Legislature(1993 - 1994)

03/31/1993 05:00 PM House MLV

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
                                                                               
                     HOUSE SPECIAL COMMITTEE                                   
                  MILITARY AND VETERANS AFFAIRS                                
                         March 31, 1993                                        
                            5:00 p.m.                                          
                                                                               
                                                                               
  MEMBERS PRESENT                                                              
                                                                               
  Rep. Eldon Mulder, Co-Chairman                                               
  Rep. Pete Kott                                                               
  Rep. Ed Willis                                                               
                                                                               
  MEMBERS ABSENT                                                               
                                                                               
  Rep. Richard Foster, Co-Chairman                                             
  Rep. Mike Navarre                                                            
                                                                               
  OTHER LEGISLATIVE MEMBERS PRESENT                                            
                                                                               
  Sen. Loren Leman                                                             
  Sen. Randy Phillips                                                          
                                                                               
  COMMITTEE CALENDAR                                                           
                                                                               
  Military Base Schools                                                        
                                                                               
  WITNESS REGISTER                                                             
                                                                               
  JAN CATTON, Chairman                                                         
  Parent Advocacy Committee                                                    
  6340 H St., Apt. A                                                           
  Elmendorf Air Force Base, AK 99506                                           
  (907) 753-0714                                                               
  Position Statement:  Addressed military base school needs                    
                                                                               
  JANET STOKESBURY                                                             
  Chief Financial Officer (Acting)                                             
  Anchorage School District                                                    
  4600 Debarr                                                                  
  Anchorage, AK 99519-6614                                                     
  (907) 269-2394                                                               
  Position Statement:  Addressed military base school needs                    
                                                                               
  CHUCK LANDERS, Assemblyman                                                   
  Municipality of Anchorage                                                    
  HC 83, Box 192A Myrhes                                                       
  Eagle River, AK 99577                                                        
  (907) 694-9098                                                               
  Position Statement:  Addressed military base school needs                    
                                                                               
  ACTION NARRATIVE                                                             
                                                                               
  TAPE 93-6, SIDE A                                                            
  Number 000                                                                   
                                                                               
  CHAIRMAN ELDON MULDER called the House Military and Veterans                 
  Affairs Committee to order at 5:10 p.m. on March 31, 1993.                   
  Members present were Rep. Kott and Rep. Willis.  Members                     
  absent were Rep. Foster and Rep. Navarre.  Other legislative                 
  members present were Sen. Leman and Sen. Phillips.                           
                                                                               
  Number 045                                                                   
                                                                               
  JAN CATTON, CHAIRMAN, PARENT ADVOCACY COMMITTEE, stated that                 
  the information on military base schools she gave to                         
  Chairman Mulder was accurate.  She stated that the land is                   
  owned by the Department of Defense (DOD), but the buildings                  
  are owned by the United States Department of Education                       
  (DOE); and until the schools are brought up to acceptable                    
  standards in the Anchorage School District, ownership of the                 
  schools will not be transferred to the Anchorage School                      
  District.  She stated that there are seven schools in                        
  Anchorage in this category (three on Ft. Richardson and Four                 
  on Elmendorf AFB) and there are schools on Eielson AFB that                  
  are in the same situation.                                                   
                                                                               
  Number 060                                                                   
                                                                               
  MS. CATTON said her committee was working to see that all of                 
  these schools receive funding.  She stated that the facts                    
  and figures she provided were fairly accurate for the                        
  funding ($41,624,075) her committee was requesting.  She                     
  stated that the facts and figures for Elmendorf and Ft.                      
  Richardson were off because they were 1990 cost estimates.                   
                                                                               
  MS. CATTON remarked that she had asked Mr. Crystal (acting                   
  superintendent of the Anchorage School District) to put                      
  together or review the cost estimates for those seven                        
  schools in Anchorage so they could receive current cost                      
  estimates.  She also noted that she had asked for studies                    
  concerning the efficiency of these facilities.  She stated                   
  that this was done in Fairbanks and was beneficial.  She                     
  also stated that her committee would like this to be done in                 
  Anchorage.  She pointed out that, at this time, the facts                    
  and figures she had provided were the most current until she                 
  receives the ones requested from the acting superintendent.                  
                                                                               
  Number 137                                                                   
                                                                               
  SEN. LEMAN referred to a letter from Steve Hole (who was                     
  then with the state Department of Education) to Carl LaMarr                  
  (acting superintendent of the Anchorage School District),                    
  asked if the priorities list changed its emphasis due to the                 
  projected military cuts in Anchorage and Fairbanks.                          
                                                                               
