EDU: SCHOOLS/TEACHERS/SCHOOL BD/LOAN PRGM, the official text

00Enrolled HB 28
01Relating to education; relating to reimbursement of school district energy costs; relating to 
02 correspondence study program materials; relating to substitute teaching; relating to the 
03 qualifications of school board members; relating to school consolidation; relating to the 
04 required local contribution made by a city or borough school district for public school 
05 funding; relating to reemploying retired members of the teachers' retirement system at 
06 regional resource centers; establishing a teachers' student loan repayment pilot program; and 
07 providing for an effective date. 
08 _______________ 
09 * Section 1. AS 14.03.078(a) is amended to read: 
10 (a) The department shall provide to the legislature and school districts by 
11 February 15 of each year by electronic means an annual report regarding the progress 
12 of each school and school district toward high academic performance by all students. 
13 The report required under this section must include 
14 (1) information described under AS 14.03.120;

01 (2) progress of the department 
02 (A) toward implementing the school accountability provisions 
03 of AS 14.03.123; and 
04 (B) in assisting high schools to become accredited; 
05 (3) a description of the resources provided to each school and school 
06 district for coordinated school improvement activities and staff training in each school 
07 and school district; 
08 (4) each school district's and each school's progress in aligning 
09 curriculum with state education performance standards; 
10 (5) a description of the efforts by the department to assist a public 
11 school or district that receives a low performance designation under AS 14.03.123; 
12 (6) a description of intervention efforts by each school district and 
13 school for students who are not meeting state performance standards; 
14 (7) the number and percentage of turnover in certificated personnel and 
15 superintendents; 
16 (8) a summary of the categories of certificated administrative 
17 employees employed by each school district that includes the ratio of 
18 (A) the number of certificated administrative employees in 
19 each category employed by each school district compared to the number of 
20 students enrolled in the school district on October 1 of the previous year; 
21 (B) the total number of certificated administrative employees 
22 employed by each school district compared to the total number of teachers 
23 employed by the school district on October 1 of the previous year; and 
24 (C) the total number of teachers employed by each school 
25 district compared to the total number of students enrolled in the school district 
26 on October 1 of the previous year; 
27 (9) the progress made to implement the reading intervention programs 
28 established under AS 14.30.760 - 14.30.780, including data on how school districts are 
29 using in-service days for culturally responsive professional development in reading 
30 instruction; [AND] 
31 (10) the effectiveness and participation rates of the parents as teachers

01 program established under AS 14.03.420, including measures of efficiency and 
02 effectiveness that demonstrate the effects of the program on school readiness; and 
03 (11) information relating to reimbursement of school district 
04 energy costs under AS 14.03.128, including 
05 (A) each school district's actual expenditures for and 
06 amount of heating fuel and electricity for facilities used by the district for 
07 each of the preceding four fiscal years; and 
08 (B) the amount the department distributed to each school 
09 district under AS 14.03.128 for the previous fiscal year. 
10 * Sec. 2. AS 14.03 is amended by adding a new section to read: 
11 Sec. 14.03.128. Reimbursement of district energy costs. (a) Subject to 
12 appropriation, the department shall annually reimburse each eligible district an amount 
13 equal to the district's three-year energy cost average. The department shall calculate 
14 the amount of a district's three-year energy cost average for a fiscal year by combining 
15 the amount of the district's actual expenditures for heating fuel and electricity for 
16 facilities used by the district, as reported to the department under AS 14.14.050, for 
17 each of the first three of the preceding four fiscal years and dividing that sum by three. 
18 (b) A district is eligible to receive reimbursement under (a) of this section for 
19 a fiscal year if the district makes reasonable efforts, as determined by the department, 
20 not to increase the amount of energy the district used during that fiscal year from the 
21 amount used in the preceding fiscal year. The department may withhold 
22 reimbursement to a district under this section only after providing the district with 
23 notice and an opportunity to respond. 
24 (c) If the amount appropriated for a fiscal year is insufficient to meet the 
25 amounts authorized in this section, the department shall reduce pro rata the amount 
26 reimbursed to districts by the necessary percentage as determined by the department. 
27 (d) In this section, "district" has the meaning given in AS 14.17.990. 
28 * Sec. 3. AS 14.03.300 is amended by adding a new subsection to read: 
29 (c) A student who ceases to be enrolled in a correspondence study program 
30 operated by a school district may retain textbooks, equipment, and other curriculum 
31 materials provided to the student through the program, including materials purchased

