Legislature(2009 - 2010)HOUSE FINANCE 519
02/03/2009 01:30 PM House FINANCE
| Audio | Topic |
|---|---|
| Start | |
| HB81 || HB83 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 81 | TELECONFERENCED | |
| += | HB 83 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
| + | TELECONFERENCED |
HOUSE FINANCE COMMITTEE
February 3, 2009
1:33 p.m.
1:33:27 PM
CALL TO ORDER
Co-Chair Hawker called the House Finance Committee meeting
to order at 1:33 p.m.
MEMBERS PRESENT
Representative Mike Hawker, Co-Chair
Representative Bill Thomas Jr., Vice-Chair
Representative Allan Austerman
Representative Harry Crawford
Representative Anna Fairclough
Representative Richard Foster
Representative Les Gara
Representative Reggie Joule
Representative Mike Kelly
Representative Woodie Salmon
MEMBERS ABSENT
Representative Bill Stoltze, Co-Chair
ALSO PRESENT
Larry Ledoux Commissioner, Department of Education and Early
Development; Eddy Jeans, Director, Education Support
Services, Department of Education and Early Development;
Mark Hamilton, President, University of Alaska; Pete Kelly,
Director, State Relations, University of Alaska; Clark
Bishop, Commissioner, Department of Labor and Workforce
Development; David Stone, Deputy Commissioner, Department of
Labor and Workforce Development; Guy Bell, Assistance
Commissioner and Director, Division of Administration
PRESENT VIA TELECONFERENCE
SUMMARY
HB 81 "An Act making appropriations for the operating
and loan program expenses of state government, for
certain programs, and to capitalize funds; making
supplemental appropriations; and making
appropriations under art. IX, sec. 17(c),
Constitution of the State of Alaska; and providing
for an effective date."
HB 81 was HEARD and HELD in Committee for further
consideration.
HB 83 "An Act making appropriations for the operating
and capital expenses of the state's integrated
comprehensive mental health program; and providing
for an effective date."
HB 83 was HEARD and HELD in Committee for further
consideration.
1:33:36 PM
DEPARTMENT OF EDUCATION AND EARLY DEVELOPMENT - BUDGET
OVERVIEW
1:34:43 PM
LARRY LEDOUX COMMISSIONER, DEPARTMENT OF EDUCATION AND EARLY
DEVELOPMENT presented his staff.
1:37:32 PM
Commissioner Ledoux provided an overview of the Department
of Education. He indicated he had been reviewing department
operations with the purpose of focusing them toward
increased student achievement. The commissioner believed it
was important to realign the Deputy Commissioner of
Education and Early Development to take direct
responsibility for school improvement. Commissioner Ledoux
indicated that a coherent organized model was necessary to
work with school districts. The department was moving to
accept responsibility for monitoring and complying with
federal programs and provide resources for collaborative
school improvement.
1:39:35 PM
Commissioner Ledoux reported that at a recent Alaska
education summit many education experts and interested
individuals throughout the state worked together to discuss
the challenges of school improvement. The commissioner
referred to the state education plan, Alaska Education Plan
(Draft) January 23, 2009 (copy on file). The draft plan
outlines visions, goals, missions and graduation outcomes.
Commissioner Ledoux believed that with the current
resources, targeting within a continuum, substantial
progress can be made. He reported serious challenges but
indicated that one of the most serious was the unacceptable
62 percent graduation rate. Currently graduation outcomes
are determined by a high stakes exam, but he stressed that
the expectations need to be greater for the student.
Commissioner Ledoux declared that graduation problems can
not be solved in a short amount of time, but improving the
graduation rates will involve partnerships, collaborations,
dialogues and the focused use of limited resources.
Commissioner Ledoux stressed the balance necessary between
intervention and prevention and in reactive and proactive
strategies. He cautioned that at risk students in the system
now need immediate action to support their needs. Proactive
measures instituted now for young people just entering the
school system could help avoid reactive measures later.
