Legislature(2009 - 2010)SENATE FINANCE 532

03/22/2010 09:00 AM FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 144 MUSK OXEN PERMITS TELECONFERENCED
Moved CSSB 144(FIN) Out of Committee
+= SB 215 PIONEERS HOME RX DRUG BENEFIT TELECONFERENCED
Moved SB 215 Out of Committee
+= SB 219 TRAUMATIC BRAIN INJURY:PROGRAM/MEDICAID TELECONFERENCED
Heard & Held
+= SB 238 MEDICAID FOR MEDICAL & INTERMEDIATE CARE TELECONFERENCED
Moved SB 328 Out of Committee
+= SB 246 INCREASING NUMBER OF SUPERIOR CT JUDGES TELECONFERENCED
Moved SB 246 Out of Committee
+= SB 257 YOUTH COURTS AND CRIMINAL FINES TELECONFERENCED
Moved SB 257 Out of Committee
+ SB 237 SCHOOL CONSTRUCTION DEBT REIMBURSEMENT TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
                 SENATE FINANCE COMMITTEE                                                                                       
                      March 22, 2010                                                                                            
                         9:05 a.m.                                                                                              
                                                                                                                                
                                                                                                                                
9:05:23 AM                                                                                                                    
                                                                                                                                
CALL TO ORDER                                                                                                                 
                                                                                                                                
Co-Chair Stedman called the Senate Finance Committee                                                                            
meeting to order at 9:05 a.m.                                                                                                   
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Senator Lyman Hoffman, Co-Chair                                                                                                 
Senator Bert Stedman, Co-Chair                                                                                                  
Senator Charlie Huggins, Vice-Chair                                                                                             
Senator Dennis Egan                                                                                                             
Senator Donny Olson                                                                                                             
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Senator Johnny Ellis                                                                                                            
Senator Joe Thomas                                                                                                              
                                                                                                                                
ALSO PRESENT                                                                                                                  
                                                                                                                                
Senator   Bettye   Davis;  Doug   Wooliver,   Administrative                                                                    
Attorney, Alaska  Court System;  Esther Cha,  Staff, Senator                                                                    
Lesil McGuire;  Jay Livey, Staff, Co-Chair  Hoffman; Senator                                                                    
Kevin Meyer; Andrea Story, Juneau  School Board; Eddy Jeans,                                                                    
Director,  School  Finances  and Facilities,  Department  of                                                                    
Education and Early Development                                                                                                 
                                                                                                                                
PRESENT VIA TELECONFERENCE                                                                                                    
                                                                                                                                
None                                                                                                                            
                                                                                                                                
SUMMARY                                                                                                                       
                                                                                                                                
SB 144    MUSK OXEN PERMITS                                                                                                     
                                                                                                                                
          CSSB 144 (FIN) was REPORTED out of Committee with                                                                     
          a "do pass" recommendation and with zero FN 1                                                                         
          DFG.                                                                                                                  
                                                                                                                                
SB 215    PIONEERS HOME RX DRUG BENEFIT                                                                                         
                                                                                                                                
          SB  215  was REPORTED  out  of  Committee with  no                                                                    
          recommendation and with zero FN 1 DHS.                                                                                
                                                                                                                                
SB 219    TRAUMATIC BRAIN INJURY: PROGRAM/MEDICAID                                                                              
                                                                                                                                
          SB  219  was  heard  and  HELD  in  Committee  for                                                                    
          further consideration.                                                                                                
                                                                                                                                
SB 237    SCHOOL CONSTRUCTION DEBT REIMBURSEMENT                                                                                
                                                                                                                                
          SB  237  was  heard  and  HELD  in  Committee  for                                                                    
          further consideration.                                                                                                
                                                                                                                                
SB 238    MEDICAID FOR MEDICAL & INTERMEDIATE CARE                                                                              
                                                                                                                                
          SB  238  was REPORTED  out  of  Committee with  no                                                                    
          recommendation and with zero FN 1 DHS.                                                                                
                                                                                                                                
SB 246    INCREASING NUMBER OF SUPERIOR CT JUDGES                                                                               
                                                                                                                                
          SB  246  was REPORTED  out  of  Committee with  no                                                                    
          recommendation and  with FN  1 CRT  and zero  FN 2                                                                    
          CRT.                                                                                                                  
                                                                                                                                
