SB 236-HOMELAND SECURITY APPROPRIATIONS    CHAIRMAN THERRIAULT drew member's attention to the spreadsheet with color-coded categories. They asked Legislative Finance to go through the appropriation bill and separate the expenses. First items that are supplemental to the 2002 budget were separated then further broken into operating and capital expenses. Next, items that were clearly 2003 operating budget items were separated and finally 2003 capital requests were separated. He said his frustration with trying to deal with the bill is that it isn't really an appropriations bill it's a finance bill and probably should have been sent to the Finance Committee as part of a budget package. It's difficult to deal with because the Governor has just submitted his 2002 supplemental requests so anything they would consider supplemental for 2002 has to be balanced with the Governor's other supplemental requests. Additionally, anything they do in 2002 that impacts the operating budget must be considered in the 2003 operating budget. If this isn't done, there won't be funds to continue that program or activity in fiscal year 2003. According to the spreadsheet, the total supplemental general fund operating total is $7.6 million. To annualize that amount, it would take $26.6 million in FY03 and there simply aren't the funds available to build that into the budget. He recommended forwarding the bill and the spreadsheets to the Finance Committee accompanied by a letter explaining the segmentation process. That committee must decide whether there is room for any of this in the FY02 supplemental budget then whether they want to build any of it into the FY03 budget. He said he was open to discussion on other ways to handle this. SENATOR PHILLIPS thought standing committees should give general guidance to the Finance Committee so they can develop the numbers. He recommended asking the various departments to categorize and prioritize their requests. He said he feels that communications should be at the top of the list CHAIRMAN THERRIAULT asked whether communication should be at the top or should it be prioritized according to what is affordable. SENATOR PHILLIPS said he wouldn't attach a dollar amount; rather he would ask the departments to categorize according to importance in dealing with any natural or man made disaster. This list should then be sent to the Finance Committee. CHAIRMAN THERRIAULT remarked that, in finance, the numbers drive policy. How much can you afford? This committee doesn't know what the constraints are on the numbers. He said he has no problem with asking the various departments to prioritize their requests, but he doesn't know whether that would make much difference in finance's deliberations. SENATOR STEVENS expressed the thought that the items that are mandated by federal policy should be given top priority. At the same time, they should find out whether federal funds are available to pay for those mandates. If they aren't available, then he doesn't understand why they would need to be in the supplemental budget for FY02. SENATOR DAVIS point out that as the reports were handed out, the overall theme was that there were some priorities that had been set, but she didn't know whether there were dollar amounts attached or not. There are also federal funds that have been designated for the state and that amount has been set. Perhaps they could figure what the state match would be when coupled with the federal funds. CHAIRMAN THERRIAULT reiterated he had no objection to asking the departments to prioritize. Because there are clearly some items on the spreadsheet where money has already been spent, those had better be at the top of the list. If they don't get those dollars, they have a huge hole in their FY02 budget. Perhaps that will cull out some of the "fluff" federal dollars because if they don't believe the federal dollars are going to be there, they won't put those items very high on their list. SENATOR HALFORD agreed with Senator Stevens. The federal dollars in hand have to be considered as do the federal mandates. That information will lead any action. SENATOR STEVENS added he questioned how many times some of the requests have been made prior to being incorporated into the appropriation request. SENATOR DAVIS didn't think the departments would prioritize their requests and even if they did, someone would still have to sort out the various lists. She agreed with Chairman Therriault that they should forward the bill to finance. SENATOR HALFORD made a motion to send the Chairman's recommendation to the Finance Committee. SENATOR DAVIS seconded the motion. There being no objection, the bill was forwarded to the Finance Committee accompanied by the spreadsheets and a letter from the Chairman.