Legislature(2011 - 2012)HOUSE FINANCE 519

04/09/2012 09:00 AM House FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Recessed to 2:15 pm Today --
+= HB 286 G.O. BONDS FOR PORTS TELECONFERENCED
Heard & Held
+ SB 92 DENTISTS/DENTAL HYGIENISTS/ASSISTANTS TELECONFERENCED
Moved HCS CSSB 92(L&C) Out of Committee
+ SB 130 ALASKA NATIVE LANGUAGE COUNCIL TELECONFERENCED
Moved HCS CSSB 130(FIN) Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
CS FOR SENATE BILL NO. 92(FIN)                                                                                                
                                                                                                                                
     "An Act relating to dental hygienists, dentists,                                                                           
    dental assistants, dental hygiene, and dentistry."                                                                          
                                                                                                                                
9:31:35 AM                                                                                                                    
                                                                                                                                
DANA OWEN,  STAFF, SENATOR DENNIS  EGAN, discussed  that the                                                                    
proposal  for  the  legislation  had  been  brought  to  the                                                                    
sponsor by  a committee  of dentists and  dental hygienists.                                                                    
He  explained  that  the  related   statutes  had  not  been                                                                    
reviewed  or revised  in  over 20  years;  during that  time                                                                    
there had been significant  changes in dentist practices and                                                                    
regulation.  He   relayed  that  Dr.  David   Logan,  former                                                                    
president  of  the  dental  board  was  present  to  provide                                                                    
detail. He  furthered that due  to the bill's high  level of                                                                    
detail it had been amended in each committee of referral.                                                                       
                                                                                                                                
Co-Chair  Stoltze  asked  for  a  general  overview  of  the                                                                    
legislation.                                                                                                                    
                                                                                                                                
Mr. Owen  observed that  it was unusual  to have  two groups                                                                    
such as  dentists and hygienists  come together on  a single                                                                    
bill;  groups   that  overlapped  in  their   practice  were                                                                    
frequently at odds over their scope of practice.                                                                                
                                                                                                                                
Co-Chair  Stoltze  had  detected some  tension  between  the                                                                    
dentists  and   hygienists  on   prior  iterations   of  the                                                                    
legislation;  both groups  would  have a  chance to  testify                                                                    
during the meeting.                                                                                                             
                                                                                                                                
DAVID  LOGAN,  LEGISLATIVE  CHAIR,  ALASKA  DENTAL  SOCIETY,                                                                    
thanked  the sponsor's  office for  all of  its work  on the                                                                    
legislation. He shared  that the society had  reached out to                                                                    
the Alaska  State Dental Hygienists' Association  (ASDHA) in                                                                    
recognition   that  the   bill  affected   both  groups   of                                                                    
professions. He  relayed that a  substantial amount  of time                                                                    
had gone into the development  of the legislation, given the                                                                    
numerous  necessary changes.  He  explained  that under  the                                                                    
legislation the dental board  investigator position would be                                                                    
increased from  part-time to  full-time, which  would result                                                                    
in an  increase of licensure  fees for license  holders. The                                                                    
legislation  accomplished  multiple   items  including,  the                                                                    
determination of who was eligible  to own a dental practice,                                                                    
the ability for  a practice to transition  out following the                                                                    
death of a practitioner, and significant language cleanup.                                                                      
                                                                                                                                
9:36:31 AM                                                                                                                    
                                                                                                                                
Representative Wilson  asked what the increase  in licensure                                                                    
fees would  be. Mr.  Logan responded  that the  fee increase                                                                    
would  be  determined  by   the  Division  of  Corporations,                                                                    
Businesses and  Professional Licensing (CBPL). He  had heard                                                                    
estimates of a potential $100 increase.                                                                                         
                                                                                                                                
