OPINION
RABINOWITZ, Justice.
I.
INTRODUCTION
This appeal arises out of a negligence action filed against the State of Alaska by Alice
Arrowwood, Terry Arrowwood, and the estate of Adam Arrowwood (collectively, the Arrowwoods). The Arrowwoods contend that the State’s failure to sand the Parks Highway during icy conditions caused a motor vehicle accident which severely injured Alice Arrowwood and killed her son Adam. After trial the jury returned a special verdict finding that the State was not negligent. Final judgment in favor of the State was then entered. The Arrowwoods appeal from a number of the superior court’s pretrial determinations, including a grant of partial summary judgment in favor of the State on the issue of the State’s alleged negligent failure to close the highway, and the exclusion of certain evidence sought to be offered by the Arrowwoods.
II.
FACTS AND PROCEEDINGS
On January 23, 1988, at 3:39 p.m., Alice Arrowwood was involved in an automobile accident at Mile 39.5 of the Parks Highway, south of Wasilla. She lost control of her vehicle, which spun across the center lane and struck an oncoming pickup truck. Alice was severely injured and her son Adam, one of the vehicle’s passengers, was killed.
At the time of the accident, freezing rain had made the Parks Highway extremely icy. Numerous other accidents occurred at about the same time, including two on the Parks Highway within one-half mile of the site of the Arrowwood crash, at 3:13 p.m. and 3:40 p.m. respectively.
The Arrowwoods filed a negligence suit against the State seeking damages for injuries to Alice Arrowwood and for the death of Adam Arrowwood, amongst other relief. One of the Arrowwoods’ claims was that the State negligently failed to close the Parks Highway after receiving notice of numerous accidents on the icy road. The State moved for partial summary judgment on the ground that the decision to keep the highway open was a discretionary function for which the State was immune from liability under AS 09.50.250(1), the discretionary function exception to the Alaska Tort Claims Act. The superior court granted the State summary judgment on this claim. The superior court also granted a number of the State’s
in limine
motions to exclude certain evidence sought to be offered by the Arrowwoods. The Arrowwoods now appeal each of these pre-trial rulings.
III.
DISCUSSION
A.
The Applicability of AS 09.50.250(l)’s Discretionary Function Exception to a Decision to Keep a State Highway Open in Hazardous Conditions
The Arrowwoods contend that whether the State had a duty to close the Parks Highway because of icy conditions presented a jury question, and that the superior court’s grant of partial summary judgment to the State on this question was therefore improper.
The State responds that the decision of whether or not to close a state highway due to inclement weather is a discretionary function, and that the State is therefore immune from liability under AS 09.50.250(1).
The Alaska legislature abolished the common law doctrine of sovereign immunity by statute. AS 09.50.250. However, immunity was retained in those cases where the action sounds in tort and is “based upon the exercise or performance or the failure to exercise or perform a discretionary function or duty on the part of a state agency.” AS 09.50.250(1).
In prior decisions interpreting AS 09.50.250(1), we have held that the discretionary function exception applies only to “government decisions entailing planning or policy formation.”
These eases distinguish between “planning level” decisions, which fall under the exception because they involve for
mulation of basic policy, and “operational level” or ministerial decisions, which are not exempt because they involve only the implementation or execution of that policy.
In applying the planning level-operational level test, consideration will be given to the reasons for granting immunity.
We have noted that “[t]he purpose of the discretionary function exception is to preserve the separation of powers inherent to our form of government by recognizing that it is the function of the state, and not the courts or private citizens, to govern.”
The discretionary function exception also ensures that courts avoid the re-examination of decisions which lie outside the realm of their institutional competence.
Additionally, this exception gives members of the executive and legislative branches latitude to perform their policy-making functions without the fear of incurring liability.
The State relies primarily on
Earth Movers of Fairbanks, Inc. v.
State
in support of its argument that its decision to not close a road due to inclement weather is a discretionary function.
Earth Movers
involved a roadbuilder’s contract action for delay damages resulting from a state trooper’s decision to lower the speed limit on a road under construction.
Because Earth Movers’ trucks were forced to slow down, it failed to meet its contractual deadline for completion of the project. In that case we held that the trooper’s decision to lower the speed limit on a state highway was a discretionary function and that both the trooper and the State were therefore immune from suit for the resulting consequences.
We agree that
Earth Movers
controls resolution of the superior court’s grant of partial summary judgment. In both cases, the state officials involved were required to evaluate the particular road conditions to determine whether a hazard existed sufficient to warrant additional traffic controls. Furthermore, in both cases the relevant statutory and administrative code provisions do not require officials to act to carry out a predetermined policy. Rather the language of these provisions delegates to officials on the scene the authority to act if their evaluation of road conditions leads them to conclude that such action is necessary.
