SENATE BILL NO. 142 "An Act making appropriations, including capital appropriations, supplemental appropriations, reappropriations, and other appropriations; making appropriations to capitalize funds; and providing for an effective date." 1:36:49 PM ^PUBLIC TESTIMONY 1:36:49 PM KEN KOELSCH, MAYOR, CITY AND BOROUGH OF JUNEAU, spoke in favor of the Juneau Access Project. He remarked that the project was fully-funded, and ready to advance. He pointed out the dedication of many Alaskans across the state. He stated that a recent McDowell Survey saw a 15 percent advantage over those that were opposed to the project. He remarked that the project would provide a long-term benefit. He stated that the project would connect to other Alaskans, and connect to a road system. He stated that it would open new markets for natural resources and other markets. 1:37:54 PM LISA VON BARGEN, BOROUGH MANAGER, WRANGELL (via teleconference), shared that a large area that was lead- contaminated. She stated that it was the intent to originally send the contaminated materials off of the site. She stated that the solution met regulatory requirements, but the area was a prime recreation and tribal area. She remarked that it was chemically stabilized, but water infiltration could introduce the material into the ecosystem. She spoke in support of $5 million to move the materials offsite. She encouraged the committee to add that funding to the budget. 1:40:44 PM JOHN MOOSEY, BOROUGH MANAGER, MATSU (via teleconference), spoke in support of the Willow Library Community Center upgrade. He stated that the center was a hub of activity for Willow. He stated that the center received funding from various organizations. He stressed that the small inclusion would enhance the library center. 1:41:46 PM MIDGI MOORE, SELF, JUNEAU, testified in support of funding for the tourism industry. She felt that having a voice for her business and industry was essential to her success. She remarked that because of the partnerships with organizations for marketing in town increased attention to her business on an international level. She stressed that the tourism industry needed assistance, and remarked that all people in the industry benefited from that funding. She remarked that her business supported approximately $100,000 in food in Juneau. She stressed that it was important to tell Alaska's story. She encouraged returning the $3 million into the budget. 1:44:13 PM LANCE JOHNSON, NORTON SOUND HEALTH CORPORATION, NOME (via teleconference), spoke in support of the 40-year grant program for substance abuse treatment programs. He also spoke in support of the FY 18 Medicaid supplemental request. He remarked that there was a substance abuse and opioid abuse issue across the state. He remarked that there was a lack of services to address those issues. He stated that the rural community of Nome only had an outpatient treatment center. He remarked that inpatient services on the road system had long waiting lists. 1:45:59 PM ROSEMARY HAGEVIG, VICE-PRESIDENT, FIRST THINGS FIRST, JUNEAU, spoke in support of the Lynn Canal Highway and Juneau Access. She hoped that the funding from the previous year would be reinstated. She stated that the Juneau Access Project would decrease the pressure on the Alaska Marine Highway System. She felt that the project would remove ferry stops in the Lynn Canal. She announced that the funding would help with federal match funds. 1:48:10 PM POLLY-BETH ODOM, DAYBREAK, MATSU (via teleconference), testified in support of adding funding for the remainder of the Medicaid supplemental FY 18 request. She remarked that her organization provided services for 110 Alaskans with a staff of 13 people. She shared that she was prepared to lay off staff and postpone services until July 1. She remarked that she had worked to be fiscally responsible. She stated that her organization had a grant cut by 30 percent, so she depended on Medicaid to provide services for the clients. She remarked that she served some of the most vulnerable people in the state. 1:51:13 PM MURRAY WALSH, SELF, JUNEAU, spoke in support of the Juneau Access Project. He stated that there was always a hope to finally build the road. He felt that the road would benefit those who could not afford to pay for travel. He also asserted that the road had environmental benefits. 1:52:43 PM SCOTT BELL, UNIVERSITY OF ALASKA FAIRBANKS, FAIRBANKS (via teleconference), spoke in support of voiced support for University of Alaska (UA) maintenance funding. He stressed that capital budget funding was important for maintenance funding. He stated that the university was working to decrease their spending, but stressed the importance of maintaining the structural integrity of the university buildings and facilities. 