Legislature(1995 - 1996)

04/20/1995 02:08 PM House HES

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
 HB 280 - HUMAN RESOURCE INVESTMENT COUNCIL                                  
                                                                               
 Number 095                                                                    
                                                                               
 BOB RUBADEAU, Special Assistant to the Lieutenant Governor, said              
 Representative Phillips began this initiative to allow Alaska to              
 incorporate all of its federally mandated supervisory policy                  
 committees that oversee federal funding for many of the vocational            
 job skill development and vocational education opportunities in the           
 state.                                                                        
                                                                               
 MR. RUBADEAU said these committees have the opportunity under a               
 recently passed federal statute to consolidate into one oversight             
 committee to help states plan for many of the coming funding                  
 opportunities.  These committees will also have the opportunity to            
 respond to the block grant scenario in a more consolidated way.               
                                                                               
 Number 194                                                                    
                                                                               
 MR. RUBADEAU said HB 280 basically takes the Alaska Job Training              
 Council, the Governor's Council on Vocational Education, and the              
 Employment Security Advisory Council, and incorporates them into              
 one body.  Membership that is presently at 38 will be taken down to           
 a minimum of 21 and a maximum of 26 members.  The efficiency and              
 economy of scale the Human Resources Investment Council (HRIC)                
 hopes to accomplish by doing this will also provide some initial              
 savings.                                                                      
                                                                               
 MR. RUBADEAU said the opportunity for more cohesive and effective             
 planning for all the vocational education and job training skills             
 presents itself for the entire Alaska workforce in the coming                 
 decades.                                                                      
                                                                               
 Number 261                                                                    
                                                                               
 MR. RUBADEAU said 21 states presently have taken advantage of this            
 option under federal law.  HB 280 was created after a study of all            
 the different existing programs for all the HRICs.  The drafters of           
 the bill looked at many of the provisions in HB 280, hoping to                
 raise the debate about policy and decision making for vocational              
 education and job skill training.  The drafters hope to place that            
 debate into the Governor's office.                                            
                                                                               
 MR. RUBADEAU offered to go through a sectional analysis of the                
 bill.  Section 1 of the bill basically sets out the legislative               
 findings, and looks at the many job training and vocational                   
 education programs that exist within Alaska's workforce.  It is               
 estimated that there are approximately 16 different groups that may           
 apply in the future for consolidation under the Alaska HRIC                   
 concept.                                                                      
                                                                               
 MR. RUBADEAU continued that Section 2 directs the Board of                    
 Education to consider the advice of the HRIC in the development of            
 their vocational education programs.  Initially, it is a given that           
 all education leads toward jobs and job skill development.                    
                                                                               
 Number 362                                                                    
                                                                               
 MR. RUBADEAU said Section 3 makes a member of HRIC a member of the            
 Alaska Commission on Postsecondary Education.  Within the bill, the           
 Postsecondary Education is rescinded underneath HB 280.  Section 4            
 includes HRIC as a state board or commission, whose membership is             
 also subject to conflict of interest reporting requirements under             
 AS 39.50.                                                                     
                                                                               
 MR. RUBADEAU said Section 5 establishes the HRIC in the office of             
 the Governor.  This is very important.  The bill that dealt with              
 the HRIC that was previously passed through the House and the                 
 Senate last year, and was vetoed by Governor Hickel, did not have             
 this provision.  The drafters of the bill felt this was an                    
 important component as all of the different agencies in the bodies            
 that are proposed for consolidation under this act are dealt with.            
                                                                               
 Number 390                                                                    
                                                                               
 MR. RUBADEAU said Section 5 establishes the HRIC as the state                 
 planning and coordinating entity for certain state programs that              
 are administered under a number of different federal provisions.              
 This will allow the HRIC to anticipate and respond to whatever                
 funding scenario is passed down through federal legislation.  Mr.             
 Rubadeau felt the council should be prepared for anything.                    
                                                                               
 MR. RUBADEAU summarized Sections 6 through 15, noting that they               
 provide the statutory and session law changes for consistency with            
 the shift of responsibilities to the HRIC, including the deletions            
 of references to the Job Training Council and the other councils              
 that are presently under state statute.                                       
                                                                               
 MR. RUBADEAU felt the provision set out in Section 16 was also a              
 very important part of HB 280.  When Mr. Rubadeau began studying              
 the different agencies involved and the different boards and                  
 commissions that were suggested for consolidation, he wanted to be            
 sure that each of those had ownership and understanding of what was           
 envisioned in the bill.                                                       
                                                                               
