Legislature(2023 - 2024)DAVIS 106

03/15/2023 06:00 PM House WAYS & MEANS

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Audio Topic
06:03:22 PM Start
06:05:14 PM Presentation(s): Education and Alaska's Economy
08:21:02 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
Joint Meeting with House Education Committee
+ Presentation: Education and Alaska's Economy by TELECONFERENCED
Alaska Policy Forum
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
                         JOINT MEETING                                                                                        
           HOUSE SPECIAL COMMITTEE ON WAYS AND MEANS                                                                          
               HOUSE EDUCATION STANDING COMMITTEE                                                                             
                         March 15, 2023                                                                                         
                           6:03 p.m.                                                                                            
                                                                                                                                
                             DRAFT                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
HOUSE SPECIAL COMMITTEE ON WAYS AND MEANS                                                                                       
                                                                                                                                
 Representative Ben Carpenter, Chair                                                                                            
 Representative Jamie Allard                                                                                                    
 Representative Tom McKay                                                                                                       
 Representative Kevin McCabe                                                                                                    
 Representative Cathy Tilton                                                                                                    
 Representative Andrew Gray                                                                                                     
 Representative Cliff Groh                                                                                                      
                                                                                                                                
HOUSE EDUCATION STANDING COMMITTEE                                                                                              
                                                                                                                                
 Representative Jamie Allard, Co-Chair                                                                                          
 Representative Justin Ruffridge, Co-Chair                                                                                      
 Representative Mike Prax                                                                                                       
 Representative Tom McKay                                                                                                       
 Representative Rebecca Himschoot                                                                                               
 Representative Andi Story                                                                                                      
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
HOUSE SPECIAL COMMITTEE ON WAYS AND MEANS                                                                                       
                                                                                                                                
 All members present                                                                                                            
                                                                                                                                
HOUSE EDUCATION STANDING COMMITTEE                                                                                              
                                                                                                                                
 Representative CJ McCormick                                                                                                    
                                                                                                                              
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
PRESENTATION(S): EDUCATION AND ALASKA'S ECONOMY                                                                                 
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
BOB GRIFFIN, Senior Education Research Fellow                                                                                   
Alaska Policy Forum                                                                                                             
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:   Presented  the PowerPoint on  Education and                                                             
Alaska's Economy.                                                                                                               
                                                                                                                                
SARAH MONTALBANO, Education Policy Analyst                                                                                      
Alaska Policy Forum                                                                                                             
Anchorage, Alaska                                                                                                               
POSITION   STATEMENT:     Co-presented  the   PowerPoint,  titled                                                             
"Alaska's Education Landscape."                                                                                                 
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
6:03:22 PM                                                                                                                    
                                                                                                                                
CHAIR  BEN  CARPENTER  called  the joint  meeting  of  the  House                                                             
Special  Committee on  Ways  and Means  and  the House  Education                                                               
Standing Committee to order at 6:03  p.m.  Present at the call to                                                               
order were: from  the House Special Committee on  Ways and Means,                                                               
Representative Carpenter,  McCabe, Tilton,  Gray, and  Groh; from                                                               
the  House Education  Standing  Committee, Representatives  Prax,                                                               
Himshoot,   and   Story;   and  representing   both   committees,                                                               
Representatives  Allard  and  McKay.   Representative  Ruffridge,                                                               
from  the  house Education  Standing  Committee,  arrived as  the                                                               
meeting was in progress.                                                                                                        
                                                                                                                                
^presentation(s): Education and Alaska's Economy                                                                                
        PRESENTATION(S): Education and Alaska's Economy                                                                     
                                                                                                                              
6:05:14 PM                                                                                                                    
                                                                                                                                
CHAIR CARPENTER announced  that the only order  of business would                                                               
be the Education and Alaska's Economy presentation.                                                                             
                                                                                                                                
6:05:54 PM                                                                                                                    
                                                                                                                                
BOB  GRIFFIN, Senior  Education  Research  Fellow, Alaska  Policy                                                               
Forum (APF), presented the PowerPoint  slideshow on Education and                                                               
Alaska's Economy  [hard copy included  in the  committee packet].                                                               
He explained on  slide 1 that he would present  the beginning and                                                               
concluding parts of  the presentation.  He to slide  2 to provide                                                               
an  overview of  the presentation.   He  said he  would speak  on                                                               
emulating  success  by   reviewing  comparisons  between  Alaska,                                                               
Florida and  Mississippi.  He  said that Florida  and Mississippi                                                               
were selected  since both states  had passed  legislation similar                                                               
to the Reads Act [signed into  law July 2022].  He inficated that                                                               
the  presentation  would  include   a  review  of  Alaska's  K-12                                                               
funding,   recommended  improvements   to  the   state's  funding                                                               
formula,  data on  the state's  educational outcomes,  discussion                                                               
about choice in education and  its fiscal benefits, and scenarios                                                               
related to the Alaska Correspondence School Allotment (CSAP).                                                                   
                                                                                                                                
6:07:38 PM                                                                                                                    
                                                                                                                                
MR.  GRIFFIN  moved to  slide  3  to  share trends  in  education                                                               
results using National Assessment  of Educational Progress (NAEP)                                                               
data.   He reported that there  were better results in  2022 than                                                               
there were in 2019.  He  said that APF tracks results by economic                                                               
strata  because the  forum determined  that the  brightness of  a                                                               
child's  mind is  not determined  by  skin color.   He  expressed                                                               
concern  that Alaska's  eighth-grade reading  scores were  ranked                                                               
fifty-first in the nation.                                                                                                      
                                                                                                                                
6:08:42 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN presented  a chart on slide 4  showing a longitudinal                                                               
view of  NAEP fourth  grade reading  test scores  from low-income                                                               
students ranging  from 2003 to 2022.   He said low  income is the                                                               
demographic that  APF focuses  on the  most to  close achievement                                                               
gaps.   He pointed to  the bottom of  the chart, which  shows the                                                               
longitudinal data  of Alaska's ranking  in fourth  grade reading.                                                               
He further pointed to Mississippi's  results that are highlighted                                                               
in  yellow and  noted that  Mississippi  was ranked  second.   He                                                               
stated  that when  Mississippi had  enacted legislation  like the                                                               
Alaska Reads  Act, as well  as legislation around  school choice,                                                               
the state  evolved rapidly.   He said this  is also the  case for                                                               
Florida, which is  highlighted in green.  He  shared that Oregon,                                                               
ranked fourth  in the  nation in 2022,  had classified  all their                                                               
students for  free and reduced  lunch, and that free  and reduced                                                               
lunch students  in Mississippi and Florida  outperformed all kids                                                               
in the state of Oregon.                                                                                                         
                                                                                                                                
6:10:45 PM                                                                                                                    
                                                                                                                                
MR.  GRIFFIN moved  to  slide 5  to talk  about  NAEP scores  for                                                               
Florida  and  Mississippi.     He  said  that   both  states  had                                                               
significant gains in  8th grade and math NAEP  scores since 2003.                                                               
Further, 2020  advanced placement (AP) course  results in Florida                                                               
showed that 34  percent of high school graduates  passed at least                                                               
one AP test with three or  higher, while in Anchorage, 14 percent                                                               
of students passed one AP test with three or higher.                                                                            
                                                                                                                                
6:11:33 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   STORY  asked   if   APF   tracked  Florida   and                                                               
Mississippi's investment  into early  literacy.  She  relayed her                                                               
understanding  that the  states had  invested significantly  into                                                               
early  learning for  four-year-olds, which  she said  she thought                                                               
would be a big factor to educational growth.                                                                                    
                                                                                                                                
MR.  GIFFIN   answered  that  APF   did  review   early  literacy                                                               
investments  in  Florida and  Mississippi.    He said  that  both                                                               
states have had  such programs for a long time,  and fully funded                                                               
them.   He stated that Florida  added a reading program  prior to                                                               
implementing  Pre-K and  was first  in the  nation in  low-income                                                               
fourth-grade  reading before  the Pre-K  students were  tested in                                                               
NAEP.  He  said it is difficult  to say what impact  the Pre-K is                                                               
having, but  it was not the  solution that got Florida  to number                                                               
one in low-income fourth-grade reading.                                                                                         
                                                                                                                                
6:13:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT inquired  about the  low-income fourth-                                                               
grade reading NAEP  data.  She highlighted  that both Mississippi                                                               
and Florida included  a retention section, which  is for students                                                               
that are held back a grade.   She asked if Mr. Griffin knows what                                                               
the student retention rates in the  two states are and noted that                                                               
retention is  not a part  of the Alaska  Reads Act.   She stated,                                                               
"When we compare  outcomes apples to their apples,  some of their                                                               
apples are  a year  older and  have a  year more  experience when                                                               
they took the fourth grade NAEP."                                                                                               
                                                                                                                                
MR.  GRIFFIN responded  that he  does not  have the  figures that                                                               
Representative  Himshoot   is  seeking   but  relayed   that  the                                                               
retention  rate  in  Florida  has   been  stable  but  jumped  in                                                               
Mississippi.   He said  the long-term  effects have  been overall                                                               
positive.   He  acknowledged that  there are  varying schools  of                                                               
thought regarding  student retention.   An example is  the damage                                                               
retention might have  on a retained student,  but conversely, low                                                               
literacy might also  damage the student's self esteem  at a later                                                               
age.                                                                                                                            
                                                                                                                                
REPRESENTATIVE HIMSCHOOT pointed out  that 20 percent of Alaska's                                                               
schools offer  AP over Florida's 46  percent.  She queried  if it                                                               
would  stand  to   reason  that  Florida  would   have  a  higher                                                               
completion rate on AP courses.                                                                                                  
                                                                                                                                
MR. GRIFFIN  suggested that the  difference stems  from financial                                                               
incentives that are provided to  schools in Florida for AP scores                                                               
three or higher.  He said  that incentives matter, in that if the                                                               
funding is tied to better  outcomes, then students achieve better                                                               
outcomes.                                                                                                                       
                                                                                                                                
6:16:02 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN  moved to  slide 6 to  present Alaska's  overall 2022                                                               
NAEP test  results compared  to Florida's.   In the  graph, green                                                               
denotes scores that are within the  top 10 and red denotes scores                                                               
that are in the bottom 10.   He pointed out that Florida is doing                                                               
well in  literacy but struggles  with eighth grade  math students                                                               
who are not  enrolled in the free and reduced  lunch program.  He                                                               
said in  2003, Alaska was six  points ahead of Florida  in eighth                                                               
grade  math  students who  were  not  enrolled  in the  free  and                                                               
reduced  lunch program,  but now  - in  2023 -  Alaska is  behind                                                               
Florida.                                                                                                                        
                                                                                                                                
