Legislature(2025 - 2026)DAVIS 106
02/19/2025 08:00 AM Senate EDUCATION
Note: the audio ![]()
and video ![]()
recordings are distinct records and are obtained from different sources. As such there may be key differences between the two. The audio recordings are captured by our records offices as the official record of the meeting and will have more accurate timestamps. Use the icons to switch between them.
| Audio | Topic |
|---|---|
| Start | |
| Presentation(s): Alaska Municipal League | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
ALASKA STATE LEGISLATURE
JOINT MEETING
SENATE EDUCATION STANDING COMMITTEE
HOUSE EDUCATION STANDING COMMITTEE
February 19, 2025
8:02 a.m.
MEMBERS PRESENT
SENATE EDUCATION STANDING COMMITTEE
Senator Löki Tobin, Chair
Senator Jesse Bjorkman
Senator Jesse Kiehl
Senator Mike Cronk
HOUSE EDUCATION STANDING COMMITTEE
Representative Rebecca Himschoot, Co-Chair
Representative Andi Story, Co-Chair
Representative Ted Eischeid
Representative Jubilee Underwood
Representative Rebecca Schwanke
Representative Bill Elam
MEMBERS ABSENT
SENATE EDUCATION STANDING COMMITTEE
Senator Gary Stevens, Vice Chair
HOUSE EDUCATION STANDING COMMITTEE
Representative Maxine Dibert
COMMITTEE CALENDAR
PRESENTATION(S): ALASKA MUNICIPAL LEAGUE
- HEARD
PREVIOUS COMMITTEE ACTION
No previous action to record
WITNESS REGISTER
NILS ANDREASSEN, Executive Director
Alaska Municipal League
Juneau, Alaska
POSITION STATEMENT: Offered the presentation Alaska Municipal
League Local Governments and Alaska's System of Public
Education.
SCOTT ARNDT, Mayor
Kodiak Island Borough
Kodiak, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
MARK JENSEN, Mayor
Petersburg Borough
Petersburg, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education
FELIX RIVERA, Assembly Member
Municipality of Anchorage
Anchorage, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
BETH WELDON, Mayor
City & Borough of Juneau
Juneau, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
CHRIS NOEL, Mayor
Denali Borough
Healy, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education
ALVIN OSTERBACK, Mayor
Aleutians East Borough
Sand Point, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
CINDY BREMMER, Mayor
City & Borough of Yakutat
Yakutat, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
GLENDA LEDFORD, Mayor
City of Wasilla
Wasilla, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
MARK SPRINGER, Council Member
City of Bethel
Bethel, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
SAM CHANAR, Mayor
City of Toksook Bay
Toksook Bay, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
MINDY O'NEALL, Assembly Member
Fairbanks North Star Borough
Fairbanks, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
KATIE GRIEBE, Mayor
City of Anderson
Anderson, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
KASEY SMITH, Mayor
City of Craig
Craig, Alaska
POSITION STATEMENT: Testified on Local Government and Alaska's
System of Public Education.
ACTION NARRATIVE
8:02:06 AM
CO-CHAIR HIMSCHOOT called the joint meeting of the House
Education Standing Committee and Senate Education Standing
Committee to order at 8:02 a.m. Present at the call to order
were Representatives Eischeid, Underwood, Schwanke, Elam, Co-
Chair Story, and Co-Chair Himschoot.
CO-CHAIR HIMSCHOOT handed the gavel to Chair Tobin at 8:02:27
a.m.
CHAIR TOBIN stated that present at the call to order were
Senators Bjorkman, Kiehl, Cronk, and Chair Tobin.
^PRESENTATION(S): ALASKA MUNICIPAL LEAGUE
PRESENTATION(S): ALASKA MUNICIPAL LEAGUE
8:03:21 AM
CHAIR TOBIN announced the presentation Alaska Municipal League
Local Governments and Alaska's System of Public Education.
8:03:54 AM
NILS ANDREASSEN, Executive Director, Alaska Municipal League,
Juneau, Alaska, offered the presentation Alaska Municipal League
Local Governments and Alaska's System of Public Education. He
stated that the Alaska Municipal League (AML) is a membership-
based organization representing 165 cities and boroughs, each
with distinct responsibilities in fulfilling obligations to the
state, including delivering public education. He emphasized the
importance of the collaborative partnership between the state
and local governments in maintaining the public education
system.
8:05:19 AM
MR. ANDREASSEN moved to slide 2 and discussed the contributions
local governments are making and funds from REAA:
[Original punctuation provided.]
Public Education Alaskans' Taxes
Local governments fund more than 25 percent of State
obligation to public education
• $530 million in local tax contributions residents,
businesses, tourists
• Five local governments that contribute more than the
State
• Local contributions of
• Under 5 percent - 3 MSD, 19 REAAs (14 less than 1
percent)
• 11 MSDs between 5 percent and 20 percent
• 10 MSDs between 20 percent and 35 percent
• 6 MSDs between 35 percent and 45 percent
• 4 MSDs from 50 percent to 63 percent
• REAAs $80M in federal, compared to MSD of $50M
• FY23 - 28 of 52 districts budgeted for higher ADM
expense than revenue
State Property Tax
• 2.65 mills on assessed value
• Collected on behalf of State by
• Boroughs
• Home rule and First Class cities in the Unorganized
Borough
• 90 percent of Alaskans
MR. ANDREASSEN clarified that while it's often said local
governments fund over 25 percent of the state's obligation to
education, it's Alaskansthrough local taxes paid by residents,
businesses, and touristswho fund those contributions. He noted
that five local governments contribute more to their school
districts than the state does, and many others contribute
significantly. He cited Department of Education financials
showing that four municipal school districts receive over 50
percent of their funding from local sources, and six districts
receive between 35 and 45 percent.
MR. ANDREASSEN stated that Regional Educational Attendance Areas
(REAAs) receive approximately $80 million in federal funds,
while municipal school districts receive about $50 million. He
noted that in Fiscal Year 2023, 28 of 52 school districts
budgeted for higher expenses than revenues, which he viewed as a
clear signal to the Legislature and local governments that the
funding gap needs addressing.
MR. ANDREASSEN explained that the primary local funding source
for public education in Alaska is the state property tax, set at
2.65 mills on assessed value. This tax is collected by boroughs,
as one of their three mandated obligations, and by home rule and
first-class cities within the unorganized borough. He emphasized
that this state property tax applies to 90 percent of Alaskans.
8:08:03 AM
MR. ANDREASSEN moved to slide 3, Public Education - Local
Contributions, which contains a graph showing the change in
state and local contribution for municipal school districts from
FY 17 to FY 24. He stated that Alaska Municipal League (AML)
members adopted a resolution calling for an increase and
inflation-proofing of the Base Student Allocation (BSA),
reflecting their responsibilities and the central role schools
play in many communities. He noted that from FY 2017 to FY 24,
local contributions to education increased by approximately 13
to 14 percent, while the state's contribution declined due to
flat funding and inflation.
8:08:56 AM
MR. ANDREASSEN explained that local governments have been
filling the funding gap left by the state, a burden not shared
equally across the country. In 40 states, school districts have
independent taxing authority, which Alaska districts do not. He
emphasized that Alaska's school districts rely entirely on the
state to meet its constitutional obligation to maintain a public
education system, leaving both districts and local governments
with limited options to cover shortfalls.
