Legislature(2023 - 2024)DAVIS 106
04/25/2023 03:00 PM House HEALTH & SOCIAL SERVICES
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| Confirmation Hearings Board of Dental Examiners | |
| SJR10 | |
| HB127 | |
| HB89 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | SJR 10 | TELECONFERENCED | |
| += | HB 127 | TELECONFERENCED | |
| += | HB 89 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
HB 89-DAY CARE ASSIST./CHILD CARE GRANT PROGRAM
[Contains discussion of HB 46.]
3:59:10 PM
CHAIR PRAX announced that the final order of business would be
HOUSE BILL NO. 89, "An Act relating to the day care assistance
program and the child care grant program; and providing for an
effective date."
3:59:32 PM
REPRESENTATIVE JULIE COULOMBE, Alaska State Legislature, as
prime sponsor, presented HB 89. She explained that the proposed
legislation is based on child care reform and the best practices
developed in other states. She continued that the proposed
legislation would help families return to the workforce,
stimulate economic growth by filling jobs, ensure safe care for
children, and prepare children to enter the public education
system. The legislation would align the subsidy level to
reflect the actual cost of care, expanding the number of
families who can afford child care, thus strengthening the child
care system. She stated that the Department of Health (DOH) has
started a survey to determine the actual cost of care. From
conversations with legislators, she expressed the understanding
there is some resistance for subsidies because "parents should
be home with their children." She argued that things are
different now. She explained that when she and her husband
raised their children, she was able to stay home while her
husband worked. Now single-parent homes range from 27 percent
up to 56 percent, depending on the community. She continued
that single parents needing to work have a difficult time
finding child care, and two-parent families, where both parents
must work, are also having a difficult time. She expressed the
opinion that having a parent in the home would be the best
scenario, but things are not the same as they were 30 years ago.
She explained that in the past communities would come together
and family members would watch children. She suggested that
this still happens, but it would not fix the current problem,
and more needs to happen to address the crisis.
REPRESENTATIVE COULOMBE, referencing the labor shortage, stated
that HB 89 is a workforce bill, as it would help parents reenter
the labor market. From her background in business, she
expressed the understanding that child care facilities are not
viable business models. She explained that the money coming
into child care facilities is not the actual cost to run the
business, so there needs to be a subsidy. She stated that there
are differences of opinions whether [child care facilities]
should be [considered as part of] business, government, or
community. She maintained that investing in child care is an
investment in children, and, as a business model, the cost of
top-quality child care will never be affordable to families.
She argued that good child care would have to be subsidized, and
the proposed legislation would help move toward the actual cost
of care, aligning this with the need. On a personal note, she
said, she is putting forth the legislation because she is "pro-
life." She voiced the challenge for others to look at HB 89 as
a "pro-life bill." She expressed the opinion that abortion
happens because of economic reasons. She said, "If I can help
save a child and help a woman to know she's going to get the
help she needs once a child is born; I am going to do whatever
it takes for that to happen."
4:04:53 PM
CHAIR PRAX opened public testimony on HB 89.
4:05:12 PM
BLUE SHIBLER, Executive Director, Southeast Alaska Association
for the Education of Young Children, testified in support of HB
89. She stated that the non-profit agency has been serving
Southeast Alaska for four decades. She thanked the bill sponsor
and committee for supporting Alaska's families. She stated that
HB 89 would address the affordability component in the issue of
child care in Alaska. She pointed out that most people think
child care is just for young children; however, licensed care is
also needed for students before and after school. The cost of
this care can be just as expensive as the care for younger
children. She stated that last year the agency had been able to
provide help for more than 20 families in Juneau who did not
qualify for assistance and could not afford to pay for school-
age child care. She gave examples of the diverse makeup of
these families, which included single mothers, grandparents
caring for grandchildren, and situations where both parents
worked and were not home after school. She stated that support
would make child care more affordable for working families, and
parents would be able to make better choices for their children.
4:08:41 PM
KRISTEN CARPENTER, Executive Director, Prince William Sound
Economic Development District, testified in support of HB 89.
She thanked the committee members. She echoed the comments made
about the importance of increasing the affordability of child
care. She stated that her agency has been questioning families
in the area about their needs, and the resounding issues have
been housing and the affordability and availability of child
care. She stated that increasing income eligibility for
assistance would help parents afford child care, while making
child care more available would enable parents to enter the
workforce. She added that this would also help the local
economy.
4:11:30 PM
CHAIR PRAX, after ascertaining that there was no one who wished
to testify, closed public testimony on HB 89.
4:11:42 PM
REPRESENTATIVE FIELDS moved to adopt Amendment 1 to HB 89,
labeled 33-LS0518\A.2, Bergerud, 3/20/23, which read as follows:
Page 2, following line 8:
Insert a new bill section to read:
"* Sec. 2. AS 47.25.041 is amended to read:
Sec. 47.25.041. Contributions by parent or
guardian. The department shall develop a sliding fee
scale [BASED ON THE FACTORS LISTED IN AS 47.25.031]
for purposes of determining the amount to be
contributed by the parent or guardian for child care
based on the factors listed in AS 47.25.031 and the
actual average cost of providing child care as
determined under AS 47.25.071(c) at the day care
facility chosen by the parent or guardian under
AS 47.25.051(a). The contribution of the parent or
guardian shall be paid to the day care facility."
Renumber the following bill sections accordingly.
Page 2, line 22:
Delete "sec. 2"
Insert "sec. 3"
Page 2, line 29:
Delete "sec. 2"
Insert "sec. 3"
REPRESENTATIVE SADDLER objected for the purpose of discussion.
