Legislature(2013 - 2014)BELTZ 105 (TSBldg)

02/26/2014 08:00 AM Senate EDUCATION


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08:00:07 AM Start
08:00:32 AM SB139
09:55:43 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 139 EDUCATION: FUNDING/TAX CREDITS/PROGRAMS TELECONFERENCED
Heard & Held
TVEP Funding & Funding Allocations
*+ SCR 12 FEBRUARY PUBLIC EDUCATION MONTH TELECONFERENCED
Scheduled But Not Heard
Bills Previously Heard/Scheduled
         SB 139-EDUCATION: FUNDING/TAX CREDITS/PROGRAMS                                                                     
                                                                                                                                
8:00:32 AM                                                                                                                    
CHAIR STEVENS announced that the  only order of business would be                                                               
SB 139,  specifically Section 17. He  said the bill would  be set                                                               
aside after invited testimony. He added  that SCR 12 would not be                                                               
heard today.                                                                                                                    
                                                                                                                                
8:01:56 AM                                                                                                                    
DIANE  BLUMER, Commissioner,  Department of  Labor and  Workforce                                                               
Development (DOL),  Juneau, Alaska, provided  information related                                                               
to the  Technical Vocation  Educational Program  (TVEP) component                                                               
of SB 139. She said that  DOL has long recognized that college is                                                               
not the  only avenue  and many  jobs do  not require  a four-year                                                               
degree. She stated that the  bill will reauthorize the TVEP until                                                               
2024 and it will expand dual credit options.                                                                                    
                                                                                                                                
She  explained  that   there  are  two  new   components  in  the                                                               
Governor's  bill;  one is  the  extension  and  the other  is  an                                                               
addition to  current language performance  matrixes that  are set                                                               
out  for the  TVEP  recipient.  A new  addition  allows for  dual                                                               
credits and another  reduces the funding amount by  20 percent if                                                               
the recipient is not meeting performance measures.                                                                              
                                                                                                                                
8:04:56 AM                                                                                                                    
CHAIR  STEVENS asked  how satisfied  Commissioner Blumer  is with                                                               
the current  program as far as  how the money is  being spent and                                                               
the performance of the various agencies.                                                                                        
                                                                                                                                
COMMISSIONER  BLUMER  stated  that  the  department  believes  in                                                               
regional  training centers.  It  recognizes that  there are  many                                                               
programs that  do a fantastic job.  It is time critical  to train                                                               
youth  for the  job market  and  for future  large projects.  The                                                               
department  recognizes  that there  are  a  few areas  where  the                                                               
performance  measures  can  be   enhanced.  She  noted  that  the                                                               
department   is   working   with   the   Governor's   office   to                                                               
strengthening  those   areas  in  the  regulation   process.  She                                                               
concluded that she is comfortable with the program.                                                                             
                                                                                                                                
CHAIR STEVENS  voiced concerns about non-performing  entities. He                                                               
requested more information about  re-directing funds if an agency                                                               
is not performing and how that is determined.                                                                                   
                                                                                                                                
8:06:35 AM                                                                                                                    
COMMISSIONER BLUMER  explained that  currently the  department is                                                               
not  allowed to  redirect funds  because the  program is  formula                                                               
funded. The  department has the  obligation to collect  the data,                                                               
but  currently  has  no  recourse  regarding  funding.  The  bill                                                               
provides that  DOL can  reduce the  grant by  20 percent  for the                                                               
following year.                                                                                                                 
                                                                                                                                
CHAIR STEVENS asked what the performance marks are.                                                                             
                                                                                                                                
COMMISSIONER  BLUMER deferred  to  Wanetta Ayers  to answer.  She                                                               
said it is not always easy to collect the data.                                                                                 
                                                                                                                                
CHAIR STEVENS asked Ms. Ayers to respond.                                                                                       
                                                                                                                                
8:08:07 AM                                                                                                                    
WANETTA  AYERS,  Director,  Division  of  Business  Partnerships,                                                               
Department of  Labor and  Workforce Development,  Juneau, Alaska,                                                               
provided   information  related   to  the   Technical  Vocational                                                               
Education  Program  (TVEP) component  of  SB  139. She  began  by                                                               
describing  how the  division works  to collect  data related  to                                                               
other funds than  TVEP where they currently  have more authority.                                                               
For example, in the State  Training and Employment Program (STEP)                                                               
a  grantee  is required  to  enter  the  individual record  of  a                                                               
trainee,  including  their  name, address,  and  social  security                                                               
number,  which  is  not  reported  on  an  individual  basis  but                                                               
aggregated  for that  particular grantee  and for  the fund  as a                                                               
whole. She said there is not  the same flexibility under TVEP for                                                               
several reasons. First,  a number of the  grantees are affiliated                                                               
with school districts and have  Family Educational Rights Privacy                                                               
Act   requirements.  In   order   to  work   around  that   legal                                                               
restriction, those grantees can report  as groups for the purpose                                                               
of funding.  However, it  prevents DOL from  finding some  of the                                                               
long-term outcome  information, such as whether  the students are                                                               
employed a year after their  exit from the training, their wages,                                                               
and  if they  are  employed  in an  occupation  related to  their                                                               
training.                                                                                                                       
                                                                                                                                