1:43:31 PM
Vice-Chair Thomas asked about the higher graduation rates
from Mt. Edgecombe High School (Sitka) and a few private
schools in Anchorage. Commissioner Ledoux agreed that the
Mt. Edgecombe graduation rate is higher than the state
average but would prefer to provide statistical data at a
later date.
1:44:15 PM
Commissioner Ledoux revealed the second priority of the
department is to raise standards to meet the work-force
training needs and the university. The goal is to have the
student body work-tech and college ready. Commissioner
Ledoux continued with the third priority issue, early
learning. He reported that many students entering the school
system are behind when they enter and often remain there for
many years. The forth priority would be to ensure that high
school students have access to high quality career and
technical education programs.
1:46:06 PM
Representative Gara remarked that the governor vetoed a
large grant from an organization that provides school books
to parents and wondered if the funding should be put in the
budget again this year.
1:46:54 PM
Commissioner Ledoux referred to the Dolly Parton Library
project. He indicated there are many worthy programs but
considered it inappropriate to speak on any one of them at
this time. Representative Gara interjected he just needed to
know if the department thought requesting funds was worth
working for again.
1:48:02 PM
Representative Austerman questioned if legislators needed to
pay attention to any one particular thing to stop the low
graduation rate.
Commissioner Ledoux commented that the high school
graduation exam did not contribute to the low graduation
rate; the issue was more complex. The commissioner remarked
that the exam was passed into law by the legislature and he
would be willing to give his opinion at a later date.
Commissioner Ledoux reported that the exams had forced some
districts with limited funds to pull resources from courses
that allow students to explore their interests. He believed
this affects the graduation rate because when students lose
the ability to explore their curiosities, they often lose
interest in school.
1:50:05 PM
Co-Chair Hawker remarked that the commissioner seemed to
have problems with basic reading, writing, and math
requirements. Commissioner Ledoux agreed that these skills
are important but directed his comments to the problems of
high stake exams.
1:51:31 PM
Representative Austerman questioned some of the basic
education subjects providing skills for college. He believed
schools were also failing in teaching general living skills.
1:53:03 PM
Representative Gara thought the purpose of the high school
qualifying exams was to make sure students were graduating
knowing basic skills but he felt the problem seems to be
that students are still graduating today without the skills
to enter college. He asked for information that would let
the legislature know if the qualifying exam was achieving
its goal. Commissioner Ledoux expressed he would be happy to
come before the committee to talk about the pros and cons of
the exams. He noted that educators in Alaska are on both
sides of the issue. He elaborated that the standards for the
test are low level and not up to the skills needed for
college. Commissioner Ledoux believed it was time to look at
the exam's purpose and how it may or may not help the
students.
1:54:35 PM
Representative Fairclough wondered if the goal of the
legislature to have every child attend college. She
questioned if this was the correct measurement tool.
1:55:12 PM
Commissioner Ledoux believed that all students should be
prepared to engage in the career of their choice. He
indicated that the basic skills for success are identical
for both college and vocational success. Commissioner Ledoux
considered the partnership with the Department of Labor
allowed the education department to take advantage of their
leadership but not to be moved out of the K-12 educational
program. The commissioner believed high standards and
expectations should be the goal for achievement among the
students.
1:56:08 PM
Commissioner Ledoux commented on the fifth priority, teacher
quality. He signified the importance of having qualified
teachers provide the necessary instruction. Commissioner
Ledoux recognized that it was impossible to achieve these
goals alone, but depended on a number of other organizations
for success. He reiterated that one of the most important
partnerships was the leadership from the Department of
Labor. Commissioner Ledoux reported that high schools across
the nation have closed their vocational programs due to lack
of funding and resources and that Alaska has closed shops
and not replaced needed training equipment.
