Legislature(1993 - 1994)
02/14/1994 03:00 PM House HES
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE HEALTH, EDUCATION AND SOCIAL SERVICES
STANDING COMMITTEE
February 14, 1994
3:00 p.m.
MEMBERS PRESENT
Rep. Cynthia Toohey, Co-Chair
Rep. Con Bunde, Co-Chair
Rep. Gary Davis, Vice Chair
Rep. Al Vezey
Rep. Pete Kott
Rep. Harley Olberg
Rep. Bettye Davis
Rep. Irene Nicholia
Rep. Tom Brice
MEMBERS ABSENT
Rep. Bettye Davis (excused)
Rep. Tom Brice (excused)
COMMITTEE CALENDAR
*HCR 31: Relating to Alcohol-Related Birth Defects
Awareness Week.
PASSED OUT OF COMMITTEE
*HB 361: "An Act making an appropriation to the Department
of Education for support of kindergarten, primary,
and secondary education and community schools
programs; and providing for an effective date."
HEARD AND HELD
(* First public hearing.)
WITNESS REGISTER
STEVEN JACQUIER, Principal
Rampart School
C/O Rampart School
General Delivery
Rampart, Alaska 99767
Phone: (907) 358-3112
Position Statement: Supervised the student project for
HCR 31
THOMAS WEIHL, Student
Rampart School
C/O Rampart School
General Delivery
Rampart, Alaska 99767
Phone: (907) 358-3112
Position Statement: Participated in the student project for
HCR 31
JOHN ORRISON, Student
Rampart School
C/O Rampart School
General Delivery
Rampart, Alaska 99767
Phone: (907) 358-3112
Position Statement: Participated in the student project for
HCR 31
MICHAEL WIEHL, Student
Rampart School
C/O Rampart School
General Delivery
Rampart, Alaska 99767
Phone: (907) 358-3112
Position Statement: Participated in the student project for
HCR 31
LAWRENCE DERENDOFF, Student
Rampart School
C/O Rampart School
General Delivery
Rampart, Alaska 99767
Phone: (907) 358-3112
Position Statement: Participated in the student project for
HCR 31
JOHN BITNEY, Legislative Aid
Representative Ron Larson
Alaska State Legislature
State Capitol
Juneau, Alaska 99801
Phone: (907) 465-3878
Position Statement: Testified on behalf of Rep. Ron Larson
in support of CSHB 361
DOROTHY GARRETT, Teacher
Inlet View School
Anchorage School District
1219 N St.
Anchorage, Alaska 99501
Phone: (907) 277-7681
Position Statement: Testified in support of CSHB 361
(testified in Juneau)
JOHN HOLST, Superintendent
Sitka School District
P.O. Box 179
Sitka, Alaska 99835
Phone: (907) 747-8622
Position Statement: Testified in support of CSHB 361
(Spoke via teleconference)
JOHN DALGREN, Associate Superintendent
Kenai Peninsula School District
148 N. Binkley
Soldotna, Alaska 99835
Phone: (907) 262-5846
Position Statement: Testified in support of CSHB 361
(Spoke via teleconference)
WANDA COOKSEY, Representative
Single School District Consortium
P.O. Box 240052
Douglas, Alaska 99824-0052
Phone: (907) 586-9073
Position Statement: Testified in support of CSHB 361
LARRY WIGET
Legislative Liaison
Anchorage School District
4600 DeBarr Road
Anchorage, Alaska 99508-3195
Phone: (907) 269-2255
Position Statement: Testified in support of CSHB 361
(Spoke via teleconference)
CARL ROSE, Executive Director
Association of Alaska School Boards
316 W. 11th St.
Juneau, Alaska 99801
Phone: (907) 586-1083
Position Statement: Testified on HB 84
CAM CARLSON
P.O. Box 80234
Fairbanks, Alaska 99708
Phone: (907) 479-2348
Position Statement: Testified in support of HB 361
(Spoke via teleconference)
RUTH EWIG
2325 30th Ave.