6:17:09 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN  moved to  slide 7 to  lay out  school choice-related                                                               
programs  that  Mississippi  and  Florida  created,  which  serve                                                               
193,000 students  with seven programs.   He highlighted Florida's                                                               
Family  Empowerment Scholarship  program  and  explained that  90                                                               
percent of funding to that program  is used to help special needs                                                               
children attend private schools.                                                                                                
                                                                                                                                
6:18:04 PM                                                                                                                    
                                                                                                                                
MR.  GRIFFIN  moved  to  slide   8.    He  outlined  Florida  and                                                               
Mississippi  kids  with   Greatest  Gains:  low-income  students,                                                               
minority students, students with  disabilities, and students with                                                               
limited  English proficiency.   Slide  9 provides  data on  Miami                                                               
Dade Public  Schools (MDPS),  59 percent of  the students  are in                                                               
homes  where English  is not  the  only language.   He  explained                                                               
that,  because of  the outcome  incentives that  are provided  in                                                               
Florida, 32,602  AP tests passed  3 or higher from  MDPS's 51,910                                                               
juniors  and seniors.   He  further explained  that fourth  Grade                                                               
NAEP  reading  scores  from  MDPS were  six  Points  higher  than                                                               
upper/middle income fourth Graders in Alaska.                                                                                   
                                                                                                                                
6:19:24 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ALLARD  asked Mr. Griffin  for the reasons  why he                                                               
chose Florida and Mississippi to use as comparisons.                                                                            
                                                                                                                                
MR. GRIFFIN answered  that it is because  Florida and Mississippi                                                               
are  ranked  one  and  two in  low-income  fourth  grade  reading                                                               
scores.   He said early  literacy for low-income students  is one                                                               
of  the   fundamentals  that  are   needed  in  order   to  close                                                               
achievement  gaps  between  different  groups.    He  said  that,                                                               
because of the programs' success,  they are important programs to                                                               
emulate.                                                                                                                        
                                                                                                                                
6:20:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MCCABE  expressed his doubt that  the committee is                                                               
meeting  today  to  "poke holes"  in  Florida  and  Mississippi's                                                               
education programs.   He observed  that Alaska's students  are in                                                               
the  bottom  5 percent  in  all  the  NAEP  data presented.    He                                                               
suggested that  Mr. Griffin  picked the  two states  because they                                                               
have moved up  in NAEP rankings.   He said that even  if one were                                                               
to pick states  within the top 30, Alaska would  still be failing                                                               
by comparison despite the amount of state spending.                                                                             
                                                                                                                                
6:21:26 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MCKAY  asked if  Mr. Griffin  chose the  states in                                                               
question because they had passed legislation like the Reads Act.                                                                
                                                                                                                                
MR. GRIFFIN  answered that's  correct.  He  said the  states also                                                               
have various other factors, like strong school choice programs.                                                                 
                                                                                                                                
6:22:00 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HIMSCHOOT highlighted  slide 9.  She  asked if Mr.                                                               
Griffin is  drawing a correlation  or causation  effect regarding                                                               
the 32,602 AP tests that passed three or higher.                                                                                
                                                                                                                                
MR. GRIFFIN answered  that he is drawing  neither correlation nor                                                               
causation.   He  added  that  the figure  may  be an  interesting                                                               
correlation, but he would not assign causation to it.                                                                           
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT asked  if there  was a  study conducted                                                               
around this figure.                                                                                                             
                                                                                                                                
MR. GRIFFIN responded no,  and that it is just data.   He said he                                                               
is unaware of a study that provides a causal link.                                                                              
                                                                                                                                
6:23:17 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN returned to the presentation  on slide 10.  The slide                                                               
shows  a bar  chart  of  2022 NAEP  fourth  grade reading  scores                                                               
ranked by  state and broken between  low-income and upper/middle-                                                               
income  students.   Florida and  Mississippi  are highlighted  in                                                               
yellow, the  national average in  green, MDPS in tan,  and Alaska                                                               
in red.                                                                                                                         
                                                                                                                                
6:24:05 PM                                                                                                                    
                                                                                                                                
MR.  GRIFFIN moved  to  slide  11.   The  slide  shows 2021  K-12                                                               
spending  per student  in average  daily attendance  and adjusted                                                               
for price  parity.   He pointed  to the  middle bar  chart, which                                                               
show 2021  regional price parities  between states, and  said the                                                               
red arrow  on the chart shows  that Alaska was at  104 percent of                                                               
the national average.   He noted that Florida is  at 101 percent,                                                               
and Mississippi, 86  percent.  He said the chart  on the right is                                                               
data from  the chart on the  left but corrected for  the regional                                                               
price  parities, which  shows that  Alaska is  in the  upper one-                                                               
third  of the  rankings.    He noted  despite  all the  education                                                               
expenditures, Florida and Mississippi  are ranked near the bottom                                                               
in spending.                                                                                                                    
                                                                                                                                
6:25:24 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MCCABE asked  about the middle chart  on slide 11.                                                               
He  commented that,  while there  was no  study done,  he himself                                                               
could look at the data  and determine that Mississippi spends the                                                               
least  amount  per student  while  being  the highest  ranked  in                                                               
reading  results.   He  said  that  Alaska, however,  spends  104                                                               
percent of  the average  and yet  is ranked  among the  lowest in                                                               
reading.  He stated that this appears weird to him.                                                                             
                                                                                                                                
MR.  GRIFFIN clarified  that the  middle bar  chart reflects  the                                                               
adjustment  for price  parity  based  on a  chart  from the  U.S.                                                               
Bureau Economic  Analysis, which determined that  Alaska spent on                                                               
average 4.5 percent, and is ranked  eighth in cost of living.  He                                                               
said the data within the chart  on the right of the slide derives                                                               
data from the chart in the center.                                                                                              
                                                                                                                                
6:27:10 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STORY,  drawing attention  to  the  chart in  the                                                               
center of  the slide,  asked whether the  data has  been adjusted                                                               
for  geographic cost  factors.   She said  that the  Institute of                                                               
Social  and Economic  Research (ISER)  had done  a study  on such                                                               
factors,  which  showed  that  Alaska  is  7  percent  under  the                                                               
national average.                                                                                                               
                                                                                                                                
MR. GRIFFIN answered  that the center chart does  not account for                                                               
geographic  cost  factors,  but  nor  does  it  account  for  the                                                               
personal tax burden for residents in Alaska.                                                                                    
                                                                                                                                
6:27:53 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ALLARD asked if Mr.  Griffin said the average cost                                                               
per student  in Alaska  is $20,484,  which is  shown on  the left                                                               
side of the slide.                                                                                                              
                                                                                                                                
MR. GRIFFIN answered  that the data is published  by the National                                                               
Education Association  (NEA), whose statisticians make  apples to                                                               
apples comparisons  for NEA members.   He stated that NEA  has no                                                               
vested interest  in making one  state look  better or worse.   He                                                               
explained that the  $20,484 figure is for 2021 and  is based upon                                                               
average daily  attendance.  He  said it  is a higher  number than                                                               
other states.  He stressed the  importance of the figure; in that                                                               
it accounts  for chronic absenteeism  as well as  other variables                                                               
that affect the  number of kids being educated, and  he said that                                                               
the cost is driven higher by chronic absenteeism.                                                                               
                                                                                                                                
REPRESENTATIVE  ALLARD relayed  that there  are people  in Alaska                                                               
that  doubt  the  state  funds   education  that  high,  but  her                                                               
understanding is that the state does  spend that much.  She noted                                                               
that  base  student allocation  (BSA)  funding  is not  the  only                                                               
source  that  schools  receive  funding from.    She  asked  what                                                               
factors accounted for the $20,484 figure.                                                                                       
                                                                                                                                
MR. GRIFFIN responded that NEA  tracks total costs and provides a                                                               
satisfactory apple to  apples comparison.  He  said NEA publishes                                                               
the data in the document "Rankings and Estimates."                                                                              
                                                                                                                                
6:30:23 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRAY  pointed out,  on  slide  10, that  Delaware                                                               
ranked  higher than  Alaska in  low-income  fourth grade  reading                                                               
scores,   and  that   Delaware  ranked   lower  than   Alaska  in                                                               
upper/middle income  fourth grade reading results.   He commented                                                               
that Delaware  underwent teaching  methodology reform  in reading                                                               
and  had  announced in  2019  greater  efforts to  address  early                                                               
childhood education.   Using  the spending data  on slide  11, he                                                               
pointed out that Delaware spends  slightly less than Alaska, with                                                               
Delaware reported to  have spent $18,503 per  student compared to                                                               
Alaska's $20,484.  He observed that  Delaware is not as far apart                                                               
as Alaska, and  does not have much of a  rural population or many                                                               
factors that  might drive up  costs.  He suggested  that Delaware                                                               
would be a good state to review.                                                                                                
                                                                                                                                
MR.  GRIFFIN   answered  that  he   will  investigate   making  a                                                               
comparison using Delaware.                                                                                                      
                                                                                                                                
6:31:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT  explained   that  when  districts  are                                                               
understaffed and  unable to  contact a family  to inform  them of                                                               
free  and  reduced lunch  paperwork,  the  school does  not  stop                                                               
feeding  the students;  it just  does not  have the  paperwork to                                                               
show the family  is low income.  She asked  where Mr. Griffin got                                                               
the  data  that  purports  that  the students  on  slide  10  are                                                               
considered upper/middle income.                                                                                                 
                                                                                                                                
MR.  GRIFFIN  responded  that  he assumed  that  all  states  are                                                               
equally motivated  to ensure  that students  qualify for  free or                                                               
reduced cost lunches  apply for the program.  He  said that while                                                               
it may  not be a  valid assumption,  he said the  differences are                                                               
not dramatically different from state to state.                                                                                 
                                                                                                                                
