00                  SPONSOR SUBSTITUTE FOR SENATE BILL NO. 91                                                              
01 "An Act relating to the base student allocation used in the formula for state funding of                                
02 public education; and providing for an effective date."                                                                 
03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
04    * Section 1.  AS 14.17.470 is amended to read:                                                                     
05            Sec. 14.17.470.  Base student allocation.  The base student allocation is                                  
06       $4,600. However, the department shall annually increase the base student                                      
07       allocation to the extent of increases during the second preceding calendar year in                            
08       the Consumer Price Index for all urban consumers for the Anchorage                                            
09       Metropolitan Area compiled by the Bureau of Labor Statistics, United States                                   
10       Department of Labor.  The index for January 2002 is the reference base index                                  
11       [$4,169].                                                                                                         
12    * Sec. 2.  AS 14.17.470 is amended by adding a new subsection to read:                                             
13            (b)  After an increase, if any, to the base student allocation under (a) of this                             
14       section, the department shall annually increase the base student allocation by two                                
01       percent.  The increase under this subsection shall be used for either                                             
02                 (1)  class-size reduction; or                                                                           
03                 (2)  compliance with 20 U.S.C. 6301 - 7941 (No Child Left Behind Act                                    
04       of 2001).                                                                                                         
05    * Sec. 3.  AS 14.17.470(b) is repealed July 1, 2009.                                                               
06    * Sec. 4.  This Act takes effect July 1, 2004.