newsminer.com

JUNEAU — The Senate Finance Committee on Thursday rolled out a new version of the state’s capital budget that spends more than $1.5 billion, including $420 million in state general funds.

The new version also spends $798 million in federal funds and $350 million in other funds.

It includes major items like $46 million for a health sciences building at the University of Alaska Anchorage and $25 million for transmission lines to a proposed wind power facility on Fire Island, as well as small appropriations like $18,000 for sprinklers at Valdez High School.

The budget is smaller overall than last year’s, but is expected to grow before it leaves the Senate and again when it reaches the House. The bill spends less in general funds than lawmakers approved last year, but more than Gov. Sarah Palin allowed after using her line item veto.

Members of the bipartisan Senate majority argued this week that the capital budget should be allowed to grow in years of budget surpluses and can be used as a tool to stimulate the economy.

Members of the Republican minority argued it was important to limit spending and save for lean years in the future.

The Finance Committee released the new version of the bill late Thursday afternoon while taking public testimony on an earlier version. The bill is scheduled for another hearing this morning.

The new version includes more than $113 million in funding for the Fairbanks area, including nearly $20 million in state general funds. Most of the money is federal and would go toward a new University of Alaska Fairbanks research vessel and airport improvements.

The bill also includes $11 million for Dalton Highway improvements and money for an ambulance in Delta Junction and a community pole barn at the Salcha fair.

Sen. Joe Thomas, a Democrat from Fairbanks and member of the Finance Committee, said he needed more time to review the new version before commenting on it.

The bill is SB 221.

Here’s a sampling of the Fairbanks area projects in the new version.

• $14 million for the Ruth Burnett Sport Fish Hatchery (plus $25 million in another budget)

• $5 million for road service area projects

• $4.25 million for Chena Hot Springs Road rehabilitation

• $2.5 million for school fuel oil tank replacement

• $300,000 for the Ester Volunteer Fire Department station addition

• $225,000 for a facility expansion at the Hospice of the Tanana Valley

• $225,000 for a Steese fire/rescue truck

• $200,000 for a University area fire/rescue truck

• $192,500 for Birch Hill ski area facility improvements

• $40,000 for design of the Two Rivers Community Center

And here are a few projects that didn’t make the new version.

• The pipeline training center

• BIOS, the biological sciences facility at UAF.