Fairbanks, Alaska 99701
Phone: (907) 452-5538
Position Statement: Testified in opposition to CSHB 361
(Spoke via teleconference)
SUE HALL, President
Alaska PTA
1630 Washington St.
Fairbanks, Alaska
Phone: (907) 479-5729
Position Statement: Testified on CSHB 361
(Spoke via teleconference)
NANCY MENDENHALL
1907 Yankovich
Fairbanks, Alaska 99709
Phone: (907) 479-2786
Position Statement: Testified in opposition to CSHB 361
(Spoke via teleconference)
DUANE GUILEY, Director
Division of Education Finance and Support Services
Department of Education
801 W. 10th St., Suite 200
Juneau, Alaska 99801-1894
Phone: (907) 465-2891
Position Statement: Answered questions on HB 361 and
CSHB 361
CLAUDIA DOUGLAS, President
National Education Association-Alaska
114 Second St.
Juneau, Alaska 99801
Phone: (907) 586-3090
Position Statement: Testified in support of CSHB 361
MIKE WILEY, Member
Kenai Peninsula Borough School District
P.O. Box 618
Seward, Alaska 99624
Phone: (907) 224-5563
Position Statement: Testified in support of CSHB 361
(Spoke via teleconference)
DEBORAH SMITH, Executive Director
Alaska Mental Health Board
431 N. Franklin
Juneau, Alaska 99801
Phone: (907) 465-3071
Position Statement: Testified in opposition to HB 361 and
CSHB 361
CHARLES MCKEE
1508 W 43rd Ave., No. 7
Anchorage, Alaska 99504
Phone: Not given
Position Statement: Testified in opposition to HB 361 and
CSHB 361 (Spoke via teleconference)
CAROL HEYMAN, President
Anchorage Chamber of Commerce
441 W. 5th Ave.
Anchorage, Alaska 99501
Phone: (907) 272-2401
Position Statement: Asked questions pertaining to HB 361
and CSHB 361 (Spoke via teleconference)
PREVIOUS ACTION
BILL: HCR 31
SHORT TITLE: ALCOHOL-RELATED BIRTH DEFECTS AWARENESS
SPONSOR(S): REPRESENTATIVE(S) NICHOLIA,Ulmer,Brice,Brown,
Bunde,Davidson,B.Davis,G.Davis,Hoffman,James,Kott,Larson,
Menard,Navarre,Nordlund,Olberg,Parnell,Sitton,Toohey,
Williams,Sanders,Porter,Green
JRN-DATE JRN-PG ACTION
02/02/94 2217 (H) READ THE FIRST TIME/REFERRAL(S)
02/02/94 2217 (H) HEALTH, EDUCATION & SOCIAL
SERVICES
02/03/94 2247 (H) COSPONSOR(S): SANDERS
02/04/94 2270 (H) COSPONSOR(S): PORTER
02/14/94 (H) HES AT 03:00 PM CAPITOL 106
BILL: HB 361
SHORT TITLE: APPROP: EDUCATION FUNDING FOR FY 95
SPONSOR(S): FINANCE
JRN-DATE JRN-PG ACTION
01/11/94 2032 (H) READ THE FIRST TIME/REFERRAL(S)
01/11/94 2033 (H) HES, FINANCE
02/02/94 (H) HES AT 03:00 PM CAPITOL 106
02/14/94 (H) HES AT 03:00 PM CAPITOL 106
ACTION NARRATIVE
TAPE 94-18, SIDE A
Number 000
CHAIR TOOHEY called the meeting to order at 3:02 p.m., noted
members present, and announced the calendar. She referred
to Rep. Irene Nicholia to introduce the demonstration for
HCR 31.
HCR 31 - ALCOHOL-RELATED BIRTH DEFECTS AWARENESS
Number 028
REP. IRENE NICHOLIA, Co-Sponsor of HCR 31, referred to
Steven Jacquier to introduce the project and the students
involved, who were also present in Juneau at the committee
meeting.
Number 038
STEVEN JACQUIER, Principal, Rampart School, supervised the
student project for HCR 31. He stated that this was the
third year of the project and that it was becoming more
successful. He explained, as part of the project, that
students inject laboratory mice with ethanol (e.g., the
alcohol found in beer, wine and hard liquor) and observe the
offspring born to those mice. As a result of the
injections, the baby mice have been found to have birth
defects, abnormalities, and deformities.
(Note: The students involved referred to pictures and props
as they explained their project.)