 Number 496                                                                    
                                                                               
 MR. RUBADEAU said because of the arcane requirements for the                  
 federal funding programs (such as Job Training and the Carl Perkins           
 Grants), the sponsors of the bill needed to effectively make sure             
 they were maximizing the state's revenue from the federal level by            
 not missing any of the opportunities under the existing law.  In              
 addition, as the sponsors began to plan a coordinated effort for              
 planning on the state level to make Alaska's plan unique to meet              
 Alaska's needs, they kept in mind a sunset provision.  This                   
 provision would basically give the councils an opportunity to plan            
 their own consolidation efforts to give the sponsors some                     
 understanding of how their missions and funding requirements would            
 be met.                                                                       
                                                                               
 MR. RUBADEAU said the sponsor's office asked the councils to                  
 propose their own terms of consolidation over 18 months.                      
                                                                               
 Number 550                                                                    
                                                                               
 MR. RUBADEAU hoped that after the creation of the HRIC on July 1,             
 1995, the HRIC will be fully in place and empowered with the                  
 different missions of the consolidated boards and commissions by              
 July 1, 1996.                                                                 
                                                                               
 MR. RUBADEAU continued that Sections 18 and 19 address the specific           
 federal requirements for reporting from the private industry                  
 councils and the other existing regional development councils.                
 Those councils have been very effective in relaying the needs of              
 the Alaska work force to the state legislature, and to the                    
 oversight and representative committees.                                      
                                                                               
 MR. RUBADEAU noted that one of the most important aspects of this             
 bill is that the bill has brought together the needs and desires of           
 the agencies to fulfill their requirements on job skills and                  
 vocational education on the part of the Alaska work force.  The               
 bill's sponsors have explained the provisions to the different                
 councils and commissions.  Recently there was a joint meeting of              
 all the commissions and boards that are proposed to be                        
 consolidated.  Each of the commissions and boards have supported              
 this concept, and are present at the HESS Committee meeting to                
 testify to that fact.                                                         
                                                                               
 Number 1687                                                                   
                                                                               
 CO-CHAIR BUNDE agreed that HB 280 is a major piece of legislation,            
 and input from representatives of the involved boards and                     
 commissions would be greatly appreciated.                                     
                                                                               
 Number 734                                                                    
                                                                               
 JANICE TATLOW, Council Member, Private Industry Council, serving              
 the Anchorage, Mat-Su area, testified via teleconference that she             
 is pleased with the efforts that have been made toward the                    
 development of the HRIC.  There is also a great effort going on in            
 Alaska to see if there can be three pilot projects in the nature of           
 career development centers that would improve service to Alaska.              
                                                                               
 MS. TATLOW said it is her understanding that each career                      
 development center will be based   throughout the state.  Ms. Tatlow          
 was concerned that the way the HRIC seats are configured may lack             
 a link with the local communities and the local people.  Job                  
 training is very effective in local communities, and Ms. Tatlow               
 suggested a provision be made.                                                
                                                                               
 MS. TATLOW stated lines 9 and 10, Section 5, says there would be              
 four representatives from business and industry.  She asked if the            
 statement could be amended to include "...with at least two                   
 representatives from a private industry council, representing                 
 private sector business."                                                     
                                                                               
 Number 840                                                                    
                                                                               
 MS. TATLOW also suggested a change on line 22 of that section.                
 line 22, she said, reads of "at least one, and up to four                     
 additional members of the private sector to insure a private sector           
 majority in regional and local representation on the council."  Ms.           
 Tatlow asked if the phrase, "...with at least one member from the             
 Private Industry Council, representing private sector business"               
 could be added.                                                               
                                                                               
 MS. TATLOW also noted that HB 280 provides for a nonvoting member             
 of the HRIC.  In order to keep the links strong in each local area            
 to insure continuity and stability in services and employment                 
 training programs, perhaps membership could be considered in the              
 nonvoting segment for the three service delivery area managers.               
 These are the people that have worked on all ends of the employment           
 and training segment.  These people work with the Governor's                  
 office, the local staff, and the patrons of the training.                     
                                                                               
 MS. TATLOW said these people, over the years, have developed a lot            
 of expertise and professionalism.  They know what will and won't              
 work.  Ms. Tatlow thinks Alaska is entering a time of great change.           
 Career development centers are being investigated, Congress is                
 considering block grants, and Alaska is considering the HRIC.                 
 These are very positive moves for the future.  Anyone Ms. Tatlow              
 has spoken with has well-received these ideas.  However, Ms. Tatlow           
 wants to be sure the state has a strong link to the local people              
 who will be served.                                                           
                                                                               
