FY11 Operating Budget
The Conference Committee finalized the FY11 state operating budget
yesterday afternoon with a few open items yet to be determined. The six
members consist of: Senators Hoffman, Stedman and Thomas, and
Representatives Hawker, Stoltze and Gara.
The Conference Committee has been given limited powers, meaning the only
items open for discussion were those that differed between the House
and Senate. The committee and accepted the Senate numbers for the open
items on the UA budget. The only number from the House budget was the
ANSEP piece ($940,000 to the Dept. of Education for K-12 bridging.) (See
UA Budget )They accepted the intent language from the House, kept the
seven appropriations, and included the 3% transfer of funds to the BOR
for more flexibility.
Once the few open items are resolved, the House and the Senate will
approve the Conference Committee version on both floors before
adjournment. It will then be sent to the Governor for consideration.
FY11 Capital Budget
Now the focus is on the FY11 capital budget. It’s complicated. Bottom
line is the Life Sciences Facility may be funded with a number of
funding sources, including a general obligation bond, a university
revenue bond, and general fund dollars. As of April 12, the House passed
a $397.2 million GO bond bill to include $207 million for UA, including
full funding of the Life Sciences Facility at $88 million, as well as
several UA building projects, including:
$88.0 million Life Sciences Facility
$60.0 million UAA community arena and athletic facility
$14.5 million Kenai campus housing and technical education
$16.0 million Kenai campus housing
$23.5 million MatSu campus Valley center for art and learning
$ 5.0 million Prince William Sound Community College campus R&R
Also included in the GO Bond bill is:
$20.0 million Mt. Edgecumbe High School aquatic facility
$18.5 million State Library/Archives/Museum facility
$46.5 million Alakanuk K-12 school replacement
$49.9 million Kipnuk K-12 school renovation/addition
$32.1 million Kwigillingok K-12 school renovation/addition
$20.0 million Dept of Fish and Game Near Island Research Facility
$ 3.2 million City of Klawock for Prince of Wales Island Voc Ed Center
$ 4.77 million Bond sale expenses
Although the House Finance Committee noted intent to fund the Life
Sciences Facility and UAA Sports Facility with some cash, the actions on
the House Floor would indicate funding will come from the GO bonds.
Total capital spending could be over $2.8 billion when the actions are
finalized. Note there is currently $12.2 billion in state savings
account.
The Senate has been holding onto the FY11 capital budget (SB 230), which
includes over $2.2 billion in spending. The University projects funded
with general fund dollars include $37.5M for deferred maintenance, $1.4M
for community campus planning, and $5M for the UAA Engineering facility
planning. Also included is $20.6M (UA revenue bond) for the Life
Sciences Facility, $15M in receipt authority.
Bottom line on UA capital projects: It’s not over until the legislature adjourns.
Pending legislation
A number of bills are working their way through the committee process,
and committees are now working through the early hours of the evening
and weekend to get the hearings completed before the legislature
adjourns April 18th. Any bill not acted on by both bodies and passed,
will die on April 18th at midnight.
GPS – Probably will not pass this year, and the Department of
Education will continue to work through the issues in this regard.
However, SB 174 would include funding to partially pay for the UA
Scholars Program, and open the scholarship up to the top 15% of Alaska
High School graduates.
Higher Education Tax Credits – SB 236 has made its way over to
the House Finance Committee and it looks like there is still time for
passage. The House version (HB 367) has already had a number of hearings
on the House side.