Number 074
THOMAS WIEHL, Student, Rampart School, referred to a chart
and compared a normal newborn's brain with that of the brain
of a newborn with Fetal Alcohol Syndrome (FAS). He noted
the obvious damage to the FAS brain. He also did the same
comparison with the brains of mice.
Number 148
JOHN ORRISON, Student, Rampart School, displayed a poster
that contained photos of himself with a mouse injected with
alcohol and other students with baby mice. He stated that
the mother of a FAS baby mouse will cannibalize her
offspring because it is deformed.
Number 192
MICHAEL WIEHL, Student, Rampart School, participated in the
demonstration by explaining that another student was
preparing to put flame to one ounce of alcohol, equal to
that of a shot of hard liquor, or the amount contained in a
can of beer or a glass of wine. He then exhibited a poster
that showed pictures of a laboratory mouse undergoing a
caesarean section.
Number 233
LAWRENCE DERENDOFF, student, Rampart School, put a lit match
to a pan of alcohol and stated that it demonstrated the
amount of energy contained in a shot of whiskey, a can of
beer, or a glass of wine. He explained that it would take
three hours for an expectant mother to process the same
amount of alcohol.
Number 276
MR. JACQUIER said the alcohol would remain in the mother's
body for several hours beyond that, and each additional beer
would pass through the placenta of the fetus.
(Note: At that time, Lawrence Derendoff held up a rubber
prop of a normal five month old fetus and indicated the
umbilical cord that would be attached to the placenta.)
Number 286
MR. JACQUIER said that the he did not bring the deformed
mouse offspring with him to display to the committee. He
stated that the flame from the dish would burn for
approximately two and one-half minutes. He said these
demonstrations provided hands-on experiments allowing the
student and perhaps eventual parent to see the results of
FAS on newborn mice and hopefully the ominous affects
alcohol could have on their own children.
Number 339
CHAIR TOOHEY asked the students if they were aware of the
deformity of spina bifida. She explained to them that it
was a severe spinal deformity that affects fetuses. She
stated that when there is a folic acid deficiency in the
expectant mother, it results in fetal spina bifida, one of
the most debilitating deformities that a child could be born
with. She stated that if every women of childbearing age
would take folic acid, spina bifida would be wiped out.
Number 369
REP. BUNDE asked the students if their peers were heeding
the implications and information resulting from the science
experiments and not drinking while they're pregnant.
Number 393
LAWRENCE DERENDOFF said he felt the students were responding
positively to the presentation.
Number 398
REP. BUNDE said that teens are more likely to believe their
peers more so than their parents when they are told that
drinking while pregnant is dangerous. He said it was his
feeling that the students were saving lives.
Number 419
(CHAIR TOOHEY stated for the record that Rep. Vezey, Rep.
Olberg, Rep. Kott and Rep. G. Davis had arrived between 3:05
p.m. and 3:08 p.m. She passed the gavel to Rep. Bunde, who
then chaired the remainder of the meeting.)
Number 438
REP. NICHOLIA made a motion to move HCR 31 out of committee.
Number 449
CHAIR BUNDE, hearing no objections, stated that HCR 31 was
so moved. He thanked the presenters of the demonstration.
Number 450
CHAIR BUNDE then brought HB 361 to the table. He stated
that there were witnesses participating by teleconference.
He indicated that there were two versions before the
committee to be reviewed for different levels of funding.
Chair Bunde took a brief at-ease at 3:14 and reconvened at
3:17 p.m. He stated that it was not his intention to move
either version out of committee. Chair Bunde indicated that
version 8-LS1486/A (version A) was the original bill and the
committee substitute (CS) was version 8-LS1486/K (version
K).
HB 361 - APPROPRIATION: EDUCATION FUNDING FOR FY 95
Number 554
REP. VEZEY asked Chair Bunde to clarify his earlier
statements on the funding information on HB 361 and the
committee substitute (CS).
Number 577
CHAIR BUNDE stated that between the two versions there was a
general fund difference of $17 million.
Number 583
REP. OLBERG indicated that there were large differences in
other funding categories within the two versions.
Number 589
CHAIR BUNDE stated that John Bitney from Rep. Larson's
office could speak to those issues. He said, as he
understood it, the general fund difference between the two
versions would be $17 million.
