Legislature(1993 - 1994)
1993-01-22 House Journal
Full Journal pdf1993-01-22 House Journal Page 0131 HB 82 HOUSE BILL NO. 82 by the House Rules Committee by request of the Governor, entitled: 1993-01-22 House Journal Page 0132 HB 82 "An Act relating to school construction grants and major maintenance grants to school districts; providing for school district participation in the cost of school construction and major maintenance; creating a major maintenance grant fund; and providing for an effective date." was read the first time and referred to the Health, Education & Social Services and Finance Committees. The following fiscal notes apply: Fiscal note, Dept. of Education, 1/22/93 Zero fiscal note, Dept. of Revenue, 1/22/93 Zero fiscal note, Dept. of Transportation & Public Facilities, 1/22/93 The Governor's transmittal letter, dated January 22, 1993, appears below: "Dear Speaker Barnes: Under the authority of art. III, sec. 18, of the Alaska Constitution, I am transmitting a bill that changes the existing school construction grant program in AS14.11. During 1992 the facilities committee of Alaska 2000 discussed the existing method of allocating school construction grants. This bill, if enacted into law, divides grants under the program into two categories, provides a separate fund for each of the categories, and requires school districts to provide a participating share in order to obtain a grant. The main thrust of the bill is to separate grants under the existing program into two categories -- grants for school construction and grants for major maintenance of school facilities -- and to create a separate grant fund for the major maintenance projects. Major maintenance projects are those necessary to protect the structure of existing school facilities or to correct building code deficiencies that require major repair or rehabilitation in order for the facility to continue to be used for the educational program. Existing AS14.11.005 creates the school construction grant fund; this bill adds a major maintenance grant fund. Legislative appropriations for the two different types of school facility projects will go into the 1993-01-22 House Journal Page 0133 HB 82 appropriate fund and will be subject to the existing grant procedures in AS 14.11. The bill makes amendments to those grant procedures to acknowledge the separate categories. The bill also makes conforming amendments to AS14.03.150(c) and AS 14.07.020(a)(11). Separation of the two types of projects allows separate prioritization of projects, and should result in an improved planning and funding process. The bill also adds a requirement that, in order to receive a school construction or major maintenance grant, a school district must provide a participating share of the project cost. The participating share for a city or borough school district is based on the full and true value of the taxable real and personal property in the district as of a certain date, and on the district's average daily membership (ADM). A district with a relatively higher property value per ADM will have a relatively higher percentage participating share. City and borough school districts will be required to provide a participating share beginning with grants awarded in fiscal year 1994. A regional educational attendance area (REAA) participating share is a set percentage of the project cost, although the commissioner of education is authorized to waive all or a portion of the required participating share under certain circumstances. Under the bill, REAAs will not be subject to the requirement for a participating share until fiscal year 1995. In addition, the bill adds a new subsection to AS14.11.017. Existing AS14.11.017(b) authorizes use of grant money under the program to pay the cost of certain activities even if the costs were incurred before the grant application was approved, the grant was awarded, or money was appropriated for the grant. New AS14.11.017(c) would clarify that the Department of Education can establish the time period in which those activities must have occurred in order to be paid under the grant. These changes in the way the school construction grant program operates should improve the educational environment of our students and increase the responsibility of school districts in planning for, 1993-01-22 House Journal Page 0134 HB 82 requesting, and using grant money for school facilities. I urge your early and favorable consideration of this important legislation. Sincerely, /s/ Walter J. Hickel Governor"