She pointed  out that  SB 139  will provide  recourse. Currently,                                                               
there  is  no   recourse  if  the  grantee   cannot  provide  the                                                               
information.   The  department   can   work   with  the   student                                                               
participation information  TVEP reports to the  budgeting process                                                               
and  to  group   reporting  and  quarterly  reports.   It  is  an                                                               
inconsistent picture that lacks outcome information.                                                                            
                                                                                                                                
CHAIR STEVENS  asked how much it  costs per student and  how many                                                               
people get jobs. He questioned  if that information can be sought                                                               
from every agency and group.                                                                                                    
                                                                                                                                
MS. AYERS replied not as it is currently structured.                                                                            
                                                                                                                                
8:12:06 AM                                                                                                                    
SENATOR DUNLEAVY  asked for language  that would  accomplish that                                                               
request.                                                                                                                        
                                                                                                                                
MS.  AYERS said  it  would  be a  simple  process  by adding  one                                                               
additional point under  AS 23.15.835(e); adding item  (8) to give                                                               
broader responsibility  of the  department to  collect individual                                                               
records  and  information  from  the   recipient  to  make  it  a                                                               
requirement of  receiving the funding.   It  puts it back  on the                                                               
institutions to resolve the legal  privacy issues. She added that                                                               
DOL,  through  the  Division of  Business  Partnerships  and  the                                                               
Research  Analysis   Section,  deal   with  a  large   volume  of                                                               
personally  identifiable information  in  the training  processes                                                               
received  from other  grant recipients.  She maintained  that DOL                                                               
can resolve  the privacy issues  through a variety of  means, but                                                               
first it must have the authority to do so.                                                                                      
                                                                                                                                
SENATOR  DUNLEAVY commented  that personal  information does  not                                                               
need to  be used. He  gave an  example of a  training institution                                                               
with 1,000  students and the  appearance may be misleading  as to                                                               
how many  hours the students  spend in  a program and  the actual                                                               
number may  be very small.  He would  like to match  funding with                                                               
specific  outcomes.  He  requested  to know  what  is  needed  to                                                               
collect necessary data.                                                                                                         
                                                                                                                                
MS. AYERS agreed to provide that information.                                                                                   
                                                                                                                                
8:14:50 AM                                                                                                                    
CHAIR  STEVENS reiterated  his two  questions: how  much does  it                                                               
costs per  student and how  many have  jobs. He pointed  out that                                                               
the answers do not require  personal information. He stressed the                                                               
need to be accountable for money spent.                                                                                         
                                                                                                                                
He also  asked where the 20  percent goes after it  is taken away                                                               
from underperforming  organizations. He  inquired if DOL  has the                                                               
ability to reallocate it.                                                                                                       
                                                                                                                                
MS.  AYERS noted  that a  policy  would be  developed to  address                                                               
redistributing funds to the other recipients.                                                                                   
                                                                                                                                
CHAIR STEVENS asked if the bill allows that.                                                                                    
                                                                                                                                
MS.  AYERS said  it  is  an internal  policy  and  not needed  in                                                               
statute. The  department issues advisories  to the  grantees that                                                               
are posted on the web site  so that they will understand what the                                                               
process will be.                                                                                                                
                                                                                                                                
8:16:04 AM                                                                                                                    
SENATOR  DUNLEAVY  asked  what  is needed  to  ensure  the  money                                                               
matches the training data.                                                                                                      
                                                                                                                                
MS. AYERS said that is the  direction the department wants to go.                                                               
She noted the  department would like more  information about each                                                               
course that  is offered, the  credentials that are  attained, the                                                               
number of  student hours of  student instruction,  and employment                                                               
and  wage  outcomes  for  the  individual,  but  reported  on  an                                                               
institutional basis.                                                                                                            
                                                                                                                                
CHAIR STEVENS  commented that  workforce development  is becoming                                                               
more crucial to the state and nationwide.                                                                                       
                                                                                                                                
8:17:43 AM                                                                                                                    
MICHAEL  HANLEY, Commissioner,  Department of  Education, Juneau,                                                               
Alaska, provided  information related  to the  Technical Vocation                                                               
Educational  Program (TVEP)  component of  SB 139.  He said  that                                                               
TVEP is  a partnership  between the  Department of  Education and                                                               
Early  Development  (DEED)  and   the  Department  of  Labor  and                                                               
Workforce  Development (DOL).  He  said  that the  accountability                                                               
component  requires   an  articulation  agreement  that   if  the                                                               
entities  receive  the  funds,  they  are  offering  dual  credit                                                               
opportunities for  students. It enhances a  student's high school                                                               
career as  well as  career or  university training.  He concurred                                                               
with DOL's comments.                                                                                                            
                                                                                                                                
SENATOR DUNLEAVY  commented that  some of  the programs  are more                                                               
independent  of a  school  district than  others.  The lines  are                                                               
blurred between  K-12 and post-secondary  training. He  asked how                                                               
the departments  can delineate  those areas  and trace  where the                                                               
money is going.                                                                                                                 
                                                                                                                                
COMMISSIONER HANLEY  said he  likes the fact  that the  lines are                                                               
blurred. Graduation is  only a mark in time  toward progress, but                                                               
not an  end zone.  The monitoring  of the  students falls  to the                                                               
DOL. He offered  to work with DOL on the  delineation of data for                                                               
future decisions.                                                                                                               
                                                                                                                                
