2003-03-06                     Senate Journal                      Page 0388
SB 104                                                                                            
SENATE BILL NO. 104 BY THE SENATE RULES COMMITTEE                                                   
BY REQUEST OF THE GOVERNOR, entitled:                                                               
                                                                                                    
             "An Act repealing the charter school grant program;                                   
          and providing for an effective date."                                                     
                                                                                                    
was read the first time and referred to the Health, Education and Social                            
Services and Finance Committees.                                                                    
                                                                                                    
The following fiscal information was published today:                                               
 Fiscal Note No. 1, Department of Education and Early                                               
 Development                                                                                        
                                                                                                    
Governor's transmittal letter dated March 5:                                                        
                                                                                                    
Dear President Therriault:                                                                          
                                                                                                    
Under the authority of art. III, sec. 18, of the Alaska Constitution, I am                          
transmitting a bill that would discontinue the state start-up grants for                            
charter schools. The state grant program, implemented in FY2002,                                    
allocates $500 per ADM for each new charter school. This funding                                    
was intended to supplement the federal start up grants for charter                                  
schools.                                                                                            
                                                                                                    
The Alaska Department of Education and Early Development is                                         
working closely with U.S. Department of Education to increase the                                   
level of start-up grants provided by the federal government therefore                               
eliminating the need for the state supplemental grant program                                       
beginning in FY 2005. The state will allocate to a new charter school                               
$150,000 a year for the first three years and $45,000 in the forth year                             
for a total of $495,000 in start up funds over the four year period.                                
                                                                                                    
                                                                                                    

2003-03-06                     Senate Journal                      Page 0389
This bill is effective July 1, 2004. The delayed implementation will                                
allow the state to fulfill its commitment of start-up grants to the                                 
existing charter schools. Any new charter schools approved to operate                               
in FY 2004 will be eligible for the federal grant funds.                                            
                                                                                                    
I urge your prompt and favorable action on this measure.                                            
                                                                                                    
Sincerely,                                                                                          
/s/                                                                                                 
Frank H. Murkowski                                                                                  
Governor