Legislature(2025 - 2026)BELTZ 105 (TSBldg)
04/01/2025 01:30 PM Senate COMMUNITY & REGIONAL AFFAIRS
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| Audio | Topic |
|---|---|
| Start | |
| HJR5 | |
| SB129 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HJR 5 | TELECONFERENCED | |
| *+ | SB 129 | TELECONFERENCED | |
HJR 5-SECURE RURAL SCHOOLS PROGRAM
1:31:02 PM
CHAIR MERRICK announced the consideration of HOUSE JOINT
RESOLUTION NO. 5 Urging the United States Congress and the
President of the United States to reinstate the Secure Rural
Schools and Community Self-Determination Act of 2000 and make
the funding mechanism in the Act permanent.
1:31:29 PM
REPRESENTATIVE JEREMY BYNUM, District 1, Alaska State
Legislature, Juneau, Alaska, introduced himself and emphasized
that HJR 5 is important for rural schools across the state. He
apologized, explaining that he needed to step away, and turned
the presentation over to his staff.
1:32:11 PM
TREVOR SHAW, Staff, Representative Jeremy Bynum, Alaska State
Legislature, Juneau, Alaska, moved to slide 2 and provided a
brief overview of HJR 5:
[Original punctuation provided.]
HOUSE JOINT RESOLUTION No. 5
Urging the United States Congress and the President of
the United States to reinstate the Secure Rural
Schools and Community Self Determination Act of 2000
and make the funding mechanism in the Act permanent.
The Secure Rural Schools and Community Self-
Determination Act of 2000 ("SRS Act") was enacted by
the U.S. Congress to provide financial assistance to
rural counties and school districts impacted by the
sharp reduction of revenue from timber sales on
federal lands and National Forests.
1:32:54 PM
MR. SHAW moved to slide 3 and provided historical context:
[Original punctuation provided.]
Historically, a portion of Forest Service funds
generated through multi-use activities, such as
grazing, timber production, and special use permits,
were distributed to eligible counties to help maintain
local roads and schools. However, with the significant
decline of the timber industry in the 1990s, lawmakers
sought to provide relief to local communities and
economies through an alternative funding mechanism.
In Fiscal Year 2023, forest counties across the United
States received $252.6 million in payments under the
SRS Act, including $12.6 million for communities in
the State of Alaska.
1:33:28 PM
MR. SHAW moved to slide 4, FY2023 SRS Act Payments in Alaska:
[Original punctuation provided.]
FY2023 SRS Act Payments in Alaska
• Anchorage: $92,404.67
• Haines: $272,886.54
• Juneau: $629,713.94
• Kenai: $604,468.39
• Ketchikan: $1,194,087.61
• Mat-Su: $22,365.14
• Petersburg: $764,911.32
• Sitka: $606,023.02
• Skagway: $37,927.48
• Wrangell: $888,492.07
• Yakutat: $595,621.47
• Unorganized: $5,229,332.69
(Chugach & Tongass National Forests)
1:34:21 PM
MR. SHAW moved to slide 5 and explained what SRS means to Alaska
communities:
[Original punctuation provided.]
What does SRS mean to Alaska communities?
• In the Ketchikan Gateway Borough, SRS payments go
to the Local Education Fund, which is primarily
funded through property taxes the mill rate
percent equivalent of the SRS payment is 14
percent, or 10 percent of their total local
contribution to schools.
• In the City & Borough of Wrangell, SRS payments
accounted for approximately 55 percent of their
local contribution to the school district.
• In the Petersburg Borough, SRS payments were
equal to approximately 38 percent of their school
funding contribution.
• In the City & Borough of Yakutat, SRS payments
were roughly equal to the total amount in local
contribution to their school district in FY23 and
constituted nearly half of their total municipal
revenue.
1:35:09 PM
MR. SHAW moved to slide 6, which contains a bar chart titled,
"SRS $ Impact per Student - Examples." Communities represented
include Ketchikan, Juneau, Sitka, Wrangell, Petersburg, and
Yakutat. He pointed out that Wrangell, Petersburg, and Yakutat
(and other small communities) are disproportionately impacted by
the loss of SRS funding. He noted that there are several
communities (e.g. Kake and Yakutat) where SRS payments equal or
exceed the total local contribution to schools. In communities
where the SRS funding exceeds the total local contribution to
schools, the excess funds are used for other community needs
such as road maintenance.
