Legislature(2017 - 2018)BUTROVICH 205
03/27/2017 08:00 AM Senate EDUCATION
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| Audio | Topic |
|---|---|
| Start | |
| SB87 | |
| SB96 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | SB 87 | TELECONFERENCED | |
| += | SB 96 | TELECONFERENCED | |
| + | TELECONFERENCED |
SB 96-EDUCATION: SCHOOLS/TEACHERS/FUNDING
8:06:16 AM
CHAIR HUGHES announced the consideration of SB 96. She noted
there was a new CS for SB 96 and she wished to adopt it prior to
public testimony and the next meeting.
8:06:59 AM
SENATOR GIESSEL moved to adopt the CS for SB 96, labeled 30-
LS0452\T, as the version before the committee.
CHAIR HUGHES objected for discussion.
8:07:10 AM
At ease
8:07:35 AM
JOSHUA BANKS, Staff, Senator Shelley Hughes, Alaska State
Legislature, explained the changes in version T of SB 96.
8:07:55 AM
He explained the change on page 4, lines 6-13: Deletes changes
in Version R that may require school districts to cooperate with
businesses, nonprofit organizations, and other state or local
government agencies.
8:09:00 AM
He said the next change is on page 6, lines 8-12: Adds language
in Version T so that the multiplier is 1.00 for schools that are
subject to the changes made in Section 11. Adds a definition of
"road" to be one that is open to the public and receives year-
round maintenance.
8:10:20 AM
MR. BANKS referred to a proposed phase-in in Section 11 of the
reduction in funds for a school district. He explained that the
formula already contains a phase-in over three years. Due to the
number of schools that are below 80 percent capacity the hold
harmless provision would apply.
8:11:26 AM
CHAIR HUGHES requested information on the fiscal note.
8:11:40 AM
SENATOR STEVENS asked for clarification of the phase-in in
Section 11.
MR. BANKS said the school size adjustment is in Section 10 where
it shows how the ADM is summed up and each step of the cost
factors. The phase-in comes in as the next step in the formula.
8:12:48 AM
MR. BANKS addressed the next change found on page 8. There are
some third-party vendors that offer curriculum, and this would
allow for it.
8:13:31 AM
MR. BANKS turned to page 9, lines 3-6: Adds language in Version T
to allow for a district offering virtual education courses to
charge a fee for the course based on the actual cost the
district incurs to provide the course. The fee in Version R
based on a fraction of the base student allocation is set as a
ceiling for the course fee in Version T. He pointed out that
schools can offer courses at a lower rate.
8:14:19 AM
CHAIR HUGHES commented that a set market rate might make a lot
more sense.
8:14:36 AM
MR. BANKS said the last change is in Section 21: An additional
sentence in line 21 was deleted at the request of the Department
of Review because during a year of net loss, the legislature
would not have been able to appropriate anything from the fund.
The Department of Law is looking into this section.
8:15:38 AM
CHAIR HUGHES clarified that the constitutional concern is that
the draw cannot come from the principal. There may be a need for
additional language in order to protect the principal.
8:16:09 AM
CHAIR HUGHES noted a fiscal note from DEED that relates to
Sections 10 and 11 of the bill.
MR. BANKS explained that the reduction to school districts will
be realized over three years.
CHAIR HUGHES corrected it is over four years. She said the
provision is a starting point and is the worst case scenario.
The numbers may not play out if the districts make certain
choices.
8:18:14 AM
MR. BANKS said it would take place if the school district did
nothing to merge schools together. It would provide incentive to
combine schools in order to save money.
CHAIR HUGHES provided an example of the savings when 6 schools
merge to 3 schools.
She suggested looking at a chart showing school capacity, noting
that 53 percent of schools are not at capacity. She maintained
that there are opportunities to save administrative funds. She
added that the current commissioner combined schools in his
district.
8:22:16 AM
SENATOR BEGICH said if it is a district of one school this
provision would not apply.
MR. BANKS said correct.
SENATOR BEGICH asked if the intent is to spread students across
the district.