4:11:48 PM
REPRESENTATIVE FIELDS stated that all four of the amendments he
is offering are in coordination with the bill sponsor and have
been reviewed by DOH. He thanked the bill sponsor and
department for their hard work. He explained that Amendment 1
would put in statute a sliding fee scale, expanding income
eligibility. Families at the higher end of the eligibility
spectrum would have a lower percentage of their care costs
covered. He advised that this would "stretch" dollars further,
helping more families. He noted that DOH already has a sliding
scale for eligible families, so this would be codifying and
supporting an existing practice.
4:13:06 PM
REPRESENTATIVE COULOMBE referenced Representative Sumner's
comments made during the first hearing on the proposed
legislation. She stated that the comments contributed to the
amendment. She stated that Amendment 1 would help parents whose
increased income affected their eligibility for child care. She
stated that this would help these parents from "falling off the
cliff."
4:13:34 PM
REPRESENTATIVE SADDLER withdrew his objection. There being no
further objection, Amendment 1 was adopted.
4:13:51 PM
REPRESENTATIVE FIELDS moved to adopt Amendment 2 to HB 89, as
amended, labeled 33-LS0518\A.3, Bergerud, 3/16/23, which read as
follows:
Page 1, lines 11 - 12:
Delete "300 percent of the federal poverty line"
Insert "105 percent of the median household
income"
REPRESENTATIVE SADDLER objected for the purpose of discussion.
4:13:59 PM
REPRESENTATIVE FIELDS stated that the proposed legislation
should be consistent with federal regulations, and Amendment 2
would change the measure for assistance from the federal poverty
line to the median household income.
4:14:56 PM
REPRESENTATIVE SADDLER withdrew his objection. There being no
further objection, Amendment 2 was adopted.
4:15:10 PM
REPRESENTATIVE FIELDS moved to adopt Amendment 3 to HB 89, as
amended, labeled 33-LS0518\A.4, Wallace/Bergerud, 4/01/23. [Due
to its length, Amendment 3 can be found at the end of the
minutes for HB 89.]
REPRESENTATIVE SADDLER objected for the purpose of discussion.
REPRESENTATIVE FIELDS stated that Amendment 3 would provide a 50
percent tax credit under the education tax credit structure for
corporations which make investments in child care. The
investment could be a capital investment or an investment
through stipends for employees. He stated that this suggestion
came from Representatives Ruffridge and Sumner in a previous
committee concerning HB 46. He stated that, if the amendment is
adopted, this element from HB 46 would be used, as HB 89 would
be the "best vehicle" to advance the provision to the floor. He
stated that the commissioner has also discussed the idea of
supporting the private sector in making investments. Given the
state's limited resources, he voiced the opinion that the state
cannot do this alone.
4:16:19 PM
REPRESENTATIVE SADDLER pointed out that the amendment would
triple the allowable cap for business contributions. Concerning
the fiscal impacts, he questioned the amount of money involved
in the education tax credit.
REPRESENTATIVE FIELDS responded that in terms of changing the
cap and applying it to child care, DOH has provided a chart
which shows the cost to be "modest." In response to a follow-up
question, he explained that the amendment was previously added
to HB 46; therefore, the fiscal note is attached to HB 46, with
the identifier: CSHB046(L&C)-DOR-Tax-03.03.23. He stated that
the chart indicated that raising the annual credit limit to $3
million would cost $800,000 for fiscal year 2025 (FY 25), $1.6
million for FY 26, $1.6 million for FY 27, and $800,000 for FY
28. He said, "Extending the repeal ... also has a cost impact;
although, I would note there is a separate bill from
Representative Ruffridge that is going to extend this anyway.
So ... that's not really going to be impacted by whether we
adopt this amendment, or not."
4:18:35 PM
REPRESENTATIVE SUMNER expressed the understanding that the
education tax credit was once $5 million; therefore, $3 million
would be almost splitting this amount.
4:18:51 PM
REPRESENTATIVE RUFFRIDGE explained that the House Education
Standing Committee heard HB 46 last week, and he related that
for the last two fiscal years, the total credit claimed had been
between $2 million and $5 million against the current tax paid.
He noted the significant reduction in past years. He stated
that the total credit claimed has never gone over $9 million in
the past 10 years, as it has averaged around $4 million to $6
million per year.
4:19:47 PM
REPRESENTATIVE SADDLER withdrew his objection. There being no
further objection, Amendment 3 was adopted.
4:20:10 PM
REPRESENTATIVE FIELDS moved to adopt Amendment 4 to HB 89, as
amended, labeled 33-LS0518\A.5, Wallace/Bergerud, 3/29/23, which
read as follows:
Page 2, following line 15:
Insert a new bill section to read:
"* Sec. 3. AS 47.25.071 is amended by adding a new
subsection to read:
(i) In addition to the grants provided in (a)
and (d) of this section, the department may, subject
to appropriations for that purpose, provide grants to
the highest performing and highest quality child care
facilities in the state. The department may use
quality recognition and improvement system metrics to
determine the highest performing and highest quality
child care facilities in the state. To receive a grant
under this subsection, the child care facility must be
currently licensed under AS 47.32 and applicable
municipal licensing requirements."
Renumber the following bill sections accordingly.
Page 2, line 25:
Delete "This Act takes"
Insert "Sections 1 and 2 of this Act take"
Page 3, line 4:
Delete "this Act takes effect, it takes"
Insert "secs. 1 and 2 of this Act take effect,
they take"
CHAIR PRAX objected for the purpose of discussion.
4:20:20 PM
REPRESENTATIVE FIELDS commented that child care has been
discussed in diverse states across the country. He stated that
many of these "best practices" were discussed at the Hunt
Institute's workshop on child care, including the suggestion of
aligning grants to support quality in child care facilities. He
stated that currently there are some systems to encourage child
care quality, but child care grants are not used to incentivize
this. Concerning DOH's ability to provide grants to support the
highest quality child care facilities in the state, he pointed
out that the language "may" is used in the amendment. He
expressed the understanding that this language would allow DOH
to choose to provide more child care assistance to the
facilities which achieve a higher degree of quality. He stated
that facilities currently have a posted notification, or
sticker, indicating their level in the quality-rating system.