01through an annual student allotment provided to a parent or guardian of the student 
02 under AS 14.03.310, if the textbook, equipment, or material is of the type that a 
03 student may retain when the student ceases to be enrolled in a physical school in the 
04 district. 
05 * Sec. 4. AS 14.08.041 is amended by adding a new subsection to read: 
06 (g) Notwithstanding AS 14.14.140, a member of a regional school board may 
07 be employed as a substitute teacher at a school under emergency circumstances of a 
08 time-limited duration. 
09 * Sec. 5. AS 14.12.080 is amended to read: 
10 Sec. 14.12.080. Qualification of members. To be eligible to be a member of a 
11 school board, a person must have the same qualifications as are necessary to be a 
12 municipal voter in the school district and may not have been convicted of a felony 
13 involving moral turpitude unless the person has been unconditionally discharged 
14 for the felony and at least 10 years have passed since the date of unconditional 
15 discharge. In this section, "unconditionally discharged" has the meaning given in 
16 AS 12.73.090. 
17 * Sec. 6. AS 14.14.050(b) is amended to read: 
18 (b) The audit shall conform in form to requirements established by the 
19 commissioner and must include the information the department determines is 
20 necessary to calculate reimbursement of the school district's energy costs under 
21 AS 14.03.128. The commissioner shall withhold all payments of state funds after 
22 November 15 to a school district that fails to file a certified copy of the audit with the 
23 department. 
24 * Sec. 7. AS 14.17.410(b) is amended to read: 
25 (b) Public school funding consists of state aid, a required local contribution, 
26 and eligible federal impact aid determined as follows: 
27 (1) state aid equals basic need minus a required local contribution and 
28 90 percent of eligible federal impact aid for that fiscal year; basic need equals the sum 
29 obtained under (D) of this paragraph, multiplied by the base student allocation set out 
30 in AS 14.17.470; district adjusted ADM is calculated as follows: 
31 (A) the ADM of each school in the district is calculated by

01 applying the school size factor to the student count as set out in AS 14.17.450; 
02 (B) the number obtained under (A) of this paragraph is 
03 multiplied by the district cost factor described in AS 14.17.460; 
04 (C) the ADMs of each school in a district, as adjusted 
05 according to (A) and (B) of this paragraph, are added; the sum is then 
06 multiplied by the special needs factor set out in AS 14.17.420(a)(1) and the 
07 secondary school vocational and technical instruction funding factor set out in 
08 AS 14.17.420(a)(3); 
09 (D) the number obtained for intensive services under 
10 AS 14.17.420(a)(2) and the number obtained for correspondence study under 
11 AS 14.17.430 are added to the number obtained under (C) of this paragraph or 
12 under (H) and (I) of this paragraph; 
13 (E) notwithstanding (A) - (C) of this paragraph, if a school 
14 district's ADM adjusted for school size under (A) of this paragraph decreases 
15 by five percent or more from one fiscal year to the next fiscal year, the school 
16 district may use the last fiscal year before the decrease as a base fiscal year to 
17 offset the decrease, according to the following method: 
18 (i) for the first fiscal year after the base fiscal year 
19 determined under this subparagraph, the school district's ADM adjusted 
20 for school size determined under (A) of this paragraph is calculated as 
21 the district's ADM adjusted for school size, plus 75 percent of the 
22 difference in the district's ADM adjusted for school size between the 
23 base fiscal year and the first fiscal year after the base fiscal year; 
24 (ii) for the second fiscal year after the base fiscal year 
25 determined under this subparagraph, the school district's ADM adjusted 
26 for school size determined under (A) of this paragraph is calculated as 
27 the district's ADM adjusted for school size, plus 50 percent of the 
28 difference in the district's ADM adjusted for school size between the 
29 base fiscal year and the second fiscal year after the base fiscal year; 
30 (iii) for the third fiscal year after the base fiscal year 
31 determined under this subparagraph, the school district's ADM adjusted

