Legislature(2017 - 2018)HOUSE FINANCE 519

03/16/2017 01:30 PM FINANCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Delayed 10 min. After Recess --
+= HB 56 COMMERCIAL FISHING LOANS TELECONFERENCED
Moved HB 56 Out of Committee
+= HB 81 AK ENERGY EFFICIENCY LOANS: ELIGIBILITY TELECONFERENCED
Moved CSHB 81(ENE) Out of Committee
+= HB 106 CIVIL LEGAL SERVICES FUND TELECONFERENCED
Moved HB 106 Out of Committee
+ HB 141 AK WORKFORCE INVESTMENT BOARD;FUNDS TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
HOUSE BILL NO. 141                                                                                                            
                                                                                                                                
     "An Act relating to allocations of funding for the                                                                         
     Alaska Workforce Investment Board; and providing for                                                                       
     an effective date."                                                                                                        
                                                                                                                                
4:38:15 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   ZACH  FANSLER,   SPONSOR,  introduced   the                                                                    
legislation  which was  an act  relating  to allocations  of                                                                    
funding for the Alaska  Workforce Investment Board. The bill                                                                    
was a renewal  of an already existing bill.  He reviewed the                                                                    
sponsor statement:                                                                                                              
                                                                                                                                
     AS   23.15.820   authorizes    the   Alaska   Workforce                                                                    
     Investment  Board to  administer  the Alaska  Technical                                                                    
     and   Vocational   Education   Program   (TVEP).   This                                                                    
     legislation  reauthorizes the  allocation  of the  TVEP                                                                    
     funding for five years.                                                                                                    
                                                                                                                                
     TVEP was  established by Legislature  in 2000  with the                                                                    
     purpose of  enhancing the quality and  accessibility of                                                                    
     job training  across the  state, and  aligning training                                                                    
     with  regional   workforce  demands.  TVEP   funds  are                                                                    
     obtained from  a portion  of employee  contributions to                                                                    
     the unemployment insurance trust fund.                                                                                     
                                                                                                                                
     The  TVEP   funds  are   allocated  to   technical  and                                                                    
     vocational education entities  across Alaska designated                                                                    
     by AS 23.15.835. Each entity  receives a set percentage                                                                    
     of  the  TVEP funds  available  each  fiscal year.  The                                                                    
     current allocation  sunsets June  30, 2017.  Unless the                                                                    
     allocation  is  reauthorized   this  funding  will  sit                                                                    
     unused in  the TVEP  account instead  of being  used by                                                                    
     these entities to train Alaskans.                                                                                          
                                                                                                                                
     TVEP recipients  are required by  statute to  track and                                                                    
     report  program   outcomes  to  the   Alaska  Workforce                                                                    
     Investment  Board. Each  year  the  Board compiles  and                                                                    
     provides to  the legislature a TVEP  performance report                                                                    
     containing this  information. In Fiscal Year  2016, the                                                                    
     ten  TVEP  recipients  were allocated  $12,510,900  and                                                                    
     served 10,295 youth and adults.  A statewide network of                                                                    
     training  providers   is  critical  to   developing  an                                                                    
     Alaskan workforce.                                                                                                         
                                                                                                                                
     This  legislation  is  necessary to  help  educate  and                                                                    
     train Alaskans for Alaska's jobs.                                                                                          
                                                                                                                                
Representative Fansler  emphasized the importance  of making                                                                    
sure  the state's  highest paying  technical and  vocational                                                                    
jobs were  being performed by  Alaskans. The system  was set                                                                    
up so that  the legislation helped every  region. He relayed                                                                    
that   10   different   programs  were   affected   by   the                                                                    
legislation:                                                                                                                    
                                                                                                                                
        1. University of Alaska (statewide)                                                                                     
          45 percent TVEP funds                                                                                                 
                                                                                                                                
        2. Galena Interior Learning Academy                                                                                     
          4 percent TVEP funds                                                                                                  
                                                                                                                                