6:33:00 PM                                                                                                                    
                                                                                                                                
MR.  GRIFFIN  moved to  slide  12  to  talk about  K-12  spending                                                               
increases.    The  chart  spans 2004-2022  and  uses  student  in                                                               
average daily  attendance data originating  from the  NEA ranking                                                               
and estimates  report.  He pointed  out that Alaska is  ranked at                                                               
about where  the national average  is.   He commented that  a few                                                               
years  ago Alaska  used to  be further  on the  left side  of the                                                               
chart but  moved down  in ranking  due to flat  funding.   As for                                                               
Florida and  Mississippi, the spending increases  the states show                                                               
were  not  driven  by  increases in  per-student  spending.    He                                                               
presented a  chart of free  and reduced  lunch rates by  state on                                                               
slide 13.   He pointed  out that  Florida and Mississippi  are at                                                               
the higher end of the chart.  He  moved to slide 14 to talk about                                                               
rural Alaska leading  performance.  He said  this slide addresses                                                               
the thought  that Alaska's  poor performance  is blamed  on rural                                                               
Alaska, and  whether there is truth  to that idea.   He said that                                                               
some  rural  schools  in the  state  achieve  exceptionally,  but                                                               
conversely, the five largest schools  in the state are all ranked                                                               
under  fifteen  in performance  based  on  English language  arts                                                               
proficiency - according  to the most recent  Alaska Star results.                                                               
He  answered a  question from  a previous  meeting regarding  the                                                               
correlation  to  poverty rates  and  per-capita  income and  said                                                               
there is  a correlation  between a lower  poverty rate  city, and                                                               
higher performance.   He commented that the  state's five largest                                                               
schools are  slightly above the state  average - in a  state that                                                               
is  overall  worst  in  the   nation  in  English  language  arts                                                               
proficiency.                                                                                                                    
                                                                                                                                
6:35:12 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN moved  to slide 15 and stated that  the brightness of                                                               
a child's mind is not determined  by their skin color.  The slide                                                               
shows the annual  estimates of people of color by  state based on                                                               
resident  population; the  data originates  from the  U.S. Census                                                               
Bureau, and Alaska is ranked 15  with 38.1 percent.  He presented                                                               
a graph on slide 16 that  shows Alaska having a majority minority                                                               
student  population.    He  said  this  similar  shift  has  been                                                               
happening  across  the  country  and   is  an  effect  of  future                                                               
generations  no longer  identifying as  a single  race.   He said                                                               
that the  largest growing  ethnicity in the  U.S. are  people who                                                               
identify as two or more races.                                                                                                  
                                                                                                                                
6:36:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE referred  to  slide  12 regarding  K-12                                                               
spending increases, he asked why the  date range is 2014 to 2022.                                                               
He  provided  his  understanding   that  the  current  foundation                                                               
formula was created several years before the dates selected.                                                                    
                                                                                                                                
MR. GRIFFIN explained  that the dates were  selected because they                                                               
are a  baseline APF uses year  over year.  The  figures are cross                                                               
referenced to  NAEP test scores  and explained that 2003  was the                                                               
first year Alaska fully participated in NAEP testing.                                                                           
                                                                                                                                
6:37:35 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   ALLARD  referred   to  Mr.   Griffin's  comments                                                               
regarding  Alaska having  high absenteeism  and asked  if he  had                                                               
investigated the  length of  the school  day in  the state.   She                                                               
provided her  understanding that  Alaska had the  shortest school                                                               
day in the country.                                                                                                             
                                                                                                                                
MR.  GRIFFIN answered  that Alaska  does indeed  have one  of the                                                               
shorter total hours of instruction in a school year in the U.S.                                                                 
                                                                                                                                
REPRESENTATIVE  ALLARD  asked if  it  would  be possible  to  add                                                               
additional days  to the  school year  and offered  10 days  as an                                                               
example.  She further asked if  he thought that would improve the                                                               
education of the state's children.                                                                                              
                                                                                                                                
MR. GRIFFIN  responded that  he has not  looked into  that matter                                                               
specifically but said generally it  seems that if students are in                                                               
school longer then they would have more opportunity to achieve.                                                                 
                                                                                                                                
6:39:02 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY  highlighted the data slide  14 regarding AK                                                               
STAR performance.   She shared that there is a  school within the                                                               
Juneau School  District that  has a poverty  rate of  66 percent,                                                               
but the graph  reports a poverty rate of 7.2  percent.  She asked                                                               
if Mr. Griffin has investigated  the student growth in individual                                                               
schools  that  have  a  higher poverty  rate  within  the  larger                                                               
districts.                                                                                                                      
                                                                                                                                
MR. GRIFFIN pointed  out that poverty rates and  free and reduced                                                               
lunch rates are different.  He  asked if she is referring to free                                                               
and reduced lunch rates in Juneau.                                                                                              
                                                                                                                                
REPRESENTATIVE STORY  relayed that  free and  reduced lunch  is a                                                               
significant factor towards determining poverty rate.                                                                            
                                                                                                                                
MR. GRIFFIN  explained that free  and reduced lunch  rate depends                                                               
on  185  percent  poverty  rate,   as  well  as  for  Alaska,  an                                                               
additional 25  percent is  factored in.   In Anchorage,  the free                                                               
and reduced  lunch rate is  50 percent,  but the poverty  rate is                                                               
9.1 percent.                                                                                                                    
                                                                                                                                
6:40:52 PM                                                                                                                    
                                                                                                                                
CHAIR  CARPENTER provided  his  summation that  the poverty  rate                                                               
figures that are  being presented are not free  and reduced rates                                                               
based on community census.                                                                                                      
                                                                                                                                
MR. GRIFFIN answered  that he does not have the  chart that shows                                                               
free and reduced lunch rates for  schools in the state in today's                                                               
presentation.                                                                                                                   
                                                                                                                                
6:41:09 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GROH  pointed  to  slide  12  and  asked  if  the                                                               
spending increases are inflation  adjusted or are being presented                                                               
in nominal dollars.                                                                                                             
                                                                                                                                
MR. GRIFFIN answered that the  figures are in nominal dollars but                                                               
said  that  the  rankings  wouldn't  change  even  if  they  were                                                               
adjusted for inflation.                                                                                                         
                                                                                                                                
6:42:02 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN returned to the presentation  on slide 17.  He talked                                                               
about diversity  and poverty within  Anchorage, in that  the city                                                               
is ranked the 71st largest  city, 147th in overall diversity, and                                                               
182nd  in  language diversity;  and  of  the 100  largest  cities                                                               
Anchorage  has  the ninth  lowest  poverty  rate while  Miami  is                                                               
ranked 16th.   The data is sourced from U.S.  Census data and the                                                               
Wallet  Hub 2022  Survey.   He  showed a  pie chart  on slide  18                                                               
showing a comparison of Anchorage's  entropy index to the U.S. in                                                               
2010.   He said a  study published  in 2014 found  that Anchorage                                                               
had the most  diverse school districts in the  country, which was                                                               
determined by  using the entropy  index data.  He  explained that                                                               
the chart on  the left of the  slide is sourced from  page 377 of                                                               
the study  titled "The  Anchorage Mosaic."   He pointed  out that                                                               
the pie  chart on the  bottom, which represents the  entire U.S.,                                                               
shows  a  small  Native  population represented  as  compared  to                                                               
Alaska's pie chart.                                                                                                             
                                                                                                                                
6:44:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ALLARD referred  to slide  18.   She relayed  her                                                               
understanding that  there has  been a great  deal of  talk around                                                               
Alaska being the  most diverse state and asked Mr.  Griffin if he                                                               
was conveying  in the  presentation that  Alaska actually  is not                                                               
the most diverse.                                                                                                               
                                                                                                                                
MR.  GRIFFIN clarified  that it  is a  matter of  perspective and                                                               
technique for  defining what poverty  is.  He said  the technique                                                               
the author used  established that, out of  131,000 schools across                                                               
the  country, 27  of  the 30  most diverse  schools  were in  his                                                               
hometown.                                                                                                                       
                                                                                                                                
6:45:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE noted  that this was the  second time he                                                               
had  seen this  presentation, and  he asked  for clarity  as what                                                               
"the take home" is.                                                                                                             
                                                                                                                                
MR. GRIFFIN  responded that  the basic answer  is that  there are                                                               
examples of programs worthy of  emulating in Alaska, which is why                                                               
APF compared Alaska with Florida  and Mississippi, brought up the                                                               
challenges of  K-12 expenditures, and discussed  relative poverty                                                               
of other  states compared  with Alaska.   He remarked  that while                                                               
Alaska's  challenges are  "less" than  other places,  the state's                                                               
educational outcomes  are "not  where we  want them  to be."   In                                                               
response to a follow-up request  for clarification, he said while                                                               
Alaska has unique  challenges, but in the  categories outlines in                                                               
the presentation,  the state's challenges are  similar, equal, or                                                               
"quite a bit  less" than in Florida and Mississippi.   He further                                                               
clarified that  Alaska students are less  diverse, "slightly less                                                               
poor," and there  is price parity in K-12 spending.   He said per                                                               
student  spending  and challenges  related  to  free and  reduced                                                               
lunch rates  are linked to  student outcomes.  He  concluded that                                                               
as  for Alaska's  diversity, while  he does  not consider  that a                                                               
challenge, it  is a topic that  is used as a  rationalization for                                                               
"dismal student outcomes."                                                                                                      
                                                                                                                                
6:50:59 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ALLARD  commented  that  the  comparison  between                                                               
Alaska, Florida,  and Mississippi is  relevant.  She  offered her                                                               
understanding  that Mr.  Griffin is  trying to  say, "There's  no                                                               
excuse,"  and  that Alaska  should  be  higher in  the  education                                                               
ranking.   She asked  Mr. Griffin to  share his  involvement with                                                               
the Alaska Reads Act, and why the presentation is significant.                                                                  
                                                                                                                                
MR.  GRIFFIN  answered  that  he  advocated  and  introduced  the                                                               
legislation in  2015 and again in  2022, the year it  passed.  He                                                               
said the Act was based on  other states that saw success with the                                                               
same legislation.                                                                                                               
                                                                                                                                
6:51:59 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRAY  reverted  to  slide  12.    He  shared  his                                                               
understanding  from  the slide  that;  Alaska  has increased  its                                                               
spending less than  the national average over the  last 15 years.                                                               
In  addressing  poverty comparisons,  he  stated,  "I just  would                                                               
think there are more people  using honey buckets and outhouses in                                                               
Alaska than in  Florida and Mississippi."  He  suggested that the                                                               
ways  of measuring  poverty may  be different  because Alaska  is                                                               
different.                                                                                                                      
                                                                                                                                
MR. GRIFFIN said  he can't speak to that, only  to the statistics                                                               
that are available.                                                                                                             
                                                                                                                                
6:53:06 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT  asked   how  Mississippi  and  Florida                                                               
funded their versions of the Reads Act.                                                                                         
                                                                                                                                
MR.  GRIFFIN  answered  that  they  went  through  a  process  of                                                               
determining what elements of spending were the most important.                                                                  
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT inquired  whether,  after those  states                                                               
passed  their   legislation,  there  was  funding   allocated  to                                                               
implement the laws enacted.                                                                                                     
                                                                                                                                