  Number 160                                                                   
                                                                               
  MS. CATTON stated that she was not the best one to ask as to                 
  what the federal government's plans are for the military in                  
  the future.  She stated that Lt. General Ralston would                       
  probably be able to give a fairly accurate look as to the                    
  future of military bases in Alaska.  She stated that a                       
  community does not really know what the military brings to                   
  that community until there is a base closing.  She said she                  
  was confident, given the strategic location of Alaska, that                  
  the state will be minimally affected by the base closures.                   
  Ms. Catton said she was not active duty military and Lt.                     
  General Ralston should be contacted for his input.                           
                                                                               
  Number 180                                                                   
                                                                               
  SEN. LEMAN commented that he was impressed with the                          
  proposals for the expenditures, both on Ft. Richardson and                   
  Elmendorf.  He noted that there was one facility for                         
  children at a cost of about $5 million.  He stated that this                 
  might be a very needed facility, but he found himself                        
  thinking as to what could be done with that $5 million at                    
  Mt. Spur School.  He asked if she was aware of that list.                    
                                                                               
  Number 190                                                                   
                                                                               
  MS. CATTON stated yes, it was the one that was published in                  
  the Daily News yesterday or today.                                           
                                                                               
  SEN. LEMAN replied yes.                                                      
                                                                               
  MS. CATTON remarked that she was aware of the funds ($5                      
  million) that were allocated to the child care center on the                 
  base (Elmendorf).  She told the members that her committee                   
  had asked if discretionary funds from the military could be                  
  used for these schools, and the request was denied on                        
  legalities.  She stated that the problem was that the funds                  
  coming from the DOD (for things like the child care center)                  
  are not available for U.S. DOE buildings.                                    
                                                                               
  Number 209                                                                   
                                                                               
  (Rep. Mulder stated for the record that Sen. Phillips had                    
  joined the meeting.)                                                         
                                                                               
  REP. MULDER asked Ms. Catton what her understanding was of                   
  the situation in which money was appropriated for Ursa Major                 
  before it was in limbo.  He asked Ms. Catton if there was                    
  any indication that they were going to release those funds.                  
                                                                               
  Number 218                                                                   
                                                                               
  MS. CATTON stated that the only indication she had was when                  
  she wrote that package. (Ms. Catton's information was                        
  provided to the committee and is on file in the committee                    
  office.)  She stated that Janet Stokesbury would have the                    
  current information.                                                         
                                                                               
  Number 227                                                                   
                                                                               
  JANET STOKESBURY, CHIEF FINANCIAL OFFICER (ACTING),                          
  ANCHORAGE SCHOOL DISTRICT, stated that the district had been                 
  in contact with the U.S. DOE that morning (Charles Hanson's                  
  office), over the Ursa Major project.  She said she believed                 
  that everything was still going forward with the grant on                    
  the Ursa Major project.  She noted that the school district                  
  was currently working with the Bureau of Land Management to                  
  receive the lease agreement.  She stated that a draft of a                   
  memorandum of understanding had been done with the 6th                       
  Infantry and was being reviewed through the Corps of                         
  Engineers.                                                                   
                                                                               
  MS. STOKESBURY also noted that since the 1990 list, there                    
  have been certain projects at Ursa Major that have been done                 
  through local funds and state funds.  She commented that a                   
  revised project description was submitted and was with the                   
  U.S. Department of Education, which was sent to a Washington                 
  state office of engineers.  She stated that, other than                      
  reviewing it, the district has not heard back yet on the                     
  status.  She said the district will contact the legislature                  
  if there were any problems; however, there have been no                      
  problems.                                                                    
                                                                               
  MS. STOKESBURY commented that the district was still in the                  
  process of paying the rent and they had received no                          
  notification that there was any hold up.  She said they were                 
  advised not to spend any money until they received the                       
  actual grant award.                                                          
                                                                               
  Number  254                                                                  
                                                                               
  REP. MULDER stated that funds are given annually to the                      
  school district by the federal government for federal impact                 
  for military students.  He asked if some of those funds                      
  could go for maintenance and upkeep of school buildings.                     
                                                                               
