Legislature(2013 - 2014)HOUSE FINANCE 519

03/31/2014 08:30 AM House FINANCE


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08:35:38 AM Start
08:37:03 AM Confirmation Hearing: Angela Rodell, Department of Revenue
09:16:41 AM HB21
10:21:29 AM HB127
10:32:07 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Confirmation Hearing: TELECONFERENCED
- Commissioner, Dept. of Revenue, Angela Rodell
+ HB 127 OMBUDSMAN TELECONFERENCED
Heard & Held
+= HB 21 FOUR-DAY SCHOOL WEEK TELECONFERENCED
Moved CSHB 21(FIN) Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
HOUSE BILL NO. 21                                                                                                             
                                                                                                                                
     "An Act relating to the length of a school week; and                                                                       
     providing for an effective date."                                                                                          
                                                                                                                                
9:16:41 AM                                                                                                                    
                                                                                                                                
Representative   Costello  MOVED   to  ADOPT   the  proposed                                                                    
committee  substitute for  HB  21,  Work Draft  28-LS0137\S,                                                                    
(Mischel, 3/30/14).                                                                                                             
                                                                                                                                
Co-Chair Stoltze OBJECTED for the purpose of discussion.                                                                        
                                                                                                                                
DANIEL GEORGE,  STAFF, CO-CHAIR  STOLTZE, discussed  the CS.                                                                    
He  explained   that  the   version  before   the  committee                                                                    
mentioned  "alternate school  term"  in place  of "four  day                                                                    
school week."  He said  that Sections  1 and  2 of  the bill                                                                    
defied the  criteria required for  school boards  to address                                                                    
their application  to pursue a  calendar that was  less than                                                                    
172  total  days.   A  section  was  added   to  provide  an                                                                    
alternative  "Days  of  Service" chart,  in  which  teachers                                                                    
could receive  credits toward their retirement  and benefits                                                                    
while working in a shortened calendar year.                                                                                     
                                                                                                                                
Co-Chair  Stoltze WITHDREW  his  OBJECTION.  There being  NO                                                                    
OBJECTION, it was so ordered. The CS was adopted.                                                                               
                                                                                                                                
Representative Wilson endorsed the  changes reflected in the                                                                    
new bill version. She said  that the bill would allow school                                                                    
districts to operate  regularly based on the  number of days                                                                    
in session, or on an alternative schedule based on hours.                                                                       
                                                                                                                                
9:20:34 AM                                                                                                                    
                                                                                                                                
Representative  Costello  relayed   that  other  states  had                                                                    
adopted the practice of measuring  the school year in hours.                                                                    
She  believed that  the practice  would provide  for greater                                                                    
flexibility for crafting  curriculum specific to communities                                                                    
and families.  She believed  that innovative  methods should                                                                    
be explored for delivering education across the state.                                                                          
                                                                                                                                
9:22:17 AM                                                                                                                    
                                                                                                                                
Representative  Guttenberg discussed  Page  2,  line 16.  He                                                                    
asked  how   the  public  comment  would   be  gathered  and                                                                    
presented to the commissioner.                                                                                                  
                                                                                                                                
Representative Wilson  responded that discussion  and public                                                                    
comment would take place at community meetings.                                                                                 
                                                                                                                                
Representative Guttenberg understood that  it would be up to                                                                    
the  school districts  to  demonstrate  to the  commissioner                                                                    
that a meeting was held and that public comment was taken.                                                                      
                                                                                                                                
Representative Wilson  agreed. She  stressed that a  vote of                                                                    
some  sort must  occur by  district  or school  in order  to                                                                    
determine  support.  She  stressed  the  importance  of  not                                                                    
micromanaging districts in order to give them flexibility.                                                                      
                                                                                                                                
9:25:07 AM                                                                                                                    
                                                                                                                                
Representative  Gara  understood  that school  boards  would                                                                    
have  to adopt  any  changes put  forth  by communities.  He                                                                    
cited stipulations in Section 2.                                                                                                
                                                                                                                                
