02/23/2018 09:00 AM Senate FINANCE

SENATE BILL NO. 131                                                                                                           
                                                                                                                                
     "An Act  relating to a separate  appropriation bill for                                                                    
     operating   expenses    for   public    education   and                                                                    
     establishing a  date by which  the bill must  be passed                                                                    
     by  the legislature  and  transmitted  to the  governor                                                                    
     each year;  relating to the budget  responsibilities of                                                                    
    the governor; and providing for an effective date."                                                                         
                                                                                                                                
9:02:17 AM                                                                                                                    
                                                                                                                                
SENATOR GARY STEVENS, SPONSOR, introduced the bill.                                                                             
                                                                                                                                
9:03:05 AM                                                                                                                    
                                                                                                                                
TIM LAMKIN, STAFF, SENATOR GARY  STEVENS, explained that the                                                                    
bill  would   early  fund  the  formula   program  that  was                                                                    
currently set  in statute. He  thought that the  creation of                                                                    
the formula  had been an  attempt to  depoliticize education                                                                    
funding in the state. He  noted that education had been very                                                                    
important to the  founders of the state and had  been one of                                                                    
the first major policy issues they put forward.                                                                                 
                                                                                                                                
9:04:48 AM                                                                                                                    
                                                                                                                                
Mr. Lamkin outlined the Sectional Analysis (copy on file):                                                                      
                                                                                                                                
     Section  1:  Requires the  governor  to  submit to  the                                                                  
     legislature  a separate  appropriation bill  for public                                                                    
     education,   formula    funding   for    schools.   The                                                                    
     legislature  is directed  to pass  and transmit  to the                                                                    
     governor by  April 1 a  bill making  appropriations for                                                                    
     formula funding for the following fiscal year.                                                                             
                                                                                                                                
     Section  2:  Is a  technical  change  to the  Executive                                                                  
     Budget  Act,   to  accommodate  the  provision   for  a                                                                    
     separate  appropriations   bill  for   formula  funding                                                                    
     public education.                                                                                                          
                                                                                                                                
     Section 3: The  effective date of the Is  July 1, 2018,                                                                  
     so a  separate appropriations bill for  formula funding                                                                    
     public  education would  be first  required for  the FY                                                                    
     2020 budget.                                                                                                               
                                                                                                                                
9:05:43 AM                                                                                                                    
                                                                                                                                
Co-Chair  MacKinnon  understood  that  the  concept  of  the                                                                    
legislation had been heard before.                                                                                              
                                                                                                                                
Senator Stevens said  that he had introduced it  in 2002 but                                                                    
that  at that  time districts  had not  been interested.  He                                                                    
hoped  that the  legislation would  be effective  in solving                                                                    
the issue of teachers in  the state receiving pink slips and                                                                    
the overall uncertainty faced  by school districts regarding                                                                    
funding for education.                                                                                                          
                                                                                                                                
9:06:44 AM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon  expressed concern that an  early funding                                                                    
of education appropriation bill could  be used to fund thing                                                                    
outside  of  education. She  was  also  concerned that  once                                                                    
education  was taken  care of  in the  basic formula,  there                                                                    
remained  the fight  for additional  money in  the Operating                                                                    
Budget.                                                                                                                         
                                                                                                                                
9:07:39 AM                                                                                                                    
                                                                                                                                
Co-Chair MacKinnon  asked how the school  at Mount Edgecumbe                                                                    
and pupil transportation would be addressed.                                                                                    
                                                                                                                                
Mr. Lamkin said  that the bill focused on  the statutes that                                                                    
pertained directly  to the foundation formula.  He said that                                                                    
opening the  formula to allow  for inclusion was not  out of                                                                    
the question but could be difficult.                                                                                            
                                                                                                                                
9:08:55 AM                                                                                                                    
                                                                                                                                
Senator Olson  asked about  early childhood  program outside                                                                    
of basic school funding. He  wondered whether the bill would                                                                    
affect teachers in early childhood education.                                                                                   
                                                                                                                                
Mr. Lamkin  reiterated that inclusivity of  programs outside                                                                    
of K-12 could be challenging but was not impossible.                                                                            
                                                                                                                                
SB  131  was  HEARD  and   HELD  in  committee  for  further                                                                    
consideration.                                                                                                                  
                                                                                                                                
9:10:40 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:12:38 AM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair MacKinnon handed the gavel to Co-Chair Hoffman.