8:20:38 AM                                                                                                                    
FRED  VILLA,  Associate  Vice  President,  University  of  Alaska                                                               
System - Statewide (UA),  Fairbanks, Alaska, provided information                                                               
related  to the  Technical  Vocational  Education Program  (TVEP)                                                               
component  of SB  139. He  explained that  UA allocates  the TVEP                                                               
program from a  consolidated distribution from the  state. The 45                                                               
percent  goes to  UA  and an  additional 5  percent  goes to  the                                                               
University  of Alaska  -  Southeast  (UAS). It  is  managed as  a                                                               
single  allocation   to  initiate   and  enhance   high  priority                                                               
workforce development  programs. The funding has  to meet certain                                                               
criteria that align  with the state, but include  high demand and                                                               
regional  workforce  needs,   increased  access,  flexibility  of                                                               
training, improve  persistence of educational processes,  and has                                                               
collaboration across the state. It  is looking at high demand job                                                               
areas  that   provide  economic  development   opportunities  for                                                               
regions,  but  also  career  pathways   that  allow  students  to                                                               
transition from  secondary schools, military, and  other walks of                                                               
life,  into  training  programs  that  can  get  them  jobs.  The                                                               
investments  are   across  the   university  system  and   use  a                                                               
competitive grant  process within UA  to meet regional  needs, as                                                               
well  as state  needs.  He  noted that  he  has provided  written                                                               
testimony.                                                                                                                      
                                                                                                                                
8:23:30 AM                                                                                                                    
SENATOR  STEDMAN  asked  about UA's  methodology  for  allocating                                                               
funds to  the Southeast  Region. He  requested suggestions  as to                                                               
how to allocate TVEP funds around  the state to areas where there                                                               
is  performance,  and  how  to  deal  with  new  incumbents  with                                                               
superior performance compared to current participants.                                                                          
                                                                                                                                
MR. VILLA responded that performance  should reflect the center's                                                               
ability to  provide programs to  meet the need of  employers. The                                                               
economic model  that each  TVEP recipient  or center  uses should                                                               
represent the  level of funding  and accountability  measures for                                                               
each center  so it can  be assessed  for the service  it provides                                                               
both regionally  and to  the state. The  UA system  has reporting                                                               
requirements  in the  grant process  that include  the number  of                                                               
students  served by  TVEP funds,  whether there  are external  or                                                               
internal licensures  or certifications  and if they  are awarded.                                                               
It also  asks for  information regarding  outcomes, distribution,                                                               
and  priorities   based  on  the  workforce   investment  board's                                                               
priority  industries, and  career  pathways  for transitions  for                                                               
students from secondary to post-secondary.                                                                                      
                                                                                                                                
SENATOR STEDMAN  asked about how  new entrants are handled  at UA                                                               
and for purposes of the bill.                                                                                                   
                                                                                                                                
8:26:38 AM                                                                                                                    
MR. VILLA  related that part  of the  investment UA has  had, has                                                               
been  done when  there is  a  regional training  center that  has                                                               
partnered  with UA  and  has  sought TVEP  funding  to get  their                                                               
program going.  He gave an  example where UA partnered  with area                                                               
residents and the  high school to support the  development of the                                                               
Delta  Career  Advancement Center,  who  made  a presentation  to                                                               
legislature and  now receives TVEP  funding. The challenge  is to                                                               
define what the purpose is and  whether the center has a regional                                                               
and statewide  mission, and assess accountability  prior to state                                                               
investment.  Performance criteria  are  critical  to making  that                                                               
decision.                                                                                                                       
                                                                                                                                
He  shared  enrollment  costs  of $560  per  student,  across  58                                                               
grants,  in the  UA system.  He said  UA is  working with  DOL to                                                               
track  graduates of  the  programs. One  of  the fallacies  about                                                               
graduates  is if  they complete  a program  and go  to work,  but                                                               
don't go  into the program of  study, they do not  count as being                                                               
employed by the industry. He gave an example.                                                                                   
                                                                                                                                
8:30:21 AM                                                                                                                    
CHAIR  STEVENS noted  the  importance of  "getting  a job  equals                                                               
success." He  asked about  the 58 different  grants and  how many                                                               
regional training centers there are.                                                                                            
                                                                                                                                
MR.  VILLA explained  that  the UA  system  has accredited  three                                                               
universities,  one  accredited  community college,  and  thirteen                                                               
community  campuses,  plus  a  number  of  small  community-based                                                               
centers. There  are 58  grants within 23  schools that  have been                                                               
funded.  One  site may  have  a  variety  of  programs and  be  a                                                               
recipient of several grants.                                                                                                    
                                                                                                                                
8:32:46 AM                                                                                                                    
SENATOR DUNLEAVY asked  if there is much  duplication of programs                                                               
in the various training centers.                                                                                                
                                                                                                                                
MR. VILLA  said there  is some  unnecessary duplication  and some                                                               
necessary duplication.  For example,  there are  welding programs                                                               
across  the  state  due  to   economic  opportunities  and  jobs.                                                               
Regional  training   centers,  in  partnership   with  university                                                               
programs, leveraged  resources and faculty  in order to  move the                                                               
programs around the state where they were needed.                                                                               
                                                                                                                                
8:35:18 AM                                                                                                                    
SENATOR GARDNER  said at UAS,  50 out  of 60 participants  are in                                                               
business administration.  She did  not think of  that major  as a                                                               
vocational area.                                                                                                                
                                                                                                                                
MR. VILLA deferred to Provost Caulfield to answer.                                                                              
                                                                                                                                
CHAIR STEVENS thanked  Mr. Villa for his years of  service to the                                                               
university.                                                                                                                     
                                                                                                                                