1:54:56 PM CHRIS DIMOND, UNION REPRESENTATIVE, BUILDING TRADES, JUNEAU, spoke in support of the Juneau Access Project. He remarked that there were many projects that provided economic viability to the state. He remarked that he had heard many conversations about connecting Juneau to the rest of the state. He stated that the project would put many construction workers back to work. He asserted that there were many workers that were moving to work in other states. 1:57:32 PM CAROLINE VENUTI, KACHEMAK BAY CAMPUS OF UAA, HOMER (via teleconference), voiced support for University of Alaska funding. She stated that UA was already facing a $1 million backlog. She stressed that the money was needed for maintenance. She remarked that there was an urgent health and safety element to maintaining the UA buildings and facilities. She remarked that the funding would help to leverage federal funds. 1:59:53 PM SERENE HUTCHINSON, GENERAL MANAGER, JUNEAU TOURS, JUNEAU, spoke in support of tourism funding. She stated that her company was not associated with the cruise lines. She remarked that Alaska Travel Industry Association (ATIA) was essential to her business's marketing endeavors. She remarked that tourism touches everyone. She stated that her company focused on marketing. She stated that the cruise ship industries would invest in destinations who would invest in themselves. She felt that reality television should not be the only way that people can see Alaska. 2:02:14 PM KATE FINN, SELF, HOMER (via teleconference), spoke against SB 198. Co-Chair MacKinnon stated that the meeting was for SB 142. Ms. Finn stated that she was against funding for the long- acting contraception funding. She shared that she had observed four hours of testimony, and felt that the bill was a suboptimal revision. She stated that those who were implementing the study would be voluntary, but it was not outlined in the bill. She stated that the bill did not have the specifics around the intent. She felt that there would be litigation. Co-Chair MacKinnon announced the funding was in SB 142, but SB 198 was not before the committee. 2:04:58 PM BECKY HULTBERG, ALASKA STATE HOSPITALS AND NURSING HOMES, ANCHORAGE (via teleconference), spoke in support of Medicaid supplemental funding. She understood the concert over costs, but felt that short funding would cause significant destruction for the health care system. 2:06:33 PM LESLIE JACKSON, KETCHIKAN GATEWAY BOROUGH TRANSIT, KETCHIKAN (via teleconference), requesting the state transit match funding. The funding allowed for matching grant funds. She stated that the funding would allow for the purchase of heavy duty buses. She remarked that the state match would improve the transit project and programs. She stated that tourists and residents utilized the transit system. 2:08:01 PM DAN JOHNSON, SELF, FAIRBANKS (via teleconference), spoke in support of Code Blue funding. He stated that the funding would be used to match all potential funding sources. He stated that without the funding the state would face failing infrastructure in the Department of Health and Social Services (DHSS). He stated that the collaborative process included a prioritized list of equipment requests that were funding by Code Blue funding and funding from other sources. He stated that the Code Blue program used funding from various sources. He stressed that the $500,000 was essential for leveraging matching funds. Co-Chair MacKinnon stated that Code Blue funding was included in the current proposal. 2:10:35 PM CHRIS GUNDERSON, DENALI FAMILY SERVICES, ANCHORAGE (via teleconference), spoke in support of including the funding for the FY 18 Medicaid supplemental funding. He stated that he worked with some children who had been sexually abused. He remarked that they were the most vulnerable and the most in need of services. He stressed that it was the responsibility of the state to pay for those services. He stated that the payments were done through the Medicaid program. He remarked that without Medicaid, there was no way to pay for the services. 2:12:37 PM CHARLES MCKEE, SELF, ANCHORAGE (via teleconference), remarked that he had submitted paperwork about subsidiaries. He pointed out that he was a part owner of the legal entities (Alaska). 2:15:35 PM SHAWN SHOTWELL, DIRECTOR, SENIOR DISABILITY SERVICES, COMMUNITY CONNECTIONS, ANCHORAGE (via teleconference), spoke in support of the Medicaid supplemental funding. He remarked that the elderly in the state relied heavily on funding, because they were in long-term care. He stated that community based services providers were already experiencing financial stress. 