03/26/2015 09:00 AM Senate FINANCE

SENATE JOINT RESOLUTION NO. 2                                                                                                 
                                                                                                                                
     Proposing an amendment to the Constitution of the                                                                          
     State of Alaska relating to contracting state debt for                                                                     
     postsecondary student loans.                                                                                               
                                                                                                                                
9:25:28 AM                                                                                                                    
                                                                                                                                
KRISTIN  PRATT,  STAFF,  SENATOR ANNA  MACKINNON,  explained                                                                    
that the  resolution would  amend Article  9, Section  8, of                                                                    
the Alaska  State Constitution to allow  for the contracting                                                                    
of  state   debt  for   postsecondary  student   loans.  She                                                                    
furthered  that  student  loan  debts  amounted  to  over  a                                                                    
trillion   dollars;  the   resolution  considered   lowering                                                                    
interest  rates   for  Alaskans.  She  concluded   that  the                                                                    
resolution would  be a no-cost  way to reduce the  debt that                                                                    
burdened Alaskans.                                                                                                              
                                                                                                                                
DIANE  BARRANS,  EXECUTIVE  DIRECTOR, ALASKA  COMMISSION  ON                                                                    
POSTSECONDARY EDUCATION,  DEPARTMENT OF EDUCATION  AND EARLY                                                                    
DEVELOPMENT,  expressed  appreciation  to  the  sponsor  for                                                                    
bringing  forth the  legislation. She  stated that  the bill                                                                    
was  a  meaningful  way  to   support  Alaskan  students  in                                                                    
financing their  own postsecondary education.  She suggested                                                                    
that  modest  adjustments  could   be  made  to  the  credit                                                                    
requirements  currently applied  to applicants,  which would                                                                    
allow more  students to qualify  for the loans.  She relayed                                                                    
that the  resolution would create a  refinancing opportunity                                                                    
for  students  already  in the  workforce  currently  facing                                                                    
outstanding higher rate debt.                                                                                                   
                                                                                                                                
9:28:06 AM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon opened public testimony.                                                                                     
                                                                                                                                
9:28:37 AM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon closed public testimony.                                                                                     
                                                                                                                                
SJR  2  was   HEARD  and  HELD  in   committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
Co-Chair MacKinnon discussed housekeeping.                                                                                      
                                                                                                                                
9:29:25 AM                                                                                                                    
                                                                                                                                
Co-Chair Kelly stated that the operating budget would be                                                                        
discussed in the committee the following week.