MR. ANDREASSEN referenced a chart displaying local education
contributions as a portion of each local government's budget,
noting that in some cases, such as the Kodiak Island Borough,
education accounts for 60 percent of the total budget. He
emphasized that such a large share limits the ability of local
governments to address other responsibilities, and this varies
by community. He pointed out that if shown in real dollars, the
contributions would represent an even larger percentage of local
budgets. He stressed that both total funding and the proportion
of local budgets allocated to education are important measures.
He concluded by stating that local budgets and tax levels are
determined based on the needs expressed by school districts and
communities.
8:10:36 AM
MR. ANDREASSEN moved to slide 4, Public Education Financials,
and said the data was from FY 23 audited financials from the
Department of Education.
[Original punctuation provided.]
FY23 Audited Financials - DEED
• Every local government contributed beyond the RLC in
FY24 = $240 million
• 18 of 33 provided more than 50 percent additional
• Four have RLC/FVD amounts greater than 45 percent
Basic Need
• State takes 75 percent of Impact Aid to reduce its own
obligation to meet Basic Need; 100 percent in REAAs
• Impact Aid meant to make up for lack of tax base, and
correct inequity. Used for Adequacy instead.
• Non-instructional functions = < 25 percent of costs
• 58 percent is operations and maintenance
• The Alaska School District Cost Study hasn't been updated
since 2005
MR. ANDREASSEN stated that in Fiscal Year 2023, every local
government contributed more than the required local contribution
to public education, with 18 of 33 providing over 50 percent
above the minimum (slide 4, bottom, right graph). He noted that
four districts had required contributions or full value
determinations exceeding 45 percent of their basic need. Some
communities are contributing well beyond what the state
contributes.
MR. ANDREASSEN emphasized that the state withholds 75 percent of
federal impact aid to offset its own obligation, and in REAAs,
the state withholds 100 percent. He explained that impact aid is
designed to address inequity caused by a lack of local tax base
not to define adequacy, which the state controls. He argued that
using impact aid to reduce the state's obligation disregards
differences between communities and advocated for impact aid to
flow directly to affected school districts.
MR. ANDREASSEN discussed the graph at the bottom left of slide
4, and added that in FY 2023, less than 25 percent of education
costs were for non-instructional functions, mostly operations
and maintenance (O&M), and that O&M costs for municipal school
districts have increased since 2014. Although the figures are
not inflation-adjusted, he stated it is clear that communities
face rising costs that require more dedicated funding.
MR. ANDREASSEN concluded that local contributions account for
nearly 50 percent of all revenue for municipal school districts.
He clarified that while the 25 percent figure reflects all
school districts, when looking specifically at municipal school
districts, the local contribution is just under half of their
available revenuedemonstrating significant variation in how
districts are funded. It also demonstrates the difference that
local contribution can make.
8:13:56 AM
MR. ANDREASSEN MR. ANDREASSEN stated that AML adopted a
resolution affirming that "basic need" is the state's definition
of adequacy and that the state should fully fund that amount. He
explained that local governments are responsible for addressing
inequities within their communities, where local contributions
can have the greatest impact. He reiterated that the state could
improve how it defines adequacy and pointed to the district cost
study, which has not been updated since 2005. He suggested that
this study should be conducted more regularly to better evaluate
what constitutes an adequate level of funding.
8:14:27 AM
CO-CHAIR HIMSHOOT referred to slide 4 and asked whether the
chart on O&M expenses included fixed costs such as energy and
insurance.
8:14:46 AM
MR. ANDREASSEN stated his belief that the chart did include
fixed costs such as energy and insurance; however, he noted that
the data came from the Department of Education and Early
Development (DEED), so the answer depends on DEED's chart of
accounts and what was included.
8:15:04 AM
CHAIR TOBIN asked what municipalities and boroughs are
sacrificing when they fund education beyond the cap or their
minimum required contribution.
MR. ANDREASSEN stated that local government funding typically
falls into four main service categories: education (though not
all local governments have education responsibilities), public
safety, public works, and quality of life services such as parks
and recreation, pools, libraries, and museums. He explained that
if local governments are not increasing taxes, then funding
beyond the minimum contribution for education must come at the
expense of these other areas. He emphasized that this can result
in fewer roads being plowed, fewer police officers on the
streets, or the inability to expand public safety efforts or
assume additional responsibilities. He noted that local
governments operate under limited tax bases, constrained
budgets, and local tax caps, so any increased funding for
education reduces the capacity to maintain or expand other
essential services.
8:16:28 AM
REPRESENTATIVE SCHWANKE asked what the increase in the state's
contribution to education had been prior to FY 2017
MR. ANDREASSEN stated that the committee had likely seen a
"pencil chart" at some point outlining historical state
education funding. He noted he did not have that information
available, as the current discussion focused specifically on the
local government perspective. He offered to provide the
committee with a longer historical overview of state funding at
a later time.
8:17:12 AM
REPRESENTATIVE SCHWANKE stated that historically, state
education funding increases when the state has additional
revenues, noting that from 2004 to FY 2017, the state's total
contribution to education rose by 80 percent. She referenced a
previous question posed during a House Education Committee
meeting, asking that if local governments must reduce services
in other areas when education contributions increase, the same
consideration should apply at the state level. She asked which
"buckets" or areas of the state budget should be reduced or
adjusted to accommodate increased education funding.
SENATOR TOBIN stated that the dynamics of the state's
contribution to education are determined by decisions made by
the Legislature. She commented that it was not fair to direct
that question to municipal leaders and apologized, unless Mr.
Andreassen wished to respond.
8:18:29 AM
MR. ANDREASSEN acknowledged that he does not know how to perform
the Legislature's job but noted that, when looking at the Alaska
Constitution, one of the few explicitly stated responsibilities
of the state is the establishment and maintenance of a system of
public education. He emphasized that the Constitution does not
qualify this obligation based on available revenue. He expressed
concern that the state only addresses school district needs when
revenue allows, which he believes is inconsistent with the
Constitution. He added that, from a local government
perspective, communities assess school district needs annually
and respond either by increasing revenues or cutting other
services.
8:19:31 AM
SENATOR KIEHL stated that from 1994 to 2017, the Consumer Price
Index (CPI), Alaska's measure of inflation, increased by 97
percent rather than 80 percent. He noted that this suggests
Alaska lagged behind inflation even during that timeframe.
8:19:52 AM
MR. ANDREASSEN moved to slide 5, Unfunded Mandates and stated
that this year marks AML's 75th anniversary, and opposing
unfunded mandates has been a core principle of the organization
since before statehood. He emphasized the need to consider
unfunded mandates not only at the local government level but
also within school districts. He referenced a list he created
outlining numerous school district obligations, noting that 27
additional requirements could not be included due to space
limitations. He clarified that many of the mandates are
reasonable, and he was not disputing their value.
[Original punctuation provided.]
Unfunded Mandates
• School Districts are annually required to:
• Report to AMYA students ages 15-19 no longer
enrolled but not graduated or transferred
• Report list of students eligible for Alaska
Performance Scholarship
• Annual audit
• Produce disciplinary report on all incidents
involving restraint or seclusion
• File a planning report to DEED with goals and
measures of success.
• If low performance, must file an improvement plan
having involved maximum public input.
• File a safe schools report and safety action
plan.
• Develop written procedures for identifying
students entitled to surrogate parent.
• Report average daily membership.
• Develop and submit teacher evaluation reports.
• File annual and quarterly transportation reports.
• File qualification statements for all teachers
and administrative employees.
• Administer statewide assessments.
• Offer bilingual-bicultural education.
• Develop and adopt policy that prohibits
harassment and bullying.
