Legislature(2013 - 2014)CAPITOL 106
02/10/2014 08:00 AM House EDUCATION
| Audio | Topic |
|---|---|
| Start | |
| HB245 | |
| HB278|| HB291 | |
| HB245 | |
| HB278|| HB291 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HB 291 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | HB 245 | TELECONFERENCED | |
| += | HB 278 | TELECONFERENCED | |
HB 278-EDUCATION: FUNDING/TAX CREDITS/PROGRAMS
HB 291-STIPEND FOR BOARDING SCHOOLS
8:42:43 AM
CHAIR GATTIS announced that the next order of business would be
a concurrent hearing of HOUSE BILL NO. 278, "An Act increasing
the base student allocation used in the formula for state
funding of public education; repealing the secondary student
competency examination and related requirements; relating to
high school course credit earned through assessment; relating to
a college and career readiness assessment for secondary
students; relating to charter school application appeals and
program budgets; relating to residential school applications;
increasing the stipend for boarding school students; extending
unemployment contributions for the Alaska technical and
vocational education program; relating to earning high school
credit for completion of vocational education courses offered by
institutions receiving technical and vocational education
program funding; relating to education tax credits; making
conforming amendments; and providing for an effective date;" and
HOUSE BILL NO. 291, "An Act increasing the stipend for boarding
school students; and providing for an effective date."
8:43:00 AM
LES MORSE, Deputy Commissioner, Department of Education and
Early Development (EED), explained that one section of HB 278
requires the department to open an annual application period for
residential schools. It does not guarantee establishment of new
facilities, but identifies an area for consideration and
assessment. The final step for opening a residential facility
requires the legislature to allocate funding.
8:44:16 AM
CHAIR GATTIS recalled introduction of a previous bill, which did
not include language establishing an open application period,
and asked if this is a new approach.
MR. MORSE said it is a new component, to establish an annual
routine open application period for new residential schools.
8:45:22 AM
ELIZABETH SWEENEY NUDELMAN, Director, School Finance and
Facilities Section, Department of Education and Early
Development (EED), said HB 278 increases the amount of the
stipend paid to the existing residential facilities; dedicated
to the offset of student room and board. The current nine month
stipend in southeast is raised from $820 to $1,230. The
intention is to cover costs that go beyond what is currently
reimbursed in the stipend. She reported that the fiscal note
reflects a rate increase of $2.2 million; bringing the program
cost to a total of $6.7 million. To a question from Chair
Gattis, she said that 400-500 students are covered in this
total, with the break out provided on the fiscal note.
8:47:53 AM
REPRESENTATIVE LEDOUX questioned the transportation provided
during the school year, and asked what happens with students who
remain at a facility during a holiday period.
MR. MORSE said that the state operated boarding school, Mt.
Edgecombe, budgets one round trip ticket per student, for
arrival at the beginning of the school year and return at the
conclusion. Parents are required to make arrangements for their
child when the facility closes for winter break. He reported
that during other school breaks, activities are continued for
those students who remain.
CHAIR GATTIS asked whether the stipend increase will affect the
state operated school.
MR. MORSE replied, no, and pointed out that Mt. Edgecombe is
funded under the state budget.
8:49:54 AM
REPRESENTATIVE LEDOUX noted that the state boarding school has
always required parents to pay travel costs and asked why it
should be handled differently for other residential programs.
MR. MORSE deferred commenting on residential programs not run by
the state.
MS. NUDELMAN interjected that the intention is to pay for the
student to arrive at the beginning of the school year and return
home at the end. During the course of the year, the family
would be responsible for any travel costs.
REPRESENTATIVE LEDOUX suggested that legal should review the
language.
8:52:11 AM
The committee took an at-ease from 8:52 a.m. to 8:53 a.m.
[The committee returned its attention to HB 278 and HB 291 later
in the hearing.]
HB 278-EDUCATION: FUNDING/TAX CREDITS/PROGRAMS
HB 291-STIPEND FOR BOARDING SCHOOLS
8:55:26 AM
CHAIR GATTIS returned the committees attention to the concurrent
hearing of HOUSE BILL NO. 278, "An Act increasing the base
student allocation used in the formula for state funding of
public education; repealing the secondary student competency
examination and related requirements; relating to high school
course credit earned through assessment; relating to a college
and career readiness assessment for secondary students; relating
to charter school application appeals and program budgets;
relating to residential school applications; increasing the
stipend for boarding school students; extending unemployment
contributions for the Alaska technical and vocational education
program; relating to earning high school credit for completion
of vocational education courses offered by institutions
receiving technical and vocational education program funding;
relating to education tax credits; making conforming amendments;
and providing for an effective date;" and HOUSE BILL NO. 291,
"An Act increasing the stipend for boarding school students; and
providing for an effective date."