MR. GRIFFIN answered that there was funding allocated.                                                                          
                                                                                                                                
6:53:50 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STORY asked  Mr. Griffin  if he  had investigated                                                               
what  the investments  were in  Florida,  and what  the rates  of                                                               
teacher retention are.                                                                                                          
                                                                                                                                
MR. GRIFFIN said he can do research into those matters.                                                                         
                                                                                                                                
6:54:41 PM                                                                                                                    
                                                                                                                                
SARAH MONTALBANO, Education Policy  Analyst, Alaska Policy Forum,                                                               
co-presented   the   PowerPoint,   titled   "Alaska's   Education                                                               
Landscape."   She  pointed  to  slide 19  to  talk about  overall                                                               
education spending in  Alaska.  She said  that per-pupil spending                                                               
in Alaska was  nominally $18,313 in 2020, but  estimates range up                                                               
to $21,000  when considering averages  across districts.   Alaska                                                               
spent  almost  50  percent  more than  the  national  average  of                                                               
$13,494.   She said that  some figures may be  misleading because                                                               
per pupil spending varies wildly  between districts.  The highest                                                               
being the  Aleutian Region School District,  which spent $104,556                                                               
per pupil as  of the 2018 2019 school year,  while the lowest was                                                               
Galena  City School  District, which  spent $7,302  per pupil  in                                                               
2018 2019.   For urban  reference, the Anchorage  School District                                                               
spent $16,525  per pupil in  2018 and  2019.  She  reported that,                                                               
between  2002 and  2020,  Alaska's  total education  expenditures                                                               
rose 32 percent per pupil after adjusting for inflation.                                                                        
                                                                                                                                
6:56:45 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  moved to  slide 19 and  discussed cost  of living                                                               
data.   She said that a  study by the Education  Law Center found                                                               
Alaska's combined  state and local revenues,  after adjusting for                                                               
regional  cost  of  living (COL)  variations,  funded  more  than                                                               
$2,000  per  pupil or  $17,544,  above  the national  average  of                                                               
$15,446 in the  2019 2020 school year.  She  pointed to the chart                                                               
on the right of the slide,  which is a screenshot from the study,                                                               
and shows  that Alaska is  one of the  few states in  the ranking                                                               
that receives As and Bs  exclusively in the different categories.                                                               
She  said that  Alaska  received  an A  for  the distribution  of                                                               
funding that goes to high  poverty districts.  She explained that                                                               
the  red line  on the  chart in  the slide  are the  increases in                                                               
funding that the  Education Law Center expects to  see as poverty                                                               
rates increase.   She  said that  many fall  above the  red line,                                                               
while districts below  the line - the Galena  School District and                                                               
the  Nenana   School  District  as   examples  -  have   a  large                                                               
correspondence  school presence.    She  reported that  education                                                               
expenditures were  57 percent more  in high poverty  districts in                                                               
Alaska in 2020  than in low poverty districts,  and further, that                                                               
low  poverty  districts  were  funded   slightly  less  than  the                                                               
national  average  by $14,715.    She  explained that  Alaska  is                                                               
putting  proportionally  more  of  GDP into  education  than  the                                                               
national average  by 4.42 percent  while the national  average is                                                               
3.5 percent.   She said  gross domestic product (GDP)  declined 8                                                               
percent between  2008 and  2020, but  PK-12 revenue  increased 18                                                               
percent.                                                                                                                        
                                                                                                                                
6:59:15 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO moved  to  slide 21  to show  a  scatter plot  on                                                               
spending  of  school  districts.     With  the  lowest  per-pupil                                                               
spending  at $5,000  and the  highest at  $40,000 and  noted that                                                               
some school's spending falls outside  of the presented plot.  The                                                               
vertical  axis of  the graph  represents  percentage of  students                                                               
proficient, ranging from 10 to  90 percent, with averages of math                                                               
and  reading  scores  from  the Alaska  STAR  exam;  the  average                                                               
statewide score  is 39  percent proficient.   She  explained that                                                               
the  circles  represent  public   schools,  and  the  plus  signs                                                               
represent  charter  schools, and  that  the  size of  the  circle                                                               
denotes enrollment size  in the districts.   Further, green means                                                               
the district  is lower poverty  while orange and red  mean higher                                                               
poverty.   She pointed  to the Skagway  School District  as doing                                                               
the best  on state  standardized tests,  with high  spending when                                                               
compared to the  other schools.  In another  example, she pointed                                                               
to five  charter schools in  the upper  left section of  the plot                                                               
that show they have low spending  and high outcomes.  She pointed                                                               
to the circle  drawn on the left of the  plot; the schools within                                                               
the  circle are  correspondence schools,  and most  are shown  to                                                               
have higher student  proficiency by 10-20 percent.   She said the                                                               
trend that the  plot illustrates is that  higher spending doesn't                                                               
necessarily mean better outcomes.                                                                                               
                                                                                                                                
7:03:05 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   HIMSCHOOT  asked,   regarding  the   educational                                                               
outcomes data, what the source is.                                                                                              
                                                                                                                                
MS. MONTALBANO explained that Georgetown  Edunonmics Lab is using                                                               
data  from the  state's AK  STAR assessment.   In  response to  a                                                               
follow-up  question,  he  confirmed that  correspondence  schools                                                               
have a 15 percent participation rate in statewide testing.                                                                      
                                                                                                                                
7:04:53 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO, in  response to  Chair Carpenter,  explained the                                                               
color gradients  of green, yellow,  and red on the  scatter plot.                                                               
The greenest  symbol means that  district has the  lowest poverty                                                               
of 0 percent,  while the reddest is at 100  percent poverty rate.                                                               
In  response   to  a  follow-up  remark   regarding  economically                                                               
disadvantaged  families,  she noted  the  chart  also shows  high                                                               
spending and  low outcomes;  therefore, the  chart shows  a trend                                                               
but does not prove a rule.                                                                                                      
                                                                                                                                
7:07:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STORY asked  about the  previous slide  regarding                                                               
cost  of living.   She  referred to  the comment  that Alaska  is                                                               
putting  proportionally  more  of  GDP into  education  than  the                                                               
national average, and  said that the state shouldn't  use that as                                                               
a metric because  the price of oil sets the  state's GDP based on                                                               
what years a  person picks.  An example,  picking 2016-2021, 2021                                                               
was a  high cost of  oil input that grew  the GDP by  27 percent.                                                               
She said that  while the 2008-2020 education  investment may have                                                               
totaled 4.42 percent;  the percentage would be  much different if                                                               
a different year  range is used.  She asked  if the Education Law                                                               
Center chose the years on the slide.                                                                                            
                                                                                                                                
MS.  MONTALBANO  answered  that  the 4.42  percent  is  from  the                                                               
2019/2020  school year,  and she  said  she will  seek to  verify                                                               
that.                                                                                                                           
                                                                                                                                
REPRESENTATIVE STORY cautioned using that metric.                                                                               
                                                                                                                                
7:09:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  ALLARD  returned  to  slide 21  and  thanked  Ms.                                                               
Montalbano for including the Eagle  Academy Charter School in the                                                               
data.   She asked  if APF considered  analyzing the  practices of                                                               
Alaska's charter schools.  In  example, Eagle Academy has uniform                                                               
dress codes, an hour longer  school day, different academics, and                                                               
uses lottery enrollment.                                                                                                        
                                                                                                                                
MS. MONTALBANO answered that it  is hard to disaggregate specific                                                               
charter  school  practices and  define  causality  with the  high                                                               
outcomes.  She said that the  main benefits of charter schools is                                                               
that  their  practices  differ  from  public  schools,  but  said                                                               
there's no  way to attribute  specific pieces of  Eagle Academy's                                                               
high performance on the chart.                                                                                                  
                                                                                                                                
7:10:55 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCABE  referred   to  Representative  Himshoot's                                                               
comment  regarding a  15 percent  testing participation  rate for                                                               
correspondence schooling.   He asked if it could  be assumed that                                                               
the 15 percent  that did not take the state  test were the lowest                                                               
performing  students, or  rather,  if it  is  a negligible  cross                                                               
section.                                                                                                                        
                                                                                                                                
MS. MONTALBANO  explained that the 15  percent participation rate                                                               
in AK STAR  applies to correspondence school students.   She said                                                               
that  such students  tend  to opt-out  of AK  STAR  testing at  a                                                               
higher rate than public school  students.  She suggested that the                                                               
data  could  indicate  that the  state  has  an  unrepresentative                                                               
sample size,  in that,  the data presents  the best  students who                                                               
are taking the test.  She said  that it is also possible that the                                                               
data  is a  sampling of  students whose  parents don't  mind them                                                               
taking the  test, so may  not be linked  to the brightest  of the                                                               
correspondence school  students; she  noted that  there is  a low                                                               
sample   size  of   the  total   correspondence  school   student                                                               
population.                                                                                                                     
                                                                                                                                
REPRESENTATIVE  MCCABE stated,  "Conversely then,  of course,  it                                                               
could be  that they're the top  15 percent that just  figure it's                                                               
not worth  their while  to take  the test  and opt  out of  it as                                                               
well."   He  suggested that  the results  could be  statistically                                                               
higher  if  the  data  is separating  the  population  via  cross                                                               
section.                                                                                                                        
                                                                                                                                
MS.  MONTALBANO deferred  to the  Alaska Department  of Education                                                               
and Early Development (DEED) and  its statisticians on the issue.                                                               
She commented  that she  does not  personally see  it as  more or                                                               
less  likely that  the  data  represents the  top  15 percent  of                                                               
correspondence school  students or that it  represents the lowest                                                               
15 percent  of such students.   She suggested that the  data is a                                                               
middle sampling of all the students.                                                                                            
                                                                                                                                
7:13:12 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE inquired  about  the left  side of  the                                                               
graph on slide  21.  He asked  if the vertical axis  of the graph                                                               
is supposed to be a proficiency percentage in math or reading.                                                                  
                                                                                                                                
MS. MONTALBANO  explained that the  performance percentage  is an                                                               
average of the two subjects in all grades across the state.                                                                     
                                                                                                                                
REPRESENTATIVE RUFFRIDGE  offered his understanding that,  if the                                                               
districts circled on  the left are correspondence  schools, a key                                                               
component is class  size.  He shared that his  class size was two                                                               
when he  was homeschooled.  He  said it would help  if there were                                                               
data in the graph that denotes  class size, because he shares the                                                               
same understanding as Representative  Carpenter, in that there is                                                               
an economic association; the districts  circled on the graph have                                                               
a higher economic portfolio and possibly a small class size.                                                                    
                                                                                                                                
