Legislature(2011 - 2012)CAPITOL 106

04/08/2011 08:00 AM House EDUCATION


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Audio Topic
08:07:03 AM Start
08:07:47 AM Presentation(s): Superintendent, Lake and Peninsula School District (lpsd)
08:37:07 AM HB145
10:02:45 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Presentation by Lake and Peninsula School TELECONFERENCED
District Superintendent
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 145 K-12 SCHOLARSHIP PROGRAM TELECONFERENCED
Heard & Held
+= HB 143 ADJUST BASE STUDENT ALLOCATION: INFLATION TELECONFERENCED
Scheduled But Not Heard
                    ALASKA STATE LEGISLATURE                                                                                  
               HOUSE EDUCATION STANDING COMMITTEE                                                                             
                         April 8, 2011                                                                                          
                           8:07 a.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Alan Dick, Chair                                                                                                 
Representative Lance Pruitt, Vice Chair                                                                                         
Representative Eric Feige                                                                                                       
Representative Paul Seaton                                                                                                      
Representative Peggy Wilson                                                                                                     
Representative Sharon Cissna                                                                                                    
Representative Scott Kawasaki                                                                                                   
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
PRESENTATION(S):    SUPERINTENDENT~  LAKE  AND  PENINSULA  SCHOOL                                                               
DISTRICT (LPSD)                                                                                                                 
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
HOUSE BILL NO. 145                                                                                                              
"An Act  establishing the parental choice  scholarship program to                                                               
be administered  by school  districts for  the purpose  of paying                                                               
the cost  of attending grades  kindergarten through 12  at public                                                               
and private schools; and providing for an effective date."                                                                      
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
HOUSE BILL NO. 143                                                                                                              
"An Act providing an increase  and an inflation adjustment to the                                                               
base student allocation used in  the formula for state funding of                                                               
public  education;  requiring  a review  and  recommendation  for                                                               
future adjustments to the base  student allocation; and providing                                                               
for an effective date."                                                                                                         
                                                                                                                                
     - SCHEDULED BUT NOT HEARD                                                                                                  
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 145                                                                                                                  
SHORT TITLE: K-12 SCHOLARSHIP PROGRAM                                                                                           
SPONSOR(s): REPRESENTATIVE(s) KELLER                                                                                            
                                                                                                                                
02/09/11       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/09/11       (H)       EDC, FIN                                                                                               
03/25/11       (H)       EDC AT 8:00 AM CAPITOL 106                                                                             
03/25/11       (H)       Heard & Held                                                                                           
03/25/11       (H)       MINUTE(EDC)                                                                                            
04/04/11       (H)       EDC AT 5:00 PM CAPITOL 106                                                                             
04/04/11       (H)       Heard & Held                                                                                           
04/04/11       (H)       MINUTE(EDC)                                                                                            
04/06/11       (H)       EDC AT 8:00 AM CAPITOL 106                                                                             
04/06/11       (H)       Heard & Held                                                                                           
04/06/11       (H)       MINUTE(EDC)                                                                                            
04/08/11       (H)       EDC AT 8:00 AM CAPITOL 106                                                                             
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
TY MASE, Superintendent                                                                                                         
Lake and Peninsula School District (LPSD)                                                                                       
King Salmon, Alaska                                                                                                             
POSITION STATEMENT:  Presented a PowerPoint overview of the Lake                                                              
and Peninsula School District (LPSD).                                                                                           
                                                                                                                                
REPRESENTATIVE WES KELLER                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As the sponsor of the bill, testified and                                                                
answered questions during discussion of HB 145.                                                                                 
                                                                                                                                
JEFF REED, State Programs & Government Relations Director                                                                       
Foundation for Educational Choice                                                                                               
Indianapolis, Indiana                                                                                                           
POSITION STATEMENT:  Testified in support of HB 145.                                                                          
                                                                                                                                
MIKE KELLY                                                                                                                      
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HB 145.                                                                          
                                                                                                                                
JIM POUND, Staff                                                                                                                
Representative Wes Keller                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified and answered questions during                                                                  
discussion of HB 145.                                                                                                           
                                                                                                                                
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
8:07:03 AM                                                                                                                    
                                                                                                                                
CHAIR  ALAN DICK  called the  House Education  Standing Committee                                                             
meeting to  order at 8:07  a.m.  Representatives  Dick, Kawasaki,                                                               
Cissna, Pruitt, Feige, Seaton, and  P. Wilson were present at the                                                               
call to order.                                                                                                                  
                                                                                                                                
^PRESENTATION(S):    Superintendent,  Lake and  Peninsula  School                                                               
District (LPSD)                                                                                                                 
  PRESENTATION(S):  Superintendent, Lake and Peninsula School                                                               
                        District (LPSD)                                                                                     
                                                                                                                              
8:07:47 AM                                                                                                                    
                                                                                                                                
CHAIR DICK announced that the first  order of business would be a                                                               
presentation from  the superintendent  of the Lake  and Peninsula                                                               
School District (LPSD).                                                                                                         
                                                                                                                                