• Develop and publish concussion guidelines, parent
information, and have staff knowledgeable.
• Develop and renew a crisis response plan.
• Submit developmental profile for each student
entering kindergarten or first grade.
• Implement employee evaluation system, and conduct
observation twice a year.
• Develop school disciplinary and safety program.
• Develop and provide services to gifted children.
• Appoint teams to determine necessary
accommodations for English learners.
• The list goes on
8:20:48 AM
MR. ANDREASSEN said since the State has authority to direct
funds to districts it can identify the priorities expected from
districts. However, most of the mandates on the list do not come
with funding, which means resources are pulled from instruction
or non-instructional needs and affects working conditions. He
urged consideration of how to relieve districts of some
obligations while maintaining necessary reporting, compliance,
and accountability to the State.
8:21:35 AM
MR. ANDREASSEN moved to slide 6, Legislation Impacting Local
Funding:
[Original punctuation provided.]
Legislation Impacting Local Funding
2020-2024 legislation introduced:
1. Curriculum about opioids for grades 9-12
2. Curriculum to incorporate local traditions and
customs
3. Have an online checkbook
4. Add mental health curriculum
5. Add sexual health to curriculum
6. Add financial literacy to curriculum
7. Teach about the history of Asian Americans and
Pacific Islanders
8. Adopt standards for social-emotional learning
9. Provide opportunities for students to participate
in vocational ed, training, and on the job
experience over 14.
10. Develop a program relating to victims of communism.
11. Post all course textbooks and syllabus online.
12. Establish program on character development.
13. Create a civics curriculum.
14. Arm teachers and/or guards.
MR. ANDREASSEN noted that the list includes legislation
introduced between 2020 and 2024, and stated his belief that
none of the bills included a fiscal note addressing school
district impacts. He quoted Beyoncé, saying, "If you like it,
then you should have put a ring on it," to illustrate the need
for commitment through funding. He described the relationship
between the State and school districts as a partnership, not a
one-sided directive. He emphasized the need for agreement
between school districts and federal, state, local governments
regarding the cost shifting caused by unfunded mandates. He
opined that districts can do more but mandates without funding
create trade-offs.
8:23:04 AM
CO-CHAIR STORY thanked Mr. Andreassen for the list of unfunded
mandates and stated that the committee has frequently been asked
to increase accountability as school investment is considered.
She observed that the existing mandates already reflect a
significant level of accountability within the system. She
invited him to comment on whether additional or alternative
measures might better address the demand for accountability.
8:23:53 AM
MR. ANDREASSEN stated that the current list is only a portion of
a longer one and suggested the broader issue is not just
accountability, but the volume of work involved. He explained
that much of it consists of reports, assessments, and planning
documents that enable the Department of Education to carry out
accountability functions. He likened the situation to giving
children worksheets instead of meaningful research, describing
the current system as a "check-the-box" approach. He suggested
that reducing this workload and focusing on more meaningful
accountability measures could be more effective. He opined that
if schools are required to submit a capital improvement plan,
then the state should have a corresponding expectation to
provide funding to support it.
8:25:16 AM
MR. ANDREASSEN moved to slide 7 School Construction and Major
Maintenance and discussed the following points:
[Original punctuation provided.]
School Construction and Major Maintenance
• 76 percent of schools owned and managed by local
governments
• Provide for major rehabilitation, construction,
and major repair of school buildings
• State has partnered as part of its Constitutional
obligation through grants and bond reimbursement
• FY23 14 districts didn't submit 6-year plans
3 REAAs, 10 MSD
• FY 23 $603 million = $11,374.95 ADM
• Priority List - 13-year average of $52M
construction, and $13M for maintenance
• Of 37 construction projects, 12 districts, five
municipal
• 109 maintenance projects, 32 districts, 19
municipal
• State meeting 15 percent as a percentage of need
annually
• 27 percent of all projects were REAA
• Industry standards suggest an additional 1
percent of replacement value should be programmed
for deferred maintenance. At $9.7 billion, the
annual amount for Alaska would be $289 million.
8:27:49 AM
MR. ANDREASSEN moved to slide 8 and discussed Public Education -
Facilities:
[Original punctuation provided.]
Public Education -Facilities
State Construction and Maintenance Programs
• FY 6-year plan = $1,846,645,049 ($200M+ AVG)
• 19 districts did not submit 6-year plan / 35 percent
• Plans range from 2 to 6 years
• HB2003 report Evaluation of combination of grant
program, GO Bond, and SBDR
• 1/3 of all schools benefiting from major
maintenance
• FY11-24 - Grants from School Construction and Major
Maintenance resulted in an average for school
construction of $52,677,128 (42 percent MSD) and for
major maintenance of $14,017,113 (59 percent MSD).
• 60 percent of school districts have benefited.
• 13 of 24 municipal districts submitted 112
applications for debt reimbursement
• $803 million (0 since 2016)
• Due to the decreasing amount of eligible debt
reimbursement being paid by the state, the
statutory calculation for the REAA fund
capitalization is also declining each year.
8:29:37 AM
MR. ANDREASSEN moved to slide 9, which displayed AML Resolution
2020-07 and a 2024 DEED Recommended and Funded Capital Renewal
chart spanning FY 11 FY 24:
[Original punctuation provided.]
Resolution 2020-07 Fund School Bond Debt Reimbursement
Supporting full payment of currently obligated school
bond debt reimbursement; a reinstatement of the school
bond debt reimbursement program; and a careful and
deliberate reform of State support of school
construction and maintenance.
MR. ANDREASSEN stated that members of the Alaska Municipal
League (AML) have firmly supported full State funding for school
bond debt reimbursement, calling it a critical tool for local
governments. He referenced the Department of Education and Early
Development's (DEED) annual report, which estimates that $3.6
billion should be allocated to address school facility needs,
based on a recommended 3 percent capital renewal rate. He noted
that only $1.6 billion has been distributed since FY 11,
resulting in a $2 billion shortfall in State funding.
8:30:21 AM
MR. ANDREASSEN moved to slide 10 Public Education
Considerations:
[Original punctuation provided.]
Equity - 2015 outside consultant report "Finally, as
noted in the equity study chapter, it is difficult to
determine whether the current state and local funding
shares for K-12 education are appropriate and
equitable. Currently, the state lacks a comprehensive
and consistent measure of local wealth that can be
applied across all district types. The state could use
a formal definition and measure of local fiscal
capacity to provide a better understanding of local
districts' ability to contribute to K-12 education and
to establish a more equitable and balanced local
contribution."
Adequacy - 2001 DEED report I. Measurable standards
for student achievement have been set by the State of
Alaska to meet the higher expectations of the public.
"Making the connection between school dollars and
student achievement is the principal school finance
challenge of the next century."
II. To meet that challenge, we must identify and
reflect on the changes that have occurred over the
last 10 years.
A. The basic amount of school funding per student has
not changed since 1993.
B. Inflation has eroded buying power.
C. New requirements have been added without the
dollars to cover their costs.
D. Societal changes such as concerns for student
safety and changing demographics have impacted
schools.
MR. ANDREASSEN acknowledged the State's constitutional
obligation to ensure both adequacy and equity in education. He
noted that the Legislature has previously commissioned reports
asking what should be done and how. He referenced a 2015
recommendation to revisit how local government contributions
affect equity, pointing out that no action has followed in over
a decade. He cited a 2001 report from the Department of
Education and Early Development (DEED) that identified the
primary school finance challenge of the 21st century as linking
funding to student achievementan unresolved issue that remains
central today. He stressed the importance of reexamining what
adequacy in local contributions should look like.