Representative Guttenberg  referred to a  former constituent                                                                    
who  had  been  licensed  and  practiced  dentistry  in  New                                                                    
Zealand for  10 years; the  individual had not been  able to                                                                    
obtain a license to practice  in Alaska. He wondered whether                                                                    
the  legislation   would  address   the  issue.   Mr.  Logan                                                                    
responded   that   the   bill   revised   the   section   on                                                                    
qualifications  for licensure  and the  ability to  obtain a                                                                    
license  through   a  credentialing   process  based   on  a                                                                    
dentist's previous  practice and  history. He  observed that                                                                    
there were  dentists credentialing in frequently  from other                                                                    
countries. He deferred the question  to the director of CPBL                                                                    
for additional detail.                                                                                                          
                                                                                                                                
Representative  Guttenberg replied  that the  individual had                                                                    
been told that  he would need to go back  to school in order                                                                    
to  obtain a  license in  the  state. He  would discuss  the                                                                    
matter with the CBPL director.                                                                                                  
                                                                                                                                
Vice-chair Fairclough  asked whether  the bill  altered past                                                                    
legislation  that allowed  dental hygienists  to travel  and                                                                    
work in  rural areas without  the supervision of  a dentist.                                                                    
Mr.  Logan replied  that there  was  one section  clarifying                                                                    
allowed procedures, but that no  substantial change had been                                                                    
made.                                                                                                                           
                                                                                                                                
Vice-chair Fairclough asked for  the specific section in the                                                                    
legislation. Mr.  Logan pointed  to Section  13, page  8. He                                                                    
expounded that the bill would  insert the word "licensed" in                                                                    
front of the words "dental hygienist."                                                                                          
                                                                                                                                
9:39:27 AM                                                                                                                    
                                                                                                                                
Representative  Doogan surmised  that the  bill would  allow                                                                    
other   entities   to   own   dental   practices   including                                                                    
municipalities  and higher  education facilities.  Mr. Logan                                                                    
responded in the affirmative;  Section 37.08.367 defined who                                                                    
could own a dental practice.                                                                                                    
                                                                                                                                
Representative  Doogan wondered  why  the ability  to own  a                                                                    
dental  practice would  be expanded  to other  entities. Mr.                                                                    
Logan replied that  an entity may want to own  a facility to                                                                    
provide care for poor people.                                                                                                   
                                                                                                                                
Co-Chair  Stoltze  surmised   that  examples  would  include                                                                    
neighborhood   health   clinics   or   the   Department   of                                                                    
Corrections. Mr. Logan replied in the affirmative.                                                                              
                                                                                                                                
Representative  Doogan  believed  the provision  opened  the                                                                    
door  for multiple  dentists to  take  a share  in a  larger                                                                    
facility and  to expand the  number of people licensed  in a                                                                    
particular place.                                                                                                               
                                                                                                                                
9:41:23 AM                                                                                                                    
                                                                                                                                
Mr.  Logan   replied  that  there  was   currently  no  size                                                                    
restriction on the number of  dentists or hygienists allowed                                                                    
to work in one practice.                                                                                                        
                                                                                                                                
Representative Doogan asked whether the  bill would set up a                                                                    
situation  in which  a  number of  dentists  could create  a                                                                    
"Crowns  R Us"  practice. Mr.  Logan replied  that the  bill                                                                    
would not limit  the ability for dentists to  open a "Crowns                                                                    
R Us" practice.                                                                                                                 
                                                                                                                                
Representative  Neuman asked  whether the  bill strengthened                                                                    
or weakened  hygiene requirements. Mr. Logan  responded that                                                                    
the  bill  would  only  clean  up  any  antiquated  language                                                                    
related to dental hygienist  requirements. He furthered that                                                                    
current statute referred to a  state exam; however, the exam                                                                    
had  not   been  conducted   for  approximately   20  years.                                                                    
Qualifications  remained the  same  and included  graduation                                                                    
from hygiene school, passing a  national written test, and a                                                                    
regional practical board.                                                                                                       
                                                                                                                                
