Summary of Proceedings

Joint Education Interim Committee

School District Administration Building                                                                   October 13, 2005

222 East 4^th Avenue                                                                                                  Afton, Wyoming

PRESENT:      Senator Henry H.R. "Hank" Coe and Representative Jeff Wasserburger, Cochairmen;

Senators Tex Boggs, Kit Jennings and Chuck Townsend;

Representatives Debbie Hammons, Becket Hinckley, Del McOmie, Lorraine Quarberg and Mark Semlek.

Other Legislators in Attendance:  Senator Pat Aullman.

Legislative Service Office: Dave Nelson and Joe Rodriguez.

Others Present:  See attached Appendix A.

ABSENT:        Senator Robert Peck and Representatives Kurt Bucholz, Patrick Goggles and Steve Harshman.

AGENDA:      See attached Appendix B.

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Representative Jeff Wasserburger, Committee CoChair, called the Joint Education Interim Committee to order at 8:05 a.m.  Roll call of Committee members indicated ten present and four members absent.

Education Merit Scholarship Committee Report.

CoChair Wasserburger, on behalf of the eleven member Committee established by 2005 Laws, Chapter 190, presented the report and legislative proposals implementing report recommendations.  A copy of materials is attached at Appendix C.  The report is provided pursuant to law and involved four meetings at which similar programs in other states were reviewed, legislation introduced in the 2005 General Session was considered, public commentary was received and recommendations extensively discussed.  University and Community College Commission personnel developed a cost model to assist in establishing program parameters and determining program funding levels.  The results of Committee efforts are forwarded in three legislative proposals all receiving unanimous approval.  CoChair Wasserburger introduced Senator Boggs, Dr. Andrew Hansen and Brian Monteith, Committee members in attendance, together with Rick Miller, University of Wyoming, and Jim Rose, Wyoming Community College Commission, who provided assistance to Committee study efforts.

06LSO-0042.W11, "Hathaway scholarship program."

Senator Boggs presented recommendations contained within draft legislation incorporating Merit Scholarship Committee recommendations for the Hathaway scholarship program.  A copy of the draft is included within materials submitted under Appendix C.  Senator Boggs added approximately $140,000 has been committed to date by the Governor's office, the Department of Education, the University and the Community College Commission to ensure necessary administrative work is accomplished for program implementation by Fall Semester 2006.

Initiating program explanation, Senator Boggs reported program eligibility is based upon University and Community College residency requirements and successful completion of a high school curriculum.  Eventually, the requirements will include completion of the success curriculum to be developed by the Department of Education by the fall of 2011.  In response to Representative Hammons, the success curriculum is recommended to begin at grade 8 for introduction and understanding of necessary course prerequisites, and is to be gradually implemented through 2011.  Further and in response to Representative Hammons, the draft allows part-time student participation to the extent that hours of enrollment meet satisfactory progress.

Program eligibility is extended to home school attendees and GED recipients to the extent other program requirements are met.  The proposal does not apply retroactively and is restricted to students graduating from a Wyoming high school on and after the program start date.  Exemptions from residency are provided, limitations are imposed on qualification time frames and waivers from requirements are allowed for good cause.  The recommendations restrict eligibility to Wyoming post secondary institutions based upon the rational that the program is funded through public funds, the program encourages proficiency in rigorous education programs and encourages entrance in Wyoming post secondary education programs.

Representative Semlek stated 2005 legislative consideration of scholarship programs was based upon the premise of a significant need to increase high school graduation rates, not necessarily Wyoming post secondary attendance.  Representative Hinckley inquired as to application to nonpublic Wyoming post secondary programs, to which CoChair Wasserburger responded recommendations restrict program scholarships to the University and community colleges on the premise that public funds be expended for public schools.  Mr. Miller, responding to an inquiry by Representative Semlek, indicated the Hathaway program would not impact the nursing and teacher scholarship programs, which go beyond the focus of the Hathaway program.