MS.  MONTALBANO encouraged  Representative Ruffridge  to use  the                                                               
Georgetown Edunomics Lab tool and  adjust the district enrollment                                                               
size settings.   She said  that while it  is not exactly  data on                                                               
school  size, it  gives a  perspective on  how large  the schools                                                               
are.   Regarding class sizes, she  said it is obvious  that there                                                               
is larger enrollment, but she  has not researched the class size,                                                               
and is unsure data  is available in the tool.   She said she will                                                               
follow up on the matter.                                                                                                        
                                                                                                                                
7:15:56 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRAY  asked  about  the chart  on  slide  21;  he                                                               
pointed  out  that  most  districts colored  red  are  below  the                                                               
average line, while  the majority of the  green colored districts                                                               
are above the average line.   He said this implies that the major                                                               
change the  state needs  to make  is to get  the students  out of                                                               
poverty.  He further pointed  out that the correspondence schools                                                               
on the chart  are all green, which implies that  the families who                                                               
have money send their children to  charter schools.  He said this                                                               
matter comes up in Anchorage  frequently because, although anyone                                                               
is  eligible in  the lottery  system,  there is  no bus  service;                                                               
thus, the parents who can enroll  their child in a charter school                                                               
need the  flexibility to transport them  to and from school.   He                                                               
asked if it is correct that  all the charter schools on the chart                                                               
are colored green.                                                                                                              
                                                                                                                                
MS.  MONTALBANO   called  attention  to   several  orange-colored                                                               
correspondence schools  in the lower  left of the  chart, meaning                                                               
they have lower outcomes but with  low spending.  She noted there                                                               
are  other  lighter  green colored  districts  elsewhere  on  the                                                               
chart.                                                                                                                          
                                                                                                                                
7:17:37 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ALLARD  stated, "I  see what everybody  is looking                                                               
in about the green, but I'm wondering  if we had a slide that had                                                               
a flip, because I also see  a lot of yellow and orange underneath                                                               
the green."  She said that green is a prominent color.                                                                          
                                                                                                                                
7:18:02 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   MCCABE   responded  to   Representative   Gray's                                                               
comments  regarding   charter  school  family   flexibility;  the                                                               
thought charter  schools are  doing well  because the  family can                                                               
afford to  send the child  to the  school makes a  great argument                                                               
for  school vouchers.   He  suggested that  if there  were school                                                               
vouchers  and  school  choice,  all students  could  be  sent  to                                                               
charter  schools and  have a  better outcome.   He  asked if  his                                                               
statement is correct.                                                                                                           
                                                                                                                                
MS.  MONTALBANO responded  that  the topic  of  school choice  is                                                               
later  in the  presentation.   As  for  charter school  education                                                               
outcomes, she  said APF has  done studies showing that  even when                                                               
comparing apples to apples in  income levels, low-income students                                                               
in  charter  schools  are  performing   better  than  low  income                                                               
students in public  schools.  She stated that it  would be a good                                                               
idea to expand  charter school opportunities and  have more seats                                                               
open because the  seats are typically filled  by lottery, meaning                                                               
that some students do not end  up getting picked to enroll in the                                                               
school.                                                                                                                         
                                                                                                                                
7:19:36 PM                                                                                                                    
                                                                                                                                
CHAIR  CARPENTER said  he  does  not want  his  statements to  be                                                               
misconstrued that  he is  agreeing to the  move of  spending more                                                               
money  on schools  where economically  disadvantaged people  live                                                               
and expecting  better results.   He  said this  moment is  a good                                                               
example of  why the joint meeting  is being held today,  and what                                                               
he  is seeking  to  accomplish during  this legislative  session,                                                               
which  is to  end the  "squabbles" over  funding and  to get  the                                                               
economy  going.   In the  case of  an economically  disadvantaged                                                               
school, in  the lower  right of  the chart,  it isn't  the school                                                               
that does not  receive enough money, it is the  families.  If the                                                               
members want to  look at policy decisions that  move the families                                                               
from the  lower right of  the graph, to  the upper left,  or from                                                               
red to  green colored, then  that is how economic  growth impacts                                                               
families.    He said  there  are  many reasons  why  economically                                                               
disadvantaged individuals  may not  be participating  enough with                                                               
their kids  in school or  taking ownership in the  schooling, one                                                               
of which  is because the  parents are working  all the time  at a                                                               
low-wage job.   He suggested that instead of  squabbling over how                                                               
much money  the state  should parse out,  members talk  about how                                                               
the economy can grow so that  everyone has an advantage.  He said                                                               
the chart on  slide 21 shows that one of  the problems Alaska has                                                               
faced has been economic disadvantage.                                                                                           
                                                                                                                                
7:21:30 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  returned to  the presentation on  slide 22.   She                                                               
explained that she put the  slide's chart together with data from                                                               
the NEA, who  have K-12 spending estimate reports.   She said she                                                               
used 2002  as the baseline because  that is as far  back as NEA's                                                               
estimates go.  She explained  that the data looks at expenditures                                                               
per-pupil by  average daily attendance  (ADA).  All  expenses are                                                               
considered  current expenditures,  excluding  capital outlay  and                                                               
interest on school debt, which  she said are highly variable from                                                               
year  to  year.    She  said  the  blue  bars  represent  current                                                               
expenditures  for its  respective  year per  student and  average                                                               
daily attendance.   The gold bars  represent current expenditures                                                               
ADA would have been with  adjustments upward for the annual urban                                                               
Alaska consumer  price index non-seasonally adjusted;  the annual                                                               
rate data  originates from the  U.S. Bureau of  Labor Statistics.                                                               
She  said that  the  chart  illustrates that  from  2002 to  2008                                                               
Alaska  saw inflation  outpacing what  schools were  receiving in                                                               
funding.  She  said that due to formula changes  in 2008 to 2009,                                                               
Alaska jumped $5,000  dollars, and the state's  actual ADA stayed                                                               
well above  what it  would have  been if  keeping pace  with 2002                                                               
inflation.   This  was  until  2021 when  Alaska  was 22  percent                                                               
higher than the inflation rate due  to formula changes.  She said                                                               
that the black line on  the chart represents fourth grade reading                                                               
NAEP scores;  she explained  that the line  shows that  the state                                                               
got an average score  of 212 in 2003 to 204 in  2020, and that 10                                                               
score points  equates to a  year of educational attainment.   She                                                               
said that while  education spending was increased  during 2003 to                                                               
2020, eight points were still lost.                                                                                             
                                                                                                                                
7:24:25 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  moved to slide 23  to explain that over  the same                                                               
time  period,  2003  to   2020,  school  administration  overtook                                                               
teacher  growth.     She  said  that,   while  administration  is                                                               
important  for  school  leadership, investing  directly  in  high                                                               
quality teachers  is what matters  most for  student performance,                                                               
and that  in 2021 there were  four teachers for every  five staff                                                               
members  performing other  functions, the  lowest ratio  over the                                                               
time  period.   She  stated that  school district  administrators                                                               
grew  17.7 percent  between 2008  and  2019 while  the number  of                                                               
teachers  declined  5.8  percent,  and that  2008  was  when  the                                                               
funding  formula  adjustments were  made.    She relayed  that  a                                                               
conventional explanation is that  compliance costs, especially at                                                               
the federal level, have increased.   She said however that Alaska                                                               
is  not  unique  in  administration growth,  in  that  staff  per                                                               
student doubled in 30 years, 1970 to 1999.                                                                                      
                                                                                                                                
7:25:57 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO discussed  the  state  education funding  formula                                                               
while  on slide  24.   Base Student  Allocation, or  BSA, is  the                                                               
amount allocated  to each student  before adjustments  to average                                                               
daily membership (ADM)   She explained that ADM  is an enrollment                                                               
average counted  through 20 days  in October  of each year.   She                                                               
further   explained   that   ADM   adjustment   factors   include                                                               
multipliers  for  school  size,  district  cost,  special  needs,                                                               
career   and   technical    education,   intensive   needs,   and                                                               
correspondence  school students;  the formula  is BSA  times AADM                                                               
equals basic need.  Basic need  is paid in part by required local                                                               
contributions  [for an  organized  borough  or municipality]  and                                                               
deductible  federal impact  aid, while  the rest  is paid  by the                                                               
state.   She referred to the  Citizen's Guide to K-12  Funding in                                                             
Alaska,  which  states  that "63%  of  school  district  budgeted                                                             
revenue is  from the State."   She  said 63 percent  is unusually                                                               
high compared to  the rest of the country, where  it is typically                                                               
around 47 percent contributed by the state.                                                                                     
                                                                                                                                
7:27:27 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO moved to slide 25.   She stated that the BSA isn't                                                               
the whole picture of education  funding.  From the aforementioned                                                               
guide, she  read, "Even with no  change in the BSA  [since Fiscal                                                               
Year  (FY) 08],  changes  in the  adjustment  factors would  have                                                               
increased  K 12  funding  by  34 percent."    She explained  that                                                               
inflation  since 2008  was 39  percent,  and the  BSA rose  10.22                                                               
percent since  2008; thus, increases  in adjustment  factors plus                                                               
increases in  BSA would meet  or exceed inflation.   She outlined                                                               
what is  funded on top of  the formula: one-time grants  from the                                                               
legislature,  federal  grants,  pupil transportation  funds  from                                                               
state, voluntary local contributions  from district [19 districts                                                               
do   not    contribute   any   required   or    voluntary   local                                                               
contributions],   state  contributions   to  the   Alaska  Public                                                               
Employees'  Retirement  System  (PERS) and  Teachers'  Retirement                                                               
System  (TRS),  school  debt   reimbursement,  and  the  Regional                                                               
Education Attendance Area (REAA) Fund                                                                                           
                                                                                                                                
7:29:07 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO moved  to  slide 26  to  address Alaska's  school                                                               
choice options; she  said they are not treated  equally under the                                                               
current  funding  formula.    She  relayed  that  students  in  a                                                               
correspondence  school  allotment  program   are  counted  as  90                                                               
percent  of  the  BSA  for  the  district  under  the  foundation                                                               
formula, and while such students  are 16.5 percent of all Alaskan                                                               
students, the schools account for  less than 5.3 percent of total                                                               
funding.   She explained that  the correspondence  school student                                                               
total is subtracted  from ADM at the beginning  and multiplied by                                                               
0.9.  She said that families  get about a $2,500 allotment, which                                                               
varies by  school, but still  less than  half of the  $5,960 BSA.                                                               
She  pointed out  that  correspondence  students with  identified                                                               
special  needs  aren't  given  additional   funding.    She  said                                                               
Alaska's  charter schools  are given  an amount  proportionate to                                                               
enrollment, but  up to 4 percent  of those costs are  retained by                                                               
the school  district for administration.   She said  that charter                                                               
capital  and  facilities  aren't  funded fairly,  but  said  that                                                               
charter  schools do  have right  of first  refusal in  purchasing                                                               
retired  school district  buildings that  are deemed  safe.   She                                                               
explained   that  charter   school  construction,   leasing,  and                                                               
maintenance grant programs are not currently being funded.                                                                      
                                                                                                                                
