Legislature(1993 - 1994)
04/13/1993 10:38 AM Senate HES
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* first hearing in first committee of referral
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SENATE HEALTH, EDUCATION AND SOCIAL SERVICES COMMITTEE
April 13, 1993
10:38 a.m.
MEMBERS PRESENT
Senator Steve Rieger, Chairman
Senator Bert Sharp, Vice-Chairman
Senator Loren Leman
Senator Mike Miller
Senator Jim Duncan
Senator Judy Salo
MEMBERS ABSENT
Senator Johnny Ellis
COMMITTEE CALENDAR
SJR 30 (SCHOOL CONSTRUCTION & MAINTENANCE FUND) WAS
SCHEDULED BUT NOT HEARD THIS DATE.
SENATE BILL NO. 59
"An Act relating to school construction grants and major
maintenance grants to school districts; providing for school
district participation in the cost of school construction
and major maintenance; creating a major maintenance grant
fund; and providing for an effective date."
SENATE BILL NO. 60
"An Act making appropriations for construction and major
maintenance of schools; and providing for an effective
date."
SENATE BILL NO. 180
"An Act relating to reimbursement of school construction
debt; and providing for an effective date."
SENATE BILL NO. 181
"An Act relating to grants for school construction; and
providing for an effective date."
PREVIOUS SENATE COMMITTEE ACTION
SJR 30 - No previous action to record.
SB 59 - See HESS minutes dated 2/3/93 and 2/10/93.
SB 60 - See HESS minutes dated 2/3/93 and 2/10/93.
SB 180 - No previous action to record.
SB 181 - No previous action to record.
ACTION NARRATIVE
TAPE 93-35, SIDE A
Number 001
CHAIRMAN RIEGER called the Senate Health, Education and
Social Services (HESS) Committee to order at 10:38 a.m. He
said there are four bills scheduled, SB 59, SB 60, SB 180,
and SB 181. He said it is not his intention to move SJR 30.
The first piece of legislation to come before the committee
was SB 60 (APPROP:SCHOOL CONSTRUCTION GRANT FUND). CHAIRMAN
RIEGER said there is a HESS committee substitute. SENATOR
MILLER moved to adopt CSSB 60 (HES). Hearing no objection,
the motion carried. SENATOR SALO said she has a proposed
amendment to delete on page 2, lines 4 through 25, and
replace it with "Kenai Peninsula Borough Schools - Tustumena
addition $3,850,000" and "Kenai Peninsula Borough Schools -
Kenai Elementary $7,400,000." Chairman Rieger asked if
there was an objection to the amendment. Hearing none, the
amendment was adopted.
Number 055
SENATOR MILLER moved to pass CSSB 60 (HES), as amended, out
of committee with individual recommendations and with the
accompanying fiscal notes. There being no objection, it was
so ordered.
Number 062
The next order of business was SB 59 (SCHOOL CONSTRUCTION &
MAINTENANCE GRANTS) SENATOR MILLER moved to adopt CSSB 59
(HES). Hearing no objection, the motion carried. CHAIRMAN
RIEGER noted that the provisions of the Department of
Education which were suspended did not extend to the
matching grant provision. A matching grant is still
required. The prioritization measures are suspended.
There being no testimony on the measure, SENATOR MILLER
moved to pass CSSB 59 (HES), out of committee with
individual recommendations and accompanying fiscal notes.
Hearing no objection, the motion carried.
Number 088
The next piece of legislation the committee heard was SB 180
(SCHOOL CONSTRUCTION DEBT REIMBURSEMENT). CHAIRMAN RIEGER
said the bill would reinstate a 70 percent of debt service
reimbursement. He said SB 180 and SB 181 are one of two
alternatives being sent to the Senate Finance Committee for
consideration. The other two bills are the capital grant
bills.