Representative  Wilson  replied  that  a  community  meeting                                                                    
would  occur   first  in  order   to  assess   the  majority                                                                    
consensus. She  stated that  the intent of  the bill  was to                                                                    
achieve  higher  attendance  rates  and  to  enable  student                                                                    
participation in sports and other  activities. She said that                                                                    
another  discussion would  occur at  the school  board level                                                                    
where public testimony would again be taken.                                                                                    
                                                                                                                                
Representative  Gara surmised  that the  school board  would                                                                    
make the ultimate decision on the school schedule.                                                                              
                                                                                                                                
9:28:18 AM                                                                                                                    
                                                                                                                                
Representative  Wilson  replied   in  the  affirmative.  She                                                                    
clarified  that the  bill required  that there  be a  public                                                                    
comment period  and that  the public  opinion, not  just the                                                                    
school board's decision, be taken  into consideration by the                                                                    
commissioner.                                                                                                                   
                                                                                                                                
Representative  Gara  requested   assurances  that  students                                                                    
would be  required to be in  school for a certain  number of                                                                    
hours,  regardless of  the number  of days,  and that  there                                                                    
would be no changes in retirement benefits for teachers.                                                                        
                                                                                                                                
9:30:16 AM                                                                                                                    
                                                                                                                                
Representative  Wilson  said  that the  bill  addressed  the                                                                    
retirement  issue; teachers  would receive  the full  year's                                                                    
retirement credit.                                                                                                              
                                                                                                                                
Co-Chair Stoltze OPENED public testimony.                                                                                       
                                                                                                                                
Co-Chair Stoltze CLOSED public testimony.                                                                                       
                                                                                                                                
Co-Chair Stoltze  warned of  the complications  and possible                                                                    
litigation that could arise from altering schedules.                                                                            
MICHAEL  HANLEY, COMMISSIONER,  DEPARTMENT OF  EDUCATION AND                                                                    
EARLY  DEVELOPMENT,   replied  that   the  ability   for  an                                                                    
alternate calendar  was in current  statute. He  shared that                                                                    
the language of the statute  specified that the hours needed                                                                    
to be  equivalent to  a 180  school year.  He said  that the                                                                    
schedule  could  be  crafted  in  order  to  meet  the  time                                                                    
requirements for retirement benefits.  He referenced Page 2,                                                                    
line  3, which  stated that  the hours  no longer  needed to                                                                    
meet the equivalent  of a 180 day school  year. He furthered                                                                    
that the hours currently  referenced in statute were minimal                                                                    
floor hours and were used  for situations in which disasters                                                                    
took  place and  calendars needed  to be  adjusted. He  said                                                                    
that  by removing  the 180  connection  the school  district                                                                    
would be allowed to approve  a calendar that met the minimal                                                                    
number of  hours and could result  in up to 7  weeks less of                                                                    
instruction  for  students.  He  felt  that  shortening  the                                                                    
school year  would not  be beneficial  to students.  He felt                                                                    
that  very   few  school  districts   would  switch   to  an                                                                    
alternative  schedule  and  those   would  likely  be  small                                                                    
districts that had unique situations.                                                                                           
                                                                                                                                
9:36:47 AM                                                                                                                    
                                                                                                                                
KATHY  LEA,  DEPUTY  DIRECTOR, DIVISION  OF  RETIREMENT  AND                                                                    
BENEFITS,  DEPARTMENT  OF   ADMINISTRATION,  testified  that                                                                    
teacher's working  for a school  district that  had received                                                                    
approval  from   the  Department  of  Education   and  Early                                                                    
Development to be on an  alternate school term would receive                                                                    
a year's worth of service toward retirement.                                                                                    
                                                                                                                                
Co-Chair Stoltze  asked about the contract  negotiations. He                                                                    
understood  the responsibility  to fund,  but wondered  what                                                                    
would happen  if the change  was unsuccessful and had  to be                                                                    
reversed mid-year.                                                                                                              
                                                                                                                                