 Number 970                                                                    
                                                                               
 CO-CHAIR CYNTHIA TOOHEY had been looking over the list of proposed            
 HRIC members.  She felt there was a wide representation from                  
 private sector businesses.  That representation is covered better             
 than any other sector.                                                        
                                                                               
 MS. TATLOW agreed.  However, she was concerned that people who have           
 been involved with employment and training programs, and have                 
 worked many years with the Private Industry Council, will not be              
 included.  Many of the council members are private sector business            
 people.  Ms. Tatlow would not like to see that talent and knowledge           
 wasted.  She felt to ignore their experience would be like                    
 reinventing the wheel.  If their inclusion in the bill was                    
 expressed, their experience would help maintain the continuity of             
 employment training.                                                          
                                                                               
 CO-CHAIR TOOHEY appreciated Ms. Tatlow's testimony.  However, she             
 asked Ms. Tatlow to look at line 24, page 4 of the bill.  It speaks           
 of additional nonvoting members.  Co-Chair Toohey told Ms. Tatlow             
 that if and when this bill passes, and the HRIC is comprised, that            
 is the provision that can provide the balance Ms. Tatlow seeks.               
                                                                               
 CO-CHAIR TOOHEY felt, however, that the Governor's office will                
 certainly take Ms. Tatlow's testimony into consideration.                     
                                                                               
 CO-CHAIR BUNDE announced the arrival of Representative Robinson at            
 2:10 p.m.                                                                     
                                                                               
 Number 1099                                                                   
                                                                               
 DEBRA CALL, Chairwoman, Alaska Job Training Council, said before              
 she speaks, she would like to ask the previous chair of the Job               
 Training Council (JTC) to provide HESS Committee members with a               
 brief history of how this legislation developed.  Then Ms. Call               
 said she would provide a briefing on the current national status of           
 legislation such as this.                                                     
                                                                               
 SARAH SCANLON, Vice-president of Human Resources, Northwestern                
 Alaska Native Association (NANA); former Chairwoman, Alaska JTC;              
 said she represents the private sector.  The issue of consolidating           
 the human resource initiatives has been ongoing for more than ten             
 years.  As some are aware, there have been attempts in the past to            
 push policy through.  Unfortunately, efforts have failed up to this           
 point.                                                                        
                                                                               
 MS. SCANLON understood the last bill was vetoed by Governor Hickel            
 for reasons of state agency interference.  She hoped that will not            
 happen with this bill.                                                        
                                                                               
 Number 1195                                                                   
                                                                               
 MS. SCANLON said there is a need to consolidate the many human                
 resource investment programs, and there are many reasons to do so.            
 The rural economies demand that these changes move the state toward           
 a quality work force.  In the private sector, fragmented systems              
 that make it difficult to find decent employees to fill the many              
 jobs that are available cannot be tolerated.  The lack of a                   
 connecting education system and the lack of communication between             
 state and federal programs are great problems.                                
                                                                               
 MS. SCANLON said the creation of the HRIC provides the opportunity            
 to solve those problems.  In addition, the consolidation of the               
 many councils is going to eliminate all the waste that is occurring           
 in the multiple council staff configurations.  The travel alone for           
 a group of different people doing the same things is unnecessary.             
 Ms. Scanlon fully supports what the bill attempts to do in                    
 eliminating the waste that is occurring.                                      
                                                                               
 Number 1287                                                                   
                                                                               
 MS. SCANLON said this is one of those bills that makes sense to the           
 private sector and to the state employees.  Everyone wants to do a            
 better job, and it will force people to communicate with each other           
 more and work more closely together.                                          
                                                                               
 MS. SCANLON stated it was important to have a system driven by the            
 customer's needs.  For too long, the system has paid too much                 
 attention to what the state workers want to do and what the federal           
 requirements are.  Not enough attention has been given to the                 
 customer and the end product.  Therefore, the HRIC is beyond its              
 time.  Ms. Scanlon expressed her organization's support for the               
 bill, and asked HESS Committee members to support it also.                    
                                                                               
 Number 1308                                                                   
                                                                               
 MS. CALL offered to bring HESS Committee members up to date on                
 these issues.  She said she currently serves as the chair of the              
 JTC, and she also serves as a member of the national JTC.  The                
 national group has been meeting on a semi-annual basis to track               
 what is going on in Congress.  Currently, there are five bills in             
 Congress that propose to consolidate employment training programs             
 on the federal level.  What that means, and as Ms. Scanlon                    
 explained, is that block grants may be received at some point.                
 That is being anticipated.                                                    
                                                                               
