Legislature(2013 - 2014)BARNES 124
04/05/2013 03:15 PM House LABOR & COMMERCE
| Audio | Topic |
|---|---|
| Start | |
| Confirmation Hearings|| Regulatory Commission of Alaska|| Board of Marine Pilots|| Board of Pharmacy|| Alaska Workers' Compensation Board | |
| HB32 | |
| HB150 | |
| SB52 | |
| HB121 | |
| HB152 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | HB 32 | TELECONFERENCED | |
| *+ | HB 150 | TELECONFERENCED | |
| + | SB 52 | TELECONFERENCED | |
| *+ | HB 169 | TELECONFERENCED | |
| *+ | HB 121 | TELECONFERENCED | |
| *+ | HB 152 | TELECONFERENCED | |
| + | TELECONFERENCED |
HB 150-TECHNICAL/VOCATIONAL EDUCATION PROGRAM
3:46:35 PM
VICE CHAIR REINBOLD announced that the next order of business
would be HOUSE BILL NO. 150 "An Act extending the unemployment
contributions for the Alaska technical and vocational education
program."
3:46:42 PM
CATHY TILTON, Staff, Representative Mark Neuman, Alaska State
Legislature, speaking on behalf of the sponsor, Representative
Neuman, explained that HB 150 relates to the Alaska Technical
and Vocational Education Program (TVEP), which was created in
2000 under AS 23.15.840 and sunsets on June 30, 2014. This bill
will extend the sunset date. The TVEP was created to provide
financial assistance and support facilities throughout the state
for technical and educational programs for industry-specific
training. In 2008, a bill passed that updated the TVEP by
creating a vocational education account comprised of funds
collected from unemployment insurance contributions at a rate of
.15 percent. These funds are then allocated according to the
statute, which is illustrated in a flow chart in members'
packets entitled, "State of Alaska Tax Flow Chart". In 2008,
the unemployment rate in Alaska was 50 percent above the
national average. Figures recently released by the state
Department of Labor & Workforce Development (DLWD), relate that
the unemployment rate in Alaska for December 2012 was at 6.6
percent, while the national average was at 8.1 percent. In
fact, Alaska has maintained a lower than national average rate
for 46 months, which is a good indicator that the technical and
vocational training programs work. From 2006-2011, 63 percent
of youth who graduated from Alaska's high schools attended some
college. In part, the TVEP program works since it allows youth
to train in their local communities and also live and work where
they were raised. In 2012, DLWD tracked nearly 18,000 training
program students as they moved into the work force. The
department discovered that 67 percent of the students who
completed the program had salaries and employment in the fourth
quarter. Additionally, these participants earned 29 percent
more during that time [as compared to those not in the program].
3:49:16 PM
MS. TILTON pointed out Alaska's workforce is an aging workforce.
As the baby boomers retire a lack of skilled workers and
tradesmen exist to meet the growing demand for replacements. In
2008, 9.9 percent of construction workers and 11.8 percent of
mining and logging workers were between the ages of 55-65. As
this group retires the state will need skilled tradesmen to fill
their spots. The Anchorage Daily News (ADN) on March 21, 2013,
reported that the U.S. is not producing enough qualified workers
to meet the needs of the mining and energy sectors, which is
another reason to continue with these vocational education
training programs.
REPRESENTATIVE MARK NEUMAN, Alaska State Legislature, speaking
as the sponsor of HB 150, stated that this is a great program
with federal funds for vocational education programs. He asked
members for their support.
3:50:45 PM
REPRESENTATIVE SADDLER moved to adopt the proposed committee
substitute (CS) for HB 150, labeled 28-LS0599\N, Mischel,
4/4/13, as the working document.
VICE CHAIR REINBOLD objected for the purpose of discussion.
3:51:11 PM
REPRESENTATIVE SADDLER asked the sponsor to identify the most
effective vocational education training program.
REPRESENTATIVE NEUMAN replied it would depend on the university
or job skills a student would like to pursue. He related that
this program funds a multitude of vocational education programs,
such as nursing, mining, heavy equipment, construction,
electricity, and almost every trade.
3:51:50 PM
VICE CHAIR REINBOLD referred to the fiscal note and asked for
clarification.
REPRESENTATIVE NEUMAN directed attention to the explanation
attached to the $5.4 million fiscal note. He then explained the
fiscal note is an estimate since the state is unsure of the
amount of the program's funding.
VICE CHAIR REINBOLD asked whether the fiscal note represents
growth or if the program has been steady.
REPRESENTATIVE NEUMAN answered that the program has been fairly
steady. Unfortunately, as less people are working, less money
goes into this program. He explained the program increased from
approximately .10-.15 percent six years ago once the core of the
fund had grown to a point where additional funds could be
distributed for vocational education without affecting the core.
3:53:35 PM
REPRESENTATIVE CHENAULT commented that he supports workforce
development and vocational education training. He wondered if
some of the funds should be spent in K-12 or if additional
funding should be applied to the K-12 sector. He expressed an
interest in having high school students consider vocational
education as an option rather than waiting until students are of
college age. He said he likes the bill, but he thinks the state
needs to do more in the education system at an earlier time to
promote vocational education.
VICE CHAIR REINBOLD stated she previously lived in a country
that promoted vocational education and it was fascinating to see
kids choose a college path or vocational path in 9th grade.
3:54:46 PM
REPRESENTATIVE CHENAULT asked for an explanation of the changes
in the proposed committee substitute (CS) for HB 150, Version N.
