Legislature(2011 - 2012)CAPITOL 106

01/23/2012 08:00 AM House EDUCATION


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08:07:23 AM Start
08:09:26 AM HB145
10:03:01 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 145 K-12 SCHOLARSHIP PROGRAM TELECONFERENCED
Heard & Held
                HB 145-K-12 SCHOLARSHIP PROGRAM                                                                             
                                                                                                                                
8:09:26 AM                                                                                                                    
                                                                                                                                
CHAIR DICK  announced that  the only order  of business  would be                                                               
HOUSE  BILL NO.  145, "An  Act establishing  the parental  choice                                                               
scholarship program  to be administered  by school  districts for                                                               
the purpose of  paying the cost of  attending grades kindergarten                                                               
through 12  at public and  private schools; and providing  for an                                                               
effective date."                                                                                                                
                                                                                                                                
8:09:35 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRUITT  moved to  adopt committee  substitute (CS)                                                               
for HB 145, labeled 27-LS0223\Y, Mischel, 1/21/12.                                                                              
                                                                                                                                
REPRESENTATIVE P. WILSON objected for discussion.                                                                               
                                                                                                                                
8:10:22 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE WES KELLER, Alaska  State Legislature, updated the                                                               
committee  on action,  during the  legislative interim,  that has                                                               
occurred regarding HB 145.   A statewide survey was conducted, by                                                               
the [Milton]  Friedman [For Educational Choice],  to discover the                                                               
level of interest  in school choice.  He  summarized a particular                                                               
question from  the survey, which queried  whether residents would                                                               
agree  to  have   a  voucher  program  payable   for  tuition  at                                                               
private/religious  schools, utilizing  state  funds budgeted  for                                                               
the  base student  allocation (BSA).   The  survey reported  a 64                                                               
percent approval  rate for the  concept.  However,  he emphasized                                                               
that the bill, more accurately,  proposes to establish a separate                                                               
appropriation for  the school choice  program, and does  not draw                                                               
upon the BSA  funding.  Responding to  committee member requests,                                                               
Representative Keller  finished his  recap of the  original bill,                                                               
underscoring that  the intent of  this legislation is  to support                                                               
school  choice, inclusive  of private  schools,  and that  public                                                               
money should  be utilized for  the best benefit of  the children.                                                               
Addressing  the  CS, he  said  it  does  not alter  the  primary,                                                               
original, intent of the bill,  but three significant changes have                                                               
been introduced.   First, Version Y  language repositions program                                                               
administration, placing  it under  the purview of  the Department                                                               
of  Education  and  Early  Development  (EED),  rather  than  the                                                               
individual school districts.  Secondly,  the program it clarifies                                                               
that  the  program  is  to  be  exclusive  for  private/religious                                                               
schools.  Finally, a requirement is  made to have the actual cost                                                               
reflected,  and  to  include  a  funding  cap  based  on  what  a                                                               
similarly  situated public  school student  would be  eligible to                                                               
receive.                                                                                                                        
                                                                                                                                
8:17:01 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON observed  that the  original bill  applied                                                               
more  broadly, to  a variety  of schools,  and Version  Y adheres                                                               
strictly to private religious schools.                                                                                          
                                                                                                                                
CHUCK KOPP, Staff, Senator Fred  Dyson, Alaska State Legislature,                                                               
responded yes, and indicated that  Senator Dyson has introduced a                                                               
companion bill in the other body.                                                                                               
                                                                                                                                
REPRESENTATIVE  KELLER  reminded  the   committee  that  not  all                                                               
private schools are religious.                                                                                                  
                                                                                                                                
8:18:08 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON  asked whether  the  bill  is directed  to                                                               
private religious or private/religious schools.                                                                                 
                                                                                                                                
REPRESENTATIVE KELLER  clarified that the bill  would allow state                                                               
funds to be directed to  any private school, without restriction.                                                               
Further, he said  that the passage of CSHB145  is contingent upon                                                               
the passage of  HJR 16, which amends the  Alaska Constitution and                                                               
the Blaine amendments therein.                                                                                                  
                                                                                                                                
MR.  KOPP  added that  the  Alaska  Constitution prohibits  state                                                               
funding  from  being  distributed,  as a  direct  benefit,  to  a                                                               
private or  religious institution, and this  legislation proposes                                                               
to  alter  that  language.    He  explained  that  Version  Y  is                                                               
restricted to  private/religious schools, because,  state funding                                                               
options  already  exist  for public,  charter,  and  home  school                                                               
opportunities.                                                                                                                  
                                                                                                                                
8:20:22 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON inquired  whether  the  CS eliminates  any                                                               
schools, such  as correspondence  programs, that  were previously                                                               
included in HB 145.                                                                                                             
                                                                                                                                
REPRESENTATIVE  KELLER responded  that it  does not  qualify "any                                                               
more  than it  did before;  it  just takes  out the  fact that  a                                                               
participating  school could  be a  public school."   Further,  he                                                               
said that the term private school is well defined in statute.                                                                   
                                                                                                                                
8:21:24 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRUITT  referred to cost formulas,  and asked what                                                               
would prevent  a private  school from  increasing costs  with the                                                               
influx of  state funding.   Will a  mechanism be  incorporated to                                                               
ensure that EED  could monitor reasonable growth,  in the private                                                               
sector, and guard against tuition  increases based on bias due to                                                               
the funding source, he asked.                                                                                                   
                                                                                                                                
REPRESENTATIVE  KELLER responded  that  the  private schools  are                                                               
required to certify  the actual cost of educating a  student.  He                                                               
opined  that  full  tuition  funding   will  not  be  immediately                                                               
available  and  he  would  expect   private  schools  to  respond                                                               
appropriately.   He  said the  state will  retain the  ability to                                                               
control the  throttle, regarding the  number and amounts  of each                                                               
scholarship, through the appropriation process.                                                                                 
                                                                                                                                
REPRESENTATIVE PRUITT  asked how the appropriation  pool would be                                                               
distributed   to  each   school,  and,   additionally,  will   an                                                               
individual school  be directed on how  the state funds are  to be                                                               
distributed within the institution.                                                                                             
                                                                                                                                