1:58:40 PM
Commissioner Ledoux expressed the importance of working with
and aligning goals with the university to help students
entering college. He indicated the necessity of having the
university help prepare teachers, principals, and
specialists needed in Alaska and the importance of utilizing
the university's research capability to collect and collate
information to integrate it into useful information.
Commissioner Ledoux expressed the need to open new pathways
of communication to the indigenous communities to align
common goals.
2:00:14 PM
Representative Fairclough expressed how the three
departments before the committee were interrelated. She
asked who tallies the General Equivalency Diplomas (GED) in
Alaska. Commissioner Ledoux responded that he did not have
that information but would provide it at a later date.
Representative Fairclough indicated that there is no
statistical data available to look at a cross-section of the
issue.
2:02:06 PM
Representative Joule commented that the regional hub
districts and larger communities have a similar quality of
education but questioned the quality of education in rural
schools. He expressed his concern that students in rural
communities are being shortchanged.
2:03:55 PM
Commissioner Ledoux observed that he has been responsible
for developing and supervising rural programs but the
challenges in finding qualified staff was significant. He
reported that high school students need to have a broad
range of experiences, opportunity to discover their
interests, access to highly qualified teachers and support
in developing a personal vision in order to be successful.
The commissioner suggested there are possibilities of
addressing the remoteness of rural schools through
technology, but acknowledged the difficultly for rural
students to make the connections important for their
success. Commissioner Ledoux expressed his goal for parents
in Alaska communities to have good choices so a choice is
not forced upon them.
2:05:59 PM
Vice-Chair Thomas asked the commissioner if it would work to
amend the count to two counts, one at the start of the year
and one near the end of the year, to curtail the dropout
rate. Commissioner Ledoux believed there were two count
periods in the past. He considered that foundation programs
have to be flexible enough to fund alternative educational
programs. The commissioner added that many options
pertaining to size only work in large school districts; the
small school districts are not set up for it.
2:07:32 PM
Vice-Chair Thomas commented that most of the contractors in
Haines went through vocational education training, but the
funding had been cut so he considered funding for these
programs should be looked at again.
2:08:06 PM
Representative Gara questioned the university and vocational
education preparedness and attendance. He referred to the
statistic that 5.8 percent of children are graduating
college within 6 years of graduating from high school, a
third the national average. Commissioner Ledoux answered
that those statistics were mentioned in a subcommittee
meeting although he did not make them. Representative Gara
asked if the commissioner had statistics on how Alaska ranks
in sending students to college. Commissioner Ledoux reported
he would need time to research the statistics.
Representative Gara stressed that having information on how
comprehensive vocational opportunities were handled by the
many divisions in the state would be helpful.
2:10:39 PM
Commissioner Ledoux replied that the department was working
with the University of Alaska and the Department of Labor to
find these answers. Representative Gara asked if the reason
some Alaskan students are not attending college is
financial. Commissioner Ledoux agreed that costs are a
problem. He added that many in Alaska are from immigrant
backgrounds and parents may not know how to work the system
or have the ability to advocate for their children.
2:12:55 PM
Commissioner Ledoux reviewed the department's 10-year budget
projection, Department of Education & Early Development-10
Year Fiscal Plan Assumptions (copy on file). He mentioned
that variables used in making projections were simple to
follow so that adjustments could easily be made (page 1-2).
Commissioner Ledoux described some of the new initiatives
appropriation estimates (page 3-4). Co-Chair Hawker
interjected that it would be preferable for the commissioner
to just concentrate on the overview for the next 10 years
instead of specifics. Commissioner Ledoux pointed out the
graphs for the 10 year plan showing the baseline, the
current budget, and the baseline plus current initiatives
being flat for the next 10 years (page 5). He concluded that
all the new initiatives added to $4 million.