 MS. CALL said a block grant to the state of Alaska will be setting            
 the priorities on employment and training programs.  Issues such as           
 where those monies will go and what issues are going to be                    
 addressed will be taken into consideration.  It looks very                    
 promising that Congress will pass one of the bills.  She expects              
 consolidation bills to pass in both the federal House and Senate.             
 The House bill proposes block grants for each state, covering                 
 populations in need of employment training.                                   
                                                                               
 Number 1363                                                                   
                                                                               
 MS. CALL understood that Senator Stevens is very much in support of           
 the efforts on HB 280.  He feels that nationally, the consolidation           
 is an issue being discussed.                                                  
                                                                               
 Number 1406                                                                   
                                                                               
 JERRY LEWIS, Executive Director, Governor's Council on Vocational             
 Education (GCOVE), said GCOVE just completed, on March 31, a                  
 biennial report that dealt with the coordination of the Job                   
 Training Partnership Act (JTPA), its delivery system, and the                 
 Vocational Education delivery system.  Out of that biennial report,           
 the following recommendation was made.  GCOVE is committed to                 
 helping promote vocational education and JTPA coordination in the             
 state of Alaska.                                                              
                                                                               
 MR. LEWIS said after reviewing the JTPA delivery system and its               
 coordination with vocational education programs along with current            
 national trends, GCOVE recognizes the necessity of the formation of           
 an HRIC.  The specific provision of the JTPA amendments that most             
 significantly affect the cooperation with vocational education and            
 other systems concerns the HRIC, which the JTPA amendments empower            
 the Governor to establish as a means of coordinating and                      
 integrating JTPA, vocational education, and other systems of Human            
 Resources Development.                                                        
                                                                               
 Number 1414                                                                   
                                                                               
 MR. LEWIS continued that HB 280 facilitates this integration, and             
 the GCOVE concurs with its premise.  The expected benefit of this             
 recommendation is the development of a statewide system that will             
 serve all Alaskans more efficiently.  Additionally, in order to               
 accommodate the comprehensive system, the GCOVE would recommend               
 that the School-to-Work Transition Council be included under the              
 umbrella of the HRIC.                                                         
                                                                               
 MR. LEWIS said to neglect this would be to fall short of the                  
 complete consolidation necessary to avoid fragmentation of                    
 programs, resources, and the possibility of duplicated services.              
 One of the members of GCOVE, David Stone, could not be present at             
 the hearing although he wanted to be.  He asked Mr. Lewis to                  
 apologize for his absence and express his support for the HRIC.               
                                                                               
 Number 1511                                                                   
                                                                               
 CO-CHAIR TOOHEY asked if Mr. Lewis was requesting a specific space            
 on the HRIC for a School-to-Work Transition Council member.                   
                                                                               
 MR. LEWIS answered that he was asking that School-to-Work be                  
 included in the list of representatives.                                      
                                                                               
 CO-CHAIR TOOHEY agreed that was critical.                                     
                                                                               
 REPRESENTATIVE GARY DAVIS noted that one of the first callers on              
 teleconference requested a "slot" be made for Private Industry                
 Councils.  On page 4, line 10, it indicates "four representatives             
 from business and industry, with at least one representative from             
 the private industry councils appointed under 29. U.S.C. 1512."               
 Representative Davis asked how those federal statutes relate to the           
 Private Industry Council that is currently in place.                          
                                                                               
 MR. LEWIS answered that the job training partnership amendments of            
 1992 are the ones that allow the creation of the HRIC.  They                  
 specifically had a percentage of the representatives on the                   
 council.  A percentage has to be from the private sector, a                   
 percentage has to be union, a percentage must be included from the            
 public sector.  The membership numbers that were arrived at for the           
 HRIC, the 21 to 26, was to fit that formula.                                  
                                                                               
 Number 1566                                                                   
                                                                               
 MR. LEWIS said GCOVE is required under the Carl D. Perkins Act,               
 which is up for reauthorization right now.  The Administration's              
 bill has been submitted by Senator Kennedy and Representative Clay,           
 and a committee is working on the committee's bill.  That is going            
 to change the Carl D. Perkins Act considerably.  The                          
 Administration's bill in itself eliminates Section 112, which                 
 requires that there be a state council on vocational education.               
 With the elimination of that council, something will have to be in            
 place within the state to handle the predicted block grants.                  
                                                                               
 MR. LEWIS said no one knows if the state is going to receive one              
 block grant, or four.  That depends on which bill in Congress                 
 passes through.  Having an HRIC in place when the legislation is              
 passed will help Alaska be ahead of the game.                                 
                                                                               
 Number 1621                                                                   
                                                                               
 REPRESENTATIVE DAVIS asked to follow up on those comments.  He                
 asked if the current private industry council that is currently in            
 place was formed under the U.S. Code referred to in the bill.                 
                                                                               