8:31:40 AM
MR. ANDREASSEN moved to slide 11, Public Education
Accountability that contained graphs and charts on achievement,
statewide performance, and student participation in spring 2023
and 2024 assessments. He responded to Representative Story's
earlier remarks on accountability stating accountability is
equally important to local governments as state government,
which want to see achievement that matters to families,
students, and lawmakers. He emphasized that high-performing
schools are just as vital to local governments as state
government. He said AML wants to see local funding applied
locally and accountability shaped collaboratively among all
funders. He highlighted that in municipal school districts,
local governments contribute 50 percent of funding and thus have
a stake in defining accountability measures. He also expressed
the need for equitable accountability across all forms of public
education, including correspondence schools, wherever state or
local funds are spent.
8:32:52 AM
MR. ANDREASSEN moved to slide 12, Public Education
Consideration and discussed alternatives to the status quo.
[Original punctuation provided.]
• Alternatives to Status Quo
• Ensure accountability to State and local governments
based on budgets
• Extend accountability to all students where local and state
funding applies
• Ensure equitable application of State property tax
• Fund current and future mandates
• Release Impact Aid directly to districts
• Develop State-led disparity test
• Reform grant and bond program
• Implement a Base Facilities Allocation
• Address recruitment and retention
MR. ANDREASSEN referred to the outcome of a survey given to
Alaska's teachers and administrators regarding recruitment and
retention. Adequate compensation was identified as the top
priority for educators. Despite this, a subsequent strategy
report excluded compensation from its scope. He supported using
the Village Public Safety Officer (VPSO) program as a model,
highlighting how intentional salary increases helped turn that
program around and suggested a similar approach for addressing
the State's obligation to its teachers.
8:36:30 AM
CO-CHAIR STORY referred to slide 8, which stated that 19
districts did not submit six-year plans. She asked how much time
and effort municipalities invest in creating those plans,
especially given that many are not funded. She questioned
whether the lack of funding discourages districts from
submitting the plans in the first place.
8:37:03 AM
MR. ANDREASSEN replied that several factors contribute to
districts not submitting six-year plans. He explained that
creating the plans requires significant work and resources, and
many communities are already underinvested in asset management
and maintenance planning. Producing a Capital Improvement Plan
(CIP) demands a high level of detail, often requiring project
pre-development work such as environmental reviews, design, or
engineeringeach of which costs money. He estimated the cost per
plan can range from $5,000 to $30,000 per school, and noted that
some local government plans, like hazard mitigation plans, can
exceed $250,000.
MR. ANDREASSEN emphasized that planning must be a sustained
investment rather than a one-time effort, and that communities
need confidence that submitted needs will be addressed. He
pointed out that State programs have been underfunded, with only
8 to 15 percent of submitted projects funded over the past
decade. He added that spending $100,000 on a plan with such low
chances of funding is discouraging. Finally, he noted that the
suspension of the school bond debt reimbursement program removes
a key tool for funding projects in partnership with the State,
leaving districts with high planning costs, little return, and
limited options to meet their needs.
8:39:34 AM
SENATOR BJORKMAN said he as observed that the conversation often
centers on exchanging policy for funding, whether that funding
increases or decreases from previous years. He acknowledged that
Alaska has recently enacted significant education policy,
including the Alaska Reads Act, which has led districts to shift
resources toward early learningchanges that have both costs and
benefits. He also noted that recent laws have introduced pay
incentives for teachers to pursue additional training, though
implementation has been slower than hoped. He asked what
specific policies communities and AML are seeking in schools
that are not already in place.
8:41:04 AM
MR. ANDREASSEN stated that while there may not be a specific
policy to address uncertainty, what local governments and school
districts most want is consistencyparticularly in annual
funding levels, staffing, and basic infrastructure needs like
roof repairs. He said if he could change one thing through
policy, it would be to provide that stability.
MR. ANDREASSEN noted that communication between local
governments and school districts is improving but could be
strengthened. While school districts report extensively to the
Department of Education, they often do not share similar
information with local governments. He suggested that, whether
through policy or practice, enhancing local dialogue is critical
to shaping school districts that reflect community needs.
8:42:14 AM
MR. ANDREASSEN emphasized that educational reforms take time and
cited large infrastructure projects like hydropower development
as examples of long-term investment. He warned against expecting
immediate results from recent policy changes, such as the Alaska
Reads Act, and stressed the importance of patience and
intentionality. However, he concluded by noting that school
districts face immediate, annual budget decisionssuch as
potential layoffs or school closureswhich cannot wait and must
be addressed in real time.
8:43:16 AM
SENATOR TOBIN noted that with the Alaska Reads Act, there are
stipulations in the law that require DEED to help every district
publish all of their accountability data on an accessible
website that also includes an easy-to-download CSV file. It said
it hasn't happened yet, but when it does, it should help provide
additional information to districts as they work on
accountability measures for their schools.
8:43:45 AM
SENATOR BJORKMAN stated that people often perceive disconnection
between their community and the school system, especially when
school practices differ from what they experienced growing up.
He emphasized the importance of neighborhood schools reflecting
the communities they serve. He shared that he appreciates when
his child's teacher sends home worksheets, as it fosters
communication and allows him to support his child's learning at
home. He added that seemingly small policy issuessuch as how
schools handle licecan trigger strong emotional reactions when
public expectations do not align with school practices, and he
stressed the need for better communication in those areas.
8:44:59 AM
SENATOR KIEHL asked whether the mention of state property tax in
one of the slides referred to the required local contribution.
MR. ANDREASSEN replied yes.
8:45:41 AM
SENATOR KIEHL SENATOR KIEHL stated his belief that at least
three or more municipalities or school districts do not levy a
property tax and instead meet their required local contributions
through other means. He asked for help in thinking through the
balance between equityreferenced multiple timesand efforts to
limit municipalities' ability to contribute local tax dollars to
their school districts. He expressed concern about how such
limitations could affect local control and the capacity of
communities to invest in education.
8:46:19 AM
MR. ANDREASSEN suggested local contribution could be established
as the amount of property tax or the equivalent. He said there
are conversations about reducing local control according to the
contribution that a school district makes. But right now, local
governments often support school districts beyond what qualifies
as the required local contribution, and those additional
investments may not be fully reflected in statewide data. He
emphasized the importance of understanding the reasons behind
these contributions. Using Juneau as an examplewhere his
children attend schoolhe described how local governments aim to
address the specific challenges in their communities. He framed
these contributions as part of a broader effort by full-service
communities to support residents, families, children, and the
local economy. He argued that such local investments reflect a
commitment to maintaining the integrity of the community and
should be viewed differently from the State's constitutional
responsibility to provide a system of public education. He
concluded that local autonomy to invest in schools should be
preserved as a way to address inequities and local challenges.
He distinguished this local effort from the State's separate
responsibility to ensure both equity and adequacy across the
education system.
8:48:45 AM
SENATOR KIEHL asked whether it would be accurate to summarize
the concern as the State not meeting an adequate funding level,
creating an equity issue that is not be addressed by diminishing
local control. He asked if that was a fair summation.
MR. ANDREASSEN requested time to reflect and comment later.
8:49:36 AM
REPRESENTATIVE EISCHEID referred to slide 5, Unfunded Mandates,
and recalled a list of approximately 25 bullet points outlining
various annual requirements the State of Alaska imposes on
school districts, most of which involve reporting. He asked who
within school districts are responsible for completing this
work, particularly the reporting requirements submitted to the
State.