SENATOR SALO referred to page 4 and said there is a new
Section 5 that deals with prior debt. She asked how it
would work. CHAIRMAN RIEGER said the idea is that there
would be a limit on bonded indebtedness which is based on
the population of that municipality. The limitation on
bonded indebtedness would be higher as the population of the
community was larger. The amount of debt which would count
would be all other G.O. debt and the portion of school
construction G.O. debt which is not eligible for
reimbursement.
Senator Salo asked what the reason was for including other
municipal debt. Chairman Rieger said it is his
understanding that the concern is the overall debt burden on
a municipality. To have a program that speaks to school
debt in isolation, without consideration of the other debt
of that municipality, could lead a municipality into fiscal
trouble.
SENATOR MILLER said he believes it was the intent of the
sponsor to control debt statewide. Even if a municipality
does issue debt, the state would probably have to step in
and pick it up as there is probably that moral obligation
for the debt.
CHAIRMAN RIEGER referred to Section 3, "In evaluating the
projects, the department shall consider at least the
following factors," and said he would like to amend that
wording to make it absolutely clear that the ranking of
priorities are not absolute. He said it might be better for
it to be an intent statement. Chairman Rieger offered the
following amendment:
Page 5, lines 7 and 8, replace "at least" with "all of."
Chairman Rieger said he thinks it would make it clear that
all of the factors are to be considered.
SENATOR LEMAN also offered to change "alternate" on page 5,
line 15, to "alternative."
CHAIRMAN RIEGER asked if there was an objection to the
proposed amendment. Hearing none, the motion carried.
Number 194
SENATOR MILLER moved to pass SB 180, as amended, out of the
Senate HESS Committee with individual recommendations, and
with accompanying fiscal notes. There being no objection,
it was so ordered.
Number 202
The last order of business was SB 181 (SCHOOL CONSTRUCTION
GRANTS). CHAIRMAN RIEGER referred to page 3, line 3, and
moved to delete "at least" and replace it with "all of." He
also moved that on page 3, line 9, delete "alternate" and
replace with "alternative." Hearing no objection, the
motion carried.
SENATOR LEMAN said at the previous meeting on the bill he
distributed a proposed amendment for page 2, lines 11
through 17. The amendment was suggested by an engineer from
Anchorage. He noted he hasn't had a chance to speak to the
bill drafter. The amendment would provide that the
department shall determine where standard specifications are
applicable and if the school district wishes to exceed that,
they may do so at their expense.
CHAIRMAN RIEGER said that the concern is probably addressed
on page 1, where it makes it clear that the department shall
disallow project budgets for things which do not meet the
design criteria.
SENATOR SALO said she thinks the problem is on page 2,
Section 4 of the bill. She said she agrees that we
shouldn't be building outlandishly expensive or fancy
schools. She said she thinks there will be a problem with a
standard design. Standard specifications are probably a
better approach than a standard design. There has to be
some flexibility because we will find that the same design
doesn't work in all areas of the state as Alaska is too vast
to have a standard design.
CHAIRMAN RIEGER suggested changing page 2 lines 13 through
16 to say "standard and regional school design
specifications shall be developed..." He said also
suggested changing line 16 to say "for which standard
regional school design specifications are applicable."
SENATOR SALO moved the amendment. Hearing no objection, the
motion carried.
SENATOR LEMAN noted that DOT/PF currently has standing
specifications for construction projects in the state. It
doesn't mean that you have to use and always follow the
standard specifications. They become a guideline and, in
many cases, they are adopted in the contract documents. He
said the amendment addresses a number of his concerns.
There being no objection to the amendment, it was adopted.
Number 287
SENATOR MILLER moved to pass CSSB 181 (HES), out of
committee with individual recommendations and with the
accompanying fiscal notes. CHAIRMAN RIEGER objected. He
said he is willing to see the accompanying fiscal notes
moved with the bill, but believes the fiscal notes are
totally unacceptable. He removed his objection. So CSSB
181 (HES,) moved out of committee with individual
recommendations.
Number 303
CHAIRMAN RIEGER adjourned the meeting at 10:55.
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