 MR. LEWIS noted there is more than one private industry council in            
 the state.  The statewide private industry council, of which David            
 Stone is the Juneau Chair, just completed its last meeting                    
 yesterday.  That council is under the authorization of that U.S.              
 Code.                                                                         
                                                                               
 Number 1661                                                                   
                                                                               
 REBECCA NANCE, Director, Employment Security Division, Department             
 of Labor, said the Alaska Department of Labor (DOL) is in support             
 of the Alaska HRIC legislation for a variety of reasons.  Alaskans            
 are the most important resource available in the state.  The HRIC             
 is good public policy because the bill provides for the                       
 coordination and consolidation advocated by the public for more               
 efficient and effective government.                                           
                                                                               
 MS. NANCE also believed it was good for the DOL because it will               
 help it realize its mission of promoting the wage-earner of Alaska            
 and assuring that Alaskans will obtain the training they need in              
 order to be competitive for the available jobs.  Therefore, the               
 need to rely on the nonresident work force will be reduced.                   
                                                                               
 MS. NANCE stated the DOL is in support of this legislation as a               
 partner to the jobs program.  This bill will strengthen the ability           
 of the DOL to get welfare recipients back to work.  It will provide           
 a little more flexibility in terms of systems delivery.                       
                                                                               
 MS. NANCE concluded by saying that when the time comes for the                
 creation and implementation of this legislation and the HRIC in               
 Alaska, the DOL will be poised and ready to receive the federal               
 block grants that seem imminent for employment and training                   
 programs.                                                                     
                                                                               
 Number 1739                                                                   
                                                                               
 JACK SHAY represented himself at the hearing.  He said he is a                
 former member of the JTC and the private industry councils, serving           
 under four different governors.  He is also a former director of              
 the Employment Security Division.  He has been involved in training           
 programs and private industry councils for quite some time.  He               
 mildly disagreed with Janice Tatlow about a concern that perhaps              
 there would not be enough private industry involvement in this                
 council.                                                                      
                                                                               
 MR. SHAY was virtually sure there will be plenty of involvement.              
 It is designed into the law, and it is part of the JTPA.  In                  
 addition, Ms. Scanlon noted that this legislation has been in                 
 progress for quite some time.  Mr. Shay is currently retired, but             
 he is still interested in this arena because he agrees very                   
 strongly that the people are Alaska's greatest resource.                      
                                                                               
 Number 1776                                                                   
                                                                               
 MR. SHAY said the federal government came up with the enabling                
 legislation for this type of provision.  As a matter of fact, the             
 federal legislation was actually encouraging states to consolidate            
 these bodies, focus more on the problems at hand, avoid duplication           
 efforts, and generally coordinate all the provisions of employment            
 and training.                                                                 
                                                                               
 MR. SHAY felt this legislation is a good idea.  There might be one            
 possible amendment the HESS Committee members might like to                   
 consider, however.  The way the council is currently designed,                
 there will be 23 to 26 members.  That seems to be rather unwieldy.            
 Mr. Shay has served on bodies containing that many members.  If               
 there was some good way of perhaps reducing the number (and Mr.               
 Shay did not have any cogent suggestions at the time), he would               
 urge HESS Committee members to look into it.                                  
                                                                               
 MR. SHAY noted that the JTPA does require a certain percentage of             
 persons on the board.  In fact, it requires a majority of the                 
 private industry.  Other than that, drawing on his many years in              
 this field, Mr. Shay felt this legislation was splendid, and he               
 urged its passage.                                                            
                                                                               
 Number 1828                                                                   
                                                                               
 REPRESENTATIVE CAREN ROBINSON asked where the recipients of these             
 services fit in on the board.  She asked Mr. Shay what he thought.            
                                                                               
 MR. SHAY said that was an excellent question.  He said he was                 
 involved in the design of policy, and not in the design of actual             
 delivery and procedures.  He deferred the question to perhaps                 
 someone from the Governor's office.  However, he said the bottom              
 line is training individuals for jobs that exist in the labor                 
 market.                                                                       
                                                                               
 CO-CHAIR BUNDE asked Mr. Rubadeau to speak to the fiscal note.  He            
 also asked if Mr. Rubadeau had a grasp on what the state could                
 expect to save from consolidation.  Co-Chair Bunde understood that            
 an efficient operation may mean better service, but he was                    
 concerned about funding.                                                      
                                                                               
