Legislature(2023 - 2024)BARNES 124
03/22/2024 03:15 PM House LABOR & COMMERCE
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Audio | Topic |
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Start | |
HB378 | |
SB147 | |
HB55 | |
HB150 | |
HB189 | |
HB233 | |
HB189 | |
Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
+= | HB 378 | TELECONFERENCED | |
+= | HB 189 | TELECONFERENCED | |
+= | HB 233 | TELECONFERENCED | |
+= | HB 204 | TELECONFERENCED | |
+ | TELECONFERENCED | ||
+ | SB 147 | TELECONFERENCED | |
+ | HB 55 | TELECONFERENCED | |
+= | HB 150 | TELECONFERENCED | |
HB 55-EXTEND WORKFORCE INVEST BOARD ALLOCATIONS 3:43:27 PM CHAIR SUMNER announced that the next order of business would be HOUSE BILL NO. 55, "An Act relating to allocations of funding for the Alaska Workforce Investment Board; and providing for an effective date." [Before the committee was CSHB 55(EDC).] 3:44:04 PM REPRESENTATIVE CARRICK, as prime sponsor, presented CSHB 55(EDC). She paraphrased the sponsor statement [included in committee packet], which read as follows [original punctuation provided]: In 2000, the Alaska Legislature established the Technical Vocational Education Program (TVEP). This program is administered by the Alaska Workforce Investment Board and utilizes a portion of Unemployment Insurance receipts to provide grants to career and technical education providers across the State. The TVEP program impacts thousands of students by offering industry-specific training opportunities that help Alaskans get to work. HB 55 would re-authorize the TVEP program for an additional six years, until fiscal year 2030. The program currently has ten recipients which include the University of Alaska, the Alaska Vocational Technical Education Center, the Alaska Technical Center, as well as other technical education providers across the State. These programs train Alaskans for industry- specific jobs in sectors such as fishing, transportation, health, mining, and construction. Please join me in supporting House Bill 55 to re- authorize the TVEP program and keep thousands of Alaskans ready for the high-demand careers our State has to offer. REPRESENTATIVE CARRICK reported that in 2014, the legislature increased the amount of funds diverted to the Technical Vocational Education Program (TVEP) from .15 percent of unemployment insurance receipts to .16 percent. Currently, there are 10 statutorily designated recipients that offer various training across the state. She noted that the committee substitute (CS) adopted in the House Education Standing Committee increased the current statutory designation of funds diverted to the TVEP program from .16 percent to .25 percent. 3:48:44 PM STEWART RELAY, Staff, Representative Ashley Carrick, Alaska State Legislature, on behalf of Representative Carrick, prime sponsor, summarized the explanation of changes from the original version of the bill to CSHB 55(L&C) ("Version R") [included in the committee packet], which read as follows [original punctuation provided]: Section 1. AS 23.15.835(a) New section Changes the percentage of wages collected by the Department of Labor for the TVEP program from .16% to .25% Section 2. AS 23.15.835(d) Former section 1 Does not change the designated recipient list from Version A Section 1 but changes sunset date from June 30, 2030, to June 30, 2026 Section 3. AS 23.15.835(d) New section. Changes the designated recipient list by adding a new recipient, alters the percentages for the University of Alaska and the Alaska Vocational Technical Center and sets the sunset date from June 30, 2026 through June 30, 2030. Makes the following changes to the designated recipient list: • University of Alaska reduced to 40% from 45% • Alaska Vocational Technical Center reduced to 15% from 17% • Alaska Job Center Network added with a 7% designation. Section 4. AS 23.15.835(g) New section Requires the Alaska Job Center Network, added in the previous section to use their allocated funds for individual training grants. Section 5 AS 23.15.835(h) New section Increases the amount of money that the Alaska Workforce Investment Board can withhold from 20% to 100% from recipients if they fail to comply with program requirements. Section 6 AS 23.15.835 New section Adds a new subsection requiring the funds designated to the University of Alaska the be distributed in a regionally equal manner to Alaska's six economic regions. Section 7 New section Section 6 applies to funds after July 1, 2024 Section 8. Retroactivity Former section 2 If section 2 of this bill takes effect after June 30, 2024, section one is retroactive. Section 9. Effective Date New Section Sections 3 and 4 are effective on July 1, 2026. Section 10. Effective Date New Section All other sections are effective immediately. 3:51:58 PM CHAIR SUMNER asked whether the changes adopted in Version R were at the request of the bill sponsor or the House Education Standing Committee. REPRESENTATIVE CARRICK stated that Version R was the House Education Standing Committee's CS. 3:52:24 PM REPRESENTATIVE SADDLER referred to page 3, line 10 and asked whether the equal distribution of funds would be one-sixth share to each region of the state. REPRESENTATIVE CARRICK answered yes. REPRESENTATIVE SADDLER observed that an equal distribution on a per-capita basis would short the Mat-Su region and vastly benefit other regions. REPRESENTATIVE FIELDS expressed his support for a clean reauthorization, among other things; however, he would not support reducing Northwestern Alaska Career and Technical Center's (NACTEC) funding and the destabilization of important programs in rural Alaska. 3:54:40 PM REPRESENTATIVE RUFFRIDGE expressed his support for the clean adoption of TVEP; nonetheless, he said there's some significant issues that need to be addressed in the audit of the program. REPRESENTATIVE CARRICK noted that the audit did not point to bad training in Alaska; rather, the findings of the audit were more specific to the structure of the allocations. 3:56:45 PM REPRESENTATIVE SADDLER recalled a provision that allowed for some of the training funds to be provided as grants to individuals. REPRESENTATIVE CARRICK affirmed that the provision in question is provided in Version R. The Alaska Jobs Center Network adds a 7 percent allocation, per Section 3 of the CS, which would then be distributed as individual training grants. 3:57:24 PM REPRESENTATIVE FIELDS pointed out that if the legislature wants job center to distribute more money through ITAs, the UI fund could be tapped more aggressively without taking money away from TVEP recipients. He suggested that if a clean reauthorization were passed, members interested in altering the allocations could commit to visiting some of the regional training centers in the next 18 months to be better informed. REPRESENTATIVE SADDLER noted that there is an increase in available funding for distribution on page 1, line 6 of Version R, so no one would be shorted. 3:58:39 PM CHAIR SUMNER announced that CSHB 55(EDC) was held over.