2:17:03 PM TOM CHARD, EXECUTIVE DIRECTOR, ALASKA BEHAVIORAL HEALTH ASSOCIATION, JUNEAU (via teleconference), spoke in support of the Medicaid supplemental funding. He also testified in support of funding for the substance abuse treatment grant program. He remarked that behavioral health providers relied on the funding. 2:18:53 PM BRUCE HILTON, CFO, DENALI FAMILY SERVICES, ANCHORAGE (via teleconference), spoke in support of reinstating funding for the Medicaid supplemental funding. He remarked that his organization worked with those who experience childhood abuse or neglect. He stated that his organization only had approximately 24 days of cash on hand. He stated that the cost of services was not substantial. 2:20:45 PM COLEEN DUSHKIN, ADMINISTRATOR, ASSOCIATION ALASKA HOUSING AUTHORITIES, ANCHORAGE (via teleconference), spoke in support of housing assistant grant programs. She stated that there was a difficult funding environment. She remarked that the Alaska Regional Housing Authority employed 1400 full-time jobs. She furthered that the Supplemental Housing Development program provided an additional boost to struggling economies across the state. She stated that the program provided housing assistance and improved accessibility in their homes. She stated that the weatherization program provided cost-effective savings to reduce operating costs and improved residential health. 2:23:31 PM JOHN RODDA, VICE-PRESIDENT, ARCTIC WINTER GAMES, ANCHORAGE (via teleconference), spoke in support of the $37,500 for the Department of Commerce, Community and Economic Development (DCCED) Arctic Winter Games. 2:24:38 PM AT EASE 2:25:47 PM RECONVENED 2:26:33 PM Mr. Rodda shared the interlocking links of the Arctic Winter Games. He stated that the games had many communities in Alaska. He felt that the games would provide youth with experience with other countries and cultures. He stressed that the games provided integrity and access to personal and community development. He stated that Alaska was one of the founding partners of the Arctic Winter Games. He stated that Alaska was the only one in the games who did not provide annual funding from their government. 2:29:32 PM KRISTIN BUSH, SELF, EAGLE RIVER (via teleconference), spoke in support of funding for community patrol. She felt that crime had increased since the passage of previous legislation SB 91. She felt that the $500,000 could be used for community patrol. She stated that the patrol would make criminals think twice before entering areas with community patrol. She felt that there was frivolous funding like the Vitamin D Study. Co-Chair MacKinnon announced that the vitamin D fiend was not in the current budget. 2:32:02 PM MIKE POWERS, FOUNDATION HEALTH PARTNERS, FAIRBANKS (via teleconference), spoke in support of reinstating the supplemental Medicaid funding. He remarked that the care providers in Fairbanks had a mission to accept Medicaid funding. He remarked that there was a strong Native partnership within his organization. He stated that there was a compact with tribal health organizations that was the right thing for the state to provide 100 percent of health care coverage. He felt that timely Medicaid payments would allow for patients to continue to receive treatment. 2:34:44 PM CLIFF COOK, EAGLE COMMUNITY PATROL, EAGLE RIVER (via teleconference), spoke in support of the community patrol funding. He stated that the funding would be a cost- effective investment to help fight crime. He stated that there were three volunteers who had patrolled the community. He added that he had also used much of his own money to help assist in the patrol. He remarked that there was a hope to get more equipment, and felt that volunteers should not pay completely out of pocket. He remarked that there were many reports of theft and burglary. He remarked that the volunteer patrol was the first to call 9-1-1 at the sound of gun shots. He furthered that there were observations and reports of suspicious activity. 2:38:09 PM QUITIN BROWN, SELF, ANCHORAGE (via teleconference), spoke in support of funding for tourism marketing. He stressed that not funding tourism funding was like "removing a limb." He shared the benefits of tourism to the state. He remarked that each visitor to the state spends an average of $1000 each. He stressed that many jobs were directly related to tourism. 