SB 257    YOUTH COURTS AND CRIMINAL FINES                                                                                       
                                                                                                                                
          SB 257  was REPORTED out  of Committee with  a "do                                                                    
          pass" recommendation and with  zero FN 1 CRT, zero                                                                    
          FN 2 DHS, and zero FN 3 LAW.                                                                                          
                                                                                                                                
9:05:46 AM                                                                                                                    
                                                                                                                                
SENATE BILL NO. 144                                                                                                           
                                                                                                                                
     "An Act relating to hunting permits and tag fees for                                                                       
     musk oxen."                                                                                                                
                                                                                                                                
9:06:35 AM                                                                                                                    
                                                                                                                                
Senator Hoffman MOVED to ADOPT the CS for SB 144, labeled                                                                       
26-LS0666\E, Kane, 3/16/10. Co-Chair Stedman OBJECTED.                                                                          
                                                                                                                                
Co-Chair Stedman explained that the committee substitute                                                                        
makes a conforming technical change by adding the word                                                                          
"and" on page 1, line 15, and on page 2, line 8.                                                                                
                                                                                                                                
Co-Chair  Stedman WITHDREW  his  objection.  There being  NO                                                                    
OBJECTION, the CS was adopted.                                                                                                  
                                                                                                                                
Co-Chair  Stedman   noted  a  zero  fiscal   note  from  the                                                                    
Department of Fish and Game.                                                                                                    
                                                                                                                                
Senator  Olson, sponsor  of the  bill, summarizing  that the                                                                    
bill clears up  the paperwork for hunters of  Musk Oxen. The                                                                    
new stocks  of Musk  Oxen are  treated differently  now that                                                                    
they  are  transplanted.  The  bill  was  requested  by  the                                                                    
Department of Fish and Game in Nome.                                                                                            
                                                                                                                                
9:08:27 AM                                                                                                                    
                                                                                                                                
Co-Chair  Hoffman MOVED  to  report CSSB  144  (FIN) out  of                                                                    
Committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal  note. There being NO  OBJECTION, it was                                                                    
so ordered.                                                                                                                     
                                                                                                                                
CSSB  144 (FIN)  was REPORTED  out of  Committee with  a "do                                                                    
pass" recommendation and with zero FN 1 DFG.                                                                                    
                                                                                                                                
9:09:18 AM                                                                                                                    
                                                                                                                                
SENATE BILL NO. 215                                                                                                           
                                                                                                                                
     "An Act requiring the Department of Health and Social                                                                      
     Services to accept federal prescription drug benefits                                                                      
     or to provide comparable benefits for residents of the                                                                     
     Alaska Pioneers' Home."                                                                                                    
                                                                                                                                
Co-Chair Stedman  reported that this was  the second hearing                                                                    
on the bill. He asked if  there were any questions. He noted                                                                    
one  zero fiscal  note  from the  Department  of Health  and                                                                    
Social Services.                                                                                                                
                                                                                                                                
Co-Chair Hoffman  MOVED to  report SB  215 out  of Committee                                                                    
with individual recommendations  and the accompanying fiscal                                                                    
note. There being NO OBJECTION, it was so ordered.                                                                              
                                                                                                                                
SB 215 was REPORTED out  of Committee with no recommendation                                                                    
and with zero FN 1 DHS.                                                                                                         
                                                                                                                                
9:10:40 AM                                                                                                                    
                                                                                                                                
SENATE BILL NO. 238                                                                                                           
                                                                                                                                
     "An Act amending the eligibility threshold for medical                                                                     
     assistance for persons in a medical or intermediate                                                                        
     care facility."                                                                                                            
                                                                                                                                
9:10:55 AM                                                                                                                    
                                                                                                                                
SENATOR  BETTYE  DAVIS,  sponsor  of  SB  238,  thanked  the                                                                    
committee for considering the bill.                                                                                             
                                                                                                                                
Co-Chair Hoffman  MOVED to  report SB  238 out  of Committee                                                                    
with individual recommendations  and the accompanying fiscal                                                                    
note. There being NO OBJECTION, it was so ordered.                                                                              
                                                                                                                                
