Legislature(2021 - 2022)DAVIS 106
02/17/2022 11:30 AM House WAYS & MEANS
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| Audio | Topic |
|---|---|
| Start | |
| Presentation(s): How Alaska's State Spending Compares to Other States | |
| HB259 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | HB 259 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
HB 259-PERMANENT FUND DIVIDEND; 25/75 POMV SPLIT
12:28:59 PM
CHAIR SPOHNHOLZ announced that the final order of business would
be HOUSE BILL NO. 259, "An Act relating to use of income of the
Alaska permanent fund; relating to the amount of the permanent
fund dividend; relating to the duties of the commissioner of
revenue; relating to funding for state aid for school districts,
the state boarding school, centralized correspondence study, and
transportation of pupils; and providing for an effective date."
12:29:12 PM
CHAIR SPOHNHOLZ opened public testimony on HB 259.
12:29:59 PM
CARRIE HARRIS argued that putting money in the hands of the
people creates jobs, and that the PFD payouts create more jobs.
She urged that public officials should read written testimony
sent to their emails. She emphasized that she is against HB 259
and mentioned that she plans to vote for a constitutional
convention. She reiterated that a traditional PFD should be put
forth so "the people" can use the money to create jobs and keep
it in our local economies. She opined that the judicial council
should be abolished.
12:32:23 PM
DIANNE MACRAE Emphasized that the private sector cannot compete
against the government "doing everything for everyone." She
mentioned that Alaska's schools are fully funded and yet are
ranked towards the bottom when compared to other states which
could exemplify that money does not always solve problems. She
stressed that we are "destroying our children with lack of an
education and more of an indoctrination." She declared her
disgust with the idea of comparing Alaska's budget with other
states state and local spending. She remarked that budget cuts
should be made to programs that provide needles to drug users
[Syringe Service Programs are non-government affiliated
nonprofits].
CHAIR SPOHNHOLZ reminded testifiers that the testimony is not
about the previous presentation, but instead about HB 259.
12:34:56 PM
APRIL ORTH testified in opposition to HB 259 and mentioned that
the PFD was not intended to be used to fund the government and
is meant to be used for the people. She reminded the committee
that the PFD is meant to be shared wealth that is
constitutionally mandated.
12:36:19 PM
GAIL LIMBAUGH-MOORE testified in opposition to HB 259. She
remarked that the 25/75 split is unacceptable to her and gave
her preference for a 50/50 split.
12:37:07 PM
TERRI LYONS testified in opposition to HB 259. She opined that
money will not solve problems in our education system. She
stated that, according to statute, the PFD cannot be used on
education. She postulated that attempting to use the PFD for
education is a front to take the PFD away from Alaska residents.
12:38:22 PM
ED MARTIN testified in opposition to HB 259. He recollected
paying a school tax of $10 in the 1970s. He argued that the PFD
currently benefits all Alaskans, and that the proposed bill
would instead benefit "some special interest teachers union."
He also mentioned the current rate of inflation.
12:40:43 PM
BERT HOUGHTALING testified in opposition to HB 259. He
suggested that the House Ways and Means Committee is attempting
to subvert the rights of Alaskans for the PFD. He commented on
past bills that have attempted to utilize the PFD in ways other
than directly paying Alaskans. He insisted that the PFD belongs
to the citizens of Alaskans. He claimed that the school
districts have 10 percent fewer students and that their budget
is not cut.
12:42:45 PM
MICHAEL GARHART testified in opposition to HB 259. He argued
that the proposed split does not benefit all Alaskans. He spoke
in favor of the current 50/50 split. He insisted that that the
state has stolen from the PFD and that it has negatively
impacted the state's economy. He alluded to Senator Shower's
bills to protect the PFD and expressed his disappointment that
those bills have not been spoken of in committee meetings.
12:44:00 PM
ALAPAK MOORE testified in opposition to HB 259.
12:45:55 PM
JEN GUNDERSON testified in support of HB 259. She noted the
necessity to find a sustainable way to fund our schools. She
commented that to have thriving schools, school districts must
have reliable and consistent funding. She mentioned that in
Fairbanks, Alaska they are facing a $19 million deficit, schools
are closing, the student to teacher ratio is increasing and
teachers are being offered contracts that reduce their pay and
healthcare coverage. She stated that we can't expect our
teachers to stay in a system where they are unfairly
compensated, especially given the recent difficulties of their
jobs due to the pandemic. She emphasized that it is the
constitutional duty of the committee to provide adequate funding
for Alaska's schools.
12:47:01 PM
KATHY SWANSON testified in opposition to HB 259. She commented
about her preference to return to the statutory formula. She
commented that spending money on education may not result in
improvements. She referenced that Alaska currently "spends the
most, with the worst results." She suggested spending money on
reading specialists instead of on schools as a whole. She
commented that PFD money as it is currently spent, goes "right
back into our economy." She suggested that household income has
a significant impact on children's proficiency in school.
12:49:18 PM
TIM DORAN testified in favor of HB 259. He declared that now is
the time to invest in Alaska's public education system and its
students. He referred to a degradation in the base allocation,
primarily due to inflation. He noted that in Fairbanks, three
schools had to close, and there have been reductions in support
staff and issues in recruitment and retention. He noted that HB
259 is a step towards fulfilling the state's constitutional
responsibility for education. He insured that investment in
education pays off.
12:52:29 PM
DAVID HURN testified in opposition to HB 259.
12:53:10 PM
JOHN LARSON testified in support of HB 259 and mentioned that
Alaska is falling behind in keeping up with inflation regarding
public education. He commented that HB 259 provides an eloquent
and equitable solution to the dual questions of funding the PFD
and funding public education. He remarked that the "P" in PFD
stands for "permanent" and includes all generations of future
Alaskans. He mentioned that providing more funding to the
schools will result in smaller classes which can lead to better
education and less crime. He concluded with the thought that
"if you think education is expensive, try ignorance."
12:55:44 PM
PETE HOEPFNER, Vice President of the Cordova School Board,
testified in support of HB 259. He listed many negative factors
that school districts face today including the cost shifting
from the state to communities, withdrawing the school bond debt
reimbursement, teacher retention/recruitment issues, the current
retirement system that incentivizes teachers to leave the state
after 5 years, declining base student allocation funding, and
the rising cost of health care. Mr. Hoepfner mentioned that HB
259 could help to stabilize education funding. HB 259 would
address the recommendations of the legislative fiscal working
group and create a workable solution to fund the PFD, allow a
stable source of revenue for education, and allow districts to
concentrate on education, innovation, and student achievement
rather than continuing to reduce programs and staff while
classroom sizes increase beyond capacity.
12:57:39 PM
CHAIR SPOHNHOLZ closed public testimony on HB 259.
[HB 259 was held over.]
| Document Name | Date/Time | Subjects |
|---|---|---|
| ISER Presentation - AK Stand and Local Spending Trends and Comparisons, 2.17.22.pdf |
HW&M 2/17/2022 11:30:00 AM |
|
| HB 259 Opposition received as of 2.17.22.pdf |
HW&M 2/17/2022 11:30:00 AM |
HB 259 |
| HB 259 Support received as of 2.17.22.pdf |
HW&M 2/17/2022 11:30:00 AM |
HB 259 |