7:31:28 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STORY  pointed to  slide  23  and asked  for  the                                                               
definition    Ms.   Montalbano    is   using    for   the    word                                                               
"administration."   She said DEED  reported that  school district                                                               
administration is at 2 percent in Alaska.                                                                                       
                                                                                                                                
MS. MONTALBANO  explained that  the data  being used  is national                                                               
statistics.                                                                                                                     
                                                                                                                                
She said  the data is  hyperlinked on  the slide, and  within the                                                               
links  are  the   definitions  of  people  who   are  counted  as                                                               
officials, administrators, or administrative support staff.                                                                     
                                                                                                                                
7:32:47 PM                                                                                                                    
                                                                                                                                
CHAIR CARPENTER asked Representative  Story where the information                                                               
is that states  that administration is 2 percent of  the costs in                                                               
Alaska.                                                                                                                         
                                                                                                                                
REPRESENTATIVE STORY answered that it  was presented to the House                                                               
Education  Standing  Committee.    She said  she  is  willing  to                                                               
provide the materials to the committee.                                                                                         
                                                                                                                                
7:33:28 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE asked  about a quote on  slide 25, "Even                                                               
with  no  change  in  the  BSA,  since  FY  08,  changes  in  the                                                               
adjustment factors  would have  increased K  12 funding  by 34%."                                                               
He said he has read the  Citizen's Guide to K12 Funding in Alaska                                                             
and does  not recall this  statement.   He asked where  the quote                                                               
originated.                                                                                                                     
                                                                                                                                
MS.  MONTALBANO  answered that  this  came  from the  legislative                                                               
finance 2023 version and is at the bottom of page 6.                                                                            
                                                                                                                                
7:34:36 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO,  in  response  to a  query  from  Representative                                                               
Himschoot about  Alaska not  having counties  and what  the total                                                               
state  spending is  in  schools in  other  states, answered  that                                                               
Alaska is  unique, especially with  19 school districts  that are                                                               
not  in an  organized borough  or  municipality and  do not  have                                                               
local contribution.                                                                                                             
                                                                                                                                
7:35:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRAX  referred  to  slide  25  and  provided  his                                                               
understanding  that  it would  have  taken  a specific  statutory                                                               
change to  adjust the formula.   The special needs factor,  as an                                                               
example, increases the BSA by 20  percent per district.  HFY said                                                               
he does not recall any changes since FY 08.                                                                                     
                                                                                                                                
7:36:43 PM                                                                                                                    
                                                                                                                                
MR GRIFFIN answered that the intensive  needs factor in FY 08 was                                                               
5, but is now 13.                                                                                                               
                                                                                                                                
REPRESENTATIVE  PRAX commented  that intensive  needs go  by "per                                                               
student,"  while special  needs  and  career technical  education                                                               
applies  to the  whole school.    He asked  for more  information                                                               
regarding that side of the formula.                                                                                             
                                                                                                                                
7:37:24 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  explained that said  that more  information about                                                               
intensive needs funding  and changes to ADM will be  later in the                                                               
presentation.                                                                                                                   
                                                                                                                                
7:37:45 PM                                                                                                                    
                                                                                                                                
MS  MONTALBANO, in  response to  a  question from  Representative                                                               
McCabe regarding whether  unorganized boroughs receive additional                                                               
funding  from  the  federal   government  compared  to  organized                                                               
boroughs, said she is unsure whether  there is a net funding gain                                                               
in rural  districts.  She  said that  the rural schools  get more                                                               
federal impact aid to offset  the absence of property tax revenue                                                               
on federal lands.                                                                                                               
                                                                                                                                
REPRESENTATIVE MCCABE  relayed his  advocacy attempt  to organize                                                               
the unorganized boroughs;  he said the argument  against has been                                                               
that  it will  cost  the state  more money  if  the boroughs  are                                                               
organized because  the impact aid will  be lost.  He  stated that                                                               
the county versus borough argument does not make sense.                                                                         
                                                                                                                                
7:40:04 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY  shared that the  state gets $77  million in                                                               
impact  aid.     Regarding  90  percent   correspondence  student                                                               
allotment, she  said that is  because they have access  to brick-                                                               
and-mortar  school  activities,  classes, and  special  education                                                               
services.  She  shared that in Juneau, the  local school district                                                               
is required to service special education and share services.                                                                    
                                                                                                                                
7:40:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE  pointed to  slide 25  and spoke  to the                                                               
adjustment  factors since  2008,  he asked  if  the one  adjusted                                                               
factor was intensive needs.                                                                                                     
                                                                                                                                
MS. MONTALBANO  explained that  there was  a gradual  increase in                                                               
the intensive needs  factor, going to a multiple of  5 in 2008 to                                                               
a multiple of 13 several years  later.  She said the other change                                                               
was that there was reinstatement  of the hold harmless provision,                                                               
which  insulates  school  districts from  changes  in  membership                                                               
after  adjusting   for  school  size,  which   previously  had  a                                                               
threshold of 10 percent enrollment loss in order to receive it.                                                                 
                                                                                                                                
7:42:40 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  returned to  the presentation on  slide 27.   She                                                               
explained that  Alaska's charter school  laws are the  third most                                                               
restrictive    nationwide    due    to    inequitable    funding,                                                               
administrative costs,  as well  as facilities  and transportation                                                               
funding.   She explained that Alaska  lacks multiple authorizers,                                                               
making  the local  school district  board  the only  place for  a                                                               
charter  school  to  get authorized;  whereas  other  states  use                                                               
statewide charter authorizing boards instead.                                                                                   
                                                                                                                                
7:43:29 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO  moved  to  slides  28  and  29  to  provide  the                                                               
following  recommendations  to   improve  the  education  funding                                                               
formula: End  incentives to keep inefficient  facilities in large                                                               
communities;  end   or  increase  threshold  for   hold  harmless                                                               
provision;  incentivize improvement  in outcomes;  stop incentive                                                               
to over identify  intensive needs students; count  ADM across the                                                               
year rather  than a non-representative 20-day  period in October;                                                               
count correspondence  students equally and allow  eligibility for                                                               
certain weights; and give  correspondence students with intensive                                                               
special needs a similar weighting.                                                                                              
                                                                                                                                
7:44:14 PM                                                                                                                    
                                                                                                                                
MR.  GRIFFIN discussed  a recommendation  on  slide 30  regarding                                                               
bond  debt reimbursement.    He  said there  is  a loophole  that                                                               
incentivizes large  districts to  maintain small  and inefficient                                                               
facilities.    For example,  the  Anchorage  School District  has                                                               
built  out capacity  to serve  53,000 students  while projections                                                               
and  calculations  show  that  the district  will  be  at  37,000                                                               
students or less if charter schools  do not grow by 2027, and yet                                                               
the small facilities  are kept open because of the  loophole.  He                                                               
said that bond  debt reimbursement should be  allowed to continue                                                               
but only for rapidly growing districts near capacity.                                                                           
                                                                                                                                
7:45:28 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN moved  to slide 31 to talk  about recommended changes                                                               
to the hold harmless provision.   He said that there were impacts                                                               
observed  when  districts  "doubled-dipped" into  their  COVID-19                                                               
Relief   funding,   in   that,   the   state   is,   "essentially                                                               
incentivizing schools to  not work hard to keep  parents in their                                                               
programs, if  the parents leave,  then we are  essentially paying                                                               
them for not educating a kid."                                                                                                  
                                                                                                                                
7:46:04 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  moved to slide  32 to discuss  the recommendation                                                               
to incentivize  outcomes in formula.   She shared  that Tennessee                                                               
overhauled  its school  funding formula  in 2022,  which provided                                                               
for per  student bonuses based  on: third grade  English language                                                               
arts (ELA)  scores, fourth  grade ELA  growth, eighth  grade math                                                               
scores,  ACT scores  plus improvements  from previous  tests, and                                                               
high  schoolers graduating  with industry  credentials.   Florida                                                               
provides  a 0.16  bonus  to ADM  for districts  and  a direct  to                                                               
teacher bonus  for each  high school student  passing an  AP exam                                                               
with a three or  higher.  She offered a summary  of the slide, in                                                               
that  the state  should  be rewarding  schools  that are  getting                                                               
results, and incentivizing behaviors the state wants.                                                                           
                                                                                                                                
7:47:36 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO moved  to slide 33 to provide  a recommendation on                                                               
intensive needs  weighting.   She compared that:  in FY  08 there                                                               
were  1,877 intensive  needs students,  which after  AADM totaled                                                               
9,385; while in FY 23  there were 3,282 intensive needs students,                                                               
which after  AADM calculated to  41,666.   She said the  13 times                                                               
multiplier is  not representative  of the  actual costs  of these                                                               
students   because   Alaska    lumps   together   students   with                                                               
disabilities, English language learners,  and gifted and talented                                                               
students.                                                                                                                       
                                                                                                                                
7:48:45 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  moved to slide  34 to provide  recommendations on                                                               
correspondence   students.     She  shared   that  correspondence                                                               
students  should   also  receive  funding  weights   for  special                                                               
education and  career and technical  education (CTE)  because the                                                               
students in  the programs either have  special needs or are  in a                                                               
CTE  program.    She  said   that  correspondence  students  with                                                               
intensive needs  should receive weights  to their  allotment like                                                               
intensive  needs students  in traditional  district schools.   In                                                               
example, an  allotment multiplier  of 10  would allow  parents to                                                               
choose  between  providers while  the  state  would realize  cost                                                               
savings  of three  BSAs  per intensive  needs  student using  the                                                               
allotment instead of  traditional public school.   She noted that                                                               
Florida's  Family Empowerment  Scholarship  Program lets  parents                                                               
choose  private sector  options, or  a public  school outside  of                                                               
their zoned area,  that better suits their child's  needs with up                                                               
to 90 percent of state special education funding.                                                                               
                                                                                                                                
