Legislature(1997 - 1998)
1997-02-12 House Journal
Full Journal pdf1997-02-12 House Journal Page 0315 HB 126 HOUSE BILL NO. 126 by the House Rules Committee by request of the Governor, entitled: An Act relating to the public school funding program; repealing the public school foundation program; relating to the definition of school district, to the transportation of students, to school district layoff plans, to the special education service agency, to the child care grant program, and to compulsory attendance in public schools; and providing for an effective date. was read the first time and referred to the Community & Regional Affairs, Health, Education & Social Services and Finance Committees. The following fiscal note applies: Fiscal note, Dept. of Education, 2/12/97 The Governor's transmittal letter, dated February 12, 1997, appears below: Dear Speaker Phillips: Providing Alaskas children with the top-notch quality education they deserve must be a priority of my administration and the legislature. I am therefore pleased to send you today this proposal to overhaul the Public School Foundation Program. This new approach to our school funding will help us fulfill our promise to the states children and our childrens future. The proposed foundation formula distributes the states wealth among our 53 school districts in a fairer and easier to understand method than our current system. It also, for the first time, requires our school districts to be accountable for providing a quality education for all our 1997-02-12 House Journal Page 0316 HB 126 children, regardless of whether they attend the smallest or the largest school in our state. The foundation formula offers incentive money to school districts to set and meet high standards for students, educators, individual schools and communities. Accountability is ensured in the accreditation process which is being developed by the State Board of Education. Schools that fail to meet standards will not be accredited. We cannot afford to send our children to schools that dont meet our standards. This foundation formula was developed over the past two years by the State Board of Education working in concert with many other Alaskans to find a better way to fund our schools. This funding proposal makes many significant changes that are long overdue. They include: Providing funds to school districts on a per pupil basis instead of the complicated instructional unit method now in use. Eliminating the need to unnecessarily label children as special needs students. Instead, districts will receive a block entitlement of 20 percent above their base funding for students currently labeled gifted and talented, vocational, bilingual, and most categories of special education. Districts will continue to get categorical funding only for students with the most serious, or intensive, disabilities. This proposal will significantly reduce the paperwork involved at the state and local levels in identifying, labeling and reporting such students. Ending Alaskas need to meet a federal disparity test and removing the threat of the federal government to effectively determine how state and local funds are distributed among Alaskas schools. Lifting the current local funding cap that prevents local governments from contributing above a certain level of funding for schools. Funding for pupil transportation which is currently a separate program requiring school districts to make detailed reports with significant oversight from the Department of Education. Only 1997-02-12 House Journal Page 0317 HB 126 school districts which provide transportation services for their students will be eligible for this funding. Under this foundation formula proposal, school districts will be eligible for three levels of funding: Level 1: Base funding for each school district according to the number of students in their classrooms. Most funds are distributed through Level 1. Level 2: Funding under a supplemental equalization formula that evens out the differences in wealth among communities based on their assessed valuation. All districts receive funding under this part of the formula, but less wealthy districts are paid more per student than wealthier districts. Level 3: Incentive grants equaling about $150 per student for districts that take steps to implement the Quality Schools Initiative. To qualify for these funds, school districts will have to adopt and implement high student academic standards and measure whether the standards are being met. This proposal also resolves two other long standing problems with the foundation program: adjusting for the cost differences between funding communities within school districts; and providing an adjustment for single site funding communities. In addition, I am proposing to protect school districts that stand to receive less funding under the proposed program through the year 2001 with a transitional funding provision. The changes I have described in this transmittal letter will end many of the criticisms Alaskans have for years leveled against our school funding program. This is just a beginning. This proposal will allow us to let go of the funding issues which divide us and put more of our energies on the urgent matter of improving the quality of education our children are getting in the classroom. 1997-02-12 House Journal Page 0318 HB 126 I applaud the State Board of Education and hundreds of other Alaskans from all walks of life--from parents, to leaders in business, government, education and other fields--for working so hard to develop this proposal. It is bold. It is imaginative. It is innovative. It is what we need to do. Sincerely /s/ Tony Knowles Governor