8:36:25 AM                                                                                                                    
JOHN PUGH, Chancellor, University  of Alaska - Southeast, Juneau,                                                               
Alaska, provided  information related  to the  Technical Vocation                                                               
Education  Program  (TVEP) component  of  SB  139. He  introduced                                                               
himself.                                                                                                                        
                                                                                                                                
RICK CAULFIELD, Provost, University  of Alaska - Southeast (UAS),                                                               
Juneau,  Alaska, provided  information related  to the  Technical                                                               
Vocation  Education  Program  (TVEP)  component  of  SB  139.  He                                                               
addressed  Senator  Gardner's  question. He  noted  that  tourism                                                               
development is a key part of  the economy in Southeast Alaska and                                                               
UAS offers  a full  array of  programs. Workforce  development is                                                               
offered  at  the non-credit  level  and  at the  one-year  level.                                                               
Career pathways  are offered  at the  associate degree  level and                                                               
baccalaureate  level.  Career pathways  include  technician-level                                                               
positions and TVEP funding.                                                                                                     
                                                                                                                                
SENATOR  GARDNER asked  if some  business administration  classes                                                               
are not TVEP funded.                                                                                                            
                                                                                                                                
MR. CAULFIELD said yes.                                                                                                         
                                                                                                                                
SENATOR GARDNER asked if TVEP-funded classes are unique.                                                                        
                                                                                                                                
MR.   CAULFIELD   said   the    courses   offered   in   business                                                               
administration are  part of  a career  pathway that  extends down                                                               
into high school.  There are avenues where students  can begin to                                                               
earn university  credits at the  high school level and  then come                                                               
into certificate,  associate degree, and  baccalaureate programs.                                                               
The TVEP funding goes to outreach  for students to be able to get                                                               
into the career pathways, and  university funding is provided for                                                               
the degree programs.                                                                                                            
                                                                                                                                
8:38:56 AM                                                                                                                    
CHANCELLOR  PUGH added  that the  TVEP  grant was  needed for  an                                                               
outreach  coordinator  that  worked  with industry  in  order  to                                                               
expand the  number of students  in the associate  program because                                                               
of the need for accounting technicians across the state.                                                                        
                                                                                                                                
SENATOR STEVENS asked for general comments about TVEP.                                                                          
                                                                                                                                
CHANCELLOR PUGH  provided the history  of the need for  the bill.                                                               
A number  of years  ago, UAS  did not receive  its fair  share of                                                               
TVEP funding, so  Senator Elton amended the bill  to include UAS,                                                               
which would  receive 5  percent of  the funding.  Chancellor Pugh                                                               
pointed out that  in the last few years UAS  has received between                                                               
10 percent and 13 percent of  the funding. He maintained that the                                                               
grant process is the best process to compete for funding.                                                                       
                                                                                                                                
He  said he  views  all  three of  the  UA  campuses as  regional                                                               
training centers. He  noted that the campuses focus  on local and                                                               
regional  needs. He  said that  TVEP funding  has worked  in many                                                               
ways  to pilot  programs. A  center  receives a  grant for  three                                                               
years and  then it must "prove  up" and provide its  own funding.                                                               
He  opined  that TVEP  has  been  a  very  good program  for  the                                                               
university and has enabled it to start new programs.                                                                            
                                                                                                                                
8:42:42 AM                                                                                                                    
CHAIR  STEVENS noted  that the  awarding  of 45  percent of  TVEP                                                               
funding  to  UA  and  5  percent  to  UAS  is  not  an  important                                                               
distinction because of the grant application process.                                                                           
                                                                                                                                
CHANCELLOR PUGH  agreed that the  5 percent is not  necessary due                                                               
to the competitive process.                                                                                                     
                                                                                                                                
8:43:39 AM                                                                                                                    
MR.  CAULFIELD  commented  that  TVEP funding  allows  UA  to  be                                                               
responsive to needs  that arise, such as in  Ketchikan where TVEP                                                               
funding has  been used in the  past year to develop  an new, non-                                                               
credit   maritime    and   multi-skilled   worker    program   in                                                               
collaboration  with the  shipyard  and the  Native community.  It                                                               
shows  the  importance  of  TVEP  funding  to  be  responsive  to                                                               
industry needs.                                                                                                                 
                                                                                                                                
SENATOR  STEDMAN   agreed  that  the  5   percent  allocation  is                                                               
unnecessary. He  voiced concern about  funding outside of  the 50                                                               
percent that goes  to the university and suggested  it be treated                                                               
the  same way  with performance  measures  in order  to weed  out                                                               
underperformers.                                                                                                                
                                                                                                                                
CHAIR STEVENS said it was a good point.                                                                                         
                                                                                                                                
8:45:48 AM                                                                                                                    
SENATOR HUGGINS  asked about differences  in training  demand and                                                               
jobs in Southeast Alaska.                                                                                                       
                                                                                                                                
CHANCELLOR  PUGH said  maritime  programs, such  as shipping  and                                                               
fishing, are  unique to  the area. There  are 8,000  employees in                                                               
the  fishing  industry  in  Southeast  Alaska.  There  is  a  new                                                               
fisheries  tech program  which will  be distance  delivered soon.                                                               
Also, mining  jobs are very  important in  the region. UAS  has a                                                               
mining training center. The health  care program in Sitka was the                                                               
first campus  to do a  health information management  program and                                                               
coding  specialist  program.  Those  programs  address  statewide                                                               
needs.                                                                                                                          
                                                                                                                                