01for school size determined under (A) of this paragraph is calculated as 
02 the district's ADM adjusted for school size, plus 25 percent of the 
03 difference in the district's ADM adjusted for school size between the 
04 base fiscal year and the third fiscal year after the base fiscal year; 
05 (F) the method established in (E) of this paragraph is available 
06 to a school district for the three fiscal years following the base fiscal year 
07 determined under (E) of this paragraph only if the district's ADM adjusted for 
08 school size determined under (A) of this paragraph for each fiscal year is less 
09 than the district's ADM adjusted for school size in the base fiscal year; 
10 (G) the method established in (E) of this paragraph does not 
11 apply to a decrease in the district's ADM adjusted for school size resulting 
12 from a loss of enrollment that occurs as a result of a boundary change under 
13 AS 29; 
14 (H) notwithstanding (A) - (C) of this paragraph, if one or more 
15 schools close and consolidate with one or more other schools in the same 
16 community and district and, as a result of the consolidation, basic need 
17 generated by the district's ADM of the consolidated schools as adjusted under 
18 (A) - (C) of this paragraph decreases, the district may use the last fiscal year 
19 before the consolidation as the base fiscal year to offset that decrease for the 
20 first four fiscal years following consolidation according to the following 
21 method: 
22 (i) for the first two fiscal years after the base fiscal year, 
23 the district's ADM of the consolidated schools as adjusted under (A) - 
24 (C) of this paragraph is calculated by dividing the sum of the district's 
25 ADM of the consolidated schools as adjusted under (A) - (C) of this 
26 paragraph for the base fiscal year by the sum of the district's ADM of 
27 the consolidated schools for the base fiscal year without adjustment, 
28 and subtracting the quotient obtained by dividing the district's ADM of 
29 the consolidated schools for the current fiscal year as adjusted under 
30 (A) - (C) of this paragraph by the sum of the district's ADM of the 
31 consolidated schools for the current fiscal year without adjustment,

01multiplying that number by the sum of the district's ADM of the 
02 consolidated schools for the current fiscal year without adjustment, and 
03 adding that number to the sum of the district's ADM of the consolidated 
04 schools for the current fiscal year as adjusted under (A) - (C) of this 
05 paragraph; 
06 (ii) for the third fiscal year after the base fiscal year, the 
07 district's ADM of the consolidated schools as adjusted under (A) - (C) 
08 of this paragraph is calculated by dividing the sum of the district's 
09 ADM of the consolidated schools as adjusted under (A) - (C) of this 
10 paragraph for the base fiscal year by the sum of the district's ADM of 
11 the consolidated schools for the base fiscal year without adjustment, 
12 and subtracting the quotient obtained by dividing the sum of the 
13 district's ADM of the consolidated schools for the current fiscal year as 
14 adjusted under (A) - (C) of this paragraph by the sum of the district's 
15 ADM of the consolidated schools for the current fiscal year, 
16 multiplying that number by the sum of the district's ADM of the 
17 consolidated schools for the current fiscal year without adjustment, 
18 multiplying that number by 66 percent, and adding that number to the 
19 sum of the district's ADM of the consolidated schools for the current 
20 fiscal year as adjusted under (A) - (C) of this paragraph; 
21 (iii) for the fourth fiscal year after the base fiscal year, 
22 the district's ADM of the consolidated schools as adjusted under (A) - 
23 (C) of this paragraph is calculated by dividing the sum of the district's 
24 ADM of the consolidated schools as adjusted under (A) - (C) of this 
25 paragraph for the base fiscal year by the sum of the district's ADM of 
26 the consolidated schools for the base fiscal year without adjustment, 
27 and subtracting the quotient obtained by dividing the sum of the 
28 district's ADM of the consolidated schools for the current fiscal year as 
29 adjusted under (A) - (C) of this paragraph by the sum of the district's 
30 ADM of the consolidated schools for the current fiscal year, 
31 multiplying that number by the sum of the district's ADM of the

