Legislature(2017 - 2018)BUTROVICH 205

04/07/2017 08:00 AM EDUCATION

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
Heard & Held
+ Bills Previously Heard/Scheduled: TELECONFERENCED
Moved SB 102 Out of Committee
Moved SB 103 Out of Committee
Moved SB 104 Out of Committee
        SB 103-ED GRANTS/SCHOLARSHIP; INNOVATIVE ED FUND                                                                    
8:12:16 AM                                                                                                                    
CHAIR HUGHES announced the consideration of SB 103.                                                                             
BRITTANY HUTCHISON,  Staff, Senator  Anna MacKinnon,  reviewed SB
103  on behalf  of the  sponsor. She  addressed comments  made by                                                               
public   testimony.   According   to   the   Alaska   Performance                                                               
Scholarship (APS) Outcomes Report  from 2011-2016, 8,606 students                                                               
have  received $48,840,606  in scholarships.  It is  time to  re-                                                               
prioritize spending  on K-12 education to  better prepare 130,000                                                               
students for  life after  high school. The  money is  best served                                                               
where it is constitutionally mandated.                                                                                          
She  said, according  to  the University  of  Alaska FY18  budget                                                               
overview, out of 100 average  9th graders, 29 won't graduate from                                                               
high school, 40 won't attend  college, 16 will attend college out                                                               
of  state, 10  will  attend UA  but are  not  graduated within  6                                                               
years, and 5 will graduate within  6 years. She opined that these                                                               
are not positive outcomes.                                                                                                      
According to  the UA information  system, since the  inception of                                                               
the APS,  remediation rates were  at 53 percent, decreased  to 48                                                               
percent in 2014,  and now are at 52 percent.  Also, the number of                                                               
high  school  seniors entering  the  university  as freshmen  has                                                               
decreased every  year. The  APS has not  increased the  number of                                                               
freshmen  attending  the  university.  She pointed  out  that  25                                                               
percent of  APS recipients  are also UA  Scholars. There  is some                                                               
overlap and getting  rid of the APS is not  as detrimental as has                                                               
been  portrayed.  Students  have access  to  other  scholarships,                                                               
loans, and grants.                                                                                                              
8:15:26 AM                                                                                                                    
SENATOR STEVENS  spoke in support  of the bill, but  has concerns                                                               
about doing  away with the  APS. He said the  APS is a  good idea                                                               
and  there has  not  been enough  time  to see  if  it works.  He                                                               
wondered if it is possible to  leave the program in place but cut                                                               
the  funding  to   it  so  that,  when  possible,   it  could  be                                                               
8:17:06 AM                                                                                                                    
MS. HUTCHISON said it is possible and it is a policy call.                                                                      
SENATOR STEVENS  said he is  not suggesting that they  change the                                                               
wording in the bill, but to consider it later in the process.                                                                   
8:17:54 AM                                                                                                                    
CHAIR HUGHES shared the same concern.                                                                                           
8:18:06 AM                                                                                                                    
SENATOR GIESSEL had  concerns that the APS was dipping  too low -                                                               
to C students. She appreciated  the data from the university. She                                                               
thought the University  Honors Scholar (UHS) Program  for the top                                                               
10 percent was  a great program. She requested the  amount of the                                                               
scholar program.                                                                                                                
MS. HUTCHISON offered  to provide the amount of  tuition paid for                                                               
by the UHS.                                                                                                                     
SENATOR GIESSEL said she does support  the bill, but the state is                                                               
in financial times.                                                                                                             
8:20:07 AM                                                                                                                    
MS. HUTCHISON  clarified that the  25 percent overlap of  the two                                                               
scholarships is just for the 2015-2016 school year.                                                                             
8:20:44 AM                                                                                                                    
SENATOR BEGICH voiced  concern about the lack of time  to work on                                                               
the bill.  He said they  need time to  debate whether the  APS is                                                               
working  and whether  to  revisit it  if it  is  not working.  He                                                               
agreed with  Senator Steven's  idea of leaving  the APS  in place                                                               
and  not funding  it. All  the public  testimony, except  for one                                                               
letter, opposed eliminating the APS.                                                                                            
He opined  that the  Innovation Grants  provide a  laudable goal,                                                               
however,  you also  must  look at  them in  terms  of the  fiscal                                                               
climate. It  is a voluntary  program, but no district  can afford                                                               
not to  do it. Also,  the bill  directs districts to  do specific                                                               
kinds of  programming and  it should  allow local  communities to                                                               
develop their own programs, not have  to accept the four areas as                                                               
listed on  pages 1 and 2  of the bill.  He said he may  oppose SB
103  because  of  that,  because it  will  force  communities  to                                                               
compete for the grants, and because it is premature.                                                                            
He voiced concerned  that SB 103 does not have  a fiscal note for                                                               
DEED to establish innovative programs,  nor does it show how much                                                               
of the $349 million will be  spent. SB 102's fiscal note does. He                                                               
commended the  sponsor and  the committee for  their work  on the                                                               
bill, but suggested they work on it during the interim.                                                                         
8:25:07 AM                                                                                                                    
MS. HUTCHISON explained  that the fiscal note for SB  102 shows a                                                               
repeating amount  of $16  million, an  amount that  should slowly                                                               
decrease. The  goal is  that the  fund would  grow because  it is                                                               
invested at 7 percent annually.                                                                                                 
She said SB 103 is a  guideline and the legislature will not have                                                               
a  say in  what kinds  of grants  are approved;  the commissioner                                                               
will deem  what is  necessary and  appropriate. The  expense will                                                               
have to  come from the  commissioner's budget and be  approved by                                                               
the governor and the legislature.                                                                                               
8:26:48 AM                                                                                                                    
HEIDI  TESHNER, Director  Administrative  Service, Department  of                                                               
Education  and Early  Development  (DEED),  addressed the  fiscal                                                               
note for  SB 103. She  said there are  three fiscal notes  for SB
103.  The first  one is  for the  student and  school achievement                                                               
allocation  and requests  two permanent  full-time positions,  an                                                               
education specialist and an education  associate, for $209,400 in                                                               
the personal services line. Within  the services line, $23,300 is                                                               
requested for department chargebacks and legal service costs.                                                                   
8:28:17 AM                                                                                                                    
STEPHANIE  BUTLER,  Interim   Executive  Director,  Postsecondary                                                               
Education, Department of Education  and Early Development (DEED),                                                               
addressed  two fiscal  notes related  to SB  103. The  first note                                                               
applies to the  repeal of the APS and shows  a reduction from the                                                               
original FY18 appropriation.  It is an estimate.  The second note                                                               
is relative to the repeal of  the Alaska Education Grant. It also                                                               
shows a  reduction from  the original  FY18 appropriation  and is                                                               
based on a statutory formula.                                                                                                   
8:30:29 AM                                                                                                                    
SENATOR COGHILL  thanked the  sponsor of  the bill.  He commented                                                               
that these  are tough  choices in the  time of  fiscal shortages.                                                               
He said  the bill  has a goal  to use the  money more  broadly to                                                               
lift more people up.                                                                                                            
He  shared  concerns.  He  would  prefer that  the  top  tier  of                                                               
students stay  in the APS.  He understood that, given  the budget                                                               
situation,  every  dollar  must   provide  the  best  benefit  to                                                               
students. He said he will support the bill.                                                                                     
8:32:45 AM                                                                                                                    
CHAIR  HUGHES  agreed  it  is  a  tough  decision.  She  supports                                                               
scholarships  that  allow  students  to go  beyond  high  school,                                                               
however, state finances are in  different times. The constitution                                                               
says the state  must establish and maintain  K-12 public schools.                                                               
When  it comes  to the  university, the  constitution establishes                                                               
it,  but  has   no  requirement  to  maintain   it.  The  state's                                                               
obligation is  to children.  She said  her goal  is to  have K-12                                                               
students that  graduate more  ready and  eligible for  grants and                                                               
scholarships. The APS  has been a great program and  has helped a                                                               
lot  of students  and families.  She  said she  will support  the                                                               
bill, but  she is not opposed  to keeping the APS  statute on the                                                               
8:34:46 AM                                                                                                                    
SENATOR  COGHILL  moved  to  report   SB  103,  version  O,  from                                                               
committee  with individual  recommendations  and attached  fiscal                                                               
SENATOR BEGICH  objected. He  agreed that the  key is  to prepare                                                               
children for  college and with the  idea of having more  rigor in                                                               
8:35:54 AM                                                                                                                    
SENATOR  STEVENS  expressed  appreciation for  Senator  Coghill's                                                               
comment on lifting people up. He  spoke in support of the average                                                               
student and  the fact that  they are  also valuable. It  is often                                                               
the average student that accomplishes much in life.                                                                             
8:36:52 AM                                                                                                                    
SENATOR BEGICH agreed.                                                                                                          
CHAIR HUGHES said  she appreciates the comments  about rigor. She                                                               
added  that  she  heard  from  districts  that  rigorous  courses                                                               
motivate  students. She  encouraged districts  to continue  those                                                               
8:37:36 AM                                                                                                                    
SENATOR  GIESSEL pointed  out that  there is  also a  remediation                                                               
issue. She  spoke in support of  the bill because it  takes scant                                                               
resources and  drives them down to  the K-12 level. She  said her                                                               
focus is on  the K-3 grade level and reading.  She agreed the APS                                                               
is great, but stressed the importance of funding basic skills.                                                                  
A roll  call vote was  taken. Senators Giessel,  Hughes, Coghill,                                                               
and Stevens  voted in favor of  moving SB 103 from  committee and                                                               
Senator Begich voted against it.  Therefore, SB 103 passed out of                                                               
the Senate Education Standing Committee by a 4:1 vote.                                                                          

