Legislature(2025 - 2026)

2025-04-11 Senate Journal

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2025-04-11                     Senate Journal                      Page 0783
HB 69                                                                                                                         
SENATE CS FOR CS FOR HOUSE BILL NO. 69(FIN) "An Act                                                                             
relating to the base student allocation; and providing for an effective                                                         
date" was read the third time.                                                                                                  
                                                                                                                                
Senator Kaufman moved the bill be returned to second reading for all                                                            
amendments offered today. Without objection, the bill was returned to                                                           
second reading.                                                                                                                 
                                                                                                                                
Amendment No. 1 was not offered.                                                                                                
                                                                                                                                
Amendment No. 2 was not offered.                                                                                                
                                                                                                                                
Senator Kaufman offered Amendment No. 3 :                                                                                        
                                                                                                                                
Page 1, line 1:                                                                                                                 
     Delete "the base student allocation"                                                                                     
     Insert "education; relating to open enrollment in public                                                                 
schools; relating to education reports; relating to the collection of                                                         
data on the progress of high school graduating classes in the state;                                                          
relating to a student academic performance improvement                                                                        
recognition program; relating to charter schools; relating to                                                                 
correspondence study programs; relating to the required local                                                                 
contribution of a city or borough school district; relating to the                                                            
base student allocation; relating to the provision of special                                                                 
education and related services; relating to reading proficiency                                                               

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incentive grants; relating to wireless telecommunications devices                                                             
in public schools; relating to the duties of the Alaska Workforce                                                             
Investment Board; establishing the Task Force on Education                                                                    
Funding"                                                                                                                      
                                                                                                                                
Page 1, lines 3 - 6:                                                                                                            
     Delete all material and insert:                                                                                            
"* Section 1. AS 14.03.080(a) is amended to read:                                                                             
          (a)  A child of school age is entitled to attend                                                                      
              (1)  public school without payment of tuition during the                                                      
     school term in the school district in which the child is a resident                                                        
         subject to the provisions of AS 14.14.110 and 14.14.120; and                                                      
              (2)  upon application to the school, any other                                                                
     noncorrespondence public school not located on a military                                                              
     installation that is selected by the child's parent, subject to                                                        
     provisions established by the school district under an                                                                 
     enrollment policy; the policy must                                                                                     
                   (A)  consider the military status of a parent or                                                         
          guardian of the child;                                                                                            
                   (B)  address school capacity; the local school                                                           
          board of the district shall determine the capacity of                                                             
          schools in the district;                                                                                          
                   (C)  prioritize the placement of siblings in the                                                         
          same school and the placement of a child in a school at                                                           
          which the child's parent or guardian is employed; and                                                             
                   (D)  establish a procedure for appealing a denial                                                        
          of an enrollment application.                                                                                     
   * Sec. 2. AS 14.03.080 is amended by adding new subsections to                                                             
read:                                                                                                                           
          (i)  Each school district shall, for each school in the district,                                                     
     publish on the school district's Internet website or on the school's                                                       
     Internet webpage information about the school's capacity,                                                                  
     enrollment, the number of applicants in the previous school year,                                                          
     the number of acceptances and denials in the previous school year,                                                         
     and the reasons for the denials.                                                                                           
          (j)  In this section, "military installation" means a base, camp,                                                     
     post, station, yard, center, homeport facility for a ship, armory, or                                                      
     other installation under the jurisdiction of the United States                                                             
     Department of Defense or the United States Coast Guard.                                                                    
   * Sec. 3. AS 14.03.120(d) is amended to read:                                                                              

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          (d)  Annually, before the date set by the district under (e) of                                                       
     this section, each public school shall deliver to the department for                                                       
     posting on the department's Internet website and provide, in a                                                             
     public meeting of parents, students, and community members, a                                                              
     report on the school's performance and the performance of the                                                              
     school's students. The report shall be prepared on a form                                                                  
     prescribed by the department and must include                                                                              
              (1)  information on accreditation;                                                                                
              (2)  results of norm-referenced achievement tests that                                                        
     measure student academic performance over time;                                                                        
              (3)  results of state standards-based assessments in                                                              
     language arts and mathematics;                                                                                             
              (4)  a description, including quantitative and qualitative                                                        
     measures, of student, parent, community, and business                                                                      
     involvement in student learning;                                                                                           
              (5)  a description of the school's attendance, retention,                                                         
        dropout, and graduation rates as specified by the state board;                                                         
              (6)  the annual percent of enrollment change, regardless                                                          
     of reason, and the annual percent of enrollment change due to                                                              
     student transfers into and out of the school district;                                                                     
              (7)  if Native language education is provided, a summary                                                          
     and evaluation of the curriculum described in AS 14.30.420;                                                                
              (8)  the performance designation assigned the school                                                              
     under AS 14.03.123 and the methodology used to assign the                                                                  
     performance designation, including the measures used and their                                                             
     relative weights;                                                                                                          
              (9)  other information concerning school performance and                                                          
     the performance of the school's students as required by the state                                                          
     board in regulation; and                                                                                                   
              (10)  information on the number, attendance, and                                                                  
     performance of students enrolled in the school whose parents or                                                            
     guardians are on active duty in the armed forces of the United                                                             
     States, the United States Coast Guard, the Alaska National Guard,                                                          
     the Alaska Naval Militia, or the Alaska State Defense Force.                                                               
   * Sec. 4. AS 14.03.120(g) is amended to read:                                                                              
          (g)  To the extent allowable under state and federal privacy                                                          
     laws, each district shall annually report to the department                                                                
     information from the previous school year regarding                                                                        
              (1)  the number of students and teaching staff assigned to                                                        
          each classroom in grades kindergarten through 12 [THREE];                                                        

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              (2)  the number and percentage of students                                                                        
                   (A)  in grades kindergarten through three who                                                                
          demonstrated improvement on expected grade-level skills on                                                            
          the statewide screening tool;                                                                                         
                   (B)  in grades kindergarten through three who                                                                
          performed below expected grade-level skills on the statewide                                                          
          screening tool, by grade;                                                                                             
                   (C)  in grades kindergarten through three who did not                                                        
          progress to the next grade and the reasons the students did not                                                       
          progress;                                                                                                             
                   (D)  in grade three who demonstrated sufficient                                                              
          reading skills to progress to grade four based on the statewide                                                       
          screening tool;                                                                                                       
                   (E)  in grade three who progressed to grade four                                                             
          based on a waiver under AS 14.30.765(f);                                                                              
                   (F)  in grade three who demonstrated sufficient                                                              
          reading skills to progress to grade four based on an alternative                                                      
          standardized reading screening;                                                                                       
                   (G)  in grade three who demonstrated sufficient                                                              
          reading skills to progress to grade four based on a student                                                           
          reading portfolio;                                                                                                    
              (3)  the performance on the statewide screening tool of                                                           
     students in a grade above grade three who did not progress to                                                              
     grade four or who progressed to grade four based on a waiver                                                               
     under AS 14.30.765(f).                                                                                                     
   * Sec. 5. AS 14.03.120 is amended by adding a new subsection to                                                            
read:                                                                                                                           
          (k)  The department shall collaborate with the Department of                                                          
     Labor and Workforce Development under AS 44.31.020 to gather                                                               
     data on the progress of each high school graduating class in a                                                             
     district by collecting career, postsecondary education, and                                                                
     residency data on each student in the graduating class. The                                                                
     departments shall gather the data every five years for 20 years                                                            
     after the high school graduation date of the class.                                                                        
   * Sec. 6. AS 14.03 is amended by adding a new section to read:                                                             
          Sec. 14.03.122. Student academic performance                                                                        
     improvement recognition program. The department shall                                                                    
     develop a program to provide recognition to school districts,                                                              
     schools, school staff, and students in a school whose efforts lead                                                         
     to improvement of student academic performance over time for                                                               

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     students in the school, as measured by norm-referenced                                                                     
     achievement tests that measure student academic performance                                                                
     over time. As part of the program, the department shall provide                                                            
     special recognition to a school at which 75 percent or more of the                                                         
     school's students show improvement in academic performance, as                                                             
     measured by norm-referenced achievement tests that measure                                                                 
     student academic performance over time. The department may,                                                                
     subject to appropriation, provide financial incentive payments to                                                          
     the school as part of the special recognition.                                                                             
   * Sec. 7. AS 14.03.250(a) is amended to read:                                                                              
          (a)  A local school board shall prescribe an application                                                              
     procedure for the establishment of a charter school in that school                                                         
     district. The application procedure must allow an application for                                                      
     the following school year to be filed at any time during the                                                           
     school year, and must include provisions for an academic policy                                                        
     committee consisting of parents of students attending the school,                                                          
     teachers, and school employees and a proposed form for a contract                                                          
     between a charter school and the local school board, setting out                                                           
     the contract elements required under AS 14.03.255(c).                                                                      
   * Sec. 8. AS 14.03.253(b) is amended to read:                                                                              
          (b)  In an appeal to the state Board of Education and Early                                                           
     Development of a denial of a charter school application under                                                              
     (a)(3) of this section, the state board shall determine, based on the                                                      
     record, whether the commissioner's findings are supported by                                                               
     substantial evidence and whether the decision is contrary to law.                                                          
     The state board shall issue a written decision within 45 [90] days                                                     
     after the state board receives an appeal.                                                                              
   * Sec. 9. AS 14.03.255(c) is amended to read:                                                                              
          (c)  A charter school shall operate under a contract between                                                          
     the charter school and the local school board. A contract must                                                             
     contain the following provisions:                                                                                          
                (1)  a description of the educational program;                                                                 
              (2)  specific levels of achievement for the education                                                             
     program;                                                                                                                   
              (3)  admission policies and procedures;                                                                           
              (4)  administrative policies;                                                                                     
              (5)  a statement of the charter school's funding allocation                                                       
     from the local school board and costs assignable to the charter                                                            
     school program budget;                                                                                                     
              (6)  the method by which the charter school will account                                                          

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     for receipts and expenditures;                                                                                             
              (7)  the location and description of the facility;                                                               
              (8)  the name of the teacher, or teachers, who, by                                                                
     agreement between the charter school and the teacher, will teach                                                           
     in the charter school;                                                                                                     
              (9)  the teacher-to-student ratio;                                                                                
              (10)  the number of students served;                                                                              
              (11)  the term of the contract, not to exceed a term of 10                                                        
     years;                                                                                                                     
              (12)  a termination clause providing that the contract may                                                        
     be terminated by the local school board for the failure of the                                                             
     charter school to meet educational achievement goals or fiscal                                                             
     management standards, or for other good cause;                                                                             
              (13)  a clause providing that the local school board                                                          
     may only terminate a contract under the standards and                                                                  
     procedures established in AS 14.03.256;                                                                                
              (14)  a statement that the charter school will comply with                                                    
     all state and federal requirements for receipt and use of public                                                           
     money;                                                                                                                     
              (15) [(14)]  other requirements or exemptions agreed on                                                   
     [UPON] by the charter school and the local school board.                                                                   
   * Sec. 10. AS 14.03.255 is amended by adding a new subsection to                                                           
read:                                                                                                                           
          (e)  A local school board may establish simplified procedures                                                         
     and standards for a renewal of a contract in good standing, as                                                             
     defined by the local school board, between the local school board                                                          
     and a charter school.                                                                                                      
   * Sec. 11. AS 14.03 is amended by adding a new section to read:                                                            
          Sec. 14.03.256. Charter school termination. (a) A local                                                             
     school board may terminate a contract between the local school                                                             
     board and a charter school only if the charter school has                                                                  
              (1)  failed to comply with a condition or material term of                                                        
     the contract or AS 14.03.250 - 14.03.290; or                                                                               
              (2)  intentionally or fraudulently misrepresented, in whole                                                       
     or in part, material facts or circumstances upon which the contract                                                        
     was made.                                                                                                                  
          (b)  Before termination of a contract under this section, the                                                         
     local school board shall give the charter school written notice of                                                         
     the local school board's intent to terminate the contract. The local                                                       
     school board shall also provide the charter school with a                                                                  

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     reasonable opportunity, as determined by the local school board,                                                           
     to cure any deficiency that is the basis for the termination if the                                                        
     local school board determines that curing the deficiency is                                                                
     appropriate under the circumstances.                                                                                       
          (c)  A local school board shall provide in writing the reasons                                                        
       for terminating or denying renewal of a charter school contract.                                                        
          (d)  A charter school whose contract is terminated under this                                                         
     section may file an appeal with the superior court under the                                                               
     Alaska Rules of Appellate Procedure.                                                                                       
          (e)  If a charter school whose contract is terminated under this                                                      
     section files an appeal with the superior court, the board may                                                             
     independently audit the finances of the charter school.                                                                    
   * Sec. 12. AS 14.03.300 is amended by adding new subsections to                                                            
read:                                                                                                                           
          (c)  Each district that provides a correspondence study                                                               
     program, and the department if the department provides a                                                                   
     correspondence study program, shall prepare an annual report that                                                          
     includes                                                                                                                   
              (1)  the number of students enrolled in the program;                                                              
              (2)  the demographic information of the students enrolled                                                         
     in the program;                                                                                                            
              (3)  a detailed record of each student allotment provided                                                         
     under AS 14.03.310 and of each expenditure made with the                                                                   
     allotment;                                                                                                                 
              (4)  a random sample of 25 percent of services and                                                                
     materials purchased under AS 14.03.310(b)(1);                                                                              
              (5)  assessment and proficiency scores of the students                                                            
     enrolled in the program; and                                                                                               
              (6)  a review of curricula that have been provided by the                                                         
     program or purchased using allotment funds.                                                                                
          (d)  A district shall submit a report required under (c) of this                                                      
     section to the department, and the department shall provide the                                                            
     report to the state Board of Education and Early Development. If                                                           
     the department provides a correspondence study program, the                                                                
     department shall also submit to the state board the department's                                                           
     report required under (c) of this section.                                                                                 
   * Sec. 13. AS 14.07.168 is amended to read:                                                                                
          Sec. 14.07.168. Report to the legislature. Not later than the                                                       
     30th legislative day of each regular session of the legislature, the                                                       
     board shall prepare and present in person to the legislative                                                               