01consolidated schools for the current fiscal year without adjustment, 
02 multiplying that number by 33 percent, and adding that number to the 
03 sum of the district's ADM of the consolidated schools for the current 
04 fiscal year as adjusted under (A) - (C) of this paragraph; 
05 (iv) to calculate the district's basic need for each fiscal 
06 year, the number obtained through the calculation in (i), (ii), or (iii) of 
07 this subparagraph is added to the number obtained under (C) of this 
08 paragraph for the remainder of the district; 
09 (I) if the basic need calculated under (H)(i) - (iii) of this 
10 paragraph for one of the first four fiscal years after consolidation is less than 
11 the basic need calculated under (A) - (C) of this paragraph for that fiscal year, 
12 the basic need may not be adjusted under (H) of this paragraph for that fiscal 
13 year; 
14 (J) a district may not offset a decrease under (H) of this 
15 paragraph if 
16 (i) a new facility is constructed in the district for the 
17 consolidation; or 
18 (ii) the district offset a decrease under (E) of this 
19 paragraph in the same fiscal year; 
20 (K) a district that offsets a decrease under (H) of this paragraph 
21 may not reopen a school that was closed for consolidation in the district until 
22 (i) four [SEVEN] or more years have passed since the 
23 school closure; and 
24 (ii) the district provides evidence satisfactory to the 
25 department that the schools affected by the consolidation are over 
26 capacity; 
27 (L) a district may not reopen and reconsolidate a school that 
28 was consolidated in the district more than once every four [SEVEN] years for 
29 purposes of the calculations made under (H) of this paragraph; 
30 (M) a district offsetting a decrease under (H) of this paragraph 
31 shall provide the department with the list of schools participating in the

01 consolidation and the corresponding ADM; 
02 (2) the required local contribution of a city or borough school district is 
03 the equivalent of a 2.65 mill tax levy on the full and true value of the taxable real and 
04 personal property in the district as of January 1 of the second preceding fiscal year, as 
05 determined by the Department of Commerce, Community, and Economic 
06 Development under AS 14.17.510 and AS 29.45.110; the required local 
07 contribution may [,] not [TO] exceed 
08 (A) 45 percent of a district's basic need for the preceding fiscal 
09 year as determined under (1) of this subsection; or 
10 (B) the amount of the district's required local contribution 
11 for the preceding fiscal year by more than four percent. 
12 * Sec. 8. AS 14.20.136(a) is amended to read: 
13 (a) Subject to (b) - (d) of this section, a school district or regional resource 
14 center established under AS 14.12.150 may reemploy a member who is retired under 
15 a retirement plan established in AS 14.25.009 - 14.25.220, or a member who is retired 
16 under a retirement plan established in AS 14.25.310 - 14.25.590. In this subsection, 
17 "school district" has the meaning given in AS 14.30.350. 
18 * Sec. 9. AS 14.20.136(b) is amended to read: 
19 (b) A member who is retired under AS 14.25.110(a) may not be reemployed 
20 under (a) of this section unless the member 
21 (1) certifies that the member and the school district or regional 
22 resource center did not arrange before the member retired from the school district or 
23 regional resource center for the member to be reemployed by the school district or 
24 regional resource center after the member retired; and 
25 (2) has been retired for at least 
26 (A) 60 days if the member is at least 62 years of age; or 
27 (B) six months if the member is less than 62 years of age. 
28 * Sec. 10. AS 14.20.136(c) is amended to read: 
29 (c) Before reemploying a retired member under (a) of this section to fill a 
30 position, a school district or regional resource center shall 
31 (1) by resolution, adopt a policy that describes the circumstances of a

01 shortage or anticipated shortage of applicants, other than retired members, who are 
02 qualified for particular positions and permits rehiring that complies with the 
03 requirements of this section; and 
04 (2) publicly advertise the position for 10 business days and actively 
05 recruit to fill the position by hiring a person other than a member who is retired. 
06 * Sec. 11. AS 14.20.136(e) is amended to read: 
07 (e) A school district or regional resource center that reemploys a member 
08 under this section who is retired under the defined benefit retirement plan established 
09 in AS 14.25.009 - 14.25.220 is required to 
10 (1) provide the administrator with 
11 (A) a copy of the resolution and policy adopted under (c) of 
12 this section; and 
13 (B) for every retired member who is rehired, a report 
14 identifying the member by name and describing the 
15 (i) circumstances of the shortage that necessitated the 
16 rehire; and 
17 (ii) actions taken by the school district or regional 
18 resource center to comply with [SCHOOL DISTRICT] policy adopted 
19 under (c) of this section and the requirements of this section; and 
20 (2) make contributions under AS 14.25.070. 
21 * Sec. 12. AS 14.25.043(f) is amended to read: 
22 (f) If a member who retired under AS 14.25.110(a) is reemployed by a school 
23 district or regional resource center under AS 14.20.136, 
24 (1) the member does not become an active member; 
25 (2) the member shall continue to receive retirement benefits from the 
26 plan as though the member were not reemployed by the school district or regional 
27 resource center; 
28 (3) deductions from the member's salary may not be made under 
29 AS 14.25.050; and 
30 (4) the member may not receive credited service in the plan during the 
31 period of reemployment.