Number 600
JOHN BITNEY, Legislative Aid, testified on behalf of Rep.
Ron Larson. He stated that the CS would fund education for
FY 95 from budget reserve. He said the budget reserve
amounts would replace all general funds that fund education
programs, resulting with the only general fund amounts being
generated by Mental Health Trust Fund. He said that what
makes for the confusion is that components from Governor
Hickel's budget have been lifted and placed into both
versions of the proposal. He further stated that the
original bill had just the foundation program in it, at the
Governor's level. Within the CS, full funding for the
foundation program, for pupil transportation, for school
construction debt service, and for single site school
districts had been included.
Number 638
CHAIR BUNDE asked if that totaled approximately $17 million.
Number 637
MR. BITNEY said that a $17 million increase was represented
in the funding for the foundation program and pupil
transportation above that proposed in HB 361.
Number 643
CHAIR BUNDE clarified and said that HB 361 does not include
some of the funding that the CS includes, and that the total
difference between the two versions, in unrestricted general
funds (GF), is $17 million.
Number 653
MR. BITNEY said he did not have the exact figures available,
but as an approximation, Chair Bunde was correct.
Number 667
REP. OLBERG said that the difference in basic foundation
formula plus single site schools accounted for the $17
million.
Number 690
DOROTHY GARRETT, Teacher, Inlet View School, testified in
support of CSHB 361 via teleconference from Anchorage. She
felt that the funds in the CS were more sufficient to the
needs of teachers and students. She cited the dire need for
supplies and teaching materials in the Anchorage school
district. She said, due to lack of funds, supplemental
texts cannot be purchased for a large number of students who
need a different level of learning. She related to the
committee that she personally, over the last four years, has
spent at least $500 on reading books for those very
students.
Number 760
CHAIR BUNDE asked where the $500 came from.
Number 760
MS. GARRET replied that the funds came from her paycheck.
Number 764
REP. TOOHEY asked if the workbooks that Ms. Garret referred
to were the type that children filled in.
Number 764
MS. GARRET said they were paperback texts that the library
did not have. She also added that she had purchased books
for other units that are taught at Inlet View School. She
explained that she also runs incentive programs where she
awards books that she has purchased to students.
MS. GARRET stated that children learn best by using tangible
aids and she has used objects, games, and other
manipulatives for over four years and needs to have those
replaced. She said that they were hers, and that meant that
she would have to purchase them again. She said there were
many other teachers who also subsidized the materials needed
in their classrooms. She asserted that individual schools
should not have more or less successful students based on
teachers' personal financial circumstances.
MS. GARRET asked the committee to make education and its
funding their number one priority.
Number 823
REP. TOOHEY stressed how difficult decision making is when
the budget needs to be reduced. She listed the welfare
programs, Aid to Dependent Families with Children (AFDC),
and public assistance as other needy programs that must be
addressed when reducing the budget. She said the decisions
are extremely difficult.
Number 843
REP. VEZEY asked what school district Ms. Garret was from.
Number 843
MS. GARRET answered that she was from the Anchorage school
district.
Number 846
CHAIR BUNDE indicated that Anchorage is one of the
"wealthier" school districts and situations must be more
difficult in the poorer districts.
Number 863
JOHN HOLST, Superintendent, Sitka School District, testified
via teleconference from Sitka in support of CSHB 361. He
stated that since the pulp mill closed in Sitka, the town
was facing a difficult financial future. He said that HB
361 would cause a decrease in funding for the Sitka school
district of approximately $206,000. He estimated the
enrollment decline for the upcoming school year to be 130
students and said the staff would be down-sized accordingly
and that would cause an additional loss of approximately
$525,000. He said the figures totaled a reduction of over
$730,000. He mentioned that Sitka was projecting a drop in
collections of sales and property tax, and due to the
impending financial crisis, the community was expecting not
to support the school district, leading to the loss of
another $350,000. He said that now the total was
approximately $1.5 million of lost funding for the Sitka
school district.
MR. HOLST said the school district was hoping that the
foundation formula would go beyond the $61,000 unit. He
felt the economic viability of Sitka's education system
would be dismantled if the aforementioned cuts are
implemented.
Number 932
CHAIR BUNDE, referring to criticisms that public schools are
top heavy in administration, asked, if Sitka was to absorb
the funding cuts, how would they be reflected
administratively and in staffing?