2:40:37 PM VANESSA JUSCZAK, DENALI CHAMBER OF COMMERCE, HEALY (via teleconference), testified in support of funding for tourism marketing. She felt that the word of mouth helped tourism, but stressed that the states that had decreased their tourism funding saw a reduction in tourism. 2:41:45 PM Co-Chair MacKinnon announced that anyone who signed up prior to 2:45pm would be heard. Sign-ups would cease after 2:45. 2:42:15 PM SARAH LEONARD, PRESIDENT, ALASKA TRAVEL INDUSTRY ASSOCIATION, ANCHORAGE (via teleconference), spoke in support of funding for tourism marketing. She stated that it was essential to the state's tourism industry. ANGIE FLICKINGER, WRANGELL COOP ASSOCIATION, WRANGELL (via teleconference), spoke in support of funding for the clean up of the oil spill. She stated that the funding would help to keep the chemicals from contaminating the water system. She stated that there was a significant decline in animals near the watershed. 2:45:18 PM ESTHER ASHTON, TRIBAL ADMINISTRATOR, WRANGELL COOP ASSOCIATION, WRANGELL (via teleconference), spoke in support of the junk yard clean up in Wrangell. She stated that the junk yard was in a residential area and across the street from the ocean. She remarked that the community was attempting to clean up the lead contaminated soil. She shared that Department of Environmental Conservation (DEC) would move the soil to a lake, with the probability of contamination to the ecosystem. 2:47:30 PM RHONDA HUBBARD, SELF, SEWARD (via teleconference), recalled funding for the Jesse Lee Home from 2012, which had not been given to Seward. She stated that there was $1 million which should be postponed to the next budget cycle. She felt that Seward would address those funds in the next budget cycle. She remarked that Seward should be allowed to use those funds. 2:49:52 PM JODY POTTS, SELF, FAIRBANKS (via teleconference), testified in support of funding for statewide 9-1-1 funding. She remarked that there was a lack of public safety services in rural areas of the state. She stated that one in four people in the state did not have access to 9-1-1 dispatch. She recalled that she did not grow up with access to dispatch. She stressed that the lack of 9-1-1 dispatch was very frightening. She was aware of the public safety crises in rural Alaska, because of the lack of resources. She stressed that there were some people that did not know the other numbers to reach dispatch. Co-Chair MacKinnon stated that the 9-1-1 request in the governor's budget did not expand services, but solved redundancies. 2:53:29 PM KAREN KIRKPATRICK, SELF, MEADOW LAKES (via teleconference), spoke in support of funding for community patrol. She stated that the volunteers were already proven effective in helping to deter crime. She remarked that the Retired State Troopers Association was already assisting in volunteer community patrol. She stated that the current volunteers were using their own money and many were not physically able and on a fixed income. Co-Chair MacKinnon stated that there were approximately thirty people still waiting to testify. 2:56:14 PM GLENN MILLER, FAIRBANKS NORTHSTAR BOROUGH, FAIRBANKS (via teleconference), spoke in support of $1 million in community and state match funds. He stated that the borough transit system had received money annually, and used to provide additional hours of public transit services. He stated that many used the system for various reasons. He stated that the state match funding was essential, because it was used as leverage for federal dollars. He stated that the age group of the riders ranged from grade school students to seniors. He stated that seniors were the largest population who utilized the public transit system. 2:58:56 PM NANCY BEARDSLEY, SELF, ANCHORAGE (via teleconference), spoke in support of funding for community patrol. She stated that many of the volunteers on community patrol had caught criminals. She felt that the money would pay for ways to identify the patrol. She remarked that criminals were getting good at committing crime. 3:00:20 PM KELLY BENDER, OWNER, LAZY OTTER CHARTERS, WHITTIER (via teleconference), testified in support of reinstating the $3 million for tourism marketing. She remarked that the lack of funding from the year prior already had a detrimental effect on the tourism in the state. She remarked that tourism marketing efforts was essential to maintaining a strong place in Alaska's economy. Co-Chair MacKinnon handed the gavel to Vice-Chair Bishop. 3:02:35 PM CINDY WRIGHT, ALUMNI, UAS BOARD OF DIRECTORS, FAIRBANKS (via teleconference), spoke in support of $3 million to address the UA maintenance needs. She stated that her family visits the campus daily for classes, meetings, and events. She stated that all the facilities and buildings were essential to the community. She stated that state capital funding was essential to maintaining the campuses and facilities. 