9:43:40 AM                                                                                                                    
                                                                                                                                
GAIL   WALDEN,  MEMBER,   ALASKA  STATE   DENTAL  HYGIENISTS                                                                    
ASSOCIATION,  WASILLA  (via teleconference),  supported  the                                                                    
bill. She  was on the  committee that had worked  to review,                                                                    
update,  and  condense  the Dental  Practice  Act  that  was                                                                    
addressed  in  the  legislation before  the  committee.  She                                                                    
stated  that the  bill maintained  the  current high  dental                                                                    
hygiene standards,  licensure, and practice. She  added that                                                                    
the   bill  updated   a  significant   amount  of   outdated                                                                    
information in statute.                                                                                                         
                                                                                                                                
Co-Chair  Stoltze believed  that the  process that  had gone                                                                    
into developing  the legislation was notably  better than in                                                                    
prior attempts  because dentists  and hygienists  had worked                                                                    
together.                                                                                                                       
                                                                                                                                
Representative  Neuman  pointed  to  Section  3  related  to                                                                    
dental hygienist  qualifications. He asked  for verification                                                                    
that the  bill only  provided cleanup  language and  did not                                                                    
hinder  the ability  of existing  hygienists to  practice in                                                                    
Alaska. Ms.  Walden responded that ASDHA  felt strongly that                                                                    
the  language  would  not make  changes  that  would  affect                                                                    
dental  hygienists  or  impact   care.  She  emphasized  the                                                                    
association's support for the wording included in the bill.                                                                     
                                                                                                                                
Representative Guttenberg  asked about the goal  of proposed                                                                    
language in Section 21: "the  board may delegate the board's                                                                    
power to  act here  and decide  matters." Mr.  Logan replied                                                                    
that the  mechanism allowed  the board  to delegate  some of                                                                    
the administrative capacities to the division. The day-to-                                                                      
day  paperwork   would  be  virtually  impossible   for  the                                                                    
practicing professionals on the board.                                                                                          
                                                                                                                                
9:46:42 AM                                                                                                                    
                                                                                                                                
Representative  Guttenberg asked  for verification  that the                                                                    
bill would  give some of  the board's responsibility  to the                                                                    
department. Mr.  Logan replied that  the board  was assigned                                                                    
certain  powers  under  the  central  statutes  and  it  was                                                                    
necessary  to have  the  ability to  delegate  items to  the                                                                    
division from a practical  standpoint; decisions would still                                                                    
be made by the board.                                                                                                           
                                                                                                                                
Ms. Walden thanked the committee for hearing the bill.                                                                          
                                                                                                                                
Co-Chair Stoltze CLOSED public testimony.                                                                                       
                                                                                                                                
Representative  Wilson asked  about  current licensure  fees                                                                    
and  how  much  they   would  increase  under  the  proposed                                                                    
legislation.                                                                                                                    
                                                                                                                                
DON   HABEGER,   DIRECTOR,    CORPORATIONS,   BUSINESS   AND                                                                    
PROFESSIONAL  LICENSING, DEPARTMENT  OF COMMERCE,  COMMUNITY                                                                    
AND ECONOMIC  DEVELOPMENT, replied  that currently  a dental                                                                    
license  fee  renewal  cost   approximately  $290  to  $300;                                                                    
renewal for a dental hygienist  license was $120. There were                                                                    
a number of  factors included in the determination  of a new                                                                    
fee; a new position would be  created to meet the mandate of                                                                    
the  legislation. There  was  currently  a part-time  dental                                                                    
investigator;   the  work   would  be   shifted  and   other                                                                    
professions  would pick  up  the 30  percent  to 50  percent                                                                    
cost. Professionals  would not pick  up the entire  cost; on                                                                    
the high-end the increase would  be approximately $80 on top                                                                    
of the current price. He  did not believe the analysis would                                                                    
show the high-end increase because  the board had a $100,000                                                                    
roll-forward that may be used.  A discussion and decision on                                                                    
the  fees  would   take  place  with  the   board  and  once                                                                    
determined the detail would be set in regulation.                                                                               
                                                                                                                                
Vice-chair Fairclough  asked whether  the increase  would be                                                                    
proportionately  raised  between   the  dentist  and  dental                                                                    
hygienist  licensees. Mr.  Habeger  answered  that CBPL  was                                                                    
required  to have  the discussion  with the  board prior  to                                                                    
setting the  fees; therefore,  he did  not know  whether the                                                                    
increase would be directly proportional or equal.                                                                               
                                                                                                                                