ELIZABETH SWEENEY NUDELMAN, Director, School Finance and
Facilities Section, Department of Education and Early
Development (EED), said, regarding boarding schools, HB 278
proposes no change to transportation, but does indicate an
increase in the stipend to cover existing expenditures.
8:55:59 AM
REPRESENTATIVE P. WILSON recalled that last year saw this
funding doubled and said it appears that HB 278 would
effectively be tripling the allocation, and asked for
justification.
MS. NUDELMAN said the change last year was to make permanent an
earlier rate change that had included a sunset date. The
residential rates have remained the same for multiple years, and
last year the sunset was removed. The increase proposed in HB
278 reflects the actual expenditure costs.
8:58:02 AM
CHAIR GATTIS remembered the funding legislation, which passed
from committee in 2013, being reduced by half under
consideration of the House Finance Committee.
LES MORSE, Deputy Commissioner, Department of Education and
Early Development (EED), concurred.
8:59:04 AM
REPRESENTATIVE REINBOLD asked what the increase is primarily
targeted to cover.
MS. NUDELMAN responded that the increase is for the stipend that
supports the 24 hour home at the residential facility. To a
follow-up she said the costs have been on a steady increase but
the reimbursement allocations to districts have not kept pace.
REPRESENTATIVE REINBOLD requested information regarding specific
local contribution totals by area.
MR. MORSE offered to provide the information to the committee.
9:03:07 AM
JERRY COVEY, Education Consultant, Cook Inlet Tribal Council,
provided information on the 126, small rural high schools, most
of which are not on the main road system. He reported: 71 have
10 or fewer pupils; 34 report 11-20; and 21 enroll 21-30;
totaling 1,286 students. Residential programs serve about 700
of these students, primarily in the variable length programs
where students relocate for a portion of the school year and
attendance resides with their home district for funding
purposes. Another 300 attend full, year around, residential
programs. He said that HB 291 and HB 278 play an important role
in these residential opportunities by increasing the stipend
amounts and aligning funding with the actual delivery cost for
residential services. Four new residential programs are
approved for start-up in 2014, and the increased stipend will
help assure the success of these facilities. He spoke in
support of HB 278 and HB 291 and said the state is moving in the
right direction by approving this funding increase.
9:07:30 AM
REPRESENTATIVE LEDOUX asked how many new students might be
served by passage of HB 278; will programs increase the number
of students served or continue status quo.
MR. COVEY said several programs have been operating without
stipend funding for a number of years, and suggested the
question be posed to the individual administrators. He
conjectured that, without the funding proposed in HB 278, it may
be difficult for some programs to continue.
9:09:44 AM
ERIC GEBHARDT, Superintendent, Nenana City School District, said
the stipend amount has remained the same since the original
requested under previous legislation. He said last year, Nenana
transferred roughly $600,000 from the school operating funds to
cover boarding costs at the Nenana Student Living Center.
Passage of HB 278 would reduce that amount to $230,000 and the
difference will be retained in the school operating fund and
used directly for educational purposes.
9:11:22 AM
REPRESENTATIVE SEATON asked whether an increase in enrollment
would be anticipated, with the passage of this legislation, or
if the bill primarily ensures budgetary support.
MR. GEBHARDT responded that the center's physical capacity is
licensed through the Department of Health and Social Services to
accommodate 120 but the current funding capacity, as provided
through the Department of Education and Early Development, only
supports 88. Thus, the possibility for increase exists. To a
follow-up question from Chair Gattis, he said that caution is
exhibited when dealing with a teenage population and
consideration for overcrowding is foremost; any steps towards
expansion would be paced.
9:13:40 AM
REPRESENTATIVE REINBOLD asked whether the parents contribute
funds to offset costs, and if the school district assists in
reducing costs.
MR. GEBHARDT answered that the students participate in cleaning
and general maintenance of the facility, and assist with cooking
tasks. Parents are not charged tuition fees; however, the local
contribution from the City of Nenana is budgeted through the
district. The city also holds the loan note on the facility.
9:15:53 AM
REPRESENTATIVE LEDOUX asked what improvements could be
anticipated with the funding proposed in HB 278.
MR. GEBHARDT responded that funds would be applied to areas
where reductions have been made, such as addition of high school
teachers.
REPRESENTATIVE LEDOUX inquired about the size of the high school
classes.