2025-04-11                     Senate Journal                      Page 0790
     committees having jurisdiction over education an annual report                                                             
     that describes the efforts of the board to develop, maintain, and                                                          
     continuously improve a comprehensive quality public education                                                              
     system, as provided for under the bylaws of the board. The report                                                          
     must include                                                                                                               
              (1)  a summary of the resolves and rationales provided in                                                         
     support of policy decisions made under AS 14.03.015;                                                                       
              (2)  program and curriculum changes made, discussed, or                                                           
     recommended in meetings held under AS 14.07.125;                                                                           
              (3)  additional information relevant to efforts made to                                                           
     improve and maintain the public education system;                                                                          
              (4)  a summary of implementation and utilization of the                                                           
     consortium established under AS 14.30.800, including a review of                                                           
     consortium effectiveness and the participation rates of districts,                                                         
     teachers, and students;                                                                                                
              (5)  the information reported to the board under                                                              
     AS 14.03.300(d).                                                                                                       
   * Sec. 14. AS 14.07.168, as amended by sec. 23, ch. 40, SLA 2022,                                                          
is amended to read:                                                                                                             
          Sec. 14.07.168. Report to the legislature. Not later than the                                                       
     30th legislative day of each regular session of the legislature, the                                                       
     board shall prepare and present in person to the legislative                                                               
     committees having jurisdiction over education an annual report                                                             
     that describes the efforts of the board to develop, maintain, and                                                          
     continuously improve a comprehensive quality public education                                                              
     system, as provided for under the bylaws of the board. The report                                                          
     must include                                                                                                               
              (1)  a summary of the resolves and rationales provided in                                                         
     support of policy decisions made under AS 14.03.015;                                                                       
              (2)  program and curriculum changes made, discussed, or                                                           
     recommended in meetings held under AS 14.07.125;                                                                           
              (3)  additional information relevant to efforts made to                                                           
     improve and maintain the public education system;                                                                      
              (4)  the information reported to the board under                                                              
     AS 14.03.300(d).                                                                                                       
   * Sec. 15. AS 14.17.410(c) is amended to read:                                                                             
          (c)  In addition to the local contribution required under (b)(2)                                                      
     of this section, and except as provided in (g) of this section, a                                                      
     city or borough school district in a fiscal year may make a local                                                          
     contribution of not more than the greater of                                                                               

2025-04-11                     Senate Journal                      Page 0791
              (1)  the equivalent of a two mill tax levy on the full and                                                        
     true value of the taxable real and personal property in the district                                                       
     as of January 1 of the second preceding fiscal year, as determined                                                         
     by the Department of Commerce, Community, and Economic                                                                     
     Development under AS 14.17.510 and AS 29.45.110; or                                                                        
              (2)  23 percent of the total of the district's basic need for                                                     
     the fiscal year under (b)(1) of this section and any additional                                                            
     funding distributed to the district in a fiscal year according to (b)                                                      
     of this section.                                                                                                           
   * Sec. 16. AS 14.17.410 is amended by adding a new subsection to                                                           
read:                                                                                                                           
          (g)  A city or borough school district may exceed the                                                                 
     voluntary local contribution limit established in (c) of this section                                                      
     only if the contribution made in excess of the limit is not for                                                            
     current expenditures as defined in 20 U.S.C. 7713(4) or 34 C.F.R.                                                          
     222.161(c).                                                                                                                
   * Sec. 17. AS 14.17.430 is amended to read:                                                                                
          Sec. 14.17.430. State funding for correspondence study.                                                             
     Except as provided in AS 14.17.400(b), funding for the state                                                               
     centralized correspondence study program or a district                                                                     
     correspondence program, including a district that offers a                                                                 
     statewide correspondence study program, includes an allocation                                                             
     from the public education fund in an amount equal to the ADM                                                           
     of the correspondence program [CALCULATED BY                                                                           
     MULTIPLYING THE ADM OF THE CORRESPONDENCE                                                                                  
     PROGRAM BY 90 PERCENT].                                                                                                    
   * Sec. 18. AS 14.17.470 is amended to read:                                                                                
          Sec. 14.17.470. Base student allocation. The base student                                                           
     allocation is $6,657 [$5,960].                                                                                         
   * Sec. 19. AS 14.30.010(b) is amended to read:                                                                             
          (b)  This section does not apply if a child                                                                           
              (1)  is provided an academic education comparable to that                                                         
     offered by the public schools in the area [, EITHER] by                                                                    
                   (A)  attendance at a private school in which the                                                             
          teachers are certificated according to AS 14.20.020;                                                                  
                   (B)  tutoring by personnel certificated according to                                                         
          AS 14.20.020; or                                                                                                      
                   (C)  attendance at an educational program operated in                                                        
          compliance with AS 14.45.100 - 14.45.200 by a religious or                                                            
          other private school;                                                                                                 

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              (2)  attends a school operated by the federal government;                                                         
              (3)  has a physical or mental condition that a competent                                                          
        medical authority determines will make attendance impractical;                                                         
              (4)  is in the custody of a court or law enforcement                                                              
     authorities;                                                                                                               
              (5)  is temporarily ill or injured;                                                                               
              (6)  has been suspended or expelled under AS 14.03.160                                                            
     or suspended or denied admittance under AS 14.30.045;                                                                      
              (7)  resides more than two miles from either a public                                                             
     school or a route on which transportation is provided by the                                                               
     school authorities, except that this paragraph does not apply if the                                                       
     child resides within two miles of a federal or private school that                                                         
     the child is eligible and able to attend;                                                                                  
              (8)  is excused by action of the school board of the district                                                     
     at a regular meeting or by the district superintendent subject to                                                          
     approval by the school board of the district at the next regular                                                           
     meeting;                                                                                                                   
              (9)  has completed the 12th grade;                                                                                
              (10)  is enrolled in                                                                                              
                   (A)  a state boarding school established under                                                               
          AS 14.16; or                                                                                                          
                   (B)  a full-time program of correspondence study                                                             
          approved by the department; in those school districts                                                                 
          providing an approved correspondence study program, a                                                                 
          student may be enrolled either in the district correspondence                                                         
          program or in the centralized correspondence study program;                                                           
              (11)  is equally well-served by an educational experience                                                         
     approved by the school board as serving the child's educational                                                            
     interests despite an absence from school, and the request for                                                              
     excuse is made in writing by the child's parents or guardian and                                                           
     approved by the principal or administrator of the school that the                                                          
     child attends;                                                                                                             
              (12)  is being educated in the child's home by a parent or                                                        
     legal guardian;                                                                                                        
              (13)  is enrolled in a public school in a district in which                                                   
     the child does not reside as permitted under                                                                           
     AS 14.03.080(a)(2).                                                                                                    
   * Sec. 20. AS 14.30.186(a) is amended to read:                                                                             
          (a)  Special education and related services shall be provided                                                         
     by                                                                                                                         

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              (1)  a borough or city school district for a child with a                                                         
     disability residing within the district or attending a school in the                                                   
     district under AS 14.03.080(a)(2);                                                                                     
              (2)  the board of a regional educational attendance area                                                          
     operating a school in the area for a child with a disability residing                                                      
     in the area served by the school or attending a school in the area                                                     
     under AS 14.03.080(a)(2);                                                                                              
              (3)  the borough, city school district, or regional                                                               
     educational attendance area in which a treatment institution, as                                                           
     that term is defined in AS 47.14.990, juvenile detention facility or                                                       
     juvenile treatment facility, as those terms are defined in                                                                 
     AS 47.12.990, or a correctional facility is located for a child with                                                       
     a disability placed at the facility;                                                                                       
              (4)  a state boarding school established under AS 14.16                                                           
     for a child with a disability enrolled at a state boarding school; or                                                      
              (5)  a school district that provides a statewide                                                                  
     correspondence study program for a child with a disability who is                                                          
     enrolled in the program.                                                                                                   
   * Sec. 21. AS 14.30.186(e) is amended to read:                                                                             
          (e)  If the parent of a child with a disability elects to educate                                                     
     the child as allowed under AS 14.30.010(b)(1) - (12)                                                                   
     [AS 14.30.010(b)], the child may not be compelled to receive the                                                           
     special education and related services provided under                                                                      
     AS 14.30.180 - 14.30.350.                                                                                                  
   * Sec. 22. AS 14.30 is amended by adding a new section to read:                                                            
          Sec. 14.30.773. Reading proficiency incentive grants. (a)                                                           
     Subject to appropriation, a school district is eligible to receive a                                                       
     reading proficiency incentive grant of not less than $450 for each                                                         
     student in                                                                                                                 
              (1)  kindergarten through grade three who performs at                                                             
     grade level or demonstrates improvement on expected grade-level                                                            
     skills on the statewide screening tool adopted by the department                                                           
     under AS 14.30.760; and                                                                                                    
              (2)  grades four through six who performs at grade level                                                          
     or demonstrates a measure of increased proficiency on a                                                                    
     standards-based assessment in language arts.                                                                               
          (b)  The department shall adopt regulations to implement this                                                         
     section.                                                                                                                   
   * Sec. 23. AS 14.33 is amended by adding a new section to read:                                                            
      Article 5. Wireless Telecommunications Devices.                                                                         

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          Sec. 14.33.300. Wireless telecommunications device policy.                                                          
     (a) Each school district shall adopt a policy that regulates the                                                           
     possession and use of nonschool-issued wireless                                                                            
     telecommunications devices during regular school hours,                                                                    
     including lunch and passing periods. Each school district shall                                                            
     share this policy with parents or guardians, students, volunteers,                                                         
     and school employees. If a school district's policy prohibits the                                                          
     use of nonschool-issued wireless telecommunications devices, the                                                           
     policy must allow exceptions for students to use a wireless                                                                
     telecommunications device for medical or translation purposes, in                                                          
     the event of an emergency, or when a teacher or administrator of                                                           
     the school grants permission to a student to use a wireless                                                                
     telecommunications device for educational purposes.                                                                        
          (b)  This section does not authorize a person to monitor,                                                             
     collect, or access information related to a student's use of a                                                             
     wireless telecommunications device.                                                                                        
          (c)  In this section, "wireless telecommunications device"                                                            
     means any portable wireless device that has the capability to                                                              
     provide voice, messaging, or other data communication between                                                              
     two or more parties.                                                                                                       
   * Sec. 24. AS 23.15.820(a) is amended to read:                                                                             
          (a)  The Alaska Workforce Investment Board shall                                                                      
              (1)  administer the Alaska technical and vocational                                                               
     education program established in AS 23.15.820 - 23.15.850;                                                                 
              (2)  facilitate the development of a statewide policy for a                                                       
     coordinated and effective technical and vocational education                                                               
     training system in this state and, to the extent authorized by                                                             
     federal and state law, plan and coordinate federal, state, and local                                                       
     efforts in technical and vocational education programs;                                                                    
              (3)  adopt regulations under AS 44.62 (Administrative                                                             
     Procedure Act) to carry out the purposes of AS 23.15.820 -                                                                 
     23.15.850;                                                                                                                 
              (4)  facilitate the development and implementation of a                                                           
     statewide policy and procedure that provides for the acceptance of                                                         
     credit or hours toward a degree or technical program offered by a                                                          
     vocational or technical training center in the state for an applicant                                                      
     who provides satisfactory evidence of successful completion of                                                             
     relevant military education, training, or service as a member of the                                                       
     armed forces of the United States, the United States Reserves, the                                                         
     National Guard of any state, the Military Reserves of any state, or                                                        

2025-04-11                     Senate Journal                      Page 0795
     the Naval Militia of any state;                                                                                        
              (5)  partner with the Alaska Commission on                                                                    
     Postsecondary Education, the Department of Education and                                                               
     Early Development, and school districts in the state to                                                                
                   (A)  provide to each high school student an                                                              
          opportunity to take a career or college entrance                                                                  
          examination or assessment; and                                                                                    
                   (B)  establish a recognition program for high                                                            
          schools at which 90 percent or more of the school's                                                               
          students take at least one career or college entrance                                                             
          examination or assessment.                                                                                        
   * Sec. 25. AS 44.31.020 is amended to read:                                                                                
          Sec. 44.31.020. Duties of department. The Department of                                                             
     Labor and Workforce Development shall                                                                                      
              (1)  enforce the laws and adopt regulations under them                                                            
     concerning employer-employee relationships, including the safety,                                                          
     hours of work, wages, and conditions of workers, including                                                                 
     children;                                                                                                                  
              (2)  accumulate, analyze, and report labor statistics;                                                            
              (3)  operate systems of workers' compensation and                                                                 
     unemployment insurance;                                                                                                    
              (4)  gather data reflecting the cost of living in various                                                         
     locations of the state upon request of the director of personnel                                                           
     under AS 39.27.030;                                                                                                        
              (5)  operate the federally funded employment and training                                                         
     programs under 29 U.S.C. 2801 - 2945 (Workforce Investment                                                                 
     Act of 1998);                                                                                                              
              (6)  administer the state's program of adult basic                                                                
        education and adopt regulations to administer the program; and                                                         
              (7)  administer the programs of the Alaska Vocational                                                             
     Technical Center and adopt regulations to administer the                                                                   
     programs, including regulations that set rates for student tuition                                                         
     and room and board and fees for the programs and services                                                                  
     provided by the department regarding the Alaska Vocational                                                                 
     Technical Center;                                                                                                      
              (8)  gather data on the progress of each high school                                                          
     graduating class in a district by collecting career,                                                                   
     postsecondary education, and residency data on each student                                                            
     in the graduating class; the department shall gather the data                                                          
     required under this paragraph every five years for 20 years                                                            