2:18:02 PM
EDDY JEANS, DIRECTOR, EDUCATION SUPPORT SERVICES, DEPARTMENT
OF EDUCATION AND EARLY DEVELOPMENT expressed that the
increases seen in the 10-year plan were a reflection of the
increases passed last year by the legislature in HB273; the
increases continue for the next 4 years past the FY 2010
budget. He proclaimed flat funding exists due to little or
no growth. Mr. Jeans declared that state funding is affected
by other things such as required local contributions which
have been rising. Co-Chair Hawker repeated Mr. Jean's
comments for clarification.
2:19:56 PM
Representative Gara asked how the department plans to raise
graduation numbers and improve schools with no increase
requests in the budget. Commissioner Ledoux recognized that
there would be budget stress if the budget was flat lined,
but the department could not predict the inflation rate or
economics in future years. Co-Chair Hawker impressed upon
the commissioner that the legislature requires information
on what is needed in the budget to accomplish the
department's objectives. Co-Chair Hawker questioned if money
should define the school's mission or mission define money.
He asked if the department was understating their financial
needs.
2:22:18 PM
Representative Fairclough remarked that there were union
contracts with incremental increases not reflected in this
budget.
Vice-Chair Thomas requested information on the drop-out rate
during the past flat funding period to see if the lack of
money influenced the drop-out rate.
Representative Gara questioned where Alaska ranked
nationally. Commissioner Ledoux indicated he would provide
the information later to the committee.
2:24:08 PM
UNIVERSITY OF ALASKA- OVERVIEW
MARK HAMILTON, PRESIDENT, UNIVERSITY OF ALASKA
expressed his long term interest in the State of Alaska and
the University of Alaska (UA). He emphasized that the
University of Alaska is the overwhelming provider of jobs
for Alaskans. He declared the uniqueness of the university
in that it embraces the community college system. He
announced that 77 percent of jobs in America do not require
a 4-year degree but added that the majority of these jobs do
require post secondary education. Mr. Hamilton emphasized
that higher skills in the basics of education are required
for vocational jobs today.
2:28:33 PM
President Hamilton continued with information about special
programs at UA that continue higher education for those
entering vocational studies. He reiterated the importance of
the university being a large workforce provider because $1.4
billion leaves the state every year in payroll to
nonresidents. President Hamilton expressed that these
special workforce development programs were costly because
good instructors are expensive and class sizes small. He
added that modern equipment also adds a cost burden.
2:31:42 PM
President Hamilton named K-12 outreach as the university's
number one priority. He believed being able to provide and
assist Alaska graduates with the required skills for
vocational as well as college educations. President Hamilton
signified the importance of the university mentor program
where college students work with students in high school. He
believed that the legislature's decision to fund the
university when he first came before them in 1999 helped the
university move forward with positive results. President
Hamilton proclaimed that the number of college bound
Alaskans moved from 42 percent to 63 percent, a 50 percent
increase but still coming in last in the nation. He remarked
that Alaska Native graduations have increased by 108 percent
but less than 500 graduate per year.
2:34:51 PM
President Hamilton provided an overview of the university
10-year plan. He noted that demographics indicate fewer high
school graduates in the future with only 48 percent who
choose to go to college. President Hamilton remarked that
funding has not kept up with inflation. He noted that the
university has made enormous progress in university
receipts, up 90 percent in the last ten years by doubling
tuition and indirect cost recovery. He added the university
took $30 million from the Natural Resource Fund and applied
it to the merit based scholarship, the Alaska Scholars.
President Hamilton listed prior money received from BP and
Conoco Philips which is now ended. He added funding received
in the past included $10 million from the Rasmussen
Foundation, $10 million from the Denali Commission, $7
million from Mental Health Trust, and $7 million from other
various industries. He added it is highly unlikely that the
university could repeat these statistics in the future.
2:37:38 PM
Representative Kelly mentioned the statistics of those
graduating and going on to college or trade schools. He
asked for the training and apprenticeship statistics on all
on the graduating categories. President Hamilton said it was
available. Representative Kelly also requested a look at the
non-union statistics.