Number 939
MR. HOLST replied by saying that Sitka has made substantial
administrative and staffing cuts over the last seven years.
He felt that Sitka currently has as lean an administrative
group as anywhere in the state and is still making
adjustments. Mr. Holst said they have experienced savings
by bidding out jobs, such as custodial care and food
service. He also stated that because Sitka is at the 1.0
area cost differential, the district has undergone another
"crunching factor" that other districts throughout the state
have not had to deal with.
Number 972
CHAIR BUNDE commended Mr. Holst for the efforts Sitka has
made. He then asked what the administrative cost per
student in the Sitka school district was.
Number 980
MR. HOLST said he did not have that figure handy.
CHAIR BUNDE urged Mr. Holst to have the figure available for
future meetings.
Number 990
MR. HOLST said he felt it would be lower than any other
district in the state because Sitka has large buildings with
single principals, as does Anchorage.
Number 998
CHAIR BUNDE said the numbers will probably reflect well on
Sitka. He also stated that "in order to achieve the
$61,000, you're probably very aware that it will require
bipartisan support." He also urged Mr. Holst to look for
support throughout the legislature and not only to the HESS
Committee.
Number 015
JOHN DALGREN, Associate Superintendent, Kenai Peninsula
School District, testified via teleconference from Soldotna
in support of CSHB 361. He stated that he supported fully
funding the foundation unit at the $61,000 level. He
explained that since 1987 the CPI for the Kenai Peninsula
school district has increased 1.5%, while the CPI in
Anchorage increased over 24%. In response to the financial
crunch, he stated that the district had become leaner. He
said funding is at $11 million and there are 10,000. He
felt that if there was a reduction in the foundation unit,
the district would not only lose money from the state, but
also from the local borough. He expressed concern that
transportation would not be fully funded, citing that they
already bid out to a bus company and the proration would
amount to less than the cost of the existing operation. He
said there were no incentives for districts to contain
costs, and when efforts are made to save, they are still
penalized. Mr. Dalgren felt that education has been in the
forefront for budget reductions for too long, and there were
no other directions to follow within the education system
that could undergo further reductions. Mr. Dalgren stated
that to balance the budget, the district might have to lay
off 112 teachers, and that was not the type of education
system he felt should be provided.
Number 140
CHAIR BUNDE said that reducing the funding of education was
not a priority of his, but the priority of the general
public is to reduce state spending, including education. He
urged Mr. Dalgren to lobby his constituents to support and
increase the funding level of education.
Number 166
REP. G. DAVIS asked if Mr. Dalgren had the increase
enrollment numbers from last year to this year.
Number 170
MR. DALGREN said that the district was projecting a
conservative increase of 2%, going from 9846 to 10,073
students.
Number 188
CHAIR BUNDE thanked Mr. Dalgren for his testimony and
introduced Wanda Cooksey.
TAPE 94-18, SIDE B
Number 000
WANDA COOKSEY, Representative, Single Site School District
Consortium, testified in Juneau in support of CSHB 361. She
stated that the single site school districts represent 21 of
54 districts and that the Single Site Consortium supports
the CS. She then offered her testimony time to the people
on teleconference from the single site school districts.
Number 036
LARRY WIGET, Legislative Liaison, Anchorage School District,
testified via teleconference from Anchorage in support of
CSHB 361. He stated that he supported full funding for
education at the $61,000 level. He said HB 361 would
eliminate an additional $5.5 million in funding. He then
stated that the Anchorage school district was willing to let
the legislature determine how to fund education at the
$61,000 unit level.
Number 077
CHAIR BUNDE asked Mr. Wiget what efforts have been made to
downscale administrative costs and what the administrative
cost per student was in the Anchorage school district.
Number 090
MR. WIGET stated that he did not have those figures, but
$1.5 million has been cut from administration and they were
projecting more cuts this year. He indicated that class
size was being increased by one student and that he would
send Chair Bunde a list of other measures being taken to
reduce spending.
Number 117
CHAIR BUNDE stressed that there be broad based support for
funding education and urged the Anchorage school district to
fund its full share with local support.
Number 152
MR. WIGET referred to an imaginary pot of money that the
school district was thought to have, and stated that it just
isn't the case.