MR. GEBHARDT said the required classes have as many as 30
students.
9:17:24 AM
REPRESENTATIVE P. WILSON expressed concern for unintended
consequences. She noted that the difference of the physical and
funded capacity, at the center, represents the possibility for
an increase of 32 resident students, but a cost to the state of
roughly $2 million.
MS. NUDELMAN offered that if Nenana chose to increase the
enrollment at the center, a request would be made to the
department, which would in turn come before the legislature to
approve further funding. She clarified that the residential
stipend for 32 students would be approximately $400,000; an
educational cost is already associated with each student, and
paid to whatever public school they are currently attending.
9:21:24 AM
REPRESENTATIVE SEATON noted that often residential students
arrive from small rural area high schools and suggested cost
differentials may vary. He asked whether a student attending
the Nenana Living Center is funded by the Nenana area or the
originating school districts allotment formula.
MS. NUDELMAN said that for the full year programs the foundation
formula is established at the rate of the residential school
location, in this situation the Nenana calculation applies.
REPRESENTATIVE SEATON observed that a student coming from a
rural area with an extremely high differential to attend an
urban residential program with a low differential could
represent a cost savings, possibly exceeding the amount of the
stipend.
MS. NUDELMAN agreed that a monetary savings could be realized.
9:22:40 AM
REPRESENTATIVE DRUMMOND expressed concern that the loss of
students from rural areas can be critical and a decrease in
enrollment could possibly result in closure of a school. She
asked how such a scenario might be addressed.
MS. NUDELMAN answered that many residential facilities operate
variable term programs. Under these programs, a student's
attendance count, and thus foundation funding, remains with the
home district. A residential stipend is paid to the host
program, as approved by the legislature. Students arrive from
rural communities for programs ranging in length, to attend a
comprehensive educational component otherwise not available.
9:28:22 AM
REPRESENTATIVE LEDOUX questioned the benefit to a learning
center in having a student attend for an intensive, less than
one year, program, if the only funding received is a stipend to
cover the board and room fees. With no base student allocation
(BSA) to support the educational aspect, would a program, such
as located in Galena, accept that student.
CHRIS REITAN, Superintendent, Galena City School District,
responded that Galena operates a full year, not a variable
length, program. The funding at Galena is through the BSA. He
agreed with previous testimony, regarding residential program
needs and the possibility for expanding educational services if
funds were not being used to cover stipend shortfalls. He
reported that $1.2 million was transferred last year to cover
food service, security, and utility costs. The funding would be
better used to bolster educational areas, he said, and named a
number of career related components that would benefit high
school and postsecondary students.
9:32:01 AM
REPRESENTATIVE REINBOLD asked how much the Galena community
contributes to this local program.
MR. REITAN reported that approximately $80,000 is what shows on
the books, but the community supplements with a number of city
services including snow removal, general maintenance, and other
support. He said Galena residents consider the facility to be
critical to the region and the state.
REPRESENTATIVE REINBOLD asked whether property taxes are imposed
in the Galena area.
MR. REITAN responded that property taxes are not collected but
the city receives its funds through a sales tax.
9:33:04 AM
REPRESENTATIVE LEDOUX asked whether Galena is the district that
operates the Interior Distance Education of Alaska (IDEA)
program for the home school students, and asked if
administration of that program generates revenue.
MR. REITAN confirmed that Galena is the home base for IDEA and
the funds generated are used to benefit the students by bringing
them to Galena for a one month, residential program. To a
follow-up question, he said there was an offset of about $1
million last year.
9:35:14 AM
REPRESENTATIVE REINBOLD asked for the administrative costs
associated with homeschool programs.
MR. REITAN responded that the allotment for each student is 80
percent of the BSA, approximately $4,500. Out of that, each
family is allowed $1,200 for a high school student.
Additionally, five regional offices are paid for administrative
support and there are costs related to teacher contact. He
characterized IDEA as a tightly run program.
9:36:38 AM
LISA RIEGER, Representative, Cook Inlet Tribal Council, said the
model the council uses is a partnership with the Anchorage
School District to provide supportive student housing for
individuals attending Anchorage area schools. She said this is
a new program, currently serving 3 students, 12 are expected
next year, and plans are to accommodate a total of 40. The
stipend pays a portion of costs and private funds are being
raised to fill the gap. She said the focus is to assist
students, who might not otherwise receive support during crucial
high school years, to become productive citizens able to pursue
postsecondary careers or enter the workforce.
9:39:07 AM
REPRESENTATIVE DRUMMOND inquired about which schools the current
students attend and for information regarding the fiscal note.
