Legislature(2013 - 2014)CAPITOL 106
02/04/2014 03:00 PM House HEALTH & SOCIAL SERVICES
| Audio | Topic |
|---|---|
| Start | |
| HB263 | |
| Presentation: Mmis, Department of Health and Social Services | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HB 263 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
HB 263-EXTEND SENIOR BENEFITS PAYMENT PROGRAM
3:06:44 PM
CHAIR HIGGINS announced that the first order of business would
be HOUSE BILL NO. 263, "An Act extending senior benefits."
3:07:11 PM
REPRESENTATIVE MIKE HAWKER, Alaska State Legislature, as sponsor
of HB 263, offered an overview of the bill. He explained that
this proposed bill would extend the termination date of the
Senior Benefits Payment Program from June 30, 2015 to June 30,
2021. He shared that the program had been established in 2007,
in response to the recognition for the unsustainability of the
original Longevity Bonus Program, which was not a needs based
program. He reported that there was still a need and a desire
to address the expenses of living in Alaska for low income
seniors. He explained that this was a three tiered program for
benefit payments of $125, $175, or $250 each month, based on
household income relative to the federal poverty level index.
He declared a desire to help Alaskan seniors with the proposed
bill, which would extend the program for six years through 2021.
3:10:40 PM
REPRESENTATIVE PRUITT asked for an explanation to the program
extension being presented this year, as it would not expire
until next year.
REPRESENTATIVE HAWKER, in response, said that the program was a
"life-safety security for these seniors." He explained that
waiting until next session would create greater angst for
seniors, while this proposed bill would let them know in advance
that the program was being extended. He declared that the
average age of the recipients was 75 years, and he said "quite
frankly, those are folks I don't want to cause trauma and
concern for over the course of the coming year."
3:12:17 PM
REPRESENTATIVE SEATON expressed his agreement with bringing this
issue forward early, although he stated concern for the six year
length of the proposed extension. He pointed out that the
current rate of deficit spending had reduced savings, which were
projected to run out sometime in the not too distant future. He
suggested amending the proposed bill to a three year extension,
as this would not put fiscal constraints on a future
legislature.
3:13:59 PM
REPRESENTATIVE HAWKER offered his opinion that the values of the
elected representatives to the State of Alaska should prioritize
programs which benefited all low income seniors across the
state. He asked to give low income seniors this additional
surety that the program had endorsement from the legislature for
more gravitas in the future. He allowed that the program would
always have to compete in the budget process for adequate
funding, although it should not have to "fight for its very
existence in a subsequent reauthorization." He declared that
this was the right thing to do, and the best thing to do, for
our seniors, and that it was possible for this to be done right
now.
3:16:22 PM
CHAIR HIGGINS expressed agreement with Representative Hawker,
although he stated his agreement with Representative Seaton for
fiscal conservatism. He declared that elders and children were
valuable resources in Alaska, and this value should not be
questioned. He endorsed the proposed bill in its current form.
REPRESENTATIVE HAWKER indicated AS 47.45.301(c), which stated
that program funding could be reduced or eliminated in a fiscal
year by the Department of Health and Social Services (DHSS) if
it estimated that appropriations for the program were
insufficient to meet the demands of the program. He declared
that there was an expansion and contraction mechanism in the
program, which would accomplish the same goal as intended by
Representative Seaton, without prematurely terminating the
program.
3:18:17 PM
REPRESENTATIVE SEATON asked if the current statute allowed the
department to shift payments to the most economically
challenged, as opposed to a pro rata reduction.
3:19:08 PM
REPRESENTATIVE HAWKER directed the question to DHSS for its
interpretation of the statute and its intentions. He reported
that low income seniors were not funded if in prison, in state
nursing homes, in veterans or Pioneer homes, or in public or
private institutions for mental disease. He declared that the
state was "very prudent with our spending of the money for this
program."
3:20:18 PM
RON KREHER, Director, Director's Office, Division of Public
Assistance, Department of Health and Social Services, said that
generally a pro rata reduction to balance across the groups
served would be followed, but ultimately DHSS desired to ensure
that those at greatest risk with the lowest income would be
ensured of the benefit.
3:21:14 PM
REPRESENTATIVE SEATON asked if the statute would require a pro
rata approach, or could the majority of payment be directed to
the most economically challenged group.
3:21:39 PM
MR. KREHER offered his belief that the statute allowed
flexibility for either approach, as this specific program was
not heavily regulated.
3:22:15 PM
REPRESENTATIVE NAGEAK clarified the income limits for benefits.