3:04:30 PM JIM HUNT, CITY MANAGER, SEWARD (via teleconference), testified in support of funding for the Jesse Lee Home. He stated that the building was an environmental hazard. He hoped that the money could be reappropriated to the City of Seward. 3:05:41 PM MICHAEL ADAMS, SELF, COOPER LANDING (via teleconference), testified in support of $3 million for tourism marketing. He stressed that the state's economy relied heavily on tourism. He felt that it was important to invest in one of Alaska's strongest industries. He did not believe that there was any business who did not benefit from tourism. 3:07:04 PM JANEEN HUTCHINS, ALASKA WILDLAND ADVENTURES, GIRDWOOD (via teleconference), spoke in support of funding for tourism marketing. She stated that she had many employees. She felt that it was frustrating that the loss of funding for marketing would put the health of the workers in the industry and the public coffers at risk. She stated that a strong tourism economy required a strong tourism marketing program. She stated that prior funding for tourism marketing saw an increase in inquiries and visitors. 3:09:40 PM CHARLES GORMAN, SELF, ANCHORAGE (via teleconference), spoke in support of funding to expand substance abuse treatment to address the opioid crisis and reduce criminal activity. He felt that the funding would provide many essential treatment. He stated that he was on the Advisory Board for Alcohol and Substance Abuse. He remarked that Barrow did not have a detox facility and no treatment centers. He remarked that he recently celebrated 12 years of sobriety. He stated that his life had changed because of the programs, and he wanted to help others who were victims of those substances. 3:12:04 PM CHRISSY TORSEY-LUCERO, FINANCE MANAGER, INTER-ISLAND FERRY AUTHORITY, PRINCE OF WHALES ISLAND (via teleconference), spoke in support of the funding for transit funding match grant. She stated that the Inter-Island Ferry Authority was an economic engine in Southeast Alaska. She remarked that it was essential for residents and tourism. She stood in alliance with other public transit entities who benefit from the funds, who may not have been able to testify. She shared some findings about the ferry. 3:15:05 PM FERNANDO SALVIDOR, ALASKA COLLECTION, ANCHORAGE (via teleconference), spoke in support of funding for tourism marketing. He stated that he employed many people in rural communities. He stressed that his business worked with many venders. He stressed that tourism has a strong impact on the state's economy. He urged the committee to reinstate the $3 million for tourism marketing. 3:17:14 PM CASSANDRA TSINNIE, SOARING EAGLE TRANSIT, GULKANA (via teleconference), spoke in support of funding for the transit system. She shared that the system provided local jobs. 3:18:28 PM BRENDA MOORE, CHAIR, ALASKA MENTAL HEALTH BOARD, ANCHORAGE (via teleconference), spoke in support of funding for mental health services. She urged support of the $18 million to address the opioid crisis and related criminal activity. She shared some statistics related to heroin. She also spoke in support of the $10 million funding for acute mental health needs. She felt that investing in behavioral health programs would increase resiliency in communities and reduce crime. 3:22:04 PM ANDY HUGHES, SELF, JUNEAU, spoke in support of the Juneau Access Project. He shared that he had worked in developing the project over many years with the Department of Transportation and Public Facilities (DOT/PF). He stressed that there was always a desire to have a road connection between Juneau and Skagway. He felt that it was important to tie Juneau to the road system. He spoke in support of funding for treatment in the jail system. He also spoke in support of funding the Inter-Island Ferry System in Prince of Wales. 3:25:20 PM MARGARET ANDERSON, SELF, SEWARD (via teleconference), spoke in support of keeping the funds for the Jesse Lee Home, so the City of Seward could determine the proper use of those funds. She felt that past allocations were not in compliance with the grant requirement. Senator Micciche announced that he missed her Saturday. Ms. Anderson echoed Senator Micciche's sentiment. 