HOUSE FINANCE COMMITTEE March 14, 1994 8:30 A.M. TAPE HFC 94 - 60, Side 1, #000 - end. TAPE HFC 94 - 60, Side 2, #000 - end. CALL TO ORDER Co-Chair Larson called the House Finance Committee meeting to order at 8:30 A.M. PRESENT Co-Chair Larson Representative Therriault Co-Chair MacLean Representative Martin Vice-Chair Hanley Representative Foster Representative Brown Representative Parnell Representative Grussendorf Representatives Hoffman and Navarre were not present for the meeting. ALSO PRESENT Representative Fran Ulmer; Representative Bettye Davis; Representative Cliff Davidson; Renee Chatman, Staff to Representative Bettye Davis; Michael J. Stark, Assistant Attorney General, Criminal Division, Department of Law; Richard Collum, Executive Director, Parole Board, Juneau; Dean Guaneli, Chief, Assistant Attorney General, Legal Services Section, Criminal Division, Department of Law; Chip Toma, Self, Juneau; Bill Cotton, (Testified via teleconference), Executive Director, Alaska Judicial Council, Anchorage; Diane Schenker, Special Assistant, Department of Corrections; Kenneth E. Bishcoff, Director, Division of Administrative Services, Department of Corrections; Wendy Redman, Vice President for University Relations, University of Alaska. SUMMARY HB 418 An Act extending the termination date of the Board of Parole; and providing for an effective date. HB 418 was reported out of Committee with a "do pass" recommendation and with a zero fiscal note by the Department of Corrections dated 3/14/94. HB 466 An Act authorizing the issuance of bonds by the Alaska Housing Finance Corporation to pay for the 1 costs of repair and rehabilitation of student housing facilities of the University of Alaska; authorizing the issuance of bonds by the University of Alaska to pay for the costs of repair and rehabilitation of facilities of the University of Alaska; amending powers of the Alaska Housing Finance Corporation; amending the definition of "public building"; relating to the Alaska debt retirement fund; and providing for an effective date. HB 466 was placed into Subcommittee with Representative MacLean as Chair and with members Representative Martin, Representative Grussendorf and Representative Therriault. HB 442 An Act relating to criminal justice information; providing procedural requirements for obtaining certain criminal justice information; and providing for an effective date. CS HB 442 (FIN) was reported out of Committee with "individual recommendations" and with a fiscal note by the Department of Corrections and zero fiscal notes by the Department of Public Safety, the Department of Law dated 2/04/94, and the Department of Health and Social Services dated 2/04/94. HOUSE BILL 418 "An Act extending the termination date of the Board of Parole; and providing for an effective date." RENEE CHATMAN, STAFF TO REPRESENTATIVE BETTYE DAVIS, stated that HB 418 would extend the Board of Parole for the customary four-year period under A.S. 44.66.101 (c). Under current law, and without passage of the legislation, the Board is scheduled to end its operations on June 30, 1994. She added that the Board was created in 1960 and has been an essential component of Alaska's criminal justice system. There are currently 700 felons on paroled supervision. Each year, about 400 prisoners are eligible to be released to discretionary parole supervision for a portion of their sentence. In addition, 500 prisoners are released to mandatory parole supervision for a period equal to one-third of their sentence. Ms. Chatman advised that expiration of the Parole Board could not alter the state's responsibility under Title 33, Chapter 16, which provides for prisoners to be eligible for and supervised on discretionary and mandatory parole. 2 Ms. Chatman explained the changes in the committee substitute reflect work of the Senate Judiciary Committee version to SB 286. The committee substitute validates the long standing practice of the board to establish special conditions for mandatory parole by one board member. MICHAEL J. STARK, ASSISTANT ATTORNEY GENERAL, CRIMINAL DIVISION, DEPARTMENT OF LAW, explained that Page 3, Lines 14-28 would delete certain conditions of parole which under present law are discretionary with the Board. The change would remove certain items, at which time they would become mandatory conditions of parole. The conditions would not be deleted, although they would become mandatory conditions of parole. RICHARD COLLUM, EXECUTIVE DIRECTOR, PAROLE BOARD, JUNEAU, stated that under federal law, anyone convicted of a felony would be prohibited from owning or possessing any type of a firearm. The Parole Board has added to that language "all dangerous or deadly weapons". Representative Martin asked why the legislation had not been sent to the House Judiciary and House State Affairs Committee. He pointed out that there was no fiscal note attached to the legislation and that those two committees should have been consulted regarding the legality of the legislation. Mr. Collum replied that changes