REPRESENTATIVE HAWKER pointed out an inconsistency regarding the
income limits of the federal poverty level in the sponsor
statement. Since it was written, there had been an adjustment
of the federal poverty level and he said he would revise the
sponsor statement. He stated that the smallest payment, $125
per person per month, applied to an individual senior with a
personal annual income of less than $25,515, or a married senior
couple with annual income less than $34,405. He said this was
bench marked to 175 percent of the federal poverty level. He
reported that the $250 per person per month payment went to
individual seniors with a personal income of $10,935 or less, or
married senior couples with an income of $14,745 or less, which
was 75 percent of the federal poverty level. He emphasized the
difficulty for these elders with the costs of living in Alaska.
He reflected that a lot of time had been spent creating these
tiers on the original bill, and that the program has proven its
importance and its durability and workability for the state. He
declared that DHSS had wide latitude to determine equitable
funding for the program, if it could not be fully funded.
3:26:14 PM
CHAIR HIGGINS closed public testimony.
3:26:31 PM
REPRESENTATIVE KELLER moved to adopt Amendment 1, labeled 28-
LS1256|A.1, Mischel, 1/31/14, which read:
Page 1, line 1:
Following "extending":
Insert "the Alaska"
Following "benefits":
Insert "payment program"
There being no objection, it was so ordered.
REPRESENTATIVE HAWKER, as the sponsor of proposed HB 263,
expressed his support for Amendment 1.
The committee took a brief at-ease.
3:28:16 PM
REPRESENTATIVE SEATON referenced his earlier concern for the six
year extension in proposed HB 263. He moved to adopt conceptual
Amendment 2, "which would be to change on line 6, page 1, 2021
to 2017."
3:29:11 PM
REPRESENTATIVE KELLER objected for discussion.
REPRESENTATIVE SEATON offered his belief that the department
[DHSS] would pro rata everything down, and he offered examples
to these payments. He opined that the legislature should
determine the payments. He expressed his concern for extending
a $25 million annual program for six years, when a budget
deficit was projected in the near future.
3:30:45 PM
REPRESENTATIVE PRUITT, referencing the proposed conceptual
Amendment 2, asked if Representative Seaton had intended the
proposed expiration date to be 2018, instead of 2017, as that
would be three years after the current expiration.
3:31:17 PM
REPRESENTATIVE SEATON asked to restate the expiration date in
his proposed conceptual Amendment 2 to be 2018.
3:31:45 PM
REPRESENTATIVE NAGEAK noted that the value of income levels was
dependent upon the cost of living in various areas of the state.
REPRESENTATIVE HIGGINS reminded committee members that
discussion should be limited to proposed conceptual Amendment 2.
REPRESENTATIVE KELLER expressed his support for the Senior
Benefits program, as it was an Alaska program, and was not
initiated through a federal matching program. He explained:
It's one we saw the need, we see the need, and we're
addressing it, and the reason that is significant to
the amendment, is that I personally prefer to give the
seniors a leg up on this one, because, if we get in,
like we are all very concerned about, the legislature,
if we get into this boat of looking for ways to cut,
this is going to be low hanging fruit, because its
dollar for dollar; in other words, they cut a dollar
out of spending for senior programs, it's a dollar
more in general funds; whereas a lot of the Medicaid
stuff, you know, we have to cut twice as much in the
spending in order to get the same savings.
REPRESENTATIVE KELLER expressed his desire to pass the proposed
legislation, and declared his opposition to proposed conceptual
Amendment 2.
3:34:08 PM
REPRESENTATIVE TARR expressed her opposition to proposed
conceptual Amendment 2, stating that a longer term commitment
promoted better planning and encouraged seniors to stay in
Alaska.
3:35:11 PM
REPRESENTATIVE SEATON withdrew proposed conceptual Amendment 2.
He declared his support for the program, and suggested that the
legislature, and not a department, should have the latitude to
make any changes to the program.
3:35:37 PM
The committee took a brief at-ease.
3:36:03 PM
REPRESENTATIVE KELLER moved to report HB 263, as amended, out of
committee with individual recommendations and the accompanying
fiscal notes. There being no objection, CSHB 263(HSS) was moved
from the House Health and Social Services Standing Committee.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 263.pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| HB 263 Sponsor Statement.pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| HB 263 SBP Fact Sheet (01-31-14).pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| HB263-DHSS-SBPP-02-03-14 Fiscal Note.pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| HB 263 ACoA Letter of Support.pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| HB263 AARP Letter of Support.pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| HB 263 Letter in support AGENET.pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| HB 263 Letter of support Community connections.pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| HB263 letter of support Carol Dejka.pdf |
HHSS 2/4/2014 3:00:00 PM |
HB 263 |
| AK MMIS Legistlative Review.pdf |
HHSS 2/4/2014 3:00:00 PM |
|
| Xerox MMIS Update.pdf |
HHSS 2/4/2014 3:00:00 PM |