Legislature(1995 - 1996)

1995-03-28 Senate Journal

Full Journal pdf

1995-03-28                     Senate Journal                      Page 0813
SB 142                                                                       
SENATE BILL NO. 142 BY THE SENATE RULES COMMITTEE                              
BY REQUEST OF THE GOVERNOR, entitled:                                          
"An Act establishing the Alaska Human Resource                                
Investment Council and  transferring certain                                   
functions of other entities to the council;                                    
establishing a planning mechanism for employment                               
training and other human resource investment needs;                            
and providing for an effective date."                                          
was read the first time and referred to the State Affairs and Finance          

1995-03-28                     Senate Journal                      Page 0814
SB 142                                                                       
Fiscal note published today from Office of the Governor.  Zero                 
fiscal notes published today from University of Alaska, Department             
of Education, Department of Community and Regional Affairs,                    
Department of Labor, Department of Health and Social Services,                 
Department of Commerce and Economic Development.                               
Governor's transmittal letter dated March 24:                                  
Dear President Pearce:                                                         
Under the authority of art. III, sec. 18, of the Alaska Constitution,          
I am transmitting a bill that will establish the Alaska Human                  
Resource Investment Council as the lead state entity to plan and               
coordinate federal, state, and local employment training and human             
resource programs.  This bill consolidates the functions of three              
existing councils and commissions into a single council located in             
the Governor's office to provide coordinated oversight of job training         
programs throughout the state to ensure effective training that leads          
to employment of Alaskans.                                                     
This bill designs the Alaska Human Resource Investment Council                 
(AHRIC) to meet the federal statutory requirements for a                       
consolidated human resource investment council and is in response              
to anticipated changes that include the lump sum, block grant                  
funding scenario presently being proposed in Congress.   Twenty-one            
states have currently taken advantage of this option created under             
Title VII of the 1992 Job Training Partnership Act. It maximizes               
federal funds and avoids duplication of effort.                                
The consolidation will increase efficiency and effectiveness of job            
training and vocational education efforts within the state by                  
combining the existing staff and board members of the State Job                
Training Coordinating Council, the Employment Security Advisory                
Council and the Governor's Council on Vocational Education.   It               
reduces the current roster of 38 board and commission members to               
a maximum of 26.   This bill also envisions a key staff position to            
oversee the development of a collaborative strategic plan, facilitate          
the transitionary phase of the consolidation of the boards, and effect         
the merging of staff responsibilities in anticipation of major revisions       
in the Federal funding mechanisms for job training and vocational              

1995-03-28                     Senate Journal                      Page 0815
SB 142                                                                       
This legislation will provide an economy of scale for the many                 
advisory and oversight groups presently involved in job training,              
adult, and vocational education; eliminate state agency overlap in             
planning and data collection; increase the efficiency and effectiveness        
of existing training programs to meet the changing needs of Alaskan            
employers through private sector involvement; better prepare Alaskan           
workers for Alaskan jobs with targeted training programs and                   
recommend policy incentives for employers to seek out and hire                 
Alaskan workers.  In addition, the AHRIC will use its resources to             
open more opportunities for self-sufficiency to those Alaskan families         
presently receiving Aid to Families with Dependent Children in order           
to achieve our goal of putting our citizens presently receiving                
benefits back into the workforce with good jobs in the shortest time           
The council will be made up of at least 15 percent representation              
from education, 15 percent representation from industry, and 15                
percent representation from labor, as well as other representation that        
will bring valuable input to the human resources strategic planning            
process.  The bill also dictates that a private sector majority will sit       
on this board to insure that employers and labor have dynamic                  
involvement in designing effective programs.                                   
A full year of transition is proposed to insure the orderly transfer of        
functions from existing councils and commissions to AHRIC.  The                
councils and their volunteer members will plan an orderly                      
consolidation and contribute to the development of a long range                
strategic plan.  The Governor's Office staff member will compile and           
facilitate this development.  Thirteen additional state and federal            
programs may be considered during this period for inclusion under              
the advisory provisions of AHRIC.                                              
Enactment of this bill would enable the state to promote an efficient,         
effective, and integrated system of employment education and                   
training programs and services.  I urge your support of the bill.              
						Tony Knowles                                                             

