Bill Funds Rural Alaskan Schools

FAIRBANKS, Alaska — Rural schools statewide will now see consistent funding for new construction after the passage of a legislative bill aimed at improving educational facilities outside major cities and boroughs.


Senate Bill 237, sponsored by the Senate Education Committee, provides approximately $38 million a year for construction projects in Rural Education Attendance Areas. 


“The State of Alaska’s school bond debt reimbursement program is an important partnership between local communities and the state,” says Sen. Kevin Meyer (R-Anchorage), co-chair of the Senate Education Committee. “It has allowed projects on the Department of Education and Early Development’s approved list to be reimbursed for up to 70 percent of their costs by the state, and allowed local governments to perform school construction that they might not otherwise be able to afford.”


Legislators cited a 2001 district court ruling that determined that Alaska’s method of funding capital projects “does not provide rural schools with adequate or equitable funding opportunities.”

Grants for REAAs will be formula-based and the balance of the fund will be limited to $100 million. SB 237 also sets standards for energy efficiency in new school construction and renovations to minimize long-term costs. 


“This bill brings equity to school construction funding across Alaska and gives REAAs the same level of funding predictability urban areas have enjoyed for years,” says Sen. Joe Thomas (D-Fairbanks), co-chair of the Senate Education Committee.

SB 237 amended the bond debt reimbursement allowance for municipal school districts. The bill passed both the Alaska Senate and House in April. 


The Department of Education and Early Development’s list of capital improvement projects for fiscal year 2011 includes 35 schools statewide, amounting to a $412 million state share of the construction costs. Major projects include a $47 million K-12 replacement school in Alakanuk, a $56 million renovation and addition to the Kipnuk K-12 school, and a $41 million replacement to the K-12 school in Napaskiak.