He suggested that it would make sense to encourage and reward
facilities that work to achieve a higher degree of quality. He
stated that the amendment would not increase costs, rather
resources would be used more efficiently.
4:22:03 PM
REPRESENTATIVE SADDLER stated that Amendment 4 would enable DOH
to use a quality recognition and improvement system. He
questioned the definition of "highest performing" and the
elements used to judge this.
4:22:59 PM
CHRISTINA HULQUIST, Program Officer, Child Care Program Office,
Division of Public Assistance, Department of Health, stated that
the department supports the Learn and Grow program. She stated
that this program is a voluntary quality recognition and
improvement system. It consists of requirements which have to
be met in order to reach the different levels of quality. She
offered to follow up to the committee with a description of each
level.
REPRESENTATIVE FIELDS, with additional information, stated that
"quality" includes the facility's level of safety, instruction,
social interaction, and other elements which help children
succeed as they enter school.
4:24:34 PM
REPRESENTATIVE SADDLER questioned the parameters used to
evaluate the performance of facilities.
MS. HULQUIST reiterated that Learn and Grow is Alaska's quality
recognition and improvement system, and child care facilities
choose to participate. She explained that two levels have
currently been established, with the remaining levels still
being developed. To be included in the system the facilities
would need to be licensed and have professional development.
She stated that there is also a program which helps facilities
succeed. She explained that [high quality care] includes social
and emotional support, evaluations, and assessment curriculum
for children. She reiterated that she would follow up with a
written description explaining in more detail the Learn and Grow
system.
MS. HULQUIST, in response to a series of questions, answered
that there are about 200 child care providers voluntarily
participating in the Learn and Grow program. She answered that
the 200 providers participating would be out of about 450
licensed child care providers in the state. Concerning how many
of the 200 providers would be eligible for grants, she stated
that because of the use of the language "may" in the amendment,
this would need to be interpreted. She explained that any
facility participating in the Learn and Grow program could begin
in the first two levels. In reference to the range of high
quality, she said the system contains five levels, and
eligibility for grants is still being determined. She stated
that participating in the system would represent a level of
quality.
REPRESENTATIVE SADDLER, with a follow-up comment, expressed the
assumption that the fifth level would be the highest, and the
grants would be preserved for these programs. He said, "If
everyone is special, no one is special," and there would be no
quality difference if every program is the highest.
4:29:38 PM
CHAIR PRAX withdrew his objection. There being no further
objection, Amendment 4 was adopted.
4:30:49 PM
HEATHER CARPENTER, Health Care Policy Advisor, Office of the
Commissioner, Department of Health, raised the awareness that
the governor has issued an administrative order to create a
child care task force. She stated that the task force will
address the same issues HB 89 would address, which includes
Representative Saddler's line of questioning. She stated this
includes the options for the definition of "high quality" and
stabilizing child care in the state. She informed the committee
that DOH has been given the task by the governor to come up with
options to stabilize the sector. She stated that the department
will work with child care providers and report back to the
legislature. In response to Chair Prax, she stated that the
date the report will be ready is not definite, as work needs to
be done quickly.
4:31:56 PM
REPRESENTATIVE SADDLER questioned the source of funding for the
grants in Amendment 4.
MS. CARPENTER responded that the federal government provides a
block grant from the Administration of Children and Families,
which would cover the grants, as well as the subsidy to parents.
She reminded the committee of the "three levers," which are:
adding to grants, stabilizing the rates and subsidies parents
are paying, and addressing the market rate the department is
paying.
REPRESENTATIVE SADDLER expressed the understanding that the
federal block grant could go toward direct grants to parents and
child care centers. He questioned the third way grants would be
addressed.
MS. CARPENTER responded that the third option concerns the
market rate. She explained that this relates to DOH's market
survey, and the actual rate of reimbursement by the department.
REPRESENTATIVE SADDLER expressed the hope that parents would not
be shorted in the effort to support child care centers.
4:33:49 PM
REPRESENTATIVE RUFFRIDGE moved to report HB 89, as amended, out
of committee with individual recommendations and the
accompanying fiscal notes. There being no objection, CSHB
89(HSS) was reported out of the Health and Social Services
Standing Committee.
[Amendment 3, labeled 33-LS0518\A.4, Wallace/Bergerud, 4/01/23,
adopted by the committee, was placed here because of its
length]:
Page 1, line 1:
Following "Act":
Insert "relating to education tax credits for
certain payments and contributions for child care and
child care facilities; relating to the insurance tax
education credit, the income tax education credit, the
oil or gas producer education credit, the property tax
education credit, the mining business education
credit, the fisheries business education credit, and
the fisheries resource landing tax education credit;"
Following "program;":
Insert "providing for an effective date by
amending the effective date of secs. 1, 2, and 21, ch.
