Senate passes scholarships; is Parnell on board?

Senators have reached a new compromise on a scholarship plan, but it could fall short of what Gov. Sean Parnell hoped to see.

They moved a bill of their own in March establishing merit and needs-based scholarship. Tonight, the Senate passed Parnell's pitch, called the Governor's Performance Scholarship - but in a far different shape. Along with the second scholarship bill, they sent a letter to the House explaining their intent to meld the various approaches and use SB 224 as a framework.

For most of the session, senators have blessed Parnell's strictly merit-based plan as a good concept that needs real work in its details. Many senators have relentlessly pushed for a needs-based component as well.

The differences appeared likely to block the governor's bill, at least until he told Anchorage Daily news reporter Sean Cockerham this week that the plan is worth everything, and he isn't ruling out a special session on the issue. (Read that story here)

The House still gets a shot at the bill, and could offer new amendments. But as to the version passed by the Senate, Parnell spokeswoman Sharon Leighow had this to say:

"While the governor is pleased that progress is being made, he remains committed to a merit-based program."

Senate Pres. Gary Stevens, a former college professor, said the bill passed tonight marks progress, albeit with a difference of opinion remaining. Stevens said while Parnell told the Senate he was okay with only $7 million to fund the $400 million original proposal, he didn't agree with the addition of $3 million for needs-based awards.

"I think we realize that we both have to move forward together - you can't eliminate one or the other," Stevens said. "We sort of came to an agreement that we would do both and let the House know that's our interest, and see where we all stand."

For senators, adding needs was a must.

"I just know so many kids I had as students who had to drop out along the way because they couldn't pay tuition," Stevens said. They had every ability in the world."

Sen. Con Bunde, R-Anchorage and head of the four-person minority bloc, called his colleagues out on the hastily moved bill, saying it won't pass the red-faced test. The Senate's Finance Committee heard the bill for the first time Saturday afternoon, and hastened it on to a floor vote that took all of seven minutes of debate. Bunde said backers didn't seem to know what was and wasn't tucked into the measure.

"I'm just so frustrated with the lack of good public process," Bunde vented. "We had months to do this, bill, and they're playing chicken with the governor."

Bunde said Parnell has warned the Majority, and now the Minority, that a special session is likely without his plan intact.

"Now they're blinking and at the last time cobbling these things together that are good ideas, but in half an hour, trying to do a major bill?" Bunde said.

The bill passed by the Senate - and now before the House - would take effect July 1 for a year. Students with a 3.5 grade point average or higher would be eligible for a $4,755 scholarship, a level that decreases along with grades. Lawmakers would approve $7 million for that, and add $3 million to the Alaska Advantage Grant Program, developed to cover needs scholarships.

"We want, basically, merit and needs-based to travel together for one year, give the task force a chance to work on a more long-term solution," Sen. Kevin Meyer, R-Anchorage, said. "This also will force the task force to get to work. I think we've got a good structure in place here."

Sen. Johnny Ellis, D-Anchorage, has long pushed for needs-based financial aid, and said this bill is a compromise.

"It seems like a reasonable accommodation with the governor's goals and our goals, but there are people who in the process who only want merit, and not to address the students who have financial need," Ellis lamented.

Is the governor on board?

"I really don't know," Ellis said. "But a majority of us came together and felt it was a balanced, fair approach. He gets his victory."