Legislature(2007 - 2008)SENATE FINANCE 532
02/28/2008 09:00 AM Senate FINANCE
| Audio | Topic |
|---|---|
| Start | |
| HB273 | |
| SB230 | |
| HB61 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 273 | TELECONFERENCED | |
| += | SB 230 | TELECONFERENCED | |
| += | HB 61 | TELECONFERENCED | |
| + | TELECONFERENCED |
CS FOR HOUSE BILL NO. 273(FIN)
"An Act relating to school funding, funding for
student transportation services, the base student
allocation, district cost factors, and the
adjustments for intensive services and average
daily membership calculations; and providing for
an effective date."
Representative Hawker explained that CSHB 273(FIN) is the
result of a work product from the Joint Legislative
Education Funding Task Force (JLTF). He thanked all those
who worked on and with the JLTF and noted the collaborative
efforts from all parties involved. The provision is
identical to the companion legislation, SB 178. He
explained that the questions raised in Committee regarding
the pupil transportation recalibration had been addressed in
CSHB 273. The question regarding the recalibration of the
pupil transportation for Matsu has been resolved to the
satisfaction of Senator Huggins. The components of the bill
include: a declining enrollment cushion, an increase in
funding for intensive needs students, the phase in of the
Institute of Social & Economic Research (ISER) cost factors,
and an adjustment of the Base Student Allocation (BSA) with
an increase of $100 a year for the next 3 years. He
underlined that this provides for a 3 year stable platform
from which schools have predictable funding.
He noted the final fiscal note from House Finance recognizes
FY 09 funding but includes the forward funding for FY 10.
9:15:18 AM
Co-Chair Hoffman asked Representative Hawker about a
combined fiscal note from the CS regarding all district
impacts.
Representative Hawker said the pupil transportation
recalibration is reflected in fiscal note three.
EDDY JEANS, DIRECTOR, EDUCATION SUPPORT SERVICES, DEPARTMENT
OF EDUCATION AND EARLY DEVELOPMENT, responded to the fiscal
note question. He confirmed that fiscal note three reflects
the recalibration for student transportation. He explained
the two fiscal notes represent two different components in
Department of Education and Early Development (DEED) budget.
Co-Chair Hoffman requested the total increase in funds for
education over the next five years, including pupil
transportation.
Mr. Jeans said the increase in the foundation program for a
five year period totals slightly over $2.5 million. The
increase for the pupil transportation would be $10 million.
9:18:52 AM
Co-Chair Hoffman quoted the total costs at $260 million for
the full implementation of the provision.
Mr. Jeans said the calculation was correct, but pointed out
that school districts currently receive $70 million in a one
time funding for FY 08. The $70 million is not included in
the fiscal note as an offset.
Representative Hawker said the provision is one leg of a
three legged stool. Other parts of the "stool" include some
form of community revenue sharing which would represent a
significant amount of cost sharing related to the unfunded
pension liabilities.
CARL ROSE, ASSOCIATION OF ALASKA SCHOOL BOARDS (AASB),
testified in support of HB 273. He said AASB supports an
increase of the BSA to $200. He cited his history in the
education field and the numerous changes to the foundation
formula and the discussions on forward funding of education.
He reiterated the request for the increase to the BSA to
$200. He acknowledged the monumental accomplishments and
significant increase of funds outlined in HB 273.
Co-Chair Hoffman commented that the BSA is not stagnant,
this year there is a $100 increase and there will be
additional increases for 2010 and for 2011, totaling $46.6
million. He maintained that the increase is a substantial
move forward.
9:25:21 AM
MARY FRANCIS, EXECUTIVE DIRECTOR, ALASKA COUNCIL OF SCHOOL
ADMINISTRATORS, (ACSA) testified in support of HB 273.
She said that the work of the JLTF was a great effort. She
pointed out that ACSA had a resolution that request
forwarded funding of education for three years. She said
her organization is pleased the provision will be in
statute.
ANN GIFFORD, JUNEAU, testified in support of HB 273. She is
a parent of three students that have been through the Alaska
school system. She pointed out how school districts have
been flat funded for some time. She supported the Governor's
proposal of a $200 increase to the BSA. She maintained that
there is a surplus of oil revenues and education is the
appropriate place to invest those funds.
MARY HAKALA, GREAT ALASKA SCHOOLS, JUNEAU, testified in
support of HB 273. She explained that her organization is
made up of volunteers that provide time and energy to
schools. She thanked those involved with the JLTF and
emphasized the hard work in addressing the needs of
education. She urged the committee to increase the BSA to
$200. She maintained that with funding at that level, the
money will reach the classroom.
9:33:08 AM
JOHN ALCANTRA, GOVERNMENT RELATIONS, NEA-ALASKA, testified
in support of HB 273. He thanked those who served on the
JLFT. He noted the difficulty of expressing sincere
appreciation for the work done and making additional
requests. NEA does support the Governor's proposed $200
increase to the BSA. He reiterated Mr. Jeans's comments;
the $70 million are duplicative funds from FY 08, not new
money. He referenced the Southwest region in the fiscal
note quoting the $934,000 that is duplicative funds from FY
08. The increase in funds is actually $340,000. The efforts
and the bill are considered a great product. He referenced
other funding amounts to provide an example of actual
increases versus duplicative funds. He underlined the
support of NEA and that the organization recognizes the
accomplishment and collaborative efforts in producing the
legislation. He said that many employees he represents
question, with the surplus oil and gas revenue, why the BSA
is not increased.
9:37:26 AM
LADAWN DRUCE, PRESIDENT, KENAI PENINSULA EDUCATION
ASSOCIATION, SOLDOTNA (Testified via teleconference),
testified in support of HB 273. She thanked the JLTF for
their hard work. She supported the positive results of
their efforts specifically the pupil transportation
adjustment, the increase in funds for intensive needs
students, and the decline in enrollment cushion. She
further commented on the importance of placing the
recommendations regarding area cost differential, from the
ISER study, into statute. She said the report illustrates
how much the Kenai School District has been underfunded.
Additionally, the Kenai School District had to adjust its
budget back to accommodate the $100 BSA rather than the
Governor's proposed $200 a day. She listed specific areas
the district would like to improve on through additional
programs. She reiterated comments from previous speakers
regarding surplus oil revenue and recommended the fund be
put towards education funding.
DAVE JONES, ASSISTANT SUPERINTENDENT, KENAI PENININSULA
SCHOOL DISTRICT, SOLDOTNA/KENAI (Testified via
teleconference), in support of HB 273. He thanked the
Committee and the JLFT for their hard work in addressing the
needs of education. He commented on the importance of
several of the recommendations from JLFT in the provision:
· He said intensive needs funding represents new money.
He maintained that districts have been underfunded for
some time.
· He supported the placing of the District Cost factor
recommendations from ISER, in statute.
· He supported the Pupil Transportation Calculation
recalibration noting that Kenai has been losing money
through transportation costs.
· He said the BSA amount of $100 is approximately the
amount received through school improvement grants and
was glad to see this in statute. He was appreciative
of all efforts.
9:45:37 AM
Co-Chair Hoffman MOVED CSHB 273(FIN) to REPORT out of
Committee with individual recommendations and the
accompanying fiscal notes.
CSHB 273(FIN) was REPORTED out of Committee with a "do pass"
recommendation and with fiscal note #1 by the Department of
Education and Early Development, fiscal note #3 by the
Department of Education and Early Development, fiscal note
#4 by the House Finance Committee, and a new zero fiscal
note by the Department of Health and Social Services.
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