MS. REIGER responded that the students attend West and East High
Schools, and transportation is covered under the program. The
stipend will not be received until next year, she said.
9:40:07 AM
REPRESENTATIVE LEDOUX asked about the length of program.
MS. REIGER answered that it operates on a 12 month basis; summer
activities are a component.
9:40:30 AM
REPRESENTATIVE P. WILSON asked where the students originate.
MS. REIGER said these are students who were already located in
Anchorage, although they may originally be from a village.
Homeless students may also be served and be eligible for the
stipend.
REPRESENTATIVE P. WILSON recapped that the program provides
housing to students not able to live with their family.
MS. REIGER said, "Correct," and added that the housing model is
for six students, a house parent, and an Elder. The students
are assigned house chores and the environment is geared to
resemble a family unit.
9:43:01 AM
DOUG WALRATH, Director, Northwestern Alaska Career and Technical
Center (NACTEC), Bering Straits School District, provided an
overview of the NACTEC program, in operation since 2003, as a
partnership with the Bering Straits and Nome Public School
Districts. In addition to the 16 regional communities, NACTEC,
as a regional training center, serves 55 villages and averages
241 students per year. It is an engaging curriculum, partnering
with local industry to offer a culturally rich, relevant
education. In the tenth year of operation, he reported, 40
trainees completed the program. Since the inception of NACTEC,
local graduation rates have improved from 32 percent to 61
percent. He attributes this trend to the NACTEC outreach
efforts and timely introduction of eighth grade students to post
graduation career opportunities that can be secured in or around
their home areas. The program has been succeeding without
receipt of residential funding support. Addressing
Representative LeDoux's question regarding why programs might
accept out of area students, he said that it serves to broaden
the scope of class offerings. For example, partnering with the
Chugach facility allows NACTEC students learning opportunities
in areas such as flight ground school and Emergency Medical I
training, and in Anchorage students gain the benefit of urban
transitions through the Voyage to Excellence (VTE) program. He
said bringing students to Nome from other areas enriches the
local group and supports social dynamics. The two to four week
residential experience also gives village students an experience
of being away from home, which may benefit them in a future
college or military settings. Finally, he said, 27 percent of
the budget is raised locally through educational tax credits;
however, this provides a fluctuating base that is dependent on
the local economy, and makes budgeting difficult. The general
operating costs are absorbed, to a large degree, through the
partnership arrangements that have been forged with the
participating school districts and through the help of industry.
CHAIR GATTIS reported that, on a recent visit to the NACTEC
facility and attendance to an Alaska Federation of Natives (AFN)
event, an informal poll indicated strong parental support for
the boarding school, and indicated that parents view it as an
important educational option.
9:50:08 AM
REPRESENTATIVE LEDOUX asked whether students are taken into the
variable programs from districts not in partnership, and, if so,
are the home districts required to pay a portion of the BSA.
MR. WALRATH said that the exchange arrangements require the home
district to cover transportation costs to Nome, but NACTEC takes
over financially from there; and the reverse occurs for Nome
students.
REPRESENTATIVE LEDOUX restated to ask about the possibility of
NACTEC accepting students from any district in the state.
MR. WALRATH responded, "Do we now - no; would we - yes." He
added that a memorandum of understanding could be secured from
the governing board; however, capacity would have to be
considered. When training exchanges are possible, every effort
is made to take advantage of the situation, and if no exchange
is available, fees would need to be imposed.
9:53:51 AM
ANDREA KORBE, Vice President, Chugach School District, stated
support for HB 291, paraphrasing from a prepared statement,
which read as follows [original punctuation provided]:
I applaud this forward thinking proposed legislation
which is in alignment of the Governor's guiding
principles of fixing and supporting what we already
have, and finishing what we've started.
HB 291 proposes to invest in what is already in place
and what has already proven effective and successful.
A recent legislative appropriation to expand our VTE
facilities is deeply appreciated, and students from
around Alaska are already benefiting from it today.
Community and business input along with student needs
were the driving force for the development of our
variable-term residential school called Voyage To
Excellence, or VTE. This statewide residential school
is an Alaskan grass roots developed program, designed
specifically to simultaneously meet Alaskan youth and
business partner needs. Based in Anchorage, VTE has
the ability to connect all Alaskan students with the
vast majority of Alaskan businesses, regardless of
where the students call home. VTE has experienced
continued growth in the number of students who choose
to participate through the years. Hundreds of
businesses have worked with thousands of VTE students
from over 15 districts throughout the past 18 years.