Document Name Date/Time Subjects
SB 99 - Sponsor Statement.pdf SEDC 4/7/2017 8:00:00 AM
SB 99
SB 99 - Legislation Ver. O.pdf SEDC 4/7/2017 8:00:00 AM
SB 99
SB 99 - Sectional Analysis.pdf SEDC 4/7/2017 8:00:00 AM
SB 99
SB 99 - Fiscal Note - EED-ELC-03-31-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 99
SB 99 - Fiscal Note - EED-FP-03-31-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 99
SB 99 - Fiscal Note - EED-PEF-03-31-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 99
SB 99 - Fiscal Note - EED-PK-04-03-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 99
SB 102 - Fiscal Note - EED-LO-4-6-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 102
SB 103 - Fiscal Note - EED-SSA-04-05-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 103
SB 103 - Fiscal Note - EED-ACPE-04-05-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 103
SB 103 - Fiscal Note - EED-APSA-04-05-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 103
SB 104 - Fiscal Note - EED-SSA-04-06-17.pdf SEDC 4/7/2017 8:00:00 AM
SB 104
Comment SB 102 103 and 104-KPBSD Dusek.pdf SEDC 4/7/2017 8:00:00 AM
SB 102
SB 102, 103, 104 Email Comments.pdf SEDC 4/7/2017 8:00:00 AM
SB 102