7:49:42 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO moved  to slide  35 to  provide a  recommendation                                                               
regarding  the  state's  school size  funding  multiplier.    She                                                               
explained  that schools  that have  under 20  students receive  a                                                               
flat  multiplier of  39.6  for  all the  students.   She  further                                                               
explained that schools with more  than 750 students are penalized                                                               
with a  0.4 multiplier  for every  student above  750.   She said                                                               
that schools  with students above  250 students are  around where                                                               
one could see the "tipping  point," in that the district receives                                                               
less, in  ADM, per additional  student than the actual  number of                                                               
students.   She  elaborated the  intent of  the funding  formula,                                                               
which is  to help rural  districts with  its costs; she  said she                                                               
does not  doubt those  costs, but pointed  out that  large school                                                               
districts have  incentives to exploit  the formula to  keep large                                                               
inefficient facilities open.  She  said the median school size in                                                               
Alaska  is 177  students,  which  have a  weight  of  1.08.   She                                                               
explained  that the  lowest tier  multiplier, enrollment  of 1-20                                                               
students, applies  to 63 of  Alaska's 513 schools, and  there are                                                               
only  26  schools  being  down   weighted  for  having  over  750                                                               
students.  She  suggested that one way to address  this matter is                                                               
to  create a  simple whole  number  weight for  schools below  50                                                               
students   and  eliminate   higher   tiers,  or,   alternatively,                                                               
districts  above  a certain  number  of  students should  not  be                                                               
eligible for the school size multiplier.                                                                                        
                                                                                                                                
7:51:46 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN moved to slide 36 to  talk about the state's ADM.  He                                                               
relayed  that   Alaska  has   a  29   percent  rate   of  chronic                                                               
absenteeism, which  is when a  student misses 15 days  of school,                                                               
which he  said is highest  in the U.S.   He compared  the funding                                                               
formula  to  California, in  that  California  has a  12  percent                                                               
chronic absenteeism rate.   Further, the City of  Los Angeles has                                                               
a 13 percent rate  while the City of Kenai is at  33 percent.  He                                                               
suggested  that there  be  a  change in  the  ADM calculation  to                                                               
create  attendance accountability  and  said there  is data  that                                                               
suggests a  budget based upon  actual daily membership  had lower                                                               
rates of chronic absenteeism.                                                                                                   
                                                                                                                                
7:52:49 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO moved to slides 37  and 38 to discuss the types of                                                               
school  choice.    She explained  that  Alaska  has:  traditional                                                               
neighborhood public  schools; public homeschooling/correspondence                                                               
schools;  independent  homeschooling;   private  schools;  public                                                               
charter  schools; and  technical education/magnet  schools.   She                                                               
noted that 32  states have programs that allow  funding to follow                                                               
the student in 2023.                                                                                                            
                                                                                                                                
7:53:26 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  moved to slide  39 and said that  Alaska students                                                               
benefit  from  choice.   She  said  that, through  public  record                                                               
requests, they collected 2017 to  2019 Performance Evaluation for                                                               
Alaska's  Schools  (PEAKS)  data;   she  said  that  Students  in                                                               
Alaska's charter schools performed  better than students enrolled                                                               
in Alaska's  traditional public schools regardless  of ethnicity,                                                               
gender, or  subgroup.  She  noted that Alaska scored  the highest                                                               
nationally for  value added learning  gains in  Education Freedom                                                               
Index (EFI) Charter School Ecosystem Rankings.                                                                                  
                                                                                                                                
7:54:04 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO  moved to  slide 39 and  said that  states benefit                                                               
academically from school  choice.  She explained  that, using the                                                               
EFI,  there is  a  positive and  significant association  between                                                               
education freedom, measured  by EFI, and outcomes in  the form of                                                               
higher NAEP  achievement and  gains in scores.   She  said Alaska                                                               
ranked  42 on  the 2000  EFI  and dropped  to  49 in  2019.   She                                                               
relayed a quote,  "Both the geography and the  public policies of                                                               
Alaska  leave its  families nearly  void  of educational  options                                                               
beyond their assigned  public school."  She moved to  slide 41 to                                                               
talk about  the meta-analysis of  school choice.  She  noted that                                                               
most of the  studies that are in the  presentation had attributed                                                               
school choice  having a positive  effect on  academic performance                                                               
and parental satisfaction.                                                                                                      
                                                                                                                                
7:55:16 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO  moved to  slide  42  to  talk about  how  states                                                               
fiscally benefit  from school choice.   She shared  that EdChoice                                                               
estimates  per student  savings  of $3,300  to  $7,500, or  $12.4                                                               
billion to $28.3  billion in savings generated through  FY 18 for                                                               
the State  of Arizona  and local taxpayers  from the  state's ESA                                                               
program.   Further,  she said  for each  dollar spent  on private                                                               
choice programs,  on average,  EdChoice estimated  fiscal savings                                                               
of $1.80 to $2.85.                                                                                                              
                                                                                                                                
7:55:47 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN  moved to slide 43  and 44 to speak  on Alaska's most                                                               
popular choice  program, which is Alaska's  Correspondence School                                                               
Allotment (CSAP) with 20,927 Students  in FY 23 that received 90%                                                               
of the BSA.                                                                                                                     
                                                                                                                                
7:56:03 PM                                                                                                                    
                                                                                                                                
MR.   GRIFFIN  showed   slide  45,   which  showed   the  overall                                                               
expenditures of  CSAP.   He explained that  statewide FY  23 K-12                                                               
expenditures   were  $2.103   billion,  accounting   for  126,553                                                               
children.  He pointed out  that non-correspondence students drive                                                               
per-student funds  available, providing  $18,852 per  student; he                                                               
said there are 105,626 students in  this category.  He said that,                                                               
adjusted  for 2022  dollars, districts  received  $4,000 more  in                                                               
funding per non-correspondence student in FY 23 than in FY 05.                                                                  
                                                                                                                                
7:56:45 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN  presented hypothetical  scenarios on  slide 46.   He                                                               
said, while on  slide 47, the scenarios cover; if  the state were                                                               
to  restrict correspondence  allotment, encourage  correspondence                                                               
allotment,  or add  an intensive  needs option.   He  returned to                                                               
slide 45 and posed a hypothetical:  if the state were to restrict                                                               
correspondence schools entirely and  put all 20,927 CSAP children                                                               
back to  brick-and-mortar schools,  the move would  generate $162                                                               
million in  additional funding  formula costs  and a  decrease of                                                               
$257/year  in overall  per student  funding.   On slide  48 is  a                                                               
scenario where  the state encouraged correspondence  schools; the                                                               
state would  need to change  CSAP allotment to 1.215  BSA instead                                                               
of 0.9, which would raise the  CSAP allotment to $7,241.  If CSAP                                                               
enrollment  increases to  pandemic  levels of  21.8 percent,  the                                                               
state would save  $87.6 million in the funding  formula, and with                                                               
the  $52.6 million  increase in  correspondence funding,  the net                                                               
savings would be $35 million,  and non-correspondence per student                                                               
funding would go up $387.                                                                                                       
                                                                                                                                
7:58:07 PM                                                                                                                    
                                                                                                                                
MR. GRIFFIN  moved to  slide 49  to discuss  the state  adding an                                                               
intensive  needs option.   Modeled  after the  family empowerment                                                               
scholarship program  from Florida, if  the state were  to provide                                                               
10x  BSA for  intensive  needs for  CSAP, and  if  20 percent  of                                                               
intensive needs families  choose a CSAP provider,  there would be                                                               
$13.7 million in annual savings to  the funding formula.  He said                                                               
it would also  incentivize districts to be  attentive to students                                                               
and parents.                                                                                                                    
                                                                                                                                
7:58:37 PM                                                                                                                    
                                                                                                                                
MR.  GRIFFIN concluded  on  slide 50  to  outline takeaways  from                                                               
today's  presentation: Incentives  matter;  outcomes  are on  the                                                               
rise but far  from acceptable; improvement is  within reach; more                                                               
money doesn't equate  to better results if it's  not focused; the                                                               
state  poorly allocates  resources, spending  money on  buildings                                                               
and bureaucracies;  funding formula  flaws divert  resources from                                                               
teachers  and students;  and Alaska's  charter  schools could  be                                                               
even  better  with fewer  restrictions.    He said  that  healthy                                                               
competition improves outcomes and fiscal efficiency.                                                                            
                                                                                                                                
7:59:30 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE  referred to  slide 21 and  recalled the                                                               
talk around class  sizes.  He said the committee  has discussed a                                                               
great  deal about  Florida at  today's meeting.   He  offered his                                                               
understanding  that   in  the  early  2000s,   Florida  passed  a                                                               
constitutional amendment  on school  class sizes, and  funded the                                                               
mandated size with over $50 billion in  the span of 20 years.  He                                                               
asked   why   class  sizes   were   not   discussed  at   today's                                                               
presentation, and if Mr. Griffin could speak on the topic.                                                                      
                                                                                                                                
MR. GRIFFIN  answered that APF is  open to returning to  a future                                                               
meeting  to discuss  class sizes.   He  pointed out  that despite                                                               
Florida's spending increase  in order to reduce  class sizes, the                                                               
state  was able  to keep  its budget  in a  "pretty tight  range"                                                               
compared to Alaska.                                                                                                             
                                                                                                                                
8:00:48 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  HIMSCHOOT  commented  about  Finland's  education                                                               
system.   She shared that  in the  1980s the country  had doubled                                                               
down  in public  education, and  while  it does  not have  school                                                               
choice, it is  a top education outcome performer.   She asked Mr.                                                               
Griffin about Finland's example.                                                                                                
                                                                                                                                
MR. GRIFFIN  said that in  a previous presentation that  APF gave                                                               
in March,  it was pointed out  that though Finland does  not have                                                               
school choice,  many of the  other top ten highest  Programme for                                                               
International Student  Assessment [PISA] test  scoring performing                                                               
districts are school choice countries in Western Europe.                                                                        
                                                                                                                                
REPRESENTATIVE HIMSCHOOT  asked Mr.  Griffin to talk  about APF's                                                               
background.                                                                                                                     
                                                                                                                                
MR. GRIFFIN  explained that APF  is a non-partisan think  tank as                                                               
part of  the State Policy  Network (SPN), which include  about 70                                                               
other  think tanks  across  the U.S.    He shared  that  he is  a                                                               
volunteer and is not familiar with the funding part of APF.                                                                     
                                                                                                                                
8:02:28 PM                                                                                                                    
                                                                                                                                
MS. MONTALBANO commented that APF  does not accept any sources of                                                               
government  funding.   She said  that  APF is  a non-profit  non-                                                               
partisan think tank based in Anchorage.                                                                                         
                                                                                                                                
