LESS THAN TEN DAYS TO GO

The pace here in the Legislature has picked up considerably with only a little over a week to go. With the passage of the operating budget from both houses, and establishment of the operating budget Conference Committee, we are now under the 24 hour rule which means committees can schedule bill hearings with 24 hour notice. We have also started having floor sessions into the evening, working our way through bills and resolutions. Some major pieces of the “end game” are in play including the capital budget, the education bill and the natural gas pipleline bill. There is still some question about whether we will be able to complete our work before the statutory session deadline of April 20th.

Sam with fellow members of the House Education Committee where he served as an alternate while Rep. Harriet Drummond was absent due to family medical leave.

REAL BSA

On Monday night, the House went until after midnight where I and the fellow members of my caucus fought to improve the Education bill (HB 278). We were successful in removing the controversial pay-as-you-go plan to fund the Teachers Retirement System and we were able to restore the school size factor that was modified to the detriment of smaller school facilities in the House Finance Committee. That amendment also included a one-time grant to schools of $30 million, which is equivalent to approximately a BSA of $120 on top of the small increase to the actual BSA included in the bill. Other provisions remained in the bill that gave me concern and I am hopeful that those issues can be corrected as the bill moves through the process.

I and other Democrats offered a plan to increase the Base Student Allocation (BSA) by $404/$200/$200 over the course of three years. Our proposed increase would have provided funding that school districts could have counted on year after year, would have prevented teacher layoffs, and would have helped make up for the losses school districts have suffered in recent years. Unfortunately our amendment did not pass. The bill ended up with a BSA increase of $185, which is effectively only an $85 increase over last year because of one-time funding that was in last year’s budget. The bill includes a smaller increase of $58 BSA in years two and three which does not provide adequate funding to avoid teacher losses in those years. In Juneau the funding increase will only reverse a portion of the cuts and provides $1.8 million towards the $4.5 million deficit the Juneau School District is facing.

We also worked, unsuccessfully, to remove onerous tax credit language from the bill that would allow businesses to avoid state taxes by claiming a credit for donations to private schools. These tax credits will take resources away from public schools and remove educational accountability for our public dollars. We also tried to remove a change to the teacher tenure system. The tenure provision increases the required time for teachers to achieve tenure from three years to five, except in first class cities of less than 5,500 where the tenure requirement remains at three years. As passed, the bill also allows state overreach into district personnel decisions by calling for a state salary and benefits study, trumping a school district’s ability to negotiate directly with teachers.

Ultimately, I voted against the bill because of the concerning policy changes that allowed public funding for private schools, the salary study requirement, and a BSA increase that does not provide adequate funding for our schools. I will continue to fight for a BSA increase that makes a difference in classrooms across Alaska.

Sam stands with other Representatives and House clerks dressed in blue for Wear Blue Day to show support for child abuse awareness.

CAPITAL BUDGET

Also in play this time of year is the capital budget (SB 119). The capital budget generally starts life in the Senate and then moves over to the House. SB 119 is currently on its way over to the House and includes additions made by the Senate Finance committee to the version originally proposed by the governor. Detailed reports of the capital budget by House district and by agency can be found on the Legislative Finance page.

Added into the Senate version of the Capital Budget was $37.5 Million which will fully fund completion of the SLAM (State Library Archives and Museum) Project. Without full funding the project would have been delayed, which would have cost the state an additional $9 million. At this point, the budget is only halfway through the legislative process and subject to change. Following is a listing of other projects in the district and throughout Juneau that the Senate has included in the bill:

• Gustavus – Upgrade the GVFD/EMS 911 Radio System $64,958

• Juneau – Joint City, State, Federal Parking Facility in Willoughby District $1.5 million

• Juneau - Last Chance Basin Well Field Upgrades $1.35 million

• Juneau - Salmon Creek Water Treatment Facility $650,000

• Juneau – Fire Department Mobile Data Terminals $66,000

• Petersburg – Renovation of Police Station $1 million

• Juneau – UAS Deferred Maintenance $4.27 million

• Juneau – Boy Scouts Safety Features on Gun Range $15,000

• Juneau – Territorial Sportsman Public Use Cabins $37,500

• Juneau – Eagle Beach Winter Trail Grooming Implement $6,200

• Juneau – Gruening Cabin Major Maintenance and Residency Program Startup $30,000

• Juneau – UAS Mining Workforce Development $120,000

• Juneau – SEARCH Pediatric Dental Clinic Expansion $193,000

• Skagway – Replace Captain William Henry Moore Bridge $13.4 million

• Skagway – Float Extension $1.8 million

• Juneau – Gavel to Gavel Video Server Replacement $190,000

• Juneau – Catholic Community Services Commercial Dishwasher Replacement $10,000

• Juneau – Dimond Park Field House Parking Lot Paving Project $72,000

• Juneau – REACH Energy Efficiency Upgrade to Failing Heating System $98,000

• Juneau – SAIL Accessible Vehicle $23,000

• Juneau – SERRC Kitchen Renovations $35,700

• Juneau – Front Street Clinic Equipment Acquisition $43,000

There are also other priorities for the district that I will be working on when SB119 comes over to the House.

Sam pictured with Rep. Andy Josephson on the House Floor

RETIREE BOOKLET

After significant concerns were raised by our delegation and plan recipients, the Division of Retirement and Benefits has decided to postpone the project of revising the AlaskaCare Retiree Plan Booklet. The plan update will be revised over the next year and the Department will continue to operate under a continuation of the existing plan as amended. The Division will be hosting an informational meeting for retirees on April 28th at Centennial Hall – Hickel Room from 2-4 p.m.

I have heard from many constituents with concerns regarding the transition and I have met with Commissioner Thayer along with representatives from Aetna and CVS Caremark to relay those concerns to them. I am working to have the Department take the first line of responsibility for review of denied claims, followed by a technical review committee. I have concerns about the Department’s proposal to include the Office of Administrative Hearings in the appeal process. With claimants, this step could preclude other appeal options, so I will be watching this proposal very closely. I am continuing to monitor the existing plan administration and proposed plan development processes, and will provide information in my newsletter as it becomes available.

Sam saying hello to Jim Lottsfeldt after floor session

My office door is always open, if you are in Juneau, please come by and talk to me or my staff about any issues, concerns or comments you may have.

Sincerely,

Sam Kito III