CHAIRMAN RIEGER called the Senate Health, Education and Social                
 Services (HESS) Committee to order at 1:40 p.m.  He introduced  SB            
 312  (SCHOOL CONSTRUCTION GRANT REVIEW) as the first order of                 
 business before the committee.                                                
                                                                               
 SENATOR MILLER moved to adopt the CSSB 312 (HES) for discussion               
 purposes.  Hearing no objections, CSSB 312 (HES) was adopted.                 
                                                                               
 CHAIRMAN RIEGER pointed out that the HES CS adds language regarding           
 participation of interscholastic school activities to the original            
 bill.  Section 2 removes the Alaska School Activities Association             
 (ASAA), Inc. statutes AS 14.07.058 and AS 14.075.059 which would              
 preclude an appeal to the Department of Education on cases such as            
 eligibility.                                                                  
                                                                               
 REPRESENTATIVE JERRY MACKIE stated that SB 312 was a result of                
 discussions regarding school construction problems and the                    
 inability to set limits on school construction.  He felt that SB              
 312 was necessary, especially during the current climate of                   
 declining revenues.  He urged that the bill be moved out of                   
 committee.                                                                    
                                                                               
 SENATOR MILLER moved CSSB 312 (HES) out of committee with                     
 individual recommendations.  Hearing no objections, it was so                 
 ordered.