MINUTES SENATE FINANCE COMMITTEE 26 April 1998 2:20 p.m. TAPES SFC-98, #141, Sides A and B CALL TO ORDER Senator Drue Pearce, Co-chair, convened the meeting at approximately 2:20 p.m. PRESENT In addition to Co-chair Pearce, Senators Sharp, Phillips, Donley, Torgerson, Parnell and Adams were present when the meeting convened. Also Attending: Senator Jerry Mackie; Senator Lyda Green; Senator Jerry Ward; Representative Terry Martin; Annalee McConnell, Director, Office of Management and Budget, Office of the Governor; Dan Spencer, Chief Budget Analyst, Office of Management and Budget, Office of the Governor; Ken Bischoff, Director, Administrative Services, Department of Public Safety; Janet Clarke, Director, Administrative Services, Department of Health and Social Services; Nancy Slagle, Director, Administrative Services, Department of Transportation and Public Facilities; Barbara Ritchie, Deputy Attorney General, Civil Division, Department of Law; Chris Christiensen, Staff Counsel, Alaska Court System; Nico Bus, Administrative Services Manager, Central Office, Division of Support Services, Department of Natural Resources; Kevin Brooks, Director, Administrative Services, Department of Fish and Game; Karen Rehfeld, Director, Education Support Services, Department of Education; Lamar Cotten, Deputy Commissioner, Department of Community and Regional Affairs; Kim Metcalf-Helmar, Special Assistant to the Commissioner, Department of Community and Regional Affairs; Tracy Mahr, Accounting Supervisor, Administrative Services, Department of Law; Marilyn Webb, Program Coordinator, Headstart, Community and Rural Development, Department of Community and Regional Affairs; Karen Crane, Director, Libraries, Archives and Museums, Department of Education; Mike Greany, Director, Division of Legislative Finance; Susan Taylor, Fiscal Analyst; Dave Tonkovich, Fiscal Analyst; Fred Fisher, Fiscal Analyst; Ginger Patton, Fiscal Analyst; Gretchen Mannix, Fiscal Analyst; Jim Hauck, Fiscal Analyst; Division of Legislative Finance; Clarke Gruening, Juneau; and aides to committee members and other legislators. SUMMARY INFORMATION HOUSE BILL NO. 325 "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." CS FOR HOUSE BILL NO. 325(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." CS FOR HOUSE BILL NO. 325(FIN) am(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." Co-chair Pearce convened the meeting and explained the procedure for amendments. The following is a list of the amendments in order by departments that were presented to HB 325: DOA #1 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DOA #2 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DOA #3 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DOA #4 was withdrawn by Senator Adams. DOA #5 was withdrawn by Senator Adams. DOA #6 moved by Senator Phillips was adopted without objection. DOA #7 (conceptually amended by Senator Donley) moved by Senator Donley failed by a vote of 2 - 5 (Donley, Phillips). DOA #8 moved by Senator Donley was adopted without objection. DCED #1 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DCED #2 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DCED #3 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DCED #4 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DCED #5 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DCED #6 moved by Senator Donley failed by a vote of 2 - 5 (Donley, Phillips). DCRA #1 was not offered. DCRA #2 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DCRA #3 moved by Senator Phillips was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). DCRA #4 was not offered. DCRA #5 was not offered. DCRA #6 moved by Senator Torgerson was adopted without objection. DCRA #7 moved by Senator Donley failed by a vote of 2 - 4 (Donley, Sharp) (Pearce - abstained). DCRA #8 moved by Senator Phillips failed by a vote of 3 - 4 (Phillips, Parnell, Adams). DCRA #9 moved by Senator Phillips was adopted by a vote of 4 - 3 (Sharp, Adams, Parnell, Phillips). DOC #1 was not offered. DOC #2 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DOC #3 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DOC #4 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DOC #5 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DOC #6 moved by senator Sharp was adopted without objection. DOC #7 moved by Senator Sharp was adopted without objection. DOC #8 moved by Senator Sharp was adopted without objection. COURT #1 moved by Senator Donley was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). COURT #2 moved by Senator Donley was adopted by a vote of 4 - 3 (Sharp, Donley, Torgerson, Phillips). COURT #3 moved by Senator Donley failed by a vote of 1 - 6 (Pearce, Sharp, Donley, Torgerson, Adams, Parnell). EDU #1 moved by Senator Torgerson was adopted without objection. EDU #2 was not offered. EDU #3 moved by Senator Adams failed by a vote of 2 - 5 (Adams, Phillips). EDU #4 moved by Senator Adams failed by a vote of 1 - 6 (Adams). EDU #5 moved by Senator Phillips was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips) EDU #6 was not offered. EDU #7 was not offered. DEC #1 was not offered. DEC #1 (revised) was not offered. DEC #2 moved by Senator Torgerson was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). F&G #1 moved by Senator Adams failed by a vote of 1 - 6 (Adams). F&G #2 was not offered. F&G #3 moved by Senator Adams failed by a vote of 1 - 6 (Adams). F&G #4 moved by Senator Adams failed by a vote of 1 - 6 (Adams). F&G #5 moved by Senator Adams failed by a vote of 1 - 6 (Adams). F&G #6 moved by Senator Adams failed by a vote of 1 - 6 (Adams). F&G #7 moved by Senator Adams failed by a vote of 1 - 6 (Adams). F&G #8 (amended) moved by Senator Donley was adopted by a vote of 6 -1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). HESS #1 (revised) moved Senator Adams failed by a vote of 3 - 4 (Pearce, Donley, Adams). HESS #2 moved by Senator Adams failed by a vote of 1 - 6 (Adams). HESS #3 moved by Senator Adams failed by a vote of 1 - 6 (Adams). HESS #4 moved by Senator Adams failed by a vote of 1 - 6 (Adams). HESS #5 moved by Senator Adams failed by a vote of 1 - 6 (Adams). HESS #6 moved by Senator Adams failed by a vote of 1 - 6 (Adams). HESS #7 moved by Senator Torgerson was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Adams, Phillips). HESS #8 moved by Senator Parnell was adopted by a vote of 5 - 2 (Pearce, Sharp, Torgerson, Parnell, Phillips). LAW #1 moved by Senator Adams failed by a vote of 1 - 6 (Adams). LAW #2 was not offered. LAW #3 moved by Senator Adams failed by a vote of 1 - 6 (Adams). LAW #4 moved by Senator Adams failed by a vote of 1 - 5 (Adams) (Parnell - abstained). DMVA #1 moved by Senator Torgerson was adopted without objection. DNR #1 moved by Senator Torgerson was adopted without objection. DNR #2 moved by Senator Parnell was adopted without objection. DNR #3 moved by Senator Parnell was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). DNR #4 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DNR #5 moved by Senator Parnell was adopted by a vote of 4 - 3 (Pearce, Donley, Parnell, Phillips). DPS #1 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DPS #2 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DPS #3 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DPS #4 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DPS #5 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DPS #6 moved by Senator Adams failed by a vote of 1 - 5 (Adams) (Pearce - abstained). DPS #7 was not offered. DPS #8 moved by Senator Donley was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). DPS #9 moved by Senator Sharp was adopted without objection. DPS #10 moved by Senator Donley was adopted without objection. DPS #11 moved by Senator Parnell was adopted without objection. DPS #12 moved by Senator Donley was adopted by a vote of 5 - 1 (Sharp, Donley, Torgerson, Parnell, Phillips) (Pearce - abstained). DPS #13 was not offered. DPS #14 moved by Senator Donley was adopted without objection. DPS #15 moved by Senator Torgerson was adopted without objection. DOR #1 moved by Senator Adams failed by a vote of 1 - 6 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). DOT #1 (amended) moved by Senator Torgerson was adopted without objection. DOT #2 moved by Senator Torgerson was adopted without objection. DOT #3 was withdrawn. DOT #4 moved by Senator Torgerson was adopted without objection. DOT #5 moved by Senator Torgerson was adopted without objection. DOT #6 moved by Senator Torgerson was adopted without objection. DOT #7 moved by Senator Torgerson was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). DOT #8 moved by Senator Torgerson was adopted without objection. DOT #9 moved by Senator Torgerson was adopted by a vote of 6 - 1 (Pearce, Sharp, Donley, Torgerson, Parnell, Phillips). DOT #10 moved by Senator Adams failed by a vote of 1 - 6 (Adams). DOT #11 moved by Senator Torgerson was adopted without objection. DOT #12 was not offered. DOT #13 moved by Senator Torgerson was adopted without objection. UNIV #1 moved by Senator Donley was adopted without objection. MISC #1(A) moved by Senator Donley was adopted by a vote of 4 - 3 (Pearce, Sharp, Torgerson, Donley). MISC #1(B) was withdrawn. FRONT #1 moved by Senator Torgerson was adopted without objection. FRONT #2 moved by Senator Adams failed by a vote of 1 - 6 (Adams). FRONT #3 moved by Senator Adams was adopted without objection. STATEWIDE #1 moved by Senator Adams was withdrawn. A technical amendment was noted in the work draft (O- GH2038\P) on page 5, line 7, Section 15. The corrected amount should read "$27,358,100". At this time, Co-chair Pearce set aside HB 325 and called HB 326. HOUSE BILL NO. 326 "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." CS FOR HOUSE BILL NO. 326(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." Senator Sharp moved SCS CS HB 326(FIN), O-GH2040\F as the working draft before the committee and without objection it was adopted. The following amendment was offered: MH-CAP #1 moved by Senator Sharp was adopted by a vote of 5 - 1 (Sharp, Donley, Torgerson, Parnell, Phillips) (Pearce - abstained). Senator Sharp moved SCS CS HB 326(FIN) and without objection it was reported out. After a brief at ease, Senator Sharp moved SCS CS HB 325(FIN) "P" version be adopted as the working draft before the committee and without objection it was adopted. Upon completion of hearing all amendments Co-chair Pearce directed Legislative Finance and Legislative Legal staff to make all technical changes necessary in order to be able to present a final Finance version to the Senate Floor tomorrow morning at 11:00 a.m. She further thanked all Senate Finance Committee members, their staff, Legislative Finance and staff, and the Senate Finance Committee secretaries for their diligent efforts to complete the budget. Senator Sharp moved SCS CS HB 325(FIN) and without objection it was reported out. Senator Adams requested that the final versions of the budget not be sent to the floor tomorrow and be held until Tuesday so all members would have a chance to review it. Co-chair Pearce noted that she had promised to meet a schedule for 27 April which the committee had and promised the first copies of the press tomorrow at 7:00 a.m. would be made available to all Senators. Senator Sharp announced that the committee would meet again tomorrow morning at 9:00 a.m. to consider several bills. Formal minutes of the meeting were not prepared since pertinent financial information is available in Conference Committee Reports on the FY 99 operating budget. The meeting was tape recorded and handwritten log notes as well as all amendments are filed in the official bill file. A copy of the tapes and log notes may be obtained by contacting either the office of the Senate Finance Committee Secretary (Phone: 907/465-2618) or the Reference Library (Phone: 907/465-3808). ADJOURNMENT Co-chair Pearce adjourned the committee at approximately 8:45 p.m. to reconvene again tomorrow morning at 9:00 a.m. SFC-98 -8- 4/26/98