SB 238 was REPORTED out  of Committee with no recommendation                                                                    
and with zero FN 1 DHS.                                                                                                         
                                                                                                                                
9:11:55 AM                                                                                                                    
                                                                                                                                
SENATE BILL NO. 246                                                                                                           
                                                                                                                                
     "An Act increasing the number of superior court judges                                                                     
     designated for the third judicial district; and                                                                            
     providing for an effective date."                                                                                          
                                                                                                                                
9:12:08 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman reported  that the  bill was  requested by                                                                    
the Court System  and introduced by the  Rules Committee. It                                                                    
is  the  second  hearing  on  the  bill.  The  Court  System                                                                    
provided information  in a letter dated  March 16, detailing                                                                    
the number of  cases filed per district and  how many judges                                                                    
have been added in the last ten years (copy on file).                                                                           
                                                                                                                                
DOUG   WOOLIVER,  ADMINISTRATIVE   ATTORNEY,  ALASKA   COURT                                                                    
SYSTEM,   explained   that   the   Court   System   provided                                                                    
information going  back to 2000  listing all  superior court                                                                    
filings  by  district. The  numbers  vary  by district.  The                                                                    
third district, where  a judge is being  requested, has seen                                                                    
an increase in  case filings. The request for  the judge has                                                                    
more to  do with  the additional work  load rather  than the                                                                    
number of cases.                                                                                                                
                                                                                                                                
Co-Chair  Stedman reviewed  the two  fiscal notes,  one zero                                                                    
note from the Judicial Council  and one fiscal note from the                                                                    
Court  System for  $499,100  in general  funds  for the  new                                                                    
judge and support staff.                                                                                                        
                                                                                                                                
Mr.  Wooliver   voiced  appreciation  for   the  committee's                                                                    
consideration of the bill.                                                                                                      
                                                                                                                                
9:13:54 AM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman  MOVED to  report SB  246 out  of Committee                                                                    
with individual recommendations  and the accompanying fiscal                                                                    
notes. There being NO OBJECTION, it was so ordered.                                                                             
                                                                                                                                
SB 246 was REPORTED out  of Committee with no recommendation                                                                    
and with FN 1 CRT and zero FN 2 CRT.                                                                                            
                                                                                                                                
9:14:32 AM                                                                                                                    
                                                                                                                                
SENATE BILL NO. 257                                                                                                           
                                                                                                                                
     "An Act relating to funding for youth courts; and                                                                          
     relating to accounting for criminal fines."                                                                                
                                                                                                                                
Co-Chair Stedman  related that  this was the  second hearing                                                                    
on the bill.                                                                                                                    
                                                                                                                                
Senator Egan,  sponsor, thanked the committee  for listening                                                                    
to the  presentation on the  bill and continuing  to provide                                                                    
funding for Alaska's Youth Courts.                                                                                              
                                                                                                                                
Co-Chair  Stedman  noted  three  zero notes,  one  from  the                                                                    
Department of  Law, one  from the  Department of  Health and                                                                    
Social Services, and one from the Court System.                                                                                 
                                                                                                                                
Co-Chair Hoffman  MOVED to  report SB  257 out  of Committee                                                                    
with individual recommendations  and the accompanying fiscal                                                                    
notes. There being NO OBJECTION, it was so ordered.                                                                             
                                                                                                                                
SB  257 was  REPORTED  out  of Committee  with  a "do  pass"                                                                    
recommendation and  with zero FN 1  CRT, zero FN 2  DHS, and                                                                    
zero FN 3 LAW.                                                                                                                  
                                                                                                                                
9:16:20 AM                                                                                                                    
                                                                                                                                
SENATE BILL NO. 219                                                                                                           
                                                                                                                                
     "An Act establishing a traumatic brain injury program                                                                      
     and registry within the Department of Health and                                                                           
     Social Services; and relating to medical assistance                                                                        
     coverage for traumatic brain injury services."                                                                             
                                                                                                                                
9:16:27 AM                                                                                                                    
                                                                                                                                
Co-Chair Stedman  said that this  was the second  hearing on                                                                    
the bill.                                                                                                                       
                                                                                                                                