  Number 264                                                                   
                                                                               
  MS. STOKESBURY responded that up until the current years,                    
  the state of Alaska was the educational agency that was the                  
  applicant for military schools on Ft. Richardson and                         
  Elmendorf.  She stated that prior to the current year, the                   
  funds, except for the special education add-on, had been                     
  going directly to the state and viewed as a state revenue                    
  source.  She said the state would then give funding to the                   
  Anchorage School District in the form of foundation revenue                  
  and as state tuition funding in place of not taxing property                 
  on military bases.  She noted a memorandum of agreement that                 
  the Anchorage School District had with the state of Alaska.                  
                                                                               
  MS. STOKESBURY explained that during the current year the                    
  district was notified by the state DOE that they wanted to                   
  renegotiate that contract.  She said they had been notified                  
  by the federal government that this funding source (federal                  
  impact aid) needed to come directly to the Anchorage School                  
  District.  Ms. Stokesbury said the district was in the                       
  process of working on a new memorandum of agreement with the                 
  state.                                                                       
                                                                               
  MS. STOKESBURY noted that the Anchorage School District was                  
  going to receive funding of about $165 thousand less than                    
  usual by receiving federal impact aid directly.  She stated                  
  that the foundation formula has a reduction for 90 percent                   
  of local contributions.  She said the Anchorage School                       
  District local contributions were about 62 percent out of                    
  the federal impact aid money.  She stated that the district                  
  was going to receive less than $6.5 million in foundation                    
  funding and then not receive any state tuition funding.                      
  However, the district would receive federal impact money                     
  directly.  She noted that this was going to net the                          
  Anchorage School District about $165 thousand less in                        
  1992/1993.                                                                   
                                                                               
  MS. STOKESBURY explained that the state DOE has agreed that                  
  the agreement for this year would be to make the Anchorage                   
  School District whole (all three school districts whole) for                 
  the fiscal year 1992/1993, so they will give the Anchorage                   
  School District other sources of state revenue ($165                         
  thousand).  She stated that the district was currently                       
  working on a memorandum of agreement for the fiscal year                     
  1993/1994.  She said if the appropriation was made by the                    
  legislature, hopefully, the funding would be made for the                    
  Anchorage School District.  She explained that the funding                   
  the district was talking about had been used as a funding                    
  source for general operations.  She said the district had a                  
  memorandum of agreement that stated the amount of money that                 
  the Anchorage School District was obligated for to perform                   
  maintenance of schools ($25,000 or less), and it stated how                  
  much money the state of Alaska was obligated for to perform                  
  maintenance of schools ($25,000 or more).                                    
                                                                               
  Number 321                                                                   
                                                                               
  CHAIRMAN MULDER asked if it was specific about the                           
  responsibility of the state DOE to pay for the costs of                      
  maintenance over $25,000.                                                    
                                                                               
  MS. STOKESBURY replied yes, it was through a memorandum of                   
  agreement that had been in effect up until this current year                 
  when the DOE notified the district that they wanted to                       
  renegotiate.  She noted that the district had been trying to                 
  get the DOE to negotiate.  She added that the district had                   
  been operating by statutes as opposed to the memorandum.                     
                                                                               
  Number 336                                                                   
                                                                               
  CHUCK LANDERS, ASSEMBLYMAN, MUNICIPALITY OF ANCHORAGE,                       
  emphasized the importance of the military, the importance of                 
  children, and the importance of the way in which the                         
  legislature handles this matter.  He stated that he thought                  
  the legislature should try to match funds given by the                       
  federal government for these schools.  He remarked that if                   
  the money needed was not found, then a task force should be                  
  put together with a short time frame to get something done.                  
  He said the task force would need to approach this from                      
  different angles:  through U.S. Senator Ted Stevens' office,                 
  the military, the legislature, the school district, and the                  
  assembly.                                                                    
                                                                               
  Number 408                                                                   
                                                                               
  CHAIRMAN MULDER stated that he had been in contact with U.S.                 
  Senator Ted Stevens' office over this matter.  Chairman                      
  Mulder commented that U.S. Senator Ted Stevens was in the                    
  best position to help with this problem.  The Chairman also                  
  stated that one idea to be considered would be to do a 50/50                 
  match leveraging the federal government and leveraging the                   
  state.  Chairman Mulder said he also talked to Lt. General                   
  Ralston and he pledged he would do everything possible to                    
  help.                                                                        
                                                                               
  Number 445                                                                   
                                                                               
  CHAIRMAN MULDER stated that if the legislature was unable to                 
  get the funding this session, the task force that Chuck                      
  Landers suggested should be formed to have a resolution to                   
  report back to the legislature next session.  He said that                   
  the public-at-large would have a greater impact on the                       
  legislature than the five members advocating a certain                       
  position.                                                                    
                                                                               