had been made in the Senate Judiciary Committee. Representative Martin emphasized that the House Judiciary Committee should consider the bill before the House Finance Committee. Mr. Stark explained the changes. The committee substitute would define the original purpose and would extend the life of the Parole Board in order that it may continue to carry on its constitutional and statutory authorities. The committee substitute would also establish supplemental conditions of parole by the entire Board rather than that determination being made by a single board member. Without the requested statutory change, the Board will be required to meet with full membership each time a decision is to be made. He advised that this has significant fiscal impact on the State. The committee substitute would also establish mandatory discretionary conditions of parole. REPRESENTATIVE BETTYE DAVIS stated that the original bill would extend the Parole Board. She drafted a committee substitute to conform to the changes made by the Senate Judicial Committee. Representative Martin MOVED TO RETURN the legislation to the House Judiciary Committee. Representative Hanley echoed Representative Martin's concerns and pointed out that without a fiscal note the bill 3 would not need to come back to the House Finance Committee. Representative Davis requested that the Committee vote on the original bill to extend the Parole Board. Representative Martin WITHDREW THE MOTION. There being NO OBJECTION, the motion was withdrawn. Representative Grussendorf MOVED to report HB 418 out of Committee with individual recommendations and with the accompanying fiscal note. There being NO OBJECTION, it was so ordered. HB 418 was reported out of Committee with a "do pass" recommendation and with a fiscal note by the Department of Correction dated 2/18/94. HOUSE BILL 442 "An Act relating to criminal justice information; providing procedural requirements for obtaining certain criminal justice information; and providing for an effective date." DEAN GUANELI, CHIEF, ASSISTANT ATTORNEY GENERAL, LEGAL SERVICES SECTION, DEPARTMENT OF LAW, stressed the need for new statutory changes to govern criminal justice information systems. The systems currently used are twenty years old and are recognized as out dated by legislative auditors. As a result, the Department of Public Safety (DPS) contracted with a nationally known consultant to study the current systems used and make recommendations for change. The legislation would provide a board for oversight and policy guidance of the criminal justice information systems. It would also provide guidelines for the operation of the systems and would specifically designate criminal justice records as confidential and subject to dissemination only as specific in statute. Representative Grussendorf asked if there were federal funds available to match the fiscal note. Mr. Guaneli responded there are federal funds available which the Department of Public Safety is currently receiving in order to improve the Department's systems. The Administration is not aware of federal funds available to the Department of Corrections or the Department of Law. Mr. Guaneli explained that the Board is currently made up of one public member, one municipal law enforcement chief and the heads of all State agencies who currently head criminal justice information systems. He added, that it is the intent of the legislation to keep the group narrowly focused and for that reason, no other groups have been included. 4 The role of the Chief Justice was understood to fill the Judicial Council function, although there has been a request to broaden the function and include the Judicial Council. BILL COTTON, (TESTIFIED VIA TELECONFERENCE), EXECUTIVE DIRECTOR, ALASKA JUDICIAL COUNCIL, ANCHORAGE, commented that the Judicial Council supports the legislation and urges its passage. CHIP TOMA, REPRESENTING HISSELF, JUNEAU, spoke in support of HB 442. He explained that HB 442 is a similar right to privacy piece of legislation as introduced by Representative Terry Miller over 20 years old SJR 9. The purpose of the legislation addresses the important role of Alaskan's right to privacy. Representative Hanley MOVED to adopt CS HB 442 (FIN), #8- GH2005\J, Luckhaupt, 3/11/94. There being NO OBJECTION, it was adopted. (Tape Change, HFC 94-60, Side 2). Representative Brown suggested including the Judicial Council to the Parole Board. She MOVED a change to Page 2, Line 7, inserting "(9) The Executive Director of the Alaska Judicial Council or the Executive Director's designee". Representative Hanley asked why the Parole Board and the Judicial Council were currently separate. Representative Brown responded that the Judicial Council could assist in the information systems coordination. There being NO OBJECTION, the amendment was adopted. Representative Hanley asked why the Department of Corrections added $1200 hundred dollars for travel. DIANE SCHENKER, SPECIAL ASSISTANT, DEPARTMENT OF CORRECTION, stated that the travel component in