Legislature(2001 - 2002)
04/24/2001 10:05 AM Senate FIN
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
SENATE BILL NO. 174
"An Act relating to education funding; and providing for an
effective date."
Co-Chair Kelly requested a reconsideration motion be taken on SB
174 so that the Committee could consider a technical amendment.
Senator Wilken moved to rescind action taken on moving SB 174 out
of Committee.
Co-Chair Kelly noted that the version of the bill before the
Committee was version "C". There being no objection, action was
RESCINDED.
Senator Wilken moved to adopt Amendment #6. [Copy on File]. He
stated that the amendment would clarify the intent of the change in
the local requirement for organized Alaska. The affect of the
amendment would pass on half of the amount, in order that the
taxpayer and the general fund would each carry half the funding
load. He pointed out that on Page 2, Line 30, the word "annual"
would be inserted, which would clarify that it would affect the
prior year and would be an annual calculation. Also, it would
establish a local assessed value calculation.
Senator Hoffman objected for the purpose of discussion. He asked
if there had been a comparison for the 1999 date.
Senator Wilken noted that he did not have that information. He
believed that would be included in the fiscal note received from
the Department. He added that the 1999 were the figures which had
been used.
Co-Chair Kelly asked if the objection was maintained. There being
no further objection, Amendment #6 was ADOPTED.
Senator Olson moved to rescind action taken on failure to adopt
Amendment #4 which would delete Section #1. [Copy on File]. He
advised that none of the school districts in his area or rural
Alaska were in support of the bill.
Co-Chair Kelly objected. He argued that the bill would provide
more money to his district and also the North Slope Borough
District.
CARL ROSE, Executive Director, Association of the Alaska School
Boards, Juneau, voiced concern with passage of the bill because of
issues with fairness and district redistribution. Mr. Rose
commented that the Association is concerned about the future of
education in the State of Alaska. He asked what will happen to
children moving forward and their success with the high school
qualifying exams. He requested that members take a long-term view
and create a real fiscal plan.
Mr. Rose stressed that SB 174 was a "regressive" approach in
addressing the future. The issue of adequacy is not being
addressed. He added that the Association is in favor of an
increase in the foundation formula and redistributing money in an
adjusted method. He claimed that there should not be any changes
made to SB 36 until there is further and more appropriate
information available. He voiced strong objection to the proposed
legislation.
AT EASE 10:19 AM/10:21 AM
A roll call was taken on the motion to rescind action taken on
Amendment #4.
IN FAVOR: Austerman, Hoffman, Olson
OPPOSED: Wilken, Green, Leman, Donley, Kelly
Senator Ward was not present for the vote.
The MOTION FAILED (3-5).
Senator Wilken moved to report the amended CS SB 174 (FIN) out of
Committee with individual recommendations and the accompanying
fiscal notes.
Senator Hoffman asked if the title would change.
Co-Chair Kelly replied it would not.
Senator Olson objected to moving the bill from Committee. He
explained that the bill will have a dramatic affect on the North
Slope Borough.
FREIDA ARNHEIGHT, Superintendent, North Slope Borough School
District, stated that SB 174 would be devastating to the North
Slope Borough School District. It will remove State funding which
amounts to $9 million dollars. Taking away the State funding also
removes the effort to have grants, which accounts to a little over
$10 million dollars. She urged reconsideration of the
implementation of the legislation.
Senator Olson maintained his objection.
A roll call was taken on the motion to move the bill.
IN FAVOR: Green, Leman, Wilken, Donley, Kelly
OPPOSED: Austerman, Hoffman, Olson
Senator Ward was not present for the vote.
The motion PASSED (5-3).
CS SB 174 (FIN) MOVED from Committee with "individual
recommendations" and with a new fiscal note by the Department of
Education & Early Development.
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