2025-04-11                     Senate Journal                      Page 0796
     after the high school graduation date of each high school                                                              
     graduating class; the department shall publish a biennial                                                              
     report on the data gathered under this paragraph; in this                                                              
     paragraph, "district" has the meaning given in AS 14.17.990.                                                           
   * Sec. 26. AS 14.03.080(g)(2) and 14.03.300(b) are repealed.                                                               
   * Sec. 27. The uncodified law of the State of Alaska is amended by                                                         
adding a new section to read:                                                                                                   
     TASK FORCE ON EDUCATION FUNDING. (a) The Task                                                                              
Force on Education Funding is established as a joint task force of the                                                          
Alaska State Legislature.                                                                                                       
     (b)  The task force shall                                                                                                  
          (1)  analyze the state of public education funding and the                                                            
current accountability provisions for schools and districts in the state;                                                       
          (2)  evaluate internal and external factors leading to school                                                         
absenteeism and identify district and state level intervention and                                                              
incentive tools relating to school absenteeism;                                                                                 
          (3)  analyze and make recommendations on effective policies                                                           
relating to school major maintenance and school construction;                                                                   
          (4)  evaluate and recommend health insurance, group                                                                   
insurance, and ways to reduce property and building insurance for                                                               
public school facilities;                                                                                                       
          (5)  make recommendations relating to public education                                                                
funding and accountability provisions for schools and districts in the                                                          
state; and                                                                                                                      
          (6)  submit a report of findings and recommendations of the                                                           
task force to the senate secretary and the chief clerk of the house of                                                          
representatives not later than the first day of the First Regular Session                                                       
of the Thirty-Fifth Alaska State Legislature and notify the members of                                                          
the legislature that the report is available.                                                                                   
     (c)  The task force consists of six members as follows:                                                                    
          (1)  three members of the senate, at least one of whom is a                                                           
member of the minority, appointed by the president of the senate; the                                                           
president of the senate shall select one of the members to serve as co-                                                         
chair of the task force;                                                                                                        
          (2)  three members of the house of representatives, at least                                                          
one of whom is a member of the minority, appointed by the speaker of                                                            
the house of representatives; the speaker of the house of                                                                       
representatives shall select one of the members to serve as co-chair of                                                         
the task force.                                                                                                                 
     (d)  A vacancy on the task force shall be filled in the same manner                                                        

2025-04-11                     Senate Journal                      Page 0797
as the original selection or appointment.                                                                                       
     (e)  The task force shall meet at the call of the co-chairs. The task                                                      
force may meet between and during legislative sessions. A majority of                                                           
the members of the task force constitute a quorum. The task force may                                                           
conduct meetings in person, telephonically, or by electronic means, as                                                          
directed by the co-chairs.                                                                                                      
     (f)  The task force may request data and other information from                                                            
the Department of Education and Early Development.                                                                              
     (g)  The legislative staff of the members of the task force shall                                                          
serve as staff for the task force. The task force may hire staff and                                                            
contract for services necessary to carry out the duties of the task force                                                       
under the procedures adopted by the legislative council governing                                                               
procurement of services, subject to the approval of the legislative                                                             
council and the legislative council making funds available for that                                                             
purpose.                                                                                                                        
     (h)  The task force expires on January 31, 2027.                                                                           
   * Sec. 28. The uncodified law of the State of Alaska is amended by                                                         
adding a new section to read:                                                                                                   
     APPLICABILITY. Sections 8 - 11 of this Act apply to a contract                                                             
that becomes legally binding on or after the effective date of secs. 8 -                                                        
11 of this Act.                                                                                                                 
   * Sec. 29. Section 14 of this Act takes effect on the effective date of                                                    
sec. 23, ch. 40, SLA 2022.                                                                                                      
   * Sec. 30. Except as provided in sec. 29 of this Act, this Act takes                                                       
effect July 1, 2025."                                                                                                           
                                                                                                                                
Senator Kaufman moved for the adoption of Amendment No. 3.                                                                      
Senator Tobin objected.                                                                                                         
                                                                                                                                
Senator Wielechowski rose to a point of order citing Mason's Manual                                                             
Section 752.                                                                                                                    
                                                                                                                                
The question being: "Shall Amendment No. 3 be adopted?" The roll                                                                
was taken with the following result:                                                                                            
                                                                                                                                
SCS CSHB 69(FIN)                                                                                                                
Second Reading                                                                                                                  
Amendment No. 3?                                                                                                                
                                                                                                                                
YEAS:  6   NAYS:  14   EXCUSED:  0   ABSENT:  0                                                                               
                                                                                                                                

2025-04-11                     Senate Journal                      Page 0798
Yeas:  Cronk, Hughes, Kaufman, Myers, Shower, Yundt                                                                             
                                                                                                                                
Nays:  Bjorkman, Claman, Dunbar, Giessel, Gray-Jackson, Hoffman,                                                                
Kawasaki, Kiehl, Merrick, Olson, Stedman, Stevens, Tobin,                                                                       
Wielechowski                                                                                                                    
                                                                                                                                
and so, Amendment No. 3 failed.                                                                                                 
                                                                                                                                
Senator Hughes offered Amendment No. 4 :                                                                                         
                                                                                                                                
Page 1, line 1, following "Act":                                                                                              
     Insert "relating to group insurance coverage and self-insurance                                                          
coverage for school district employees and employees of the                                                                   
University of Alaska;"                                                                                                        
                                                                                                                                
Page 1, following line 2:                                                                                                       
     Insert new bill sections to read:                                                                                          
"* Section 1. AS 14.08.101 is amended to read:                                                                                
             Sec. 14.08.101. Powers. A regional school board may                                                             
              (1)  sue and be sued;                                                                                             
              (2)  contract with the department, the Bureau of Indian                                                           
     Affairs, or any other school district, agency, or regional board for                                                       
     the provision of services, facilities, supplies, or utilities;                                                             
              (3)  determine its own fiscal procedures, including                                                               
     policies and procedures for the purchase of supplies and                                                                   
     equipment; the regional school boards are exempt from AS 37.05                                                             
     (Fiscal Procedures Act) and AS 36.30 (State Procurement Code);                                                             
              (4)  appoint, compensate, and otherwise control all school                                                        
     employees in accordance with this title; these employees are not                                                           
     subject to AS 39.25 (State Personnel Act);                                                                                 
              (5)  adopt regulations governing organization, policies,                                                          
     and procedures for the operation of the schools;                                                                           
              (6)  establish, maintain, operate, discontinue, and                                                               
         combine schools subject to the approval of the commissioner;                                                          
              (7)  recommend to the department projects for                                                                     
     construction, rehabilitation, and improvement of schools and                                                               
     education-related facilities as specified in AS 14.11.011(b), and                                                          
     plan, design, and construct the project when the responsibility for                                                        
     it is assumed under AS 14.11.020;                                                                                          
              (8)  by resolution adopted by a majority of all the                                                               
     members of the board and provided to the commissioner of the                                                               

2025-04-11                     Senate Journal                      Page 0799
     department, assume ownership of all land and buildings used in                                                             
     relation to the schools in the regional educational attendance area,                                                       
     as provided for in AS 14.08.151(b);                                                                                        
              (9)  provide housing for rental to teachers, by leasing                                                           
     existing housing from a local agency or individual, by entering                                                            
     into contractual arrangements with a local agency or individual to                                                         
     lease housing that will be constructed by the local agency or                                                              
     individual for that purpose, or, without using for the purpose that                                                        
     portion of public school funding that consists of state aid provided                                                       
     under AS 14.17, by constructing or otherwise acquiring housing                                                             
     that is owned and managed by the regional educational attendance                                                           
     area for rental to teachers;                                                                                               
              (10)  employ a chief school administrator;                                                                        
              (11)  apply for and use the proceeds of a loan from the                                                           
         Alaska energy efficiency revolving loan fund (AS 18.56.855);                                                          
              (12)  establish and maintain participation in a policy                                                        
     of insurance as authorized by AS 14.27.010;                                                                            
              (13)  exercise those other functions that may be necessary                                                    
     for the proper performance of its responsibilities.                                                                        
   * Sec. 2. AS 14.14.090 is amended to read:                                                                                 
          Sec. 14.14.090. Duties of school boards. In addition to other                                                       
     duties, a school board shall                                                                                               
              (1)  determine and disburse the total amount to be made                                                           
     available for compensation of all school employees and                                                                     
     administrative officers, including, when applicable, the amount                                                        
     necessary to pay for the district's participation in a policy of                                                       
     insurance under AS 14.27.010;                                                                                          
              (2)  provide for, during the school term of each year, an                                                         
     educational program for each school age child who is enrolled in                                                           
     or a resident of the district;                                                                                             
              (3)  withhold the salary for the last month of service of a                                                       
     teacher or administrator until the teacher or administrator has                                                            
     submitted all summaries, statistics, and reports that the school                                                           
     board may require by bylaws;                                                                                               
              (4)  transmit, when required by the assembly or council                                                           
     but not more often than once a month, a summary report and                                                                 
     statement of money expended;                                                                                               
              (5)  keep the minutes of meetings and a record of all                                                             
     proceedings of the school board in a pertinent form;                                                                       
              (6)  keep the records and files of the school board open to                                                       

2025-04-11                     Senate Journal                      Page 0800
     inspection by the public at the principal administrative office of                                                         
     the district during reasonable business hours;                                                                             
              (7)  establish procedures for the review and selection of                                                         
     all textbooks and instructional materials at least once every 10                                                           
     years, including textbooks and curriculum materials for statewide                                                          
     correspondence programs, before they are introduced into the                                                               
     school curriculum; the review includes a review for violations of                                                          
     AS 14.18.060; nothing in this paragraph precludes a                                                                        
     correspondence study student, or the parent or guardian of a                                                               
     correspondence study student, from privately obtaining or using                                                            
     textbooks or curriculum material not provided by the school                                                                
     district;                                                                                                                  
              (8)  provide prospective employees with information                                                               
     relating to the availability and cost of housing in rural areas to                                                         
     which they might be assigned [,] and, when possible, assist them                                                           
     in locating housing; however, nothing in this paragraph requires a                                                         
     school district to provide teacher housing, whether district owned,                                                        
     leased, rented, or through other means, nor does it require a school                                                       
     board to engage in a subsidy program of any kind regarding                                                                 
     teacher housing;                                                                                                           
              (9)  train persons required to report under AS 47.17.020                                                          
     [,] in the recognition and reporting of child abuse, neglect, and                                                          
     sexual abuse of a minor;                                                                                                   
              (10)  provide for the development and implementation of                                                           
     a preventive maintenance program for school facilities; in this                                                            
     paragraph, "preventive maintenance" means scheduled                                                                        
     maintenance actions that prevent the premature failure or extend                                                           
     the useful life of a facility, or a facility's systems and components,                                                     
     and that are cost-effective on a life-cycle basis;                                                                         
              (11)  establish procedures for providing the training under                                                       
     AS 14.18.060, AS 14.20.149, 14.20.680, AS 14.30.355,                                                                       
     14.30.356, 14.30.362, AS 14.33.100, AS 18.66.310, and                                                                      
     AS 47.17.022; the procedures established under this paragraph                                                              
     must include a training schedule that ensures that not less than 50                                                        
     percent of the total certificated staff employed by the district                                                           
     receive all of the training not less than every two years and that all                                                     
     of the certificated staff employed by the district receive all of the                                                      
     training not less than every four years.                                                                                   
   * Sec. 3. AS 14.17.300 is amended by adding new subsections to                                                             
read:                                                                                                                           

2025-04-11                     Senate Journal                      Page 0801
          (c)  Notwithstanding (a) and (b) of this section, the                                                                 
     commissioner of administration                                                                                             
              (1)  may expend from the public education fund to the                                                             
     group health and life benefits fund under AS 39.30.095 amounts                                                             
     necessary for the commissioner of administration to pay claims                                                             
     submitted by district employees who are covered by a policy of                                                             
     self-insurance that is provided by the Department of                                                                       
     Administration under AS 39.30.091;                                                                                         
              (2)  shall, over a period of 10 years from the date the first                                                     
     expenditure authorized under this subsection occurs, reimburse the                                                         
     public education fund for money expended under this section from                                                           
       the public education fund using appropriations for that purpose.                                                        
          (d)  Total expenditures from the public education fund under                                                          
     (c) of this section may not exceed $100,000,000."                                                                          
                                                                                                                                
Page 1, line 3:                                                                                                                 
     Delete "Section 1"                                                                                                       
     Insert "Sec. 4"                                                                                                          
                                                                                                                                
Renumber the following bill section accordingly.                                                                                
                                                                                                                                
Page 1, line 6:                                                                                                                 
     Delete all material and insert:                                                                                            
"* Sec. 5. AS 14 is amended by adding a new chapter to read:                                                                  
Chapter 27. University and School District Employee Health                                                                    
                             Insurance.                                                                                       
          Sec. 14.27.010. University and school district employee                                                             
     group health insurance. (a) A school employer may elect to                                                               
     participate in a policy of insurance selected by the commissioner                                                          
     of administration that includes health insurance coverage of                                                               
     school employees. If a school employer makes that election, the                                                            
     commissioner of administration shall select either a policy of                                                             
     group insurance under AS 39.30.090 that covers state employees                                                             
     and school employees or a policy of self-insurance provided by                                                             
     the Department of Administration under AS 39.30.091 that                                                                   
     provides insurance coverage to state employees and school                                                                  
     employees.                                                                                                                 
          (b)  Subject to (e) of this section, a participating school                                                           
     employer shall contribute to the group health and life benefits                                                            
     fund established under AS 39.30.095 an amount equal to the                                                                 