8:50:23 AM
MR. ANDREASSEN MR. ANDREASSEN responded that the question is
likely best answered by school administrators or school boards
but assumed that a large portion of the reporting workload falls
on administrative staff. He noted that some districts may
require additional personnel solely to meet these requirements.
He stated that he would follow up by providing the full list of
obligations and defer to others for details on who specifically
handles the work.
8:50:49 AM
REPRESENTATIVE EISCHEID acknowledged that his question was
intentionally pointed, explaining that he often asks
noneducators about education issues. He shared his perspective
as a teacher of 25 years, highlighting that administrators
likely handle most of the reporting requirements because
teachers have limited time. He pointed out the contradiction of
demanding more instructional time while increasing
administrative burdens that pull resources away from direct
student interaction. He expressed a desire for a law requiring
that each new unfunded mandate be offset by removing an existing
one. He concluded by stating that everything is interconnected
and slide 5 illustrates how burdens placed on school districts
can create additional problems.
8:52:04 AM
Mr. ANDREASSEN stated that AML members have passed a resolution
supporting the State Legislature's implementation of municipal
and school district fiscal notes. He explained that the goal is
to assess the full impact of obligations by identifying the
full-time equivalent (FTE) positions and costs per school,
teacher, and administrator associated with each requirement.
8:52:49 AM
CHAIR TOBIN announced invited testimony on Local Government and
Alaska's System of Public Education.
8:53:06 AM
SCOTT ARNDT, Mayor, Kodiak Island Borough, Kodiak, Alaska,
testified on Local Government and Alaska's System of Public
Education. He said he is a 61-year resident of Kodiak with
children and grandchildren in the local school system, stated
that over 80 percent of Kodiak's collected tax revenue goes
toward education, including operations, major maintenance, and
bond debt. He emphasized the growing burden on local taxpayers,
describing rising property taxes as "rent" on homes, even when
mortgages are paid off. He noted that this financial pressure is
making it increasingly difficult for residents to live in
Kodiak.
8:54:41 AM
MR. ARNDT stated that Kodiak has not taken on new school
construction debt in nearly 10 years, partly due to previous
cuts to the school bond debt reimbursement programthough he
thanked legislators for restoring some of that funding. However,
he explained that Kodiak remains hesitant to take on more debt,
despite having tens of millions in deferred maintenance needs.
He highlighted that Kodiak managed to complete its six-year plan
using a retired maintenance director under contract, while other
communities lacked the resources to do so.
8:56:40 AM
MR. ARNDT criticized the ongoing bond debt reimbursement
moratorium, which began as five years, was extended to 10, and
may reach 15 years. He recalled that in 1979, Kodiak passed a
$29 million bond for school construction, with the State
reimbursing 95 percentcompared to zero percent today. He stated
that the core problem is insufficient school funding and warned
that the financial strain on local communities is unsustainable.
8:56:58 AM
MR. ARNDT stated that discussions often focus on where to direct
funding. He highlighted an issue within the foundation formula.
He explained that three communitiesFairbanks, Anchorage, and
Kodiakreceive federal "in lieu of tax" payments due to the
presence of military or Coast Guard facilities. When the
foundation formula was originally created, school debt was
reimbursed, but that is no longer the case. He noted that three
years ago, Fairbanks lost approximately $9.7 million, Anchorage
$8.7 million, and Kodiak $1 million due to state deduction of
federal payments from what it allocates to the districts. He
emphasized that while other communities are also affected, the
impact on them is minimal. He urged lawmakers to consider
changes to this practice, as retaining those funds could have
helped address local debt and major maintenance needs.
8:58:47 AM
MARK JENSEN, Mayor, Petersburg Borough, Petersburg, Alaska,
testified on Local Government and Alaska's System of Public
Education. He provided an overview of the borough's current
education funding, stating that the borough is contributing the
maximum required amount, which equals 25 percent of the local
budget. He added that the borough now pays half the school's
utility costs due to shared use of facilities like the swimming
pool and also covers school transportation expenses, totaling
approximately $200,000 annually. He warned that at this funding
level, the borough's general fund will be depleted halfway
through the FY2627 cycle.
MR. JENSEN emphasized that maintaining current school funding
may require cuts to other general fund services, including
public safety, the library, parks and recreation, and the
museum. He expressed concern that without an extension of
federal support for school funding, the financial strain will
worsen.
MR. JENSEN reported recent discussions with the borough manager
regarding possible budget adjustments, including potential staff
layoffs, to prioritize school funding. He concluded by urging
the State to increase the Base Student Allocation (BSA), while
acknowledging the difficulty of the current state budget
situation.
9:01:20 AM
FELIX RIVERA, Assembly Member, Municipality of Anchorage,
Anchorage, Alaska, testified on Local Government and Alaska's
System of Public Education. He stated that Anchorage has the
economic base to provide 100 percent of the allowed local
contribution to education and has done so for years. He noted
this costs taxpayers approximately $3,000 per year for a
$450,000 home and said residents are proud to bear that expense
because education represents opportunity and hope for the
future. He said that every year, the assembly receives a stream
of emails from parents and students asking them to help preserve
academic and extracurricular programs. He shared that parents
question staying in Alaska when opportunities are lost, and
students say those programs are often their main reason for
attending school.
MR. RIVERA said he related to those students, recalling his own
involvement in Future Farmers of America and other academic
extracurriculars that motivated him to attend school. He said
Anchorage and many other districts are being forced to make
painful decisions as they build their FY26 budgets. He
emphasized that what is at the heart of the issue is lost
opportunity and noted that the committee had likely already
heard data and testimony from parents, students, and school
board members across the state. He said there is widespread
recognition that education needs more funding and referenced a
resolution passed by the Anchorage Assembly in January 2024
supporting an increase to the Base Student Allocation (BSA) by
no less than $1,963 and transportation funding by at least $324
per student for FY26.
9:04:02 AM
MR. RIVERA added that the school districtand ultimately
Anchorage taxpayersface a $1 billion deferred maintenance bill,
not including potential increases in energy costs affecting
districts statewide. He said he hopes not to return with another
resolution containing new numbers and explained that the
assembly got involved because underfunding affects the broader
community. He noted that without school bond debt reimbursement,
property taxes have risen, and reduced school support is
contributing to the outmigration of young families.
MR. RIVERA said people are leaving because they see fewer
opportunities, which damages the economy, worsens workforce
shortages, and harms overall quality of life. He stated that
families want opportunities for their children to thrive, but
the state's chronic underfunding is limiting educational choice.
He questioned what kind of future communities can expect when
parents don't see one for their children and asked how local
governments can be expected to fill the gap in the state's
constitutional responsibility to fund education. He reiterated
that Anchorage is proud to contribute, but local taxpayers have
limits, and other communities lack Anchorage's tax base. He
acknowledged the work of the committee on education funding,
said he shares their frustration, and urged lawmakers to find
long-term solutions to restore opportunity and hope for families
in Anchorage and across the state.
9:06:46 AM
BETH WELDON, Mayor, City & Borough of Juneau, Juneau, Alaska,
testified on Local Government and Alaska's System of Public
Education. She stated that the City and Borough of Juneau
contributes the maximum allowable local amount to education and
has done so consistently, amounting to $34.5 million in the FY25
adopted budget. She explained this equals 22.5 percent of the
general fund, and when adding funding outside the capsuch as
for transportation, food service, and pre-K programsthe total
reaches 25 percent. She detailed that 5.49 mills of the property
tax mill rate goes toward funding up to the cap, and to fund
outside the cap is 6.06 mils. Juneau has a total mill rate of
6.06 mills and also a 5 percent sales tax to help fund other
priorities.