Number 161
CHAIR BUNDE said it was not his intention to imply that, but
his inference was that the public was telling him that
people need to be laid off. He further stated that
everybody wants the cuts in someone else's backyard, but
hoped that the cuts would be made in the appropriate places.
Number 195
CARL ROSE, Executive Director, Alaska School Boards,
testified in Juneau in support of CSHB 361. He said that
funding has been held constant since 1986 and that it has
had an impact on the school districts. He explained that
last spring at the $61,000 funding level, Anchorage was $20
million in debt with a $300 million budget. He said that
Juneau has a $2.5 million deficit. Mr. Rose further stated
that funding has not kept pace with the cuts in staffing and
administration that most school districts have made. He
urged the committee to consider the $61,000 level as the
more realistic figure to move forward with. He said single
site school districts rely heavily on that appropriation.
He said all cities and borough school districts go to their
local sources for funding, but the local resources are being
impacted also. He strongly urged the committee to realize
the severe circumstances that will result from inadequate
levels of funding. He reiterated that $61,000 is a more
realistic figure, but an increased amount could be
justified, all things considered.
Number 284
CHAIR BUNDE restated the need for bipartisan support for
CSHB 361. It was his feeling that the impact of not fully
funding would affect different parts of the state with
greater magnitude. He indicated districts where enrollment
had increased would suffer disproportionately if not fully
funded and so would single site districts.
Number 325
MR. ROSE commented that within a week an impact study would
be completed that would demonstrate how Governor Hickel's
proposed funding would affect school districts. Also, he
said the administrative cost per student figures would be
available then, too.
Number 334
CHAIR BUNDE hoped that the study would help to restore
confidence in school districts.
Number 345
CAM CARLSON, Concerned Citizen, testified in support of
CSHB 361 via teleconference from Fairbanks. She asked if
the legislation was going to fund education without
considering the rest of the budget.
Number 361
CHAIR BUNDE responded that the legislation package considers
the entire scope of the budget.
Number 384
MS. CARLSON said it was her hope that education would not
get top priority before the rest of the budget was
considered. She said Alaska spends more on education than
perhaps any other state, and she felt the results weren't
"red hot." She said Fairbanks ranks on the average in the
50th and 60th percentile in national testing. She said when
the pipeline was under construction, buses were being used
for three different runs. She explained that even now, with
the pipeline completed, the district is still funded for the
same pupil transportation. Ms. Carlson said, "we seem to
have plenty of money for education. The board here, and I
think statewide, has plenty of money to negotiate wages in
teachers' unions. They pay sabbatical leave for union
presidents, they pay for leave days for the union... If the
legislature wants to do something worthwhile, I think they
can pass legislation that would mandate that it's illegal to
spend taxpayer's money to support the union, in any way,
shape, or form." She felt that education should have to
justify their funding with higher test scores. She felt
that throwing money at education was not the answer.
Number 453
CHAIR BUNDE said that education was having to meet the
challenge of the budget like every other department. He
also said that lower test scores could be the result of a
lower quality of raw materials coming into the school
districts.
Number 468
RUTH EWIG, Concerned Citizen, testified in opposition to
CSHB 361 via teleconference from Fairbanks. She was opposed
to funding from the constitutional budget reserve at the
expense of other areas of need in the state. She said the
bill was vague and that administration is top heavy. She
felt the funds should be monitored to ensure that the
students are the ones who benefit. She stated that the tax
paying public should have a line item financing process so
to better scrutinize how funds are spent. She questioned if
the funds being spent were from the permanent fund. Ms.
Ewig felt that spending more money on education was not the
answer.
Number 520
CHAIR BUNDE assured Ms. Ewig that the funding was not tied
to the permanent fund in any way.
Number 543
SUE HALL, President, Alaska PTA, testified on CSHB 361 via
teleconference from Fairbanks. She urged the legislature to
look to the future and the precedence being set in regards
to education. She stated that education has been affected
by the natural rate of inflation, and the value of the
instructional unit has dropped 24% since 1986. She said
that even if the instructional unit is fully funded as
indicated in CSHB 361, reductions would still have to be
made. She explained that over the years student enrollment
has continued to increase regardless of depressed oil
revenues. She stated that Alaska ranks 46th in the
percentage of budget spent on education. In a chart from
the Bureau of Statistics it shows that Alaska is 50th
because there are three other states that are funded
strictly by local funds. She said, proportionately, other
states spend much higher percentages of their budget on
education. Ms. Hall stated that teachers' salaries cannot
be significantly reduced through negotiation and the
reductions have been made at the expense of the students.