3:27:00 PM PAUL HONEMAN, ALASKA COALITION OF COMMUNITY PATROLS, ANCHORAGE (via teleconference), spoke in support of funding for community patrols. He understood that the legislature was in a difficult position to determining the budget for the state. He remarked that often community patrols knew the neighborhoods better than the police patrols. He stated that the community patrols were all volunteer using their own money to operate the volunteer organization. He stressed that community patrol members were average community members, and were very vigilant in their efforts. He also voiced support of funding for the Arctic Winter Games. 3:30:08 PM RUTH KIMERE, SELF, ANCHORAGE (via teleconference), spoke in support of reinstatement of the $3 million for tourism marketing. She remarked that tourism had a major economic impact to the state. She stated that tourism marketing was essential to the tourism economy and marketplace. The state dollars were instrumental in building business for the small businesses, because they did not benefit from the cruise industry in the state. 3:31:55 PM PATRICIA FISHER, MEADOW LAKES COMMUNITY COUNCIL, MEADOW LAKES (via teleconference), spoke in support of funding for the community patrols. She stated that the shortage of troopers and limited support for assisting in criminal behavior intervention. She stressed that financial assistance would be well-used by the communities, because it was solely run by volunteers. 3:33:12 PM BARRY ANDRES, HOUSING DIRECTOR, RURAL CAP, ANCHORAGE (via teleconference), spoke in support of funding for housing for homeless people. He also spoke in support of funding for substance abuse treatment. He urged support of reinstating the supplemental Medicaid funding. 3:35:57 PM HERMAN MORGAN, SELF, ANIAK (via teleconference), spoke against SB 142. He felt that there were many people involved in the project who would get financial gain from the budget. He stated that there should be an audit on the administration's financial budget practices. He pointed out that Alaska was 46th of the 50 states in education scholastic scores. He felt that Alaska was becoming a welfare state. 3:39:55 PM JOY BAKER, DIRECTOR, NOME PORT, JUNEAU, spoke in support of continued development of the Arctic Deep Draft Port in Nome. She thanked the committee for the $1.6 million in matching funds provided two years prior, which allowed the City of Nome to move forward with Army Corps on the feasibility phase of the project. Senator Olson wondered what would occur if the match was not met for the port. Ms. Baker replied that there would be another phase of delay. The project would stall, and the nation and state would continue to fall behind in Arctic development. Vice-Chair Bishop handed the gavel to Co-Chair MacKinnon. 3:43:31 PM EMILY WILLAUER, SELF, JUNEAU, spoke in support of funding for UA maintenance and facilities. 3:45:18 PM CHRISTINA LOVE, SELF, JUNEAU, spoke in support of fully funding Medicaid and $18 million for substance abuse treatment services. 3:47:52 PM LOI RICKER, SELF, WASILLA (via teleconference), spoke in support of funding for public safety. She testified in support of funding community patrol. She stated that crime and drug houses were directly related, and the community knew where the drug houses were located. 3:50:33 PM Senator von Imhof asked whether she would be willing to sacrifice $100 of their permanent fund dividend (PFD) to use to fund prosecutors, detox beds, state defenders, police officers, and state troopers. Ms. Ricker replied in the affirmative but stated that there would be stipulations. 3:52:49 PM LEE BREINIG, CHAIR, ADVISORY OF ALCOHOL AND DRUG ABUSE BOARD, ANCHORAGE (via teleconference), testified in support of the $18 million for substance use disorder treatment funding. 3:55:14 PM MARY NANUWAK, SELF, BETHEL (via teleconference), felt that there should be a focus on what the rural communities already contribute, rather than telling the rural communities what they need. She stressed that any governmental agency could learn from the people in the rural communities. She encouraged the committee to begin to listen to the rural communities. She remarked that it was becoming difficult to receive mental health and behavioral health care. 4:00:35 PM ROBERT TERRAZAS, SELF, ANCHORAGE (via teleconference), spoke in support of tourism marketing funding. He stated that he owns a business, and he has a background in marketing. Co-Chair MacKinnon CLOSED public testimony. Co-Chair MacKinnon thanked the testifiers. Senator Micciche announced that testimony could always be submitted electronically. Vice-Chair Bishop announced that the comments were read by the committee. Co-Chair MacKinnon announced that amendments were due the following day by noon the following day. She discussed Friday's agenda. SB 142 was HEARD and HELD in committee for further consideration.