HB 455 - APPROP: GOVERNOR'S SUPPLEMENTAL Co-chair Pearce directed that CSHB 455 (Fin)am be brought on for discussion and referenced a work draft SCS CSHB 455 (Finance) (8-GH2040\X, Cramer/Utermohle, 5/10/94). Co-chair Frank further referenced a May 10, 1994, memorandum (copy on file) listing reductions to the House bill reflected in the above work draft. He then enumerated the reductions. Speaking to selected, specific reductions, Senator Frank explained that the reduction in general relief medical is intended to place additional pressure on the Dept. of Health and Social Services. Funding to the Alaska Psychiatric Institute was reduced by the amount of new federal disproportionate share moneys ($400.0). The Harborview Development Center request for certification was not funded. Fire suppression was also reduced by ($400.0), since the request represents an estimate of what might be needed. Funding of $200.0 for Spring Creek Correctional Center was deleted because new money for new beds was not included in the operating budget. Deletion of $36.7 for air quality/solid waste management reflects prior intent language asking that the Dept. of Environmental Conservation cover small appropriation items within its existing budget. Deletion of $163.9 for Spring Creek Correctional Center relates to settlement of litigation involving the canine unit. Co-chair Frank voiced his understanding that department staff sought overtime pay for voluntarily taking department dogs home with them and caring for them overnight. The Co-chair recommended that the settlement not be funded. The $50.0 reduction to family and youth services within the Dept. of Health and Social Services was made because the supplemental request was small in comparison to the overall department budget. In his concluding remarks, Co-chair Frank referenced a proposed amendment by Senator Jacko for funding for RATNET. Co-chair Frank MOVED for adoption of the work draft X version of SCS CSHB 455 (Finance). No objection having been raised, SCS CSHB 455 (Finance) was ADOPTED. Co-chair Frank then MOVED for adoption of Amendment No. 1 appropriating $55,000 in general funds to the Dept. of Administration for operating costs of the Rural Alaska Television Network for the fiscal year ending June 30, 1994. No objection having been raised, Amendment No. 1 was ADOPTED. Co-chair Frank then MOVED, as Amendment No. 2, reinstatement of the $163,861 in general funds for settlement of canine unit overtime litigation. Senator Rieger asked if funding of a court settlement is different than funding for labor agreements in that the Dept. of Corrections would have to pay the settlement even if the legislature does not appropriate the funds. Co-chair Frank concurred in that understanding but advised that he would conduct additional research prior to a floor vote on the bill. He acknowledged his preference for denying the funding. Co-chair Pearce voiced her understanding that the pending motion would reinstate the following Sec. 51 language from the House bill: The sum of $163,861 is appropriated from the general fund to the Department of Corrections for settlement of the canine unit overtime litigation for the year ending June 30, 1994. Senator Sharp voiced his preference for removal of the appropriation if the settlement is found to be something the state does not have to pay. Co-chair Pearce called for a show of hands on Amendment No. 2. The motion CARRIED with no opposition, and the amendment was ADOPTED. Co-chair Frank MOVED that SCS CSHB 455 (Finance) pass from committee with individual recommendations. No objection having been raised, SCS CSHB 455 (Finance) was REPORTED OUT of committee with a unanimous "do pass" recommendation. ADJOURNMENT Co-chair Pearce extended her thanks and appreciation to committee members and staff for the cooperative working relationship during the past two sessions. The meeting was adjourned at approximately 1:15 p.m.