8:08:16 AM                                                                                                                    
                                                                                                                                
TY  MASE,  Superintendent,  Lake and  Peninsula  School  District                                                               
(LPSD),  presented   a  PowerPoint  overview  of   the  Lake  and                                                               
Peninsula  School   District  (LPSD).    [Included   in  members'                                                               
packets]   He  reported that  the LPSD  was located  in Southwest                                                               
Alaska, was approximately  the size of West Virginia,  and had 13                                                               
schools,  with  315  students  and  55 staff.    He  shared  that                                                               
enrollment  had decreased  in the  past  10 years  by almost  200                                                               
students,  and  was  still  decreasing.   He  reported  that  two                                                               
schools  had been  closed  in  the past  decade,  with 4-5  other                                                               
schools  very close,  as  there  were not  enough  students.   He                                                               
stated that  the school board  was very supportive, and  that the                                                               
stakeholder input was taken seriously.   He pointed to the shared                                                               
vision,  which  had  been  created   by  the  community  and  the                                                               
stakeholders.  He noted that LPSD had a standards based mission.                                                                
                                                                                                                                
8:11:19 AM                                                                                                                    
                                                                                                                                
MR. MASE  addressed the slide  titled "Standards  Based Education                                                               
w/o the RISC," explaining that  RISC was the "Reinventing Schools                                                               
Coalitions" which had provided help  with the initial reform.  He                                                               
said that the  district was now on its own,  and had consistently                                                               
followed the  Standards Based model  for the  past 10 years.   He                                                               
pointed out  that student  achievement had  more than  doubled on                                                               
state testing.   He emphasized that this  performance based model                                                               
was all that  current students knew, and  they understood exactly                                                               
the expectations.                                                                                                               
                                                                                                                                
8:14:12 AM                                                                                                                    
                                                                                                                                
MR. MASE  described that the  standards based system was  used to                                                               
measure  performance, as  a set  of standards  for progress.   He                                                               
stated that  time was not a  measure, and that students  moved at                                                               
their  pace  of mastery.    He  pointed  out that  some  students                                                               
reached graduation level  early, while others stayed  longer.  He                                                               
expressed confidence that graduating students  had a "base set of                                                               
knowledge  skills."     He  directed  attention   to  the  slide,                                                               
"Measuring  Up-A Standards-Based  Success Story,"  which compared                                                               
the increase  in benchmarks for  math, reading, and  writing over                                                               
the past five years.                                                                                                            
                                                                                                                                
8:15:55 AM                                                                                                                    
                                                                                                                                
MR.  MASE  stated  that  sustainable   leadership  had  been  the                                                               
stabilizing  force for  success during  the reformation  and that                                                               
the dedicated  staff had made a  difference.  He pointed  to data                                                               
based decision making, a low  student/teacher ratio of 7.5:1, and                                                               
familiarity with all the students as the keys to success.                                                                       
                                                                                                                                
8:18:32 AM                                                                                                                    
                                                                                                                                
MR.  MASE described  the thermo-electric  generator project  that                                                               
students participated in, which won them  a trip to New York as a                                                               
top 5 finalist among more than  1800 schools.  He spoke about the                                                               
"birth   through  graduation   literacy  focus   program,"  which                                                               
included books sent to each individual on their birthday.                                                                       
                                                                                                                                
8:21:21 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON asked about the average class size.                                                                       
                                                                                                                                
MR. MASE replied  that it was usually under ten  students, but he                                                               
pointed to  the difficulty for  teachers to prepare  for multiple                                                               
grade levels.                                                                                                                   
                                                                                                                                
8:22:12 AM                                                                                                                    
                                                                                                                                
CHAIR  DICK  reiterated  the  difficulty  for  extra  preparation                                                               
necessitated by various grade levels.                                                                                           
                                                                                                                                
8:22:32 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE P. WILSON  asked about the education  level of the                                                               
parents.                                                                                                                        
                                                                                                                                
MR. MASE  replied that,  with each  generation, more  parents had                                                               
been through the school program.   He noted that each village had                                                               
different educational backgrounds.                                                                                              
                                                                                                                                
8:24:14 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  P. WILSON  reflected that  it was  more difficult                                                               
for the schools, if the parents were not graduates.                                                                             
                                                                                                                                
MR. MASE  estimated that the  parental graduation rate  was about                                                               
95 percent  and that the parents  had a good work  ethic and were                                                               
supportive of the education of their children.                                                                                  
                                                                                                                                
8:25:28 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FEIGE  asked about  the logistical  challenges for                                                               
such a wide-spread district.                                                                                                    
                                                                                                                                
MR. MASE  agreed that the  cost of  travel between schools  was a                                                               
burden.                                                                                                                         
                                                                                                                                
8:26:44 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA asked about  the development of value added                                                               
business and if entrepreneurial skills were being taught.                                                                       
                                                                                                                                
MR. MASE  spoke about the  employability standards taught  to the                                                               
students,  which   included  communication,  eye   contact,  good                                                               
handshake, and  job shadowing and  internships in Anchorage.   He                                                               
mentioned the  corporate tax credits  for school  donations which                                                               
brought vocational programs to the district.                                                                                    
                                                                                                                                