She urged the committee to make students and education their
number one priority.
Number 648
NANCY MENDENHALL, Concerned Citizen, testified via
teleconference from Fairbanks in opposition to CSHB 361.
She stated that undeniably oil revenues are dropping and as
a result education needs to make cuts like every other area
of the budget. She felt it was unrealistic for other
departments to sacrifice their funding to alleviate the
problems in education. She said that money could improve
education to a point, but beyond that point, bureaucracy
increases and education suffers.
Number 670
CHAIR BUNDE asked if Ms. Mendenhall was opposed to CSHB 361.
Number 673
MS. MENDENHALL answered yes. She said there needed to be
further reduction in the foundation formula this year.
Number 685
CHAIR BUNDE asked Ms. Mendenhall what specific cuts she
would recommend.
Number 706
MS. MENDENHALL said she felt that funds should be allocated
to the school district, and the school board should decide
how the money is spent.
Number 727
REP. VEZEY asked if Ms. Mendenhall was opposed to HB 361,
also.
Number 733
MS. MENDENHALL said she was not sure if HB 361 would
appropriate more or less funds to education, but she was in
favor of reducing the education budget.
Number 760
REP. TOOHEY stated that she appreciated how realistic Ms.
Mendenhall was and commented that she wished Ms. Mendenhall
could sit in on meetings with the committee.
Number 768
MS. MENDENHALL commented that only lobbyists can afford to
travel to Juneau.
Number 784
CHAIR BUNDE said that it only cost .29 cents to send
communication to him.
MS. MENDENHALL said that it would be better to see the
legislators face to face, the way lobbyists do.
Number 799
REP. VEZEY questioned if HB 361 would represent a decrease
in the foundation formula amount, which actually would be an
increase above the 1994 budget.
CHAIR BUNDE responded that it was a decrease per student.
REP. VEZEY asked if the total appropriation was an increase.
Number 811
DUANE GUILEY, Director, Division of Education Finance and
Support Services, answered questions on HB 361 and CSHB 361.
He stated that the overall appropriation had increased in
the area of debt service and food nutrition services. He
explained that the foundation program was exactly the same
as authorized in 1994 and that the pupil transportation
program was a reduction of over $1.5 million. He further
stated that the programs that have grown with federal
funding and the increase in debt service that has grown has
required an increase in the overall appropriation; but the
K-12 program for the basic need was 1994 authorized.
Number 839
REP. G. DAVIS stated "that it also has the elimination of
single site school... $3 million is my understanding."
Number 843
MR. GUILEY said it was his understanding that single site
appropriation has been funded as a named recipient branch
outside of the foundation program. The last two years of
funding was awarded to the Department of Education (DOE)
through the agency budget. He said that funding was not
included in HB 361.
Number 858
CLAUDIA DOUGLAS, President, National Education
Association/Alaska (NEA/AK), testified in Juneau in support
of CSHB 361. She said she understood there was a decrease
in revenues and a funding crisis within the state, and that
NEA/AK would advocate new sources of revenue in the form of
a state tax. She commented that in 1983 Alaska rated second
in the nation in terms of pupil/teacher ratio, and ten years
later it has fallen to 34th. She said she was gathering
statistics on how much money teachers spend personally on
their classroom. She felt that funding at full level was an
investment in students who will return the investment in the
future. She further stated that salaries have not increased
comparatively to the early 1980s, and many contracts were
being negotiated with minimum or no salary increases.
Number 931
CHAIR BUNDE reiterated that support for increased funding
for education was not universal within the public or the
legislature. He reminded the witness that passage of the
legislation required bipartisan support.
Number 938
MS. DOUGLAS stated that CSHB 361 was not an increase in
spending. She contended that schools in Alaska could not
survive if the funding level was not increased in regards to
the pupil.
Number 946
CHAIR BUNDE said "there are those who are advocating, what
you would consider, very Draconian cuts... maybe throwing
out the baby with the bath water."