REPRESENTATIVE  KELLER answered  that,  dependent  on the  amount                                                               
appropriated, it  is stipulated that  the funds will  be prorated                                                               
between  participating schools.    To a  follow  up question,  he                                                               
confirmed  that  EED  would  make  fund  distributions  based  on                                                               
departmental generated regulations.                                                                                             
                                                                                                                                
8:26:07 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   SEATON  stated   his   understanding  that   the                                                               
department would  not be directed  to regulate  the participating                                                               
schools,  and that  the intent  was to  provide funding  based on                                                               
student attendance.  He opined  that if the department decides on                                                               
the  level of  scholarships to  be  awarded it  would boarder  on                                                               
writing regulations for the private institutions.                                                                               
                                                                                                                                
REPRESENTATIVE  KELLER  clarified  that EED  will  have  complete                                                               
power to regulate the program in  the context of the law; such as                                                               
prorated scholarship amount distributions  based on standards set                                                               
by the department.                                                                                                              
                                                                                                                                
8:27:34 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE  stated that  the  funding  should be  made                                                               
available without constraints; let the  market decide.  He opined                                                               
that no  more or less will  be spent on education,  and the state                                                               
should not  attempt to  over manage  where appropriated  money is                                                               
directed.                                                                                                                       
                                                                                                                                
8:28:16 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA cited the law  suits that have been brought                                                               
against the state regarding the  level, and quality, of education                                                               
public school students receive, and  asked how this would work to                                                               
improve the situation.                                                                                                          
                                                                                                                                
REPRESENTATIVE  KELLER  opined  that  the bill  would  assist  in                                                               
providing  a  competitive  education   to  all  urban  and  rural                                                               
students, which  encourages a level of  competency that otherwise                                                               
may  be lacking;  as indicated  through  similar state  supported                                                               
voucher/scholarship models adopted in the Lower 48 states.                                                                      
                                                                                                                                
REPRESENTATIVE CISSNA  requested that expert witnesses  be called                                                               
to testify  regarding how existing  schools would be  affected by                                                               
this bill,  as well  as appropriate  EED personnel  regarding how                                                               
this would fit into the school budget.                                                                                          
                                                                                                                                
REPRESENTATIVE  FEIGE opined  that  allowing competition,  within                                                               
the educational system, will result in better schools.                                                                          
                                                                                                                                
8:33:56 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER  returned to the  bill, page 3, line  4, to                                                               
indicate the  addition of language, requested  by this committee,                                                               
to address school  size based on average  daily membership (ADM).                                                               
The bill allows  a two year response period to  any school which,                                                               
as a result  of this program, falls below the  ADM minimum of 10.                                                               
Lastly, he pointed out that  contingency language, related to the                                                               
constitutional amendment, has been added on page 4, line 17.                                                                    
                                                                                                                                
8:35:12 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE P. WILSON  asked a series of questions:   how many                                                               
private  schools  exist   in  Alaska;  of  those   how  many  are                                                               
religious;  the  location of  the  private  schools; and  for  an                                                               
opinion from  the attorney general's office  regarding this bill.                                                               
She  opined   that  the  state  generally   exerts  control  over                                                               
appropriated funds  and there appears  to be a lack  of oversight                                                               
in  this legislation.  Further, she  stressed that  Alaska should                                                               
not be  compared with other states  in this instance as  no other                                                               
state  faces the  same issues  given the  distances involved,  as                                                               
well  as other  situations,  unique to  Alaska's rural  settings.                                                               
The school  policy requiring closure when  attendance drops below                                                               
ten,  is  also  a  major  concern.     She  pointed  out  that  a                                                               
contradiction  would exist  if a  school  is given  two years  to                                                               
respond to  a low ADM,  but is also  expected to be  ramping down                                                               
for closure.                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER   responded  that,  as  reported   in  the                                                               
Friedman study,  2.5 percent of  Alaskan students are  in private                                                               
schools.  Further he said that  there is definite control for how                                                               
the money is spent and directed  attention to page 2, line 17, to                                                               
point  out  the  section titled  "Accountability  and  enrollment                                                               
standards for  a participating school."   Continuing to  line 32,                                                               
subparagraph (B),  he explained  that private schools  operate in                                                               
compliance under  the named statute [AS  14.45.030]; requirements                                                               
such  as   monthly  attendance   reports,  annual   reports,  the                                                               
administration  of nationally  recognized proficiency  tests, and                                                               
student record retention.                                                                                                       
                                                                                                                                
REPRESENTATIVE  P.  WILSON  stressed  concern  for  the  possible                                                               
closure of a public school,  should attendance fall below 10, due                                                               
to  some students  choosing to  attend a  private school.   In  a                                                               
small  community  that  scenario  could force  the  children,  no                                                               
longer  having  a  public  school available,  to  enroll  in  the                                                               
private school; without choice.                                                                                                 
                                                                                                                                
CHAIR  DICK  offered  that  the   committee  packet  contains  an                                                               
amendment specific to Representative Wilson's concern.                                                                          
                                                                                                                                
8:41:45 AM                                                                                                                    
                                                                                                                                
MR. KOPP began  with Sec. 14.31.010, paraphrasing  from the bill,                                                               
which read [original punctuation provided]:                                                                                     
                                                                                                                                
     The parental choice  scholarship program is established                                                                    
     for  the purpose  of providing  public  funding of  the                                                                    
     cost of  attending grades kindergarten through  12 at a                                                                    
     private  school selected  by  the  student's parent  or                                                                    
     legal guardian.   The  department shall  administer the                                                                    
     program   under  the   provisions   of  this   chapter.                                                                    
     Participation  of  a school  in  the  program does  not                                                                    
     confer authority  over a school to  the department that                                                                    
     is not expressly provided for in this title.                                                                               
                                                                                                                                
MR. KOPP continued  on page 2, line 2,  paraphrasing the language                                                               
which read [original punctuation provided]:                                                                                     
                                                                                                                                
     (a) A private school in  the state that is accepted for                                                                    
     participation in the program  may receive a scholarship                                                                    
     under the  program on behalf  of a student  who attends                                                                    
     the school,  regardless of the  attendance area  in the                                                                    
     school district in which the student resides.                                                                              
                                                                                                                                
8:43:23 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON  asked how  the bill addresses  a situation                                                               
where  a student  resides  in  a rural  community  but attends  a                                                               
boarding school.                                                                                                                
                                                                                                                                