1995-03-28                     Senate Journal                      Page 0816
SB 142                                                                       
Alaska Human Resource Investment Council                                     
Sectional Analysis                                                           
Section 1 of this bill sets out the legislative findings and the purpose       
for formulating the AHRIC.  The findings specifically address the              
importance of developing an integrated strategic planning process to           
look at the state's myriad training and educational programs in order          
to promote a most effective Alaskan work force that is prepared for            
Alaskan jobs.                                                                  
Section 2 directs the state Board of Education to consider the advice          
of the AHRIC regarding employment training needs and to advise                 
the AHRIC in the development of vocational education programs.                 
Section 3 makes a member of AHRIC a member of the Alaska                       
Commission on Postsecondary Education, replacing a member of the               
Council on Vocational Education.  The latter council, which is not             
created in state law, will be dissolved by governor's administrative           
order.  Section 4 includes the AHRIC as a state board or                       
commission whose membership is subject to the conflict of interest             
reporting requirements of AS 39.50.                                            
Section 5 establishes the AHRIC in the Office of the Governor and              
sets out the membership of the council.  Membership will be                    
reduced from 38 today to at least 23, and up to 26, representatives            
from state agencies, education, labor, industry, community                     
organizations, and at least one representative with a knowledge of             
developmental disabilities.  One to four additional, undesignated              
positions are provided to assure a private sector majority on the              
council and to assure regional and local representation.  The                  
lieutenant governor and specified commissioners are members of the             
council.  The governor would appoint the other members of the                  
council, who would serve for staggered four-year terms.  Additional            
nonvoting members could be appointed to the council.  The governor             
is to ensure that the individuals appointed to the council have the            
expertise needed to perform the functions of the council.                      
Section 5 also establishes the AHRIC as the state planning and                 
coordinating entity for certain state programs that are administered           
under a number of federal  provisions.  The functions of the AHRIC             
would include the facilitation of statewide human resources planning           
and the coordination of employment training and education programs.            

1995-03-28                     Senate Journal                      Page 0817
SB 142                                                                       
The AHRIC would assume the duties and functions of the state                   
councils that currently direct or advise the agencies that operate the         
federal programs.  The AHRIC also would submit a biennial                      
strategic plan to the governor and the legislature and monitor the             
implementation of the strategic plan.  Subject to legislative                  
appropriation, the budget for the council is to be drawn from money            
available to the programs that are coordinated by the council.                 
Sections 6 through 15 provide statutory and session law changes for            
consistency with the shift of responsibilities to the AHRIC, including         
deletion of references to the State Job Training Coordinating Council.         
Section 15 would repeal statutory provisions that establish or refer           
to the Employment Security Advisory Council.  Under sec. 22, the               
repeal would take effect January 1, 1996, after a transition period            
under sec. 16 during which functions will be transferred to the                
AHRIC.  Other councils whose duties or functions are to be assumed             
by the AHRIC, including the State Job Training Coordinating                    
Council, would be dissolved by administrative order as of January              
1, 1996, since they are not established in state statute.                      
As set out in sec. 16, during the transition period the boards and             
councils that oversee the federal and state program functions that             
would be assumed by the AHRIC would hold joint meetings to                     
facilitate the transfer of duties.  As specified in sec. 20, the               
transition provisions have an immediate effective date.  Under sec.            
21, the statutory provisions creating and transferring functions to the        
AHRIC take effect July 1, 1995.  During this year of transition                
existing councils and commissions will continue to provide for the             
requirements of existing Federal accounting and reporting                      
requirements in order to maximize our program revenues.  In                    
addition they will plan an orderly sunset of their responsibilities and        
empower the AHRIC to assume their duties with an effective date                
no later than July 1, 1996.                                                    
Sections 18 and 19 set out two reporting requirements that would               
constitute the immediate tasks of the AHRIC.  One report is to                 
address the consolidation of state human resources programs and the            
other is to make recommendations on the role that the private                  
industry councils, created under the federal Job Training Partnership          
Act, may play in the alliance of human resource programs.  Both                
reports are to be prepared and submitted no later than July 1, 1996.