24th ALASKA STATE LEGISLATURE 1st SESSION CONFERENCE COMMITTEE ON HB 66 & HB 67 May 9, 2005 4:13 p.m. CALL TO ORDER Chair Chenault called the House Finance Committee meeting to order at 4:13:26 PM. PRESENT Senate: Senator Gary Wilken Vice-Chair Senator Lyda Green, Member Senator Lyman Hoffman, Member House: Representative Mike Chenault, Chair Representative Kevin Meyer, Member Representative Eric Croft, Member ALSO PRESENT David Teal, Director, Legislative Finance Division; Nancy Slagle, Director, Division of Administrative Services, Department of Transportation and Public Facilities; fiscal analysts with the Office of Management and Budget and Legislative Finance Division; and aides to committee members and other members of the Legislature. SUMMARY CSHB 67(FIN)(brf sup maj fld) An Act making appropriations for the operating and loan program expenses of state government, for certain programs, and to capitalize funds; and providing for an effective date." CSHB 66(FIN) An Act making appropriations for the operating and capital expenses of the state's integrated comprehensive mental health program; and providing for an effective date." and SCS CSHB 67(FIN) An Act making appropriations for the operating and loan program expenses of state government, for certain programs, and to capitalize funds; making appropriations under art. IX, sec. 17(c), Constitution of the State of Alaska, from the constitutional budget reserve fund; and providing for an effective date." SCS CSHB 66(FIN) An Act making appropriations for the operating and capital expenses of the state's integrated comprehensive mental health program; and providing for an effective date." HB 66 and HB 67 were heard and HELD in Committee for further consideration. Motions were taken on the following departments: Administration Commerce and Economic Development Corrections Education Labor Law Natural Resources Revenue DOT&PF Court System Senator Wilken MOVED to ADOPT the following Items in the Department of Administration's budget: Item 3 House Item 8 House minus 287.2 Item 10 House Representative Croft OBJECTED to Item 3. He noted that the low number would be taken on Item 3 for public broadcasting. Senator Hoffman also asked the impact on public broadcasting. 4:16:51 PM DAVID TEAL, DIRECTOR, LEGISLATIVE FINANCE DIVISION, discussed the Item 3. He noted that Representative Holms argued that public television does not need the support it once did with the addition of other educational programs. He did not know the impact. Representative Croft spoke in support of the higher (Senate) funding level. He emphasized the quality of public broadcasting. Senator Wilken WITHDREW his motion on Item 3. 4:19:37 PM Senator Hoffman clarified the numbers on Item 8. There being NO OBJECTION, Items 8 and 10 were closed and Items 3 and 9 remained open. 4:20:15 PM Senator Wilken MOVED to ADOPT the following Items in the Department of Commerce and Economic Development's budget Items as follows: Item 6 Senate Item 10 House There being NO OBJECTION, it was so ordered. Senator Wilken MOVED to Rescind the Committee's previous action and reopen Item 3. There being NO OBJECTION, it was so ordered. Senator Wilken MOVED to ADOPT the House plus $15.0 for Item 3. Senator Wilken explained that the new action would split the difference between the House and Senate numbers. The net affect would be -$15.0 thousand. There being NO OBJECTION, it was so ordered. Senator Wilken MOVED to Rescind the Committee's previous action and reopen Item 7. The prior motion was to adopt the Senate numbers: $250 Business Licenses and $250 general fund. There being NO OBJECTION, it was so ordered. Senator Wilken MOVED to ADOPT new numbers for Item 7: $250 Commercial Passenger Vessel Fund, $250 Business Licenses and $250 general fund. Senator Wilken explained that the Commercial Passenger Vessel Environmental Compliance Fund was set up in 2001 and is paid for by the cruise ships. The money is set aside in case of environmental problems within Alaskan waters. There is a little over $700 thousand in the Fund. He maintained that the Fund would not be negatively affected by the use to promote cruise ship tourism in Alaska. Senator Green emphasized that the fund source would stay the same in future years. There being NO OBJECTION, it was so ordered. Senator Wilken MOVED to ADOPT House numbers for Item 13. There being NO OBJECTION, it was so ordered. Chair Chenault observed that the Department of Commerce, Community and Economic Development's budget would be closed. 