MR.  KOPP opined  that for  the purposes  of the  bill, residence                                                               
would be where the child's home is physically located.                                                                          
                                                                                                                                
8:44:21 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON  pointed  out  that  the  state  education                                                               
funding formula  takes into account geographic  cost differential                                                               
based on residence.  He said:                                                                                                   
                                                                                                                                
     As I  read the  bill, this would  require the  state to                                                                    
     pay the  high expense to  the private school if  it has                                                                    
     high  expenses,  couldn't  be over  its  tuition,  even                                                                    
     though  it's going  into an  area that  would not  have                                                                    
     that same high expense.                                                                                                    
                                                                                                                                
MR. KOPP answered that each  year the legislature would decide on                                                               
the  appropriation level  for  the program;  not  a standard  per                                                               
district   BSA.     The  program   specifically  allows   EED  to                                                               
appropriate funds  to participating schools, based  on the number                                                               
of  applicants to  the program.   He  offered a  scenario of  the                                                               
department  distributing  a hypothetical  legislative  allocation                                                               
with  an  end  result  of applicants  receiving  $200  per  year;                                                               
following proration  for equal  division amongst  the applicants.                                                               
The geographical costs are not a  factor, as the funds are coming                                                               
directly from the department, not through the school district.                                                                  
                                                                                                                                
8:46:28 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON  read from  page 2,  line 9,  which states,                                                               
"for a  similarly situated student  to attend a public  school in                                                               
the district in  which the student resides."  Thus,  the level of                                                               
funding is  based on where  the student resides, he  pointed out.                                                               
Further,  because the  cost of  education  is significantly  more                                                               
expensive  in   rural  Alaska  than   in  an  urban   setting,  a                                                               
proportional funding disparity would exist  in this scenario.  He                                                               
reminded the  sponsor that geographic cost  differential has been                                                               
the  subject of  legal challenges,  which the  state has  lost in                                                               
court;  being  found  negligent when  the  legislature  took  the                                                               
approach of  funding the education  of every student at  the same                                                               
level without regard to residence location.                                                                                     
                                                                                                                                
REPRESENTATIVE KELLER  said it  is safe to  assume that  a school                                                               
choice  program   would  not  initially  receive   full  funding.                                                               
Whatever amount  is appropriated,  the intent  is to  prorate the                                                               
funds to the participating schools,  not the individual students.                                                               
Proration will be based on  either the private school tuition, or                                                               
the  maximum amount  available;  the lesser  amount  of the  two,                                                               
which then becomes a cap.                                                                                                       
                                                                                                                                
REPRESENTATIVE SEATON  asked whether the proration,  based on the                                                               
tuition of the  school, would direct more money to  a school with                                                               
higher tuition than to one with a lower tuition.                                                                                
                                                                                                                                
REPRESENTATIVE  KELLER  said it  is  not  desirable to  put  into                                                               
statute the level  of detail being questioned,  as the department                                                               
will   regulate   how   the  money   is   distributed   following                                                               
negotiations with the schools.                                                                                                  
                                                                                                                                
REPRESENTATIVE  SEATON  agreed  that  the legislature  is  not  a                                                               
regulatory  body; however,  he maintained,  it  is important  for                                                               
policy  to be  written in  statute for  how the  proration of  an                                                               
appropriation will be handled.                                                                                                  
                                                                                                                                
REPRESENTATIVE  KELLER argued  that the  legislature is  notified                                                               
when  regulations are  initiated, and  has an  opportunity to  be                                                               
involved in the process.                                                                                                        
                                                                                                                                
8:52:42 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FEIGE asked:                                                                                                     
                                                                                                                                
     When you're talking about  whether the legislature will                                                                    
     fund this program  or not ... it's not so  much that it                                                                    
     gets funded every year it's  that ... you're taking the                                                                    
     total  aid   package,  and  determining  how   it  gets                                                                    
     dispersed.  So that the  origination of the money is in                                                                    
     what the total aid package is  overall.  So ... I don't                                                                    
     know   that   this   program   would   necessarily   be                                                                    
     financially threatened every year  so much as that what                                                                    
     we'll be deciding is what  the overall level of funding                                                                    
     is for all the schools in the state.  Is that correct?                                                                     
                                                                                                                                
REPRESENTATIVE KELLER responded yes.                                                                                            
                                                                                                                                
REPRESENTATIVE FEIGE  directed attention to  page 2, line  4, and                                                               
read:  "regardless of the  attendance area in the school district                                                               
in  which the  student resides."   He  suggested that,  the first                                                               
"in" should read "or".                                                                                                          
                                                                                                                                
REPRESENTATIVE  KELLER agreed  that  the  clarification would  be                                                               
important, and deferred to legal counsel.                                                                                       
                                                                                                                                
8:54:58 AM                                                                                                                    
                                                                                                                                
JEAN  MISCHEL,   Attorney,  Legislative  Legal   Counsel,  stated                                                               
agreement.                                                                                                                      
                                                                                                                                
REPRESENTATIVE FEIGE  offered to propose  a motion to  amend this                                                               
language.                                                                                                                       
                                                                                                                                
8:56:25 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE P.  WILSON turned  to page 4,  lines 3-8  and read                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     The   legislature  may   appropriate  parental   choice                                                                    
     scholarship  program   funds  to  the   department  for                                                                    
     distribution  to the  participating  schools.   If  the                                                                    
     appropriation  for the  program  is  insufficient in  a                                                                    
     given fiscal year, the  department shall distribute the                                                                    
     available funds  to the participating  schools prorated                                                                    
     by the  total number  of students participating  in the                                                                    
     program.                                                                                                                   
                                                                                                                                
REPRESENTATIVE  P. WILSON  stated that  the department  will make                                                               
regulations based on this language.   She opined that the "shall"                                                               
requires the department to prorate by the number of students.                                                                   
                                                                                                                                
REPRESENTATIVE  KELLER  maintained  that a  participating  school                                                               
will have  a large number  of applicants but each  applicant will                                                               
be  representative of  a  different  amount of  cap  money.   The                                                               
proration is to the schools, based  on the number of students who                                                               
apply.  However, it does not  specify what type of student it may                                                               
be,  and not  all  applicants will  be high  cost  students.   He                                                               
reiterated that the  intent of the law is not  to specify how the                                                               
department will regulate the funding.  He said:                                                                                 
                                                                                                                                