61, SLA 2014;"
Page 1, following line 3:
Insert new bill sections to read:
"* Section 1. AS 21.96.070(a) is amended to read:
(a) A taxpayer is allowed a credit against the
tax due under AS 21.09.210 or AS 21.66.110 for
[CONTRIBUTIONS OF CASH OR EQUIPMENT ACCEPTED]
(1) contributions of cash or equipment
accepted for direct instruction, research, and
educational support purposes, including library and
museum acquisitions, and contributions to endowment,
by an Alaska university foundation or by a nonprofit,
public or private, Alaska two-year or four-year
college accredited by a national or regional
accreditation association;
(2) contributions of cash or equipment
accepted for secondary school level vocational
education courses, programs, and facilities by a
school district in the state;
(3) contributions of cash or equipment
accepted for vocational education courses, programs,
and facilities by a state-operated vocational
technical education and training school;
(4) contributions of cash or equipment
accepted for a facility by a nonprofit, public or
private, Alaska two-year or four-year college
accredited by a national or regional accreditation
association;
(5) contributions of cash or equipment
accepted for Alaska Native cultural or heritage
programs and educational support, including mentoring
and tutoring, provided by a nonprofit agency for
public school staff and for students who are in grades
kindergarten through 12 in the state; [AND]
(6) contributions of cash or equipment
accepted for education, research, rehabilitation, and
facilities by an institution that is located in the
state and that qualifies as a coastal ecosystem
learning center under the Coastal America Partnership
established by the federal government;
(7) expenditures made to operate a child
care facility in the state for the children of the
taxpayer's employees;
(8) contributions of cash or equipment
accepted by a child care facility in the state
operated by a nonprofit corporation and attended by
one or more children of the taxpayer's employees; and
(9) a payment to an employee of the
taxpayer made by the taxpayer for the purpose of
offsetting the employee's child care costs incurred in
the state.
* Sec. 2. AS 21.96.070(d) is amended to read:
(d) A contribution claimed as a credit under
this section may not
(1) be the basis for a credit claimed under
another provision of this title; and
(2) when combined with contributions that
are the basis for credits taken during the taxpayer's
tax year under AS 43.20.014, AS 43.55.019,
AS 43.56.018, AS 43.65.018, AS 43.75.018, or
AS 43.77.045, result in the total amount of credits
exceeding $3,000,000 [$1,000,000]; if the taxpayer is
a member of an affiliated group, then the total amount
of credits may not exceed $3,000,000 [$1,000,000] for
the affiliated group; in this paragraph, "affiliated
group" has the meaning given in AS 43.20.145.
* Sec. 3. AS 21.96.070 is amended by adding a new
subsection to read:
(g) Beginning January 1, 2030, and every five
years thereafter, the Department of Labor and
Workforce Development shall adjust the dollar limit on
credits under (d) of this section for inflation, using
100 percent of the change over the preceding five
calendar years in the Consumer Price Index for all
urban consumers for urban Alaska, compiled by the
Bureau of Labor Statistics, United States Department
of Labor.
* Sec. 4. AS 43.20.014(a) is amended to read:
(a) A taxpayer is allowed a credit against the
tax due under this chapter for [CONTRIBUTIONS OF CASH
OR EQUIPMENT ACCEPTED FOR]
(1) contributions of cash or equipment
accepted for direct instruction, research, and
educational support purposes, including library and
museum acquisitions, and contributions to endowment,
by an Alaska university foundation, by a nonprofit,
public or private, Alaska two-year or four-year
college accredited by a national or regional
accreditation association, or by a public or private
nonprofit elementary or secondary school in the state;
(2) contributions of cash or equipment
accepted for secondary school level vocational
education courses, programs, and facilities by a
school district in the state;
(3) contributions of cash or equipment
accepted for vocational education courses, programs,
equipment, and facilities by a state-operated
vocational technical education and training school, a
nonprofit regional training center recognized by the
Department of Labor and Workforce Development, and an
apprenticeship program in the state that is registered
with the United States Department of Labor under 29
U.S.C. 50 - 50b (National Apprenticeship Act);
(4) contributions of cash or equipment
accepted for a facility by a nonprofit, public or
private, Alaska two-year or four-year college
accredited by a national or regional accreditation
association or by a public or private nonprofit
elementary or secondary school in the state;
(5) contributions of cash or equipment
accepted for Alaska Native cultural or heritage
programs and educational support, including mentoring
and tutoring, provided by a nonprofit agency for
public school staff and for students who are in grades
kindergarten through 12 in the state;
(6) contributions of cash or equipment
accepted for education, research, rehabilitation, and
facilities by an institution that is located in the
state and that qualifies as a coastal ecosystem
learning center under the Coastal America Partnership
established by the federal government;
(7) contributions of cash or equipment
accepted for the Alaska higher education investment
fund under AS 37.14.750;
(8) contributions of cash or equipment
accepted for funding a scholarship awarded by a
nonprofit organization to a dual-credit student to
defray the cost of a dual-credit course, including the
cost of
(A) tuition and textbooks;
(B) registration, course, and programmatic
student fees;
(C) on-campus room and board at the
postsecondary institution in the state that provides
the dual-credit course;
(D) transportation costs to and from a
residential school approved by the Department of
Education and Early Development under AS 14.16.200 or
the postsecondary school in the state that provides
the dual-credit course; and
(E) other related educational and
programmatic costs;
(9) contributions of cash or equipment
accepted for constructing, operating, or maintaining a
residential housing facility by a residential school
in the state approved by the Department of Education
and Early Development under AS 14.16.200;
(10) contributions of cash or equipment
accepted for childhood early learning and development
programs and educational support to childhood early
learning and development programs provided by a
nonprofit corporation organized under AS 10.20, a
tribal entity, or a school district in the state, by
the Department of Education and Early Development, or
through a state grant;
(11) contributions of cash or equipment
accepted for science, technology, engineering, and
math programs provided by a nonprofit agency or a
school district for school staff and for students in
grades kindergarten through 12 in the state; [AND]
(12) contributions of cash or equipment
accepted for the operation of a nonprofit organization
dedicated to providing educational opportunities that
promote the legacy of public service contributions to
the state and perpetuate ongoing educational programs
that foster public service leadership for future
generations of residents of the state;
(13) expenditures made to operate a child
care facility in the state for the children of the
taxpayer's employees;
(14) contributions of cash or equipment
accepted by a child care facility in the state
operated by a nonprofit corporation and attended by
one or more children of the taxpayer's employees; and
(15) a payment to an employee of the
taxpayer made by the taxpayer for the purpose of
offsetting the employee's child care costs incurred in
the state.
