HOUSE BILL NO. 106 "An Act allowing appropriations to the civil legal services fund from court filing fees." 3:07:38 PM Co-Chair MacKinnon relayed that the committee had heard HB 106 on April 3, 2018; at which time the public hearing was opened and closed. Vice-Chair Bishop MOVED to ADOPT proposed committee substitute for HB 106(FIN), Work Draft 30-LS0397\J (Radford, 4/30/18). Co-Chair MacKinnon OBJECTED for discussion. JULI LUCKY, STAFF, SENATOR ANNA MACKINNON, discussed the changes to the bill. She noted that the previous time the bill was heard, there had been discussion regarding the percentage of the filing fees that should be sent to the Alaska Legal Services Corporation (ALSC). She noted that the Committee Substitute (CS) increased the percent to 10 percent of court filing fees and had also made a technical change that referenced the previously closed fiscal year. The technical change had been at the recommendation of the Legislative Finance Division, in order to make clear which fiscal year filing fees were coming from. Ms. Lucky informed that the changes to the bill necessitated two new fiscal notes. Ms. Lucky addressed a new fiscal note (FN 5) from the Office of the Governor for Fund Transfers, with a transfer to the Civil Legal Services Fund. The FY 19 appropriation was for $300,300; with the same amount estimated for the out years. Ms. Lucky addressed a new fiscal note (FN 4) from Department of Commerce, Community and Economic Development; which showed a one-time appropriation of $300,300 for FY 19. The amount would go into the base budget for the out years. Co-Chair MacKinnon WITHDREW her OJBECTION. There being NO OBJECTION, it was so ordered. 3:10:51 PM LIZZIE KUBITZ, STAFF, REPRESENTATIVE MATT CLAMAN, stated that the sponsor was supportive of the changes to the bill. She reiterated that the CS would allow the legislature to appropriate up to 10 percent of filing fees received by the Court System (for the previously closed fiscal year) to the Civil Legal Services Fund. The sponsor viewed the legislation as a possible mechanism for providing more funds to ALSC. Co-Chair MacKinnon recalled that the original bill had a 25 percent fee associated with it. The committee had doubled the fee in order to increase access in designating a larger share of the Court System receipts. She understood that 25 percent was closer to a number that was previously allocated in General Fund (GF) dollars to the Civil Legal Services Fund. Ms. Kubitz deferred the question to staff from Alaska Legal Services. She relayed that the sponsor was supportive of the 10 percent compromise as proposed in the CS. NICOLE NELSON, ALASKA LEGAL SERVICES, ANCHORAGE (via teleconference), relayed that ALSC received a general appropriation of $450,000 per year that came through DCCED. Originally ALSC had thought the 25 percent of filing fees would replace the appropriation and allow ALSC to expand its services to more Alaskans. She appreciated the compromise of 10 percent of the Court System filing fees; but emphasized the original intent was not to lower the amount of funding from $450,000. 3:14:33 PM Co-Chair MacKinnon referenced an additional appropriation of $300,000 listed in the fiscal note. Co-Chair MacKinnon explained that the fiscal note reflected an effort to stabilize funding. She thought it was unusual to allocate state revenue to an individual non-profit. She thought the extenuating factor was the need for Alaskan's access to legal services considering the abrupt rise of crime in the state. She recalled that similar legislation had not been successful in the past due to opposition to designating funds for an individual non-profit. Vice-Chair Bishop thought the committee's action was recognizing the needs of Alaskans. He supported the bill. 3:16:20 PM ART DELAUNE, GOVERNOR'S COUNCIL ON DISABILITIES AND SPECIAL EDUCATION (via teleconference), spoke in support of the bill, which he felt would positively impact the state's most vulnerable constituencies. He thought the without vital legal services, low-income Alaskans with disabilities would be at risk for unfair treatment. He discussed his work as an independent living advocate and emphasized that often individuals with disabilities were at risk of unscrupulous parties. He commented on the increased number of individuals below the poverty line. Senator Micciche commented on the volunteer service that went into ALSC. He believed the underprivileged should have access to medical care. He supported the bill. Co-Chair MacKinnon stated that the bill was a compromise between the two bodies. It was her hope that the bill would pass the Senate. Vice-Chair Bishop MOVED to report SCS HB 106(FIN) out of Committee with individual recommendations and the accompanying fiscal notes. There being NO OBJECTION, it was so ordered. SCS HB 106(FIN) was REPORTED out of committee with a "do pass" recommendation and with a new fiscal impact note from the Department of Commerce, Community and Economic Development; and a new fiscal impact note from the Office of the Governor for Fund Transfers. 3:20:22 PM AT EASE 3:21:57 PM RECONVENED