Legislature(2007 - 2008)CAPITOL 106
03/18/2008 03:00 PM House HEALTH, EDUCATION & SOCIAL SERVICES
| Audio | Topic |
|---|---|
| Start | |
| HB420 | |
| HB234 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HB 420 | TELECONFERENCED | |
| += | HB 234 | TELECONFERENCED | |
| *+ | HB 306 | TELECONFERENCED | |
| *+ | HB 358 | TELECONFERENCED | |
| + | TELECONFERENCED |
HB 234-EDUCATION LOAN REPAYMENT PROGRAM 3:41:16 PM CHAIR WILSON announced that the next order of business would be HOUSE BILL NO. 234, "An Act relating to the education loan repayment program and establishing the education loan repayment fund." 3:41:30 PM REPRESENTATIVE ROSES moved CSHB 234, Version 25-LS0772\K, Cook, 3/5/08, as a working document. [There being no objection, Version K was before the committee.] 3:41:54 PM JEANNE OSTNES, staff to Representative Craig Johnson, Alaska State Legislature, explained that many of the questions regarding the original version of the bill were administrative in nature. In addition, the committee requested amendments to the bill that address "regional severe shortages." She shared that the Department of Labor & Workforce Development (DLWD) advised that it could not administer a regional aspect of the bill, although there is public support for a regional aspect. Furthermore, the Department of Health Social Services (DHSS) recommended that, instead of specifying a "shortage", a "turnover" or "vacancy" rate for each duty station would be more appropriate. Ms. Ostnes also stated that the Department of Administration's (DOA) Workgroup report regarding recruitment and retention disclosed that the removal of specific degree requirements or replacing a specific general degree with field specific credits was directed by Administrative Order #237. 3:45:18 PM MS. OSTNES continued to explain that the sponsor's intent, that the bill would apply to a student who came to Alaska to work in a job identified with a severe shortage status, is not possible to legislate at this point. The DLWD is interested in finding a better way to identify how critical vacancies and shortages would be listed, perhaps on a regional basis, but the statute cited by the bill is not applicable at this time. She acknowledged that there are anecdotal reports of labor shortages and offered further testimony by a statistician from the DLWD. 3:47:25 PM REPRESENTATIVE ROSES confirmed that the bill creates a situation whereby the DLWD can not determine who qualifies for the loan program. MS. OSTNES concurred. She added that the statute has never been used and the research and analysis to generate the needed list is not available. 3:48:35 PM REPRESENTATIVE ROSES pointed out that the critical need in the field of education has been identified by individual school districts on a year-to-year basis; in fact, retired teachers have been re-hired by this procedure. MS. OSTNES opined that the DLWD web site has two job posting systems; however, private employers do not have the capability to cite specific areas of need. 3:50:33 PM CHAIR WILSON invited testimony by the representative from the DLWD. 3:51:15 PM BRYNN KEITH, Research & Analysis, Division of Administrative Services, assumed that the lists the committee was familiar with are those that reflect the professions that the DLWD predicts will be in demand. In order to determine severe shortage occupations, both supply and demand would need to be calculated and the supply component is unknown. 3:52:01 PM CHAIR WILSON suggested that the DLWD should determine how many workers are produced in Alaska. MS. KEITH provided examples of the complexity of the statistics and the dynamics of Alaska's population. In response to a comment, Ms. Keith noted that the seasonal nature of the state's economy, the military, and other factors, contribute to the complexity. 3:53:17 PM REPRESENTATIVE CISSNA recalled visiting approximately 50 clinics, many that have vacancies for positions that are funded. She asked whether the state could work to create a supply of workers. MS. KEITH said, "We could get close to it." However, it would not be a definitive figure. She re-stated that there is no definitive measure to determine a shortage. A national unemployment rate by occupation and a vacancy survey are possible; nevertheless, a vacancy may not indicate a shortage of supply, as there are variables that create vacancies. Ms. Keith acknowledged the availability of anecdotal information; in fact, assessing shortages is a corroboration of anecdotal information. However, it is possible for the DLWD to look at high demand occupations and study the impediments to filling those vacancies. 