State of Alaska
Fiscal Note
Bill Version: SB 58
2021 Legislative Session
Fiscal Note Number: 2
(S) Publish Date: 1/29/2021
Identifier: 0674-EED-FP-1-26-21 Department: Department of Education and Early Development
Title: FUNDING FOR CORRESPONDENCE Appropriation: K-12 Aid to School Districts
PROGRAMS Allocation: Foundation Program
Sponsor: RLS BY REQUEST OF THE GOVERNOR OMB Component Number: 141
Requester: Governor
Expenditures/Revenues
Note: Amounts do not include inflation unless otherwise noted below. (Thousands of Dollars)
Included in
FY2022 Governor's
Appropriation FY2022 Out-Year Cost Estimates
Requested Request
OPERATING EXPENDITURES FY 2022 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027
Personal Services
Travel
Services
Commodities
Capital Outlay
Grants & Benefits
Miscellaneous
Total Operating 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Fund Source (Operating Only)
None
Total 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Positions
Full-time
Part-time
Temporary
Change in Revenues
None
Total 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Estimated SUPPLEMENTAL (FY2021) cost: 0.0 (separate supplemental appropriation required)
Estimated CAPITAL (FY2022) cost: 0.0 (separate capital appropriation required)
Does the bill create or modify a new fund or account? No
(Supplemental/Capital/New Fund - discuss reasons and fund source(s) in analysis section)
ASSOCIATED REGULATIONS
Does the bill direct, or will the bill result in, regulation changes adopted by your agency? No
If yes, by what date are the regulations to be adopted, amended or repealed?
Why this fiscal note differs from previous version/comments:
Initial version; not applicable.
Prepared By: Heidi Teshner, Director Phone: (907)465-2875
Division: Finance and Support Services Date: 01/26/2021 02:45 PM
Approved By: Lacey Sanders, Administrative Services Director Date: 01/26/21
Agency: Office of Management and Budget
Printed 1/29/2021 Page 1 of 2 Control Code: lIQAO
SB 58 - Fiscal Note 2
FISCAL NOTE ANALYSIS
STATE OF ALASKA BILL NO.
2021 LEGISLATIVE SESSION
Analysis
This bill addresses funding for correspondence programs operated by school districts (both district and statewide
programs) by amending AS 14.17.140(b)(1)(C), Public school funding, and AS 14.17.430, State funding for correspondence
student.
This bill provides for the following changes to the Public School Funding Formula (Foundation Formula) as it pertains to
correspondence students:
(1) Moves the correspondence student average daily membership (ADM) from the end of the Foundation Formula, when
determining basic need, so correspondence students are eligible for the special education and career and technical
education multipliers; and
(2) Changes the weight of a correspondence student ADM from 90 percent to the actual ADM, as submitted.
This change is projected to cost the State of Alaska approximately $35.5 million, starting in FY2022, and is based on the
FY2022 projected correspondence ADM count of 18,798.30.
Attached to the Public Education Fund (PEF) fiscal note is a breakdown of the increase in funding by school district. This
change impacts only 32 of the 54 school districts, as not all school districts operate a district and/or statewide
correspondence program.
The effective date of this bill is July 1, 2021 (FY2022).
The funding mechanism is a general fund transfer to the Public Education Fund (PEF). The fiscal note effect for FY2022
through FY2027 is reported in the fiscal note for the PEF, as the funding is deposited to the PEF, not into the Foundation
Program funding component. The above analysis is presented here for explanation purposes only.
(Revised 1/13/2021 OMB/LFD) Page 2 of 2
0674-EED-FP-1-26-21 Page 2 of 2 Control Code: lIQAO

Statutes affected:
SB0058A, AM SB 58, introduced 01/29/2021: 14.17.410, 14.17.470, 14.17.450, 14.17.460, 14.17.430, 14.17.420, 14.17.510, 29.45.110