9:38:06 AM                                                                                                                    
                                                                                                                                
Representative Wilson  replied that contracts would  need to                                                                    
be  renegotiated.  She  believed  that  some  schools  would                                                                    
embrace the  idea and that  others would not  take advantage                                                                    
of the opportunity.                                                                                                             
                                                                                                                                
Co-Chair Stoltze  reiterated that  it would be  difficult to                                                                    
reverse from a four day week back to a five day week.                                                                           
                                                                                                                                
9:41:03 AM                                                                                                                    
                                                                                                                                
Representative  Munoz asked  how  many  hours students  were                                                                    
required to be in school during the 180 days.                                                                                   
                                                                                                                                
Commissioner  Hanley replied  that  the school  day was  6.5                                                                    
hours  long; typically  1020  hours in  the  180 day  school                                                                    
year.                                                                                                                           
                                                                                                                                
Representative  Munoz understood  that the  proposal in  the                                                                    
bill would lower the hours by 120.                                                                                              
                                                                                                                                
Commissioner  Hanley replied  yes, that  it would  allow the                                                                    
minimum  number of  hours. He  clarified  that the  district                                                                    
currently had  a 180 day school  year with 10 of  those days                                                                    
being in-service days.                                                                                                          
                                                                                                                                
9:42:47 AM                                                                                                                    
                                                                                                                                
Representative Gara  understood that  the bill  would result                                                                    
in some districts offering less school hours.                                                                                   
                                                                                                                                
Commissioner   Hanley  replied   that   the  minimal   hours                                                                    
recognized a minimum  school day set at 4  hours for younger                                                                    
students, and  5 hours for older.  He said that that  was in                                                                    
statute to  recognize days with parent  conferences or early                                                                    
release. He  said that there  were no school  districts that                                                                    
operated daily for  4 or 5 hours, but for  longer periods of                                                                    
time. He  stressed that even  though the minimum  was there,                                                                    
when the  180 or 170  student days  was in place,  over 1000                                                                    
hours was typical.                                                                                                              
                                                                                                                                
Representative  Gara asked  if  student  would be  attending                                                                    
school  for the  same  number  of hours  or  less under  the                                                                    
legislation.                                                                                                                    
                                                                                                                                
Commissioner  Hanley replied  that  it would  be  up to  the                                                                    
districts. The  bill would allow  them to come  forward with                                                                    
fewer days and fewer hours.                                                                                                     
                                                                                                                                
Representative Gara expressed concern  that student would be                                                                    
attending school for fewer hours than they were currently.                                                                      
                                                                                                                                
Commissioner  Hanley  replied   that  currently  all  school                                                                    
districts  exceeded the  minimum  number of  hours. He  said                                                                    
that shifting  to 4  days a week,  while keeping  the school                                                                    
day the  same number  of hours,  would reduce  the student's                                                                    
time in school by 20 percent.                                                                                                   
                                                                                                                                
9:46:32 AM                                                                                                                    
                                                                                                                                
Representative Edgmon asked why  the schedule approval would                                                                    
be left up to the board and not the department.                                                                                 
                                                                                                                                
Representative Wilson replied the  decision would be a local                                                                    
one.  She said  that once  the  plan was  determined by  the                                                                    
school  board it  would advance  to the  department and  the                                                                    
department  would  ensure  that  the plan  met  all  of  the                                                                    
necessary requirements.                                                                                                         
                                                                                                                                
Representative  Edgmon  asked  why the  board  of  education                                                                    
needed to  be involved  when the  decision could  be handled                                                                    
solely be the department.                                                                                                       
                                                                                                                                
9:48:06 AM                                                                                                                    
                                                                                                                                
Commissioner  Hanley  replied  that currently  local  school                                                                    
boards set the yearly  calendars, which the bill maintained.                                                                    
The only change  would be approval from  the commissioner of                                                                    
the  department  when dropping  below  a  certain number  of                                                                    
days.                                                                                                                           
                                                                                                                                
9:50:11 AM                                                                                                                    
                                                                                                                                
Representative Munoz asked  whether the commissioner already                                                                    
had the ability to approve the alternative schedule.                                                                            
                                                                                                                                