Vice-chair Fairclough wondered who  was sitting on the board                                                                    
in  order  to determine  how  the  fees would  be  allocated                                                                    
between the two groups.                                                                                                         
                                                                                                                                
9:51:17 AM                                                                                                                    
                                                                                                                                
Ms.  Walden  replied that  ASDHA  understood  that the  fees                                                                    
would be  up for  discussion. She  believed the  board would                                                                    
factor  in that  there were  more investigations  related to                                                                    
dentistry than dental hygiene.                                                                                                  
                                                                                                                                
Representative Doogan noted that  the initial fiscal note of                                                                    
$113,000  was  reduced  to $107,000  [in  subsequent  fiscal                                                                    
years]. He  wondered whether  the remainder  represented the                                                                    
leftover cost after  the fee increase. He  asked whether the                                                                    
fiscal note would be zeroed  out. Mr. Habeger responded that                                                                    
the initial $113,000 recognized  necessary startup costs for                                                                    
items such  as office  equipment; because those  items would                                                                    
not be needed in subsequent  years the cost had been reduced                                                                    
[after FY 13].                                                                                                                  
                                                                                                                                
Representative Doogan asked whether  the note should be zero                                                                    
[after FY  13]. Mr. Habeger  replied that the  startup costs                                                                    
would be reduced to zero in subsequent years.                                                                                   
                                                                                                                                
Representative Doogan  pointed to  the annual  $107,000 cost                                                                    
that  extended  out  beyond  the  first  year.  Mr.  Habeger                                                                    
replied that certain costs would  continue and were factored                                                                    
into  the  $107,000   including,  the  investigator  salary,                                                                    
transportation  costs  of  approximately  $2,000  per  year,                                                                    
contractual costs such as the  involvement of the Department                                                                    
of Law if an investigation went to a hearing, and other.                                                                        
                                                                                                                                
Representative Doogan surmised that  the additional cost was                                                                    
related  to  law enforcement  and  not  salary. Mr.  Habeger                                                                    
replied  in   the  affirmative.  He  specified   that  costs                                                                    
included in  the $107,000 subsequent  to FY 13 would  be for                                                                    
the investigator, and  support services (including telephone                                                                    
and internet).                                                                                                                  
                                                                                                                                
Representative  Doogan  thought  that  the  fiscal  increase                                                                    
resulting from the legislation would  be covered by dentists                                                                    
and dental  hygienists; he no  longer believed that  was the                                                                    
case.                                                                                                                           
                                                                                                                                
Co-Chair Stoltze noted  that Representative Doogan's initial                                                                    
understanding was correct.                                                                                                      
                                                                                                                                
9:55:29 AM                                                                                                                    
                                                                                                                                
Vice-chair   Fairclough  pointed   to   the  Department   of                                                                    
Commerce, Community and Economic  Development Fiscal Note 3.                                                                    
She explained  that for personnel  services, costs  would be                                                                    
funded  by receipts  received by  professionals. The  fiscal                                                                    
note included  funds for travel, services,  and commodities.                                                                    
Commodities began  at $6,000  in FY 13  and were  reduced to                                                                    
$1,000 from  FY 14 to  FY 18. The department  was requesting                                                                    
$112,900 in  FY 13 from  receipts collected from  dental and                                                                    
dental  hygiene   licensing;  the  figure  was   reduced  to                                                                    
$107,000 annually  from FY 14  through FY 18. There  was one                                                                    
full-time position that  would be hired in  perpetuity to be                                                                    
supported by licensing fees.                                                                                                    
                                                                                                                                
Co-Chair Stoltze MOVED  to ADOPT Amendment 1  (by request of                                                                    
the sponsor):                                                                                                                   
                                                                                                                                
     Page 15, following line 27:                                                                                                
                                                                                                                                