9:08:03 AM
MS. WELDON stated that the City and Borough of Juneau
contributes the maximum allowable local amount to education and
has done so consistently, amounting to $34.5 million in the FY25
adopted budget. She explained this equals 22.5 percent of the
general fund, and when adding funding outside the capsuch as
for transportation, food service, and pre-K programsthe total
reaches 25 percent. She detailed that 5.49 mills of the property
tax mill rate goes toward funding up to the cap, and 6.06 mills
including outside-the-cap contributions, out of Juneau's total
10.06 mill rate. Juneau also has a 5 percent sales tax to help
fund other priorities.
MS. WELDON described the significant fiscal challenges Juneau
faced in the last school year, including school consolidation,
returning sixth grade to elementary schools, and closing two
schoolsone of which may be torn down due to asbestos. She said
the city used capital improvement funds, withdrew $1 million
from its reserve account, and then suffered a flood, compounding
fiscal stress. Funding was also taken from public works, and the
city plans to ask voters to approve general obligation bonds for
sewer, water, and school facility maintenance.
9:09:10 AM
MS. WELDON reported that the Juneau School District's (JSD)
capital needs for FY2529 total approximately $14 million, with
an additional $156 million in future deferred maintenance beyond
that period. She noted that poor facility conditions were made
clear when the city took over two buildings, including one with
a leaking underground fuel tank. She also raised the issue of
rising property insurance costs, which have nearly tripled from
less than $500,000 in FY21 to $1.4 million in FY25.
MS. WELDON stated that FY25 is the last year Juneau expects to
receive school bond debt reimbursement, amounting to $440,000.
She emphasized that declining satisfaction with the education
system is driving outmigration, citing the recent departure of a
top orthopedic doctor. She said the shortage of workforce in
Juneau and the state is worsened by the inability to attract
young families, creating a harmful cycle. She also highlighted
the vital community role of school facilities, which host
everything from sports and concerts to elections and
fundraisers.
9:11:10 AM
MS. WELDON concluded by saying that as a policymaker, the
hardest question to hear is "can you fund this?" and
acknowledged the challenge of balancing limited resources with
high expectations. She did not ask for funding directly but
urged the committee to consider broad-based revenue options,
stating, "everyone wants to have the cake and eat it too," and
encouraged the legislature to "find more cake."
9:12:01 AM
CHRIS NOEL, Mayor, Denali Borough, Healy, Alaska, provided the
following testimony on Local Government and Alaska's System of
Public Education:
[Original punctuation provided.]
Thank you for the opportunity to discuss Education and
what our schools means in the Denali Borough. And
thank you for your work weighing a diverse set of
priorities, in a tough fiscal environment. I want to
also acknowledge and thank my colleagues from the
Denali Borough, in attendance this morning, here to
lend support for public education.
Support for our school district was one of the first
limited responsibilities the borough assumed, upon
formation in 1990, and continues to be a significant
portion of our budget. In last year's budget, 48
percent of total general fund expenses was the payment
to the school district. The Assembly consistently
meets the basic requirement, and funds up to the
maximum allowable.
MR. NOEL noted that the statistic of 48 percent differs from
what was shared earlier because it excludes items such as solid
waste.
9:13:14 AM
MR. NOEL continued his testimony:
[Original punctuation provided.]
Our schools are more than just a place for students to
learn and grow. In our small communities, just like so
many others across the state, the buildings serve as
community hubs, and provide benefit to the entire
community. This is apparent in the Denali Borough:
School lunches served at the Tri-Valley school by a
rotating cast of volunteers; recreational sports at
all three facilities. The schools host our community
libraries (including story hours, movie nights, play
groups, and more). Importantly, the schools serve as
evacuation shelters and resource centers during an
emergency.
In 2016 the Denali Borough and DBSD performed a
condition assessment of the three brick and mortar
school buildings. Since then, the District and borough
have consistently, and working together, chipped away
at deferred maintenance and large capital projects. We
cannot do this without the state's partnership.
Funding for our district comes at the expense of other
important community priorities. New needs include
increased funding required to manage our municipal
entitlement lands, including the surveying costs
required to receive patent. There is recent interest
and broad support for public dollars to assist
nonprofits in maintaining and improving local public
roads. Our limited local government is also growing
into a new responsibility for parks and recreation- to
support community and recreation infrastructure. These
services all play a role in improving the quality of
life for existing residents and help to attract new
folks to our communities.
I urge you to tackle a statutory increase to the Base
Student Allocation. Inflation proofing the BSA would
provide an increased level of certainty to school
districts, and we strongly support doing so. We also
encourage strong support for the Major School
Maintenance Grant program, because without a safe and
well-maintained school, the community as a whole
suffers.
As Association of Alaska School Boards Executive
Directive Lon Garrison said so well, "Thriving
Communities are engaged with schools."
9:16:56 AM
ALVIN OSTERBACK, Aleutians East Borough Mayor, Sand Point,
Alaska, testified on Local Government and Alaska's System of
Public Education. He said the Aleutians East Borough consists of
six communities. He stated that the borough primarily relies on
a raw fish tax to fund operations, with approximately 35 percent
currently allocated to schools, not including maintenance or
other related costs. He said the raw fish tax normally generates
$4.6 million, but due to the downturn in fisheries, revenue is
expected to drop to $1.6 million this year. He emphasized the
borough's remote location in the Aleutians, where transportation
between communities is only possible by boat or airplane.
MR. OSTERBACK reported that during his lifetime, five schools
and five communities have closed, and the communities
disappeared along with the schools. He said two of the six
remaining communities in the borough no longer have schools due
to falling below the 10-student threshold, and a third community
was only saved this year by the arrival of a new family with
school-aged children. He suggested the state reconsider how
funding is allocated to help keep schools operating in
communities with fewer than 10 students.
9:18:41 AM
MR. OSTERBACK noted that advancements in technology, including
widespread fiber optic and Starlink internet coverage, have
changed how the borough functions. He said the assembly now
holds face-to-face meetings via large screens in each community,
something previously impossible with landlines. He proposed
leveraging this technology to support education in small
communities, even with only four or five students, by connecting
them virtually to other schools.
MR. OSTERBACK said he discussed these ideas with the local
school superintendent, including the possibility of remote
teaching for specialized subjects such as foreign languages or
advanced math. He encouraged the state to think creatively and
use technology to sustain both education and communities. He
pointed to Cold Bay, which has the third-largest runway in
Alaska and serves as a regional hub, but struggles to retain
state operators due to the absence of a local school system. He
concluded that, in his experience, a community without a school
system is ultimately unsustainable and urged the state to
explore flexible funding models and remote learning support to
preserve rural communities.
9:22:10 AM
CO-CHAIR HIMSCHOOT shared that as a new teacher, she began her
career in Sand Point, where she participated in the community by
swimming in the pool, coaching cross country, and learning how
to harvest grass from a local paraprofessional. She noted that
although she didn't stay long enough to learn weaving, the
experience was foundational to her career.
MR. OSTERBACK stated that the borough is investing approximately
$8 million into the school in Sand Point this year through DEED.
He added that they plan to install a new pool, as the existing
one has been damaged by multiple earthquakes.