8:48:28 AM                                                                                                                    
SENATOR HUGGINS  noted there is  a Job  Corps site in  Palmer. He                                                               
asked if there is a similar program in SE Alaska.                                                                               
                                                                                                                                
CHANCELLOR  PUGH   said  there  is  not.   The  Ketchikan  Indian                                                               
Corporation has a job center and there are two centers in Sitka.                                                                
                                                                                                                                
8:49:26 AM                                                                                                                    
SENATOR  STEDMAN commented  that the  Alaska Ship  and Dry  Dock,                                                               
owned by  Vigor Alaska,  is integrating  with the  university for                                                               
job training programs.  He opined that the  maritime component is                                                               
in its incubation age.                                                                                                          
                                                                                                                                
CHANCELLOR PUGH  said Vigor announced  that within the  next five                                                               
years 200  employees will be  needed and the university  would be                                                               
the primary training center. He said that is what TVEP is about.                                                                
                                                                                                                                
SENATOR HUGGINS noted a huge  unemployment problem in the U.S. He                                                               
asked  how the  university  dovetails with  DOL  to address  that                                                               
issue.                                                                                                                          
                                                                                                                                
CHANCELLOR  PUGH spoke  of  the  mining program  as  a method  of                                                               
employing people.  DOL looked  at the  unemployed in  the region,                                                               
selected individuals  to go to  underground mining  training, and                                                               
funded the  program. The  university also  worked with  Gold Belt                                                               
and the  Alaska Native Corporation  to contact  unemployed Alaska                                                               
Natives  to  engage  in  the  mining  training  program.  In  the                                                               
Ketchikan area  former timber employees  were contacted  to train                                                               
and work in the shipyard.                                                                                                       
                                                                                                                                
CHAIR  STEVENS wished  to discuss  the issue  further at  another                                                               
time.                                                                                                                           
                                                                                                                                
8:54:16 AM                                                                                                                    
CHRIS  REITAN,  Superintendent,   Galena  City  School  District,                                                               
Galena,  Alaska, provided  information  about Technical  Vocation                                                               
Educational  Program (TVEP)  fund  recipients.  He described  how                                                               
Galena  has  used  TVEP  funding.  When  the  funding  was  first                                                               
available,  it  was  used  for   implementing  the  aviation  and                                                               
cosmetology programs.  Since then  its use  has been  expanded to                                                               
dual credit areas for high  school students: construction trades,                                                               
aviation, automotive,  computer technology, health  sciences, and                                                               
culinary  arts.  The  focus has  been  for  non-traditional  high                                                               
school  students  to  move  into  the workforce  or  on  to  more                                                               
training.                                                                                                                       
                                                                                                                                
CHAIR STEVENS said he has  been reading about 6-year high schools                                                               
with 2  years of vocational  training following a  4-year regular                                                               
curriculum. He asked if that is what is occurring in Galena,                                                                    
                                                                                                                                
MR. REITAN  said it  was true  to a degree.  He gave  examples of                                                               
cosmetology  and aviation  as courses  that are  taken throughout                                                               
the duration of high school into a fifth year.                                                                                  
                                                                                                                                
8:57:57 AM                                                                                                                    
CHAIR STEVENS noted one of  the problems the department is having                                                               
is  with getting  information regarding  cost  and placement.  He                                                               
asked Mr.  Reitan to  comment on  the university  as a  model for                                                               
exiting old programs and accepting new programs.                                                                                
                                                                                                                                
MR. REITAN thought it was appropriate.  The focus in Galena is on                                                               
occupations  that  have job  demand,  and  the programs  have  to                                                               
adjust to fields that have a high employment rate.                                                                              
                                                                                                                                
CHAIR STEVENS  voiced appreciation for Mr.  Reitan's comments and                                                               
work.                                                                                                                           
                                                                                                                                
8:59:40 AM                                                                                                                    
CHERYL  EDENSHAW, Director,  Alaska (Kotzebue)  Technical Center,                                                               
Kotzebue, Alaska,  provided information about  Technical Vocation                                                               
Educational  Program (TVEP)  fund recipients.  She discussed  the                                                               
flexibility of the center to  adjust to meet workforce needs that                                                               
arise. She  said it is  one of  the center's strengths.  She said                                                               
they would like  to develop even further to focus  on quality and                                                               
excel within  career pathways  that are in  demand in  the region                                                               
and in the state.                                                                                                               
                                                                                                                                
CHAIR STEVENS said  he was impressed with  the Kotzebue Technical                                                               
Center.                                                                                                                         
                                                                                                                                
9:01:15 AM                                                                                                                    
FRED  ESPOSITO,  Director,  Alaska  Vocational  Technical  Center                                                               
(AVTC),  Seward,  Alaska,  provided information  about  Technical                                                               
Vocation  Educational Program  (TVEP)  fund  recipients. He  said                                                               
that  AVTC, a  statewide program,  was an  original recipient  of                                                               
TVEP  funding and  the funds  have become  integrated into  AVTEC                                                               
operations. Originally,  the funds were used  to enhance programs                                                               
that   had   been   lacking  in   funding   for   equipment   and                                                               
accreditation. He  noted that AVTEC  uses school-wide  results to                                                               
show the results of TVEP.                                                                                                       
                                                                                                                                