KONRAD JACKSON, Staff, Representative Kurt Olson, Alaska State
Legislature, on behalf of the House Labor & Commerce Standing
Committee, Representative Kurt Olson, Chair, explained the
changes in Version N. Referring to page 1 line 6, he pointed
out that the immediate effective date would change from 2014 to
2024 to help prevent any lapse in funding for the funding.
REPRESENTATIVE NEUMAN interjected that he wanted to address
HB 150 this year to avoid any lapse in funding.
VICE CHAIR REINBOLD removed her objection. [No further
objection was stated and the committee treated Version N as
before it.]
3:56:12 PM
JUDY WALGENBACH, Program Director, Amundsen Education Center/New
Frontier Vo-Tech Center, began by thanking the members for the
TVEP funding, which allowed expansion of the programs. For
instance, now there is a professional medical coding program on
the peninsula, which is a national certification. The average
salary students receive ranges from $13-$15 per hour with
benefits. She then pointed out that the Alaska Commission on
Post-Secondary Education just approved an Internet Technology
network technician program which will allow the center to
attract more students from the village. The center also
provides support to assist students as they transition in from
the villages to the program; the center hopes to obtain more
residential housing for students. She indicated the center has
been assisting students seeking new careers. A new facility was
donated to Amundsen Education Center this fall and TVEP enabled
the center to have adequate teaching staff as it expands its
program. She reported the TVEP grant has been a great benefit
to the organization and the center appreciated being awarded a
grant to cover operating expenses.
VICE CHAIR REINBOLD remarked that she understood that the number
of medical codes will increase from 10,000 to over 100,000 under
the [new proposed] federal law.
3:58:17 PM
CHRIS REITAN, Superintendent, Galena School District (GSD),
spoke in support of HB 150. He explained that the GSD uses the
TVEP funding to build a bridge program, primarily for rural
Alaska Native students, for long-term post-secondary training
opportunities. The GSD has a high school boarding school where
students are engaged in one of the career and technical
education programs. Further, students can transition into a
post-secondary program. For example, the TVEP funds support the
GSD's aviation program and students can transition and obtain
their private pilot's license and instrumentation certification
in Galena, and then move on to more advanced training at the
university level. Additionally, students can work toward
cosmetology certification, primarily at the high school level to
obtain hours and then transition into Galena's fifth year post-
secondary program. These TVEP funds have been hugely important
to Galena, in terms of building programs that high school
students can use to begin working towards certification. Upon
graduation students can move into post-secondary certification
programs, which are relatively short-term programs [due to the
vocational technical training they receive in Galena]. He said
GSD is in full support of HB 150. He offered his belief that
this funding has created a great model in Galena to offer post-
secondary education and training to high school students, which
allows them to move on to final certification upon graduation.
REPRESENTATIVE SADDLER remarked that he was part of a trip that
the Community and Regional Affairs Standing Committee took last
year to Galena. He said he was very impressed by the auto shop
and aviation technology program. He offered his support for the
bill, in part, to assist Galena in its continued efforts.
4:01:07 PM
FRED VILLA, Associate Vice-President, Workforce Programs,
University of Alaska Fairbanks (UAF), stated that UAF has over
200 workforce development programs in three areas, including
pre-college programs to connect youth with career pathways; the
certificate degree and occupational endorsement; as well as
professional development of students across the state with
priority areas for economic and community development, career
pathways, and high demand jobs. He related that the UAF program
uses the TVEP money as one-time funds to keep technology
current, startup funds for programs that meet the immediate
needs of employers in the regions and across the state through
grants or other resources until sustainable sources of funding
are found. The office implements the program using a
comparative process with the university campuses that aligns
with the state priorities as identified by the Workforce
Investment Board and use the TVEP's rules and guidelines to
develop proposals. Then the proposals are vetted through the
provost and the chief academic officers of each university to
ensure the program meets the campus priorities. The UAF's
review committee includes representatives from each university
and the Department of Labor & Workforce Development (DLWD). He
characterized this effort as one that uses the state perspective
to help prevent duplication of programs.
4:03:38 PM
MR. VILLA offered his belief that all of the educational
training programs are associated with industry standards and
criteria or certificates. For example, in the pre-college area,
the robotics program has gone statewide and is almost viral at
this point. The robotics program helps introduce kids to the
fun and creativity of robotics, but may also generate interest
in more students becoming engineers. The dual credit tech-prep
program and the professional development journeyman
apprenticeship program allows credit for prior learning for
associate degrees by using experience students obtained during
the journeyman training. He pointed out that high demand areas
are programs in health, mining, and a mining core drilling
program - which is an apprenticeship program. The new mine
training offered in Juneau and in the oil and gas sectors are
process technology provided in partnership with the Pipeline
Training Center. He offered his belief that this funding has
been critical funding and wisely used by the university. He
thanked members for their time.
VICE CHAIR REINBOLD remarked that the robotics programs have
just started at the high school in her district. She said she
also loves the science, technology, engineering, and math (STEM)
program, as well. She said after listening to the testimony on
workforce development, she believes the philosophy and training
is aligned with the needs of Alaskans.
VICE CHAIR REINBOLD, after first determining no one else wished
to testify, closed public testimony on HB 150.
4:05:54 PM
REPRESENTATIVE SADDLER moved the proposed committee substitute
(CS) for HB 150, labeled 28-LS0599\N, Mischel, 4/14/13, out of
committee with individual recommendations and the accompanying
fiscal notes. There being no objection, CSHB 150(L&C) was
reported from the House Labor and Commerce Standing Committee.