We believe
that such a decision could not be classified as merely ministerial or operational.
The policies supporting the discretionary function exception also suggest that governmental immunity is appropriate.
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OPINION
RABINOWITZ, Justice.
I.
INTRODUCTION
This appeal arises out of a negligence action filed against the State of Alaska by Alice
Arrowwood, Terry Arrowwood, and the estate of Adam Arrowwood (collectively, the Arrowwoods). The Arrowwoods contend that the State’s failure to sand the Parks Highway during icy conditions caused a motor vehicle accident which severely injured Alice Arrowwood and killed her son Adam. After trial the jury returned a special verdict finding that the State was not negligent. Final judgment in favor of the State was then entered. The Arrowwoods appeal from a number of the superior court’s pretrial determinations, including a grant of partial summary judgment in favor of the State on the issue of the State’s alleged negligent failure to close the highway, and the exclusion of certain evidence sought to be offered by the Arrowwoods.
II.
FACTS AND PROCEEDINGS
On January 23, 1988, at 3:39 p.m., Alice Arrowwood was involved in an automobile accident at Mile 39.5 of the Parks Highway, south of Wasilla. She lost control of her vehicle, which spun across the center lane and struck an oncoming pickup truck. Alice was severely injured and her son Adam, one of the vehicle’s passengers, was killed.
At the time of the accident, freezing rain had made the Parks Highway extremely icy. Numerous other accidents occurred at about the same time, including two on the Parks Highway within one-half mile of the site of the Arrowwood crash, at 3:13 p.m. and 3:40 p.m. respectively.
The Arrowwoods filed a negligence suit against the State seeking damages for injuries to Alice Arrowwood and for the death of Adam Arrowwood, amongst other relief. One of the Arrowwoods’ claims was that the State negligently failed to close the Parks Highway after receiving notice of numerous accidents on the icy road. The State moved for partial summary judgment on the ground that the decision to keep the highway open was a discretionary function for which the State was immune from liability under AS 09.50.250(1), the discretionary function exception to the Alaska Tort Claims Act. The superior court granted the State summary judgment on this claim. The superior court also granted a number of the State’s
in limine
motions to exclude certain evidence sought to be offered by the Arrowwoods. The Arrowwoods now appeal each of these pre-trial rulings.
III.
DISCUSSION
A.
The Applicability of AS 09.50.250(l)’s Discretionary Function Exception to a Decision to Keep a State Highway Open in Hazardous Conditions
The Arrowwoods contend that whether the State had a duty to close the Parks Highway because of icy conditions presented a jury question, and that the superior court’s grant of partial summary judgment to the State on this question was therefore improper.
The State responds that the decision of whether or not to close a state highway due to inclement weather is a discretionary function, and that the State is therefore immune from liability under AS 09.50.250(1).
The Alaska legislature abolished the common law doctrine of sovereign immunity by statute. AS 09.50.250. However, immunity was retained in those cases where the action sounds in tort and is “based upon the exercise or performance or the failure to exercise or perform a discretionary function or duty on the part of a state agency.” AS 09.50.250(1).
In prior decisions interpreting AS 09.50.250(1), we have held that the discretionary function exception applies only to “government decisions entailing planning or policy formation.”
These eases distinguish between “planning level” decisions, which fall under the exception because they involve for
mulation of basic policy, and “operational level” or ministerial decisions, which are not exempt because they involve only the implementation or execution of that policy.
In applying the planning level-operational level test, consideration will be given to the reasons for granting immunity.
We have noted that “[t]he purpose of the discretionary function exception is to preserve the separation of powers inherent to our form of government by recognizing that it is the function of the state, and not the courts or private citizens, to govern.”
The discretionary function exception also ensures that courts avoid the re-examination of decisions which lie outside the realm of their institutional competence.
Additionally, this exception gives members of the executive and legislative branches latitude to perform their policy-making functions without the fear of incurring liability.
The State relies primarily on
Earth Movers of Fairbanks, Inc. v.
State
in support of its argument that its decision to not close a road due to inclement weather is a discretionary function.
Earth Movers
involved a roadbuilder’s contract action for delay damages resulting from a state trooper’s decision to lower the speed limit on a road under construction.
Because Earth Movers’ trucks were forced to slow down, it failed to meet its contractual deadline for completion of the project. In that case we held that the trooper’s decision to lower the speed limit on a state highway was a discretionary function and that both the trooper and the State were therefore immune from suit for the resulting consequences.