Commissioner Hanley replied yes.                                                                                                
                                                                                                                                
Representative   Munoz  wondered   whether   the  bill   was                                                                    
necessary  given  the  authority   already  offered  to  the                                                                    
commissioner.                                                                                                                   
                                                                                                                                
Commissioner Hanley  replied that the bill  changed the time                                                                    
a  teacher  needed to  work  to  achieve  the full  year  of                                                                    
retirement credit.                                                                                                              
                                                                                                                                
Representative  Wilson   thought  that   the  commissioner's                                                                    
authority was based on a 4 day school week.                                                                                     
                                                                                                                                
Commissioner Hanley  replied that the authority  offered him                                                                    
the  ability  to approve  an  alternate  calendar that  fell                                                                    
below the currently required days.  He noted that there were                                                                    
a  significant number  of  alternative  calendars that  were                                                                    
already being used.                                                                                                             
                                                                                                                                
Representative  Wilson believed  that if  that was  the case                                                                    
then  the  main  issue  would be  to  ensure  that  teachers                                                                    
received the  full year's retirement credit  for working the                                                                    
alternate calendar  years. She  stressed that the  intent of                                                                    
the bill was not about  teachers working less, but addressed                                                                    
that a  school with  a 172  day calendar  did not  mean that                                                                    
students were  in the school  for all  of the 172  days. She                                                                    
said that the alternate schedule was to improve attendance.                                                                     
                                                                                                                                
9:54:10 AM                                                                                                                    
                                                                                                                                
Representative  Thompson  wondered  whether  shortening  the                                                                    
school week would result in a better product.                                                                                   
                                                                                                                                
Representative Wilson appreciated  the concern. She believed                                                                    
that  allowing   flexibility  to  districts   would  improve                                                                    
attendance  levels. She  believed  that  the community  lead                                                                    
decision making process was a safeguard.                                                                                        
                                                                                                                                
9:57:36 AM                                                                                                                    
                                                                                                                                
Representative Edgmon understood that  the bill would put in                                                                    
place a pilot program that  would enable school districts to                                                                    
better utilize custom calendar  models. He expressed concern                                                                    
that  only  a small  number  of  school districts  statewide                                                                    
would  be able  to participate  in the  program. He  relayed                                                                    
that  in bush  Alaska  the  schools were  the  pulse of  the                                                                    
community  during the  school year.  He expressed  disbelief                                                                    
that any of the smaller schools  would elect to shift to a 4                                                                    
day week.  He thought that  the bill was idealistic  and not                                                                    
realistic.                                                                                                                      
                                                                                                                                
9:59:52 AM                                                                                                                    
                                                                                                                                
Representative  Costello asked  if  the conscience  decision                                                                    
had been  made by the sponsor  to not involve a  policy call                                                                    
in changing what  was currently required in  statute for the                                                                    
minimum hours for schools.                                                                                                      
                                                                                                                                
Representative Wilson  responded that the 4  day school week                                                                    
was already statute  and could be implemented  by the school                                                                    
board  without  community  involvement. She  said  that  the                                                                    
issue that  the bill  addressed was the  retirement portion.                                                                    
She felt that further discussions  needed to be had with the                                                                    
commissioner  concerning  the  parameters of  the  alternate                                                                    
schedule possibilities. She felt  that any changes should be                                                                    
directed  by   a  community   decision.  She   thought  that                                                                    
community   involvement  in   dramatic   changes  would   be                                                                    
imperative in order for the change to be successful.                                                                            
                                                                                                                                
Co-Chair Stoltze  clarified that  the latest version  of the                                                                    
bill did not categorize the program as a pilot program.                                                                         
                                                                                                                                
10:02:35 AM                                                                                                                   
                                                                                                                                
Representative  Costello  asked  if the  legislature  should                                                                    
increase  the  minimum  hours  of  a  school  day  in  state                                                                    
statute.                                                                                                                        
                                                                                                                                
Commissioner  Hanley replied  that  a separate  conversation                                                                    
was necessary to address the issue.                                                                                             
                                                                                                                                