 Number 1897                                                                   
                                                                               
 MR. RUBADEAU agreed everything boils down to dollars and cents.               
 The state, however, needs to focus on more of the "sense" part of             
 this legislation.  By efficiency of scale, by dropping from 38                
 members to 23 to 26 members, there will be a slight economy of                
 meeting.   There will not be duplication of effort.  The state is             
 looking at doing a lot of the initial work in subcommittees (there            
 will be standing subcommittees of this group) which will report on            
 specific parts and portions of the job training in vocational                 
 education aspects around the state.                                           
                                                                               
 Number 1924                                                                   
                                                                               
 MR. RUBADEAU said the dollars reflected in the fiscal note are all            
 interagency transfers.  These are dollars that are already                    
 identified by the enabling legislation to coordinate the planning,            
 to perform responsible oversight, and to look at how to more                  
 efficiently deliver the product.                                              
                                                                               
 MR. RUBADEAU said as his office studied the issue, and they                   
 identified nine PCNs that have been formally allocated over ten               
 years through different scenarios to the ongoing policy development           
 under the federal guidelines.  Presently, there are three PCNs that           
 are servicing these three councils, as well as a lot of in-kind               
 donations from the agencies under which these councils exist.  The            
 bill's sponsors are seeking to consolidate those three PCNs into              
 one, and adding a higher-level staff person.  That person would not           
 be at a higher level than those that exist currently, but would be            
 a staff person in the Governor's office who will bring the private            
 industry's concerns to a higher policy level of debate on a daily             
 basis.                                                                        
                                                                               
 MR. RUBADEAU said by the consolidation effort, it is hoped the                
 efficiency of delivery will be realized.  In addition, the private            
 industry employers and employees are the customers of the HRIC.               
 The efficiency in planning, the long-term policy and strategic                
 development that could be envisioned under the HRIC idea will be              
 the savings, but in the long run, there will not be significant               
 savings from a fiscal standpoint.                                             
                                                                               
 Number 2005                                                                   
                                                                               
 CO-CHAIR BUNDE asked Mr. Rubadeau to address the concerns of Mr.              
 Shay regarding the large membership of the proposed council.                  
                                                                               
 MR. RUBADEAU said he has operated with many large-sized groups.  As           
 the sponsor's office studied federal legislation, the group                   
 membership was pared down as closely as possible.  However, the               
 requirements of the enabling federal laws had to be met.  It is               
 imperative that resources from the federal government be maximized.           
 There must be no opportunity for any federal programs to tell the             
 state it did not meet requirements.  The federal program could then           
 audit the state, and the state could lose funding.                            
                                                                               
 MR. RUBADEAU said as different scenarios were investigated, 21 was            
 the minimum membership.  Everyone needed to come to the table with            
 a private sector majority.  That is what bumped the membership up             
 to 23 members.  The line agency commissioners had to be involved,             
 and there also had to be a private sector majority.  That is how              
 the membership rested at 23.  Many of the day-to-day working                  
 aspects of the HRIC will be handled in subcommittees that are                 
 specifically targeted for the Carl Perkins Grant and the oversight            
 of the UI trust fund.                                                         
                                                                               
 MR. RUBADEAU said those grants and funds will be handled and                  
 reported back to the general council.  Therefore, the sponsors                
 envision that much of the work will be done in the subcommittee and           
 brought back.                                                                 
                                                                               
 Number 2063                                                                   
                                                                               
 CO-CHAIR TOOHEY read page 4, line 4 of the bill: "or each                     
 respective commissioner's designee."  She asked if there was                  
 anything that precludes the other members from having their own               
 representatives if he/she cannot make the meeting.  Co-Chair Toohey           
 was concerned about the legality.                                             
                                                                               
 MR. RUBADEAU said it is not specifically pointed out in the                   
 legislation.  However, he feels there also will be bylaws developed           
 by the HRIC once it is developed.  Those laws will most certainly             
 address those issues.  If a quorum is hard to come by, there will             
 be some sort of enabling working document that will allow work to             
 get done.                                                                     
                                                                               
 Number 2100                                                                   
                                                                               
 REPRESENTATIVE DAVIS noted that Mr. Rubadeau had mentioned sunset             
 dates for the existing councils that will be incorporated into the            
 HRIC.  Representative Davis thought the size of the proposed HRIC             
 will be closely scrutinized.  What the state will need is some                
 verification that the federal law is really driving this size.                
                                                                               
 REPRESENTATIVE DAVIS can foresee many people trying to whittle the            
 group down.  If the group is not going to work whittled down, then            
 people must be shown documentation as to why the group size should            
 be left alone.   In addition, federal legislation is currently in             
 the works.  It has not yet passed, therefore there may be changes             
 in those laws as they progress as to how large the council may be             
 required to be.                                                               
                                                                               
