Legislature(1997 - 1998)

04/09/1997 01:10 PM House JUD

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
 HB 207 - EMPLOYER DRUG TESTING PROGRAM                                        
                                                                               
 Number 1275                                                                   
                                                                               
 JEFF LOGAN, Legislative Assistant to Representative Joe Green,                
 spoke regarding HB 207, "An Act relating to employer drug and                 
 alcohol testing programs."  He requested because of time                      
 constraints that he be allowed to provide a more detailed                     
 introduction of the bill when the committee reconvened at 5:30                
 p.m., after taking testimony on SB 41.                                        
                                                                               
 MR. LOGAN advised members that HB 207 offered certain, limited                
 immunity from law suit, in exchange for the employer developing a             
 written drug testing plan and policy.  He noted that earlier during           
 the year, a number of legislators received a letter from a                    
 gentleman in Anchorage, Alaska who was a member of a national                 
 association who had model drug testing legislation.  Mr. Logan                
 pointed out that the sponsor of HB 207, Representative Joe Green,             
 had requested that his staff research any legislation that existed            
 in other states, or was being introduced on drug testing policies.            
 He advised members that last year HB 522 had been introduced and he           
 had discussed with the sponsor of that legislation whether or not             
 they intended to reintroduce the legislation, and it was found out            
 that they had not intended to reintroduce the legislation.  Because           
 of that, Mr. Logan advised members that they reviewed HB 522,                 
 discussed it with employer and employee groups, and arrived at the            
 language contained in HB 207.                                                 
                                                                               
 CHAIRMAN GREEN accepted comments via teleconference from Anchorage,           
 Alaska, and invited Frank Dillon to present his testimony on HB
 207.                                                                          
                                                                               
 Number 1406                                                                   
                                                                               
 FRANK DILLON, Executive Director, Alaska Trucking Association,                
 advised members the Association was a 38-year-old trade association           
 which consisted of truck users from all over the state.  He advised           
 members that they supported HB 207 and would like to see the bill             
 passed and implemented in an expeditious manner.                              
                                                                               
 MR. DILLON stated that the Association saw the legislation as a               
 type of tort reform.  He pointed out that if a problem arose and              
 damage had occurred that the person who was, basically, responsible           
 for the damage incur the liability.  Mr. Dillon stated that seemed            
 logical and reasonable to the Trucking Association, and hoped that            
 members would support the bill.                                               
                                                                               
 Number 1435                                                                   
                                                                               
 MATTHEW FAGNANI, President of Allvest Laboratories, Inc., advised             
 members they were a third party drug, alcohol program                         
 administrative company that provided drug and alcohol testing                 
 programs for more than 1400 companies.                                        
                                                                               
 MR. FAGNANI advised members that he also served as a board member             
 for the National Organization of the Substance Abuse Programmers              
 Administration Association, which was an organization that                    
 promulgated good policy and standardized policies, and proper                 
 procedures throughout the nation.  He noted that there were several           
 hundred members involved in that organization nationwide.                     
                                                                               
 MR. FAGNANI advised members that HB 207 was necessary to establish            
 policy for drug testing.  He expressed that currently there were              
 more than 53,000 Alaskan individuals involved in mandatory drug and           
 alcohol testing by a the federal government; the U.S. Department of           
 Transportation Industry, the Coast Guard, Airlines, Pipelines and             
 Trucking industries.  Mr. Fagnani advised members that it did not             
 include all the non-mandated testing that was done, for instance,             
 at the Alyeska Ski Resort, or the many hotels, such as the Westmark           
 and the Hilton.  He would estimate that the number of Alaskans                
 covered by mandatory drug testing programs was closer to possibly             
 75,000 to 80,000 statewide.                                                   
                                                                               
 MR. FAGNANI expressed that when considering the state's population,           
 a huge chunk of that population was in a program where there was no           
 state guidelines as to how employers were supposed to establish               
 testing programs.  He pointed out that HB 207 would assist                    
 employers in establishing policies that would mandate the U.S.                
 Department of Health and Human Services requirement for stamps of             
 certified laboratories that were being used.                                  
                                                                               
 MR. FAGNANI further stated that the bill would establish policy to            
 have a standardized collection procedure, and also a policy to use            
 a physician in the event of a positive test result.  Mr. Fagnani              
 pointed out that HB 207 was good legislation that would also                  
 protect the employer, as well as the employee by allowing employees           
 the right to know what was expected of them through the vehicle of            
 the employee policy.  He stated that HB 207 was the type of                   
 legislation that required no fiscal note and was a voluntary                  
 program.  Mr. Fagnani advised members he would be available when              
 the committee reconvened at 5:30 p.m. in the event members should             
 have questions they might wish to ask.                                        
                                                                               
 Number 1566                                                                   
                                                                               
 REPRESENTATIVE BERKOWITZ asked if the testing that was currently              
 done on the 75,000 Alaskans was done in the state.                            
                                                                               
 MR. FAGNANI advised members that it was not.  He explained that               
 currently, there were no operators conducting tests in the state of           
 Alaska except for the Alaska Regional Hospital who did the                    
 screening tests.  Mr. Fagnani expressed that all confirmations of             
 positive tests were sent outside to a U.S. DHSS certified lab.  Mr.           
 Fagnani advised members that they currently conducted over 30,000             
 tests a year, and the lab they use had conducted over 2.5 million             
 tests since 1989, and they were just a small regional lab.                    
                                                                               