        3. Alaska Technical Center (Kotzebue)                                                                                   
          9 percent TVEP funds                                                                                                  
                                                                                                                                
      4. Alaska Vocational Technical Center (Seward)                                                                            
          17 percent TVEP funds                                                                                                 
                                                                                                                                
        5. Northwestern Alaska Career and Technical Center                                                                      
          (Nome) 3 percent TVEP funds                                                                                           
                                                                                                                                
        6. Southwest Alaska Vocational and Education Center                                                                     
          (King Salmon) 3 percent TVEP funds                                                                                    
                                                                                                                                
        7. Yuut Elitnaurviat, The People's Learning Center                                                                      
          (Bethel) 9 percent TVEP funds                                                                                         
                                                                                                                                
        8. Partners for Progress (Delta Junction)                                                                               
          3 percent TVEP funds                                                                                                  
                                                                                                                                
        9. Amundsen Educational Center (Soldotna)                                                                               
          2 percent TVEP funds                                                                                                  
                                                                                                                                
        10. I (Bethel)                                                                                                          
           5 percent TVEP funds                                                                                                 
                                                                                                                                
Co-Chair Foster reviewed the list of testifiers available                                                                       
for questions.                                                                                                                  
                                                                                                                                
4:44:01 PM                                                                                                                    
                                                                                                                                
Representative Tilton asked if the distribution in the bill                                                                     
had changed from what it was prior to the sunset date.                                                                          
                                                                                                                                
Representative Fansler responded that the distribution was                                                                      
the same.                                                                                                                       
                                                                                                                                
Representative Tilton asked if any other entities were                                                                          
interested in being part of the distribution.                                                                                   
                                                                                                                                
Representative   Fansler   reported    no   other   entities                                                                    
approaching  his office  wanting to  be on  the distribution                                                                    
list.  He  understood  that  previously  there  had  been  a                                                                    
significant  amount   of  discussion  on  the   subject  and                                                                    
anticipated  hearing from  other entities.  However, he  had                                                                    
not heard from anyone.                                                                                                          
                                                                                                                                
Representative Wilson  asked about how the  funding was used                                                                    
and  about   the  certification   having  to  do   with  the                                                                    
university.                                                                                                                     
                                                                                                                                
Representative  Fansler responded  that he  could provide  a                                                                    
PowerPoint detailing  the information  Representative Wilson                                                                    
requested.  He  was  happy  to  provide  the  materials  for                                                                    
members to review.                                                                                                              
                                                                                                                                
MARY  SCHLOSSER, STAFF,  REPRESENTATIVE FANSLER,  added that                                                                    
the  information  provided in  the  Labor  PowerPoint was  5                                                                    
pages,  which was  the standard  submission for  committees.                                                                    
The full technical  report from the Department  of Labor and                                                                    
Workforce Development  was available  online. She  was happy                                                                    
to provide the information to the representative.                                                                               
                                                                                                                                
Representative  Wilson   wondered  if   the  state   had  an                                                                    
obligation,  because funds  were being  provided for  by the                                                                    
federal  government, to  use  the funds  to  help people  to                                                                    
return to work.                                                                                                                 
                                                                                                                                
Representative Fansler  responded that  he was  not inclined                                                                    
to answer her question and  would likely differ her question                                                                    
to  someone  else. He  relayed  that  the funds  were  state                                                                    
unemployment insurance funds  being used on a  state a state                                                                    
level. He did not believe  there were any federal guidelines                                                                    
that applied to  it. He was happy to differ  to someone else                                                                    
if he was incorrect.                                                                                                            
                                                                                                                                
4:48:42 PM                                                                                                                    
                                                                                                                                
Representative  Wilson commented  that unemployment  dollars                                                                    
were being used to pay the  amounts. She wanted to make sure                                                                    
there was enough money to be  able to train those people who                                                                    
were not working  so they could get back to  work. She hoped                                                                    
for    additional     information    regarding    retraining                                                                    
expectations.                                                                                                                   
                                                                                                                                