     Keep in mind  that, if you have a student  who is quote                                                                    
     'expensive'  because  of  where   he  or  she  resides,                                                                    
     ultimately  we're talking  about less  money going  for                                                                    
     the  education  of  that  child. ...  That  is  a  fair                                                                    
     statement, because it's based  on the cost of educating                                                                    
     the  student  by  the participating  school,  it's  not                                                                    
     based on the cap, it's not  based on what this child is                                                                    
     quote 'worth,' crassly, to the school.                                                                                     
                                                                                                                                
REPRESENTATIVE P.  WILSON asked where  a cap is mentioned  in the                                                               
bill.                                                                                                                           
                                                                                                                                
REPRESENTATIVE KELLER turned  to page 2, line  7, and paraphrased                                                               
from the language which read [original punctuation provided]:                                                                   
                                                                                                                                
          "... equal  to the lesser  of the cost  of tuition                                                                    
          at  the participating  school  or  the amount  the                                                                    
          district  would receive  as  state  and local  aid                                                                    
          under AS  14.17 for  a similarly  situated student                                                                    
          to  attend  a public  school  in  the district  in                                                                    
          which the student resides.                                                                                            
                                                                                                                                
REPRESENTATIVE  KELLER  said  the  "or" creates  a  cap,  as  the                                                               
funding is based on the lesser  of the two, unless the program is                                                               
fully funded; an unlikely scenario.                                                                                             
                                                                                                                                
9:01:14 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA  cited the  serious difficulty  that Alaska                                                               
has experienced in maintaining compliance  with the No Child Left                                                               
Behind Act  (NCLB) [of 2001].   She said that HB  145 provides an                                                               
opportunity  to have  the "cost  of  the school  lowered not  the                                                               
product.  The product isn't a  part of this, that's something you                                                               
might think about."                                                                                                             
                                                                                                                                
REPRESENTATIVE  KELLER stated  appreciation for  the insight  and                                                               
said  the bill  is about  the  education of  children, not  about                                                               
protection of  administrators.   He reiterated  that it  is about                                                               
choice, and should parents have the  choice or not, to send their                                                               
child to a private school.                                                                                                      
                                                                                                                                
9:02:29 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE cautioned  that  in  a competitive  market,                                                               
given the influx of state  funding, private school tuition levels                                                               
may be increased.                                                                                                               
                                                                                                                                
9:03:18 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON stressed  the importance  of specifying  a                                                               
cap,  of say  40  or 50  percent  of the  BSA,  versus making  an                                                               
assumption   of   what   funding  level   the   legislature   may                                                               
appropriate.   Also,  he  read  again from  page  2,  line 7,  he                                                               
stressed  the language,  which states,  "... scholarship  that is                                                               
equal to the  lesser of the cost of tuition  at the participating                                                               
school  or the  amount the  district would  receive as  state and                                                               
local aid ...".   Communities contribute local aid at  a tax rate                                                               
of 4  mils and the  state contributes for the  education formula,                                                               
thus, he opined more  will be paid to a private  school, if it is                                                               
funded without a cap embedded in the language.                                                                                  
                                                                                                                                
REPRESENTATIVE   KELLER  acknowledged   that   the  bill   allows                                                               
government money  to be distributed  into an area that  has never                                                               
before been  eligible.  He  suggested that the  finance committee                                                               
could  best address  how  the local  contribution  fits into  the                                                               
picture.                                                                                                                        
                                                                                                                                
REPRESENTATIVE  P. WILSON  added that  the 4  mil rate  increases                                                               
every year,  in most areas of  the state, except the  rural areas                                                               
which are not assessed a mil rate.                                                                                              
                                                                                                                                
REPRESENTATIVE KELLER agreed that  the educational funding system                                                               
is complex.   However, he requested  that any change, to  the CS,                                                               
be forestalled  to allow further  consideration and  testimony on                                                               
the topic.  He requested that it be  left as is to act as a place                                                               
holder for the time being.                                                                                                      
                                                                                                                                
9:10:01 AM                                                                                                                    
                                                                                                                                
MR. KOPP continued with the  sectional, paraphrasing from page 2,                                                               
line 11, which read [original punctuation provided]:                                                                            
                                                                                                                                
     (c) The parent or legal guardian shall be responsible                                                                      
     for costs and fees assessed by a participating school                                                                      
     that exceed the amount paid under (b) of this section.                                                                     
                                                                                                                                
      (d) The department shall provide transportation to a                                                                      
      participating school to the extent required under AS                                                                      
     14.09.020.                                                                                                                 
                                                                                                                                
     (e)  A  scholarship  received  for  the  benefit  of  a                                                                    
     student   under  this   section   must   be  used   for                                                                    
     educational  purposes.   A scholarship  is transferable                                                                    
     among participating schools.                                                                                               
                                                                                                                                
9:10:55 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON asked  for  further information  regarding                                                               
funding transferability.                                                                                                        
                                                                                                                                
MR. KOPP responded that the scholarship  is not based on the cost                                                               
of education at a particular school,  but rather on the number of                                                               
applicants  for  scholarships  received  from a  school.    If  a                                                               
student receives  a scholarship,  in a participating  school, and                                                               
changes  schools during  the year,  it  will be  allowed if  they                                                               
attend another participating school.                                                                                            
                                                                                                                                
REPRESENTATIVE SEATON clarified that  the scholarship is based on                                                               
the number of applicants, not on attendance.                                                                                    
                                                                                                                                
MR.  KOPP  pointed out  the  requirement  for each  participating                                                               
school to report student attendance to EED.                                                                                     
                                                                                                                                
REPRESENTATIVE  SEATON  expressed   his  understanding  that  the                                                               
funding is allocated based on the number of applications.                                                                       
                                                                                                                                
MR. KOPP responded  that the applicant would need  to be accepted                                                               
by  the  school  and  the   attendance  records  will  reflect  a                                                               
student's standing, to be reported to the department.                                                                           
                                                                                                                                
REPRESENTATIVE SEATON  expressed concern  that the  schools would                                                               
be forward funded  based on an application, and  pointed out that                                                               
a student might then transfer  between schools, which may receive                                                               
different levels of funding.                                                                                                    
                                                                                                                                
