Legislature(2017 - 2018)SENATE FINANCE 532
05/02/2018 01:30 PM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| HB135 | |
| HB346 | |
| HB409 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | HB 409 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | HB 135 | TELECONFERENCED | |
| += | HB 346 | TELECONFERENCED | |
CS FOR HOUSE BILL NO. 135(EDC) am
"An Act relating to school district participation in
the school construction grant program."
2:05:11 PM
Vice-Chair Bishop reviewed the meeting agenda. He detailed
that HB 135 had been heard on April 26, 2018 when a
committee substitute (CS) had been adopted, public
testimony (all in support of the bill) had been heard, and
the fiscal note had been reviewed. He noted the committee
had received additional information.
Senator Micciche MOVED to ADOPT the committee substitute
for CSHB 135(EDC)am, Work Draft 30-LS0549\R (Laffen,
5/2/18).
Vice-Chair Bishop OBJECTED for discussion.
2:05:33 PM
JULI LUCKY, STAFF, SENATOR ANNA MACKINNON, explained the
changes in the CS. She noted that there had been committee
concerns about an undefined time of extension.
Additionally, there had been concern that no definition for
the term "good cause" had been included in the bill. She
addressed the Explanation of Changes (copy on file):
The Senate Finance CS makes two changes:
• Limits the extension to seven years on page 1, line
12.
• Describes what constitutes "good cause" on page 2,
lines 2-10. New SCS version R makes clarifying
changes to this language as requested by the
Department of Education and Early Development.
Specifically:
Page 2, line 5 added "as described in a grant
agreement under AS 14.11.017"
Page 2, line 6 replaced "the state's share" with
"state funding"
Ms. Lucky announced that there was no sectional analysis.
The bill had two technical changes and the only substantive
section was Section 2, which she had previously explained.
She noted that the department had communicated there was no
change to the fiscal note with the adoption of the CS.
Senator Stevens was happy to see a definition for "good
cause" and an end date included in the bill.
Vice-Chair Bishop WITHDREW his OBJECTION. There being NO
further OBJECTION, Work Draft 30-LS0549\R was ADOPTED.
2:07:59 PM
AT EASE
2:08:54 PM
RECONVENED
REPRESENTATIVE JOHN LINCOLN, SPONSOR, appreciated the
changes made in the CS. He spoke to the importance of the
legislation for his district. He detailed the legislation
would extend the funding opportunity for a school in the
district that had run into some complications with the
construction of a road and other funding sources. He was
confident the passage of the bill would allow the community
of Kivalina to construct a new school. He thanked the
committee for its time and attention to the legislation.
Senator Olson asked if Representative Lincoln was in favor
of the changes made in the CS.
Representative Lincoln replied in the affirmative.
Senator Olson asked how the Northwest Arctic Borough School
District viewed the changes.
Representative Lincoln answered that the school district
strongly supported the legislation, which was critical for
the construction of the school. He added the legislation
was a major priority for the entire district.
Senator Stevens referenced the third cause: (3) the
extension will not result in an increase of state funding
of the project cost [page 2, lines 6 and 7 of the
legislation]. He asked how a cost increase would impact the
borough.
Representative Lincoln was uncertain what the approach
would be to meet increased costs. The entire regional
leadership for the Northwest Arctic Borough and the NANA
region were behind the project. The borough was bonding a
local match exceeding $12 million. He elaborated that
everyone was committed in their support for Kivalina, the
school, and its families. He communicated that he and
others would find a way to address any cost increase.
2:11:33 PM
Senator Stevens remarked that the longer it took to
complete a project the higher the cost. He appreciated
Representative Lincoln's comments.
Senator Olson remarked that he had spoken with borough
representatives and they were very comfortable with the
money that had been sought and appropriated. There had been
no problem with that part of the extension.
Vice-Chair Bishop noted that the Department of Education
and Early Development (DEED) was available for questions.
He added that the state was coming out of a recession. He
observed that construction projects were down, based on bid
costs over the past three years. He elaborated that there
was substantial competition [for projects] at present.
Senator Stevens noted that previously there had been no
parameters on what the commissioner could determine to be
good cause. He expounded that the bill would implement four
criteria for the commissioner to find good cause. He asked
if DEED was comfortable with the parameters.
TIM MEARIG, FACILITIES MANAGER, DEPARTMENT OF EDUCATION AND
EARLY DEVELOPMENT, replied in the affirmative.
Vice-Chair Bishop relayed that he had worked in the
[Northwest Arctic Borough] region in the distant past. He
stated that Kivalina sorely needed a new school and he
believed the school would go a long way towards
complementing the other schools in the Kobuk region.
Senator Micciche MOVED to REPORT SCS CSHB 135(FIN) out of
committee with individual recommendations and accompanying
fiscal note. There being NO OBJECTION, it was so ordered.
SCS CSHB 135(FIN) was REPORTED out of committee with a "do
pass" recommendation and with one new fiscal note from the
Department of Education and Early Development.
2:14:28 PM
AT EASE
2:16:13 PM
RECONVENED