CHAIRMAN RIEGER introduced SB 301 (REVISE FOUNDATION FORMULA, SMALL LL SCHOOLS) as the next order of business before the committee. He stated that he did not intend to move the bill today. He pointed out that there was a CS in the committee's packet which incorporates suggestion by DOE regarding the "hold harmless" provisions in existing law. JOE AMBROSE, Staff to Senator Taylor, informed the committee that Senator Taylor does not have a problem with the CS. The CS drops the permanent fix on the single site issue. WANDA COOKSEY, representing the 21 Single Site School Districts, pointed out that the committee should have written testimony from her. She expressed the need to correct the single site problem in a permanent way. When the foundation formula is worked on in the future, the single site issue would also be present for review. She did not know of any group in opposition to this bill; the State Board of Education, the School Boards Association, NEA-Alaska, and AASA support this bill. She urged the committee to put the single site fix back into the CS. CATHY FLIRIS, President of the Tanana School District, pointed out that Tanana was a single site school. She thanked the committee for full and early funding of the Tanana school. She expressed insecurity regarding future funding since there is not a permanent fix for the single site problem. She explained that single site funding represents a crucial 10 percent of their budget; without this funding, planning is inhibited. One-third of the teaching staff is covered by 10 percent of the budget. She urged the committee to permanently correct the single site problem and amend Title 13. MIKE MURPHY, Nome School Board, said that he cared about the education of children in Nome and across the state. He reiterated the need to continue with the single site fix. He pointed out that 21 out of the 54 school districts in the state have equity in the foundation formula. He said that in the Nome school district the single site funding is 4 percent of the budget which is equivalent to four or five positions. If this funding is lost, those positions would be lost and the quality of education would be inhibited. He urged the committee to fix this situation and make it equal across the state. ED GILLEY, Superintendent of the Adak Region School District, said that Adak has not gone away. He pointed out that Adak was left out of the single site funding this year because of the forecast that there would be declining enrollment. He noted that single site funding allowed Adak to have four to five more teachers. He asked for the committee's support of the single site; fix this problem so that other issues can be addressed. He thanked the committee for HB 405, especially Senator Duncan. He reiterated that all educational associations believe fully in this bill. He said that he would welcome any questions regarding the status of Adak. Number 530 SENATOR SHARP said that he had questions and would like to talk with Mr. Gilley regarding Adak after the committee meeting. ED GILLEY noted that the proposed CS would limit the money coming into Adak which would be fine if enrollment decreases. He did not know what to expect for Adak. Adak has a flexible board with a flexible plan that addresses the possibility of 150 children or no children. He explained that they were trying to take care of their students and staff until the end. DIANA HERSCHBACH, Mat-Su School Board member and President of the Association of Alaska School Boards (AASB), said that this does not effect her school district. They have always been supportive of fixing the single site problem because it would bring equity for all of Alaska's children. She felt that fixing the single site problem would eliminate some of the politics in education in these districts. The single site schools are uncertain about funding which leads to difficulties in planning. She thanked the committee for the passage of the 61 unit value. She explained that this funding uncertainty often creates panic, resulting in losing good teachers. She pointed out that funding for the single sites would be a small portion of the overall budget. She informed the committee that the general membership of AASB passed a resolution supporting an equitable solution to the single dual site issue as well as the "hold harmless" provision of SB 301. KRISTINA TORNQUIST, NEA-Alaska Board of Directors member, stated support for SB 301 from NEA-Alaska because it would provide equitable funding for single sites. She said, "A child is a child is a child whether he or she comes from a single site or a district with multiple sites; they are all worthy kids and I would like to see them treated the same." TAPE 94-32, SIDE B Number 590 SENATOR LEMAN asked if Ms. Tornquist's statement that "A child is a child is a child" applies to those in public, private, and home schools. KRISTINA TORNQUIST said that she would have to think about it. Ms. Tornquist did believe in her statement, but her concern is with public education. CHAIRMAN RIEGER held SB 301 due to the new CS before the committee members. SENATOR ELLIS inquired as to the changes in the CS. CHAIRMAN RIEGER explained that the CS amends the "hold harmless" provisions and removes the amending of the foundation formula for single sites. SENATOR DUNCAN inquired as to the time frame of the single site issue. CHAIRMAN RIEGER felt that the "hold harmless" issue was non-controversial, while the single site issue seems to have more interest because it is part of the foundation formula rewrite. SENATOR DUNCAN did not feel that it was that controversial to deal with the single site issue formula. Senator Duncan felt that the single site should be dealt with in its original form, not in a CS. CHAIRMAN RIEGER said that SB 301 would be before the committee again.