8:29:43 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA   restated  her  question   regarding  the                                                               
teaching  of students  to begin  or run  a small  business.   She                                                               
pointed to  science as  another area  where students  could focus                                                               
for local success.                                                                                                              
                                                                                                                                
8:31:24 AM                                                                                                                    
                                                                                                                                
MR. MASE cited the 8,000 potential  jobs that the Pebble Mine may                                                               
generate.   He emphasized the  neutrality of the  school district                                                               
for  the  Pebble Mine  issue,  but  he  stated the  necessity  to                                                               
prepare the students to either work  for the mine, or to watchdog                                                               
against the  mine.   He noted that  the vocational  and technical                                                               
programs would be a part of this preparation.                                                                                   
                                                                                                                                
8:32:23 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA reiterated her focus  on the need for small                                                               
business training as a means to sustain an area.                                                                                
                                                                                                                                
8:33:24 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON, referring  to  the  "birth to  graduation                                                               
literacy  program," asked  for what  ages  the bag  of books  was                                                               
intended.                                                                                                                       
                                                                                                                                
MR.  MASE  replied  that,  when a  child  was  born,  information                                                               
packets were provided  to the parents.  He noted  that the intent                                                               
was to supply as much early literature as possible to each home.                                                                
                                                                                                                                
8:34:19 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON asked  about  the  graduation and  dropout                                                               
rates.                                                                                                                          
                                                                                                                                
MR. MASE replied that the  dropout rate was between 5-10 percent,                                                               
and was  affected by the  transient fishing population.   He said                                                               
that  the  graduation  rate  may  be  better  than  indicated  as                                                               
students often left  school early for fishing,  but then returned                                                               
as  Super  Seniors   in  the  fall  to   fulfill  the  graduation                                                               
requirements.  He reported that  these Super Seniors were success                                                               
stories,  but they  were not  included in  the standard  district                                                               
graduation rates.                                                                                                               
                                                                                                                                
8:36:32 AM                                                                                                                    
                                                                                                                                
                HB 145-K-12 SCHOLARSHIP PROGRAM                                                                             
                                                                                                                                
CHAIR DICK  announced that  the next order  of business  would be                                                               
HOUSE  BILL NO.  145, "An  Act establishing  the parental  choice                                                               
scholarship program  to be administered  by school  districts for                                                               
the purpose of  paying the cost of  attending grades kindergarten                                                               
through 12  at public and  private schools; and providing  for an                                                               
effective  date."   [In front  of  the committee  was Version  D,                                                               
adopted as the working draft on March 25, 2011]                                                                                 
                                                                                                                                
8:37:07 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE WES  KELLER, Alaska State Legislature,  noted that                                                               
a witness was on-line to address  any concern that the bill was a                                                               
threat to  the public schools.   He  urged the committee  to move                                                               
the bill to enhance the discussion that it would trigger.                                                                       
                                                                                                                                
8:39:23 AM                                                                                                                    
                                                                                                                                
JEFF  REED,  State  Programs  &  Government  Relations  Director,                                                               
Foundation for  Educational Choice, said that  the foundation was                                                               
founded  in 1996,  based on  Dr. Milton  Friedman's 1955  idea of                                                               
school choice for  all children.  He explained that  the idea was                                                               
for  students to  be directly  funded  and to  choose the  school                                                               
which was  best for them.   He reported that the  findings of the                                                               
foundation indicated that children  made academic gains by having                                                               
this choice.   He said  that both  groups of children,  those who                                                               
chose to  go to schools  which better  fit their needs  and those                                                               
who chose to stay in the public schools, did better.                                                                            
                                                                                                                                
8:42:48 AM                                                                                                                    
                                                                                                                                
CHAIR DICK expressed  concern that the public  schools would have                                                               
a higher proportion of special needs students.                                                                                  
                                                                                                                                
8:43:15 AM                                                                                                                    
                                                                                                                                
MR. REED  replied that  many of the  school choice  programs were                                                               
developed  toward special  needs children  and the  parents chose                                                               
them for  the appropriateness  for their child.   He  reported on                                                               
the statistics  that supported  this statement.   He  stated that                                                               
public schools benefited from the resulting smaller class size.                                                                 
                                                                                                                                
8:44:52 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON  directed  attention   to  HB  145,  which                                                               
allowed  the private  school to  select the  children they  would                                                               
accept, with no parameters on  exclusions for religion or special                                                               
needs.   He asked  if the  schools he  described had  a different                                                               
type of selection process.                                                                                                      
                                                                                                                                
8:46:24 AM                                                                                                                    
                                                                                                                                
MR. REED  explained that the  majority of school  choice programs                                                               
did  not require  private schools  to  accept all  children.   He                                                               
reported that private schools accepted  a diverse set of students                                                               
for many  reasons, including  the need to  fill empty  seats, and                                                               
for economic diversity.  He  stated that the mission statement of                                                               
the religious schools was to serve  the neediest.  He opined that                                                               
evidence  indicated that  a lot  of private  schools do  not turn                                                               
down  students,  and  merely  used   the  screening  process  for                                                               
placement purposes.                                                                                                             
                                                                                                                                