 REPRESENTATIVE DAVIS was thinking, therefore, of a possible sunset            
 clause on the HRIC so it will be revisited by statute, as opposed             
 to needing a bill to go through the process to even get the review            
 before the legislature.  Representative Davis asked if a sunset               
 date has been discussed, and how a proposed sunset date would be              
 received.                                                                     
                                                                               
 Number 2145                                                                   
                                                                               
 MR. RUBADEAU felt Representative Davis brought up a very good                 
 point.  The situation at the federal level is very fluid at the               
 present.  Therefore, HB 280 seeks to operate under the best case              
 scenario.  The sponsor's office feels there will always be federal            
 monies coming to states to help with job training and vocational              
 education components of a state plan.                                         
                                                                               
 MR. RUBADEAU envisions this council to meet the present federal               
 requirements at the minimum.  He hopes the federal laws will not              
 change so drastically.  There always will have to be some body                
 present to accept the federal funds, and some body to disperse the            
 funds.  If the membership is studied closely, the following line              
 agencies need to be identified:  Agencies such as the Department of           
 Education, the Department of Labor, and the Department of Community           
 and Regional Affairs.                                                         
                                                                               
 Number 2181                                                                   
                                                                               
 MR. RUBADEAU stressed that it is very important that those agencies           
 be at the table.  In addition, labor needs to be at the table.  The           
 private sector needs to have the majority.  There needs to be some            
 sort of Alaskan Native component.  If one person could be                     
 identified which was not necessary to the legislation, Mr. Rubadeau           
 assured HESS Committee members that person would not be included.             
                                                                               
 MR. RUBADEAU said the sponsor's office would have loved to present            
 a 12-member board.  However, it could not be done legally.  If the            
 board could pare down to narrow its focus, it may well envision               
 itself doing so.  However, to envision that the state of Alaska can           
 get by with regional representation, cultural sensitivity,                    
 governmental, and nongovernmental entities as well as a private               
 sector majority, Mr. Rubadeau doubts the council can get by with              
 less.                                                                         
                                                                               
 Number 2245                                                                   
                                                                               
 REPRESENTATIVE ROBINSON asked if Mr. Rubadeau envisioned the one,             
 consolidated position of which he previously spoke would be in                
 Juneau, Fairbanks or Anchorage.                                               
                                                                               
 MR. RUBADEAU said the sponsor's office feels very strongly that               
 with the sunset provisions in the bill, it does not want to                   
 anticipate the council's wishes.  Sarah Scanlon testified that this           
 legislation has been in development for ten years.  Mr. Rubadeau              
 does not want to prejudge what the council would plan to be the               
 most effective delivery system for vocational education and job               
 training.                                                                     
                                                                               
 MR. RUBADEAU continued that three councils are proposed, and the              
 fourth, School-to-Work, is of course a natural member.  They are              
 all on parallel lines right now.  It is envisioned that, once this            
 enabling legislation allows those groups to look at a sunset                  
 provision, they converge on their own and with their own plans.  It           
 is anticipated they will work together to develop a staffing                  
 pattern with a regional representation on the HRIC.  That would               
 indicate what those groups felt was the most effective use of the             
 available dollars.  The sponsor's office therefore did not prejudge           
 where the position would be placed at the moment.                             
                                                                               
 Number 2300                                                                   
                                                                               
 CO-CHAIR BUNDE closed public testimony.  As this was the first time           
 this bill was heard, it was the inclination of Co-Chair Bunde to              
 hold the bill.  Co-Chair Bunde asked for the wish of the committee.           
                                                                               
 REPRESENTATIVE TOM BRICE expressed a willingness to move the bill             
 from committee.                                                               
                                                                               
 TAPE 95-39, SIDE B                                                            
 Number 000                                                                    
                                                                               
 REPRESENTATIVE NORMAN ROKEBERG was concerned about the membership             
 of the HRIC.  He had previously thought the bill would be referred            
 to a subcommittee, where his concerns could be addressed.                     
                                                                               
 Number 035                                                                    
                                                                               
 MS. CALL spoke via teleconference in response to Representative               
 Rokeberg's concerns about council size.  She said HB 280 will take            
 the three councils, which now consist of 40 members, and which are            
 now doing employment and training in the state of Alaska, and                 
 reduce that number down to 23.  If representatives are concerned              
 about size and cost, the first step would be to downsize to 23                
 members.                                                                      
                                                                               