MR. ESPOSITO  related that AVTEC  has 18  certificate-level long-                                                               
term training programs,  as well as a large  number of short-term                                                               
programs.  He listed  programs in  health, applied  technologies,                                                               
such  as  welding  and  diesel  and  heavy  equipment  mechanics,                                                               
culinary   arts,  energy   and  building   trades,  construction,                                                               
refrigeration,  information  technology, and  maritime  programs.                                                               
All  programs are  offered  with  the support  of  industry -  an                                                               
industry-based  advisory   committee.  He  said  AVTEC   has  had                                                               
excellent results.  In FY 2012,  86 percent of  students entering                                                               
long-term training  programs completed  them and 90  percent were                                                               
placed in training-related employment.                                                                                          
                                                                                                                                
CHAIR STEVENS  said he was  familiar with Seward  Center programs                                                               
and  facility.  He  commented that  the  maritime  transportation                                                               
facility is remarkable.                                                                                                         
                                                                                                                                
MR. ESPOSITO  agreed that the  AVTEC maritime program  is unique,                                                               
the simulator  is world  class, and the  staff are  excellent. He                                                               
credited the  staff and industry  support for the success  of the                                                               
program.                                                                                                                        
                                                                                                                                
9:06:26 AM                                                                                                                    
CHAIR STEVENS asked  Mr. Esposito to comment on  the reduction of                                                               
20 percent funding for non-performing facilities.                                                                               
                                                                                                                                
MR. ESPOSITO did  not think it was a concern  to AVTEC's programs                                                               
whose performance results are very good.                                                                                        
                                                                                                                                
9:07:03 AM                                                                                                                    
CHAIR STEVENS agreed that 90 percent placement is remarkable.                                                                   
                                                                                                                                
SENATOR GARDNER noted  in AVTEC's demographics that  2 percent of                                                               
the students come from out of state.                                                                                            
                                                                                                                                
MR.  ESPOSITO explained  that  some students  find  AVTEC on  the                                                               
internet and have an interest in relocating to Alaska.                                                                          
                                                                                                                                
SENATOR GARDNER asked  if those stay in Alaska  after they finish                                                               
the program.                                                                                                                    
                                                                                                                                
MR. ESPOSITO said the majority  of students that go through AVTEC                                                               
stay in  Alaska. AVTEC does  follow them  and knows that  most of                                                               
them are employed in training-related jobs.                                                                                     
                                                                                                                                
CHAIR STEVENS thanked Mr. Esposito.                                                                                             
                                                                                                                                
9:08:31 AM                                                                                                                    
DOUG WALRATH, Director, Northwestern  Alaska Career and Technical                                                               
Center  (NACTEC),   Nome,  Alaska,  provided   information  about                                                               
Technical  Vocational Education  Program (TVEP)  fund recipients.                                                               
He related  that most  of the Center's  students are  high school                                                               
age, therefore he  has a concern that the metrics  that are being                                                               
used to  measure what they are  intended to do. For  example, the                                                               
number of  trainees is easy  to report,  but the number  of those                                                               
going  to work  within  one  year of  training  would exclude  79                                                               
percent of participants who were not high school seniors.                                                                       
                                                                                                                                
He shared  some trends found  at NACTEC  since the onset  of TVEP                                                               
five  years  ago.  There  was   an  increase  of  64  percent  in                                                               
enrollment,  up from  241  trainees.  Nome and  15  sites in  the                                                               
Bering  Strait  School  District   came  together  to  develop  a                                                               
regional training center. Bering  Strait School District provides                                                               
89 percent  of the students  that come through NACTEC.  There was                                                               
an amazing increase in the graduation  rate from 32 percent in FY                                                               
08, when TVEP entered, to 61 percent  in FY 13. He said he cross-                                                               
referenced the  onset of TVEP  funds with the  unemployment rate,                                                               
which decreased  by 3 percent.  He concluded that the  funding is                                                               
making  an  impact.  He  noted   he  has  also  provided  written                                                               
comments.                                                                                                                       
                                                                                                                                
CHAIR STEVENS asked for help  determining what the right measures                                                               
should be. He thanked Mr. Walrath.                                                                                              
                                                                                                                                
9:14:26 AM                                                                                                                    
KURT   KUHNE,  Executive   Director,  Yuut   Elitnaurviat,  Inc.,                                                               
People's  Learning Center,  Bethel, Alaska,  provided information                                                               
about   Technical  Vocational   Education  Program   (TVEP)  fund                                                               
recipients.  He  said  the  Center's governance  is  made  up  of                                                               
industries  who meet  annually to  prioritize training  needs for                                                               
jobs within  the region.  He said  they meet with  DOL to  try to                                                               
determine the  measures that adequately  represent the  good work                                                               
that is  done. He noted  differences between Bethel and  Nome and                                                               
the difficulty  in have  the same measures  for both  centers. He                                                               
said he has provided written answers to the requested questions.                                                                
                                                                                                                                
CHAIR STEVENS thanked Mr. Kuhne.                                                                                                
                                                                                                                                
9:16:38 AM                                                                                                                    
STEVEN  ANGASAN,  Instructor,  Southwest  Alaska  Vocational  and                                                               
Education  Center  (SAVEC),  King   Salmon  and  Naknek,  Alaska,                                                               
provided   information  about   Technical  Vocational   Education                                                               
Program (TVEP) fund  recipients. He said TVEP funding  has been a                                                               
godsend  to  SAVEC.  He  noted  that  all  training  centers  are                                                               
different and  it would be  difficult to develop measures  to fit                                                               
all. He  agreed with  the previous speaker.  He said  that Bethel                                                               
works with  kids; he  works with  adults. He  said SAVEC  was the                                                               
recipient of a federal grant  for fisheries, maritime, and others                                                               
industry  training. He  spoke  of a  three-year  AVTEC grant  for                                                               
internet. He testified in support of SB 139.                                                                                    
                                                                                                                                
