HOUSE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE February 15, 1996 1:10 p.m. MEMBERS PRESENT Representative Ivan Ivan, Co-Chair Representative Kim Elton Representative Al Vezey Representative Pete Kott Representative Irene Nicholia MEMBERS ABSENT Representative Alan Austerman, Co-Chair Representative Jerry Mackie COMMITTEE CALENDAR DRAFT FEDERAL FISCAL YEAR 1996 COMMUNITY SERVICES BLOCK GRANT STATE PLAN BRIEFING ALASKA NATIVE HEALTH BOARD BRIEFING PREVIOUS ACTION None. WITNESS REGISTER JO COOPER, Block Grants Administrator Division of Community and Regional Development Department of Community and Regional Affairs 209 Forty Mile Avenue Fairbanks, Alaska 99701-3110 Telephone: (907) 452-4468 POSITION STATEMENT: Presented draft FFY 1996 Community Services Block Grant State Plan. JEANINE KENNEDY, Executive Director Rural Alaska Community Action Program (RurAL CAP) P.O. Box 200908 Anchorage, Alaska 99520 Telephone: (907) 279-2511 POSITION STATEMENT: Testified on draft FFY 1996 Community Services Block Grant State Plan. BARRY WALLIS, Executive Director Fort Yukon Tribal Council P.O. Box 126 Fort Yukon, Alaska 99740 Telephone: (907) 662-2581 POSITION STATEMENT: Testified on draft FFY 1996 Community Services Block Grant State Plan. LINCOLN BEAN, SR., Chairman Alaska Native Health Board; Chairman, Southeast Alaska Regional Health Consortium; and Vice Chairman, National Indian Health Board 1345 Rudakof Circle, Suite 206 Anchorage, Alaska 99508 Telephone: (907) 337-0028 POSITION STATEMENT: Presented briefing by Alaska Native Health Board. CINDY THOMAS, Coordinator Rural Alaska Sanitation Coalition Alaska Native Health Board 1345 Rudakof Circle, Suite 206 Anchorage, Alaska 99508 Telephone: (907) 337-0028 POSITION STATEMENT: Discussed Alaska Native Health Board legislative priorities for FY 1997. ANNE M. WALKER, Executive Director Alaska Native Health Board 1345 Rudakof Circle, Suite 206 Anchorage, Alaska 99508 Telephone: (907) 337-0028 POSITION STATEMENT: Answered questions regarding Alaska Native Health Board. ACTION NARRATIVE TAPE 96-13, SIDE A Number 0001 CO-CHAIR IVAN IVAN called the House Community and Regional Affairs Committee meeting to order at 1:10 p.m. Members present at the call to order were Representatives Ivan and Vezey. Members absent were Representatives Austerman, Mackie, Elton, Kott and Nicholia. Co-Chair Ivan noted that a quorum was not yet present. DRAFT FEDERAL FISCAL YEAR 1996 COMMUNITY SERVICES BLOCK GRANT STATE PLAN BRIEFING Number 0091 CO-CHAIR IVAN mentioned that Jo Cooper was on teleconference to present the briefing on the draft FFY 1996 Community Services Block Grant State Plan ("State Plan"), which he understood to be required by federal law. REPRESENTATIVE KIM ELTON and REPRESENTATIVE PETE KOTT joined the meeting at 1:11 p.m. and 1:13 p.m., respectively. Number 0152 JO E. COOPER, Block Grants Administrator, Division of Community and Regional Development, Department of Community and Regional Affairs (DCRA), discussed the State Plan via teleconference from Fairbanks, noting that the purpose of the current hearing was to accept public comments on the draft plan. She stated that the Community Services Block Grant (CSBG) program existed "to help impact the causes and conditions of poverty." The State Plan explained how DCRA administered the program and what activities would be focused on during the upcoming year. Number 0224 MS. COOPER said that by federal regulation, a minimum of 90 percent of the funds received annually, which would probably be approximately $1.5 million for 1996, were passed through to the only community action agency in the state, the Rural Alaska Community Action Program (RurAL CAP). Ms. Cooper said DCRA was authorized to keep 5 percent of the funds to cover state administrative expenses, with the remaining 5 percent being available for discretionary grants. Number 286 MS. COOPER acknowledged the State Plan was lengthy and said it outlined in detail how the funds were supposed to be used by RurAL CAP. She listed seven components supported by the funds: child care, child development, community development, planning development and evaluation; program support; subsistence; and village participation. Number 0366 JEANINE KENNEDY, Executive Director, Rural Alaska Community Action Program (RurAL CAP), testified via teleconference from Anchorage that RurAL CAP was one of 980 community action agencies in the United States. Although funds used to come directly from the federal