* Sec. 5. AS 43.20.014(d) is amended to read:
(d) A contribution claimed as a credit under
this section may not
(1) be the basis for a credit claimed under
another provision of this title;
(2) also be allowed as a deduction under 26
U.S.C. 170 against the tax imposed by this chapter;
and
(3) when combined with contributions that
are the basis for credits taken during the taxpayer's
tax year under AS 21.96.070, AS 43.55.019,
AS 43.56.018, AS 43.65.018, AS 43.75.018, or
AS 43.77.045, result in the total amount of credits
exceeding $3,000,000 [$1,000,000]; if the taxpayer is
a member of an affiliated group, then the total amount
of credits may not exceed $3,000,000 [$1,000,000] for
the affiliated group; in this paragraph, "affiliated
group" has the meaning given in AS 43.20.145.
* Sec. 6. AS 43.20.014 is amended by adding a new
subsection to read:
(h) Beginning January 1, 2030, and every five
years thereafter, the Department of Labor and
Workforce Development shall adjust the dollar limit on
credits under (d) of this section for inflation, using
100 percent of the change over the preceding five
calendar years in the Consumer Price Index for all
urban consumers for urban Alaska, compiled by the
Bureau of Labor Statistics, United States Department
of Labor.
* Sec. 7. AS 43.55.019(a) is amended to read:
(a) A producer of oil or gas is allowed a credit
against the tax levied by AS 43.55.011(e) for
[CONTRIBUTIONS OF CASH OR EQUIPMENT ACCEPTED FOR]
(1) contributions of cash or equipment
accepted for direct instruction, research, and
educational support purposes, including library and
museum acquisitions, and contributions to endowment,
by an Alaska university foundation or by a nonprofit,
public or private, Alaska two-year or four-year
college accredited by a national or regional
accreditation association;
(2) contributions of cash or equipment
accepted for secondary school level vocational
education courses, programs, and facilities by a
school district in the state;
(3) contributions of cash or equipment
accepted for vocational education courses, programs,
equipment, and facilities by a state-operated
vocational technical education and training school, a
nonprofit regional training center recognized by the
Department of Labor and Workforce Development, and an
apprenticeship program in the state that is registered
with the United States Department of Labor under 29
U.S.C. 50 - 50b (National Apprenticeship Act);
(4) contributions of cash or equipment
accepted for a facility by a nonprofit, public or
private, Alaska two-year or four-year college
accredited by a national or regional accreditation
association;
(5) contributions of cash or equipment
accepted for Alaska Native cultural or heritage
programs and educational support, including mentoring
and tutoring, provided by a nonprofit agency for
public school staff and for students who are in grades
kindergarten through 12 in the state;
(6) contributions of cash or equipment
accepted for education, research, rehabilitation, and
facilities by an institution that is located in the
state and that qualifies as a coastal ecosystem
learning center under the Coastal America Partnership
established by the federal government; [AND]
(7) contributions of cash or equipment
accepted for the Alaska higher education investment
fund under AS 37.14.750;
(8) expenditures made to operate a child
care facility in the state for the children of the
producer's employees;
(9) contributions of cash or equipment
accepted by a child care facility in the state
operated by a nonprofit corporation and attended by
one or more children of the producer's employees; and
(10) a payment to an employee of the
producer made by the producer for the purpose of
offsetting the employee's child care costs incurred in
the state.
* Sec. 8. AS 43.55.019(d) is amended to read:
(d) A contribution claimed as a credit under
this section may not
(1) be the basis for a credit claimed under
another provision of this title; and
(2) when combined with contributions that
are the basis for credits taken during the taxpayer's
tax year under AS 21.96.070, AS 43.20.014,
AS 43.56.018, AS 43.65.018, AS 43.75.018, or
AS 43.77.045, result in the total amount of credits
exceeding $3,000,000 [$1,000,000]; if the taxpayer is
a member of an affiliated group, then the total amount
of credits may not exceed $3,000,000 [$1,000,000] for
the affiliated group; in this paragraph, "affiliated
group" has the meaning given in AS 43.20.145.
* Sec. 9. AS 43.55.019 is amended by adding a new
subsection to read:
(i) Beginning January 1, 2030, and every five
years thereafter, the Department of Labor and
Workforce Development shall adjust the limit under (d)
of this section for inflation, using 100 percent of
the change over the preceding five calendar years in
the Consumer Price Index for all urban consumers for
urban Alaska, compiled by the Bureau of Labor
Statistics, United States Department of Labor.
* Sec. 10. AS 43.56.018(a) is amended to read:
(a) The owner of property taxable under this
chapter is allowed a credit against the tax due under
this chapter for [CONTRIBUTIONS OF CASH OR EQUIPMENT
ACCEPTED FOR]
(1) contributions of cash or equipment
accepted for direct instruction, research, and
educational support purposes, including library and
museum acquisitions, and contributions to endowment,
by an Alaska university foundation or by a nonprofit,
public or private, Alaska two-year or four-year
college accredited by a national or regional
accreditation association;
(2) contributions of cash or equipment
accepted for secondary school level vocational
education courses, programs, and facilities by a
school district in the state;
(3) contributions of cash or equipment
accepted for vocational education courses, programs,
and facilities by a state-operated vocational
technical education and training school;
(4) contributions of cash or equipment
accepted for a facility by a nonprofit, public or
private, Alaska two-year or four-year college
accredited by a national or regional accreditation
association;
(5) contributions of cash or equipment
accepted for Alaska Native cultural or heritage
programs and educational support, including mentoring
and tutoring, provided by a nonprofit agency for
public school staff and for students who are in grades
kindergarten through 12 in the state;
(6) contributions of cash or equipment
accepted for education, research, rehabilitation, and
facilities by an institution that is located in the
state and that qualifies as a coastal ecosystem
learning center under the Coastal America Partnership
established by the federal government; [AND]
(7) contributions of cash or equipment
accepted for the Alaska higher education investment
fund under AS 37.14.750;
(8) expenditures made to operate a child
care facility in the state for the children of the
property owner's employees;
(9) contributions of cash or equipment
accepted by a child care facility in the state
operated by a nonprofit corporation and attended by
one or more children of the property owner's
employees; and
(10) a payment to an employee of the
property owner made by the owner for the purpose of
offsetting the employee's child care costs incurred in
the state.