CHAIR STEVENS  thanked Mr. Angasan  for working with  agencies to                                                               
meet the needs of his community.                                                                                                
                                                                                                                                
9:20:32 AM                                                                                                                    
KAREN CEDZO, Development and  Coordination, Partners For Progress                                                               
in Delta,  Inc., Delta Career  Advancement Center  (DCAC), Delta,                                                               
Alaska,   provided   information   about   Technical   Vocational                                                               
Education Program  (TVEP) fund recipients.  She spoke  in support                                                               
of  continued TVEP  funding provided  for in  SB 139  because the                                                               
board believes  that the programs  offered by the funds  are life                                                               
changing. She  described the process for  developing a consortium                                                               
to address the shortage of  career and technical education needed                                                               
to meet job demands. She  provided the history of the partnership                                                               
that developed the construction  trades academy. The construction                                                               
trades  instructor has  been recognized  by the  Alaska Workforce                                                               
Investment Board as Career Technical Educator of the year.                                                                      
                                                                                                                                
She explained how  DCAC delivers its programs. She  noted they do                                                               
not  issue degrees,  but work  with the  university and  the high                                                               
school who do.  She gave examples of needs met  due to the annual                                                               
industry  roundtable;  CDL   training,  welding,  computing,  and                                                               
certified nurse  aid. A goal is  to focus on quality  and address                                                               
needs  as  they  appear.  She  provided an  example  of  how  the                                                               
university,  career center,  and school  district work  together.                                                               
She described the  successes of the programs.  She concluded that                                                               
the career center is a  good model for delivering cost efficient,                                                               
non-duplicating career and technical  educational training in the                                                               
area.                                                                                                                           
                                                                                                                                
CHAIR STEVENS thanked Ms. Cedzo.                                                                                                
                                                                                                                                
9:26:50 AM                                                                                                                    
SENATOR GARDNER  said she found  the testimony  very interesting,                                                               
particularly the mention of Boeing  as a subcontractor. She asked                                                               
if it was part of the  Department of Defense work related to Fort                                                               
Greeley.                                                                                                                        
                                                                                                                                
MS. CEDZO  said yes.  Boeing comes to  the annual  industry round                                                               
table and  states what it  needs from new hires.  Boeing invested                                                               
$60,000 in Delta because they  believe in hiring locals. The goal                                                               
is to work with industry  partners to keep people competitive for                                                               
jobs emerging in the area.                                                                                                      
                                                                                                                                
9:29:35 AM                                                                                                                    
SENATOR GARDNER said Ms. Cedzo  mentioned that Boeing has a brain                                                               
trust  of  engineers.  She  asked how  many  engineers  are  from                                                               
Alaska.                                                                                                                         
                                                                                                                                
MS. CEDZO  replied that Boeing  does an incredible job  of hiring                                                               
University of Alaska Fairbanks engineers.  She offered to provide                                                               
the number.                                                                                                                     
                                                                                                                                
SENATOR GARDNER thanked Ms. Cedzo.                                                                                              
                                                                                                                                
CHAIR STEVENS thanked Ms. Cedzo.                                                                                                
                                                                                                                                
9:30:24 AM                                                                                                                    
CARMEN  FRANCHINO, Director  of Operations,  Amundsen Educational                                                               
Center,  Soldotna, Alaska,  provided information  about Technical                                                               
Vocational Education  Program (TVEP) fund recipients.  She shared                                                               
information about  the merging of  the Amundsen  Education Center                                                               
with  New  Frontier  Vocational Technical  Center  in  2008.  She                                                               
described  the  makeup  of  the student  body.  She  related  the                                                               
content, funding sources, and successes  of the program. She said                                                               
TVEP  is  working because  it  strengthens  the economy  and  the                                                               
workforce by attracting young Alaskans to remain in the state.                                                                  
                                                                                                                                
CHAIR  STEVENS  asked  how  many  students  Amundsen  Educational                                                               
Center can provide housing for on campus.                                                                                       
                                                                                                                                
MS. FRANCHINO said 12.                                                                                                          
                                                                                                                                
9:33:48 AM                                                                                                                    
JUDI WALGENBACH,  Program Director, Amundsen  Educational Center,                                                               
Soldotna,   Alaska,   provided    information   about   Technical                                                               
Vocational Education  Program (TVEP)  fund recipients.  She spoke                                                               
positively  about the  TVEP grant  which the  center received  in                                                               
2008.                                                                                                                           
                                                                                                                                
9:34:27 AM                                                                                                                    
CHARLENE  ARNESON,  President,  Chugach  School  Board,  Chugach,                                                               
Alaska,   provided   information   about   Technical   Vocational                                                               
Education  Program (TVEP)  fund  recipients. She  said that  many                                                               
students  have  benefitted from  the  transition  to life  skills                                                               
program begun  18 years  ago. She noted  a 98  percent graduation                                                               
rate. She described a young man  from Whittier named Jake Yin who                                                               
was successful  and an example  of what  the academy can  do. She                                                               
said she would like to see a network of these training centers.                                                                 
                                                                                                                                
