GENERAL OBLIGATION BONDS Co-Chair Mulder noted that there were $1.4 billion dollars in general obligation (GO) bond requests. The attorneys indicated that they could not be included in one ominous bond bill. The intent was to use as few vehicles as possible and identify consistent themes. He observed that HB 524 contains GO bonds for new schools and university construction. House Bill 525 contains GO bonds for deferred maintenance of public facilities. Bond debt reimbursement was used for projects that did not fit into a GO bond package, because they were previously leveraged [HB 528]. Representative Lancaster's energy bill [HB 175] was utilized for the final component. House Bill 524 and HB 525 would appear on the November general election ballot. Co-Chair Mulder observed that projects were prioritized. The priority lists were strictly used with one exception. In new school construction, out of the first six schools: three were in [Representative Kaspner's] district and three were in Representative Foster's district. The proposed committee substitute took the first two [in Representative Kaspner's district] and the first two from Representative Foster's. HOUSE BILL NO. 528 "An Act relating to programs of state reimbursement for debt payments for certain capital projects; and providing for an effective date." Co-Chair Mulder reviewed House Bill 528, which provides state reimbursement to local entities for debt incurred for schools and projects that contribute to economic development. The legislation would replace the debt reimbursement package (adopted two years earlier) with Unalaska, Akutan, Chignik and False Pass and expansion of the Port of Anchorage. The total cost would be $70,405,000 dollars. The legislation also contains funding for power projects, which have been previously leveraged and are therefore not eligible for GO bonding. The legislation would provide debt reimbursement for the following energy projects: Nyman Combined Cycle Cogeneration Plant in Kodiak; the Power Creek Hydropower Project in Cordova; the Cogeneration Project in Valdez; and the Southeast Intertie (Swan Lake to Lake Tyee). Debt reimbursement would allow Cordova Electric Cooperative to end its draw on the power cost equalization program. Representative John Davies referred to section 1, line 7. He noted that the authorization would be increased to $10 million dollars, but the school only anticipates a need for $7 - $8 million dollars. Co-Chair Mulder noted that the combined state/local share is $10 million dollars. The state share for the Ambler School is $7 million dollars. Representative Davies referred to section 2 on page 4. TAPE HFC 02 - 98, Side B  Co-Chair Mulder clarified that Valdez and Nome are still authorized; these two communities are still going forward with debt reimbursement. Representative Croft questioned if the Akutan Small Boat Harbor request is $3 or $4 million dollars. Co-Chair Mulder noted that it was originally submitted at $3 but that the backup indicated that the amount needed is $4 million dollars. Co-Chair Mulder clarified that the Anchorage port needs $14 - $16 million dollars. HB 528 was heard and HELD in Committee for further consideration.