9:14:27 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FEIGE suggested that  using the term applicant may                                                               
cause some  confusion.  He offered  that a student would  need to                                                               
be an accepted applicant.  A  student might apply to six schools,                                                               
and the  current language  indicates that  each of  those schools                                                               
could receive benefit.   However, at some point  the student will                                                               
be  enrolled and  that is  when, and  where, the  money would  be                                                               
directed.    Further,  regarding transferability,  he  said  that                                                               
under  the  current  system student  counts  are  established  on                                                               
October  1, in  order for  a school  to receive  funding for  the                                                               
year.  The  bill requires funds to be allocated  once a year, and                                                               
the  prorated  share  is  for  a  particular  individual;  to  be                                                               
transferred  with  the  student  to  another  school  should  the                                                               
situation arise.                                                                                                                
                                                                                                                                
9:16:25 AM                                                                                                                    
                                                                                                                                
MR. KOPP said there is also  a stop gap to allow for adjustments,                                                               
based on  the department receiving  reports and  making quarterly                                                               
payments to a school.  He  directed attention to page 3, line 14,                                                               
to paraphrase  from the section  titled Department  duties, which                                                               
read [original punctuation provided]:                                                                                           
                                                                                                                                
     (2) make  scholarship payments  directly to  the school                                                                    
     quarterly  after receiving  proof  satisfactory to  the                                                                    
     department   that   the   student   claimed   under   a                                                                    
     scholarship attends the school on a full-time basis;                                                                       
                                                                                                                                
REPRESENTATIVE  SEATON stated  his understanding  that, should  a                                                               
student transfer to  a public school, after October  1, the state                                                               
count date, program  funding would not follow.   Thus, the public                                                               
school  could  receive a  student  to  educate without  financial                                                               
support.                                                                                                                        
                                                                                                                                
MR. KOPP  agreed that the  money would  not transfer to  a public                                                               
school.  However,  he explained, public schools  have a mechanism                                                               
to account  for student  transfers during the  school year.   The                                                               
state BSA assumes  that students will come and  go with frequency                                                               
outside of the count period  and does not inhibit principals from                                                               
accepting  new  students.    Regarding  the  private  sector,  he                                                               
reiterated,  the bill  allows funds  to follow  student transfers                                                               
between participating schools.                                                                                                  
                                                                                                                                
REPRESENTATIVE  KELLER further  clarified by  directing attention                                                               
to page  3, line  17, which specifies  that the  department shall                                                               
make available to  students and parents, a  list of participating                                                               
schools.                                                                                                                        
                                                                                                                                
CHAIR  DICK concurred  that the  count date  is a  crucial point,                                                               
which will be further discussed.                                                                                                
                                                                                                                                
9:19:29 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA  indicated   her  understanding  that  the                                                               
public  schools   assume  the  educational  costs   for  students                                                               
arriving  after the  October 1  count date.   She  then expressed                                                               
concern for  how the private/religious school  acceptance process                                                               
might  occur, and  the basis  for  the criteria;  might there  be                                                               
restrictions on the enrollment of disadvantaged students.                                                                       
                                                                                                                                
9:22:30 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER  said  he  anticipates  that  the  private                                                               
sector will  step up  to provide  specific support  for intensive                                                               
needs students.                                                                                                                 
                                                                                                                                
REPRESENTATIVE CISSNA  queried whether the bill  allows districts                                                               
or boroughs to opt out of  this legislation.  Perhaps a test case                                                               
could be opened  prior to making it uniform across  the state, or                                                               
include language for the possibility to opt in/out.                                                                             
                                                                                                                                
9:24:25 AM                                                                                                                    
                                                                                                                                
MR. KOPP  continued the sectional report,  paraphrasing from page                                                               
2, line 20, which read [original punctuation provided]:                                                                         
                                                                                                                                
     (a)   The  department   shall  accept   a  school   for                                                                    
     participation  in   the  parental   choice  scholarship                                                                    
     program if the school                                                                                                      
                                                                                                                                
     (1) submits  to the department,  on a form  approved by                                                                    
     the  department,  notice  that the  school  intends  to                                                                    
     participate in the program;                                                                                                
                                                                                                                                
     (2)  meets   the  following   financial  accountability                                                                    
     standards:                                                                                                                 
                                                                                                                                
     (A)  demonstrates  the  school's financial  ability  to                                                                    
     repay  to  the   department  any  overpaid  scholarship                                                                    
     funds; and                                                                                                                 
                                                                                                                                
     (B) certifies the actual annual  costs to the school of                                                                    
     educating a  student, including  a prorated  amount for                                                                    
     facility and operating costs; and                                                                                          
                                                                                                                                
     (3) is a school that is a                                                                                                  
                                                                                                                                
     (A)  private correspondence  study program  located and                                                                    
     operated entirely in the state; or                                                                                         
                                                                                                                                
     (B)  private  school  operated in  compliance  with  AS                                                                    
     14.45.030 or AS 14.45.100 - 14.45.130.                                                                                     
                                                                                                                                
     (b) Nothing  in this chapter authorizes  the department                                                                    
     to regulate a participating  school except as necessary                                                                    
     to carry out the program.                                                                                                  
                                                                                                                                
MR. KOPP  added that some  of the state requirements  for private                                                               
schools   include:     mandatory  testing,   immunization  record                                                               
retention,   and    enrollment   reporting   to    the   district                                                               
superintendent.   He  then continued  paraphrasing  from page  3,                                                               
line 4, which read [original punctuation provided]:                                                                             
                                                                                                                                
     Notwithstanding the lower limit  for a student count of                                                                    
     10 under AS  14.17.450(a) and (b), a school  that, as a                                                                    
     result  of the  program, has  an  ADM of  less than  10                                                                    
     shall be treated  as if the school had  10 students for                                                                    
     a two-year period  following the date on  which the ADM                                                                    
     is  reported to  be less  than 10  for the  purposes of                                                                    
     calculating the school size  factor under AS 14.17.450.                                                                    
     In this subsection,  "ADM" has the meaning  given in AS                                                                    
     14.17.990.                                                                                                                 
                                                                                                                                
     Sec.   14.31.035.    Departmental   duties.    (a)   In                                                                    
     implementing the  parental choice  scholarship program,                                                                    
     the department shall                                                                                                       
                                                                                                                                