CHAIR STEVENS  requested Ms. Arneson  send written  materials. He                                                               
asked if the academy receives TVEP funding.                                                                                     
                                                                                                                                
MS.  ARENESON said  no; it  receives grant  funding. She  said it                                                               
would be receiving  some TVEP funding soon.  She invited everyone                                                               
to see new building.                                                                                                            
                                                                                                                                
9:40:36 AM                                                                                                                    
STEVE  BRADSHAW, Superintendent,  Sitka  School District,  Sitka,                                                               
Alaska,   provided   information   about   Technical   Vocational                                                               
Education Program (TVEP)  fund recipients. He said  Sitka has had                                                               
a Southeast Career  Training Center since 2008,  but has received                                                               
no TVEP funding,  which has created stress on  district funds. He                                                               
described  various grants  to fund  the program.  He said  he has                                                               
been trying  to get TVEP  funds since 2008  and is looking  for a                                                               
way to  keep the facility  open. He  shared some of  the programs                                                               
they can offer.                                                                                                                 
                                                                                                                                
CHAIR STEVENS  noted that his request  is for new programs  to be                                                               
added to TVEP.                                                                                                                  
                                                                                                                                
MR. BRADSHAW  agreed that Sitka  could be competitive  for funds.                                                               
He stressed  that they have tried  to get TVEP funds.  He said he                                                               
would like to re-apply for the funds.                                                                                           
                                                                                                                                
CHAIR  STEVENS thanked  Mr. Bradshaw.  He said  he would  request                                                               
some changes to the program so others could enter it.                                                                           
                                                                                                                                
9:47:10 AM                                                                                                                    
CHARLES  EDWARDSON,  Workforce   Development  Director,  Southern                                                               
Southeast Alaska  Technical Education Center,  Ketchikan, Alaska,                                                               
provided   information  about   Technical  Vocational   Education                                                               
Program (TVEP) fund  recipients. He said that  about 112 students                                                               
went through the  program last year. He noted  that Ketchikan has                                                               
received  $3.3 million  from the  state for  the facility  and is                                                               
seeking TVEP funding.  He said the dormitories,  which will house                                                               
40  students,  will  be  completed  in  April.  He  talked  about                                                               
location  difficulties  and  the  need for  a  dormitory  as  the                                                               
regional hub. He said he is on  the board in Sitka and is working                                                               
with Klawock. He noted a partnership with UAS.                                                                                  
                                                                                                                                
He  stressed that  TVEP funding  would allow  for a  reduction in                                                               
tuition rates and make it more  accessible to all Alaska. He said                                                               
federal funding  is in place  for building operations.  He voiced                                                               
concern with the formula.                                                                                                       
                                                                                                                                
He  maintained  that  vocation training  efforts  in  Alaska  are                                                               
working. Unemployment contributions  from workers in construction                                                               
are increasing and  there is an 18 percent increase  in demand in                                                               
the construction  industry. He suggested  keeping those  ideas in                                                               
mind when considering the formula.                                                                                              
                                                                                                                                
He said they  work with industry. The demand for  mining jobs and                                                               
shipyard jobs  is there. Students  from both high  schools attend                                                               
the facility.  He noted he  has provided written  information. He                                                               
testified in  support of SB 139  and wished to be  included in HB
150.                                                                                                                            
                                                                                                                                
9:53:32 AM                                                                                                                    
CHAIR STEVENS thanked Mr. Edwardson.                                                                                            
                                                                                                                                
MR. EDMUNSON referred to a picture of successful graduates.                                                                     
                                                                                                                                
SENATOR STEDMAN shared a story.                                                                                                 
                                                                                                                                
CHAIR STEVENS  summarized that it  was an  interesting discussion                                                               
on  SB 139.  He  concluded  that there  were  concerns about  the                                                               
formula and  he asked  for opportunities  for districts  to apply                                                               
for  grants.   He  spoke  highly   of  the  flexibility   of  the                                                               
university's  model   and  the  ability  to   be  successful  and                                                               
competitive.                                                                                                                    
                                                                                                                                
CHAIR STEVENS held SB 139 in committee.                                                                                         

Document Name Date/Time Subjects
01_MEMO_TVEP_Funding_Questions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
02_TVEP_Appropriations_FY01-FY15.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
03_UnemploymentInsurance_TVEP_FlowChart.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
04_UnivAK_TVEP_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
04a_UnivAK_System_TVEP AdvocacyPackage_StatewideComponent.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
04b_UnivAK_System_TVEP Advocacy Package_Complete.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
05_UnivAK_Southeast_TVEP_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
05a_UAS_TVEP Advocacy Sheet.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
06_Galena_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
06a_Galena_StudentCount_byProgram.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
06b_Galena_FY13_CreditsCertifications.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
07_Kotzebue_AlaskaTechnicalCenter_TVEP_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
08_AVTEC_TVEP_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
09_NACTEC_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
09a_NACTEC_Calender_Count_092713.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
09b_NACTEC_AdvocacyPamphlet.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
10_SAVEC_TVEP_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
11_Yuut_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
12_PartnersDelta_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
13_NewFrontier_Amundsen_ResponseToQuestions.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
14_DOLWD_TVEP_Report.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding
15_DOLWD_TVEP_Webpage.pdf SEDC 2/26/2014 8:00:00 AM
SB 139 - Section 17 - TVEP Funding