2:38:40 PM
Representative Gara agreed that the university is an
economic factor in this state. He asked what legislators
could do to help more high school students enter the
university. President Hamilton answered that scholarships
would be a great help to those that can not afford college.
He added coordinating help between the Department of Labor,
the K12 system and the university. He stressed the
importance of not duplicating what is being done elsewhere.
Representative Gara reiterated that $7 million would help
fund the student financial aid. He mentioned that last year
the governor proposed and the legislature put $2.2 million
in low-income grant funding that is not in budget this year.
Representative Gara wondered if this would be beneficial
again. President Hamilton agreed it would be very beneficial
for the short run. He mentioned events that had been held to
help students apply for financial aid. He added that the
online application process had proved fruitful.
2:43:29 PM
Representative Fairclough stated that she had been asked by
students for support in scholarship programs. She felt there
was a large disconnect in the student's understanding where
the state of Alaska received the majority of its money.
Representative Fairclough stressed that the production of
oil provides revenue for the state of Alaska that is in turn
invested in the university system. She declared that the
university staff and students often do not support mining
and oil projects and wondered how she could advocate giving
money for people who were against development projects that
provide money to Alaska. President Hamilton thought perhaps
those students would change their opinions as they matured
over time. He felt they would grow up and understand the
definition of responsible development. Representative
Fairclough stressed that the questions she had asked
students and staff had been specific. She felt there existed
a voting block inside the university that seemed to be
disconnected to the way money was generated in Alaska. She
wondered how funding could be increased and the money
appreciated if the university and its students did not
recognize the way the money was made.
2:49:51 PM
President Hamilton answered that it was good that students
held their own beliefs. He felt that these disagreements
were part of the learning process for the students. He
elaborated that the budget was put together by him and the
board of regents, not the student body. President Hamilton
wanted the university to provide sufficiently for its
students. Representative Fairclough said she did not want to
dampen the student's enthusiasm or try to sway them
politically; she simply wanted the students to be aware of
how the state is really funded. She suggested that maybe the
students could seek new ways of funding.
2:52:59 PM
President Hamilton remarked that during the recent
Conference of Young Alaskans, funded by the BP, Conoco
Phillips compact money, he stipulated that there must be a
one hour class on the economics of the state of Alaska.
Representative Austerman remembered a past plan for 10
percent of graduating high school students to receive free
tuition and wondered if there had been a backlash for the
other 90 percent who may have felt they were not worth going
to college. Representative Austerman felt the K-12 outreach
system was failing its students. He wondered if any work had
been done on the K-14 program.
President Hamilton disagreed that the scholars program had
been a disincentive to some. He felt it was not a matter of
disrespecting the students who did not receive funding. He
remarked that discussions of a K-14 program had been
ongoing. President Hamilton believed in the idea of a job
resting on a set of academic criteria could be a pathway for
students to identify opportunities for future employment. He
expressed that to form a statewide organization to discuss
the issue would be up to the state. He felt the primary key
for any such idea was collaboration working together for
common goals.
3:00:09 PM
Representative Austerman agreed that collaboration was
necessary throughout the departments, but he felt that the
present system has failed and wondered why there had not
been collaboration in the past. Co-Chair Hawker reported he
was also troubled by the issues brought up by Representative
Austerman. He was looking for true advances for guidance on
these subjects.
Representative Gara disagreed with Representative
Fairclough's view that a student's opinion has any bearing
on whether or not the university should be funded; he felt
it was wrong to withhold funding for students at the
university because of their political views. He believed the
university should have a list of goals that would lead to
job creation or job training. Representative Gara wondered
if President Hamilton had any ideas the university would be
actively pursuing over the next 30-60 days.
3:03:19 PM
President Hamilton replied that the university has looked
into some ideas for the stimulus package. He mentioned there
should be increased needs-based scholarships. He named
deferred maintenance as the university's number one capital
request. President Hamilton added that professionals needed
to train in the workforce development program are expensive.