     (1)  obtain from  the participating  school a  count of                                                                    
     the number of participating students in the program;                                                                       
                                                                                                                                
     (2) make  scholarship payments  directly to  the school                                                                    
     quarterly  after receiving  proof  satisfactory to  the                                                                    
     department   that   the   student   claimed   under   a                                                                    
     scholarship attends the school on a full-time basis;                                                                       
                                                                                                                                
     (3) make  available to  students and  students' parents                                                                    
     or guardians a list of  schools that have been accepted                                                                    
     to participate in the program; and                                                                                         
                                                                                                                                
     (4)  provide  a  standard  application  for  use  by  a                                                                    
     participating  school to  enroll  a  student under  the                                                                    
     program;   a  school   may,  however,   supplement  the                                                                    
     application.                                                                                                               
                                                                                                                                
     (b)  If  the department  determines  that  a school  is                                                                    
     ineligible  under this  chapter to  participate in  the                                                                    
     program,  the  department shall,  after  administrative                                                                    
     and  judicial appeal  periods have  lapsed, immediately                                                                    
     notify the affected students  and the students' parents                                                                    
     or guardians.                                                                                                              
                                                                                                                                
     Sec.  14.13.040.  Regulations.   The  department  shall                                                                    
     adopt regulations  necessary to  carry out  the program                                                                    
     in a manner that ensures  the highest number of student                                                                    
     and school participation, including                                                                                        
                                                                                                                                
     (1)   procedures  for   calculating  and   distributing                                                                    
     scholarships;                                                                                                              
                                                                                                                                
     (2) timelines and  procedures for application, renewal,                                                                    
     and appeal for participating schools and students; and                                                                     
                                                                                                                                
     (3)  standards for  acceptance, revocation,  and denial                                                                    
     for participating school.                                                                                                  
                                                                                                                                
     Sec.  14.31.045. Appropriations  for scholarships.  The                                                                    
     legislature    may    appropriate    parental    choice                                                                    
     scholarship  program   funds  to  the   department  for                                                                    
     distribution  to the  participating  schools.   If  the                                                                    
     appropriation  for the  program  is  insufficient in  a                                                                    
     given fiscal year, the  department shall distribute the                                                                    
     available funds  to the participating  schools prorated                                                                    
     by the  total number  of students participating  in the                                                                    
     program.                                                                                                                   
                                                                                                                                
MR. KOPP summarized Sec. 14.31.090, which provides the                                                                          
definitions for district, private school, program, and student,                                                                 
with statute references provided.                                                                                               
                                                                                                                                
9:29:11 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FEIGE  returned to  page 3,  line [14],  and asked                                                               
about  the  quarterly  payment requirement.    He  suggested  the                                                               
inclusion of  language to specify  a quarterly count  which would                                                               
coincide with the payment schedule.                                                                                             
                                                                                                                                
MR. KOPP agreed that it would be an important inclusion.                                                                        
                                                                                                                                
9:30:38 AM                                                                                                                    
                                                                                                                                
CHAIR DICK asked if the language refers specifically to a school                                                                
calendar year.                                                                                                                  
                                                                                                                                
MR. KOPP responded yes.                                                                                                         
                                                                                                                                
9:30:55 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE directed  attention to  page 4,  lines 3-8,                                                               
and  opined that,  because the  appropriation  may fluctuate  for                                                               
every student,  and given  that the  bill language  establishes a                                                               
formula  to  distribute the  funding,  this  section may  not  be                                                               
necessary.  He  opined that the section may  cause confusion, and                                                               
suggested its removal.                                                                                                          
                                                                                                                                
REPRESENTATIVE KELLER recommended striking  the sentence, not the                                                               
entire section.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  FEIGE pointed  out  that the  money will  already                                                               
have  been appropriated  for  educational  use as  a  whole.   He                                                               
stated his  understanding that a separate  appropriation specific                                                               
to  a parental  choice program  is  not being  requested, as  the                                                               
scholarship  program   would  be  embedded  in   the  educational                                                               
appropriation.                                                                                                                  
                                                                                                                                
REPRESENTATIVE  SEATON  interjected  his understanding  that  the                                                               
bill does  not propose  to embed the  scholarship program  in the                                                               
current  educational   budget,  but  rather  requires   a  unique                                                               
appropriation.   The bill does  use the cost established  by EED,                                                               
the amount per student, as a basis for the allocation request.                                                                  
                                                                                                                                
9:35:16 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER clarified  that whatever  amount of  money                                                               
the legislation appropriates, to  the program, will represent the                                                               
base  funding.   The actual  tuition costs  cannot be  known, but                                                               
whatever  is budgeted  will be  dispersed, and  he predicted  the                                                               
allocation would  increase, as  the program  grows.   He stressed                                                               
that  not  every detail  can  be  considered at  the  legislative                                                               
committee  level,  and  will   be  more  appropriately  addressed                                                               
through departmental regulation.                                                                                                
                                                                                                                                
9:36:24 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   FEIGE   asked    for   clarity   regarding   his                                                               
understanding  that once  the October  count is  complete in  the                                                               
public  school, and,  should a  student opt  to attend  a private                                                               
facility, the  amount originally  appropriated for  the education                                                               
of  that student  would be  debited  from the  public school  and                                                               
credited to the private school of choice.                                                                                       
                                                                                                                                
REPRESENTATIVE KELLER deferred.                                                                                                 
                                                                                                                                
MR. KOPP  said that  the program  would be  open to  any student,                                                               
thus funds, in effect would exist.   He offered a scenario where,                                                               
during  whatever application  period  is  established, EED  would                                                               
know that there  were a certain number of applicants,  say 319 of                                                               
the  returning  public  school students,  planning  to  exit  the                                                               
system and attend  private schools.  In that  case, he explained,                                                               
no new  money would be  necessary; the department  would transfer                                                               
funds  from the  public school  appropriation to  the scholarship                                                               
program,  thus following  the student  to the  school of  choice.                                                               
However,  there  will be  students  who  are  not in  the  public                                                               
system,  making  application  to  the program,  and  these  would                                                               
represent money not previously allocated.                                                                                       
                                                                                                                                
REPRESENTATIVE FEIGE surmised:                                                                                                  
                                                                                                                                