* Sec. 11. AS 43.56.018(d) is amended to read:
(d) A contribution claimed as a credit under
this section may not
(1) be the basis for a credit claimed under
another provision of this title; and
(2) when combined with contributions that
are the basis for credits taken during the taxpayer's
tax year under AS 21.96.070, AS 43.20.014,
AS 43.55.019, AS 43.65.018, AS 43.75.018, or
AS 43.77.045, result in the total amount of credits
exceeding $3,000,000 [$1,000,000]; if the taxpayer is
a member of an affiliated group, then the total amount
of credits may not exceed $3,000,000 [$1,000,000] for
the affiliated group; in this paragraph, "affiliated
group" has the meaning given in AS 43.20.145.
* Sec. 12. AS 43.56.018 is amended by adding a new
subsection to read:
(h) Beginning January 1, 2030, and every five
years thereafter, the department shall adjust the
dollar limit on credits under (d) of this section for
inflation, using 100 percent of the change over the
preceding five calendar years in the Consumer Price
Index for all urban consumers for urban Alaska,
compiled by the Bureau of Labor Statistics, United
States Department of Labor.
* Sec. 13. AS 43.65.018(a) is amended to read:
(a) A person engaged in the business of mining
in the state is allowed a credit against the tax due
under this chapter for [CONTRIBUTIONS OF CASH OR
EQUIPMENT ACCEPTED FOR]
(1) contributions of cash or equipment
accepted for direct instruction, research, and
educational support purposes, including library and
museum acquisitions, and contributions to endowment,
by an Alaska university foundation, by a nonprofit,
public or private, Alaska two-year or four-year
college accredited by a national or regional
accreditation association, or by a public or private
nonprofit elementary or secondary school in the state;
(2) contributions of cash or equipment
accepted for secondary school level vocational
education courses, programs, and facilities by a
school district in the state;
(3) contributions of cash or equipment
accepted for vocational education courses, programs,
and facilities by a state- operated vocational
technical education and training school;
(4) contributions of cash or equipment
accepted for a facility by a nonprofit, public or
private, Alaska two-year or four-year college
accredited by a national or regional accreditation
association or by a public or private nonprofit
elementary or secondary school in the state;
(5) contributions of cash or equipment
accepted for Alaska Native cultural or heritage
programs and educational support, including mentoring
and tutoring, provided by a nonprofit agency for
public school staff and for students who are in grades
kindergarten through 12 in the state;
(6) contributions of cash or equipment
accepted for education, research, rehabilitation, and
facilities by an institution that is located in the
state and that qualifies as a coastal ecosystem
learning center under the Coastal America Partnership
established by the federal government;
(7) contributions of cash or equipment
accepted for the Alaska higher education investment
fund under AS 37.14.750;
(8) contributions of cash or equipment
accepted for funding a scholarship awarded by a
nonprofit organization to a dual-credit student to
defray the cost of a dual-credit course, including the
cost of
(A) tuition and textbooks;
(B) registration, course, and programmatic
student fees;
(C) on-campus room and board at the
postsecondary institution in the state that provides
the dual-credit course;
(D) transportation costs to and from a
residential school approved by the Department of
Education and Early Development under AS 14.16.200 or
the postsecondary school in the state that provides
the dual-credit course; and
(E) other related educational and
programmatic costs;
(9) contributions of cash or equipment
accepted for constructing, operating, or maintaining a
residential housing facility by a residential school
approved by the Department of Education and Early
Development under AS 14.16.200;
(10) contributions of cash or equipment
accepted for childhood early learning and development
programs and educational support to childhood early
learning and development programs provided by a
nonprofit corporation organized under AS 10.20, a
tribal entity, or a school district in the state, by
the Department of Education and Early Development, or
through a state grant;
(11) contributions of cash or equipment
accepted for science, technology, engineering, and
math programs provided by a nonprofit agency or a
school district for school staff and for students in
grades kindergarten through 12 in the state; [AND]
(12) contributions of cash or equipment
accepted for the operation of a nonprofit organization
dedicated to providing educational opportunities that
promote the legacy of public service contributions to
the state and perpetuate ongoing educational programs
that foster public service leadership for future
generations of residents of the state;
(13) expenditures made to operate a child
care facility in the state for the children of the
person's employees;
(14) contributions of cash or equipment
accepted by a child care facility in the state
operated by a nonprofit corporation and attended by
one or more children of the person's employees; and
(15) a payment to an employee of the
person's business made by the person for the purpose
of offsetting the employee's child care costs incurred
in the state.
* Sec. 14. AS 43.65.018(d) is amended to read:
(d) A contribution claimed as a credit under
this section may not
(1) be the basis for a credit claimed under
another provision of this title; and
(2) when combined with contributions that
are the basis for credits taken during the taxpayer's
tax year under AS 21.96.070, AS 43.20.014,
AS 43.55.019, AS 43.56.018, AS 43.75.018, or
AS 43.77.045, result in the total amount of the
credits exceeding $3,000,000 [$1,000,000]; if the
taxpayer is a member of an affiliated group, then the
total amount of credits may not exceed $3,000,000
[$1,000,000] for the affiliated group; in this
paragraph, "affiliated group" has the meaning given in
AS 43.20.145.