2025-04-11                     Senate Journal                      Page 0802
     combined employer and employee contribution rates set by the                                                               
     commissioner of administration under AS 39.30.095(b).                                                                      
          (c)  In addition to the contribution required under (b) of this                                                       
     section and the reimbursement required under (d) of this section, a                                                        
     participating school employer shall reimburse the Department of                                                            
     Administration an amount equal to the state's cost, if any, of                                                             
     procuring necessary excess loss insurance in connection with                                                               
     coverage of the school employees under AS 39.30.091.                                                                       
          (d)  In addition to the contribution required under (b) of this                                                       
     section and the reimbursement required under (c) of this section, a                                                        
     participating school employer shall reimburse the Department of                                                            
     Administration the cost of paying insurance claims for the first                                                           
     four months school employees are covered by a policy of self-                                                              
     insurance under AS 39.30.091. The commissioner of                                                                          
     administration shall allow the reimbursement to be made in equal                                                           
     installments over a period not to exceed 10 years from the date the                                                        
     school employer's participation in the policy begins.                                                                      
          (e)  Subject to AS 23.40.070 - 23.40.260 (Public Employment                                                           
     Relations Act), a participating school employer may require                                                                
     school employees to pay some or all of the school employer's                                                               
     contribution under (b) of this section and reimbursement under (c)                                                         
     and (d) of this section.                                                                                                   
          (f)  In this section,                                                                                                 
              (1)  "school employee" means a person employed by a                                                               
     municipal school district, a regional educational attendance area,                                                         
     or the University of Alaska;                                                                                               
              (2)  "school employer" means a municipal school district,                                                         
     a regional educational attendance area, or the University of                                                               
     Alaska.                                                                                                                    
   * Sec. 6. AS 14.40.170(b) is amended to read:                                                                              
          (b)  The Board of Regents may                                                                                         
              (1)  adopt reasonable rules, orders, and plans with                                                               
     reasonable penalties for the good government of the university and                                                         
     for the regulation of the Board of Regents;                                                                                
              (2)  determine and regulate the course of instruction in the                                                      
     university with the advice of the president;                                                                               
              (3)  set student tuition and fees;                                                                                
              (4)  receive university receipts and, subject to legislative                                                      
     appropriation, expend university receipts in accordance with                                                               
     AS 37.07 (Executive Budget Act);                                                                                           

2025-04-11                     Senate Journal                      Page 0803
              (5)  apply for and use the proceeds of a loan from the                                                            
         Alaska energy efficiency revolving loan fund (AS 18.56.855);                                                      
              (6)  establish and maintain participation in an                                                               
     insurance policy that includes health insurance, as authorized                                                         
     under AS 14.27.010, to cover persons employed by the                                                                   
     university.                                                                                                            
   * Sec. 7. AS 39.30.090(a) is amended to read:                                                                              
          (a)  The Department of Administration may obtain a policy or                                                          
     policies of group insurance covering state employees, school                                                           
     employees, persons entitled to coverage under AS 14.25.168,                                                            
     14.25.480, AS 22.25.090, AS 39.35.535, 39.35.880, or former                                                                
     AS 39.37.145, employees of other participating governmental                                                                
     units, or persons entitled to coverage under AS 23.15.136, subject                                                         
     to the following conditions:                                                                                               
              (1)  a group insurance policy shall provide one or more of                                                        
     the following benefits: life insurance, accidental death and                                                               
     dismemberment insurance, weekly indemnity insurance, hospital                                                              
     expense insurance, surgical expense insurance, dental expense                                                              
     insurance, audiovisual insurance, or other medical care insurance;                                                         
              (2)  each eligible state employee or school employee                                                      
     [OF THE STATE], the spouse and the unmarried children chiefly                                                              
     dependent on the eligible employee for support, and each eligible                                                          
     employee of another participating governmental unit shall be                                                               
     covered by the group policy, unless exempt under regulations                                                               
     adopted by the commissioner of administration;                                                                             
              (3)  a governmental unit may participate under a group                                                            
     policy if                                                                                                                  
                   (A)  its governing body adopts a resolution                                                                  
          authorizing participation and payment of required premiums;                                                           
                   (B)  a certified copy of the resolution is filed with the                                                    
          Department of Administration; and                                                                                     
                   (C)  the commissioner of administration approves the                                                         
          participation in writing;                                                                                             
              (4)  in procuring a policy of group health or group life                                                          
     insurance as provided under this section or excess loss insurance                                                          
     as provided in AS 39.30.091, the Department of Administration                                                              
     shall comply with the dual choice requirements of AS 21.86.310                                                             
     [,] and shall obtain the insurance policy from an insurer authorized                                                       
     to transact business in the state under AS 21.09, a hospital or                                                            
     medical service corporation authorized to transact business in this                                                        

2025-04-11                     Senate Journal                      Page 0804
     state under AS 21.87, or a health maintenance organization                                                                 
     authorized to operate in this state under AS 21.86; an excess loss                                                         
     insurance policy may be obtained from a life or health insurer                                                             
     authorized to transact business in this state under AS 21.09 or                                                            
     from a hospital or medical service corporation authorized to                                                               
     transact business in this state under AS 21.87;                                                                            
              (5)  the Department of Administration shall make                                                                  
     available bid specifications for desired insurance benefits or for                                                         
     administration of benefit claims and payments to (A) all insurance                                                         
     carriers authorized to transact business in this state under                                                               
     AS 21.09 and all hospital or medical service corporations                                                                  
     authorized to transact business under AS 21.87 who are qualified                                                           
     to provide the desired benefits; and (B) insurance carriers                                                                
     authorized to transact business in this state under AS 21.09,                                                              
     hospital or medical service corporations authorized to transact                                                            
     business under AS 21.87, and third-party administrators licensed                                                           
     to transact business in this state and qualified to provide                                                                
     administrative services; the specifications shall be made available                                                        
     at least once every five years; the lowest responsible bid submitted                                                       
     by an insurance carrier, hospital or medical service corporation, or                                                       
     third-party administrator with adequate servicing facilities shall                                                         
     govern selection of a carrier, hospital or medical service                                                                 
     corporation, or third-party administrator under this section or the                                                        
     selection of an insurance carrier or a hospital or medical service                                                         
     corporation to provide excess loss insurance as provided in                                                                
     AS 39.30.091;                                                                                                              
              (6)  if the aggregate of dividends payable under the group                                                        
     insurance policy exceeds the governmental unit's share of the                                                              
     premium, the excess shall be applied by the governmental unit for                                                          
     the sole benefit of the employees;                                                                                         
              (7)  a person receiving benefits under AS 14.25.110,                                                              
     AS 22.25, AS 39.35, or former AS 39.37 may continue the life                                                               
     insurance coverage that was in effect under this section at the time                                                       
     of termination of employment with the state or participating                                                               
     governmental unit;                                                                                                         
              (8)  a person electing to have insurance under (7) of this                                                        
     subsection shall pay the cost of this insurance;                                                                           
              (9)  for each permanent part-time employee electing                                                               
     coverage under this section, the state shall contribute one-half the                                                       
     state contribution rate for permanent full-time state employees,                                                           

2025-04-11                     Senate Journal                      Page 0805
     and the permanent part-time employee shall contribute the other                                                            
     one-half;                                                                                                                  
              (10)  a person receiving benefits under AS 14.25,                                                                 
     AS 22.25, AS 39.35, or former AS 39.37 may obtain auditory,                                                                
     visual, and dental insurance for that person and eligible                                                                  
     dependents under this section; the level of coverage for persons                                                           
     over 65 shall be the same as that available before reaching age 65                                                         
     except that the benefits payable shall be supplemental to any                                                              
     benefits provided under the federal old age, survivors, and                                                                
     disability insurance program; a person electing to have insurance                                                          
     under this paragraph shall pay the cost of the insurance; the                                                              
     commissioner of administration shall adopt regulations                                                                     
     implementing this paragraph;                                                                                               
              (11)  a person receiving benefits under AS 14.25,                                                                 
     AS 22.25, AS 39.35, or former AS 39.37 may obtain long-term                                                                
     care insurance for that person and eligible dependents under this                                                          
     section; a person who elects insurance under this paragraph shall                                                          
     pay the cost of the insurance premium; the commissioner of                                                                 
     administration shall adopt regulations to implement this                                                                   
     paragraph;                                                                                                                 
              (12)  each licensee holding a current operating agreement                                                         
     for a vending facility under AS 23.15.010 - 23.15.210 shall be                                                             
     covered by the group policy that applies to governmental units                                                             
     other than the state.                                                                                                      
   * Sec. 8. AS 39.30.090(b)(2) is amended to read:                                                                           
              (2)  "governmental unit" means the state, a municipality,                                                         
     a school district, the University of Alaska, or other political                                                    
     subdivision of the state, and the North Pacific Fishery                                                                    
     Management Council;                                                                                                        
   * Sec. 9. AS 39.30.090(b) is amended by adding new paragraphs to                                                           
read:                                                                                                                           
              (4)  "school district" means a municipal school district or                                                       
     regional educational attendance area;                                                                                      
              (5)  "school employee" has the meaning given under                                                                
     AS 14.27.010(f).                                                                                                           
   * Sec. 10. AS 39.30.091 is amended to read:                                                                                
          Sec. 39.30.091. Authorization for self-insurance and excess                                                         
     loss insurance. Notwithstanding AS 21.86.310 or AS 39.30.090,                                                            
     the Department of Administration may provide, by means of self-                                                            
     insurance, one or more of the benefits listed in AS 39.30.090(a)(1)                                                        

2025-04-11                     Senate Journal                      Page 0806
     for state employees or school employees eligible for the benefits                                                      
     by law or under a collective bargaining agreement and for persons                                                          
     receiving benefits under AS 14.25, AS 22.25, AS 39.35, or former                                                           
     AS 39.37 [,] and their dependents. The department shall procure                                                            
     any necessary excess loss insurance under AS 39.30.090.                                                                    
   * Sec. 11. AS 39.30.091 is amended by adding new subsections to                                                            
read:                                                                                                                           
          (b)  If the Department of Administration is required by (a) of                                                        
     this section to procure excess loss insurance in connection with                                                           
     coverage of school employees, the department may allocate the                                                              
     cost of that insurance across all school employers that participate                                                        
       in self-insurance provided by the department under this section.                                                        
          (c)  In this section, "school employee" and "school employer"                                                         
     have the meanings given in AS 14.27.010(f).                                                                                
   * Sec. 12. The uncodified law of the State of Alaska is amended by                                                         
adding a new section to read:                                                                                                   
     APPLICABILITY. Sections 1 - 3 and 5 - 11 of this Act apply to a                                                            
contract or collective bargaining agreement that becomes legally                                                                
binding on or after the effective date of secs. 1 - 3 and 5 - 11 of this                                                        
Act.                                                                                                                            
   * Sec. 13. The uncodified law of the State of Alaska is amended by                                                         
adding a new section to read:                                                                                                   
     TRANSITION. Not later than 30 days after enrolling in a health                                                             
care plan administered by the state under AS 39.30.090 or 39.30.091, a                                                          
school employer that, before the effective date of this section,                                                                
maintains a self-funded insurance reserve for the purpose of paying                                                             
employee health insurance claims shall transfer the closing balance of                                                          
that reserve to the group health and life benefits fund under                                                                   
AS 39.30.095. An amount transferred under this section by a school                                                              
employer shall be applied to offset reimbursement owed by that school                                                           
employer under AS 14.27.010(d), enacted by sec. 5 of this Act. In this                                                          
section, "school employer" has the meaning given in AS 14.27.010(f).                                                            
   * Sec. 14. The uncodified law of the State of Alaska is amended by                                                         
adding a new section to read:                                                                                                   
     REGULATIONS. The commissioner of administration shall adopt                                                                
regulations necessary to implement the changes made by this Act. The                                                            
regulations may not take effect before the effective date of the law                                                            
implemented by the regulation.                                                                                                  
   * Sec. 15. Sections 13 and 14 of this Act take effect immediately                                                          
under AS 01.10.070(c).                                                                                                          

2025-04-11                     Senate Journal                      Page 0807
   * Sec. 16. Section 4 of this Act takes effect July 1, 2025.                                                                
   * Sec. 17. Except as provided in secs. 15 and 16 of this Act, this Act                                                     
takes effect July 1, 2026."                                                                                                     
                                                                                                                                
Senator Hughes moved for the adoption of Amendment No. 4. Senator                                                               
Tobin objected.                                                                                                                 
                                                                                                                                
The question being: "Shall Amendment No. 4 be adopted?" The roll                                                                
was taken with the following result:                                                                                            
                                                                                                                                
SCS CSHB 69(FIN)                                                                                                                
Second Reading                                                                                                                  
Amendment No. 4?                                                                                                                
                                                                                                                                
YEAS:  6   NAYS:  14   EXCUSED:  0   ABSENT:  0                                                                               
                                                                                                                                
Yeas:  Cronk, Hughes, Kaufman, Myers, Shower, Yundt                                                                             
                                                                                                                                
Nays:  Bjorkman, Claman, Dunbar, Giessel, Gray-Jackson, Hoffman,                                                                
Kawasaki, Kiehl, Merrick, Olson, Stedman, Stevens, Tobin,                                                                       
Wielechowski                                                                                                                    
                                                                                                                                
and so, Amendment No. 4 failed.                                                                                                 
                                                                                                                                
Senator Hughes offered Amendment No. 5 :                                                                                         
                                                                                                                                
Page 1, line 1:                                                                                                                 
     Delete "relating to the base student allocation;"                                                                        
     Insert "relating to education; relating to open enrollment in                                                            
public schools; relating to performance incentive awards for                                                                  
teachers and parents of students; relating to teacher spending                                                                
accounts; relating to charter schools; relating to transportation of                                                          
students; relating to school bond debt reimbursement; relating to                                                             
state boarding schools; relating to correspondence study                                                                      
programs; relating to the base student allocation; relating to                                                                
teacher retention and recruitment incentives; relating to mobile                                                              
communication devices in schools; establishing an education                                                                   
scholarship account program for certain students;"                                                                            
                                                                                                                                
Page 1, following line 2:                                                                                                       
     Insert new bill sections to read:                                                                                          
"* Section 1. The uncodified law of the State of Alaska is amended                                                            