3:56:44 PM CHAIR WILSON predicted continued vacancies as the pay scale in the Lower 48 states rises to meet the pay scale in Alaska. 3:57:32 PM MS. KEITH advised that a recession in the Lower 48 states would increase the supply of workers to Alaska. 3:57:53 PM REPRESENTATIVE GARDNER observed that shortages may go unfilled for a variety of reasons. 3:58:30 PM REPRESENTATIVE CISSNA opined that the state endures changing conditions and the proposal in the bill would provide some certainty for solving this problem. She suggested funding a vacancy survey that would provide specific information and identify regional trends. 4:00:18 PM MS. KEITH agreed that a vacancy survey provides a source of information; however, a survey would be very costly due to the seasonal nature of the Alaskan economy. Ms. Keith expressed her concern, based on the experience of other states, that three years of quarterly surveys may not provide adequate data. 4:01:28 PM REPRESENTATIVE CISSNA made a further suggestion on how a survey might be conducted. 4:02:36 PM MS. KEITH agreed that a collection of anecdotal information would be less expensive, but cautioned against making informed policy decisions based on anecdotal information. 4:03:07 PM CHAIR WILSON observed that the teacher placement group has complete information on teacher shortages. 4:03:32 PM REPRESENTATIVE ROSES conveyed that the educational area is more predictable due to school enrollments and trends. He pointed out that the private sector, for example, the construction field, is far more variable and dependent on economic factors. 4:04:48 PM REPRESENTATIVE CISSNA drew a comparison to state funding for the field of health. 4:05:55 PM REPRESENTATIVE ROSES asked how the Postsecondary Education Commission would implement the bill in its present from. 4:06:26 PM DIANE BARRANS, Executive Director, Postsecondary Education Commission, Department of Education and Early Development, opined that to administer the bill her department would concentrate on the areas of the bill that are clearly defined. She listed the areas of shortage that are readily identified by a variety of sources. Her concern, as the program administrator, is the question of fairness between careers that require specific levels of higher education. 4:07:50 PM REPRESENTATIVE ROSES referred to the testimony given during the hearing on a student grant bill and compared how the two bills approach the issue of attracting and retaining a workforce for Alaska. He requested further clarification prior to moving this bill. 4:09:05 PM CHAIR WILSON stated that she intends to hold the bill. 4:09:16 PM MS. OSTNES stated that the sponsor is aware of the need for this bill to be held. 4:10:00 PM REPRESENTATIVE GARDNER stated that this bill creates a reward for behavior that has already happened. She opined that, to fill anticipated future needs in the state, the legislature should provide incentives to high school graduates that encourage them in a certain direction. Representative Gardner then referred to page 3, line 1, of the bill, and read: In awarding education loan repayment benefits, the commission shall give priority to an eligible individual who was awarded a benefit for a prior year. REPRESENTATIVE GARDNER questioned why an additional benefit would be paid to one individual for two years. 4:11:19 PM MS. OSTNES explained that, once the program is enacted, a beneficiary would have the expectation that up to 50 percent of their total loan would be repaid. 4:11:58 PM REPRESENTATIVE GARDNER clarified that this program is for an individual that is working, has been out of school for a year, and acquired the student loans without the expectation of repayment. 4:12:19 PM CHAIR WILSON pointed out that there would be an expectation once one is approved for the repayment. 4:12:33 PM REPRESENTATIVE ROSES gave an example of a certified classroom teacher who earns a special education credential and thereby enters an occupation of severe shortage. He suggested that the bill should not exclude a person in this situation. 4:13:50 PM MS. BARRANS affirmed that, by regulation, HB 234 would allow loan repayment for a person in this situation. REPRESENTATIVE ROSES advised that the language of the bill should clearly define its purpose. 4:14:52 PM MS. OSTNES added that special education teachers are needed in the state. 4:15:05 PM [HB 234 was held in committee.]
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