  Number 450                                                                   
                                                                               
  ASSEMBLYMAN LANDERS stated that if the legislature doesn't                   
  get the solution in the next 30 days, it should be expanded                  
  out of the Anchorage area.  He emphasized that this was not                  
  a district issue, but a state issue.                                         
                                                                               
  Number 465                                                                   
                                                                               
  CHAIRMAN MULDER remarked that Chuck Landers was right.  He                   
  stated that the Muldoon discretionary funds would not total                  
  $20 million.                                                                 
                                                                               
  Number 468                                                                   
                                                                               
  CHAIRMAN MULDER said he hoped to have this resolution                        
  drafted in the next two or three days.                                       
                                                                               
  Number 473                                                                   
                                                                               
  MS. CATTON suggested that Chairman Mulder include the                        
  military liaison officer, Captain Dennis Porter.  Ms. Catton                 
  stated that she was a can-do person.  Ms. Catton suggested                   
  that one idea of getting money to fund these schools would                   
  be to take the interest earning reserve from the permanent                   
  dividend account.                                                            
                                                                               
  Number 510                                                                   
                                                                               
  CHAIRMAN MULDER stated that both houses were almost at                       
  unanimous support for some level of funding for school                       
  construction, but the location of that funding was the                       
  stumbling block.  He said a comprehensive school                             
  construction package that the legislature could agree upon                   
  for the schools was coming up.  Chairman Mulder commented                    
  that if it was not this year, then next year the legislature                 
  would come up with a comprehensive school construction                       
  package.  He stated that it was his concern that Alaska                      
  address this problem and show the U.S. Department of Defense                 
  that Alaska was serious about its military bases.                            
                                                                               
  Number 557                                                                   
                                                                               
  MS. CATTON said she had received information from Sen.                       
  Kelly's office which showed that the interest earning                        
  reserve, as of Feb. 28, 1993, was about $836.5 million.  She                 
  stated that if $25 million was taken out of that, it would                   
  be a drop in the bucket.  She also said if the state could                   
  show that $25 million was put into bringing the schools up                   
  to standards, the state could say to the federal government                  
  that it had done its share, now they needed to do the same.                  
  She asked what the possibility was of that.                                  
                                                                               
  CHAIRMAN MULDER stated that the earnings reserve was a part                  
  of the overall budget package at this time and the state was                 
  in a budget deficit which was already utilizing much of the                  
  earnings reserve and leaving very little left for carrying                   
  over next year.  He stated that there were other schools in                  
  Alaska that needed funding as well as military base schools.                 
                                                                               
  Number 594                                                                   
                                                                               
  ASSEMBLYMAN LANDERS pointed out that nobody has taken                        
  responsibility for these schools and no local or state                       
  government has tried to solve the problem.  He said this was                 
  an opportunity to sell the program throughout the state                      
  where there is a military presence.                                          
                                                                               
  MS. CATTON stated that these military base schools were not                  
  capable of receiving bond money for capital projects like                    
  the other schools in the state.  She said these problems are                 
  because they are not owned by the school district.  She                      
  stated that these schools should be brought into the                         
  Anchorage School District.  She stated that the only way to                  
  do that would be to get funding from the state legislature,                  
  and the state would need to take creative measures in                        
  appropriating funds for these schools.                                       
                                                                               
  Number 673                                                                   
                                                                               
  CHAIRMAN MULDER stated that the Military and Veterans                        
  Affairs Committee was committed to seeing that this problem                  
  resolved.  He said it was in the best interest of all                        
  Alaskans to provide quality education for all of the                         
  children, whether on military bases or off military bases.                   
                                                                               
  Number 730                                                                   
                                                                               
  CHAIRMAN MULDER stated that as a delegation of the Anchorage                 
  Caucus in representing the military, they sent a letter to                   
  the board members of the Anchorage School District                           
  requesting that they allow for representation of an                          
  ex-officio (non-voting representation on the board) for the                  
  military bases.  He said this would allow for the base                       
  schools' concerns to be heard.  Chairman Mulder stated that                  
  this was an issue that he visited with Col. Vakalis and Lt.                  
  General Ralston about, and they both felt strongly that                      
  representation like this was needed on the school board.                     
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  CHAIRMAN MULDER adjourned the meeting at 6:05 p.m.                           

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