04/08/2024 03:15 PM House LABOR & COMMERCE

        HB  55-EXTEND WORKFORCE INVEST BOARD ALLOCATIONS                                                                    
                                                                                                                                
3:19:03 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced that the  first 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, adopted  as the working                                                               
document on  4/3/24, was the  proposed committee  substitute (CS)                                                               
for  HB 55,  Version  33-LS0360\D, A.  Radford, 4/1/24  ("Version                                                               
D").]                                                                                                                           
                                                                                                                                
3:19:40 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE moved Conceptual  Amendment 1 to Version                                                               
D, which  would change  the program extension  from two  years to                                                               
one.                                                                                                                            
                                                                                                                                
REPRESENTATIVE FIELDS  objected.   He said  there is  benefit and                                                               
stability in two years, and  it would give the legislature enough                                                               
time to change the allocations.                                                                                                 
                                                                                                                                
REPRESENTATIVE    CARRICK   echoed    the   comments    made   by                                                               
Representative  Fields.   She  explained  that  in the  years  of                                                               
experience  she's had  with this  legislation, a  one-year sunset                                                               
date  would  not  accomplish  the  legislature's  goals  or  give                                                               
stability to the providers.                                                                                                     
                                                                                                                                
3:21:49 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SUMNER recommended  that members  vote "yes,"  as                                                               
Conceptual  Amendment 1  is a  happy medium  between the  current                                                               
version and the suggestion to rescind Version D.                                                                                
                                                                                                                                
3:22:12 PM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease at 3:22 p.m.                                                                                 
                                                                                                                                
3:22:21 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SUMNER  reminded  the committee  that  Conceptual                                                               
Amendment 1 would change the extension date from 2026 to 2025.                                                                  
                                                                                                                                
3:22:44 PM                                                                                                                    
                                                                                                                                
A roll  call vote  was taken.   Representatives  Prax, Ruffridge,                                                               
Wright,  Saddler,  and  Sumner   voted  in  favor  of  Conceptual                                                               
Amendment 1.   Representatives Carrick  and Fields  voted against                                                               
it.  Therefore,  Conceptual Amendment 1 was adopted by  a vote of                                                               
5-2.                                                                                                                            
                                                                                                                                
3:23:22 PM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease at 3:23 p.m.                                                                                 
                                                                                                                                
3:23:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS moved Conceptual Amendment 2 to Version D.                                                                
                                                                                                                                
REPRESENTATIVE PRAX objected.                                                                                                   
                                                                                                                                
3:24:06 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS  said Conceptual Amendment 2  would restore                                                               
Section 1 of Version R,  the committee substitute (CS) adopted in                                                               
the House Education Standing Committee.   He said recognizing the                                                               
health of the  fund would increase the  percentage collection for                                                               
training  without  changing   the  percentage  allocation  across                                                               
programs.                                                                                                                       
                                                                                                                                
3:24:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE said  he liked  the idea  of increasing                                                               
the dollars  heading towards technical and  vocational education.                                                               
The audit  made it  clear that  changes need to  be made  to this                                                               
program; however, the  time to do that this year  is running out,                                                               
he  said.    He  suggested reconsidering  this  proposal  in  the                                                               
future.                                                                                                                         
                                                                                                                                
REPRESENTATIVE   CARRICK  stated   her  support   for  Conceptual                                                               
Amendment  2, adding  that an  increase in  dollars is  something                                                               
that the fund could sustain with  plenty of additional room.  She                                                               
encouraged members to support the proposed amendment.                                                                           
                                                                                                                                
REPRESENTATIVE  SADDLER said  he  had  concerns about  increasing                                                               
funding given the  concerns raised in the audit.   He opined that                                                               
now is not  the time to raise the funding,  but maybe sometime in                                                               
the future.                                                                                                                     
                                                                                                                                
REPRESENTATIVE FIELDS  shared an anecdote of  a training provider                                                               
in his district.                                                                                                                
                                                                                                                                
3:28:23 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CARRICK  gave clarity  as to the  audit's findings                                                               
and said  the question  as to  whether to  increase funds  from a                                                               
healthy  UI  trust  to  support that  programing  is  a  separate                                                               
question.  She  clarified that the audit found  the allocation of                                                               
funds  to be  problematic and  said  she would  be interested  in                                                               
changing that  structure in the  future with a  reasonable sunset                                                               
period of more than one year.                                                                                                   
                                                                                                                                
3:30:19 PM                                                                                                                    
                                                                                                                                
A roll call  vote was taken.  Representatives  Fields and Carrick                                                               
voted in favor of Conceptual  Amendment 2.  Representatives Prax,                                                               
Saddler,  Wright,   Ruffridge,  and  Sumner  voted   against  it.                                                               
Therefore, Conceptual Amendment 2 failed by a vote of 2-5.                                                                      
                                                                                                                                
3:30:49 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE moved  to report  CSHB 55,  Version 33-                                                               
LS0360\D, A. Radford,  4/1/24, as amended, out  of committee with                                                               
individual  recommendations and  the  accompanying fiscal  notes.                                                               
There  being no  objection, CSHB  55(L&C) was  reported from  the                                                               
House Labor and Commerce Standing Committee.                                                                                    
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE authorized  Legislative Legal  Services                                                               
to make any technical and conforming changes as necessary.