2025-04-11                     Senate Journal                      Page 0808
by adding a new section to read:                                                                                                
     SHORT TITLE. This Act may be known as the Student and                                                                      
Teacher Excel Package.                                                                                                          
   * Sec. 2. The uncodified law of the State of Alaska is amended by                                                          
adding a new section to read:                                                                                                   
     LEGISLATIVE INTENT. It is the intent of the legislature that                                                               
money provided under sec. 21 of this Act may not be directed to                                                                 
building the assets of a private educational institution but may be                                                             
directed to a private educational institution to benefit the child through                                                      
education as described in pages 1509 - 1532 of the proceedings of the                                                           
Alaska Constitutional Convention relating to art. VII, sec. 1,                                                                  
Constitution of the State of Alaska.                                                                                            
   * Sec. 3. AS 14.03.080(a) is amended to read:                                                                              
          (a)  Subject to AS 14.14.110 and 14.14.120, a [A] child of                                                        
     school age is entitled to attend public school without payment of                                                          
     tuition during the school term                                                                                             
              (1)  in the school district in which the child is a resident;                                             
     and                                                                                                                    
              (2)  in or outside the school district in which the child                                                     
     is a resident as provided in (i) of this section [SUBJECT TO                                                           
     THE PROVISIONS OF AS 14.14.110 AND 14.14.120].                                                                             
   * Sec. 4. AS 14.03.080 is amended by adding new subsections to                                                             
read:                                                                                                                           
          (i)  Each school district shall, upon application by a parent of                                                      
     a child of school age and subject to AS 14.14.110, 14.14.120, and                                                          
     the enrollment capacity limitations of a selected school, allow the                                                        
     child to attend the school in the district selected by the parent                                                          
     instead of the school that is assigned to the child based on the                                                           
     child's residence within another school's or school district's                                                             
     boundary area. The district shall approve enrollment applications                                                          
     throughout the school year and in the order the district receives the                                                      
     applications, except that the district shall prioritize the enrollment                                                     
     of siblings in the same school. Each district shall annually report                                                        
     to the department and publish on the district's publicly available                                                         
     Internet website student enrollment data for each school in the                                                            
     district, including enrollment capacity and vacancies for each                                                             
     grade in the school, the number of enrollment applications the                                                             
     district received, the number of those applications the district                                                           
     approved, the number of those applications the district denied, and                                                        
     an explanation of the reason for each denial.                                                                              

2025-04-11                     Senate Journal                      Page 0809
          (j)  The department shall                                                                                             
              (1)  compensate a school district at the end of a school                                                          
     year to account for a year-end ADM that is greater than the                                                                
     district's student count data provided under AS 14.17.600;                                                                 
              (2)  establish by regulation a student transportation plan                                                        
     for children whose enrollment applications are approved under (i)                                                          
     of this section; and                                                                                                       
              (3)  establish by regulation a process for appealing a                                                            
     school district's denial of an enrollment application.                                                                     
          (k) Nothing in (i) of this section applies to a correspondence                                                        
     study program provided under AS 14.03.300.                                                                                 
   * Sec. 5. AS 14.03 is amended by adding a new section to read:                                                             
          Sec. 14.03.124. Performance incentive awards. (a) Each                                                              
     school district shall provide a performance incentive award to the                                                         
     teachers and parents of a student in the school district who shows                                                         
     improvement in learning outcomes. The award must be based on a                                                             
     four-level performance improvement scale. The total of the                                                                 
     awards provided to a teacher may not exceed $10,000. The                                                                   
     amount of the award is                                                                                                     
              (1)  $1,000 in the aggregate for teachers of a student, and                                                       
     $100 in the aggregate for parents of a student, who shows                                                                  
     improvement from level one to level two;                                                                                   
              (2)  $750 in the aggregate for teachers of a student, and                                                         
     $100 in the aggregate for parents of a student, who shows                                                                  
     improvement from level two to level three;                                                                                 
              (3)  $500 in the aggregate for teachers of a student, and                                                         
     $100 in the aggregate for parents of a student, who shows                                                                  
     improvement from level three to level four.                                                                                
          (b)  The department shall establish by regulation                                                                     
              (1)  the criteria for awarding a performance incentive                                                            
     award at each level of improvement; and                                                                                    
              (2)  the manner in which a school district must distribute                                                        
     an award if a student has more than one teacher or more than one                                                           
     parent.                                                                                                                    
          (c)  In this section,                                                                                                 
              (1)  "parent" means an individual who is the natural or                                                           
     adoptive parent of a student or a student's legal guardian;                                                                
              (2)  "school district" has the meaning given in                                                                   
     AS 14.30.350.                                                                                                              
   * Sec. 6. AS 14.03 is amended by adding a new section to read:                                                             

2025-04-11                     Senate Journal                      Page 0810
          Sec. 14.03.128. Teacher spending accounts. (a) Each school                                                          
     district shall establish a teacher spending account for each                                                               
     certificated teacher in the school district. On July 1 of each year,                                                       
     the department shall provide to each school district a grant of                                                            
     $5,000 for each teacher spending account in the school district. A                                                         
     school district may expend money from a teacher spending                                                                   
     account only for the teacher for whom the account was established                                                          
     and only to support student learning.                                                                                      
          (b)  A school district that receives a grant under this section                                                       
     may not spend on educational supplies and material in a fiscal                                                             
     year an amount that, excluding the amount received under (a) of                                                            
     this section, is less than the amount the school district spent on                                                         
     educational supplies and material in the previous fiscal year.                                                             
          (c)  A school district may carry forward for five fiscal years                                                        
     not more than 20 percent of the unexpended and unobligated                                                                 
     portion of the teacher spending account for each fiscal year.                                                              
     Money carried forward under this subsection is reserved and                                                                
     excluded from the unreserved portion of a district's year-end fund                                                         
     balance in the school operating fund under AS 14.17.505.                                                                   
          (d)  In this section, "school district" has the meaning given in                                                      
     AS 14.30.350.                                                                                                              
   * Sec. 7. AS 14.03.250(d) is amended to read:                                                                              
          (d)  If a local school board or a delegated agency denies an                                                      
     application for a charter school, the applicant may appeal the                                                             
     denial to the commissioner. The appeal to the commissioner shall                                                           
     be filed not later than 60 days after the local school board or the                                                    
     delegated agency issues its written decision of denial. The                                                            
     commissioner shall review the local school board's or the                                                              
     delegated agency's decision to determine whether the findings of                                                       
     fact are supported by substantial evidence and whether the                                                                 
     decision is contrary to law. A decision of the commissioner                                                                
     upholding the denial by the local school board or the delegated                                                        
     agency may be appealed within 30 days to the state Board of                                                            
     Education and Early Development.                                                                                           
   * Sec. 8. AS 14.03.253(a) is amended to read:                                                                              
          (a)  In an appeal to the commissioner under AS 14.03.250, the                                                         
     commissioner shall review the record before the local school                                                               
     board or the delegated agency. The commissioner may request                                                            
     written supplementation of the record from the applicant, [OR] the                                                     
     local school board, or the delegated agency. The commissioner                                                      

2025-04-11                     Senate Journal                      Page 0811
     may                                                                                                                        
              (1)  remand the appeal to the local school board or the                                                       
     delegated agency for further review;                                                                                   
              (2)  approve the charter school application and forward                                                           
     the application to the state Board of Education and Early                                                                  
     Development with or without added conditions; or                                                                           
              (3)  uphold the decision denying the charter school                                                               
     application; if the commissioner upholds a local school board's or                                                     
     a delegated agency's decision to deny a charter school application                                                     
     and the applicant appeals to the State Board of Education and                                                              
     Early Development, the commissioner shall immediately forward                                                              
     the application and record to the state Board of Education and                                                             
     Early Development.                                                                                                         
   * Sec. 9. AS 14.03 is amended by adding a new section to read:                                                             
          Sec. 14.03.254. Board-authorized charter schools. (a) The                                                           
     state Board of Education and Early Development may authorize                                                               
     the establishment of a charter school in any school district in the                                                        
     state. The state board shall prescribe by regulation an application                                                        
     procedure for the establishment of a charter school under this                                                             
     section.                                                                                                                   
          (b)  The state board shall issue a written decision approving or                                                      
     denying an application for a charter school within 90 days after                                                           
     the state board receives the application. If the state board approves                                                      
     the application, the local school board of the school district in                                                          
     which the state board authorized the establishment of the charter                                                          
     school shall operate the charter school as provided in                                                                     
     AS 14.03.255 - 14.03.290.                                                                                                  
          (c)  The state Board of Education and Early Development                                                               
     may delegate the state board's authority to approve or deny an                                                             
     application for a charter school to a committee of the state board, a                                                      
     political subdivision of the state, the University of Alaska, or other                                                     
     state agency.                                                                                                              
   * Sec. 10. AS 14.09.010(a) is repealed and reenacted to read:                                                              
          (a)  A school district that provides student transportation                                                           
     services for the transportation of students who reside a distance                                                          
     from established schools is eligible to receive funding for                                                                
     operating or subcontracting the operation of the transportation                                                            
     system for students to and from the schools within the student's                                                           
     transportation service area. Subject to appropriation, the amount                                                          
     of funding provided by the state for operating the student                                                                 

2025-04-11                     Senate Journal                      Page 0812
     transportation system is the amount of a school district's ADM,                                                            
     less the ADM for the district's correspondence programs during                                                             
     the current fiscal year, multiplied by the per student amount for                                                          
     the school district as follows, for the school years beginning                                                             
     July 1, 2025:                                                                                                              
          DISTRICT                                     PER STUDENT AMOUNT                                                       
 Alaska Gateway  $2,790                                                                                                         
 Aleutians East  416                                                                                                            
 Anchorage  584                                                                                                                 
 Annette Island 244                                                                                                             
 Bering Strait  66                                                                                                              
 Bristol Bay  3,583                                                                                                             
 Chatham  376                                                                                                                   
 Copper River  2,127                                                                                                            
 Cordova  450                                                                                                                   
 Craig 567                                                                                                                      
 Delta/Greely  2,221                                                                                                            
 Denali  2,423                                                                                                                  
 Dillingham  1,632                                                                                                              
 Fairbanks  1,095                                                                                                               
 Galena  341                                                                                                                    
 Haines  839                                                                                                                    
 Hoonah  400                                                                                                                    
 Iditarod  284                                                                                                                  
 Juneau  809                                                                                                                    
 Kake  364                                                                                                                      
 Kashunamiut  7                                                                                                                 
 Kenai Peninsula  1,227                                                                                                         
 Ketchikan  975                                                                                                                 
 Klawock  783                                                                                                                   
 Kodiak Island  1,071                                                                                                           
 Kuspuk  877                                                                                                                    
 Lake and Peninsula  515                                                                                                        
 Lower Kuskokwim  372                                                                                                           
 Lower Yukon  1                                                                                                                 
 Matanuska-Susitna  1,220                                                                                                       
 Nenana  788                                                                                                                    
 Nome  833                                                                                                                      
 North Slope  1,502                                                                                                             
 Northwest Arctic  33                                                                                                           

2025-04-11                     Senate Journal                      Page 0813
 Pelican  97                                                                                                                    
 Petersburg  503                                                                                                                
 Saint Mary's  259                                                                                                              
 Sitka  574                                                                                                                     
 Skagway  48                                                                                                                    
 Southeast Island  1,549                                                                                                        
 Southwest Region  801                                                                                                          
 Unalaska  869                                                                                                                  
 Valdez  987                                                                                                                    
 Wrangell  939                                                                                                                  
 Yakutat  998                                                                                                                   
 Yukon Flats  354                                                                                                               
 Yukon/Koyukuk  419                                                                                                             
 Yupiit  2.                                                                                                                     
   * Sec. 11. AS 14.11.014(d) is amended to read:                                                                             
          (d)  Notwithstanding any other provision of law, the                                                                  
     committee may not recommend for approval an application for                                                                
     bond debt reimbursement made by a municipality for school                                                                  
     construction or major maintenance for indebtedness authorized by                                                           
     the qualified voters of the municipality on or after January 1,                                                            
     2015, but before July 1, 2030 [2025].                                                                                  
   * Sec. 12. AS 14.11.100(a) is amended to read:                                                                             
          (a)  During each fiscal year, the state shall allocate to a                                                           
     municipality that is a school district the following sums:                                                                 
              (1)  payments made by the municipality during the fiscal                                                          
     year two years earlier for the retirement of principal and interest                                                        
     on outstanding bonds, notes, or other indebtedness incurred before                                                         
     July 1, 1977, to pay costs of school construction;                                                                         
              (2)  90 percent of                                                                                                
                   (A)  payments made by the municipality during the                                                            
          fiscal year two years earlier for the retirement of principal and                                                     
          interest on outstanding bonds, notes, or other indebtedness                                                           
          incurred after June 30, 1977, and before July 1, 1978, to pay                                                         
          costs of school construction;                                                                                         
                   (B)  cash payments made after June 30, 1976, and                                                             
          before July 1, 1978, by the municipality during the fiscal year                                                       
            two years earlier to pay costs of school construction;                                                             
              (3)  90 percent of                                                                                                
                   (A)  payments made by the municipality during the                                                            
          fiscal year two years earlier for the retirement of principal and                                                     

2025-04-11                     Senate Journal                      Page 0814
          interest on outstanding bonds, notes, or other indebtedness                                                           
          incurred after June 30, 1978, and before January 1, 1982, to                                                          
          pay costs of school construction projects approved under                                                              
          AS 14.07.020(a)(11);                                                                                                  
                   (B)  cash payments made after June 30, 1978, and                                                             
          before July 1, 1982, by the municipality during the fiscal year                                                       
          two years earlier to pay costs of school construction projects                                                        
          approved under AS 14.07.020(a)(11);                                                                                   
              (4)  subject to (h) and (i) of this section, up to 90 percent                                                     
     of                                                                                                                         
                   (A)  payments made by the municipality during the                                                            
          current fiscal year for the retirement of principal and interest                                                      
          on outstanding bonds, notes, or other indebtedness incurred                                                           
          after December 31, 1981, and authorized by the qualified                                                              
          voters of the municipality before July 1, 1983, to pay costs of                                                       
          school construction, additions to schools, and major                                                                  
          rehabilitation projects that exceed $25,000 and are approved                                                          
          under AS 14.07.020(a)(11);                                                                                            
                   (B)  cash payments made after June 30, 1982, and                                                             
          before July 1, 1983, by the municipality during the fiscal year                                                       
          two years earlier to pay costs of school construction, additions                                                      
          to schools, and major rehabilitation projects that exceed                                                             
          $25,000 and are approved under AS 14.07.020(a)(11); and                                                               
                   (C)  payments made by the municipality during the                                                            
          current fiscal year for the retirement of principal and interest                                                      
          on outstanding bonds, notes, or other indebtedness to pay                                                             
          costs of school construction, additions to schools, and major                                                         
          rehabilitation projects that exceed $25,000 and are submitted                                                         
          to the department for approval under AS 14.07.020(a)(11)                                                              
          before July 1, 1983, and approved by the qualified voters of                                                          
          the municipality before October 15, 1983, not to exceed a                                                             
          total project cost of (i) $6,600,000 if the annual growth rate of                                                     
          average daily membership of the municipality is more than                                                             
          seven percent but less than 12 percent, or (ii) $20,000,000 if                                                        
          the annual growth rate of average daily membership of the                                                             
          municipality is 12 percent or more; payments made by a                                                                
          municipality under this subparagraph on total project costs                                                           
          that exceed the amounts set out in (i) and (ii) of this                                                               
            subparagraph are subject to (5)(A) of this subsection;                                                             
              (5)  subject to (h) - (j) of this section, 80 percent of                                                          