     So for  the first year, you're  going to see a  bump in                                                                    
     the overall  level of  funding, but  then once  you get                                                                    
     all the students in the  State of Alaska into the pool,                                                                    
     are we  going to  be then  appropriating money  for all                                                                    
     the students  in the state  ... or  are we going  to be                                                                    
     appropriating  two  separate  pots.   ...  If  I'm  the                                                                    
     entrepreneur, that's going to  set up a private school,                                                                    
     there is a huge risk  that I'll make an investment that                                                                    
     the legislature  will ... delete  ... and not  fund the                                                                    
     program.   That's  a huge  risk  that will  be a  major                                                                    
     impediment to having this whole program go forward.                                                                        
                                                                                                                                
REPRESENTATIVE FEIGE  stressed the  need to have  one educational                                                               
appropriation,  and  allow  the  department  to  figure  out  the                                                               
allocation.   Otherwise,  he  said, it's  a  hindrance to  anyone                                                               
making  investment  decisions  that   would  improve  our  school                                                               
system.                                                                                                                         
                                                                                                                                
9:39:54 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRUITT clarified that  the bill language creates a                                                               
separate,  unique, funding  appropriation, which  is why  page 4,                                                               
lines 5-8  are required; however,  the point is well  taken, that                                                               
it creates a  volatile investment situation.   He underscored the                                                               
need  for the  legislature  to  commit to  a  level of  continued                                                               
appropriation, to create a stable investment environment.                                                                       
                                                                                                                                
REPRESENTATIVE KELLER said he  prefers the appropriation scenario                                                               
presented  by Representative  Feige.  The reason  for creating  a                                                               
separate appropriation  is to create something  more tangible and                                                               
define a  need.  It is  important for the public  to believe that                                                               
appropriation  protections exist,  which  is  why, he  predicted,                                                               
tuitions will not be substantially increased.                                                                                   
                                                                                                                                
9:42:00 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  P.  WILSON  outlined how  public  school  support                                                               
staff is  hired on a contractual  basis.  If a  special education                                                               
student,  who requires  an aide,  transfers  from a  public to  a                                                               
private  school,  the state  would  be  required to  fulfill  the                                                               
financial contract  for the aide.   A  private school may  not be                                                               
under similar obligations.  She  asked how this type of situation                                                               
might be handled.                                                                                                               
                                                                                                                                
REPRESENTATIVE KELLER agreed  that a number of what  ifs exist in                                                               
the proposed  legislation.   He offered that  the state  does not                                                               
have  private intensive  needs facilities,  and all  students are                                                               
currently being served in the public school setting.                                                                            
                                                                                                                                
REPRESENTATIVE  P.   WILSON  opined  that  the   legislation  may                                                               
discriminate  against intensive  needs  students,  who would  not                                                               
have an option beyond public school.                                                                                            
                                                                                                                                
REPRESENTATIVE  KELLER disagreed,  and pointed  out that  this is                                                               
only because  a private school  does not currently exist  to fill                                                               
the niche.                                                                                                                      
                                                                                                                                
REPRESENTATIVE  FEIGE  interjected  that this  legislation  would                                                               
open-up  the  possibility for  special  education  schools to  be                                                               
established.  It allows money to support this type of venture.                                                                  
                                                                                                                                
REPRESENTATIVE P. WILSON said every  public school must deal with                                                               
whatever  special  needs child  enrolls,  and  asked why  private                                                               
schools should not be under the same requirement.                                                                               
                                                                                                                                
9:45:06 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON  offered  that the  bill  is  specifically                                                               
designed to allow the schools  to choose who will attend, whether                                                               
it's on religious  grounds and students are enrolled  on basis of                                                               
faith, or  rejected for specific  criteria, such as  special need                                                               
requirements;  private schools  can establish  standards for  who                                                               
attends.   The bill  will only pass,  he reminded,  following the                                                               
passage of a constitutional amendment.                                                                                          
                                                                                                                                
REPRESENTATIVE  PRUITT clarified  that,  to accept  a student,  a                                                               
school  would  need to  have  appropriate  programs to  meet  the                                                               
individual's needs, and the bill  does not stipulate that policy.                                                               
Not every  private school  would be able  to serve  special needs                                                               
students.                                                                                                                       
                                                                                                                                
9:47:58 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE,   referring  to   Representative  Wilson's                                                               
observation, said  that a private school  may or may not  be able                                                               
to meet  the needs of  special needs students, but  programs have                                                               
already been mandated and exist  in public schools.  The contract                                                               
funding  for a  special needs  aide would  continue, even  if the                                                               
student  transferred.   He  conjectured  that  the special  needs                                                               
students will be served.                                                                                                        
                                                                                                                                
9:50:08 AM                                                                                                                    
                                                                                                                                
CHAIR DICK opened public testimony                                                                                              
                                                                                                                                
9:50:20 AM                                                                                                                    
                                                                                                                                
TOM FINK,  Member, Educational Task  Force, testified  in support                                                               
of HB  145, and said  that the concept  of the legislation  is to                                                               
allow state  educational funding  to be  attached to  a student's                                                               
attendance    regardless    of   whether    his/her    scholastic                                                               
participation is  at a  public or  a private  school.   He agreed                                                               
with Representative  Feige's opinion  that the  appropriation for                                                               
these scholarships should  be an aspect of  the overall education                                                               
appropriation.   He urged  that the bill  be finalized  and moved                                                               
out of committee.                                                                                                               
                                                                                                                                
9:51:48 AM                                                                                                                    
                                                                                                                                
JEFFREY  MITMAN,  Executive  Director, American  Civil  Liberties                                                               
Union  (ACLU), testified  with  concern for  HB  145, and  opined                                                               
that, should HB 145 and  the related HJR 16, pass, constitutional                                                               
based legal  issues would  ensue.   He referred  to a  seven page                                                               
document,  included in  the committee  packet,  addressed to  the                                                               
Honorable Alan  Dick, Chair, and  the House  Education Committee,                                                               
dated 1/22/12, titled "Re:  HB  145:  Public Funding of Religious                                                               
Schools ACLU Review  of Constitutional Issues.  He  said the bill                                                             
raises  questions  regarding  the First  Amendment  Establishment                                                               
Clause of the  Alaska Constitution.  As drafted,  even should the                                                               
Blaine Amendment be  deleted, he stressed that  there are further                                                               
problems  with  the  bill,  with  respect  to  the  Establishment                                                               
Clause.  Research indicates that  approximately three quarters of                                                               
the private  schools in Alaska  are religiously oriented,  and he                                                               
opined  that  HB  145  will   entangle  the  state  in  religious                                                               
questions.   Issues arise  when public funding  is involved.   He                                                               
said the ACLU  urges the committee to take out  any language that                                                               
would involve  the State  of Alaska  funding a  private religious                                                               
school in violation of the Federal and Alaska Constitutions.                                                                    
                                                                                                                                