He declared there is a massive demand for new projects and
programs in job training. President Hamilton stressed that
during these difficult times it is important not to cut back
on education. President Hamilton believed the university is
part of the solution to produce a qualified employable
workforce for Alaska.
3:07:07 PM
Representative Gara noted that money for deferred
maintenance in the stimulus package would provide work in
the short run but questioned if any ideas had been discussed
on how to use this money to create more jobs in the long
run. President Hamilton noted there could be a long list of
money needs but it was decided to stick with the deferred
maintenance requests. He added that the beauty of deferred
maintenance is it has already been identified and planned.
3:09:13 PM
Co-Chair Hawker agreed that deferred maintenance is a great
choice for the planning future.
3:09:48 PM
Representative Joule declared that a primary goal should be
to force good quality back into the education system. He
believed in the need to look at meaningful reform throughout
the state. Representative Joule emphasized that this lack is
acutely felt in the rural areas and he hoped the
subcommittee chairs would really look at meaningful reform
to help lift up the people of Alaska.
3:12:55 PM
President Hamilton recalled a meeting in Kotzebue called by
Representative Joule regarding jobs at the Red Dog mine to
serve as an inspiration to the young people in the rural
areas. Representative Joule remarked that a result of that
meeting was a proposal for a magnet school to isolate areas
of growth in employment. He added that Nome and Bering
Strait were also exploring new ideas.
3:16:02 PM
Representative Crawford shared the frustration of talking
about change without seeing a lot of progress. He added that
in the end the discussion always returns to money, not the
desire to make education more exciting or accessible to the
people of Alaska. Co-Chair Hawker added that the problem is
not just wanting to spend the money, but having the money to
spend.
3:19:27 PM
LABOR AND WORKFORCE DEVELOPMENT - WORKFORCE DEVELOPMENT
CLICK BISHOP, COMMISSIONER, DEPARTMENT OF LABOR AND
WORKFORCE DEVELOPMENT presented the overview of the
Department of Labor and Workforce Development. He read a
letter from him to President Hamilton (copy on file).
The AGIA Training Plan calls for alignment of
Alaska's vocational and technical education system in
the best interest of the citizens of our state. I'm
seeking your support to develop a strategy for the
postsecondary systems for career and technical
education in the state, to assure they are aligned to
train and educate our citizens without needless
duplication of programs and investments.
I have directed my staff to work closely with
representatives from the University of Alaska and
prepare recommendations to address the AGIA strategy of
CTE alignment in our state. Over the coming months I
anticipate conversations to take place that will help
us plan and shape Alaska's workforce development
future. It is my intention to have recommendations from
this working group, led by Fred Villa and David Stone,
in May, 2009.
I hope you will join me in this endeavor to make sure
that we position the state of Alaska to place the right
programs in the right places to assist Alaskans in
getting quality jobs in Alaska, maximizing Alaska
resident hire overall and reducing the wages that are
leaving the state.
3:22:21 PM
Commissioner Bishop referred to the committee's previous
questions on the alignment of resources. He believed there
had been success in working with the education department as
a team. He expressed his interest in increasing the high
school graduation rate. He indicated an earlier meeting with
the Commissioner of Education on the WorkKeys assessment
system and the Career Readiness Certificate.
3:25:46 PM
Representative Austerman asked what the WorkKeys assessment
and Career Ready certificate was. Commissioner Bishop
indicated he would acquaint Representative Austerman with
these programs during their scheduled meeting. Co-Chair
Hawker requested Commissioner Bishop present his personal
experiences regarding the department.