Co-Chair Hoffman MOVED  to ADOPT the CS for  SB 219, labeled                                                                    
26-LS1312\S, Mischel, 3/2/10.                                                                                                   
                                                                                                                                
Co-Chair Stedman  OBJECTED. He noted that,  at the direction                                                                    
of the  sponsor, the definition  of case  management service                                                                    
on page 2,  line 3 has been amended. There  is a document in                                                                    
members' packets that summarizes that change.                                                                                   
                                                                                                                                
ESTHER  CHA, STAFF,  SENATOR  LESIL  MCGUIRE, explained  the                                                                    
changes in  the bill. On  Section 3, page 2,  the definition                                                                    
of case management services for  traumatic or acquired brain                                                                    
injury  was amended  to "services  furnished to  individuals                                                                    
who reside in  a community setting or  who are transitioning                                                                    
to a  community setting, to  gain access to  needed medical,                                                                    
social, educational, and other available services."                                                                             
                                                                                                                                
Ms. Cha related that the  subsections from AS 47.07.030 (A),                                                                    
(B), (C), and  (D) were deleted from Version E  of the bill.                                                                    
The change  is shown  on page  2, line  25, through  page 3,                                                                    
line  5.  This  change  was  based  on  testimony  from  the                                                                    
Department  of  Health  and Social  Services.  The  original                                                                    
definition  was slightly  amended in  the Health  and Social                                                                    
Services  Committee   hearing;  however,   the  department's                                                                    
attorney  general   stated  that  the  definition   of  case                                                                    
management   would   still   conflict   with   the   federal                                                                    
definition.  The department  was  uncertain  whether or  not                                                                    
Medicaid   and   Medicare   Services  would   be   affected,                                                                    
jeopardizing the ability to get  matching federal funds. The                                                                    
definition  change is  verbatim  from  federal statutes  and                                                                    
should  not  complicate  the  process  when  the  department                                                                    
submits an amendment to the state's Medicaid plan.                                                                              
                                                                                                                                
Co-Chair Stedman  WITHDREW his objection to  the adoption of                                                                    
the CS. There being NO OBJECTION, it was so ordered.                                                                            
                                                                                                                                
AT-EASE        9:19:18 AM                                                                                                     
RECONVENED     9:22:05 AM                                                                                                     
                                                                                                                                
Senator Huggins MOVED to adopt Amendment 1:                                                                                     
                                                                                                                                
     Page 4, lines 6-7                                                                                                          
     Delete "and laws pertaining to the prevention of                                                                           
     traumatic or acquired brain injury and"                                                                                    
     Insert "pertaining"                                                                                                        
                                                                                                                                
Co-Chair Stedman OBJECTED.                                                                                                      
                                                                                                                                
Senator Huggins proposed an Amendment to Amendment 1:                                                                           
                                                                                                                                
     Change "page 4" to "page 3"                                                                                                
     Change "lines 6-7" to "lines 27-28"                                                                                        
                                                                                                                                
Co-Chair Stedman OBJECTED for discussion purposes.                                                                              
                                                                                                                                
Senator  Huggins  explained  the changes.  Co-Chair  Stedman                                                                    
noted that Amendment 1 was written  to Version E of the bill                                                                    
and the committee has adopted Version S.                                                                                        
                                                                                                                                
Co-Chair Stedman WITHDREW his  OBJECTION to the amendment to                                                                    
Amendment  1.   There  being   NO  further   OBJECTION,  the                                                                    
amendment to Amendment 1 was adopted.                                                                                           
                                                                                                                                
Senator  Huggins   explained  Amendment   1.  He   said  the                                                                    
amendment  addresses previous  testimony regarding  helmets.                                                                    
The amendment removes the mandated helmet provision.                                                                            
                                                                                                                                
9:23:49 AM                                                                                                                    
                                                                                                                                
Senator  Olson asked  if the  bill allows  the wearing  of a                                                                    
helmet  at the  discretion  of the  rider. Co-Chair  Stedman                                                                    
concurred.                                                                                                                      
                                                                                                                                
AT-EASE        9:24:32 AM                                                                                                     
RECONVENED     9:25:30 AM                                                                                                     
                                                                                                                                
