Legislature(2017 - 2018)SENATE FINANCE 532
04/13/2018 09:00 AM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| HB236 | |
| HB79 | |
| HB287 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| += | HB 176 | TELECONFERENCED | |
| += | HB 213 | TELECONFERENCED | |
| += | HB 215 | TELECONFERENCED | |
| += | HB 236 | TELECONFERENCED | |
| += | HB 79 | TELECONFERENCED | |
| += | HB 287 | TELECONFERENCED | |
HOUSE BILL NO. 287(brf sup maj fld)
"An Act making appropriations for public education and
transportation of students; and providing for an
effective date."
11:10:58 AM
Co-Chair Hoffman MOVED to ADOPT the committee substitute
for HB 287(brf sup maj fld), Work Draft 30-LS1229\T
(Wallace, 4/13/18).
Co-Chair MacKinnon OBJECTED for discussion.
Co-Chair MacKinnon announced that the committee had been
working on a proposal to forward-fund education. She stated
that the Work Draft had a funding source.
11:12:04 AM
PETE ECKLUND, STAFF, SENATOR LYMAN HOFFMAN, wondered
whether he should walk through the bill, or only highlight
the change in the committee substitute.
Co-Chair MacKinnon felt that there should be a walk through
of the bill, and then an explanation of the changes. She
remarked that there was work to ensure forward funding of
education, but she wanted the information delivered as
quickly as possible.
Mr. Ecklund noted that on page 2 was the numbers section.
The items was K-12 aid and support to school districts and
Mt. Edgecumbe. He stated that those items did not fund
Department of Education and Early Development (DEED)
programs, but rather went directly to the schools and
school districts. He noted the change from the previous
version, which was the update on Mt. Edgecumbe. He stated
that there was an increase requested by the administration
after the other body had moved the legislation. It was a
$250,000 general fund program receipt for Mt. Edgecumbe. He
noted that page 3 had the different funding sources from
Section 1 of the bill. He stated that the same structure
was on page 4. He looked at page 5, Section 4, which was a
$30 million grant that would become effective in FY 20. He
stated that the grant would be run through adjusted average
daily membership, so the grant would be distributed to
school districts as if it were run through the foundation
formula. He stated that a $30 million was equivalent to a
$117 Base Student Allocation (BSA) increase, which would
become effective in FY 20. He noted that Section 5 was FY
19 fund capitalization for the FY 19 Education Foundation
Program, and fully funding the BSA at $1.89 billion. It
also fully funded the people transportation formula for FY
19 at $78.1 million effective in FY 19. He stated that
Section 5 also fully funded the BSA formula in FY 20 with
an FY 20 effective date. He stated that it also funds the
student transportation formula in FY 20, with an FY 20
effective date. He noted that all the funding in Sections 4
and 5 was from the general fund. He remarked that Section 6
was standard lapse language. He shared that Section 7 was a
contingency that stated that the FY 20 funding of the $30
million; FY 20 forward and early funding of K-12 and people
transportation formulas would only become effective upon
the passage of a version of SB 26. The other sections were
effective dates.
Co-Chair Hoffman noted that once the bill passed the
Senate, early funding for FY 19 would only require the
House to concur. Mr. Ecklund agreed.
11:16:57 AM
AT EASE
11:17:32 AM
RECONVENED
11:17:38 AM
Senator Micciche wondered whether Section 5(a) was the same
amount of the BSA that was in the past, and only required
concurrence. Mr. Ecklund replied in the affirmative.
Senator Micciche noted that the FY 20 funding required
passage of SB 26. Mr. Ecklund agreed.
Co-Chair MacKinnon noted that the issue was that the budget
would draw from the earnings reserve account (ERA), and she
explained the ERA.
Co-Chair Hoffman stressed that the Senate was not demanding
any version of SB 26. He noted that page 5, lines 22 and 23
stated that those provisions, if passed, would be enacted
with a version of SB 26. He remarked that the burden was
placed on the legislature to come to an agreement on SB 26.
Co-Chair MacKinnon WITHDREW the OBJECTION. There being NO
further OBJECTION, the proposed committee substitute was
adopted.
Co-Chair MacKinnon discussed the bill history.
11:22:35 AM
AT EASE
11:22:47 AM
RECONVENED
11:22:49 AM
Co-Chair MacKinnon OPENED public testimony.
Co-Chair MacKinnon CLOSED public testimony.
Co-Chair Hoffman noted that the operating budget had been
passed the day prior. He stressed that education was a
priority, and did not want to lay off teachers.
Co-Chair MacKinnon announced that there was a regular
public hearing.
Senator Micciche stressed that education was a priority in
the Senate. He understood that there was talent lost in
education, because districts were not aware of the amount
of money that would be available. He stressed that forward
funding education would help districts to understand their
funding. He appreciated the section that would help the
public recognized the importance of a structured draw.
Vice-Chair Bishop thanked those who worked on the bill.
11:29:01 AM
Senator Olson felt that a structured draw was important
with the option to draw from the ERA.
Co-Chair MacKinnon stressed that there were "no strings
attached" to FY 19's funding.
Co-Chair Hoffman stressed that the previous version had a
2018 draw form the ERA. The current bill did not have a
draw out of the ERA.
Co-Chair MacKinnon remarked that it would focus the
attention on the steps that would be taken to further
efforts.
Co-Chair Hoffman MOVED to REPORT SCS HB 287(FIN) from
committee with individual recommendations. There being NO
OBJECTION, it was so ordered.
11:31:48 AM
AT EASE
11:34:21 AM
RECONVENED
SCS HB 287(FIN) was REPORTED out of committee with a "do
pass" recommendation.
Co-Chair MacKinnon discussed the following meeting's
agenda.
Co-Chair MacKinnon ADJOURNED the meeting.
11:35:43 AM
Co-Chair MacKinnon RECINDED THE ACTION TO ADJOURN. There
being NO OBJECTION, it was so ordered.
11:35:55 AM
RECESSED
1:17:28 PM
RECONVENED
Senator Olson OBJECTED to adjourning the meeting.
Co-Chair MacKinnon stated that Senate Finance stayed active
during the last few days of session. She remarked that the
meeting could be adjourned for a few minutes.
Senator Olson WITHDREW his objection. There being NO
OBJECTION, it was so ordered.