Representative Fansler would  provide additional information                                                                    
in a memo.                                                                                                                      
                                                                                                                                
Co-Chair Foster  reminded members  that Paloma  Harbour with                                                                    
the  Department of  Labor and  Workforce Development  was in                                                                    
the room and available for questions as well as others.                                                                         
                                                                                                                                
Representative Wilson understood the  committee was short on                                                                    
time  presently and  suggested  that Representative  Fansler                                                                    
get an answer back to committee members.                                                                                        
                                                                                                                                
4:50:18 PM                                                                                                                    
                                                                                                                                
Co-Chair Foster OPENED Public Testimony.                                                                                        
                                                                                                                                
4:50:45 PM                                                                                                                    
                                                                                                                                
DENNIS  DISHION,  EXECUTIVE   DIRECTOR,  YUUT  ELITNAURVIAT,                                                                    
BETHEL  (via  teleconference),  informed  committee  members                                                                    
that the  funds were  paramount in order  for the  center to                                                                    
continue its operations in preparing  local people for local                                                                    
jobs in  the Yukon  Delta Region.  He noted  jobs associated                                                                    
with many large construction  projects becoming available in                                                                    
the region. The funds helped  the center to deliver training                                                                    
and workforce development skills  for those people living in                                                                    
the  area. The  training  facilitated locals  being able  to                                                                    
obtain  family wage  jobs rather  than out-of-state  skilled                                                                    
tradesmen  filling   them.  The  ultimate  mission   of  the                                                                    
organization  was to  train local  people for  local, family                                                                    
wage jobs.                                                                                                                      
                                                                                                                                
4:52:06 PM                                                                                                                    
                                                                                                                                
Representative Guttenberg  remembered having  a conversation                                                                    
about  the cost  of  broadband services  at  the center.  He                                                                    
asked if Mr. Dishion had that dollar figure.                                                                                    
                                                                                                                                
Mr.  Dishion responded  that  it  was likely  Representative                                                                    
Guttenberg had spoken with his  predecessor. He did not have                                                                    
the figure off the top of his  head but was happy to get the                                                                    
number to him.                                                                                                                  
                                                                                                                                
4:52:47 PM                                                                                                                    
                                                                                                                                
Co-Chair Foster CLOSED Public Testimony.                                                                                        
                                                                                                                                
Co-Chair  Foster  indicated he  would  be  setting the  bill                                                                    
aside.  Amendments were  due to  Jane  Pierson by  Thursday,                                                                    
March 23, 2017 at 5:00 p.m.                                                                                                     
                                                                                                                                
HB  141  was  HEARD  and   HELD  in  committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
4:53:18 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
4:53:48 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                

Document Name Date/Time Subjects
HB 141 Supporting Documents All Letter 2.27.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB141 Additional Documents pages from 2016_TVEP_Report 2.27.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB141 Additional Documents Pages from UA TVEP Advocacy Package 2.27.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB141 Additional Documents Rep Kito TVEP Information Letter 3.8.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB141 Sectional Analysis 2.27.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB141 Sponsor Statement 2.27.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB 56 Supporting Documents-DCCED Response.pdf HFIN 3/16/2017 1:30:00 PM
HB 56
HB 141 - Document in Support NANA.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB 81 - Letter of Support from AAHA (003).pdf HFIN 3/16/2017 1:30:00 PM
HB 81
HB 141 - Document in Support NANA.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB0056 Sponsor Statement 03.15.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 56
HB141 Additional Documents Rep Kito TVEP Info Letter 3.15.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB 141 Support Letter.pdf HFIN 3/16/2017 1:30:00 PM
HB 141
HB 56 Document in Opposition ABA 3.16.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 56
HB 81 - Sponsor's answers to committee questions 3.16.17.pdf HFIN 3/16/2017 1:30:00 PM
HB 81