8:48:46 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA,  acknowledging the rural location  and the                                                               
diverse  needs  of  many  of  the schools,  stated  that  it  was                                                               
difficult  to  compare Alaska  to  other  states.   She  directed                                                               
attention  to the  huge transportation  costs, and  she expressed                                                               
reservations for how this could work for Alaska.                                                                                
                                                                                                                                
8:50:59 AM                                                                                                                    
                                                                                                                                
MR.  REED  referred  to the  Florida  special  needs  scholarship                                                               
program,  which was  based on  a  student's Individual  Education                                                               
Plan (IEP),  and reported  that the dollars  attached to  the IEP                                                               
could  be  taken  to  the  school   of  choice.    There  was  no                                                               
stipulation that the  local public school could  not be attended.                                                               
However,  concerned citizens  would often  establish schools  for                                                               
children with  common issues, and  he remarked  on Representative                                                               
Cissna's earlier  comments about  entrepreneurship.   He stressed                                                               
that the important aspect was  that every student was eligible to                                                               
make  a  choice,  which  forced   accountability  on  the  public                                                               
schools.                                                                                                                        
                                                                                                                                
8:54:08 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA asked  if transportation  was included  in                                                               
these programs.                                                                                                                 
                                                                                                                                
MR. REED replied  that it varied.  He said  that his organization                                                               
had  not  researched  the   transportation  component  of  school                                                               
choice.   He  reported that  Maine and  Vermont used  the tuition                                                               
dollars on a  case by case basis.  He  described an assortment of                                                               
methods  for  transportation,  which included  rerouting  of  bus                                                               
routes and car pools.                                                                                                           
                                                                                                                                
8:56:47 AM                                                                                                                    
                                                                                                                                
CHAIR DICK  asked if there  had been any  rush out of  the public                                                               
schools and if there had been any chaos.                                                                                        
                                                                                                                                
8:57:23 AM                                                                                                                    
                                                                                                                                
MR. REED  replied that there  had not  been any mass  exodus from                                                               
the  public  schools.    He  pointed  to  various  school  choice                                                               
programs, and  noted the percentage  of use in  different cities.                                                               
He referred to  school choice programs as  "fire alarms," stating                                                               
that these  were safety mechanisms.   He stated that the  rate of                                                               
use for the school choice program started small.                                                                                
                                                                                                                                
8:59:13 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   SEATON,   referring    to   the   aforementioned                                                               
comparative   analyses  that   indicated   public  schools   were                                                               
improving, asked if this was  similar for states with and without                                                               
school choice programs.                                                                                                         
                                                                                                                                
MR. REED  replied that this had  not been analyzed, but  that the                                                               
studies had  been going  on for years  in geographic  areas where                                                               
public  schools were  affected  by school  choice  programs.   He                                                               
pointed out  that the school  choice program funding  allowed for                                                               
distance learning,  which could  be an advantage  in Alaska.   He                                                               
offered his  belief that  many of  the wide  spread gains  of the                                                               
education  reform environment  in  Florida,  specifically on  the                                                               
fourth  grade  reading  scores  on  the  national  assessment  of                                                               
educational progress, were  a direct result of  the school choice                                                               
program.                                                                                                                        
                                                                                                                                
9:02:20 AM                                                                                                                    
                                                                                                                                
CHAIR  DICK  asked if  other  states  also  had  the need  for  a                                                               
constitutional amendment to provide school choice.                                                                              
                                                                                                                                
9:03:04 AM                                                                                                                    
                                                                                                                                
MR. REED replied that these  were Blaine Amendments in many state                                                               
constitutions, although  some were not as  restrictive as others.                                                               
He allowed  that some of  the decisions  were also based  on case                                                               
law.                                                                                                                            
                                                                                                                                
9:04:37 AM                                                                                                                    
                                                                                                                                
MIKE KELLY,  as a  former legislator,  reflected that  Alaska had                                                               
struggled  for decades  with meeting  educational standards.   He                                                               
listed the  low high school  graduation rate, a  high remediation                                                               
rate  for students  entering the  University of  Alaska, and  low                                                               
quality education  ratings as  problems.   He said  that although                                                               
more money was spent on education  in Alaska than in most states,                                                               
the educational  quality and results  had remained "dismal."   He                                                               
stated his belief that the school  choice program in HB 145 would                                                               
affect the necessary changes.  He  stated that it had worked well                                                               
elsewhere,  as it  put parent  and students  in primary  control,                                                               
"not the NEA and their  activists who make the average legislator                                                               
quake and  who believe they  know better than parents  in matters                                                               
of  educating our  children."   He  said that  the proposed  bill                                                               
would  introduce competition  in  all schools,  would cause  more                                                               
positive results in the public  education system, and would offer                                                               
a competitive alternative by allowing  parents to make the choice                                                               
where their  kids would go to  school, "a fairly American  way of                                                               
doing things."   He stated that it would reduce  the overall cost                                                               
of education  infrastructure and  operation, and  would introduce                                                               
fairness.   He  said that  the proposed  bill would  allow for  a                                                               
parallel education system  to be put in place,  and he encouraged                                                               
its passage from the House Education Standing Committee.                                                                        
                                                                                                                                