4:23:59 PM Senator Wilken MOVED to ADOPT the following Items in the Department of Education and Early Development's budget Items as follows: Item 9 House minus $25.0 GF and Senate $25.0 DEED CIP Chair Chenault observed that the Department of Education and Early Development's budget would be closed. 4:25:18 PM Senator Wilken MOVED to ADOPT the following Items in the Department of Labor and Workforce Development's budget Items as follows: Item 6 Senate Item 7 Senate There being NO OBJECTION, it was so ordered. Chair Chenault observed that Item 2 would remain open. 4:25:21 PM Senator Wilken MOVED to ADOPT the following Items in the Department of Law's budget Items as follows: Item 4 Senate Item 6 House Item 14 House Intent There being NO OBJECTION, it was so ordered. Chair Chenault observed that Item 2 would remain open. 4:26:00 PM Senator Wilken MOVED to ADOPT the following Items in the Department of Natural Resources's budget Items as follows: Item 1 House Item 4 House Item 7 House Item 8 House Chair Chenault observed that Item 5 would remain open. 4:26:49 PM Senator Wilken MOVED to ADOPT the following Items in the Department of Revenue's budget Items as follows: Item 1 House Item 2 House Item 3 Senate Item 4 Senate Chair Chenault observed that the Department of Revenue's budget would be closed. 4:27:33 PM Senator Wilken MOVED to ADOPT the following Items in the Department of Transportation and Public Facilities' budget Items as follows on page 1: Item 1 Senate Item 2 Senate Item 3 Senate Item 4 Senate Item 5 Senate Item 6 Senate Item 7 House -66.8 Item 8 House Item 9 Senate Item 10 Senate Item 11 Take House minus $57.5 4:28:52 PM Senator Hoffman questioned the impact of the reduction to Item 11 on Dillingham and Bethel. NANCY SLAGLE, DIRECTOR, DIVISION OF ADMINISTRATIVE SERVICES, DEPARTMENT OF TRANSPORTATION AND PUBLIC FACILITIES, responded to the question. She explained that the request would fund a full-time in Bethel and part time in Dillingham for seven day extended service. The reduction would probably result in their not hiring the part time position in Dillingham. The intent would be to provide as many hours as possible in Bethel. Representative Chenault questioned the amount to hire a full time position. Ms. Slagle was uncertain. She stated that the reduction would be taken in the least active airport. There being NO OBJECTION, it was so ordered and Items 1 - 11 were adopted. 4:31:18 PM Senator Wilken MOVED to ADOPT the following Items in the Department of Transportation and Public Facilities' budget Items as follows on page 2: Item 12 Senate Item 13 Take House minus $95.0 Item 14 Senate Item 15 Take House minus $91.25 Item 16 House Item 17 House Item 18 Senate Item 19 Senate (both lines) There being NO OBJECTION, it was so ordered. Senator Wilken MOVED to ADOPT the following Items in the Department of Transportation and Public Facilities' budget Items as follows on page 3: Item 21 Senate Item 22 Senate There being NO OBJECTION, it was so ordered. Senator Wilken MOVED to ADOPT all Senate wordage for the Department of Transportation and Public Facilities' budget. Representative Chenault noted that Item 20 would remain open. 4:33:18 PM Senator Wilken MOVED to ADOPT the following Items in the Alaska Court System's budget Items as follows: Item 4 House There being NO OBJECTION, it was so ordered. Representative Chenault noted that the action taken would close the Court System Budget. ADJOURNMENT The meeting was adjourned at 4:35 PM