We agree that
Earth Movers
controls resolution of the superior court’s grant of partial summary judgment. In both cases, the state officials involved were required to evaluate the particular road conditions to determine whether a hazard existed sufficient to warrant additional traffic controls. Furthermore, in both cases the relevant statutory and administrative code provisions do not require officials to act to carry out a predetermined policy. Rather the language of these provisions delegates to officials on the scene the authority to act if their evaluation of road conditions leads them to conclude that such action is necessary.
We believe
that such a decision could not be classified as merely ministerial or operational.
The policies supporting the discretionary function exception also suggest that governmental immunity is appropriate. If we ruled otherwise, the result would be that state officials would be forced to close state highways upon receiving notice of the first accident which resulted from adverse weather and road conditions, or else risk incurring liability for failure to do so. Given the long winters and harsh weather conditions which occur throughout most of Alaska, such a decision would make road travel at best unreliable. We therefore hold that the State’s refusal to close the Parks Highway was a planning-level decision which falls within the ambit of the discretionary function exception provided for in AS 09.50.250(1). Accordingly, the State is immune from liability and the superior court properly granted partial summary judgment to the State on this issue.
B.
The Exclusion of Evidence Pertaining to Budget Reductions for Road Maintenance
The Arrowwoods next contend that the superior court abused its discretion by excluding evidence relating to the effect of reductions in DOT’s budget upon the level of road maintenance in the Palmer-Wasilla region.
The Arrowwoods argue that this evidence is “relevant to show the reasonableness of the state’s road maintenance program, and whether sufficient resources were being allocated to that purpose to perform the maintenance program in a non-negligent fashion.”
It is well established that both legislative appropriations and executive department budget decisions are discretionary functions immune from judicial inquiry. This is because both concern the allocation of scarce resources between and among competing policy measures. For example, in
Freeman v.
State
we held that the State was immune from liability for not allocating sufficient funds to provide dust control on the Dalton Highway. In
Freeman,
we reasoned that “[t]he decision appears to be one involving such basic policy factors as the cost of such a program, alternative uses for the money that would be needed for such a program, and the physical and environmental detriments which would be inherent in the several dust control alternatives under consideration.”
Similarly, the proper focus of the present case is not the budgetary decisions of the legislature, or the DOT’s allocations of resources to the Palmer Maintenance District,
but rather what the Palmer Maintenance District did with the resources that it received.
The Arrowwoods present no way to distinguish the effect of the budget decisions here from the effect of budget decisions in any other tort claim where the State is a defendant. Thus, the general rule placing budget decisions among immune discretionary functions applies here. Because the Arrowwoods could not premise a finding of negligence on an immune decision, the superior court could properly exclude their evidence regarding budget cuts on the grounds that this evidence was not relevant.
See
Alaska R.Evid. 402.
C.
Exclusion of the Interview with Richard Law
The Arrowwoods’ third assignment of error is that the superior court abused its discretion when it granted the State’s
in limine
motion excluding the transcript of a recorded interview of Richard Law.
The Arrowwoods also argue that the superior court erred by not permitting their experts to rely on the transcript.
Law was a local resident who monitored police radio transmissions on the day of the accident.
In the interview, Law stated that he had driven on the Parks Highway during the day and had observed that there were portions covered by “glare ice.” Additionally, Law stated that he seems to recall hearing two calls on the radio for sand trucks before the time of the accident. Finally, after the accident Law apparently heard calls for sand trucks and he actually saw the trucks approximately thirty minutes later while going to pick up his daughter from school. The Arrowwoods’ highway maintenance and accident reconstruction experts intended to use the interview to “help ... evaluate the condition of the roads [on the day of the accident.]” These experts presumably could also use the interview to help them determine what actions the State took to mitigate the hazardous conditions on the Parks Highway and when these actions were taken relative to the accident.
Despite the fact that the interview transcript is hearsay,
the Arrowwoods argue that it is admissible pursuant to Alaska Rules of Evidence 703 and 705.
Evidence Rule 703 states:
The facts or data in the particular case upon which an expert bases an opinion or inference may be those perceived by or made known to the expert at or before the hearing.
Facts or data need not be admissible in evidence, but must be of a type reasonably relied upon by experts in the particular field in forming opinions or inferences upon the subject.
(Emphasis added.)
Although Rule 703 is meant to expand the breadth of information upon which an expert witness may rely, it is not intended merely to provide a conduit for the admission of otherwise inadmissible evidence.
The
rule instead recognizes that part and parcel of an individual obtaining expertise in a particular subject area is the ability to distinguish between reliable and unreliable data on which to base his or her conclusion. Thus, the rule accords experts a degree of deference in determining whether specific facts or data are “of a type reasonably relied upon by experts in the particular field.” However, as one treatise notes, “the degree of deference that is appropriate varies by subject matter and underlying basis. Closer judicial scrutiny is appropriate, for example, where [the] adequacy [of the information relied upon by the expert] relates to the credibility of human sources who report conventional factual information.”