MR. BANKS said their intent is not to overcrowd a school. He
explained the process of combining schools. He said there are
situations where it would not make sense to merge schools.
SENATOR BEGICH said that is a concern of his because it is not
stated in the bill.
He asked about cost savings noting that transportation costs
should be considered, as well as the maintenance cost of the old
buildings. He wanted to ensure that the bill does what it
intends.
8:25:19 AM
CHAIR HUGHES pointed out that it is the beginning of the
discussion. She did not want unintended consequences.
She noted there are two fiscal notes she wanted explained.
8:26:09 AM
HEIDI TESHNER, Director, Administrative Services, Department of
Education and Early Development (DEED), answered questions
related to SB 96. She explained the DEED Public Education Fund
fiscal note. She said the formula is over four years because the
first year is a base year. If the district ADM decreases by more
than 5 percent from the base year to the next fiscal year, the
hold harmless provision kicks in and the three-year phase in
begins.
8:26:53 AM
CHAIR HUGHES inquired if DEED could run a scenario of how the
numbers would be affected by possible school combinations.
MS. TESHNER agreed to do so.
8:27:32 AM
SENATOR BEGICH asked for the inclusion of transportation costs
in that analysis.
MS. TESHNER did not think that was possible because districts
determine their own routes and the department has no say.
8:28:00 AM
SENATOR BEGICH asked what the impact would be on the amount the
state appropriates for pupil transportation.
MS. TESHNER explained that the number of routes would not have
an effect on the amount the state appropriates.
SENATOR BEGICH summarized that consolidation would not affect
the amount provided for transportation.
MS. TESHNER said correct.
8:28:49 AM
CHAIR HUGHES hoped to hear from districts on that topic.
She requested information about DEED's other fiscal note.
8:29:42 AM
CHAIR HUGHES noted it is DEED - Teaching and Learning Support;
Student and School Achievement.
8:29:58 AM
MS. TESHNER explained that the note would require 8 full-time
positions and for 26 districts to receive the cooperation grant
of $100,000 each. Also, there is a one-time cost for course
development and review of 10 courses over three years.
CHAIR HUGHES requested more information about the 8 staff
positions.
8:32:09 AM
MS. TESHNER referred to Section 9 of the fiscal note where there
would be one full-time position to manage the grant. In Section
16, there are 7 education specialists that would implement the
virtual education; of those, 3 are content experts, 1 would
establish the consortium, and 2 positions would create and
maintain the database.
8:33:21 AM
CHAIR HUGHES asked what the total amount for those positions is.
MS. TESHNER replied that the total amount, including salary and
benefits, would be $860,400.
8:33:41 AM
CHAIR HUGHES asked what kind of savings that would provide for
districts.
MS. TESHNER replied that collaboration would save administrative
costs, from sharing offices and shifting costs from
administrative costs to classroom costs.
8:34:37 AM
CHAIR HUGHES asked why the number 26 for cooperative agreements
was chosen.
MS. TESHNER explained that 26 is half of all school districts
and assumes partnerships will occur.
8:35:17 AM
CHAIR HUGHES removed her objection and version T was adopted.
CHAIR HUGHES held SB 96 in committee.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 96 - Fiscal Note - DOA-DRB-03-21-17.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 96 |
| SB 96 - Fiscal Note - DOR-TRS-03-20-17.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 96 |
| SB 96 - Fiscal Note - EED-SSA-03-23-17.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 96 |
| SB 96 - Draft CS Ver. T.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 96 |
| SB 96 - Fiscal Note - EED-FP-3-25-17.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 96 |
| SB 96 - Fiscal Note - EED-SFF-03-23-17.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 96 |
| SB 96 - Fiscal Note - EED-PEF-03-25-17.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 96 |
| SB 96 - Fiscal Note - DOLWD-WHA-03-24-17.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 96 |
| SB 87 - Supporting Document - Fredeen Letter of Support.pdf |
SEDC 3/27/2017 8:00:00 AM |
SB 87 |