 MS. CALL said the second item is that the consolidation is taking             
 place under the 1992 JTPA amendment.  No matter what happens in               
 Congress, this legislation is still valid.  HB 280 provides the               
 flexibility needed to address the employment training issues in the           
 state.  Therefore, HB 280 correctly addresses what can be done, and           
 in the long run it will be more effective and efficient for                   
 Alaskans.                                                                     
                                                                               
 MS. CALL reiterated that Alaskans are Alaska's most important                 
 resource, and the HRIC should be a priority.  When the state speaks           
 about mining, oil and timber, it certainly does not mind developing           
 those resources and spending the money to do so.  However, that               
 type of development is not discussed in relation to the Alaskan               
 people.  Therefore, Ms. Call encouraged HESS Committee members to             
 support HB 280, and move it through the legislature this year.                
                                                                               
 Number 165                                                                    
                                                                               
 CO-CHAIR TOOHEY asked how many meetings Mr. Rubadeau envisioned the           
 council having each year.                                                     
                                                                               
 MR. RUBADEAU answered that the three councils now meet at least               
 quarterly.  Currently, GCOVE meets quarterly also.  Therefore,                
 there are a total of 12 meetings per year.  Those 12 meetings will            
 probably shrink to 4 consolidated meetings.                                   
                                                                               
 CO-CHAIR BUNDE pointed out that the HESS Committee members had                
 quite a bit more work to do.  He again asked the wish of the                  
 committee on whether to hold the bill or not.                                 
                                                                               
 Number 229                                                                    
                                                                               
 REPRESENTATIVE DAVIS did not have a preference either way.                    
 However, if the bill was going to be moved, he had a few questions.           
 On page 4, line 6, it says the council will be made up of four                
 additional representatives of education.  One will be from local              
 public education, one from secondary vocational education....                 
 Representative Davis did not see a distinguishing factor between              
 those two members, as opposed to basic education in the public                
 schools.  Of course, the public schools do have vocational                    
 education.  The bill separates those two things in public                     
 education.                                                                    
                                                                               
 MR. RUBADEAU agreed.  He said that if Representative Davis could be           
 procured as an advocate for school-to-work, it would be desirable             
 to erase those barriers.  All education leads toward work, and that           
 differentiation should be eliminated in any statute.  However, the            
 bill presently seeks to not preclude someone perhaps in a middle              
 school who would like to be involved in this.  Then, secondary                
 vocational education, which is felt to be a very important                    
 component now, would be working with high school educational                  
 facilities.                                                                   
                                                                               
 Number 329                                                                    
                                                                               
 MR. RUBADEAU said the postsecondary vocational education                      
 institution is viewed as not only the public but the private                  
 vocational education institutions.  These four members are part of            
 the 15 percent requirement.  This is mandated by the federal                  
 government.                                                                   
                                                                               
 REPRESENTATIVE DAVIS said line 9 on that same page reads, "...four            
 representatives of business and industry...."  That is then broken            
 down.  Representative Davis then read another requirement:  "...at            
 least one representative from an organization representing                    
 employment and training needs of Alaska Natives...."  He asked if             
 that membership place may serve as one of the four stipulated on              
 line 9.                                                                       
                                                                               
 MR. RUBADEAU answered yes.  He said the bill aims for as much                 
 flexibility as possible, and to be culturally and regionally                  
 sensitive.                                                                    
                                                                               
 Number 394                                                                    
                                                                               
 REPRESENTATIVE ROKEBERG asked to pursue the same line of                      
 questioning as Representative Davis in terms of membership on the             
 council.  He asked if there was anything required by federal                  
 statute that requires the Lieutenant Governor to be on the                    
 commission.                                                                   
                                                                               
 MR. RUBADEAU replied that there was not.                                      
                                                                               
 REPRESENTATIVE ROKEBERG asked if there was anything in federal                
 statute that requires that both the Commissioner of Commerce and              
 the Commissioner of Community and Regional Affairs be on the                  
 commission.                                                                   
                                                                               
 MR. RUBADEAU again replied no.                                                
                                                                               
 REPRESENTATIVE ROKEBERG said it was indicated in the bill that it             
 was a policy call as to insuring a private sector majority.                   
 Squeezing the best possible out of 23 members, he can only find               
 nine that might even be considered as representing the private                
 sector.  He asked Mr. Rubadeau to explain the breakdown of those              
 members.                                                                      
                                                                               
 CO-CHAIR BUNDE interrupted and asked Representative Rokeberg, Co-             
 Chair Toohey and Representative Brice to work with Mr. Rubadeau to            
 answer just those types of questions.  He then asked that the bill            
 be heard again.  He asked for the wish of the committee, and the              
 committee indicated agreement with that decision.                             
                                                                               

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