1:36:07 PM
MR. SHAW moved to slide 7 and explained the issue of SRS funding
reauthorization:
[Original punctuation provided.]
The Issue?
• SRS Act funding was reauthorized in the
Infrastructure Investment and Jobs Act through
September 30, 2023.
• The Secure Rural Schools Reauthorization Act of
2023 (S.2581) was introduced to extend the SRS
Act funding mechanism through 2026. This bill
passed the U.S. Senate by unanimous consent.
However, it died without being heard by the House
upon the adjournment of the 118th Congress.
• The last SRS payments under the most recent
reauthorization were distributed to states in
April 2024.
• Without Congressional action, there will be no
further payments to communities under SRS.
Bipartisan reauthorization legislation was
introduced back in February.
MR. SHAW noted that, while legislation was introduced in both
the U.S. House of Representatives and the U.S. Senate, neither
bill has received a hearing.
1:37:07 PM
MR. SHAW moved to slide 8 and discussed how HJR 5 would
encourage Congress and the President to reinstate SRS payments
and create a permanent funding mechanism:
[Original punctuation provided.]
THE SOLUTION
House Joint Resolution No. 5 urges the United States
Congress and President to reinstate this source of
critical revenue for Alaska forest communities, and to
go one step further by creating a permanent funding
mechanism according to the existing SRS Act formula.
Removing the uncertainty of these stop-gap
reauthorizations would provide stability and
predictability to these affected communities across
the nation, especially the small rural communities
that are disproportionally impacted by these lapses in
funding.
MR. SHAW noted questions about how a future increase in timber
receipts would impact SRS payments. He explained that there is a
mechanism in the SRS Act that would allow county-level
equivalents to receive timber receipts in lieu of SRS payments,
should an increase occur.
1:38:15 PM
SENATOR GRAY-JACKSON expressed concern about federal budget cuts
and asked about the likelihood that SRS would be reinstated.
MR. SHAW replied that, while he would not venture to guess what
Congress would decide, it is important to act as a unified voice
and make a statement regarding the importance of reauthorizing
SRS. He mentioned conversations with Alaska's congressional
delegation regarding SRS and what it means for Alaska. He
emphasized the importance of SRS to rural communities that lack
the tax base to make up the lost revenue. He expressed hope that
the discussions would continue - both with Alaska's
congressional delegation and other states that rely on this
funding source. He emphasized the importance of communicating
the program's significance and noted that, while it may seem
like an inconsequential amount of money, the impacts are vast.
1:40:08 PM
CHAIR MERRICK held HJR 5 in committee.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HJR 5 Sponsor Statement Version A 03.18.2025.pdf |
SCRA 4/1/2025 1:30:00 PM |
HJR 5 |
| HJR 5 Support Letter Packet.pdf |
SCRA 4/1/2025 1:30:00 PM |
HJR 5 |
| SB 129- Sponsor Statement.pdf |
SCRA 4/1/2025 1:30:00 PM |
SB 129 |
| SB 129- Sectional.pdf |
SCRA 4/1/2025 1:30:00 PM |
SB 129 |
| SB129 Fiscal Notes 3.31.2025.pdf |
SCRA 4/1/2025 1:30:00 PM |
SB 129 |
| SB129 Public Testimony - Thread 3.19.25.pdf |
SCRA 4/1/2025 1:30:00 PM |
SB 129 |
| SB129 Public Testimony - ACT 3.31.25.pdf |
SCRA 4/1/2025 1:30:00 PM |
SB 129 |
| SB129 Fiscal Note DCCED-DAS-03-28-25.pdf |
SCRA 4/1/2025 1:30:00 PM |
SB 129 |
| HJR 5 – SCRA presentation 04.01.2025 PDF.pdf |
SCRA 4/1/2025 1:30:00 PM |
HJR 5 |