* Sec. 15. AS 43.65.018 is amended by adding a new
subsection to read:
(h) Beginning January 1, 2030, and every five
years thereafter, the department shall adjust the
dollar limit on credits under (d) of this section for
inflation, using 100 percent of the change over the
preceding five calendar years in the Consumer Price
Index for all urban consumers for urban Alaska,
compiled by the Bureau of Labor Statistics, United
States Department of Labor.
* Sec. 16. AS 43.75.018(a) is amended to read:
(a) A person engaged in a fisheries business is
allowed a credit against the tax due under this
chapter for [CONTRIBUTIONS OF CASH OR EQUIPMENT
ACCEPTED FOR]
(1) contributions of cash or equipment
accepted for direct instruction, research, and
educational support purposes, including library and
museum acquisitions, and contributions to endowment,
by an Alaska university foundation, by a nonprofit,
public or private, Alaska two-year or four-year
college accredited by a national or regional
accreditation association, or by a public or private
nonprofit elementary or secondary school in the state;
(2) contributions of cash or equipment
accepted for secondary school level vocational
education courses, programs, and facilities by a
school district in the state;
(3) contributions of cash or equipment
accepted for vocational education courses, programs,
and facilities by a state-operated vocational
technical education and training school;
(4) contributions of cash or equipment
accepted for a facility by a nonprofit, public or
private, Alaska two-year or four-year college
accredited by a national or regional accreditation
association or by a public or private nonprofit
elementary or secondary school in the state;
(5) contributions of cash or equipment
accepted for Alaska Native cultural or heritage
programs and educational support, including mentoring
and tutoring, provided by a nonprofit agency for
public school staff and for students who are in grades
kindergarten through 12 in the state;
(6) contributions of cash or equipment
accepted for education, research, rehabilitation, and
facilities by an institution that is located in the
state and that qualifies as a coastal ecosystem
learning center under the Coastal America Partnership
established by the federal government;
(7) contributions of cash or equipment
accepted for the Alaska higher education investment
fund under AS 37.14.750;
(8) contributions of cash or equipment
accepted for funding a scholarship awarded by a
nonprofit organization to a dual-credit student to
defray the cost of a dual-credit course, including the
cost of
(A) tuition and textbooks;
(B) registration, course, and programmatic
student fees;
(C) on-campus room and board at the
postsecondary institution in the state that provides
the dual-credit course;
(D) transportation costs to and from a
residential school approved by the Department of
Education and Early Development under AS 14.16.200 or
the postsecondary school in the state that provides
the dual-credit course; and
(E) other related educational and
programmatic costs;
(9) contributions of cash or equipment
accepted for constructing, operating, or maintaining a
residential housing facility by a residential school
approved by the Department of Education and Early
Development under AS 14.16.200;
(10) contributions of cash or equipment
accepted for childhood early learning and development
programs and educational support to childhood early
learning and development programs provided by a
nonprofit corporation organized under AS 10.20, a
tribal entity, or a school district in the state, by
the Department of Education and Early Development, or
through a state grant;
(11) contributions of cash or equipment
accepted for science, technology, engineering, and
math programs provided by a nonprofit agency or a
school district for school staff and for students in
grades kindergarten through 12 in the state; [AND]
(12) contributions of cash or equipment
accepted for the operation of a nonprofit organization
dedicated to providing educational opportunities that
promote the legacy of public service contributions to
the state and perpetuate ongoing educational programs
that foster public service leadership for future
generations of residents of the state;
(13) expenditures made to operate a child
care facility in the state for the children of the
person's employees;
(14) contributions of cash or equipment
accepted by a child care facility in the state
operated by a nonprofit corporation and attended by
one or more children of the person's employees; and
(15) a payment to an employee of the
person's business made by the person for the purpose
of offsetting the employee's child care costs incurred
in the state.
* Sec. 17. AS 43.75.018(d) is amended to read:
(d) A contribution claimed as a credit under
this section may not
(1) be the basis for a credit claimed under
another provision of this title; and
(2) when combined with contributions that
are the basis for credits taken during the taxpayer's
tax year under AS 21.96.070, AS 43.20.014,
AS 43.55.019, AS 43.56.018, AS 43.65.018, or
AS 43.77.045, result in the total amount of the
credits exceeding $3,000,000 [$1,000,000]; if the
taxpayer is a member of an affiliated group, then the
total amount of credits may not exceed $3,000,000
[$1,000,000] for the affiliated group; in this
paragraph, "affiliated group" has the meaning given in
AS 43.20.145.
* Sec. 18. AS 43.75.018 is amended by adding a new
subsection to read:
(h) Beginning January 1, 2030, and every five
years thereafter, the Department of Labor and
Workforce Development shall adjust the dollar limit on
credits under (d) of this section for inflation, using
100 percent of the change over the preceding five
calendar years in the Consumer Price Index for all
urban consumers for urban Alaska, compiled by the
Bureau of Labor Statistics, United States Department
of Labor.