3:26:50 PM
Commissioner Bishop considered one of the most serious
problems was $1.7 billion leaving the state in non-resident
wages. He believed the goal should be to try and capture a
higher percentage of this money for resident workers. He
stressed that holding onto this money could possibly grow
Alaska's economy during the recession. Co-Chair Hawker asked
what job sectors should be looked at first. Commissioner
Bishop responded that the three job sectors targeted by the
department were mining, oil and gas, and construction. He
noted that the non-resident hire rate went down and resident
hire increased, still $374 million was exported to non-
resident hires.
3:30:24 PM
DAVID STONE, DEPUTY COMMISSIONER, DEPARTMENT OF LABOR AND
WORKFORCE DEVELOPMENT revealed there was a large non-
resident force working in the mining industry because of the
lack of skilled Alaskan workers. He reported that the
department was working with UA to develop mining programs to
expand into longer more skilled programs. He added they were
working on a new core drilling training program that
involved both classroom and on-the-job training to
eventually graduate top hands. Mr. Stone expressed a goal of
taking an underground miner, over a 4-year period, from the
entry level to the journeyman level, giving them the skills
to work in any mine in Alaska.
3:32:21 PM
Mr. Stone pointed out that there was a lot of support from
the mining industry. Commissioner Bishop interjected it
takes a long time to meet with business and industry to show
them the benefit and values of resident hires. He announced
a one-of-a-kind agreement for a data sharing with the
federal Department of Labor. He emphasized that from 1996 to
the present 90 percent of students enrolled in
apprenticeship programs have stayed and remained working in
Alaska.
3:35:39 PM
Representative Salmon questioned how the development of a
statewide workforce was reaching into rural areas.
Commissioner Bishop admitted movement into rural areas had
been slow, but he has had a dialogue with the local school
districts to increase youth career guidance.
3:38:08 PM
Representative Gara asked if the Department of Labor had
thought about construction projects that could be
incorporated into the federal stimulus package. Commissioner
Bishop replied that the department had not factored any
stimulus money into the present budget before the committee.
GUY BELL, ASSISTANCE COMMISSIONER AND DIRECTOR, DIVISION OF
ADMINISTRATION added that the primary focus had been on the
workforce training and unemployment insurance components of
the stimulus package. There is anticipated federal money for
workforce training and unemployment insurance with some
anticipated job creation in transportation, but as yet there
are no firm announcements from the federal government what
they will be.
3:40:38 PM
Representative Gara questioned the construction level of the
Fairbanks gas line job training facility. Commissioner
Bishop replied there had been a groundbreaking ceremony and
the first outdoor exercise was held in October.
Representative Gara asked if the construction was completed.
Commissioner Bishop replied it was not completed but it was
operational. Representative Gara questioned if the
department had looked into the federal stimulus funds to
expand the dormitory space at the facility to better
incorporate those from rural areas for the training of gas
line jobs.
3:42:22 PM
Commissioner Bishop remarked that talks had been ongoing
about the use of the stimulus funds. Mr. Bell reported that
land acquisitions and site development to the area was
ongoing to provide a larger facility for more comprehensive
training. He added that the department envisions a new
dormitory but does not have the funding yet. Mr. Bell hoped
for some federal funding, but has not yet seen actual money
figures offered.
3:43:40 PM
Commissioner Bishop spoke of the anticipated addition of
44,000 jobs in Alaska's workforce growth from 2006 to 2016.
He noted that some industries will outperform others such as
health care, utilities, mining, construction, and research
analysis for planning, training and long range employment
trends. Commissioner Bishop related again his goal of
capturing more employment for Alaskans within the state and
not to non-residents. He stressed that Alaska unemployment
is at 7.5 percent and it is important to prevent double
digit numbers that have existed in the past.
3:46:53 PM
Co-Chair Hawker asked if the department was doing anything
to focus on areas such as health care and professional
clerical activities. Commissioner Bishop remarked that these
professions have been identified. Co-Chair Hawker remarked
that his desire would be to see more comprehensive
collaboration between departments in addressing workforce
training to avoid duplication.
