Legislature(2001 - 2002)
2001-02-23 House Journal
Full Journal pdf2001-02-23 House Journal Page 0410 HB 138 HOUSE BILL NO. 138 by the House Rules Committee by request of the Governor, entitled: "An Act relating to the delay of the reduction of supplementary public school funding; and providing for an effective date." was read the first time and referred to the House Special Committee on Education, and the Health, Education & Social Services, and Finance Committees. 2001-02-23 House Journal Page 0411 The following fiscal note(s) apply: 1. Fiscal, Dept. of Education & Early Development The Governor's transmittal letter dated February 20, 2001, appears below: "Dear Speaker Porter: Caring about Alaska's students means caring about ALL students, regardless of where they live and go to school. Allocation of public school funding must be equitable, not competitive. This bill I transmit today suspends a provision that created divisiveness in our school funding formula by limiting the funding for enrollment increases in primarily rural districts. The suspension will be in place pending a comprehensive statewide review of educational costs and specific recommendations to the legislature to make any necessary adjustments to the formula. This legislation is built on the recommendations of the Education Funding Task Force. The current funding formula, which became effective beginning with the 1998 - 1999 school year, was a major departure from the previous school foundation formula and resulted in a substantial reallocation of funding from the regional educational attendance areas in rural Alaska to the urban school districts of the state. To mitigate the loss of funding to these rural districts, the formula provided a supplementary funding floor to hold those districts harmless from a decrease in funding at 1999 enrollment levels. At the same time, a school district with a funding floor that has an increase in enrollment from 1999 is eligible for only 60% of the increased funding entitlement. This formula makes the patently unjust statement that a rural student deserves less school funds than an urban student. Under this bill, all school districts are eligible for 100% of the school funding calculated under the state funding formula for increased enrollment until fiscal year 2004. During this time, the Department of Education & Early Development will contract to devise a method for determining and updating district cost factors using information on the cost of providing educational services. I will seek additional funds in my fiscal year 2002 amended budget for this study. 2001-02-23 House Journal Page 0412 This legislation is an investment in Alaska's future. I urge your prompt and favorable action on this bill. Sincerely, /s/ Tony Knowles Governor"