HB 359 - APPROPRIATION: CONSTRUCT/UPGRADE ON-BASE SCHOOLS Number 103 REP. ELDON MULDER, Prime Sponsor of HB 359, stated that last session a task force was created upon recommendations by General Ralston which addressed the problems of on-base military schools. He stated that the existing condition of a base school would highly affect the evaluation and overall recommendations by the Base Realignment and Closure Commission. REP. MULDER stated that HJR 47 is a resolution requesting that on-base schools be expeditiously transferred to the local school districts, and HB 359 is the appropriation bill which would fund $26 million, or half of the upgrades necessary. REP. MULDER stated there is no funding mechanism available to school districts and local communities to invest in on- base schools as they cannot bond for the schools because they do not own them. He also said that because of federal entities involved in the oversight of the facilities, the situation is even more complex. REP. MULDER urged that the base schools be transferred to local school districts as quickly as possible. He stated that to accomplish that there must be reparations done to the facilities. Rep. Mulder said it was the recommendation of the task force to have both the state and federal government fund the improvements necessary for the facilities involved. Number 234 CAPTAIN DENNIS PORTER, Legislative Liaison for the Military Schools Task Force, presented a slide show to the committee that summarized the findings and recommendations of the task force. He stated that the on-base schools are owned by the U.S. Department of Education (U.S. DOE) and the land is owned by the U.S. Department of Defense (U.S. DOD). It is the local school district's responsibility for construction. CAPT. PORTER said that the above arrangement caused inherent problems, citing the question of who would make repairs. He noted that there was little or no funding for reparations of on-base schools. CAPT. PORTER stated that the local school districts have a $25,000 cap per year for repairs. Any costs over that is the responsibility of the state. He also said that some major maintenance issues are the responsibility of the U.S. DOE and cited that the U.S. DOD is prohibited by law to spend any operational maintenance dollars on school repairs. CAPT. PORTER stated that there were schools that had been upgraded by the U.S. DOE and later transferred to local school districts, and previously there had been a joint venture by the U.S. DOD and the State of Alaska that funded repairs of three on-base schools. There are nine remaining schools in need of funding for repairs. He noted that 50% of the students at Ben Eielson Junior/Senior High School come from off-base and the majority of on-base schools are attended by off-base students. CAPT. PORTER told the committee that the cost to upgrade and repair the schools in the Anchorage bowl area was estimated to be over $27 million. He said the total deficit for all schools was approximately $52 million. The Americans with Disabilities Act, which ensures handicap access to all public buildings and the upgrades for fire and health and life safety codes, was responsible for increasing the estimated amount of funding originally projected in 1990. CAPT. PORTER stated that ownership would be transferred after the schools were upgraded and repaired. Number 491 REP. TOOHEY asked if there would be any tax deferrals or any type of savings if the schools are transferred. Number 500 CAPT. PORTER said that the because of state statutes, local school districts cannot bond for the on-base schools. He went on to say that the task force has utilized a cohesive united approach to market the proposal. They felt it was important to increase awareness for everyone by involving parents through volunteerism. CAPT. PORTER felt it was unrealistic to get $26 million dollars each from the government and the state, although he was confident that at least $10 million could be obtained from the federal government this year. Also, the U.S. DOE may also come forth with some funding, he said. CAPT. PORTER distributed photos to the committee of a classroom at Aurora Elementary School. The picture shows two support beams in the middle of the room, obviously obstructing children's view. He stated that there were 70 such support structures placed throughout the school as a result of warnings from engineers that the roof could collapse at anytime if there was more than two inches of snow fall. Number 612 REP. B. DAVIS asked if Ursa Major was recently transferred to the local school district and where the money came from to enable the transfer. Number 619 CAPT. PORTER answered that the U.S. DOE funded the transfer for $4.9 million. Number 623 REP. B. DAVIS asked if the upgrades had been done. Number 624 CAPT. PORTER said that the upgrades would occur over the next few years. Number 636 CHAIR BUNDE introduced Duane Guiley to testify on HB 359 and HJR 47.