01 * Sec. 13. AS 14.25.043(g) is amended to read: 
02 (g) Notwithstanding (f) of this section, a member who is retired under 
03 AS 14.25.110(a) and reemployed by a school district or regional resource center 
04 under AS 14.20.136 is eligible to receive the group health plan coverage provided to 
05 active members employed by that school district or regional resource center. 
06 * Sec. 14. The uncodified law of the State of Alaska is amended by adding a new section to 
07 read: 
08 STUDENT LOAN REPAYMENT PILOT PROGRAM. (a) The Alaska Commission 
09 on Postsecondary Education shall develop and administer a teachers' student loan repayment 
10 pilot program. A person applying for a grant must submit the application to the commission 
11 by a deadline established by the commission, on a form provided by the commission. Subject 
12 to appropriation, the commission may award a grant to a person who 
13 (1) is employed as a full-time certificated teacher in a public school to teach 
14 special education, English as a second language, science, technology, engineering, or 
15 mathematics; 
16 (2) has completed a postsecondary degree or certificate program; 
17 (3) has an outstanding student loan, as described in 26 U.S.C. 108(f)(2), 
18 incurred by the person for the degree or certificate program; and 
19 (4) has otherwise exhausted all other federal and state student loan repayment 
20 programs for which the person is eligible. 
21 (b) The commission shall 
22 (1) establish an application process for participation in the program; 
23 (2) implement policies to determine the efficacy of the program toward 
24 improving the recruitment and retention rates of teachers who receive a grant under this 
25 section; and 
26 (3) evaluate the effects of the program on employee recruitment and retention 
27 for the purpose of preparing the report required under sec. 15 of this Act. 
28 (c) The commission may require a person to refinance the outstanding student loan 
29 described in (a) of this section with the commission in order to participate in the program. 
30 (d) Grants awarded under this section are payable upon completion of the person's 
31 contract term.

01(e) The commission may award a grant to a person each year in an amount equal to 
02 one-third of the balance of the outstanding student loan owed by the person. A grant awarded 
03 to a person under this section may not exceed $5,000 each year and may not be awarded for 
04 more than three years. 
05 (f) Grants may be awarded under this section each fiscal year. The total dollar amount 
06 of grants awarded under this section may not exceed $1,000,000 in a fiscal year. If the amount 
07 appropriated in a fiscal year is insufficient to meet the amounts awarded under (a) of this 
08 section, the commission shall reduce pro rata the amounts awarded by the necessary 
09 percentage as determined by the commission. 
10 (g) The commission may adopt regulations necessary to implement this section. 
11 (h) In this section, "commission" means the Alaska Commission on Postsecondary 
12 Education. 
13 * Sec. 15. The uncodified law of the State of Alaska is amended by adding a new section to 
14 read: 
15 PILOT PROGRAM: REPORT. On or before December 31, 2028, the Alaska 
16 Commission on Postsecondary Education shall submit a report to the senate secretary and the 
17 chief clerk of the house of representatives and notify the legislature that the report is 
18 available. The report must include the effects of the student loan repayment pilot program 
19 developed under sec. 14 of this Act on teacher recruitment and retention and an analysis of the 
20 overall success rate and effectiveness of the student loan repayment pilot program thus far. 
21 * Sec. 16. The uncodified law of the State of Alaska is amended by adding a new section to 
22 read: 
23 APPLICABILITY. Sections 8 - 13 of this Act apply to contracts made on or after the 
24 effective date of secs. 8 - 13 of this Act. 
25 * Sec. 17. Section 14 of this Act is repealed June 1, 2030. 
26 * Sec. 18. Section 15 of this Act is repealed January 1, 2029. 
27 * Sec. 19. Section 7 of this Act takes effect July 1, 2026. 
28 * Sec. 20. Sections 1, 2, and 6 of this Act take effect July 1, 2027. 
29 * Sec. 21. Except as provided in secs. 19 and 20 of this Act, this Act takes effect 
30 immediately under AS 01.10.070(c).