Opinion: Alaska school districts deserve more transparency from state education department

In early October 2024, the Alaska Department of Education & Early Development (DEED) released a draft proposal to change a standing regulation that would expand the definition of “local contribution.” Local contribution is the dollar amount that municipalities and organized boroughs across the state contribute to their school district. The local contribution is then directly subtracted from the amount that the state funds that school district using the statutory formula. The proposed regulation change represents a major shift in how “local contribution” is defined, and will directly, negatively affect the total amount of money many districts receive.

At this point in time, we have heard from Education Commissioner Deena Bishop that the proposed regulation change is required to bring Alaska in line with federal guidelines. She says the change would ensure that Alaska meets the disparity test, a process used by the U.S. Department of Education to evaluate whether a state’s school funding distribution is equitable across all school districts.

The problem with Commissioner Bishop’s explanation is not only does it directly conflict with guidance given by DEED since 2016, Alaska passed the FY 2024 disparity test and is passing the FY 2025 disparity test by the widest margins in almost a decade (using the current definition of local contribution). Furthermore, the proposed regulation would directly conflict with federal guidance on transportation funding in Alaska and with DEED’s 2021 testimony on the disparate student transportation needs in Alaska. So why exactly is a regulation change required now?

The federal Department of Education overseeing the Federal Impact Aid Program has stated that it neither asked nor recommended that DEED change its state regulations. A letter from the U.S. Education Department says, “State regulations are not within the Impact Aid Program’s interest or purview.”

[Earlier coverage: Alaska school districts could take financial hit as education department considers tighter limits on local funding]

This proposed change would have enormous financial impacts to many school districts in the state. Anchorage would potentially see an $11 million decrease in funding. Juneau would see funding for high school and middle school activities eliminated as well as dramatically hinder their ability to provide funding for student transportation and student food services. Many other districts would also see the funding for extracurricular activities and sports, food services/student nutrition, and pupil transportation negatively impacted.

These impacts would directly and negatively impact Alaska’s students, the very population that DEED is supposed to be supporting.

Frankly, this proposed regulation change can only be viewed as a stealth raid on school district budgets. Parents deserve to know why DEED is proposing a change that has no merit other than to further defund public education in Alaska.

We should all be asking about the real motivation behind the proposed regulation change and strongly oppose measures to further defund public education, regardless of the answer.

(As of the writing of this piece, the Alaska Association of School Business Officials has opposed the regulation change and the Juneau Board of Education has passed a resolution in opposition to the proposed regulation change with more school district boards considering doing the same.)

Caroline Storm is executive director of the Coalition for Education Equity of Alaska.

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