Anchorage — Acting Commissioner Christina Carpenter and Administrative Services Director Megan Koehler presented the Department of Environmental Conservation’s FY26 operating request to the House Finance Committee on Feb. 14, describing a largely stable budget with three technical or small operating increments and continued work on PFAS, spill prevention and the state’s air and water programs.

DEC told lawmakers it has roughly 556 budgeted positions, 518 of which were filled as of Jan. 15, 2025; the department also reported about 64% of staff currently telework between two and four days per week under telework agreements.

The nut graf: DEC said the department’s FY26 asks are limited: a $45,000 UGF increment to cover higher utility costs at the department‑owned Environmental Health Laboratory in East Anchorage; a $3 million interagency receipt authority increase to consolidate building lease O&M accounting after FY25 intent language; and technical receipt cleanups in the Division of Water to move certain program fees into general fund program receipt authority.

Budget highlights and requests

Carpenter described DEC’s five divisions (administration, air quality, water, environmental health, and spill prevention and response) and emphasized staff training and program experience. The department said it issued 9,553 permits, approvals or reviews and conducted over 3,100 inspections and site visits during 2024.

Koehler explained the $3 million interagency receipt authority request is a structural change to move annual non‑state leased building operations and maintenance costs into a single location in the budget, reflecting FY25 intent language and a trend of more grants appearing on the capital side. The $45,000 UGF request sits in the facilities O&M RDU for the department’s only state‑owned building, the environmental health laboratory, and is intended to cover increases in utility costs since 2020.

PFAS, SIPs and spill prevention questions

Committee members questioned DEC about PFAS strategy, the state’s role versus Department of Transportation or federal agencies, and local impacts. Carpenter said DEC has been sampling and working with impacted property owners and responsible parties, and agreed to supply the committee with more specific actions and plans for legacy PFAS sites in writing. Legislators were told much PFAS testing and investigation on state airports and some contaminated sites has been led or funded by DOT or federal entities; DEC’s role often centers on permitting, testing and reimbursement programs for firefighting foam disposal established in recent legislation.

Representative Staff asked whether Fairbanks home buyers and sellers in the nonattainment area will be required to obtain energy ratings; Carpenter confirmed any such requirement tied to a court‑approved SIP revision would apply only in the Fairbanks nonattainment area and offered to follow up with cost estimates to the committee.

Spill prevention & response and lab operations

Koehler briefed on the spill prevention and response appropriation, including a reversal of one‑time FY25 authority tied to Senate Bill 67 (firefighting substance disposal reimbursement). She said unspent FY25 authority will be carried forward as needed and that DEC’s prevention account showed a healthy unobligated balance for FY24; the department agreed to provide the committee with a precise balance for the response account after the hearing.

Ending

DEC leadership closed by saying leadership and program staff have deep institutional experience and that the FY26 request is constrained largely to technical accounting and a modest lab utility increase. The department agreed to provide written follow up on PFAS site actions and response fund balances.

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