9:08:17 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA,  addressing the  tax  alluded  to by  Mr.                                                               
Kelly, pointed out that this was  not a state tax, but a property                                                               
tax; and she  offered her belief that this was  a local community                                                               
issue, not a state issue.                                                                                                       
                                                                                                                                
9:10:37 AM                                                                                                                    
                                                                                                                                
MR.  KELLY offered  his belief  that  "the dollars  at the  state                                                               
level belong  to the citizens  of Alaska" and that  this proposed                                                               
bill  offered  an  opportunity  for  a  change,  which  was  most                                                               
efficient at the state level.                                                                                                   
                                                                                                                                
REPRESENTATIVE  KELLER reflected  that the  oil taxes,  the major                                                               
source of  state revenue,  were directed  into the  state general                                                               
fund, which paid for public schools.                                                                                            
                                                                                                                                
9:12:40 AM                                                                                                                    
                                                                                                                                
CHAIR DICK closed public testimony.                                                                                             
                                                                                                                                
9:12:42 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON, directing  attention to  page 2,  line 3,                                                               
read:  "regardless of the  attendance area in the school district                                                               
in which  the student resides."   He asked, since  the foundation                                                               
formula  and  geographic  cost  differentials  were  outlined  in                                                               
statute  and  the district  provided  the  school choice  program                                                               
money to  the student, if  the intention  of the sponsor  was for                                                               
the money provided to be equal  to the money paid by the district                                                               
in which the student was attending school.                                                                                      
                                                                                                                                
9:14:05 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER replied  that it was based on  the cost for                                                               
a  "similarly  situated" student  in  the  school district  being                                                               
attended.    He  said  the  Department  of  Education  and  Early                                                               
Development   (EED)  would   write   the   new  regulations   and                                                               
guidelines.                                                                                                                     
                                                                                                                                
9:15:11 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   SEATON  offered   his  belief   that  the   bill                                                               
specifically  stated otherwise,  as the  bill did  not include  a                                                               
statement  about physical  address of  the school,  and that  the                                                               
intention did not appear to be in statute.                                                                                      
                                                                                                                                
9:15:50 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER  explained that the funding  for the school                                                               
of  choice was  based on  the actual  cost of  the education,  as                                                               
noted on  page 2,  lines 12-13.   It would be  the lesser  of the                                                               
cost the district determined for  a similarly situated student or                                                               
the actual educational  cost for the student.  He  stated that it                                                               
would be based on the cost of the participating school.                                                                         
                                                                                                                                
9:16:20 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON expressed his  disagreement.  He emphasized                                                               
that the proposed  bill stated that the  school's cost, including                                                               
the proration for  its facility and operating  expenses, would be                                                               
established by  the individual school,  not by the district.   He                                                               
asked how the financial parameters  would be created, as they did                                                               
not exist in the current version of the bill.                                                                                   
                                                                                                                                
9:17:33 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   KELLER   responded   that  the   proposed   bill                                                               
explicitly  left  the district  in  charge  of administering  the                                                               
funding based on the existing  funding formula.  He reported that                                                               
the amount  paid to  the participating school  would be  based on                                                               
the lesser  of the amount  of money  generated by the  student or                                                               
the actual cost  of education.  He said that  the details for use                                                               
by  education programs  would be  written in  regulation, and  he                                                               
opined that it would include restrictions.                                                                                      
                                                                                                                                
9:18:41 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON  pointed out  that the method  of schooling                                                               
was not  determined in  the proposed  bill.   He opined  that 100                                                               
percent of the  student funding received by a  school, both state                                                               
and  local,  would  be  covered,  no  matter  where  the  student                                                               
attended  school.    He  offered his  belief  that  no  financial                                                               
parameters existed in the proposed bill.                                                                                        
                                                                                                                                
9:19:30 AM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 9:19 a.m. to 9:21 a.m.                                                                       
                                                                                                                                
9:21:47 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRUITT,  on behalf  of Representative  Dick, moved                                                               
to   adopt  Amendment   1,  which   read  [original   punctuation                                                               
provided]:                                                                                                                      
                                                                                                                                
     Remove p 2 lines 12-13                                                                                                     
                                                                                                                                
     Remove line 6 " (1) that is equal to the lesser of"                                                                        
                                                                                                                                
     Add line 7 "70% of"                                                                                                        
                                                                                                                                
     Remove line 10 "100 percent"                                                                                               
                                                                                                                                
     Add line 10 "70 percent"                                                                                                   
                                                                                                                                
9:21:55 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE P. WILSON objected for discussion.                                                                               
                                                                                                                                
9:21:59 AM                                                                                                                    
                                                                                                                                
CHAIR DICK read:   [original punctuation provided]   [Included in                                                               
members' packets]                                                                                                               
                                                                                                                                