Discussion focused on program funding and funding growth potential.  Earnings from the endowment account established by 2005 legislation are deposited into an expenditure account from which program costs are funded.  The legislation also establishes a reserve account to ensure sufficient fund levels within the expenditure account, to be maintained at a level equivalent to the greater of $12 million or 3.75% of the endowment corpus.  Based upon the projection that $400 million produces annual earnings of roughly $16 million, initial program funding is by a $17 million appropriation from the common school permanent fund reserve account to be used only as needed.  The balance would be deposited into the reserve account.  For sustained program funding, the Committee recommends an initial appropriation to the endowment account during the current fiscal period in which historically high revenues are available to the state.  The establishment of a permanent fund by constitution is also recommended to enable higher investment returns.  In response to an inquiry from Senator Jennings, CoChair Wasserburger indicated the Committee recommendations do not continue use of foundation program funds as provided in 2005 legislation.

Continuing with a description of program components, Senator Boggs described the different scholarship programs and respective eligibility requirements and funding levels.  Scholarship amounts were based upon available funds as projected by eligibility requirements and student participation numbers.  Also noted was the division of program funds between merit-based scholarships and need-based scholarships, specified by draft legislation at 80% merit and 20% need-based.  The need-based scholarship is predicated upon the unmet financial need as measured by the expected family contribution set by federal financial aid and by all other scholarship funding received other than Hathaway funds.

Responding to Education Committee questions on the required success curriculum and district resistance, Senator Boggs stated the curriculum components are of no surprise and have been previously expressed by both the University and community colleges.  The proposal allows districts, for purposes of addressing constituents, to distinguish between the success curriculum and high school graduation requirements imposed pursuant to law.  The Merit Scholarship Committee also suggests the Department of Education adopt statewide assessment standards and scores to augment ACT and other measures used for scholarship eligibility.

Program administration is delegated primarily to the Department of Education as the clearinghouse entity, with the University and community colleges also tasked with many aspects of program administration such as initial program eligibility.  It was pointed out the University and Community College Commission have commenced rule promulgation prescribing standardized high school transcript requirements.  The Merit Scholarship Committee strongly suggests fall 2006 program operation be contingent upon appropriate administrative funding.

Members of the Select School Finance Committee in attendance responded to questions regarding the ability of school finance recalibration to allow for success curriculum implementation by districts, stating that recalibrated resources and program strategies upon which resource components are based would provide sufficient resources to districts for this purpose.

Education Committee concern was voiced regarding GED eligibility for program participation, to which Senator Boggs indicated the Merit Scholarship Committee focused considerable debate.  Some instances may warrant GED eligibility such as court-ordered placements and some home-based students.  Senator Boggs concluded by emphasizing provisions within the proposal specifically included to clarify that the program is not intended to be or become an entitlement and that the program may be terminated at any time by the Legislature.

CoChair Wasserburger added the Merit Scholarship Committee recommendations include two additional legislative proposals, one providing the immediate appropriation to the endowment account (06LSO-0145, and one providing a resolution for constitutional establishment of a trust fund (06LSO-0056).  Further discussion of these measures would occur subsequent to discussion by the Joint Appropriations Committee and Management Council.

Scholarship Program Cost Model.

Rick Miller, University of Wyoming, discussed the cost model developed by the University and the Community College Commission to assist the Merit Scholarship Committee with defining program parameters and estimating program funding requirements.  David Gruen and Sara Axelson in addition to Dr. Hansen were introduced by Mr. Miller, all University staff assisting with this modeling effort.

Assumptions and incomplete data used in model building were emphasized by the University in providing cost estimates of program operation.  That said, Mr. Miller briefly reviewed model concepts and operation.  A copy of associated material accompanying the review is attached at Appendix D.  Based upon program parameters and recommendations of the Merit Scholarship Committee, model estimates for 2006-2007 initial year costs total $4.4 million, with annual need-based costs at $3.4 million and an annual cost estimate of $15.4 million for full operation in 2009-2010.