9:54:41 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE   agreed  with  the  need   to  maintain  a                                                               
separation of  church and state,  and conjectured  that religious                                                               
proselytizing would  equally impinge  on a  student's right  in a                                                               
public school, should  it occur, and may infringe  on a student's                                                               
rights  to religious  freedom.   However, he  said, if  a student                                                               
makes  a  conscious  choice  to attend  a  religious  school,  it                                                               
represents an independent decision,  and alters the situation, as                                                               
the student could choose to return to the public school.                                                                        
                                                                                                                                
MR.  MITMAN provided  an example  of a  district where  a student                                                               
chooses  a private  school, which  perhaps  requires students  to                                                               
follow a specific religious tenant.   As long as state funding is                                                               
not involved  there is  no problem.   However,  for the  state to                                                               
open up  public funding then the  question arises:  does  it only                                                               
support  those  students who  agree  to  abide by  the  religious                                                               
tenants.    In  that  case   the  state  is  essentially  funding                                                               
proselytizing  or those  discriminatory  policies.   He  stressed                                                               
that by  providing funds to a  private school, the state  is then                                                               
in  a  position, in  some  respects,  of converting  the  private                                                               
school into a public school.                                                                                                    
                                                                                                                                
9:56:52 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA asked  to  have the  locations of  private                                                               
schools, serving special need students, identified.                                                                             
                                                                                                                                
MR. MITMAN  referred to  page 2 of  the submitted  testimony, and                                                               
said the  geographic locations  have not  been a  focus; however,                                                               
data could be  analyzed and reported.  He said  questions need to                                                               
be  asked  regarding  protections  for  services  that  would  be                                                               
afforded   students   with   disabilities.      Current   federal                                                               
regulations have  recently ruled  that private  religious schools                                                               
are exempt  from the Americans  With Disabilities Act.   It could                                                               
be that  HB 145 would  allow state funding  for a school  that is                                                               
legally entitled to discriminate on the basis of disabilities.                                                                  
                                                                                                                                
9:59:54 AM                                                                                                                    
                                                                                                                                
STEVE  EVENSON,  Vice   President,  Northwest  Religious  Liberty                                                               
Association,   testified with  neutrality on HB 145, referring to                                                               
a prepared statement which read  as follows [original punctuation                                                               
provided]:                                                                                                                      
                                                                                                                                
     While our  concern is more  a warning to  religious and                                                                    
     parochial schools  that receive  the money, it  is good                                                                    
     to remind  everyone that increasing dependence  on such                                                                    
     monies  can and  often  does result  in the  increasing                                                                    
     vulnerability  of   the  religious  mission   of  these                                                                    
     schools  through  state programming  regulations,  such                                                                    
     as,  determining what  can and  cannot  be taught,  and                                                                    
     during  a major  financial crunch  cause the  crippling                                                                    
     and  shut down  of  said schools  due  to the  sweeping                                                                    
     withdrawal of such voucher based financial support.                                                                        
                                                                                                                                
     That being said  we are neither for  [nor] against this                                                                    
     proposal.    We  are  simply  offering  principles  for                                                                    
     church  institutions to  consider  when evaluating  the                                                                    
     acceptability of State Financial aid.                                                                                      
                                                                                                                                
     In dealing  with the practical  question of when  is it                                                                    
     appropriate for  church schools or institutions  in the                                                                    
     faith community  to accept support or  funding from the                                                                    
     government,   the   following  principles   should   be                                                                    
     considered:                                                                                                                
                                                                                                                                
     1.  Would accepting the  aid establish a precedent that                                                                    
     would  undercut   the  religious   freedom  protections                                                                    
     guaranteed  by  the  First  Amendment,  and  the  broad                                                                    
     principle  it  embraces  -  separation  of  church  and                                                                    
     state?                                                                                                                     
                                                                                                                                
     2.   Does  the  aid come  attached  with conditions  or                                                                    
     requirements that  would inhibit or interfere  with the                                                                    
     religious mission or goals of  the institution, such as                                                                    
     the   restriction  of   its  religious   activities  or                                                                    
     standards?                                                                                                                 
                                                                                                                                
     3.   Is  there  a reasonable  likelihood  that the  aid                                                                    
     would create a dependency  by the religious institution                                                                    
     on the government benefit program  - so much so that it                                                                    
     would inhibit its future ability to act independently?                                                                     
                                                                                                                                
     In   conclusion,   the  Northwest   Religious   Liberty                                                                    
     Association,  and its  board of  directors offer  these                                                                    
     principles in the form of  questions so that meaningful                                                                    
     dialogue  can   occur  at  all  levels   of  the  faith                                                                    
     community.   In the  spirit of helpfulness,  we believe                                                                    
     that these three  questions can substantially safeguard                                                                    
     the  faith community  and its  institutions from  undue                                                                    
     compromise  and  hardship  in   the  future,  and  thus                                                                    
        protect the vitality of its prophetic mission in                                                                        
     America.                                                                                                                   
                                                                                                                                
10:03:01 AM                                                                                                                   
                                                                                                                                
CHAIR DICK announced that the bill would be held for further                                                                    
discussion.                                                                                                                     

Document Name Date/Time Subjects
AS 14.09.010 Transportation of Pupils.pdf HEDC 1/23/2012 8:00:00 AM
HB 145
AS 14.17.300 Public Education Fund.pdf HEDC 1/23/2012 8:00:00 AM
HB 145
AS 14.45.030 Non-Exempt Schools.pdf HEDC 1/23/2012 8:00:00 AM
HB 145
Comparison between HB 145 {I} and HB 145 {Y}.docx HEDC 1/23/2012 8:00:00 AM
HB 145