8:02:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HIMSCHOOT  asked Mr.  Griffin what he  is offering                                                               
from  today's  presentation  that  solves a  problem  that  isn't                                                               
solved by buttressing Alaska's public schools.                                                                                  
                                                                                                                                
MR.  GRFFIN  answered that  he  is  pointing to  statistics  that                                                               
Alaska does  poorly on things that  the state wants to  do better                                                               
on.   Further, he sought to  point to examples of  places that do                                                               
educationally well  with fewer resources.   He referred  to slide                                                               
50 that incentives matter, and  that healthy competition improves                                                               
outcomes and fiscal  efficiency is a strong  correlation that can                                                               
be drawn from today's presentation.                                                                                             
                                                                                                                                
8:03:54 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE ALLARD commented  that, as a person  that has kids                                                               
enrolled   in  a   school  district,   she  appreciates   today's                                                               
presentation.  She said she learned  that though the state may be                                                               
funding  a  lot toward  education,  Mississippi  and Florida  are                                                               
shown to be successful, especially  with both states implementing                                                               
their  own versions  of the  Reads Act.   She  said that  she has                                                               
figured  out  that  economic  growth  is  directly  tied  to  the                                                               
education system.                                                                                                               
                                                                                                                                
8:05:09 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  GRAY referred  to slides  22, regarding  spending                                                               
outpacing inflation, and 12 on  K-12 spending increases.  He said                                                               
he likes slide  12 because it shows that, from  2004 to 2022, the                                                               
state's increase was less than  the national average.  In looking                                                               
at the black  line on slide 22,  it was 212 in 2003.   He pointed                                                               
out that the average score for  the nation was 217, and so Alaska                                                               
was less than the national average  then.  He offered his overall                                                               
message of the  presentation: spend more money  on education, but                                                               
education is not doing well in  Alaska and other states have done                                                               
well with  less; and  so instead of  spending more  money, Alaska                                                               
should do  what Florida did, so  the state doesn't need  to spend                                                               
more  money.   He  said while  Alaska has  not  met the  national                                                               
average in  NAEP scores,  like when outcomes  are going  badly in                                                               
other industries, the  money is not cut.  He  gave an example, if                                                               
crime goes up in a city,  the state wouldn't tell the police that                                                               
it will  give them less money  until crime goes down.   He shared                                                               
that that  is what the message  is in the presentation.   He said                                                               
that in the face of lowering  test scores, the state should throw                                                               
something at  the issue to  improve education outcomes.   He said                                                               
the  presentation  offers the  solution  of  just trying  charter                                                               
school or  options from  other states.   He stressed  that hiring                                                               
and  attracting teachers  in Alaska,  as well  as getting  better                                                               
outcomes, will  require money.   He  asked Mr.  Griffin if  he is                                                               
saying that Alaska does not need  more money to raise the average                                                               
test score.                                                                                                                     
                                                                                                                                
MR.  GRIFFIN  stated  that  Alaska   has  poorly  allocated  K-12                                                               
resources, and  that by retargeting  the money  and incentivizing                                                               
better outcomes, it  is possible [to improve  outcomes] without a                                                               
lot of increase in spending.                                                                                                    
                                                                                                                                
8:08:25 PM                                                                                                                    
                                                                                                                                
CHAIR  CARPENTER  pointed  out  on  slide 50  that  none  of  the                                                               
takeaways call for a decrease in funding.                                                                                       
                                                                                                                                
MR.  GRIFFIN responded  that  he has  not  advocated or  endorsed                                                               
reducing spending in K-12 education.                                                                                            
                                                                                                                                
8:08:46 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GRAY  referred to  Ms. Montalbano's  comments that                                                               
APF is  a non-partisan entity  and said that  he has the  list of                                                               
associated  networks.     He  named:  The   Goldwater  Institute,                                                               
Americans  for   Prosperity,  the  American   Conservative  Union                                                               
Foundation,  Americans for  Tax Reform,  the Cato  Institute, and                                                               
the Charles-Koch Institute.   He said the entities  do not appear                                                               
non-partisan to  him.   With the presentation  stated to  be non-                                                               
partisan,  and  him  believing  it  is  partisan,  he  asked  Ms.                                                               
Montalbano whether it is; and if it isn't, to explain why.                                                                      
                                                                                                                                
8:09:41 PM                                                                                                                    
                                                                                                                                
CHAIR CARPENTER commented that there  are plenty of organizations                                                               
that  fall  into the  Internal  Revenue  Service's definition  of                                                               
"partisan."  He  said each member is going to  have an opinion on                                                               
what is partisan  or not.  Further, each member  is going to have                                                               
an  opinion   whether  one's   activities  fall   into  another's                                                               
political  beliefs or  not and  may draw  conclusions on  what is                                                               
partisan; but APF fits the  IRS's definition of non-partisan.  He                                                               
said it is not fair to criticize  the APF, in that, when they say                                                               
they are non-partisan,  they are meeting the  requirements of the                                                               
IRS to maintain  status as a non-partisan organization.   He said                                                               
that APF is  not a political party and is  neither advocating for                                                               
a  particular  party  nor  advocating  nor  advocating  for  a  a                                                               
solution for which  a political party is advocating.   He said he                                                               
fails  to see  what  APF's  partisanship status  has  to do  with                                                               
today's presentation.                                                                                                           
                                                                                                                                
REPRESENTATIVE GRAY  thanked Chair  Carpenter for  the definition                                                               
of non-partisan.  He apologized for the comment.                                                                                
                                                                                                                                
8:10:54 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCABE  spoke  on  slide  12  and  said  that  an                                                               
increase  in spending  is not  total spending,  it is  rather how                                                               
much the  state increases.   He  said he is  not sure  that class                                                               
size  is  relevant   to  the  discussion  but   would  welcome  a                                                               
discussion  on the  topic regarding  outcomes to  the class.   He                                                               
spoke  about  a fraction  of  the  BSA  actually being  spent  on                                                               
educating students.   He  opined that  a better  way needs  to be                                                               
found in how  to increase student outcomes  by increasing teacher                                                               
pay.   Further, he called  for a return  to a repealed  2016 law,                                                               
which mandated  that 70 percent  of school funding go  to funding                                                               
teachers.                                                                                                                       
                                                                                                                                
8:13:03 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY  expressed her concern on  the understanding                                                               
around intensive  needs funding,  and that  DEED should  speak on                                                               
that.                                                                                                                           
                                                                                                                                
CHAIR CARPENTER concurred with  Representative Story's comment in                                                               
that more information would be helpful.                                                                                         
                                                                                                                                
8:14:46 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE GROH  offered his understanding  of Representative                                                               
McCabe's comments,  in that it  sounds like he wants  to increase                                                               
teacher compensation.  He said  he himself could introduce him to                                                               
people  that  could  talk  to  him  about  defined  benefits  for                                                               
teachers.                                                                                                                       
                                                                                                                                
8:15:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRAX spoke about  the Fairbanks North Star Borough                                                               
School  district,  increasing  numbers in  correspondence  school                                                               
attendance,,  and the  importance  of having  a discussion  about                                                               
allowing parental choice.                                                                                                       
                                                                                                                                
CHAIR  CARPENTER  said  he  has   had  similar  discussions  with                                                               
administrators and hasn't yet received  an answer that the school                                                               
district  within   his  district  understands  why   parents  are                                                               
choosing to leave.                                                                                                              
                                                                                                                                
8:16:43 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE STORY  shared that the Juneau  School District has                                                               
the  Tlingit  Culture   Language  Literacy  program,  Montessori,                                                               
Charter School,  HomeBRIDGE, and  the neighborhood schools.   She                                                               
said that a  statistic, according to DEED, is that  83 percent of                                                               
students are in  brick-and-mortar schools, and 17  percent are in                                                               
correspondence.                                                                                                                 
                                                                                                                                
8:17:19 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRAX commented  that  another  matter APF  should                                                               
investigate is  the "Molly Hootch settlement"  [Tobeluk v. Lind],                                                             
which he said drives Alaska school system spending.                                                                             
                                                                                                                                
8:17:45 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MCCABE  relayed that  he has had  discussions with                                                               
school  administrators, who  said that  74 percent  of the  money                                                               
spent goes to  instruction.  He said that  the current definition                                                               
of "instruction"  includes all  the buildings  in Kodiak  and Mt.                                                               
Edgecumbe  as  well as  the  administrative  costs.   He  sent  a                                                               
request to have  such costs taken out to find  out how much money                                                               
is actually  going to schools  and said he  has yet to  receive a                                                               
reply.  He also brought up the subject of false report cards.                                                                   
                                                                                                                                
8:19:04 PM                                                                                                                    
                                                                                                                                
MR.  GRIFFIN, regarding  17 percent  of  parents enrolling  their                                                               
children in  correspondence programs,  said the easiest  thing to                                                               
do as a parent is to stick the  kid out at a bus stop and six and                                                               
a half hours later come back and  pick them up.  He said the fact                                                               
Alaska has a  large percentage of parents "doing  the hard thing"                                                               
sends a strong message.                                                                                                         
                                                                                                                                
8:19:31 PM                                                                                                                    
                                                                                                                                
MS.  MONTALBANO  referred  to  a study  by  EdChoice,  which  she                                                               
summarized states  that "what parents  desire is not  always what                                                               
they  are  able to  do,"  in  that  when  there are  more  choice                                                               
options, parents  are able to  utilize those options  better, and                                                               
their  behavior aligns  with  their preferences.    She said  the                                                               
biggest  takeaway from  today's presentation  is that  incentives                                                               
matter.   She  said the  presentation has  shown examples  of how                                                               
other states have changed their  state funding formulas to reward                                                               
what the  state wants to see.   She clarified that  that does not                                                               
mean the state needs to spend  less overall, but rather to target                                                               
funding to  improve outcomes.  She  stated that it is  a travesty                                                               
that many of Alaska's students are not at a basic level in                                                                      
reading proficiency, and that APF wants 100 percent of students                                                                 
to reach 100 percent of their potential.                                                                                        
                                                                                                                                
8:21:02 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the House                                                                 
Special Committee on Ways and Means meeting was adjourned at                                                                    
8:21 p.m.                                                                                                                       

Document Name Date/Time Subjects
Joint House Ways and Means, Education Presentation.pdf HW&M 3/15/2023 6:00:00 PM
Education Funding
Follow-Up From Alaska Policy Forum 3-15-23 Presentation.pdf HW&M 3/15/2023 6:00:00 PM