Charter School Initiative.

Stephen Friess initiated comments of Wyoming Charter School Initiative participants by describing the purpose and activities of the Institute summarized in attached Appendix E.  The Initiative represents a group of educators and parents attempting to increase educational options for Wyoming students through public charter schools and to promote optimal structures for charter school success, as based upon the Institute's on-going dialogue with national reform and funding organizations.

Margarita Rovani and Lin Poyner, Laramie Snowy Range Academy, spoke to Committee members on the rationale for establishing charter schools and the effectiveness and impact of charter schools on public education.  Despite the performance and success of Snowy Range Academy, charter schools in Wyoming have been slow to develop due primarily to school district opposition and statutory restrictions.  Proposed legislative changes to Wyoming charter school statutes addressed funding, charter authority, charter facilities and waivers from state and district regulation.  A copy of remarks is attached at Appendix F.

Representing the Journey School, a nonprofit science school operating in Jackson, Jack Shea reported the school attempted to acquire a charter from the school district but was not approved by the local board.  The school is building a national model for educational programs with environmental science as its core.

Kathleen Crowley presented experience with the charter school process and similar to Mr. Shea, failed to obtain local school board charter approval.  Ms. Crowley spoke on behalf of the Jackson Hole Community School.  In response to Committee inquiry, Ms. Crowley indicated local board non-approval was based upon its concern that the school would not meet state and district accountability requirements.  The Community School program is not accredited by an organization recognized by the state.  Similar to previous comments, Ms. Crowley suggested revision of charter school statutes pertaining to charter authority and waivers from state regulation, particularly pertaining to teacher certification requirements.

Fiona Haag, on behalf of friends of Alpine School, addressed Committee members on Alpine's experience with school district facility planning regarding location of a school in Alpine.  Frustrated by this experience, the community pursued a charter with the district.  Suggestion was made for statutory provision of a charter authority other than the school district.

CoChair Coe concluded discussion by indicating Committee members are welcome to present legislative proposals at a subsequent Committee meeting.

Lincoln County School District #2 Professional Development.

Joseph Semandeni, LCSD #2, presented components of the district's professional development program for teachers.  The program is based upon motivational and learning principles for overcoming barriers to performance, and uses a multiple step process in improving student performance.  Starting with best practices, alternative strategies and criteria for identifying key practice elements, the system is designed to target mastery levels.  Upon refinement and competency at targeted mastery levels, the program integrates performance with traditional pay incentives.

The district's program provides a long-term strategy for teacher development, requiring initial teacher devotion at a rate of at least two hours every three weeks.  Funding at $100 per student per year is required during initial years of program operation, increased to $200 per student per year during later years of program operation.  Additionally, adequate training time is required, which amounts to nearly eight hours for administrators and board members, eight hours for teachers and forty hours for teacher facilitators.  Materials supplementing Mr. Semandeni's remarks are attached at Appendix G.

Following Mr. Semandeni's presentation, perspectives of the district's program were provided by district teachers, parents, administrators and school board members, as identified in attached Appendix G.

CoChair Coe announced the district will provide site visits to district schools for observation of teacher study groups and program application.

Future Meetings.

CoChair Coe announced the Committee is scheduled to meet jointly with the Select School Finance Committee in Casper on Monday and Tuesday, October 31 and November 1.  The meeting will be devoted to school finance recalibration.  A public hearing on recalibration has been set for November 10 and 11, followed by an additional meeting scheduled for December 6 and 7.  More specifics will be provided at a later date.

Adjournment.

There being no further business before the Committee, CoChair Coe adjourned the meeting at 2:40 p.m.

Respectfully submitted,

____________________________    _________________________________

Senator Henry H.R. "Hank" Coe,           Representative Jeff Wasserburger,

Committee CoChair                               Committee CoChair