2025-04-11                     Senate Journal                      Page 0815
                   (A)  payments made by the municipality during the                                                            
          fiscal year for the retirement of principal and interest on                                                           
          outstanding bonds, notes, or other indebtedness authorized by                                                         
          the qualified voters of the municipality                                                                              
                        (i)  after June 30, 1983, but before March 31,                                                          
              1990, to pay costs of school construction, additions to                                                           
              schools, and major rehabilitation projects that exceed                                                            
              $25,000 and are approved under AS 14.07.020(a)(11); or                                                            
                        (ii)  before July 1, 1989, and reauthorized before                                                      
              November 1, 1989, to pay costs of school construction,                                                            
              additions to schools, and major rehabilitation projects that                                                      
              exceed $25,000 and are approved under                                                                             
              AS 14.07.020(a)(11); and                                                                                          
                   (B)  cash payments made after June 30, 1983, by the                                                          
          municipality during the fiscal year two years earlier to pay                                                          
          costs of school construction, additions to schools, and major                                                         
          rehabilitation projects that exceed $25,000 and are approved                                                          
          by the department before July 1, 1990, under                                                                          
          AS 14.07.020(a)(11);                                                                                                  
              (6)  subject to (h) - (j) and (m) of this section, 70 percent                                                     
     of payments made by the municipality during the fiscal year for                                                            
     the retirement of principal and interest on outstanding bonds,                                                             
     notes, or other indebtedness authorized by the qualified voters of                                                         
     the municipality on or after April 30, 1993, but before July 1,                                                            
     1996, to pay costs of school construction, additions to schools,                                                           
     and major rehabilitation projects that exceed $200,000 and are                                                             
     approved under AS 14.07.020(a)(11);                                                                                        
              (7)  subject to (h) - (j) and (m) of this section, 70 percent                                                     
     of payments made by the municipality during the fiscal year for                                                            
     the retirement of principal and interest on outstanding bonds,                                                             
     notes, or other indebtedness authorized by the qualified voters of                                                         
     the municipality after March 31, 1990, but before April 30, 1993,                                                          
     to pay costs of school construction, additions to schools, and                                                             
     major rehabilitation projects;                                                                                             
              (8)  subject to (h), (i), (j)(2) - (5), and (n) of this section                                                   
     and after projects funded by the bonds, notes, or other                                                                    
     indebtedness have been approved by the commissioner, 70 percent                                                            
     of payments made by the municipality during the fiscal year for                                                            
     the retirement of principal and interest on outstanding bonds,                                                             
     notes, or other indebtedness authorized by the qualified voters of                                                         

2025-04-11                     Senate Journal                      Page 0816
     the municipality on or after July 1, 1995, but before July 1, 1998,                                                        
     to pay costs of school construction, additions to schools, and                                                             
     major rehabilitation projects that exceed $200,000 and are                                                                 
     approved under AS 14.07.020(a)(11);                                                                                        
              (9)  subject to (h), (i), (j)(2) - (5), and (n) of this section                                                   
     and after projects funded by the bonds, notes, or other                                                                    
     indebtedness have been approved by the commissioner, 70 percent                                                            
     of payments made by the municipality during the fiscal year for                                                            
     the retirement of principal and interest on outstanding bonds,                                                             
     notes, or other indebtedness authorized by the qualified voters of                                                         
     the municipality on or after July 1, 1998, but before July 1, 2006,                                                        
     to pay costs of school construction, additions to schools, and                                                             
     major rehabilitation projects that exceed $200,000 and are                                                                 
     approved under AS 14.07.020(a)(11);                                                                                        
              (10)  subject to (h), (i), (j)(2) - (5), and (o) of this section,                                                 
     and after projects funded by the bonds, notes, or other                                                                    
     indebtedness have been approved by the commissioner, 70 percent                                                            
     of payments made by the municipality during the fiscal year for                                                            
     the retirement of principal and interest on outstanding bonds,                                                             
     notes, or other indebtedness authorized by the qualified voters of                                                         
     the municipality on or after June 30, 1998, to pay costs of school                                                         
     construction, additions to schools, and major rehabilitation                                                               
     projects that exceed $200,000, are approved under                                                                          
     AS 14.07.020(a)(11), and are not reimbursed under (n) of this                                                              
     section;                                                                                                                   
              (11)  subject to (h), (i), and (j)(2) - (5) of this section, and                                                  
     after projects funded by the bonds, notes, or other indebtedness                                                           
     have been approved by the commissioner, 70 percent of payments                                                             
     made by a municipality during the fiscal year for the retirement of                                                        
     principal and interest on outstanding bonds, notes, or other                                                               
     indebtedness authorized by the qualified voters of the municipality                                                        
     on or after June 30, 1999, but before January 1, 2005, to pay costs                                                        
     of school construction, additions to schools, and major                                                                    
     rehabilitation projects and education-related facilities that exceed                                                       
     $200,000, are approved under AS 14.07.020(a)(11), and are not                                                              
     reimbursed under (n) or (o) of this section;                                                                               
              (12)  subject to (h), (i), and (j)(2), (3), and (5) of this                                                       
     section, 60 percent of payments made by a municipality during the                                                          
     fiscal year for the retirement of principal and interest on                                                                
     outstanding bonds, notes, or other indebtedness authorized by the                                                          

2025-04-11                     Senate Journal                      Page 0817
     qualified voters of the municipality on or after June 30, 1999, but                                                        
     before January 1, 2005, to pay costs of school construction,                                                               
     additions to schools, and major rehabilitation projects and                                                                
     education-related facilities that exceed $200,000, are reviewed                                                            
     under AS 14.07.020(a)(11), and are not reimbursed under (n) or                                                             
     (o) of this section;                                                                                                       
              (13)  subject to (h), (i), (j)(2) - (5), and (p) of this section,                                                 
     and after projects funded by the tax exempt bonds, notes, or other                                                         
     indebtedness have been approved by the commissioner, 70 percent                                                            
     of payments made by a municipality during the fiscal year for the                                                          
     retirement of principal and interest on outstanding tax exempt                                                             
     bonds, notes, or other indebtedness authorized by the qualified                                                            
     voters of the municipality on or after June 30, 1999, but before                                                           
     October 31, 2006, to pay costs of school construction, additions to                                                        
     schools, and major rehabilitation projects and education-related                                                           
     facilities that exceed $200,000, are approved under                                                                        
     AS 14.07.020(a)(11), and are not reimbursed under (n) or (o) of                                                            
     this section;                                                                                                              
              (14)  subject to (h), (i), (j)(2), (3), and (5), and (p) of this                                                  
     section, 60 percent of payments made by a municipality during the                                                          
     fiscal year for the retirement of principal and interest on                                                                
     outstanding tax exempt bonds, notes, or other indebtedness                                                                 
     authorized by the qualified voters of the municipality on or after                                                         
     June 30, 1999, but before October 31, 2006, to pay costs of school                                                         
     construction, additions to schools, and major rehabilitation                                                               
     projects and education-related facilities that exceed $200,000, are                                                        
     reviewed under AS 14.07.020(a)(11), and are not reimbursed                                                                 
     under (n) or (o) of this section;                                                                                          
              (15)  subject to (h), (i), (j)(2) - (5), and (q) of this section,                                                 
     and after projects funded by the bonds, notes, or other                                                                    
     indebtedness have been approved by the commissioner, 90 percent                                                            
     of payments made by a municipality during the fiscal year for the                                                          
     retirement of principal and interest on outstanding bonds, notes, or                                                       
     other indebtedness authorized by the qualified voters of the                                                               
     municipality on or after June 30, 1999, but before October 31,                                                             
     2006, to pay costs of school construction, additions to schools,                                                           
     and major rehabilitation projects and education-related facilities                                                         
     that exceed $200,000, are approved under AS 14.07.020(a)(11),                                                              
     meet the 10 percent participating share requirement for a                                                                  
     municipal school district under the former participating share                                                             

2025-04-11                     Senate Journal                      Page 0818
     amounts required under AS 14.11.008(b), and are not reimbursed                                                             
     under (n) or (o) of this section;                                                                                          
              (16)  subject to (h), (i), and (j)(2) - (5) of this section, and                                                  
     after projects funded by the tax exempt bonds, notes, or other                                                             
     indebtedness have been approved by the commissioner, 70 percent                                                            
     of payments made by a municipality during the fiscal year for the                                                          
     retirement of principal and interest on outstanding tax exempt                                                             
     bonds, notes, or other indebtedness authorized by the qualified                                                            
     voters of the municipality on or after October 1, 2006, but before                                                         
     January 1, 2015, to pay costs of school construction, additions to                                                         
     schools, and major rehabilitation projects and education- related                                                          
     facilities that exceed $200,000, are approved under                                                                        
     AS 14.07.020(a)(11), and are not reimbursed under (o) of this                                                              
     section;                                                                                                                   
              (17)  subject to (h), (i), and (j)(2), (3), and (5) of this                                                       
     section, 60 percent of payments made by a municipality during the                                                          
     fiscal year for the retirement of principal and interest on                                                                
     outstanding tax exempt bonds, notes, or other indebtedness                                                                 
     authorized by the qualified voters of the municipality on or after                                                         
     October 1, 2006, but before January 1, 2015, to pay costs of                                                               
     school construction, additions to schools, and major rehabilitation                                                        
     projects and education-related facilities that exceed $200,000, are                                                        
     reviewed under AS 14.07.020(a)(11), and are not reimbursed                                                                 
     under (o) of this section;                                                                                                 
              (18)  subject to (h), (i), and (j)(2) - (5) of this section, and                                                  
     after projects funded by the tax exempt bonds, notes, or other                                                             
     indebtedness have been approved by the commissioner, 50 percent                                                            
     of payments made by a municipality during the fiscal year for the                                                          
     retirement of principal of and interest on outstanding tax exempt                                                          
     bonds, notes, or other indebtedness authorized by the qualified                                                            
     voters of the municipality on or after July 1, 2030 [2025], to pay                                                     
     costs of school construction, additions to schools, and major                                                              
     rehabilitation projects and education-related facilities that exceed                                                       
     $200,000, are approved under AS 14.07.020(a)(11), and are not                                                              
     reimbursed under (o) of this section;                                                                                      
              (19)  subject to (h), (i), and (j)(2), (3), and (5) of this                                                       
     section, 40 percent of payments made by a municipality during the                                                          
     fiscal year for the retirement of principal of and interest on                                                             
     outstanding tax exempt bonds, notes, or other indebtedness                                                                 
     authorized by the qualified voters of the municipality on or after                                                         

2025-04-11                     Senate Journal                      Page 0819
     July 1, 2030 [2025], to pay costs of school construction, additions                                                    
     to schools, and major rehabilitation projects and education-related                                                        
     facilities that exceed $200,000, are reviewed under                                                                        
     AS 14.07.020(a)(11), and are not reimbursed under (o) of this                                                              
     section.                                                                                                                   
   * Sec. 13. AS 14.11.100(s) is amended to read:                                                                             
          (s)  Notwithstanding any other provision of law, the                                                                  
     commissioner may not approve an application for bond debt                                                                  
     reimbursement made by a municipality for school construction or                                                            
     major maintenance for indebtedness authorized by the qualified                                                             
     voters of the municipality on or after January 1, 2015, but before                                                         
     July 1, 2030 [2025].                                                                                                   
   * Sec. 14. AS 14.11.102(c) is amended to read:                                                                             
          (c)  The commissioner may not allocate funds to a                                                                     
     municipality under AS 14.11.100 for the retirement of the                                                                  
     principal of and interest on outstanding tax- exempt bonds, notes,                                                         
     or other indebtedness authorized by the qualified voters of the                                                            
     municipality on or after January 1, 2015, but before July 1, 2030                                                      
     [2025].                                                                                                                    
   * Sec. 15. AS 14.16.200(b) is amended to read:                                                                             
          (b)  Costs that may be claimed by a district for reimbursement                                                        
     under (a) of this section are                                                                                              
              (1)  one round trip on the least expensive means of                                                               
     transportation between the student's community of residence and                                                            
     the school during the school year if the district expends money for                                                        
     the trip; and                                                                                                              
              (2)  a per-pupil monthly stipend to cover room and board                                                          
     expenses as determined by the department on a regional basis and                                                           
     not to exceed the following amounts:                                                                                       
                   (A)  for the Southeast Region (Region I), $1,845                                                         
          [$1,230];                                                                                                             
                   (B)  for the Southcentral Region (Region II), $1,800                                                     
          [$1,200];                                                                                                             
                   (C)  for the Interior Region (Region III), $2,178                                                        
          [$1,452];                                                                                                             
                   (D)  for the Southwest Region (Region IV), $2,264                                                        
          [$1,509];                                                                                                             
                   (E)  for the Northern Remote Region (Region V),                                                              
          $2,664 [$1,776].                                                                                                  
   * Sec. 16. AS 14.17.410(b) is amended to read:                                                                             