Senator Olson  spoke of  a concern  regarding a  helmet law,                                                                    
which  unfairly penalizes  people in  his district  who ride                                                                    
snowmobiles. He wished  to study the bill  further to ensure                                                                    
that it did not adversely affect his district.                                                                                  
                                                                                                                                
Co-Chair  Stedman WITHDREW  his  objection  to Amendment  1.                                                                    
There being NO further OBJECTION, Amendment 1 was adopted.                                                                      
                                                                                                                                
SB  219  was  heard  and   HELD  in  Committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
9:27:18 AM                                                                                                                    
                                                                                                                                
SENATE BILL NO. 237                                                                                                           
                                                                                                                                
     "An Act extending the deadline for authorizing school                                                                      
     construction debt reimbursed by the state."                                                                                
                                                                                                                                
Co-Chair Stedman  stated that  it was  the first  hearing on                                                                    
the bill.                                                                                                                       
                                                                                                                                
Co-Chair Hoffman MOVED  to ADOPT the CS for  SB 237, labeled                                                                    
26-LS1342/S.                                                                                                                    
                                                                                                                                
Co-Chair Stedman OBJECTED.                                                                                                      
                                                                                                                                
9:27:43 AM                                                                                                                    
                                                                                                                                
JAY LIVEY,  STAFF, CO-CHAIR  HOFFMAN, explained  the changes                                                                    
in Version  S. He stated  that the purpose  of the CS  is to                                                                    
address the  way in which  state funds  are used to  pay for                                                                    
school construction.  The objectives  are to provide  a more                                                                    
predictable  method   of  funding  for  both   the  Regional                                                                    
Educational   Attendance   Areas  (REAA's)   and   municipal                                                                    
districts. He explained  that the first two  sections of the                                                                    
bill address the construction of REAA schools.                                                                                  
                                                                                                                                
Mr.  Livey  reported  that Section  1  contains  legislative                                                                    
findings  which  refer to  the  Kasayulie  vs. Alaska  court                                                                    
case. This  case was  introduced seven  or eight  years ago,                                                                    
but has  not been  finally settled. In  the case,  the judge                                                                    
noted that  the state  has a  statutory process  for funding                                                                    
municipal schools  through the debt service  program, but it                                                                    
had  no comparable  program for  funding  REAA schools.  The                                                                    
court  also  found that  this  situation  created an  unfair                                                                    
environment in  terms of money  available. The  sponsor also                                                                    
believes  that it  creates an  unfair  environment in  which                                                                    
REAA  funding planners  have considerable  uncertainty about                                                                    
funds available  and makes it  difficult to plan  for future                                                                    
construction of buildings.                                                                                                      
                                                                                                                                
9:30:00 AM                                                                                                                    
                                                                                                                                
Mr.  Livey   highlighted  Section  2  of   the  bill,  which                                                                    
addresses the above-mentioned deficiency  by creating a fund                                                                    
from which  REAA construction  dollars are  dispersed. Money                                                                    
is deposited  in the  fund according to  a formula  which is                                                                    
linked  to   the  outstanding  debt  amount   for  municipal                                                                    
schools.                                                                                                                        
                                                                                                                                
Mr. Livey  explained how the formula  works. The outstanding                                                                    
debt  amount  for  municipal  schools  represents  what  the                                                                    
state's obligation currently  is for the amount  of money to                                                                    
fund  for  new construction  in  schools.  As noted  in  the                                                                    
findings section, this  amount is about $1.2  billion and is                                                                    
expected to  remain the  same over the  next two  years. The                                                                    
findings  section also  notes that  about  $515 million  has                                                                    
been  spent in  the last  ten  years on  REAA's schools.  In                                                                    
addition, there  is a  backlog of about  ten or  eleven REAA                                                                    
schools that need  to be funded over the next  few years. He                                                                    
stated that spending amounts in  municipal schools is higher                                                                    
than the amount  spent in REAA schools by  about 28 percent.                                                                    
If  the   outstanding  debt  amount   of  $1.2   billion  is                                                                    
multiplied by  28 percent, and  that total is  multiplied by                                                                    
the  percent  of  all  REAA  students,  which  is  about  12                                                                    
percent, the result is about  $40 million per year. The bill                                                                    
proposes using this formula to fund REAA construction.                                                                          
                                                                                                                                