Number 952
REP. VEZEY supposed that the state may have to double its
revenues to maintain funding at the present level and into
the future.
Number 974
MIKE WILEY, Member, Kenai Peninsula School District,
testified via teleconference from Seward in support of CSHB
361. He said if $1.5 billion was added to the budget, the
state would face a similar catastrophe and domino effect
that occurred the last time there was a depression in oil
revenues. He felt that using the budget reserve fund for
education funding was a wise approach and urged expediency.
He further stated that the $61,000 unit was not an increase,
and if inflation was factored in, it was actually a decrease
in funding. He also stated that by cutting food service
completely in the school district to balance the budget, it
would actually cost Kenai money because of unemployment
costs. It was his hope that politics would be taken out of
education and that there be no infighting with the
legislature.
TAPE 94-19, SIDE A
Number 000
CHAIR BUNDE contended that education was a very political
issue in Juneau.
Number 047
DEBORAH SMITH, Executive Director, Alaska Mental Health
Board, testified in Juneau in opposition to HB 361 and CSHB
361. She stated for the record that "we do not feel it is
appropriate for funding for special education services to
come out of the trust, when it is the right of every child
in Alaska, regardless of the trust beneficiary status." She
indicated that the schools for the handicapped component
within the DOE budget has an increase in funding for FY 95
of $426,900. She said it was a cost shifting from the
general fund to the trust totalling $126,000 and a $300,000
increase. She said, based on the information given to her
from DOE, it is based on the formula allocation for the
Special Education Services Agency (SESA). She further
stated that the allocation for SESA is 2% of the special
education foundation funding or $85 per special education
student, or whichever is greater. She stated that "they are
increasing their amount coming out of the trust, which we...
are in opposition to."
Number 123
REP. VEZEY asked if Ms. Smith would like to see the
legislature take $8 million out of the funds for education.
Number 135
MS. SMITH responded that currently the funds were being
taken out of the mental health trust and they should be
taken out of the general fund.
Number 139
REP. VEZEY said the funds aren't in the general fund and
asked again if it was the position of the Mental Health
Board to take the funds out of education.
MS. SMITH asserted that it was the position of the Mental
Health Board that the funds should not come out of the
mental health trust.
Number 163
CHARLES McKEE, Concerned Citizen, testified via
teleconference from Anchorage in opposition to HB 361 and
CSHB 361. He stated that he had the right to promote the
original treasury seal to fund education. He felt there
should be support for his standing.
Number 291
CHAIR BUNDE said he felt the problems Mr. McKee was
addressing were beyond the scope of the committee and
thanked him for his testimony.
Number 317
CAROL HEYMAN, President, Anchorage Chamber of Commerce,
asked questions pertaining to HB 361 and CSHB 361 via
teleconference from Anchorage. She said the Chamber of
Commerce had sent two resolutions to the legislature, and
one asked the legislature to reduce the budget to the level
of the FY 93 budget. The other resolution asked for
spending control for state government. She asked if HB 361
would cut spending completely for school transportation.
Number 359
CHAIR BUNDE replied that pupil transportation would become
local responsibility.
Number 360
MS. HEYMAN asked if HB 361 would consolidate single site
school districts.
Number 372
CHAIR BUNDE answered no, and explained that HB 361 would
impose a substantial budget cut to single site schools.
Number 392
MS. HEYMAN stated that the Chamber of Commerce was in the
process of preparing a list of recommended budget cuts. She
said the recommendations indicate that the solutions should
be found "in our own backyards." She said she would like to
testify at another time with a better knowledge of the
proposed CS.
Number 439
CHAIR BUNDE said Ms. Heyman would be welcome at anytime.
Number 463
REP. NICHOLIA said it was her hope that when the cuts are
being made that "you would not look in the backyard of my
district." She said she was alarmed by that statement.
MS. HEYMAN said that Anchorage was the largest district in
the state, but hoped they would be treated fairly.
CHAIR BUNDE stated that HB 361 would have a larger per
capita cut to educational funding in Anchorage than it would
in Rep. Nicholia's district.
Seeing no further business before the committee, CHAIR BUNDE
ADJOURNED the meeting at 4:50 p.m.
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