2025-04-11                     Senate Journal                      Page 0820
          (b)  Public school funding consists of state aid, a required                                                          
     local contribution, and eligible federal impact aid determined as                                                          
     follows:                                                                                                                   
              (1)  state aid equals basic need minus a required local                                                           
     contribution and 90 percent of eligible federal impact aid for that                                                        
     fiscal year; basic need equals the sum obtained under (D) of this                                                          
     paragraph, multiplied by the base student allocation set out in                                                            
        AS 14.17.470; district adjusted ADM is calculated as follows:                                                          
                   (A)  the ADM of each school in the district is                                                               
          calculated by applying the school size factor to the student                                                          
          count as set out in AS 14.17.450;                                                                                     
                   (B)  the number obtained under (A) of this paragraph                                                         
          is multiplied by the district cost factor described in                                                                
          AS 14.17.460;                                                                                                         
                   (C)  the ADMs of each school in a district, as                                                               
          adjusted according to (A) and (B) of this paragraph, are added                                                        
          to the number obtained for correspondence study under                                                             
          AS 14.17.430; the sum is then multiplied by the special needs                                                     
          factor set out in AS 14.17.420(a)(1) and the secondary school                                                         
          vocational and technical instruction funding factor set out in                                                        
          AS 14.17.420(a)(3);                                                                                                   
                   (D)  the number obtained for intensive services under                                                        
          AS 14.17.420(a)(2) is [AND THE NUMBER OBTAINED                                                                    
          FOR CORRESPONDENCE STUDY UNDER AS 14.17.430                                                                           
          ARE] added to the number obtained under (C) of this                                                                   
          paragraph or under (H) and (I) of this paragraph;                                                                     
                   (E)  notwithstanding (A) - (C) of this paragraph, if a                                                       
          school district's ADM adjusted for school size under (A) of                                                           
          this paragraph decreases by five percent or more from one                                                             
          fiscal year to the next fiscal year, the school district may use                                                      
          the last fiscal year before the decrease as a base fiscal year to                                                     
           offset the decrease, according to the following method:                                                             
                        (i)  for the first fiscal year after the base fiscal                                                    
              year determined under this subparagraph, the school                                                               
              district's ADM adjusted for school size determined under                                                          
              (A) of this paragraph is calculated as the district's ADM                                                         
              adjusted for school size, plus 75 percent of the difference                                                       
              in the district's ADM adjusted for school size between the                                                        
              base fiscal year and the first fiscal year after the base                                                         
              fiscal year;                                                                                                      

2025-04-11                     Senate Journal                      Page 0821
                        (ii)  for the second fiscal year after the base fiscal                                                  
              year determined under this subparagraph, the school                                                               
              district's ADM adjusted for school size determined under                                                          
              (A) of this paragraph is calculated as the district's ADM                                                         
              adjusted for school size, plus 50 percent of the difference                                                       
              in the district's ADM adjusted for school size between the                                                        
              base fiscal year and the second fiscal year after the base                                                        
              fiscal year;                                                                                                      
                        (iii)  for the third fiscal year after the base fiscal                                                  
              year determined under this subparagraph, the school                                                               
              district's ADM adjusted for school size determined under                                                          
              (A) of this paragraph is calculated as the district's ADM                                                         
              adjusted for school size, plus 25 percent of the difference                                                       
              in the district's ADM adjusted for school size between the                                                        
              base fiscal year and the third fiscal year after the base                                                         
              fiscal year;                                                                                                      
                   (F)  the method established in (E) of this paragraph is                                                      
          available to a school district for the three fiscal years                                                             
          following the base fiscal year determined under (E) of this                                                           
          paragraph only if the district's ADM adjusted for school size                                                         
          determined under (A) of this paragraph for each fiscal year is                                                        
          less than the district's ADM adjusted for school size in the                                                          
          base fiscal year;                                                                                                     
                   (G)  the method established in (E) of this paragraph                                                         
          does not apply to a decrease in the district's ADM adjusted for                                                       
          school size resulting from a loss of enrollment that occurs as a                                                      
          result of a boundary change under AS 29;                                                                              
                   (H)  notwithstanding (A) - (C) of this paragraph, if                                                         
          one or more schools close and consolidate with one or more                                                            
          other schools in the same community and district and, as a                                                            
          result of the consolidation, basic need generated by the                                                              
          district's ADM of the consolidated schools as adjusted under                                                          
          (A) - (C) of this paragraph decreases, the district may use the                                                       
          last fiscal year before the consolidation as the base fiscal year                                                     
          to offset that decrease for the first four fiscal years following                                                     
          consolidation according to the following method:                                                                      
                        (i)  for the first two fiscal years after the base                                                      
              fiscal year, the district's ADM of the consolidated schools                                                       
              as adjusted under (A) - (C) of this paragraph is calculated                                                       
              by dividing the sum of the district's ADM of the                                                                  

2025-04-11                     Senate Journal                      Page 0822
              consolidated schools as adjusted under (A) - (C) of this                                                          
              paragraph for the base fiscal year by the sum of the                                                              
              district's ADM of the consolidated schools for the base                                                           
              fiscal year without adjustment, and subtracting the                                                               
              quotient obtained by dividing the district's ADM of the                                                           
              consolidated schools for the current fiscal year as                                                               
              adjusted under (A) - (C) of this paragraph by the sum of                                                          
              the district's ADM of the consolidated schools for the                                                            
              current fiscal year without adjustment, multiplying that                                                          
              number by the sum of the district's ADM of the                                                                    
              consolidated schools for the current fiscal year without                                                          
              adjustment, and adding that number to the sum of the                                                              
              district's ADM of the consolidated schools for the current                                                        
              fiscal year as adjusted under (A) - (C) of this paragraph;                                                        
                        (ii)  for the third fiscal year after the base fiscal                                                   
              year, the district's ADM of the consolidated schools as                                                           
              adjusted under (A) - (C) of this paragraph is calculated by                                                       
              dividing the sum of the district's ADM of the                                                                     
              consolidated schools as adjusted under (A) - (C) of this                                                          
              paragraph for the base fiscal year by the sum of the                                                              
              district's ADM of the consolidated schools for the base                                                           
              fiscal year without adjustment, and subtracting the                                                               
              quotient obtained by dividing the sum of the district's                                                           
              ADM of the consolidated schools for the current fiscal                                                            
              year as adjusted under (A) - (C) of this paragraph by the                                                         
              sum of the district's ADM of the consolidated schools for                                                         
              the current fiscal year, multiplying that number by the                                                           
              sum of the district's ADM of the consolidated schools for                                                         
              the current fiscal year without adjustment, multiplying                                                           
              that number by 66 percent, and adding that number to the                                                          
              sum of the district's ADM of the consolidated schools for                                                         
              the current fiscal year as adjusted under (A) - (C) of this                                                       
              paragraph;                                                                                                        
                        (iii)  for the fourth fiscal year after the base fiscal                                                 
              year, the district's ADM of the consolidated schools as                                                           
              adjusted under (A) - (C) of this paragraph is calculated by                                                       
              dividing the sum of the district's ADM of the                                                                     
              consolidated schools as adjusted under (A) - (C) of this                                                          
              paragraph for the base fiscal year by the sum of the                                                              
              district's ADM of the consolidated schools for the base                                                           

2025-04-11                     Senate Journal                      Page 0823
              fiscal year without adjustment, and subtracting the                                                               
              quotient obtained by dividing the sum of the district's                                                           
              ADM of the consolidated schools for the current fiscal                                                            
              year as adjusted under (A) - (C) of this paragraph by the                                                         
              sum of the district's ADM of the consolidated schools for                                                         
              the current fiscal year, multiplying that number by the                                                           
              sum of the district's ADM of the consolidated schools for                                                         
              the current fiscal year without adjustment, multiplying                                                           
              that number by 33 percent, and adding that number to the                                                          
              sum of the district's ADM of the consolidated schools for                                                         
              the current fiscal year as adjusted under (A) - (C) of this                                                       
              paragraph;                                                                                                        
                        (iv)  to calculate the district's basic need for each                                                   
              fiscal year, the number obtained through the calculation                                                          
              in (i), (ii), or (iii) of this subparagraph is added to the                                                       
              number obtained under (C) of this paragraph for the                                                               
              remainder of the district;                                                                                        
                   (I)  if the basic need calculated under (H)(i) - (iii) of                                                    
          this paragraph for one of the first four fiscal years after                                                           
          consolidation is less than the basic need calculated under (A) -                                                      
          (C) of this paragraph for that fiscal year, the basic need may                                                        
          not be adjusted under (H) of this paragraph for that fiscal                                                           
          year;                                                                                                                 
                   (J)  a district may not offset a decrease under (H) of                                                       
          this paragraph if                                                                                                     
                        (i)  a new facility is constructed in the district for                                                  
              the consolidation; or                                                                                             
                        (ii)  the district offset a decrease under (E) of this                                                  
              paragraph in the same fiscal year;                                                                                
                   (K)  a district that offsets a decrease under (H) of this                                                    
          paragraph may not reopen a school that was closed for                                                                 
          consolidation in the district until                                                                                   
                        (i)  seven or more years have passed since the                                                          
              school closure; and                                                                                               
                        (ii)  the district provides evidence satisfactory to                                                    
              the department that the schools affected by the                                                                   
              consolidation are over capacity;                                                                                  
                   (L)  a district may not reopen and reconsolidate a                                                           
          school that was consolidated in the district more than once                                                           
          every seven years for purposes of the calculations made under                                                         

2025-04-11                     Senate Journal                      Page 0824
          (H) of this paragraph;                                                                                                
                   (M)  a district offsetting a decrease under (H) of this                                                      
          paragraph shall provide the department with the list of schools                                                       
          participating in the consolidation and the corresponding                                                              
          ADM;                                                                                                                  
              (2)  the required local contribution of a city or borough                                                         
     school district is the equivalent of a 2.65 mill tax levy on the full                                                      
     and true value of the taxable real and personal property in the                                                            
     district as of January 1 of the second preceding fiscal year, as                                                           
     determined by the Department of Commerce, Community, and                                                                   
     Economic Development under AS 14.17.510 and AS 29.45.110,                                                                  
     not to exceed 45 percent of a district's basic need for the preceding                                                      
     fiscal year as determined under (1) of this subsection.                                                                    
   * Sec. 17. AS 14.17.430 is amended to read:                                                                                
          Sec. 14.17.430. State funding for correspondence study.                                                             
     Except as provided in AS 14.17.400(b), funding for the state                                                               
     centralized correspondence study program or a district                                                                     
     correspondence program, including a district that offers a                                                                 
     statewide correspondence study program, includes an allocation                                                             
     from the public education fund in an amount calculated by using                                                        
     [MULTIPLYING] the ADM of the correspondence program                                                                        
     reported under AS 14.17.500(a) and 14.17.600(a) [BY 90                                                                 
     PERCENT]."                                                                                                                 
                                                                                                                                
Page 1, line 3:                                                                                                                 
     Delete "Section 1"                                                                                                       
     Insert "Sec. 18"                                                                                                         
                                                                                                                                
Renumber the following bill section accordingly.                                                                                
                                                                                                                                
Page 1, line 4:                                                                                                                 
     Delete "$6,960"                                                                                                        
     Insert "$6,970"                                                                                                        
                                                                                                                                
Page 1, line 6:                                                                                                                 
     Delete all material and insert:                                                                                            
"* Sec. 19. AS 14.20 is amended by adding a new section to article 3                                                          
to read:                                                                                                                        
          Sec. 14.20.255. Lump sum payment for certain teachers.                                                              
     (a) Subject to appropriation for the fiscal years ending June 30,                                                          

2025-04-11                     Senate Journal                      Page 0825
     2027, June 30, 2030, and June 30, 2033, a certificated full-time                                                           
     teacher is entitled to receive a lump sum payment as a retention                                                           
     and recruitment incentive if the teacher was employed in a full-                                                           
     time classroom teaching position for the entirety of the school                                                            
     term for the school year immediately preceding the date of                                                                 
     payment. The department shall pay the retention and recruitment                                                            
     incentive on or within a reasonable period after July 1, 2026,                                                             
     July 1, 2029, and July 1, 2032. The department shall reduce the                                                            
     retention and recruitment incentive by the amount necessary to                                                             
     pay mandatory employee and employer deductions, including a                                                                
     deduction required under AS 14.25. Subject to the application and                                                          
     certification requirements described in (e) of this section, the                                                           
     department shall pay the retention and recruitment incentives                                                              
     through grants to school districts as described in (b) - (e) of this                                                       
     section.                                                                                                                   
          (b)  The department shall pay $7,000 for each eligible                                                                
     certificated full-time teacher teaching in the following districts:                                                       
              (1)  Anchorage School District;                                                                                   
              (2)  Fairbanks North Star Borough School District;                                                                
              (3)  Juneau Borough School District;                                                                              
                (4)  Kenai Peninsula Borough School District;                                                                  
              (5)  Matanuska-Susitna Borough School District.                                                                   
          (c)  The department shall pay $12,000 for each eligible                                                               
     certificated full-time teacher teaching in the following districts:                                                       
              (1)  Alaska Gateway School District;                                                                              
              (2)  Aleutian Region School District;                                                                             
                 (3)  Aleutians East Borough School District;                                                                  
              (4)  Annette Island School District;                                                                              
              (5)  Chugach School District;                                                                                     
              (6)  Copper River School District;                                                                                
              (7)  Cordova City School District;                                                                                
              (8)  Delta/Greely School District;                                                                                
              (9)  Denali Borough School District;                                                                              
              (10)  Galena City School District;                                                                                
              (11)  Haines Borough School District;                                                                             
              (12)  Ketchikan Gateway Borough School District;                                                                  
                 (13)  Kodiak Island Borough School District;                                                                  
              (14)  Mt. Edgecumbe High School;                                                                                  
              (15)  Nenana City School District;                                                                                
              (16)  Nome Public Schools;                                                                                        

