SJR 9-CONST.AM: APPROP. BILL FOR PUBL EDUCATION  2:14:43 PM CHAIR HUGHES reconvened the meeting. She announced that the next order of business would be SENATE JOINT RESOLUTION NO. 9, Proposing amendments to the Constitution of the State of Alaska relating to an appropriation bill funding public education for grades kindergarten through 12. 2:15:01 PM SENATOR MICCICHE moved to adopt the proposed committee substitute (CS) for SJR 9, work order 31-LS0561\E, Caouette, 4/25/19, as the working document. CHAIR HUGHES objected for discussion purposes. 2:15:25 PM REGINA LARGENT, Staff, Senator Shelley Hughes, Alaska State Legislature, Juneau, reviewed the "Explanation of Changes in Committee Substitute for CSSJR 9 Version S to E." Title Changes: The following has been added to or removed from the title in order to conform to changes and added provisions; ? REMOVED: relating to an appropriation bill funding of public education grades kindergarten through 12 ? ADDED: relating forward funding of public education grades kindergarten through 12 MS. LARGENT presented the sectional analysis for SJR 9. Section 1: The proposed separate appropriation bill in Version S is removed, thereby leaving Article IX, sec. 12, Constitution of the State of Alaska unchanged. 2:16:32 PM MS. LARGENT turned to Section 2. Section 2: Adds a new subsection to Article IX, sec. 12, Constitution of the State of Alaska to require continued forward funding of public education grades kindergarten through grade 12 (K-12) with a mechanism for enactment should education forward funding for FY 2022 in the FY 2021 operating budget take effect as well as a separate mechanism for enactment if the education forward funding for FY 2022 in the FY 2021 operating budget does not occur. The section includes a release valve in the event of extreme budgetary constraints in the transition year, but the effective date for the constitutional amendment may not be later than January 1, 20263 . MS. LARGENT explained that Section 2 would add a new subsection to the Constitution of the State of Alaska to continue forward- funding of public education grades K-12 with a separate mechanism for enactment if education forward-funding for FY 22 in the FY 21 operating budget take effect. She said this section contains a release valve in the event of extreme budgetary constraints in the transition year, but the effective date for the constitutional amendment may not be later than January 1, 2026. 2:17:41 PM CHAIR HUGHES remarked on the transition language. She stated that last year the legislature forward-funded [public education] and is doing so this year. The legislature would like to forward fund [public education] next year. However, if something were to occur such as a 9.9 magnitude earthquake, oil prices dropped to $20 per barrel, or some unforeseen thing occurred the transition language provides a release valve. She explained that if the legislature forward funded public education for next year, in the FY 22 operating budget, this would just "go into stone and continue on if it were passed by the voters." If something dire occurred and the legislature did not forward fund education next year, she said that the relief valve provision on page 2, line 12, would apply. She reiterated that if the legislature did forward fund education, the constitutional amendment would go into effect and every year from there on out would be forward funded, but the effective date for the constitutional amendment may not be later than January 1, 2026. 2:19:04 PM CHAIR HUGHES explained that this would also allow the legislature to save for that second year. She said that is one of the things that might be a little confusing for the voters. She said she hopes that it is the will of the committee to move this resolution. She would hope that next year during the normal budget process forward-funding [of public education] would be in place, which would allow in the next committee of referral for this language to be removed and the language would be simplified for the voters. She said she appreciates that the sponsor highlighted the pink slip. She highlighted that the state has always had a problem recruiting and retaining teachers in Alaska, in particular in the rural areas. She emphasized that fewer people are going into the teaching profession, that enrollment in teaching colleges is down by 35 percent. Teacher turnover not only affects teachers, but also students. It harms the education process for students. She stressed that this would bring stability since it would allow the education funding as a part of the whole. Since it would be a year ahead, it would help to understand the revenue projections, savings, and other department obligations and needs. CHAIR HUGHES highlighted that the other great thing is that once this is in place, the districts will know that the funding will not be tinkered with and the districts will know the funding more than a year in advance. She said that this would provide stability and allow school districts to do advance planning. 2:21:55 PM SENATOR MICCICHE asked whether the sponsor could also respond. 2:22:07 PM SENATOR MIA COSTELLO, Alaska State Legislature, Juneau, stated that she came forward with a constitutional amendment to address a problem. She related that the legislature funds education every year and either fully funds the BSA [base student allocation] or funds the BSA and adds additional funding with little variation. The issue is that the legislative funding process is done well past the time when school districts must submit their budgets to local governments for approval. Over the years, the impression she has is that it causes districts to undergo significant turmoil, including releasing teachers at a time when teacher recruitment and retention is at a crisis level. Further, many rural communities lose their teachers every single year and that results in instability for students. This also erodes the effectiveness of teachers and research has shown that effective and committed principals and teachers in the classrooms and are the number one indicator of student results. 2:24:31 PM SENATOR COSTELLO said that this resolution was originally introduced to have funding done early in the legislative session. The committee has come back with a different approach, which is to forward fund public education, which she supports. She offered her belief that this would address the situation adequately or even more so than the original resolution. 2:24:50 PM CHAIR HUGHES remarked that this resolution is time appropriate. 2:25:22 PM SENATOR MICCICHE moved to report the committee substitute (CS) for SJR 9, work order 31-LS0561\E, from committee with individual recommendations and attached fiscal note(s). 2:25:56 PM At-ease. 2:26:15 PM CHAIR HUGHES reconvened the meeting and removed her objection. She asked Senator Micciche to restate the motion. 2:26:38 PM SENATOR MICCICHE moved to report the committee substitute (CS) for SJR 9, work order 31-LS0561\E, from committee with individual recommendations and attached fiscal note(s). There being no objection, the CSSJR 9(JUD) was reported from the Senate Judiciary Standing Committee.