* Sec. 19. AS 43.77.045(a) is amended to read:
(a) A person engaged in a floating fisheries
business is allowed a credit against the tax due under
this chapter for [CONTRIBUTIONS OF CASH OR EQUIPMENT
ACCEPTED FOR]
(1) contributions of cash or equipment
accepted for direct instruction, research, and
educational support purposes, including library and
museum acquisitions, and contributions to endowment,
by an Alaska university foundation, by a nonprofit,
public or private, Alaska two-year or four-year
college accredited by a national or regional
accreditation association, or by a public or private
nonprofit elementary or secondary school in the state;
(2) contributions of cash or equipment
accepted for secondary school level vocational
education courses, programs, and facilities by a
school district in the state;
(3) contributions of cash or equipment
accepted for vocational education courses, programs,
and facilities by a state-operated vocational
technical education and training school;
(4) contributions of cash or equipment
accepted for a facility by a nonprofit, public or
private, Alaska two-year or four-year college
accredited by a national or regional accreditation
association or by a public or private nonprofit
elementary or secondary school in the state;
(5) contributions of cash or equipment
accepted for Alaska Native cultural or heritage
programs and educational support, including mentoring
and tutoring, provided by a nonprofit agency for
public school staff and for students who are in grades
kindergarten through 12 in the state;
(6) contributions of cash or equipment
accepted for education, research, rehabilitation, and
facilities by an institution that is located in the
state and that qualifies as a coastal ecosystem
learning center under the Coastal America Partnership
established by the federal government;
(7) contributions of cash or equipment
accepted for the Alaska higher education investment
fund under AS 37.14.750;
(8) contributions of cash or equipment
accepted for funding a scholarship awarded by a
nonprofit organization to a dual-credit student to
defray the cost of a dual-credit course, including the
cost of
(A) tuition and textbooks;
(B) registration, course, and programmatic
student fees;
(C) on-campus room and board at the
postsecondary institution in the state that provides
the dual-credit course;
(D) transportation costs to and from a
residential school approved by the Department of
Education and Early Development under AS 14.16.200 or
the postsecondary school in the state that provides
the dual-credit course; and
(E) other related educational and
programmatic costs;
(9) contributions of cash or equipment
accepted for constructing, operating, or maintaining a
residential housing facility by a residential school
approved by the Department of Education and Early
Development under AS 14.16.200;
(10) contributions of cash or equipment
accepted for childhood early learning and development
programs and educational support to childhood early
learning and development programs provided by a
nonprofit corporation organized under AS 10.20, a
tribal entity, or a school district in the state, by
the Department of Education and Early Development, or
through a state grant;
(11) contributions of cash or equipment
accepted for science, technology, engineering, and
math programs provided by a nonprofit agency or a
school district for school staff and for students in
grades kindergarten through 12 in the state; [AND]
(12) contributions of cash or equipment
accepted for the operation of a nonprofit organization
dedicated to providing educational opportunities that
promote the legacy of public service contributions to
the state and perpetuate ongoing educational programs
that foster public service leadership for future
generations of residents of the state;
(13) expenditures made to operate a child
care facility in the state for the children of the
person's employees;
(14) contributions of cash or equipment
accepted by a child care facility in the state
operated by a nonprofit corporation and attended by
one or more children of the person's employees; and
(15) a payment to an employee of the
person's business made by the person for the purpose
of offsetting the employee's child care costs incurred
in the state.
* Sec. 20. AS 43.77.045(d) is amended to read:
(d) A contribution claimed as a credit under
this section may not
(1) be the basis for a credit claimed under
another provision of this title; and
(2) when combined with contributions that
are the basis for credits taken during the taxpayer's
tax year under AS 21.96.070, AS 43.20.014,
AS 43.55.019, AS 43.56.018, AS 43.65.018, or
AS 43.75.018, result in the total amount of the
credits exceeding $3,000,000 [$1,000,000]; if the
taxpayer is a member of an affiliated group, then the
total amount of credits may not exceed $3,000,000
[$1,000,000] for the affiliated group; in this
paragraph, "affiliated group" has the meaning given in
AS 43.20.145.
* Sec. 21. AS 43.77.045 is amended by adding a new
subsection to read:
(g) Beginning January 1, 2030, and every five
years thereafter, the Department of Labor and
Workforce Development shall adjust the dollar limit on
credits under (d) of this section for inflation, using
100 percent of the change over the preceding five
calendar years in the Consumer Price Index for all
urban consumers for urban Alaska, compiled by the
Bureau of Labor Statistics, United States Department
of Labor."
Page 1, line 4:
Delete "Section 1"
Insert "Sec. 22"
Renumber the following bill sections accordingly.
Page 2, line 19, following "implement":
Insert "secs. 22 and 23 of"
Page 2, line 21:
Delete "sec. 1"
Insert "sec. 22"
Page 2, line 22:
Delete "sec. 2"
Insert "sec. 23"
Page 2, line 25:
Delete "This Act takes"
Insert "Sections 22 and 23 of this Act take"
Page 2, line 28:
Delete "sec. 1"
Insert "sec. 22"
Page 2, line 29:
Delete "sec. 2"
Insert "sec. 23"
Page 3, following line 3:
Insert new bill sections to read:
"* Sec. 26. Section 37, ch. 61, SLA 2014, as
amended by sec. 40, ch. 101, SLA 2018, is amended to
read:
Sec. 37. Sections 1, 2, and 21, ch. 61, SLA 2014,
[OF THIS ACT] take effect January 1, 2028 [2025].
* Sec. 27. Section 26 of this Act takes effect
immediately under AS 01.10.070(c)."
Renumber the following bill section accordingly.
Page 3, line 4:
Delete "If this Act takes effect, it takes"
Insert "If secs. 22 and 23 of this Act take
effect, they take"
Page 3, following line 6:
Insert a new bill section to read
"* Sec. 29. Except as provided in secs. 27 and 28
of this Act, this Act takes effect January 1, 2024."
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 89 Amendment 3 A.4.pdf |
HHSS 4/25/2023 3:00:00 PM |
HB 89 |
| HB 89 Amendment 4 A.5.pdf |
HHSS 4/25/2023 3:00:00 PM |
HB 89 |
| HB 89 Amendment 5 A.6.pdf |
HHSS 4/25/2023 3:00:00 PM |
HB 89 |
| HB 89 Amendment 1 A.2.pdf |
HHSS 4/25/2023 3:00:00 PM |
HB 89 |
| HB 89 Amendment 2 A.3.pdf |
HHSS 4/25/2023 3:00:00 PM |
HB 89 |
| 3.13.23 Jonathon Woller Dental Examiners Application_Redacted.pdf |
HHSS 4/25/2023 3:00:00 PM |
Governer's Appointee |