government to those agencies, since 1981, the funds had been put into block grants. Ms. Kennedy pointed out there was only one community action program (CAP) in Alaska because of the small population; in some states, there were as many as 36, concentrated in areas of high poverty. Ms. Kennedy said RurAL CAP focused on poverty issues, as well as Head Start, child development and child care, alcohol abuse prevention and other issues that supported families and communities. Number 0511 MS. KENNEDY emphasized that the block grant was "basically for poor people," who often had no voice in decisions. RurAL CAP provided the opportunity for these people to meet and come up with productive ideas. She concluded by saying she supported the plan. Number 0591 CO-CHAIR IVAN asked Jo Cooper whether RurAL CAP was the only agency that had applied for the grants. MS. COOPER affirmed that was correct. According to federal statutes, RurAL CAP received 90 percent of the funds that came into the state through the Community Services Block Grant program. Number 0639 CO-CHAIR IVAN asked if other agencies besides RurAL CAP were eligible to apply. MS. COOPER replied no. The only eligible recipients of the funds were community action agencies, she said, and RurAL CAP was the only recognized community action agency in the state. Number 0675 CO-CHAIR IVAN noted that teleconference sites on line included Anchorage, Bethel, Fairbanks, Kenai, Kotzebue, Mat-Su, Nome, Sitka, Fort Yukon and Klawock. Number 0740 BARRY WALLIS, Executive Director, Fort Yukon Tribal Council, testified via teleconference, saying he was "speaking in support of the RurAL CAP application," which outlined purposes that were important to community development of villages such as Fort Yukon. He thought significant issues included subsistence and community development. Mr. Wallis noted that RurAL CAP sponsored the yearly Village Participation Conference, which provided the opportunity to visit with legislators and learn about the legislative process in Juneau. With that conference coming up in March, they looked forward to meeting with legislators. He expressed concern that DCRA and programs for rural Alaska seemed to be routinely targeted by politicians. He spoke in favor of RurAL CAP, saying it had a good track record in the villages. "This particular grant is very critical to helping villages become more self-sufficient and more empowered to deal with the problems on a local level," he added. Number 0920 CO-CHAIR IVAN asked if any other people wished to testify. As there were none, he concluded the hearing on the draft State Plan. ALASKA NATIVE HEALTH BOARD BRIEFING Number 0989 CO-CHAIR IVAN noted the next item of business was a briefing by the Alaska Native Health Board. He invited Lincoln Bean to present the opening remarks. Number 1014 LINCOLN BEAN, SR., Chairman, Alaska Native Health Board; Chairman, Southeast Alaska Regional Health Consortium; and Vice Chairman, National Indian Health Board, said health issues were critical to 100,000 indigenous people in the state. He explained that Alaska Native Health Board ("Board") staff would discuss sewer, water and sanitation and present requests for funding. The Board's goal was providing sewer and water to all clinics and homes by the year 2002. He saw no reason why clinics providing health care should not have water and toilets. As a Board member and an Alaska Native, he said, he was asking for support, with respect to all 12 Native regions. He mentioned that Board representatives had met with members of the House Health and Social Services Committee in support of taxation on tobacco. Number 1169 CINDY THOMAS, Coordinator, Rural Alaska Sanitation Coalition, explained the coalition was a technical advisor to the Alaska Native Health Board. She indicated that the Board's packet, entitled "State Legislative Priorities for Fiscal Year 1997," had been distributed to other committees, as well. Number 1190 MS. THOMAS explained the reason for prioritizing rural sanitation was not just a public health issue, but an economic and social issue as well. Water and sewer were part of the basic infrastructure for any community. She cited the possibility of sickness in tourists in rural Alaska and the economic effects that could have. Referring to the legislative packet, she said there were four funding priorities, the most critical of which, for the current committee, was the role of DCRA in the Rural Utility Business Advisors (RUBA) program. There had been sustained funding for the past four years, which they wished to see continue. Ms. Thomas added that Senator Stevens had been successful in obtaining authorization language for five years of federal funding. REPRESENTATIVE IRENE NICHOLIA joined the meeting at 1:30 p.m. Number 1277 MS. THOMAS said there was still more than $1 billion in unmet need. "We're pecking away at it, little by little," she added, "and consistent, adequate funding is critical." She stated that was the first funding priority. Number 1299 MS. THOMAS indicated the second priority stemmed from the realization that facilities could not be built without the capacity to operate them. That was where the RUBA program came in, as well as the Remote Maintenance Worker (RMW) program and technical training. The Alaska Native Health Board was therefore asking for support for technical assistance and operation of maintenance programs. Number 1310 MS. THOMAS referred to Mr. Bean's discussion and said there were still 36 communities operating health clinics without water or sewer. She mentioned a four-year-old boy who had died from a mosquito bite and questioned whether having water and sewer in that community might not have prevented the infection. She spoke about trying to broaden statewide awareness of the effects of poor sanitation. She also mentioned work with the Alaska Municipal League and the State Chamber of Commerce in Anchorage in recognizing the critical role of rural Alaska. She then provided the committee with a resolution from the Alaska Municipal League that supported technical assistance and sustained funding for rural sanitation. Number 1397 MS. THOMAS discussed SB 20 and noted that the Alaska Native Health Board planned to submit testimony on that bill. The Board was concerned because some revenue sharing communities received as little as $7,500 per year, whereas incorporated communities received a minimum of $40,000. However, the communities were providing the same level of service. Ms. Thomas suggested the need to look at what inequities and "threats to citizens" were being created, depending on where people lived. Number 1446 CO-CHAIR IVAN asked if the Alaska Native Health Board was represented on the Rural Sanitation Task Force. MS. THOMAS replied yes, they had one seat. She explained the Alaska Native Health Board had a seat on the Governor's Council on Rural Sanitation, as did the Rural Alaska Sanitation Coalition. "We both have seats on the council and we participate in recommendations," she said. Number 1476 CO-CHAIR IVAN asked whether the board had presented their position statements through that task force and whether the task force had considered the board's priorities. Number 1488 MS. THOMAS said that the Governor's Council on Rural Sanitation had only been up and running for three-quarters of a year. "And a lot of that has been organization," she said, "getting to know each other, finding out how we're going to operate." As a body, they were just starting to get to the position where key issues could be heard, prioritized and advanced. "Even though there's been dialogue, I don't see it completely as the effective body. It will be," she added, "but we're still getting organized." Number 1510 REPRESENTATIVE AL VEZEY asked whether the goal was having safe water facilities in all communities by the year 2002. MS. THOMAS affirmed that was correct. REPRESENTATIVE VEZEY noted that was six years from now. He asked about the amount of $30 million per year. Number 1531 MS. THOMAS replied, "The total estimates I've seen have been 60 to 80, because there are so many different federal sources. Federal match to state match is at 30, but then we also have Indian Health Service money, we have some HUD money and a few special projects." She added, "I've never felt a trust in the 80 number." REPRESENTATIVE VEZEY responded, "I've never seen the 60 number. You've said that there was over a billion dollars of recognized need, but I've seen figures indicating it's pushing closer to two billion." Number 1566 MS. THOMAS added, "in six years." She acknowledged it was a vision and said Representative Vezey had brought up a good point. She suggested the need to be a little more realistic. "It's not going to happen at the current funding levels, that's true," she said. "But I think what we're all saying is we have to keep going. Even maintaining funding at the level that is present is better than saying, `well, we can't do it, so