2025-04-11                     Senate Journal                      Page 0826
              (17)  Petersburg Borough School District;                                                                         
              (18)  Saint Mary's School District;                                                                               
              (19)  Sitka School District;                                                                                      
              (20)  Skagway School District;                                                                                    
              (21)  Unalaska City School District;                                                                              
              (22)  Valdez City School District;                                                                                
              (23)  Wrangell Public School District;                                                                            
              (24)  Yakutat School District.                                                                                    
          (d)  The department shall pay $17,000 for each eligible                                                               
     certificated full-time teacher teaching in the following districts:                                                       
              (1)  Bering Strait School District;                                                                               
              (2)  Bristol Bay Borough School District;                                                                         
              (3)  Chatham School District;                                                                                     
              (4)  Craig City School District;                                                                                  
              (5)  Dillingham City School District;                                                                             
              (6)  Hoonah City School District;                                                                                 
              (7)  Hydaburg City School District;                                                                               
              (8)  Iditarod Area School District;                                                                               
              (9)  Kake City School District;                                                                                   
              (10)  Kashunamiut School District;                                                                                
              (11)  Klawock City School District;                                                                               
              (12)  Kuspuk School District;                                                                                     
              (13)  Lake and Peninsula Borough School District;                                                                 
              (14)  Lower Kuskokwim School District;                                                                            
              (15)  Lower Yukon School District;                                                                                
              (16)  North Slope Borough School District;                                                                        
              (17)  Northwest Arctic Borough School District;                                                                   
              (18)  Pelican City School District;                                                                               
              (19)  Pribilof School District;                                                                                   
              (20)  Southeast Island School District;                                                                           
              (21)  Southwest Region School District;                                                                           
              (22)  Tanana City School District;                                                                                
              (23)  Yukon Flats School District;                                                                                
              (24)  Yukon-Koyukuk School District;                                                                              
              (25)  Yupiit School District.                                                                                     
          (e)  To be eligible for the retention and recruitment incentive                                                       
     described in this section, a certificated full-time teacher must                                                           
     apply during each eligible calendar year to the department on a                                                            
     date not later than the final day in session for the school term                                                           
     established by the governing body of the teacher's school district                                                         

2025-04-11                     Senate Journal                      Page 0827
     or regional educational attendance area. Application for payment                                                           
     shall be made on a form designated by the commissioner. For each                                                           
     teacher who applies, the school district or regional educational                                                           
     attendance area shall certify the teacher's eligibility for payment                                                        
     under this section to the department.                                                                                      
          (f)  Payment made under this section is considered                                                                    
     compensation for the purposes of AS 14.25.                                                                                 
          (g)  The department may adopt regulations necessary to carry                                                          
     out the purposes of this section.                                                                                          
          (h)  In this section, "certificated full-time teacher"                                                                
              (1)  means an individual occupying a position that                                                                
     requires                                                                                                                   
                   (A)  a teaching certificate as a condition of                                                                
          employment; and                                                                                                       
                   (B)  teaching on a regular basis during the normal                                                           
          work period for each day or week at a classroom teaching                                                              
            assignment in a public elementary or secondary school;                                                             
              (2)  does not include an individual teaching as an assistant                                                      
     or graduate assistant or teaching on a substitute, temporary, or per                                                       
     diem basis.                                                                                                                
   * Sec. 20. AS 14.33 is amended by adding a new section to read:                                                            
      Article 5. Mobile Communication Devices in Schools.                                                                     
          Sec. 14.33.300. Mobile communication devices in schools.                                                            
     (a) The governing body of a school district shall adopt a policy                                                           
     that prohibits a student from using a personal mobile                                                                      
     communication device while in school under the supervision of an                                                           
     employee of the school district except                                                                                     
              (1)  in the event of an emergency or a perceived threat of                                                        
     danger;                                                                                                                    
              (2)  when a teacher or administrator of the school grants                                                         
     permission to the student to use the device for educational                                                                
     purposes;                                                                                                                  
              (3)  when use of the device is necessary for the health or                                                        
     well-being of the student; or                                                                                              
              (4)  when use of the device is a required component of the                                                        
     student's individualized education plan.                                                                                   
          (b)  This section does not authorize the monitoring, collecting,                                                      
     or accessing of information related to a student's use of a personal                                                       
     mobile communication device.                                                                                               
          (c)  In this section, "mobile communication device" means a                                                           

2025-04-11                     Senate Journal                      Page 0828
     cellular telephone, smart phone, personal data assistant, wireless                                                         
     tablet, computer, or similar device used for voice or visual                                                               
     communication.                                                                                                             
   * Sec. 21. AS 44.27 is amended by adding new sections to read:                                                             
      Article 3. Education Scholarship Account Program.                                                                       
          Sec. 44.27.100. Education scholarship account program;                                                              
     regulations. The education scholarship account program is                                                                
     established in the department. The department shall administer the                                                         
     program for the purpose of providing public funding for the                                                                
     education of a student who is being educated in the state as                                                               
     described in AS 44.27.110(2). The department shall create an                                                               
     account for each student who is participating in the program. The                                                          
     department may adopt regulations necessary to administer the                                                               
     program.                                                                                                                   
          Sec. 44.27.110. Education scholarship account eligibility.                                                          
     A parent or guardian of a student may participate in the education                                                         
     scholarship account program on behalf of the student if                                                                    
              (1)  the parent or guardian applies to the department on a                                                        
     form or in a format prescribed by the department and enters into a                                                         
     written agreement with the department to participate in the                                                                
     program; and                                                                                                               
              (2)  the student is being educated in the state through                                                           
                   (A)  attendance at a school or program, or enrollment                                                        
          in a state boarding school or correspondence study program,                                                           
          that meets the requirements of AS 14.30.010(b)(1)(A) or (C)                                                           
          or (10) and the school or program implements annual testing                                                           
          that measures student improvement and academic                                                                        
          achievement; or                                                                                                       
                   (B)  tutoring as described in AS 14.30.010(b)(1)(B)                                                          
          and annually takes a test that measures student improvement                                                           
          and academic achievement.                                                                                             
          Sec. 44.27.120. Education scholarship account amount and                                                            
     use. (a) Subject to appropriation, the department shall deposit                                                          
     annually into each participating student's account an amount equal                                                         
     to the amount of the base student allocation set out in                                                                    
     AS 14.17.470 for the student's education for the school year.                                                              
          (b)  For a participating student with a disability who is eligible                                                    
     to receive special education and related services under                                                                    
     AS 14.30.180 - 14.30.350, the department shall deposit annually                                                            
     into the participating student's account the amount described in (a)                                                       

2025-04-11                     Senate Journal                      Page 0829
     of this section, plus additional funding in an amount determined                                                           
     by the department. The department's determination must be based                                                            
     on the degree of the student's special education needs and may not                                                         
     exceed $20,000 for the participating student's education for the                                                           
     school year.                                                                                                               
          (c)  The department shall, using money in a participating                                                             
     student's account, pay for a participating student's qualifying                                                            
     education expenses described in AS 44.27.130. The department                                                               
     shall provide the payment directly to the school or program                                                                
     providing the service to which the expense relates. The                                                                    
     department may not refund, rebate, or share with the parent,                                                               
     guardian, or participating student funds deposited into the                                                                
     participating student's account. A refund or rebate for goods or                                                           
     services purchased with funds in the participating student's                                                               
     account must be credited directly to the participating student's                                                           
     account and may be used only as described in AS 44.27.130.                                                                 
          (d)  Unused funds in a participating student's account carry                                                          
     over from year to year unless the department closes the                                                                    
     participating student's account. After a participating student's                                                           
     account is closed under this subsection, all unexpended and                                                                
     unobligated funds in the account lapse into the general fund. The                                                          
     department shall close a participating student's account if                                                                
              (1)  the student no longer meets the eligibility criteria                                                         
     required to participate in the program under AS 44.27.110;                                                                 
              (2)  the parent or guardian of the participating student                                                          
     withdraws the participating student from the program;                                                                      
              (3)  the participating student has obtained a high school                                                         
     diploma or a general education development diploma or its                                                                  
     equivalent; or                                                                                                             
              (4)  the participating student or parent or guardian of the                                                       
     participating student has failed to comply with a requirement of                                                           
     this section or a regulation adopted under this section.                                                                   
          (e)  If insufficient funding is appropriated to fund the                                                              
     allocations authorized under (a) and (b) of this section, the                                                              
     department shall distribute the funding proportionately among                                                              
     accounts of participating students.                                                                                        
          Sec. 44.27.130. Qualifying education expenses. Money in a                                                           
       participating student's account may be used only for the cost of                                                        
              (1)  tuition for a school or program described in                                                                 
        AS 14.30.010(b)(1)(A) or (C) or (10) that the student attends;                                                         

2025-04-11                     Senate Journal                      Page 0830
              (2)  tuition for a course in which the student is enrolled at                                                     
     the University of Alaska;                                                                                                  
              (3)  tutoring provided to the student under                                                                       
     AS 14.30.010(b)(1)(B);                                                                                                     
              (4)  nutrition for the student;                                                                                   
              (5)  supplies relating to the education of the student; and                                                       
              (6)  transportation for the student for educational                                                               
     purposes.                                                                                                                  
          Sec. 44.27.140. Definitions. In AS 44.27.100 - 44.27.140,                                                           
              (1)  "account" means an education scholarship account                                                             
     established for a participating student under AS 44.27.100;                                                                
              (2)  "department" means the Department of Education and                                                           
     Early Development;                                                                                                         
              (3)  "participating student" means a student participating                                                        
     in the education scholarship account program established in                                                                
     AS 44.27.100;                                                                                                              
              (4)  "program" means the education scholarship account                                                            
     program established in AS 44.27.100.                                                                                       
   * Sec. 22. Section 6, ch. 3, SLA 2015, as amended by sec. 5, ch. 6,                                                        
SLA 2020, is amended to read:                                                                                                   
          Sec. 6.AS 14.11.014(d), 14.11.100(s), and 14.11.102(c) are                                                            
     repealed July 1, 2030 [2025].                                                                                          
   * Sec. 23. AS 14.20.255 is repealed July 1, 2033.                                                                          
   * Sec. 24. The uncodified law of the State of Alaska is amended by                                                         
adding a new section to read:                                                                                                   
     TRANSITION: EDUCATION SCHOLARSHIP ACCOUNT                                                                                  
ELIGIBILITY. Notwithstanding AS 44.27.110 and 44.27.120(a),                                                                     
added by sec. 21 of this Act, a student may participate in the education                                                        
scholarship account program                                                                                                     
          (1)  for the fiscal year ending June 30, 2026, only if the                                                            
student is a child with a disability as defined in AS 14.30.350 and is                                                          
eligible to receive special education and related services under                                                                
AS 14.30.180 - 14.30.350;                                                                                                       
          (2)  for the fiscal year ending June 30, 2027, only if                                                                
              (A)  the student is eligible under (1) of this section;                                                           
              (B)  the student is entitled to English as a second                                                               
     language or bilingual services based on the student's English                                                              
     language proficiency;                                                                                                      
              (C)  the student is a foster child; if the department                                                             
     deposits education scholarship account program funding into an                                                             

2025-04-11                     Senate Journal                      Page 0831
     account for a foster child under this subparagraph, the department                                                         
     shall also deposit education scholarship account program funding                                                           
     into accounts for other children who are being educated in the                                                             
     state as described in AS 44.27.110(2) and who live in the same                                                             
     household as the foster child; in this subparagraph, "foster child"                                                        
     means a child committed to the custody of the Department of                                                                
     Family and Community Services under AS 47.10; or                                                                           
              (D)  the student's family has an income equal to or less                                                          
     than 125 percent of the most recent federal poverty guidelines for                                                         
     the state set by the United States Department of Health and                                                                
     Human Services.                                                                                                            
   * Sec. 25. The uncodified law of the State of Alaska is amended by                                                         
adding a new section to read:                                                                                                   
     RETROACTIVITY. Section 22 of this Act is retroactive to July 1,                                                            
2025.                                                                                                                           
   * Sec. 26. Sections 11 - 14, 22, and 25 of this Act take effect                                                            
June 30, 2025.                                                                                                                  
   * Sec. 27. Sections 1, 2, 5, 6, 10, 15 - 21, 23, and 24 of this Act take                                                   
effect July 1, 2025.                                                                                                            
   * Sec. 28. Except as provided in secs. 26 and 27 of this Act, this Act                                                     
takes effect July 1, 2026."                                                                                                     
                                                                                                                                
Senator Hughes moved for the adoption of Amendment No. 5. Senator                                                               
Tobin objected.                                                                                                                 
                                                                                                                                
Senator Hughes moved and asked unanimous consent to withdraw                                                                    
Amendment No. 5. Without objection, Amendment No. 5 was                                                                         
withdrawn.                                                                                                                      
                                                                                                                                
The bill was automatically in third reading.                                                                                    
                                                                                                                                
The question being: "Shall SENATE CS FOR CS FOR HOUSE BILL                                                                      
NO. 69(FIN) "An Act relating to the base student allocation; and                                                                
providing for an effective date" pass the Senate?" The roll was taken                                                           
with the following result:                                                                                                      
                                                                                                                                
SCS CSHB 69(FIN)                                                                                                                
Third Reading - Final Passage                                                                                                   
                                                                                                                                
YEAS:  11   NAYS:  9   EXCUSED:  0   ABSENT:  0                                                                               
                                                                                                                                

2025-04-11                     Senate Journal                      Page 0832
Yeas:  Bjorkman, Claman, Dunbar, Giessel, Gray-Jackson, Kawasaki,                                                               
Kiehl, Merrick, Stevens, Tobin, Wielechowski                                                                                    
                                                                                                                                
Nays:  Cronk, Hoffman, Hughes, Kaufman, Myers, Olson, Shower,                                                                   
Stedman, Yundt                                                                                                                  
                                                                                                                                
and so, SENATE CS FOR CS FOR HOUSE BILL NO. 69(FIN)                                                                             
passed the Senate.                                                                                                              
                                                                                                                                
Senator Giessel moved for the adoption of the effective date clause.                                                            
                                                                                                                                
The question being: "Shall the effective date clause be adopted?" The                                                           
roll was taken with the following result:                                                                                       
                                                                                                                                
SCS CSHB 69(FIN)                                                                                                                
Effective Date Clause(s)                                                                                                        
                                                                                                                                
YEAS:  20   NAYS:  0   EXCUSED:  0   ABSENT:  0                                                                               
                                                                                                                                
Yeas:  Bjorkman, Claman, Cronk, Dunbar, Giessel, Gray-Jackson,                                                                  
Hoffman, Hughes, Kaufman, Kawasaki, Kiehl, Merrick, Myers,                                                                      
Olson, Shower, Stedman, Stevens, Tobin, Wielechowski, Yundt                                                                     
                                                                                                                                
and so, the effective date clause was adopted.