VTE results have not only had a tremendous positive
impact upon graduation rates, with a 98% graduation
rate shown in our last study, but a recent study also
shows that VTE student are far more persistent in
their postsecondary training than students who've not
participated in VTE. They stick with it and complete
college or career training programs, rather than
dropping out during the vulnerable transition from
high school to careers and college.
To meet the ongoing challenge of sustaining our
ability to provide VTE services, the Chugach School
District will continue to rely upon multiple sources
on revenue. With escalating costs in virtually all
areas of operation, passing HB 291, to increase the
residential school stipend, is key to our ability to
sustain these essential student services for Alaskan
youth and businesses. This stipend increase should in
no way be considered a hand out but rather should be
considered a leg up for the youth and businesses of
Alaska. It is indeed support for a successful
education solution that Alaska has already started.
9:58:01 AM
REPRESENTATIVE SEATON commented that this bill represents a
bright star in the effort to improve state education. He then
moved to report HB 291 out of committee with individual
recommendations and the accompanying fiscal notes.
9:59:20 AM
CHAIR GATTIS opened public testimony.
REPRESENTATIVE SEATON withdrew his motion.
9:59:38 AM
KATRINA CHURCH-CHMIELOWSKI, Vice President, Copper River School
District Board of Education, stated support for HB 278 and
HB 291, paraphrasing from a prepared statement, which read as
follows [original punctuation provided]:
I have served on the board since 2008, and am a mother
of three children enrolled in the district. I am here
to speak in support of House Bill[s] 291 and 278,
representing the Board of Education and speaking as a
parent whose children will benefit from passage of
this bill.
The Copper River School District (CRSD) has applied
for a Planning Grant to develop True North Academy, a
district-operated statewide variable-length
residential educational program and virtual school
that will benefit students across the state of Alaska.
Our vision will allow students to enjoy a high-quality
education in their schools and/or home communities, as
well as in-depth, hands-on experiences in targeted
areas that will prepare them to be productive,
successful citizens with the skills and confidence to
pursue training, college, and careers after high
school graduation.
The virtual academy connects on-site learning
opportunities in "skills academies" at a variable-
length residential education program located in
Glennallen. The "skills academies" are on-site,
hands-on, concentrated study and practice
opportunities for students. Pairing the two will
provide students across Alaska with opportunities to
learn in unique, innovative, and individualized ways.
Offices, classrooms, and living quarters will be
located on the recently-vacated Alaska Bible College
campus, which is immediately adjacent to the
Glennallen School campus. The Alaska Bible College
Board of Directors supports the Copper River School
District's proposal.
Prince William Sound Community College, Copper Basin,
of which I am the Director, is currently located on
the same Alaska Bible College campus. Prince William
Sound Community College (PWSCC) and the CRSD have a
partnership to work together to expand offerings to
True North Academy students. PWSCC already offers
dual credit courses to local students, and will expand
those offerings to True North Academy students through
synchronous and asynchronous delivery as well as on-
site programs. Dual credit offerings content tracks
include core academic courses such as English and
history, foreign languages, technology careers, health
occupations, office management, and career and
technical programs such as millwright. PWSCC is fully
supportive of the CRSD's proposal.
House Bill 291 will help support the students of True
North Academy's virtual school and variable-term
residential program. Students will benefit with
access to high quality, rigorous coursework and hands-
on experiences that will prepare them for life after
high school. This bill directly and positively
affects the Copper River School District's ability to
provide students across Alaska new opportunities to
succeed. I encourage you to support House Bill[s] 291
and 278.
10:02:56 AM
TESSA WYGANT, Student, Copper River School District, stated
support for HB 291, indicating that the bill will be helpful to
further the opening of a boarding school in the Copper River
School District.
REPRESENTATIVE P. WILSON asked when the doors are expected to
open on the boarding school.
MS. CHURCH-CHMIELOWSKI responded that it will open in phases,
with the initial phase scheduled for the fall of 2014.
10:04:23 AM
CHAIR GATTIS closed public testimony.
10:04:30 AM
REPRESENTATIVE SEATON moved to report HB 291 out of committee
with individual recommendations and the accompanying fiscal
notes. Without objection, HB 291 was reported from the House
Education Standing Committee.
[HB 278 was held over.]
| Document Name | Date/Time | Subjects |
|---|---|---|
| Molly Hunter Article.pdf |
HEDC 2/10/2014 8:00:00 AM |
HB 245 |
| HB278 Testimony - Patricia Young.pdf |
HEDC 2/10/2014 8:00:00 AM |
HB 278 |