let's just forget it.'" Number 1592 REPRESENTATIVE IRENE NICHOLIA pointed out that she was a member of the Governor's Council on Rural Sanitation. She said she served on the same council as Ms. Thomas, who she commended for her presentation. Representative Nicholia expressed the desire to resolve the problems in question by the year 2002. She acknowledged the complexities of providing services to rural Alaska, where there were problems such as permafrost, for example. Number 1657 CO-CHAIR IVAN referred to the $1 billion to $2 billion in unmet need for water and sewer in rural Alaska and said, "we're looking at 200 plus villages in the state." He mentioned that he represented an area that needed safe water and sewer projects. Residents were looking at other avenues besides state and federal funding. Co-Chair Ivan described the area as the least developed in the state. Residents there hoped to relax some exploration regulations or provide tax incentives for small gas exploration businesses that might develop a small pocket of gas that probably existed there. He suggested that being able to heat homes there with gas, which would enable the villages to get away from dependency on diesel fuel, would have a positive impact on the rural water and sewer situation. Number 1745 REPRESENTATIVE NICHOLIA noted that due to the high number of communities without running water or good sanitation facilities, there was also a high number of hepatitis and tuberculosis cases. Number 1786 MS. THOMAS referred to earlier comments about having a goal in six years and such a high unmet need. She said she had neglected to note that in "the farm bill, the addition of that authorization language that Stevens got in at the last minute, was a last-minute shuffle. However, the Governor's office and Stevens, Young and Murkowski are working on getting authorization both in the Clean Water Act and the Safe Drinking Water Act. And in the farm bill authorization, it would still be there, also. So we are looking at the federal government doubling and increasing their contribution." Both the Clean Water Act and the Safe Drinking Water Act asked for state contributions, Ms. Thomas added. Number 1818 MS. THOMAS pointed out that the legislative packet listed current unmet needs for all Alaskan villages. Some of the cities and larger communities in rural Alaska were not included, she said. One could see where that billion dollars was needed and how it would be used in some of those communities. Number 1840 REPRESENTATIVE KIM ELTON expressed appreciation for the presentation. He asked Ms. Thomas to clarify the goal for the year 2002, which he understood to be providing water and sewer to all of the clinics, but not necessarily completion of water and sewer projects for all the villages. Number 1860 ANNE M. WALKER, Executive Director, Alaska Native Health Board, responded that the Board's vision was to have both safe water and sewer in all the villages. "Now, that doesn't mean piped water and sewer in all the villages," she said. She indicated new technologies were available in other circumpolar countries. She believed those could be used in rural Alaska. "What our vision is, is actually to have piped water and sewer in all clinics by 2002," she clarified. "And we believe that that is a realistic goal." She added that even in third world countries, there was generally piped water and sewer in clinics and hospitals. In rural Alaska, there were 37 clinics that still used honey buckets and hand- carried water. Number 1917 REPRESENTATIVE ELTON thanked the board for their presentation and for their support of the tobacco tax. MS. THOMAS noted that in the Governor's budget, there was money for health clinic hook-ups. "We didn't see money in '95 and '96, and we had seen money in '93 and '94, of $500,000," she said. "We see the commitment of the Administration to get those clinics hooked up." She voiced that the Rural Utility Business Advisors program was also critical. "We pair the RUBAs with the RMWs to help communities set up books and prepare to operate and maintain facilities," she explained. "All systems have to be maintained and we're finding that the RUBAs provide that technical assistance that's vital." Number 1976 CO-CHAIR IVAN informed the committee that the next meeting would address HB 401 and HB 400. ADJOURNMENT There being no further business to conduct, CO-CHAIR IVAN adjourned the House Community and Regional Affairs Committee meeting at 1:46 p.m.