Legislature(2025 - 2026)DAVIS 106
05/07/2025 08:00 AM House EDUCATION
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| Audio | Topic |
|---|---|
| Start | |
| Confirmation Hearing(s): University of Alaska Board of Regents | |
| HB176 | |
| HB212 | |
| HB59 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | HB 212 | TELECONFERENCED | |
| + | HB 59 | TELECONFERENCED | |
| *+ | HJR 25 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| += | HB 176 | TELECONFERENCED | |
HB 212-LOCAL CONTRIBUTIONS BY SCHOOL DISTRICTS
8:25:31 AM
CO-CHAIR STORY announced that the next order of business would
be HOUSE BILL NO. 212, "An Act relating to the local
contribution made by a city or borough school district; and
providing for an effective date."
8:25:48 AM
REPRESENTATIVE ANDI STORY, Alaska State Legislature, as prime
sponsor, presented HB 212 to the committee. She referred the
committee to the fiscal note associated with HB 212.
8:26:34 AM
HEATHER HEINEKEN, Director, Division of Finance & Support
Services, Department of Education & Early Development, explained
the fiscal notes associated with HB 212. She explained that the
first fiscal note would direct the Department of Education &
Early Development (DEED) to change how it currently conducts
funding disparity tests with school districts. She detailed how
the second fiscal note referenced the proposed funding mechanism
by HB 212 and explained that the third fiscal note was related
to the Mt. Edgecumbe High School.
8:29:44 AM
DR. DEENA BISHOP, Commissioner, Department of Education & Early
Development, answered committee questions on HB 212. She
explained that the DEED is currently evaluating regulatory
changes related to special revenue fund contributions by local
governments and their school districts, which would be altered
by HB 212 if it were to pass. She said that school districts
around Alaska are interpreting current DEED regulations
differently and said that the DEED is working on new special
revenue fund regulations because of it. She emphasized that
current Alaska Statute requirements already embed school impact
aid funding within them and said that "all applicable revenues
must be included in the disparity test under law". She
explained how a local government that might be able to better
fund a school within its district would be unfair to other
schools around the state that might not have as many financial
options to utilize. She suggested that previous comments made
to the House Education Standing Committee by Lisa Parody were
inaccurate and said that it school districts being funded over
the disparity limit "could trigger retroactive consequences."
She shared her belief that the proposed regulatory changes being
made by the DEED were to bring school districts in Alaska more
in accordance with existing Alaska Statute and said that the
DEED supported the language that currently existed in SCS CS
HB69, which provided "clear" language on funding disparity
tests.
8:43:26 AM
REPRESENTATIVE ELAM asked if impact aid dollars are allowed to
be used outside of education and asked what the maximum
allowable local contribution is under the current state
education funding formula.
DIRECTOR HEINEKEN answered that impact aid dollars are included
as part of a school district's general operations budget.
COMMISSIONER BISHOP added that the state education funding
formula has minimum spending formula that allows for a 25%
overspending range with local contributions. She said that a
local government with more funding options might lead to an
inequitable funding scenario between different school districts
in Alaska.
DIRECTOR HEINEKEN commented that additional funds could be spent
on current expenditures, like administration, instruction,
attendance & health services, pupil transportation services,
operation maintenance & plans, and fixed charges, which the DEED
was attempting to clarify by aligning its regulations with the
U.S. Department of Education.
8:54:10 AM
CO-CHAIR HIMSCHOOT asked if the state has ever failed a funding
disparity test before and asked what the consequence would be if
it were to fail it.
COMMISSIONER BISHOP said that she was not aware if Alaska had
ever failed a funding disparity test and explained that the
federal government currently dictates the 25% funding disparity.
DIRECTOR HEINEKEN commented that she was unaware of any failure
of a disparity test during her time working in Alaska Education.
8:58:15 AM
CO-CHAIR STORY said that the state did fail a funding disparity
test in 2019 because of transportation funding and explained
that the DEED acquired a waiver from the U.S. Department of
Education to allow for the higher cost of transportation that
exists within Alaska.
[HB 59 was held over].