         There is currently a 70/30 rule, where school                                                                          
        districts must spend at least 70% of funding on                                                                         
     classroom instruction unless waived.                                                                                       
                                                                                                                                
     Intent of Amendment #1:                                                                                                    
                                                                                                                                
     The  districts  will pass  through  70%  of the  monies                                                                    
     received from  the state for  instruction, and  the 30%                                                                    
     administrative and building  costs associated with each                                                                    
     student will remain with the district to maintain.                                                                         
                                                                                                                                
He said  that this proposed  amendment would simplify  the "brick                                                               
and mortar" concerns of the school left behind.                                                                                 
                                                                                                                                
9:23:14 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE,  pointing out  that  local  tax money  was                                                               
applied to the school district, asked  if only 70 percent of what                                                               
the  state provided  would  be enough  to educate  a  child in  a                                                               
private school.                                                                                                                 
                                                                                                                                
9:24:12 AM                                                                                                                    
                                                                                                                                
CHAIR DICK asked if deleting  "from the state" would satisfy that                                                               
concern.                                                                                                                        
                                                                                                                                
9:24:23 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE asked  if the  state had  the authority  to                                                               
dictate to municipalities how to spend its tax money.                                                                           
                                                                                                                                
9:24:39 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE P.  WILSON explained  that the 70/30  rule covered                                                               
every school to  which Alaska provided funding.   She pointed out                                                               
that the  federal government paid  the difference in  funding for                                                               
communities which had no local taxes.                                                                                           
                                                                                                                                
9:25:20 AM                                                                                                                    
                                                                                                                                
CHAIR DICK, in  response to Representative Seaton,  said that the                                                               
70/30 rule was not part of  the proposed Amendment 1, it was just                                                               
an indicator.                                                                                                                   
                                                                                                                                
REPRESENTATIVE SEATON, directing attention  to Version D, page 2,                                                               
line 10, asked if it would  be necessary to delete "and local" in                                                               
order to eliminate any reference  to the state dictating to local                                                               
municipalities.                                                                                                                 
                                                                                                                                
9:26:21 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER  explained  that  any  percentage  was  an                                                               
arbitrary indicator.   He opined  that this would  be deliberated                                                               
during future  discussions on this  proposed bill,  especially as                                                               
the EED structured guidelines for the regulations.                                                                              
                                                                                                                                
9:27:33 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA  offered her belief that  the proposed bill                                                               
brought forth many  interesting ideas, but that  it was necessary                                                               
for further outcome studies by EED.                                                                                             
                                                                                                                                
9:28:26 AM                                                                                                                    
                                                                                                                                
CHAIR  DICK  asked  if  her comments  were  directed  toward  the                                                               
proposed Amendment 1 or toward the proposed bill.                                                                               
                                                                                                                                
9:28:31 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA replied  that it  was merely  a statement.                                                               
She stated  her hesitancy  to vote  on an  issue for  which there                                                               
were still many questions.                                                                                                      
                                                                                                                                
CHAIR DICK replied that EED was available for questions.                                                                        
                                                                                                                                
9:29:04 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  P. WILSON  stated  that  it cost  more  to run  a                                                               
public  school,  and  she  expressed  her  support  for  proposed                                                               
Amendment  1,  as  it  would  not take  money  from  the  smaller                                                               
schools.                                                                                                                        
                                                                                                                                
9:30:24 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRUITT asked  if an intention of the  bill was for                                                               
the student to have the full tuition paid for them.                                                                             
                                                                                                                                
REPRESENTATIVE  KELLER replied  that  the proposed  bill did  not                                                               
address  that specifically.   He  directed attention  to page  3,                                                               
lines 25-31,  which stated, in  part, that "The  department shall                                                               
adopt regulations necessary to carry  out the program in a manner                                                               
that   ensures  the   highest  number   of  student   and  school                                                               
participation..."   He said that  the question itself would  be a                                                               
policy question for the committee.                                                                                              
                                                                                                                                
9:31:57 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE  questioned  whether  the  private  schools                                                               
would be allowed to charge additional tuition.                                                                                  
                                                                                                                                
9:33:10 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER replied  that  the  proposed bill  allowed                                                               
private schools to charge additional tuition.                                                                                   
                                                                                                                                
9:33:31 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON moved  to  adopt Amendment  1 to  proposed                                                               
Amendment 1, as follows:                                                                                                        
                                                                                                                                
     Page 2, line 10, after "from all state"                                                                                    
     Delete "and local"                                                                                                         
                                                                                                                                
9:34:25 AM                                                                                                                    
                                                                                                                                
CHAIR DICK objected for discussion.                                                                                             
                                                                                                                                
REPRESENTATIVE SEATON explained  that local municipalities should                                                               
not  be  mandated by  the  state  for  how  they will  spend  tax                                                               
dollars.                                                                                                                        
                                                                                                                                
9:35:47 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER  replied that  this was the  prerogative of                                                               
the committee, in which case  he would suggest an adjustment from                                                               
70 percent back to 100 percent in proposed Amendment 1.                                                                         
                                                                                                                                