the Commissioner's Office has been reduced to such a degree that it would be impossible to participate without the additional funds. She added that there is no position assigned within the Department for writing policy and procedures and that the legislation would change duties, resulting in fiscal impact to the Department. None of the requested funds address the finger printing component. Representative Brown asked if the proposed legislation would make available to the public the location of inmates. Ms. Schenker stated it would. Representative Brown pointed out the significant problems with the data processing system in the Department of Corrections. She recommended adopting the fiscal note, pointing out that more than training should be funded in order to provide services for sorting the records 5 and making them more accurate. KENNETH E. BISHCOFF, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES, DEPARTMENT OF PUBLIC SAFETY, stated that drafting the legislation took into consideration the needs of rural Alaska. He pointed out that the legislation does have statewide support from police chiefs. The Department of Public Safety strongly supports HB 442. Representative Brown MOVED to report CS HB 442 (FIN) out of Committee with individual recommendations and with the accompanying fiscal notes. Representative Martin asked if the fiscal note was realistic. Ms. Schenker responded that the fiscal note does not provide funds for additional finger printing. She stated that the legislation does specify that the additional volume of finger printing would be done by police or correctional agencies. She added that no amount has been requested for that component as the additional volume has not yet been determined. There being NO OBJECTION, it was so ordered. CS HB 442 (FIN) was reported out of Committee with "individual recommendations" and with new fiscal notes by the Department of Corrections, a zero fiscal note by the Department of Public Safety, the Department of Law dated 2/04/94 and the Department of Health and Social Services dated 2/04/94. HOUSE BILL 466 "An Act authorizing the issuance of bonds by the Alaska Housing Finance Corporation to pay for the costs of repair and rehabilitation of student housing facilities of the University of Alaska; authorizing the issuance of bonds by the University of Alaska to pay for the costs of repair and rehabilitation of facilities of the University of Alaska; amending powers of the Alaska Housing Finance Corporation; amending the definition of "public building"; relating to the Alaska debt retirement fund; and providing for an effective date." WENDY REDMAN, VICE PRESIDENT FOR UNIVERSITY RELATIONS, UNIVERSITY OF ALASKA, FAIRBANKS, explained that after years of inadequate funding, the backlog of deferred maintenance projects now totals more than $150 million dollars for the University of Alaska system. Over the past decade, the university has sought nearly $180 million dollars for maintenance projects, and received less than one third of that amount. The result is that the facilities on every campus, particularly the oldest campuses in Fairbanks and Ketchikan, are in a dangerous state of disrepair. 6 She added that the Board of Regents has made capital improvement maintenance the highest priority and that the university wants the problem resolved this year either through passage of bonding legislation or direct appropriation. Bonds make sense this year because the state's outstanding debt service is declining and bond interest rates are low. It is necessary that the bond holder have lease to the facility during the time while the bond is being paid off. Certain type of projects are difficult to bond since there are no tangible assets. Co-Chair MacLean suggested that a "sunset clause" be added as the requests are project specific. Ms. Redman understood that when a bond is issued, there is a certain amount of time to sell them at the completion of the project. Ms. Redman added that campus housing is a high priority for the Anchorage and Juneau campus. The Board of Regents has not taken a position on the housing concern. She pointed out that these funds are disproportionate around the state. Representative Therriault noted that he will not support any new building around the state until the maintenance concern is addressed. He asked if there was any other proposed legislation which addresses new construction. Ms. Redman replied that SB 229 requests cash for student housing projects in Anchorage. She added that the Anchorage campus is the fastest growing campus in the State and no new facilities have been built for years. Co-Chair Larson placed HB 466 into a subcommittee chaired by Representative MacLean and with members Representative Martin, Representative Grussendorf and Representative Therriault. Representative Martin provided the Committee with an amendment for its consideration incorporating it. [Copy on file]. HB 466 was HELD in Committee for further consideration. ADJOURNMENT The meeting adjourned at 10:00 a.m. HOUSE