    
                                                                                                                                
SURGE  KULIKOV,  SERVICE   ADVOCATE,  STAR,  ANCHORAGE  (via                                                                    
teleconference), spoke in support  of funding for the Alaska                                                                    
Domestic   Violence  and   Sexual  Assault   and  Prevention                                                                    
Project. He  stressed that the  project helped  many victims                                                                    
of sexual  assault and domestic  violence; he  had witnessed                                                                    
how the  project had changed  and saved lives.  He discussed                                                                    
that  it was  difficult to  get out  of abusive  and violent                                                                    
situations  and the  project helped  the  victims get  their                                                                    
lives  back. He  elaborated that  the project  helped create                                                                    
new  lives; its  continuous funding  would continue  to help                                                                    
victims  and  their families.  He  shared  that the  funding                                                                    
would help  the recipients  become participating  members of                                                                    
the  community.  He  implored   the  committee  to  continue                                                                    
funding the project.                                                                                                            
                                                                                                                                
7:39:34 PM                                                                                                                    
                                                                                                                                
CHRIS   REITAN,   GALENA   SCHOOL  DISTRICT,   GALENA   (via                                                                    
teleconference),  spoke in  support  of  funding for  school                                                                    
construction  and major  maintenance. He  commended the  job                                                                    
done by the legislature and  former governor during the 2014                                                                    
legislative session  related to education  funding. However,                                                                    
one area that  had not been addressed was  the Department of                                                                    
Education  and Early  Development's major  maintenance grant                                                                    
fund. He noted that the  four-year funding average for major                                                                    
maintenance  from FY  11  to  FY 14  was  $22.9 million.  He                                                                    
elaborated that  no money had  been appropriated  during the                                                                    
FY 15  budget cycle.  He explained  that $13.49  million had                                                                    
been  included  for  the  item  in  the  governor's  amended                                                                    
capital budget. He requested that  the FY 16 capital project                                                                    
budget contain  some money for  the major  maintenance grant                                                                    
fund in  order to  begin addressing major  maintenance needs                                                                    
of  school districts.  He detailed  that  the fund  provided                                                                    
school districts with  a credible and viable  way to address                                                                    
infrastructure  needs  to   support  core  academic  program                                                                    
needs.                                                                                                                          
                                                                                                                                
7:41:33 PM                                                                                                                    
                                                                                                                                
LOUIE  FLORA, LEGISLATIVE  LIAISON,  ALASKA  CENTER FOR  THE                                                                    
ENVIRONMENT  AND  ALASKA  CONSERVATION VOTERS,  JUNEAU  (via                                                                    
teleconference), spoke in support  of the inclusion of funds                                                                    
for  the Alaska  Housing Finance  Corporation Weatherization                                                                    
and  Energy  Rebate   Program.  Additionally,  he  requested                                                                    
consideration  of the  inclusion  of  Renewable Energy  Fund                                                                    
projects. The  organizations appreciated  the work  that had                                                                    
gone into the  budget and understood that  Alaskans would be                                                                    
asked to  tighten their belts collectively.  He relayed that                                                                    
the energy  efficiency programs  had assisted  many Alaskans                                                                    
at  many   income  levels  to  achieve   upgrades  to  their                                                                    
residences; as a result the  work had decreased home heating                                                                    
usage.  He  stated  that  the programs  were  good  for  the                                                                    
environment and  for the economy. The  Renewable Energy Fund                                                                    
had been  a successful model  and had displaced  millions of                                                                    
gallons  of diesel  generation per  year. The  organizations                                                                    
would  like  to  see  the programs  continue  in  order  for                                                                    
projects  in  phased  completion could  work  towards  final                                                                    
completion.                                                                                                                     
                                                                                                                                
Co-Chair  MacKinnon CLOSED  public testimony.  She discussed                                                                    
the agenda for the following day.                                                                                               
                                                                                                                                
SB  26  was   HEARD  and  HELD  in   committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
7:45:02 PM                                                                                                                    
                                                                                                                                
The meeting was adjourned at 7:45 p.m.                                                                                          
                                                                                                                                
                                                                                                                                

Document Name Date/Time Subjects
SB 26 AHFC Senior Housing Resolution 2015.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Senate Finance SB26 Senior Housing.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Testimony International Union of Operating Engineers.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Colonell UA Engineering Letter.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Skladal - Engineering and Innovation Facility.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Stokes - Completion Funding of UA Engineering Buildings.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Strid - UA Engineering Initiative.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Zielinski - Peak Support of University of Alaska Funding.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB26_Dherzog_ UAS Engineering Initiative.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 - Testimony for DDCC - Denali Deaf Community Center.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Bishop - UAF Engineering Facility.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Hughes - Support of UA Engineering Initiative in FY 16 State Capital Budget (SB26).pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Pond.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Summerville - UAF's Engineering Building.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Akelkok Bristol Bay Housing Authority Capitol Budget testimony 4 6 2015.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Hennigh - Waterfall Creek Hydroelectric Project.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Kari - Support UAF CEM Funding.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Messerschmidt - Capital Budget Requests.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Smith - Capital Budget.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Page - Marine Exchange of Alaska.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Page - Marine Exchange of Alaska.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Tanana Chiefs Conference.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Alverez - Fund Schools - Keep your promise HB278.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 DeMare - Deanli Deaf Community Center support.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Klug - UAF Engineering Building-Time To Complete What's Been Started.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Woods - Senate Finance Capital Budget Testimony.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Soderholm - Denali Deaf Community Center - Final Phase III.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 Public Testimony Johnson.pdf SFIN 4/6/2015 9:00:00 AM
SB 26
SB 26 04-02-2015 NWALT LOS Kivalina.pdf SFIN 4/6/2015 9:00:00 AM
SB 26