HOUSE FINANCE COMMITTEE March 6, 2023 1:34 p.m. 1:34:27 PM CALL TO ORDER Co-Chair Foster called the House Finance Committee meeting to order at 1:34 p.m. MEMBERS PRESENT Representative Bryce Edgmon, Co-Chair Representative Neal Foster, Co-Chair Representative DeLena Johnson, Co-Chair Representative Julie Coulombe Representative Mike Cronk Representative Alyse Galvin Representative Sara Hannan Representative Andy Josephson Representative Dan Ortiz Representative Will Stapp Representative Frank Tomaszewski MEMBERS ABSENT None ALSO PRESENT Ken Alper, Staff, Senator Donny Olson. SUMMARY SB 86 REJECT COMPENSATION COMM RECOMMENDATIONS SB 86 was REPORTED out of committee with a "do pass" recommendation and with one previously published fiscal note: FN1 (DEPT/Various).   SENATE BILL NO. 86 "An Act disapproving recommendations of the State Officers Compensation Commission relating to the salaries of state officers; and providing for an effective date." Co-Chair Foster reviewed the meeting agenda. 1:35:42 PM KEN ALPER, STAFF, SENATOR DONNY OLSON, introduced himself and the bill. He explained that the bill would reject the recommendations of the Alaska State Officers Compensation Commission (ASOCC). The underlying statutes that governed ASOCC stated that any changes recommended by the commission would take effect 60 days after the submission of the report, unless a bill was enacted within the 60-day period rejecting the recommendations. He relayed that the bill was passed by the Senate in the prior week. Co-Chair Foster asked Mr. Alper to summarize the report and explain who would receive the increases. Mr. Alper responded that the report analyzed the compensation of the governor, the lieutenant governor, and the executive department heads, and it summarized that the individuals had not received raises in several years. He relayed that the last time the governor received a raise was in 2011. The report recommended that the governor receive a compounding 2 percent raise per year. If the recommendations were to be followed, the aforementioned individuals would receive a 2 percent raise per year going back to the year during which the position had last seen a raise. The numbers were not precise because there was some compound math that was yet to be calculated, however he would offer the estimates. The governor's current salary of $145,000 per year would increase to $176,000 per year. The lieutenant governor's salary would increase from $125,000 per year to approximately $140,000 per year. The department heads made $141,160.50 per year and would receive a raise to $168,000 per year. He highlighted that ASOCC made no changes related to legislative salaries and per diems. 1:38:47 PM Co-Chair Foster OPENED public testimony. Co-Chair Foster CLOSED public testimony. 1:40:02 PM Co-Chair Edgmon reviewed the previously published zero fiscal note by various departments with the control code meTPM. He noted that Mr. Neil Steininger, the director of the Office of Management and Budget (OMB), and Mr. Alexei Painter, director of the Legislative Finance Division (LFD), were both available to speak to any questions relating to the fiscal note. Co-Chair Foster noted that there were no questions on the fiscal note. 1:41:13 PM Co-Chair Johnson MOVED to report SB 86 out of committee with individual recommendations and the accompanying fiscal note. There being NO OBJECTION, it was so ordered. SB 86 was REPORTED out of committee with a "do pass" recommendation and with one previously published fiscal note: FN1 (DEPT/Various). Co-Chair Foster reviewed the agenda for the following day's meeting. ADJOURNMENT 1:42:14 PM The meeting was adjourned at 1:42 p.m.