Representative Costello  agreed. She stressed that  the bill                                                                    
was  not  an  effort  to  reduce the  number  of  hours  for                                                                    
schools, but was an effort  to give schools more flexibility                                                                    
in their calendar.                                                                                                              
                                                                                                                                
ANDY   MILLS,  SPECIAL   ASSISTANT   TO  THE   COMMISSIONER,                                                                    
DEPARTMENT OF  ADMINISTRATION, pointed out to  the committee                                                                    
that Page 2,  line 19. He spoke to AS  14.25.22, which spoke                                                                    
to a  calendar for pension  service credit for  teacher that                                                                    
was 133 days or more.                                                                                                           
                                                                                                                                
Co-Chair  Stoltze agreed  that changes  should be  made with                                                                    
caution.                                                                                                                        
                                                                                                                                
Mr. Mills replied  that it would be something  to watch for.                                                                    
He said that any changes to  hours would be very much a part                                                                    
of the contract negotiations.                                                                                                   
                                                                                                                                
Co-Chair Stoltze  asserted that absolutely changes  would be                                                                    
addressed in the contract negotiation process.                                                                                  
                                                                                                                                
Representative Gara  expressed concern that  districts would                                                                    
reduce the number of student school hours.                                                                                      
                                                                                                                                
10:09:19 AM                                                                                                                   
                                                                                                                                
Representative  Wilson   believed  that  the  issue   was  a                                                                    
separate discussion.  She said that the  state currently did                                                                    
not  mandate  more than  172  days.  She asked  whether  the                                                                    
success of  a student  was measured by  the amount  of hours                                                                    
spent  in the  classroom  or test  scores.  She assured  the                                                                    
committee  that the  bill  would not  change  the amount  of                                                                    
hours currently required. The bill  was meant to address the                                                                    
issue of retirement. She contended  that the district needed                                                                    
support and flexibility rather than additional regulation.                                                                      
                                                                                                                                
10:13:24 AM                                                                                                                   
                                                                                                                                
Representative Guttenberg asked whether  there was an appeal                                                                    
process in place  for those who could be  opposed to changes                                                                    
in their districts.                                                                                                             
                                                                                                                                
Commissioner Hanley replied  that items 1 through  3 on Page                                                                    
2 listed the current requirements.  He said that the current                                                                    
statute  indicated  that  the school  board  would  adopt  a                                                                    
schedule that would be approved by the commissioner.                                                                            
                                                                                                                                
10:15:40 AM                                                                                                                   
                                                                                                                                
Representative  Costello  discussed  the two  fiscal  notes.                                                                    
Both had zero fiscal impact.                                                                                                    
                                                                                                                                
Co-Chair Stoltze  stated that a  letter of intent  should be                                                                    
drafted  to   accompany  the  legislation   that  recognized                                                                    
unstated but potential future costs.                                                                                            
                                                                                                                                
Representative Wilson agreed to include a letter of intent.                                                                     
                                                                                                                                
Representative Costello MOVED to  REPORT CSHB 21(FIN) out of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes. There  being NO OBJECTION, it was                                                                    
so ordered.                                                                                                                     
                                                                                                                                
CSHB  21(FIN)   was  REPORTED  out  of   committee  with  no                                                                    
recommendation  and  with  one  new zero  fiscal  note  from                                                                    
Department of  Education and Early  Development and  one new                                                                    
zero fiscal note from Department of Administration.                                                                             
                                                                                                                                
10:18:54 AM                                                                                                                   
AT EASE                                                                                                                         
                                                                                                                                
10:21:18 AM                                                                                                                   
RECONVENED                                                                                                                      
                                                                                                                                

Document Name Date/Time Subjects
HB127 Sponsor Statement March 26 2014.pdf HFIN 3/31/2014 8:30:00 AM
HB 127
HB127 Explanation of Changes March 26 2014.pdf HFIN 3/31/2014 8:30:00 AM
HB 127
HB 21 - CS(FIN) - Ver S - 3.30.14.pdf HFIN 3/31/2014 8:30:00 AM
HB 21