3:48:40 PM
Commissioner Bishop expressed that he had been traveling
throughout the state looking closely at possible overlaps
and duplications in job training.
3:50:41 PM
Co-Chair Hawker requested a brief overview of the
department's goals for the next ten years. Mr. Bell
disclosed that an inflation assumption had not been built
into the 10-year plan. He noted that deferred maintenance
for the Alaska Vocational Technical Center had been built
into the base line growth beyond 2010. He added for the gas
line related activity there were significant investments for
FY 2010 in both the operating and the capital budget. Mr.
Bell expressed that in FY2011 and beyond additional
investments would be needed to fully implement the strategic
training plan associated with Alaska Gasoline Inducement Act
(AIGA).
3:52:22 PM
Co-Chair Hawker questioned if the AIGA plans are project
specific or adaptable to other state projects. Mr. Bell
responded it was a one-size-fits-all training program for
many different possibilities. Commissioner Bishop indicated
that the Denali Pipeline Group and TC Alaska have been
brought to the table for training purposes. Co-Chair Hawker
asked if they were both resident workers. The Commissioner
replied that both groups were working toward the common goal
of training the workforce in Alaska.
3:54:13 PM
Mr. Bell added that training efforts would step down in
FY2015 at 20 percent a year as the pipeline is completed.
Mr. Bell also expected additional enforcement activity would
be required at the time construction begins for workforce
safety and resident hire provisions on projects connected to
the gas line construction. Mr. Bell suggested new
initiatives developing around career and technical education
in the health care area and expanding the resident hire
enforcement efforts. Co-Chair Hawker expressed his hope that
continued dialogue on a shared vision for the future
continues to grow between the legislative and executive
branches and the people of Alaska.
3:56:05 PM
Representative Joule requested information on ideas for
getting rural residents involved in these projected
ventures. Commissioner Bishop agreed to listen to all ideas
on this subject. Representative Salmon referred to a
situation where people working on a village project were not
from the area and he believed it was time to correct this
problem.
3:58:28 PM
Representative Fairclough announced to the committee members
to please let her know if there are specific questions or
interests that they would like the subcommittee to probe
further.
Representative Kelly asked where health care fits into the
departments list of projects. Commissioner Bishop replied
health care fits into the mix equally with the other focused
projects. He considered it a high priority as it is one of
the fastest growing occupations. Representative Kelly
welcomed a more proactive approach to the department's
responding to the health care needs throughout the state.
4:02:26 PM
Commissioner Bishop applauded continued good communication
between his department, the committee members, and the
university.
4:03:25 PM
Co-Chair Hawker delivered the gavel to Representative
Fairclough designating her chair for the duration of the
meeting.
Representative Joule commented that it was refreshing to see
the cooperation and communication between the three
departments dealing with education. Representative Kelly
recounted a conversation with President Hamilton about a
perceived anti-university bias within the legislature. He
remarked that training is necessary to teach students the
proper way to request funds from the legislature and that
being staunchly anti-development was not a positive
response. Representative Fairclough declared her support for
the university, workforce development, and K-12 education.
She added that Alaska is experiencing a revenue shortfall,
but there is the need to invest these revenues in providing
hope to rural communities and job creation for Alaskans.
ADJOURNMENT
The meeting was adjourned at 4:07 PM
| Document Name | Date/Time | Subjects |
|---|---|---|
| DOLWDOverview hf 0209.pdf |
HFIN 2/3/2009 1:30:00 PM |
HB 81 |
| EDUCATION 10 year plan.pdf |
HFIN 2/3/2009 1:30:00 PM |
HB 81 |
| LABOR 10 Year Plan 2009.02.03 HFC.pdf |
HFIN 2/3/2009 1:30:00 PM |
HB 81 |
| UNIVERSITY 10 year plan 2009.02.02 HFC.pdf |
HFIN 2/3/2009 1:30:00 PM |
HB 81 |