     Insert a new bill section to read:                                                                                         
     "* Sec.  30. AS  08.36.234 is amended  by adding  a new                                                                    
     subsection to read:                                                                                                        
     (d)   A   dentist   applying  for   licensure   without                                                                    
     examination  shall  be  interviewed in  person  by  the                                                                    
     board or by  a member of the board before  a license is                                                                    
     issued.  The   interview  must  be  recorded.   If  the                                                                    
     application is  denied on the  basis of  the interview,                                                                    
     the  denial  shall  be  stated  in  writing,  with  the                                                                    
    reasons for it, and the record shall be preserved."                                                                         
                                                                                                                                
     Renumber the following bill sections accordingly.                                                                          
                                                                                                                                
Co-Chair Thomas OBJECTED for discussion.                                                                                        
                                                                                                                                
Mr.  Owen explained  that the  amendment  addressed an  item                                                                    
that had  been overlooked  earlier in  the bill  process. He                                                                    
asked Dr. Logan to explain the intent of the amendment.                                                                         
                                                                                                                                
Mr. Logan  communicated that  dentists and  hygienists could                                                                    
obtain a  license by taking an  exam at one of  the regional                                                                    
boards  or hygienists  could use  their past  five years  of                                                                    
practice history  as a  basis. He  furthered that  the board                                                                    
felt that there were not  really any meaningful questions to                                                                    
ask during the hygienist  licensure process; similarly there                                                                    
was not  much to ask  dentists coming out of  school because                                                                    
they  had  no  practice   experience  or  track  record.  He                                                                    
detailed  that the  amendment would  make  it mandatory  for                                                                    
dentists who were credentialing  into the state to interview                                                                    
with the board because they did have a past track history.                                                                      
                                                                                                                                
Representative Costello asked about  the decision to include                                                                    
the language  "or by  a member of  the board."  She believed                                                                    
that  the   responsibility  for  the  people   applying  for                                                                    
licensure  in the  state should  be taken  on by  the entire                                                                    
board. Mr. Logan replied that  the decision had been made by                                                                    
Legislative  Legal  Services with  the  goal  of giving  the                                                                    
board  flexibility.  He was  agreeable  to  the change  that                                                                    
would include the board in its entirety.                                                                                        
                                                                                                                                
Representative Costello  MOVED to AMEND Amendment  1 on line                                                                    
5 to delete "or by a member of the board."                                                                                      
                                                                                                                                
Representative Guttenberg OBJECTED  for discussion. He asked                                                                    
whether a decision by one member  of the board would have to                                                                    
be  ratified by  the entire  board. Mr.  Logan replied  that                                                                    
each  application  for  credentialing was  ratified  by  the                                                                    
majority of the board.                                                                                                          
                                                                                                                                
Representative  Guttenberg   asked  for   verification  that                                                                    
Amendment  1  would  allow  the  examination  of  a  dentist                                                                    
credentialing into  the state  to be  conducted by  a single                                                                    
board  member   and  the  change  under   the  amendment  to                                                                    
Amendment 1  would require the  examination to  be conducted                                                                    
by   the  entire   board.  Mr.   Logan   responded  in   the                                                                    
affirmative.                                                                                                                    
                                                                                                                                
Representative  Gara agreed  that all  of the  board members                                                                    
should  have  the opportunity  to  ask  questions during  an                                                                    
examination of  a dentist credentialing  into the  state. He                                                                    
asked  for  verification  that  his  understanding  was  the                                                                    
intention of the amendment to Amendment 1.                                                                                      
                                                                                                                                
Representative Costello replied in the affirmative.                                                                             
                                                                                                                                
Co-Chair Stoltze  observed that there may  be occasions when                                                                    
the  board was  not able  to get  together for  a couple  of                                                                    
months, which could  delay an interview. He did  not want to                                                                    
cripple the board's ability to conduct interviews.                                                                              
                                                                                                                                