9:23:17 AM
CINDY BREMMER, Mayor, City & Borough of Yakutat, Yakutat,
Alaska, testified on Local Government and Alaska's System of
Public Education. MS. B stated that she is in her sixth term as
mayor and that the school district has always been deeply
important to her. She said she has watched it decline over the
years to the point where she questions how much longer the
school can remain open. She expressed frustration that this
situation exists in a state with such vast resources, and said
her community has done everything possiblefully funding the
local contribution and partnering with government agencies and
the local tribe.
MS. BREMMER emphasized that Secure Rural Schools funding is
critical to keeping the school open and that, with it at risk
and the state not fully funding education, the situation feels
like a direct assault on rural Alaska. She echoed a comment made
by Senator Tobin regarding the state's failure to explore
alternative funding options, such as joining a multi-state
lottery. She noted that students in her community have no
electives, there is only one high school teacher, and next year
there will be just two elementary teachers for the entire
schoolconditions she called unacceptable.
MS. BREMMER stated that this should be as concerning to state
leaders as it is to her. She concluded by suggesting that if the
state devoted as much energy to education as it does to oil and
gas, the education system could be much stronger, and some tax
credits given to large corporations could be redirected to
support students.
9:26:05 AM
GLENDA LEDFORD, Mayor, City of Wasilla, Wasilla, Alaska,
testified on Local Government and Alaska's System of Public
Education. She stated that, as a partner in the Matanuska-Susitna
Borough School District, she supports sustainable and
predictable funding for K12 public education. She noted that
current transportation funding lacks inflation-proofing or cost
escalation language, and called the Alaska Reads Act a strong
educational expectation but an unfunded mandate. She added that
students continue to receive less funding than their peers and
that the borough supports a multi-year, sustainable, and
comprehensive fiscal plan with measurable educational outcomes.
MS. LEDFORD reported that the overall area-wide mill rate is
8.748, with 5.355 mills going to education operations and an
additional 0.518 mills for education debt service. She said a
recently passed proposition to build charter schools will likely
add another 0.2 mills, bringing the education share to 67
percent of the total mill rate. She emphasized that the Mat-Su
Borough is the fastest-growing borough with the fastest-growing
city, and that incoming families often prioritize information
about the education system and public resources like libraries.
9:28:00 AM
MS. LEDFORD highlighted the success of Wasilla High School's
Career and Technical Education (CTE) program, which includes a
fire training class that leads to certification, woodworking,
small engine repair in partnership with Kubota, and a new
community school initiative. She explained that the after-hours
school program allows residents in lower-wage jobs to continue
working while attending evening classes to improve their earning
potential, thereby raising community expectations and overall
wellbeing.
MS. LEDFORD shared that in one borough school, 33 percent of
students have one or both parents incarcerated. She urged the
state to revisit curriculum development with vulnerable students
in mind, stressing the need for targeted support to help them
become productive members of society.
9:30:30 AM
MARK SPRINGER, Council Member, City of Bethel, Bethel, Alaska,
Testified on Local Government and Alaska's System of Public
Education. He gave a brief personal history of his family's
involvement in education in Alaska. He stated that while the
Municipality of Bethel does not have education powers, it
supports school operations in several ways. He explained that
the city subsidizes pupil transportation by clearing roads early
during snowstorms, provides water and sewer utilities to
schools, offers police and school resource officer presence, and
supplies fire protection, athletic fields, and a community pool
used by students. He suggested that tangible support from
second-class cities like Bethel should be considered as in-kind
contributions that could be reflected in school district budgets
or acknowledged by the legislature when assessing local needs.
9:32:24 AM
MR. SPRINGER spoke about the evolution of technology in rural
Alaska, highlighting how many Alaska Native teachers earned
their degrees using basic landline phones and fax machines. He
praised their dedication and commitment, especially as some now
near retirement. He recounted a conversation with Commissioner
Bishop about artificial intelligence (AI), stating that he
believes the future of education lies more in virtual reality
(VR) than AI. He said VR has the potential to train students in
practical skills like heavy equipment operation and healthcare
certifications, such as certified nursing assistant (CNA)
training.
MR. SPRINGER echoed concerns raised by the mayor of Yakutat,
criticizing the perception that education funding is being
sacrificed in favor of oil industry tax benefits. He expressed
frustration that local governments and municipalities bear
increasing financial burdens while schools remain underfunded
and in poor condition. He pointed out that some schools in his
region are severely climate-impacted, with communities like
Newtok and Napakiak being forced to relocate due to erosion and
river encroachment.
MR. SPRINGER concluded by emphasizing the importance of
retaining quality teachers to maintain community stability. He
noted the shortage of Alaska-trained teachers willing to work in
rural areas and credited teaching colleges in the Philippines
for helping staff rural schools. He expressed appreciation for
those teachers and raised concerns about the lack of local
teacher development and the difficulty of securing visa
extensions for international staff.
9:35:52 AM
SAM CHANAR, Mayor, City of Toksook Bay, Toksook Bay, Alaska,
testified on Local Government and Alaska's System of Public
Education. He stated that he is from a remote village with a
population of 638 and 170 students, with a student-teacher ratio
of 1 to 20. He shared his experience filling workforce gaps,
explaining that in the fall of 2020 he was asked to substitute
teach math for two weeks, which extended to three months,
covering an entire semester until teachers from the Philippines
arrived. He added that two years later, he was again called to
substitute for another three to four weeks.
MR. CHANAR emphasized the importance of school facilities in
rural communities. He noted that during Typhoon Merbok, only one
residential home was damagedand it did not house childrenwhile
the high school served as the emergency shelter. He said the
school also hosts community events, and during the 2020 Census,
federal agents stayed at the school and used it as a meeting
space. Contractors also rely on the school for lodging. He
concluded that the school is critical to the community and must
be properly maintained.
9:38:32 AM
MINDY O'NEALL, Assembly Member, Fairbanks North Star Borough,
Fairbanks, Alaska, testified on Local Government and Alaska's
System of Public Education. She stated that her testimony did
not represent an official position of the assembly. She
explained that the Fairbanks North Star Borough (FNSB), once the
second-largest community in Alaska, is home to the University of
Alaska Fairbanks, the Arctic Research Institute of the United
States, and serves as a gateway to the North. She listed the
cities within the borough and noted that the borough is
geographically the size of New Jersey. She described the
community as one that values independence, small government, and
the Constitution.
MS. O'NEALL said the borough faces ongoing challenges with
school funding. She argued that each decision to underfund
education effectively undermines local government, and because
of the legislature's inaction, FNSB leaders have been made to
appear as the "bad guys." She reported that in the previous
year, the borough held a special election seeking to raise $10
million for schools, which was overwhelmingly rejected by a 3:1
margin. She emphasized that the vote reflected residents'
financial limitations, not a lack of support for education.
9:40:08 AM
MS. O'NEALL stated that the Fairbanks North Star Borough (FNSB)
is being forced to choose between closing community pools or
funding schools, and must delay repairs to historical artifacts
that attract tourists and historians worldwide. She added that
the borough operates an animal shelter where surgeries are
performed on the floor, and is regularly forced to choose
between investing in senior services, public trails, accessible
parks, and transportation instead of education and facility
maintenance. She said this situation is tearing the community
apart and directly results from the legislature's failure to
act.
MS. O'NEALL asserted that FNSB is doing the legislature's
"homework" and taking the "beatings" for the legislature's
indecision to stand up for education. She urged legislators to
reflect on their actions when they leave office and hoped they
would be proud to have taken bold steps. She called on them to
tell resource development partners that it is time they pay
their fair share, because Alaskan communities cannot continue
subsidizing these industries at the expense of children's
education.