9:36:17 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE   suggested  that   it  was   necessary  to                                                               
understand where  all the  education money was  coming from.   He                                                               
opined that,  should the committee  follow the suggestion  of the                                                               
bill  sponsor,  the  large municipalities  would  have  money  to                                                               
maintain  the facilities,  but the  rural school  districts would                                                               
suffer if the student count decreased.                                                                                          
                                                                                                                                
9:37:41 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER  offered his belief that  the student would                                                               
still be  part of the  student count which qualified  schools for                                                               
funding.                                                                                                                        
                                                                                                                                
9:38:10 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE asked  that this  be verified.   He  opined                                                               
that,  should  a  student  leave a  community  to  attend  school                                                               
elsewhere, then the count would be affected.                                                                                    
                                                                                                                                
9:38:39 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER, referring  to  page 3,  lines 9-10,  said                                                               
that the  requirements for  being a  private school  included the                                                               
maintenance of monthly attendance  records which were reported to                                                               
the local school superintendent.                                                                                                
                                                                                                                                
9:40:26 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON   explained  that  the  State   of  Alaska                                                               
received federal dollars for education  which were used to offset                                                               
the local contributions, but he  stated that it was state dollars                                                               
that   funded  the   schools.     He  pointed   out  that   local                                                               
municipalities could not  contribute more than 23  percent of the                                                               
school cost,  but they  did not  have to  contribute.   He stated                                                               
that every  municipality did  not have the  money; often,  in the                                                               
rural districts,  100 percent  of the  funding was  received from                                                               
the state, which included federal contributions.                                                                                
                                                                                                                                
9:42:24 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE P.  WILSON questioned how the  student count would                                                               
work.                                                                                                                           
                                                                                                                                
9:43:20 AM                                                                                                                    
                                                                                                                                
JIM  POUND,  Staff,  Representative   Wes  Keller,  Alaska  State                                                               
Legislature,  referred  to  page  2,  line  22,  and  read:    "A                                                               
participating  school shall  include  students  who are  enrolled                                                               
under  this  section  in  the   student  count  for  purposes  of                                                               
calculating  state aid  under AS  14.17.610."   He said  that the                                                               
private  school would  do the  student count,  and this  would be                                                               
used  in  determining  the  financial   support  for  the  school                                                               
district.                                                                                                                       
                                                                                                                                
9:43:45 AM                                                                                                                    
                                                                                                                                
MR. POUND,  in response  to Representative  P. Wilson,  said that                                                               
the funding  would be based on  the school district in  which the                                                               
student was attending school.                                                                                                   
                                                                                                                                
REPRESENTATIVE P.  WILSON offered her  belief that 95  percent of                                                               
the  testimony on  HB 145  had been  received from  parents whose                                                               
children were already  attending private schools.   She asked for                                                               
clarification for the school being funded by the state.                                                                         
                                                                                                                                
MR.  POUND replied  that the  funding  would be  provided to  the                                                               
district,  which would  "transfer  the money  to the  appropriate                                                               
school based on the student."                                                                                                   
                                                                                                                                
REPRESENTATIVE  P.  WILSON  asked  to clarify  that,  although  a                                                               
student may  have never attended  a public school,  this proposed                                                               
bill would send  revenue to the school district,  which would, in                                                               
turn, forward the revenue to the private school.                                                                                
                                                                                                                                
MR. POUND agreed.                                                                                                               
                                                                                                                                
9:45:19 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE  pointed  out  that  a  child  attending  a                                                               
private school had  not been counted in the district.   He opined                                                               
that private schools which were  accepted into the program by the                                                               
school district  would increase the  district student  counts and                                                               
the commensurate amount of revenue.                                                                                             
                                                                                                                                
9:46:25 AM                                                                                                                    
                                                                                                                                
MR. POUND  agreed that  although this was  the principle,  it was                                                               
dependent  on the  school district  accepting the  private school                                                               
into the district.                                                                                                              
                                                                                                                                
9:46:32 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON stated that he  could not find any criteria                                                               
for acceptance  or denial of a  school in the proposed  bill.  He                                                               
asked if  a school  district could refuse  to accept  any private                                                               
schools.                                                                                                                        
                                                                                                                                
9:47:34 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER  replied  that  EED  would  establish  the                                                               
regulations.   He  noted that  the  proposed bill  stated that  a                                                               
school would be accepted if it met all the criteria.                                                                            
                                                                                                                                
9:48:44 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON asked  if a school district  had any choice                                                               
but  acceptance,  if  the  school   had  complied  with  the  EED                                                               
criteria.                                                                                                                       
                                                                                                                                
9:49:29 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  KELLER replied  that the  intent was  to minimize                                                               
the  basis for  rejection  of  a school,  in  order to  encourage                                                               
participation and competition.                                                                                                  
                                                                                                                                