Vice-chair Fairclough  wondered how the change  would impact                                                                    
a dentist  who moved  to an  isolated location  for service;                                                                    
the person  may be  required to travel  to a  board meeting.                                                                    
She asked  how often the  board met. Mr. Logan  replied that                                                                    
the  board  met  quarterly. He  relayed  that  jurisprudence                                                                    
examinations   occurred   at  board   meetings;   therefore,                                                                    
interviewees  would  be required  to  attend  a meeting  for                                                                    
their interview.                                                                                                                
                                                                                                                                
10:02:52 AM                                                                                                                   
                                                                                                                                
Representative  Joule  wondered  whether  the  amendment  to                                                                    
Amendment 1  would require  all members of  the board  to be                                                                    
present at  the board meeting  to conduct an  interview. Mr.                                                                    
Owen  replied  that  the  quorum to  do  business  would  be                                                                    
sufficient.                                                                                                                     
                                                                                                                                
10:04:55 AM                                                                                                                 
RECESSED                                                                                                                        
                                                                                                                                
2:21:11 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                
Co-Chair Stoltze indicated that  an amendment to Amendment 1                                                                    
had  been discussed  earlier  in the  morning.  He asked  if                                                                    
there were any amendments to Amendment 1.                                                                                       
                                                                                                                                
Representative    Edgmon   asked    whether   the    earlier                                                                    
contemplated amendment  was no  longer part of  Amendment 1.                                                                    
Co-Chair  Stoltze  indicated  there were  no  amendments  to                                                                    
Amendment 1.                                                                                                                    
                                                                                                                                
Co-Chair Thomas  WITHDREW objection. There being  NO further                                                                    
OBJECTION Amendment 1 was adopted.                                                                                              
                                                                                                                                
Co-Chair  Thomas MOVED  to report  HCS CSSB  92(FIN) out  of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal  note. There being NO  OBJECTION, it was                                                                    
so ordered.                                                                                                                     
                                                                                                                                
HCS CSSB  92(FIN) was REPORTED  out of committee with  a "do                                                                    
pass"  recommendation and  with previously  published fiscal                                                                    
impact note: FN3 (CED).                                                                                                         
                                                                                                                                
2:23:45 PM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
2:26:40 PM                                                                                                                    
RECONVENED                                                                                                                      
                                                                                                                                

Document Name Date/Time Subjects
HB 286 CS WORKDRAFT 27-GH2769-B.pdf HFIN 4/9/2012 9:00:00 AM
HB 286
HB286CS(FIN)-DOR-TRS-04-06-12NEW.pdf HFIN 4/9/2012 9:00:00 AM
HB 286
SB 92 Lttr from OR Board of Dentistry.PDF HFIN 4/9/2012 9:00:00 AM
SB 92
SB 92 lttr supporting, ADPAC-DAPAC.PDF HFIN 4/9/2012 9:00:00 AM
SB 92
SB 92 CBPL memo, Habeger 04012011.PDF HFIN 4/9/2012 9:00:00 AM
SB 92
SB 92 ANTHC letter 3-31-11.PDF HFIN 4/9/2012 9:00:00 AM
SB 92
SB 92 lttr, SCF proposed amendment.pdf HFIN 4/9/2012 9:00:00 AM
SB 92
SB 92 Sponsor Statement for H FIN.pdf HFIN 4/9/2012 9:00:00 AM
SB 92
SB 92 Sectional Analysis and Summary of Changes for HFIN.pdf HFIN 4/9/2012 9:00:00 AM
SB 92
SB92 AMENDMENT 1 STOLTZE.pdf HFIN 4/9/2012 9:00:00 AM
SB 92
SB 130 Cursory Survey.pdf HFIN 4/9/2012 9:00:00 AM
SB 130
SB 130 Sponsor Statement.pdf HFIN 4/9/2012 9:00:00 AM
SB 130
SB 130 Legal Services Memo 11.08.11 attachments.pdf HFIN 4/9/2012 9:00:00 AM
SB 130
SB 130 Explanation of Changes.pdf HFIN 4/9/2012 9:00:00 AM
SB 130
SB 130 Cursory Survey.pdf HFIN 4/9/2012 9:00:00 AM
SB 130