FINANCE COMMITTEE March 14, 1994 8:30 A.M. TAPE HFC 94 - 60, Side 1, #000 - end. TAPE HFC 94 - 60, Side 2, #000 - end. 7 CALL TO ORDER Co-Chair Larson called the House Finance Committee meeting to order at 8:30 A.M. PRESENT Co-Chair Larson Representative Therriault Co-Chair MacLean Representative Martin Vice-Chair Hanley Representative Foster Representative Brown Representative Parnell Representative Grussendorf Representatives Hoffman and Navarre were not present for the meeting. ALSO PRESENT Representative Fran Ulmer; Representative Bettye Davis; Representative Cliff Davidson; Renee Chatman, Staff to Representative Bettye Davis; Michael J. Stark, Assistant Attorney General, Criminal Division, Department of Law; Richard Collum, Executive Director, Parole Board, Juneau; Dean Guaneli, Chief, Assistant Attorney General, Legal Services Section, Criminal Division, Department of Law; Chip Toma, Self, Juneau; Bill Cotton, (Testified via teleconference), Executive Director, Alaska Judicial Council, Anchorage; Diane Schenker, Special Assistant, Department of Corrections; Kenneth E. Bishcoff, Director, Division of Administrative Services, Department of Corrections; Wendy Redman, Vice President for University Relations, University of Alaska. SUMMARY HB 418 An Act extending the termination date of the Board of Parole; and providing for an effective date. HB 418 was reported out of Committee with a "do pass" recommendation and with a zero fiscal note by the Department of Corrections dated 3/14/94. HB 466 An Act authorizing the issuance of bonds by the Alaska Housing Finance Corporation to pay for the costs of repair and rehabilitation of student housing facilities of the University of Alaska; authorizing the issuance of bonds by the University of Alaska to pay for the costs of repair and rehabilitation of facilities of the University of Alaska; amending powers of the Alaska Housing Finance Corporation; amending the definition of "public building"; relating to the 8 Alaska debt retirement fund; and providing for an effective date. HB 466 was placed into Subcommittee with Representative MacLean as Chair and with members Representative Martin, Representative Grussendorf and Representative Therriault. HB 442 An Act relating to criminal justice information; providing procedural requirements for obtaining certain criminal justice information; and providing for an effective date. CS HB 442 (FIN) was reported out of Committee with "individual recommendations" and with a fiscal note by the Department of Corrections and zero fiscal notes by the Department of Public Safety, the Department of Law dated 2/04/94, and the Department of Health and Social Services dated 2/04/94. HOUSE BILL 418 "An Act extending the termination date of the Board of Parole; and providing for an effective date." RENEE CHATMAN, STAFF TO REPRESENTATIVE BETTYE DAVIS, stated that HB 418 would extend the Board of Parole for the customary four-year period under A.S. 44.66.101 (c). Under current law, and without passage of the legislation, the Board is scheduled to end its operations on June 30, 1994. She added that the Board was created in 1960 and has been an essential component of Alaska's criminal justice system. There are currently 700 felons on paroled supervision. Each year, about 400 prisoners are eligible to be released to discretionary parole supervision for a portion of their sentence. In addition, 500 prisoners are released to mandatory parole supervision for a period equal to one-third of their sentence. Ms. Chatman advised that expiration of the Parole Board could not alter the state's responsibility under Title 33, Chapter 16, which provides for prisoners to be eligible for and supervised on discretionary and mandatory parole. Ms. Chatman explained the changes in the committee substitute reflect work of the Senate Judiciary Committee version to SB 286. The committee substitute validates the long standing practice of the board to establish special conditions for mandatory parole by one board member. MICHAEL J. STARK, ASSISTANT ATTORNEY GENERAL, CRIMINAL 9 DIVISION, DEPARTMENT OF LAW, explained that Page 3, Lines 14-28 would delete certain conditions of parole which under present law are discretionary with the Board. The change would remove certain items, at which time they would become mandatory conditions of parole. The conditions would not be deleted, although they would become mandatory conditions of parole. RICHARD COLLUM, EXECUTIVE DIRECTOR, PAROLE BOARD, JUNEAU, stated that under federal law, anyone convicted of a felony would be prohibited from owning or possessing any type of a firearm. The Parole Board has added to that language "all dangerous or deadly weapons". Representative Martin asked why the legislation had not been sent to the House Judiciary and House State Affairs Committee. He pointed out that there was no fiscal note attached to the legislation and that those two committees should have been consulted regarding the legality of the legislation. Mr. Collum replied that changes