9:49:43 AM                                                                                                                    
                                                                                                                                
CHAIR  DICK withdrew  proposed Amendment  1.   He asked  the bill                                                               
sponsor to  further review the  funding percentage and  the issue                                                               
for  the  state  mandating  to  the  municipality  as  previously                                                               
discussed on page 2, line 10.                                                                                                   
                                                                                                                                
REPRESENTATIVE KELLER requested that EED also be consulted.                                                                     
                                                                                                                                
9:50:52 AM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 9:50 a.m. to 9:52 a.m.                                                                       
                                                                                                                                
REPRESENTATIVE SEATON  withdrew proposed Amendment 1  to proposed                                                               
Amendment 1.                                                                                                                    
                                                                                                                                
9:53:13 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRUITT moved  to  adopt Amendment  2, which  read                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     Remove:  Page 2 lines 14-18                                                                                                
                                                                                                                                
     Insert: Page 2 line 14-                                                                                                    
     "Those  parents who  choose to  send their  children to                                                                    
     schools  of  choice  other  than  public  schools  will                                                                    
     assume  full  responsibility   for  transporting  their                                                                    
     children to the school of their choice."                                                                                   
                                                                                                                                
9:53:19 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KAWASAKI objected for discussion.                                                                                
                                                                                                                                
9:53:23 AM                                                                                                                    
                                                                                                                                
CHAIR DICK stated that the intent  of proposed Amendment 2 was to                                                               
"remove confusion regarding transportation of students."                                                                        
                                                                                                                                
9:53:57 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FEIGE asked  how this would affect  a rural school                                                               
district, and  he offered  his belief  that proposed  Amendment 2                                                               
held the  school district responsible  for all  transportation to                                                               
other public schools.                                                                                                           
                                                                                                                                
9:54:35 AM                                                                                                                    
                                                                                                                                
CHAIR  DICK explained  that the  intent of  the amendment  was to                                                               
remove the burden for transportation from the school districts.                                                                 
                                                                                                                                
9:55:00 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FEIGE suggested  inserting  "local"  in front  of                                                               
"public schools."                                                                                                               
                                                                                                                                
REPRESENTATIVE  P. WILSON  suggested the  removal of  "other than                                                               
public schools."                                                                                                                
                                                                                                                                
9:55:53 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KELLER opined that  lines 14-18 contained language                                                               
permissive  to  the  option  of   transportation  by  the  school                                                               
district.   He  asked  about retaining  lines  14-18, while  also                                                               
adding:   "Those  parents who  choose to  send their  children to                                                               
schools  of choice  other than  public schools  will assume  full                                                               
responsibility for  transporting their children to  the school of                                                               
their choice."                                                                                                                  
                                                                                                                                
9:56:43 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  P. WILSON  suggested that  lines 14-18  allowed a                                                               
local school district the option to include transportation.                                                                     
                                                                                                                                
9:57:39 AM                                                                                                                    
                                                                                                                                
CHAIR DICK suggested  an addition to proposed  Amendment 2, which                                                               
stated:  "the  district may participate in  the transportation of                                                               
students."                                                                                                                      
                                                                                                                                
9:57:56 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FEIGE suggested, instead  of removing lines 14-18,                                                               
to include the insert from proposed Amendment 2 after line 18.                                                                  
                                                                                                                                
9:58:50 AM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON moved Amendment  1 to proposed Amendment 2,                                                               
which  would  delete "Remove:  Page  2  lines 14-18"  and,  after                                                               
"schools of  choice" delete "other  than public schools."   There                                                               
being  no objection,  Amendment  1 to  proposed  Amendment 2  was                                                               
adopted.                                                                                                                        
                                                                                                                                
10:00:20 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE SEATON suggested to  make proposed Amendment 2, as                                                               
amended, a conceptual amendment, as follows:                                                                                    
                                                                                                                                
         Page 2, line 14, before "If a parent or legal                                                                          
     guardian"                                                                                                                  
                                                                                                                                
     Insert:  "Those  parents  who   choose  to  send  their                                                                    
     children  to schools  of choice  will  assume the  full                                                                    
     responsibility for  transporting their children  to the                                                                    
     school of their choice."                                                                                                   
                                                                                                                                
REPRESENTATIVE  PRUITT  agreed  that  proposed  Amendment  2,  as                                                               
amended, should be a conceptual amendment.                                                                                      
                                                                                                                                
10:01:35 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE KAWASAKI  removed his  objection, but  stated that                                                               
he still had questions.                                                                                                         
                                                                                                                                
There  being no  further objections,  conceptual Amendment  2, as                                                               
amended, was adopted.                                                                                                           
                                                                                                                                
10:02:06 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  KELLER agreed  to present  at a  future committee                                                               
meeting  the  requested  information on  funding  percentage  and                                                               
state mandates to municipality expenditures.                                                                                    
                                                                                                                                
10:02:28 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  SEATON requested  a legal  opinion regarding  the                                                               
state mandate for local tax expenditures.                                                                                       
                                                                                                                                
[HB 145 was held over.]                                                                                                         
                                                                                                                                
10:02:45 AM                                                                                                                   
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Education Standing Committee meeting was adjourned at 10:02 a.m.                                                                

Document Name Date/Time Subjects