Mr. Livey described aspects of  the fund. The money would be                                                                    
spent from  the fund by  the Department of Education  in the                                                                    
same  manner  as they  would  decide  to fund  REAA  schools                                                                    
currently.  All  requirements  would   be  approved  by  the                                                                    
department.  The  balance  of  the  fund  would  not  exceed                                                                    
$100,000,000.                                                                                                                   
                                                                                                                                
Mr.  Livey emphasized  that the  funding would  provide some                                                                    
certainty  to   REAA  construction   planners  and   to  the                                                                    
Department of Education.                                                                                                        
                                                                                                                                
9:33:29 AM                                                                                                                    
                                                                                                                                
Mr.  Livey explained  that  the third  section  of the  bill                                                                    
addresses   municipal   districts.  Currently,   the   state                                                                    
reimburses  municipal  districts  at  70  percent  of  their                                                                    
outstanding  debt  for  school  construction;  however,  the                                                                    
statute  must  be  renewed  every   three  years.  The  bill                                                                    
proposes to  make 70  percent permanent  in order  to reduce                                                                    
funding uncertainty among district planners.                                                                                    
                                                                                                                                
9:34:16 AM                                                                                                                    
                                                                                                                                
Co-Chair  Hoffman  shared information  as  to  how the  bill                                                                    
would  address three  of the  backlogged  school within  the                                                                    
$344 million  backlog of eleven  schools. He hoped  that the                                                                    
remaining  eight schools  could be  addressed over  the next                                                                    
two years. He  noted that $40 million is  the minimum amount                                                                    
and the legislature can provide more funding if it desires.                                                                     
                                                                                                                                
Co-Chair Stedman WITHDREW his  objection to adopting the CS.                                                                    
There being NO further OBJECTION, it was so ordered.                                                                            
                                                                                                                                
Co-Chair  Stedman  suggested  that the  sponsor  define  the                                                                    
rural attendance area.                                                                                                          
                                                                                                                                
9:35:55 AM                                                                                                                    
                                                                                                                                
SENATOR KEVIN MEYER, sponsor, related  that the bill started                                                                    
out  as  a  simple  extension  of  the  current  70/30  debt                                                                    
reimbursement  program. The  bill is  normally extended  for                                                                    
two  or three  years at  a time  and an  attempt is  made to                                                                    
incorporate rural schools with  construction needs. The bill                                                                    
formulizes  a process  already  in place  and  puts it  into                                                                    
statute. He voiced support for  the new CS and the suggested                                                                    
changes.                                                                                                                        
                                                                                                                                
Co-Chair  Stedman  asked  where  in the  state  schools  are                                                                    
needed.   Senator Meyer could  only speak for  the Anchorage                                                                    
schools, where  there is  a backlog  of requests.  The 70/30                                                                    
program is in place for  all municipal and urban schools and                                                                    
is available every year.                                                                                                        
                                                                                                                                
9:38:47 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman spoke  of the  needs  in Southeast  Alaska                                                                    
being "kids and jobs".                                                                                                          
                                                                                                                                
Senator  Huggins  discussed  the   need  in  MatSu  for  4-6                                                                    
backlogged schools.                                                                                                             
                                                                                                                                
9:39:25 AM                                                                                                                    
                                                                                                                                
Co-Chair    Hoffman    spoke     of    conversations    with                                                                    
superintendents in  Anchorage and  Fairbanks and  hoped that                                                                    
they were looking favorably at  the legislation. He hoped to                                                                    
assuage  concerns  over  construction  of  urban  and  rural                                                                    
schools.                                                                                                                        
                                                                                                                                
Co-Chair Stedman  noted one fiscal note  from the Department                                                                    
of  Education   showing  the  cost  of   debt  reimbursement                                                                    
starting in FY 2013 at $3,700,000.                                                                                              
                                                                                                                                
