Legislature(2001 - 2002)
04/17/2002 01:45 PM Senate CRA
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
HB 312-SUPP. PUBLIC SCHOOL FUNDING/YOUTH ACADEMY
RANDY RUARO, legislative staff to Representative William K.
William, introduced the legislation. Eddy Jeans was available to
answer questions on the fiscal notes and Representative Gretchen
Guess was available to answer questions on funding for the Alaska
Challenge Youth Academy.
He said he would address Sections 1 and 3 of the bill that have
the affect of suspending, for the fiscal year FY 03, the erosion
of the supplemental funding floor that was created by SB 36. The
reason for the one year suspension is that by next January, the
Legislature should have received a new study of school district
cost factors. It is anticipated that the study would provide
Legislators with a base of information upon which to make
decisions on school funding for FY 04.
Section 3 makes it clear that the suspension of the erosion for
FY 03 does not affect the funding reductions that have already
been made in FY 00, FY 01 and FY 02.
SENATOR LINCOLN wanted to hear from Representative Guess about
the Alaska Youth Academy Challenge Program.
REPRESENTATIVE GRETCHEN GUESS said she helped create Section 2 of
the bill. The Youth Academy Challenge Program is run out of the
Division of Military and Veteran's Affairs and is a joint program
with the federal government to provide educational and vocational
services to at-risk youth. These are youths over the age of 16
who have dropped out of school. Their mornings are spent learning
basic reading, writing and computing skills to prepare the youths
for their GED testing. Afternoons are spent on vocational
activities. It is basically a boot camp for youths and has been
very successful.
This part of the bill sets up a funding structure. They get a
certain number of dollars per student; the federal funding that
they receive is subtracted and what is left is the general fund
dollar amount that would need to be authorized. They have never
been funded per cadet and this sets up the structure based on the
number of cadets in the program.
SENATOR LINCOLN referred to the fiscal note and asked if the
$334,000.00 was general fund dollars. Her second question was
whether the Department of Education and Early Development
supported that portion of the legislation.
REPRESENTATIVE GUESS replied that Nico Bus from the Department of
Military and Veteran's Affairs was available to go over the
fiscal note, but she thought $349,000.00 would be required in
addition to the federal allocation. In response to the second
question, she said the Department of Education and Early
Development is very supportive of the program and recognizes the
importance of providing the program stable funding. This isn't a
school, it's a program and therefore belongs in the Department of
Military and Veteran's Affairs but the school is very supportive.
SENATOR KELLY noted that this is a $65,000.00 increase over the
budget because there were some general funds "taken out of both
sides."
SENATOR LINCOLN said, "65?"
SENATOR KELLY replied, "If this budget were to pass. As it sits,
the fiscal note is correct, but if the budget were to pass, as
is, it would represent about a $65,000.00 increase."
SENATOR AUSTERMAN said there were two different fiscal notes from
the Department of Education and Early Development, both dated the
same day, and he wondered whether Mr. Jeans would come forward
and briefly explain them.
EDDY JEANS, Finance Manager for the Department of Education,
explained there were two fiscal notes because there were two
budget components that are affected by the legislation. One is
the foundation program that has the $334,000.00 fiscal note and
the second component is the schools for the handicapped where the
allocation for the Challenge Youth Program will sit in the
department's budget.
SENATOR AUSTERMAN comment inaudible.
SENATOR KELLY question inaudible.
MR. JEANS said he wasn't sure what Senator Kelly meant by
"reducing the federal funds" but on the cover of the fiscal note
for the Challenge Program you could see the calculation for the
entitlement for them and from that they subtracted the dollars
that are currently allocated to the federal government for that
program to come up with the additional state allocation.
SENATOR KELLY said you're not actually taking away federal funds;
you're using that as your formula.
MR. JEANS replied that was correct, it's very similar to the
foundation program. They calculate an entitlement then they make
adjustments for federal dollars.
CHAIRMAN TORGERSON commented this bill was a finance measure and
although he didn't think it had much chance for survival, he
didn't think it was appropriate to hold it in this committee.
He asked for a motion.
SENATOR AUSTERMAN made a motion to move HB 312 and attached
fiscal notes from committee with individual recommendations.
There being no objection, it was so ordered.
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