had been made in the Senate Judiciary Committee. Representative Martin emphasized that the House Judiciary Committee should consider the bill before the House Finance Committee. Mr. Stark explained the changes. The committee substitute would define the original purpose and would extend the life of the Parole Board in order that it may continue to carry on its constitutional and statutory authorities. The committee substitute would also establish supplemental conditions of parole by the entire Board rather than that determination being made by a single board member. Without the requested statutory change, the Board will be required to meet with full membership each time a decision is to be made. He advised that this has significant fiscal impact on the State. The committee substitute would also establish mandatory discretionary conditions of parole. REPRESENTATIVE BETTYE DAVIS stated that the original bill would extend the Parole Board. She drafted a committee substitute to conform to the changes made by the Senate Judicial Committee. Representative Martin MOVED TO RETURN the legislation to the House Judiciary Committee. Representative Hanley echoed Representative Martin's concerns and pointed out that without a fiscal note the bill would not need to come back to the House Finance Committee. Representative Davis requested that the Committee vote on the original bill to extend the Parole Board. Representative Martin WITHDREW THE MOTION. There being NO OBJECTION, the motion was withdrawn. Representative Grussendorf MOVED to report HB 418 out of Committee with individual recommendations and with the 10 accompanying fiscal note. There being NO OBJECTION, it was so ordered. HB 418 was reported out of Committee with a "do pass" recommendation and with a fiscal note by the Department of Correction dated 2/18/94. HOUSE BILL 442 "An Act relating to criminal justice information; providing procedural requirements for obtaining certain criminal justice information; and providing for an effective date." DEAN GUANELI, CHIEF, ASSISTANT ATTORNEY GENERAL, LEGAL SERVICES SECTION, DEPARTMENT OF LAW, stressed the need for new statutory changes to govern criminal justice information systems. The systems currently used are twenty years old and are recognized as out dated by legislative auditors. As a result, the Department of Public Safety (DPS) contracted with a nationally known consultant to study the current systems used and make recommendations for change. The legislation would provide a board for oversight and policy guidance of the criminal justice information systems. It would also provide guidelines for the operation of the systems and would specifically designate criminal justice records as confidential and subject to dissemination only as specific in statute. Representative Grussendorf asked if there were federal funds available to match the fiscal note. Mr. Guaneli responded there are federal funds available which the Department of Public Safety is currently receiving in order to improve the Department's systems. The Administration is not aware of federal funds available to the Department of Corrections or the Department of Law. Mr. Guaneli explained that the Board is currently made up of one public member, one municipal law enforcement chief and the heads of all State agencies who currently head criminal justice information systems. He added, that it is the intent of the legislation to keep the group narrowly focused and for that reason, no other groups have been included. The role of the Chief Justice was understood to fill the Judicial Council function, although there has been a request to broaden the function and include the Judicial Council. BILL COTTON, (TESTIFIED VIA TELECONFERENCE), EXECUTIVE DIRECTOR, ALASKA JUDICIAL COUNCIL, ANCHORAGE, commented that the Judicial Council supports the legislation and urges its passage. 11 CHIP TOMA, REPRESENTING HISSELF, JUNEAU, spoke in support of HB 442. He explained that HB 442 is a similar right to privacy piece of legislation as introduced by Representative Terry Miller over 20 years old SJR 9. The purpose of the legislation addresses the important role of Alaskan's right to privacy. Representative Hanley MOVED to adopt CS HB 442 (FIN), #8- GH2005\J, Luckhaupt, 3/11/94. There being NO OBJECTION, it was adopted. (Tape Change, HFC 94-60, Side 2). Representative Brown suggested including the Judicial Council to the Parole Board. She MOVED a change to Page 2, Line 7, inserting "(9) The Executive Director of the Alaska Judicial Council or the Executive Director's designee". Representative Hanley asked why the Parole Board and the Judicial Council were currently separate. Representative Brown responded that the Judicial Council could assist in the information systems coordination. There being NO OBJECTION, the amendment was adopted. Representative Hanley asked why the Department of Corrections added $1200 hundred dollars for travel. DIANE SCHENKER, SPECIAL ASSISTANT, DEPARTMENT OF CORRECTION, stated that the travel component in