MS. O'NEALL warned that FNSB is projected to lose more than 7
percent of its population by 2050over 7,000 residentsand said
the borough is crippled by high energy costs. She explained that
most residents heat their homes with delivered fuel or wood,
contributing to some of the worst air quality in the world. She
said the borough lacks access to affordable building materials
and, even if housing were available, it cannot attract
professionals like professors, educators, plumbers, and
scientists because the cost of living is too high. She concluded
that FNSB is unable to provide the quality of education that
residents expect, and that this is the direct outcome of
legislative indecision.
9:42:08 AM
MS. O'NEALL invited committee members to listen to FNSB Assembly
public meetings, where residents express their inability to
purchase basic necessities such as snow machines, clothing,
meals, or hockey gear, despite working hard and paying higher
local taxes. She said this frustration stems from the state's
continued shift of educational responsibilities onto local
governments. She reminded the committee that the state
constitution holds meaning and imposes a duty to uphold it. She
concluded by asking the committee to take the following actions:
• Fulfill the constitutional obligation to adequately fund
public education.
• Increase the Base Student Allocation (BSA) at a level that
would prevent further school closures and staff reductions.
• Place emphasis on student growth rather than focusing
solely on test scores to provide a more holistic evaluation
of educational outcomes.
• Reject additional taxes on Alaskans while ensuring that
industries profiting from Alaska's natural resources
contribute fairly to the state's future.
9:43:15 AM
MS. O'NEALL emphasized that education is not merely an expense
but an investment. She concluded by stating that, as a locally
elected official for the past six years, she stands ready to
collaborate with the state on solutions that meet shared
obligations now and in the future. She told the committee, "The
next step is up to you."
9:43:48 AM
KATIE GRIEBE, Mayor, City of Anderson, Anderson, Alaska,
testified on Local Government and Alaska's System of Public
Education. She stated that she came to the meeting expecting to
speak about population decline as a major contributor to
education challenges in her area, but had not anticipated
hearing how widespread the issue is across rural Alaska. She
said Anderson has been significantly impacted by population
loss, noting that as the military reduced jobs, the community's
population aged and moved away, leaving many abandoned buildings
behind.
MS. GRIEBE explained that Anderson has a 44,000-square-foot
school that once supported over 100 K12 students. She described
it as a beautiful facility. She added that Anderson is fortunate
to be part of the Denali Borough, which has not faced the same
difficulties currently affecting other communities and school
districts.
9:45:00 AM
MS. GRIEBE stated that the Denali Borough has consistently met
its full local contribution for education and strongly supports
its schools, including Anderson. However, she reported that
Anderson has experienced a sharp decline in student enrollment,
with only six students enrolled for 2025, which will result in
the school's closure. She said the announcement has caused
significant distress in the community.
MS. GRIEBE explained that while children still live in Anderson,
many parents are choosing to homeschool because the school lacks
amenities like sports teams and music programs. Some families
carpool their children to larger nearby schools. She highlighted
the school's facilities, including a gym and a woodworking shop,
and proposed that well-maintained buildings like this one be
repurposed rather than abandoned. She suggested operating
satellite programs in rural areas and advocated for using the
school in ways that would benefit the community and foster a
renewed sense of hope.
9:49:07 AM
CHAIR TOBIN asked whether the students who live within the
Anderson School boundary but attend schools outside of it are
considered part of an open enrollment arrangement.
MS. GRIEBE replied yes, confirming that it is considered open
enrollment, and explained that many families choose this option
because the school in Nenana offers a Career and Technical
Education (CTE) program. She said the issue primarily affects
high school students, who are unable to participate in prom,
sports, clubs, and other social events at Anderson. As a result,
parents move their children to other schools to ensure they have
those opportunities. She added that some parents also opt for
homeschooling, further reducing enrollment at the brick-and-
mortar school.
9:49:59 AM
KASEY SMITH, Mayor, City of Craig, Craig, Alaska, testified on
Local Government and Alaska's System of Public Education. He
stated that education was the reason he ran for mayor a year
ago, as Craig's school was in decline. He said that without the
school, Craig would lose its sense of community, emphasizing
that schools are central to rural identity. He shared that when
a rural school closes, a community loses its identity along with
it. He said local leaders have done all they can and still the
school board tells them to wait another year.
MR. SMITH reported that in his first year in office, he pushed
for a sales tax increase dedicated entirely to the school
systema one percent year-round tax, with an additional one
percent from April to September. The measure passed by only two
votes, and he acknowledged that this is likely his last year in
office, as only about 25 percent of the community turned out to
vote for mayor. He said that as long as he has the opportunity
to speak for the children, he will continue to do so.
9:51:36 AM
MR. SMITH criticized the ongoing debate over education funding,
pointing out that test scores are declining while the state
still struggles to commit to adequately funding schools. He
questioned what else the state could prioritize if it cannot
fund its children and futurewhether that be community,
healthcare, or public safety. He said Craig has already lost
seven teachers and the priority now is retaining the remaining
qualified staff. However, he noted that it is often the best
teachers who are leaving, and uncertified individuals are now
serving in certified roles. He added that more students than
ever have Individualized Education Programs (IEPs), yet
uncertified staff are responsible for managing them simply
because they are the only people available. He stated that the
system is failing students. He concluded by saying that local
leaders are seeking funding for children and for Alaska's
future.
CHAIR TOBIN said she appreciated hearing from local leaders and
expressed appreciation for the sports access that she had as a
student in Alaska.
9:55:07 AM
SENATOR BJORKMAN stated that while it's easy for people to make
statements and push ideas, the message legislators hear from
their colleagues must align with what communities actually want.
He said he enjoys joking and building friendships, but when it
comes down to policy decisions, alignment between rhetoric and
community needs is essential. He expressed his support for
higher education standards, believing students are capable of
meeting them, and said he was encouraged to hear that sentiment
echoed during the meeting. However, he also noted the presence
of proposals that lower standards and questioned how those ideas
are compatible.
SENATOR BJORKMAN emphasized that the value of each education
dollar today is significantly less than it was five years ago.
He referenced testimony from Ms. Weldon, adding that not only
did Juneau close schools, but students also lost educational
opportunities, including reading teachers who were supposed to
implement policy reforms passed within the last three years. He
posed the question to the state: are we truly serious about
improving education? If so, he said, the state must back its
intentions with fundingotherwise, it is just talk.
SENATOR BJORKMAN stated that as voters are asked whether to
support education funding, local governments are already focused
on core responsibilities. He warned that when residents see
large investments in projects not viewed as essentialsuch as an
animal shelterit fuels "what aboutism," where people question
spending priorities. He said Alaska has been stuck in decision
paralysis for too long and reiterated his dedication to focusing
on the state's constitutional mandates, including education.
SENATOR BJORKMAN concluded by saying that educating children is
the foundation of Alaska's economy, helping retain families and
support growth. He urged local leaders to give their legislators
clear numbers on what is needed to avoid cuts and maintain
current learning opportunities. He said he often hears
conflicting figures from local leaders and legislators and
called on communities to get firm commitments from their elected
officials.
9:59:10 AM
CHAIR TOBIN said she would also like to know the cost to fully
implement the Alaska Reads Act for each school district.
9:59:21 AM
There being no further business to come before the committee,
Chair Tobin adjourned the joint meeting of the House Education
Standing Committee and Senate Education Standing Committee
meeting at 9:59 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| AML Presentation - Local Governments and Public Education 02.19.2025.pdf |
SEDC 2/19/2025 8:00:00 AM |