This is not because the expert lacks the ability to distinguish between reliable and unreliable information but “Mather ... [because] courts too are skilled and experienced in the task and should be expected to look closely at reliance issues.”
As mentioned above, the interview transcript at issue in the present case contains little more than one witness’ observations that (1) the Parks Highway was icy on the day of the accident and (2) he did not hear any calls for sanders on the police scanner. These observations do not require technical expertise to be understood by a trier of fact. Thus, the trial court was just as capable of evaluating the reliability of this evidence as were the Arrowwoods’ experts. Furthermore, upon reviewing the interview transcript we conclude that the statements contained therein could have reasonably been viewed by the superior court as unreliable for the purpose of evaluating the road conditions at the time and place of the accident.
Accordingly, we hold that the superior court did not abuse its discretion in concluding that it was not reasonable for the experts to rely on the Law transcript.
Additionally, we note that even if the superior court abused its discretion, its failure to admit the Law transcript would not require reversal of the jury’s special verdict. A party appealing the exclusion of evidence must show not only that such exclusion was improper, but that it resulted in prejudice to that party.
In the present case, the Arrow-woods have not shown that they have been prejudiced by the exclusion of the Law testimony. Neither of the Arrowwoods’ experts
was prevented from testifying, and their opinions at trial were the same as those they gave in depositions taken prior to the motion to exclude the evidence.
D.
Exclusion of the Testimony of Chris Crouch
Finally, the Arrowwoods contend that the superior court abused its discretion in excluding the testimony of Chris Crouch. Crouch operated a towing company and snow plow business in the vicinity of the accident.
In its oral ruling on the
in limine
motion, the superior court excluded Crouch’s opinion testimony as to “the quality of the response of the State of Alaska to inclement weather conditions in the Mat>-Su valley.”
Alaska Evidence Rule 701 governs the admissibility of opinion testimony by lay witnesses:
If the witness is not testifying as an expert, his testimony in the form of opinions or inferences is limited to those opinions or inferences which are (a) rationally based on the perception of the witness and (b) helpful to a clear understanding of his testimony or the determination of a fact in issue.
The Arrowwoods argue that because Crouch ran a towing and snow plowing business, and because she regularly monitored a police scanner radio in the course of this business, she was able to judge the State’s normal response time to reports of hazardous conditions.
According to the instructions given to the jury, the Arrowwoods had to prove the following elements in order to demonstrate that the State was negligent: (1) that at the time and place of the crash the highway was in a “dangerous condition”; (2) that the dangerous condition caused the crash; (3) that the accident was a foreseeable result of the dangerous condition; and (4) that the State either had notice of the condition and failed to act, or failed to act reasonably in maintaining the road.
Crouch had no recollection
regarding the condition of the Parks Highway on the day of the accident. Thus, if Crouch’s opinion was helpful to a determination of any fact in issue, it must have been on the fourth element (i.e., the reasonableness of the State’s maintenance efforts).
However, the use of Crouch’s testimony for this purpose is problematic. The Arrow-woods have never challenged the State’s assertion that Crouch had no firsthand knowledge of the State’s road maintenance procedures or the resources available for this purpose. Her opinion is instead based on what she has heard over the police scanner combined with her experience on the roads in the course of her business.
We believe that this limited information as to the State’s highway maintenance practices is not sufficient to satisfy the requirements of Rule 701(a). An evaluation of the reasonableness of the State’s efforts must include consideration of numerous other factors such as the resources which are available, the physical area which must be maintained, and the actual procedures used to allocate those resources.
Accordingly, we conclude that the superior court did not abuse its discretion in applying Rule 701 to exclude Crouch’s lay opinion testimony even as to this issue.
Nor does Crouch’s testimony satisfy the requirement of Rule 701(b) — that it be relevant to a fact in issue. To prevail in this action, it is not sufficient for the Arrowwoods to show that the State was sometimes negligent in its maintenance of the Parks Highway. Instead, the relevant inquiry is whether the State was negligent in failing to reasonably maintain the area around mile 39.5 of the Parks Highway on the date of the Arrow-woods’ accident. However, as noted above, Ms. Crouch has no recollection of the road conditions or the State’s actions on the day of the accident.
IV.
CONCLUSION
The superior court did not err in granting the State’s motion for partial summary judgment as to whether the failure to close the Parks Highway was a discretionary function for which the State is immune from liability. Further, the superior court did not abuse its discretion in excluding evidence of budget reductions for highway maintenance, the interview of Richard Law, or the testimony of Chris Crouch. We therefore AFFIRM the superior court’s judgment.