the Commissioner's Office has been reduced to such a degree that it would be impossible to participate without the additional funds. She added that there is no position assigned within the Department for writing policy and procedures and that the legislation would change duties, resulting in fiscal impact to the Department. None of the requested funds address the finger printing component. Representative Brown asked if the proposed legislation would make available to the public the location of inmates. Ms. Schenker stated it would. Representative Brown pointed out the significant problems with the data processing system in the Department of Corrections. She recommended adopting the fiscal note, pointing out that more than training should be funded in order to provide services for sorting the records and making them more accurate. KENNETH E. BISHCOFF, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES, DEPARTMENT OF PUBLIC SAFETY, stated that drafting the legislation took into consideration the needs of rural Alaska. He pointed out that the legislation does have statewide support from police chiefs. The Department of Public Safety strongly supports HB 442. 12 Representative Brown MOVED to report CS HB 442 (FIN) out of Committee with individual recommendations and with the accompanying fiscal notes. Representative Martin asked if the fiscal note was realistic. Ms. Schenker responded that the fiscal note does not provide funds for additional finger printing. She stated that the legislation does specify that the additional volume of finger printing would be done by police or correctional agencies. She added that no amount has been requested for that component as the additional volume has not yet been determined. There being NO OBJECTION, it was so ordered. CS HB 442 (FIN) was reported out of Committee with "individual recommendations" and with new fiscal notes by the Department of Corrections, a zero fiscal note by the Department of Public Safety, the Department of Law dated 2/04/94 and the Department of Health and Social Services dated 2/04/94. HOUSE BILL 466 "An Act authorizing the issuance of bonds by the Alaska Housing Finance Corporation to pay for the costs of repair and rehabilitation of student housing facilities of the University of Alaska; authorizing the issuance of bonds by the University of Alaska to pay for the costs of repair and rehabilitation of facilities of the University of Alaska; amending powers of the Alaska Housing Finance Corporation; amending the definition of "public building"; relating to the Alaska debt retirement fund; and providing for an effective date." WENDY REDMAN, VICE PRESIDENT FOR UNIVERSITY RELATIONS, UNIVERSITY OF ALASKA, FAIRBANKS, explained that after years of inadequate funding, the backlog of deferred maintenance projects now totals more than $150 million dollars for the University of Alaska system. Over the past decade, the university has sought nearly $180 million dollars for maintenance projects, and received less than one third of that amount. The result is that the facilities on every campus, particularly the oldest campuses in Fairbanks and Ketchikan, are in a dangerous state of disrepair. She added that the Board of Regents has made capital improvement maintenance the highest priority and that the university wants the problem resolved this year either through passage of bonding legislation or direct appropriation. Bonds make sense this year because the state's outstanding debt service is declining and bond interest rates are low. It is necessary that the bond holder have lease to the facility during the time while the 13 bond is being paid off. Certain type of projects are difficult to bond since there are no tangible assets. Co-Chair MacLean suggested that a "sunset clause" be added as the requests are project specific. Ms. Redman understood that when a bond is issued, there is a certain amount of time to sell them at the completion of the project. Ms. Redman added that campus housing is a high priority for the Anchorage and Juneau campus. The Board of Regents has not taken a position on the housing concern. She pointed out that these funds are disproportionate around the state. Representative Therriault noted that he will not support any new building around the state until the maintenance concern is addressed. He asked if there was any other proposed legislation which addresses new construction. Ms. Redman replied that SB 229 requests cash for student housing projects in Anchorage. She added that the Anchorage campus is the fastest growing campus in the State and no new facilities have been built for years. Co-Chair Larson placed HB 466 into a subcommittee chaired by Representative MacLean and with members Representative Martin, Representative Grussendorf and Representative Therriault. Representative Martin provided the Committee with an amendment for its consideration incorporating it. [Copy on file]. HB 466 was HELD in Committee for further consideration. ADJOURNMENT The meeting adjourned at 10:00 a.m. 14