9:40:42 AM                                                                                                                    
                                                                                                                                
ANDREA STORY,  JUNEAU SCHOOL  BOARD, spoke  in favor  of the                                                                    
bill on behalf of the Board.  She reported that the bill has                                                                    
been very  successful in helping  with major  maintenance in                                                                    
Juneau. She spoke of efforts  of the school district to keep                                                                    
up  on  building  construction and  maintenance  needs.  She                                                                    
pointed out  that Alaska Association  of School  Boards also                                                                    
supports the  legislation. She hoped  to see both  urban and                                                                    
rural schools  flourish because schools  are the  centers of                                                                    
communities.                                                                                                                    
                                                                                                                                
9:42:12 AM                                                                                                                    
                                                                                                                                
EDDY  JEANS,  DIRECTOR,   SCHOOL  FINANCES  AND  FACILITIES,                                                                    
DEPARTMENT OF  EDUCATION AND  EARLY DEVELOPMENT,  offered to                                                                    
answer  questions. When  asked  by Co-Chair  Stedman if  the                                                                    
department  supported   the  bill,  he  reported   that  the                                                                    
department is neutral on the bill.                                                                                              
                                                                                                                                
Senator  Olson  asked  what   changes  in  construction  are                                                                    
expected as  a result  of the bill.  Mr. Jeans  related that                                                                    
with  the inclusion  of the  amendment, a  request from  the                                                                    
administration would  be forthcoming on an  annual basis for                                                                    
at least  one school construction project.  The legislature,                                                                    
over  the   past  ten   years,  has   funded  a   number  of                                                                    
construction   projects   in   rural  Alaska.   He   thought                                                                    
construction and  major maintenance  needs around  the state                                                                    
have been  addressed fairly  well the  last ten  years, much                                                                    
better than the ten years prior.                                                                                                
                                                                                                                                
Senator  Olson inquired  if the  Kasayulie  vs. Alaska  case                                                                    
would have an effect on  the state's actions. Mr. Jeans said                                                                    
that  was difficult  to  answer because  the  case has  been                                                                    
dormant  for   a  number  of   years,  partly   because  the                                                                    
legislature has provided funding for rural schools.                                                                             
                                                                                                                                
9:44:43 AM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman  agreed that the legislature  has addressed                                                                    
rural  school needs;  however,  the  administration has  not                                                                    
supported rural school construction  for the past ten years.                                                                    
Every  single  year  the administration  has  requested  the                                                                    
money needed to pay bond indebtedness and the legislature                                                                       
has funded it.                                                                                                                  
                                                                                                                                
Co-Chair Stedman requested information  on what was spent in                                                                    
rural  and non-rural  areas on  school  construction in  the                                                                    
past   20  years.   Mr.  Jeans   offered  to   provide  that                                                                    
information.                                                                                                                    
                                                                                                                                
SB 237 was heard and HELD in Committee for further                                                                              
consideration.                                                                                                                  
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
The meeting was adjourned at 9:47 AM.                                                                                           
                                                                                                                                
                                                                                                                                

Document Name Date/Time Subjects
sb237 Sponsor Statement.pdf SFIN 3/22/2010 9:00:00 AM
SB 237
sb237 Sectional Analysis.pdf SFIN 3/22/2010 9:00:00 AM
SB 237
sb237 Program Funding_Historical and Projected.pdf SFIN 3/22/2010 9:00:00 AM
SB 237
sb237 - DEED Capital Projects.PDF SFIN 3/22/2010 9:00:00 AM
SB 237
SB 237 Sponsor Statement.docx SFIN 3/22/2010 9:00:00 AM
SB 237
SB 237 Kasayulie Ruling.pdf SFIN 3/22/2010 9:00:00 AM
SB 237
SB 237 Proposed CS FIN Version S.pdf SFIN 3/22/2010 9:00:00 AM
SB 237
SB 237 Sectional SFIN.pdf SFIN 3/22/2010 9:00:00 AM
SB 237
SB 237 DEED Capital Projects.pdf SFIN 3/22/2010 9:00:00 AM
SB 237
SB 219 Proposed CS FIN Version S.pdf SFIN 3/22/2010 9:00:00 AM
SB 219
SB 219 Summary of Changes_S.pdf SFIN 3/22/2010 9:00:00 AM
SB 219
SB 144 Proposed CS FIN Version E.pdf SFIN 3/22/2010 9:00:00 AM
SB 144
SB 219 Amendment 1.pdf SFIN 3/22/2010 9:00:00 AM
SB 219