Legislature(2015 - 2016)

2016-07-11 Senate Journal

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2016-07-11                     Senate Journal                      Page 3043
SB 138                                                                                                                        
Message dated June 28 was read stating:                                                                                         
Dear President Meyer:                                                                                                           
On this date, I have signed, with line item vetoes, the following bill                                                          
passed by the Fourth Special Session of the Twenty-Ninth Alaska                                                                 
State Legislature and am transmitting the engrossed and enrolled                                                                
copies to the Office of the Lieutenant Governor for permanent filing:                                                           
          HOUSE CS FOR CS FOR SENATE BILL                                                                                       
          NO. 138(FIN) am H(brf sup maj fld H) "An Act                                                                          
          making and amending appropriations, including                                                                         
          capital appropriations, supplemental appropriations,                                                                  
          reappropriations, and other appropriations; making                                                                    
          appropriations to capitalize funds; and providing for                                                                 
          an effective date."                                                                                                   
                            Chapter 2, 4SSLA 2016                                                                              
                         Effective Date: See Chapter                                                                           
As passed by the Legislature, the bill contains capital appropriations,                                                         
supplemental appropriations, reappropriations, and other                                                                        
appropriations for fiscal years 2016 and 2017, totaling $1.67 billion,                                                          
including $171.6 million in unrestricted general funds and $59 million                                                          
in designated general funds. The bill prioritizes funding for projects                                                          
that leverage federal and local dollars, energy and housing,                                                                    
maintenance, legal obligations, and critical school replacement. In this                                                        
difficult fiscal time, any spending must be taken in the context of the                                                         
fiscal deficit and remaining savings. I commend the Legislature for                                                             

2016-07-11                     Senate Journal                      Page 3044
limiting capital appropriations; however, given our significant fiscal                                                          
restraints, I have made the following changes to the bill through line                                                          
item veto:                                                                                                                      
Section 1, page 5, line 33, is an appropriation to the Department of                                                            
Natural Resources for a Snowmobile Trail Development Program of                                                                 
$250,000. These funds are collected by the Alaska Division of Motor                                                             
Vehicles through snowmobile registration fees and should stay in the                                                            
general fund to preserve state savings.                                                                                         
Section 1, page 6, line 33, is an appropriation to the Department of                                                            
Revenue, Alaska Housing Finance Corporation (AHFC) for                                                                          
Supplemental Housing Development of $3,000,000. This project has                                                                
been reduced by $750,000 to preserve state savings.                                                                             
Section 26(b), page 42, line 31, is a reappropriation of the unexpended                                                         
and unobligated balances, not to exceed $6,600,000 from the AHFC                                                                
Home Energy Rebate Program to the AHFC Weatherization Program.                                                                  
This reappropriation has been reduced by $1,650,000 to preserve state                                                           
savings. Further, the AHFC is in the process of discontinuing the                                                               
Home Energy Rebate Program and these funds will be returned to the                                                              
state's savings account.                                                                                                        
Section 31, page 48, lines 25 - 29, proposes to reappropriate the                                                               
unexpended and unobligated balance, estimated to be $18,852,256, of                                                             
the appropriation made in Sec. 1, Ch. 16, SLA 2013, page 12, lines 20                                                           
- 25 (Anchorage, U-Med district northern access - $20,000,000) to the                                                           
University of Alaska for the design and construction of the U-Med                                                               
district northern access project. This transportation project falls                                                             
outside of the Department of Transportation and Public Facilities'                                                              
federal Surface Transportation Program which receives 91 percent                                                                
federal match for state projects. This project will be suspended to                                                             
preserve the estimated general fund balance.                                                                                    
In regard to the appropriation to purchase the Wells Fargo building for                                                         
the Anchorage Legislative Information Office, I will respect the                                                                
Legislature's appropriation authority and space needs. Although I did                                                           
not veto the funding, I challenge the Legislature to consider the state's                                                       
fiscal situation before buying a new building.                                                                                  

2016-07-11                     Senate Journal                      Page 3045
While these vetoes do not come close to solving our deficit, they are a                                                         
necessary step in the process of preserving savings until appropriate                                                           
revenue measures are available to provide a sustainable balanced                                                                
Bill Walker