 REPRESENTATIVE BERKOWITZ asked if there was any reason why those              
 tests could not be conducted in the state of Alaska, adding that it           
 appeared as thought there were a lot of tests being generated.                
                                                                               
 MR. FAGNANI advised members that it was because of the volume, and            
 Alaska really did not conduct a lot of tests.  He pointed out that            
 the lab they use was in Salt Lake City, Utah, who conduct                     
 approximately 1000 tests per day, 25,000 tests a month.  Mr.                  
 Fagnani expressed that his volume would represent one month's                 
 testing to a lab their size.  He advised members that Allvest used            
 to be a drug testing laboratory in the state of Alaska, who had               
 technicians and equipment, but had since donated all of that to one           
 of the local schools.  Mr. Fagnani expressed that there just was              
 not the economy in the state to make it worthwhile, adding that               
 Alaskans were price sensitive.  He pointed out that currently a               
 test would cost a trucker $60, and that would cover all the costs,            
 including shipping costs to a lab in the Lower 48.  Mr. Fagnani               
 explained that if that same test was conducted in the state of                
 Alaska, it would probably cost around $150 because a Ph.D.                    
 Toxicologist would be required, and there was only a handful of               
 those in the state.  Mr. Fagnani pointed out that start up costs              
 would amount to approximately $1.5 million in order to become a               
 certified lab.  He stated that it was just cost prohibitive, and              
 expressed that Allvest had considered, seriously, providing the               
 service under their old ownership.                                            
                                                                               
 Number 1664                                                                   
                                                                               
 REPRESENTATIVE PORTER declared a possible conflict of interest                
 because he operated a security business for three years, that,                
 among other things, administered drug testing for several companies           
 in Anchorage, Alaska.  He noted that they also looked into the                
 notion of performing the ultimate tests in Alaska, and agreed that            
 it was cost prohibitive.                                                      
                                                                               
 CHAIRMAN GREEN thanked Representative Porter for putting that on              
 the record; however, it would not disqualify him from voting on the           
 proposed legislation.                                                         
                                                                               
 REPRESENTATIVE ROKEBERG asked if Mr. Fagnani had had a chance to              
 review the proposed draft committee substitute.                               
                                                                               
 MR. FAGNANI expressed that he had reviewed it, that Representative            
 Green's staff faxed him a copy of that version of the bill.                   
 HB 207 - EMPLOYER DRUG TESTING PROGRAM                                        
                                                                               
 Number 1930                                                                   
                                                                               
 CHAIRMAN GREEN advised members that Jeff Logan again would address            
 the committee on HB 207, "An Act relating to employer drug and                
 alcohol testing programs," which had been heard previously that               
 day.                                                                          
                                                                               
 JEFF LOGAN, Legislative Assistant to Representative Joe Green,                
 Sponsor of HB 207, explained that the two proposed amendments had             
 been requested by employee organizations.  Mr. Logan advised                  
 members that Amendment 1, as designated by the Chairman, dealt with           
 the privacy of the sample attainment process.  He noted that there            
 was a horror story brought to the attention of the sponsor that               
 there was the case where an employer, basically, went out to the              
 field and said, okay, we're going to do a test, and there was no              
 provision for privacy made to the employees.  Mr. Logan advised               
 members that the amendment simply required that sample collection             
 should be performed in a manner that guaranteed the individual's              
 privacy, as well as to assure that by doing so, the sample would              
 not be contaminated, adulterated or misidentified.                            
                                                                               
 MR. LOGAN pointed out that the concern with the last three terms of           
 the amendment was that there was still the chain of custody                   
 procedures called for in the bill.                                            
                                                                               
 REPRESENTATIVE JOE GREEN moved to adopt Amendment 1, HB 207, page             
 5, line 17 following ".", insert; Sample collection shall be                  
 performed in a manner that guarantees the individual's privacy to             
 the maximum extent consistent with ensuring that the sample is not            
 contaminated, adulterated, or misidentified.  There being no                  
 objection, Amendment 1, HB 207 was adopted.                                   
                                                                               
 REPRESENTATIVE JOE GREEN moved to adopt Amendment 2, HB 207, page             
 6, following line 16, insert a new subsection to read; (e)  A drug            
 test conducted under this section for a drug for which the United             
 States Department of Health and Human Services has established a              
 cutoff level shall be considered to have yielded a positive result            
 if the test establishes the presence of the drug at levels equal to           
 or greater than that cutoff level.  For a drug for which the United           
 States Department of Health and Human Services has not established            
 a cutoff level, the employer shall, in the written policy under AS            
 23.10.620, inform employees of the cutoff level that the employer             
 will use to establish the presence of the drug.                               
                                                                               
 MR. LOGAN explained that the second amendment was also brought to             
 the sponsor's attention by an employee organization.  He advised              
 members that the concern was that the bill spoke to testing, but              
 did not reference the levels that illegal substances were being               
 tested for.  Mr. Logan stated that Amendment 2 adopted the federal            
 standards for cutoff levels.  He provided an example of the cutoff            
 level for marijuana which was 50 nanograms per milliliter.  Mr.               
 Logan explained that if the test results showed 40 nanograms per              
 milliliter it would fall below the level.  Mr. Logan explained that           
 the concern was that employees know up front what was going to be             
 tested for and Amendment 2 should address that concern.                       
                                                                               
 CHAIRMAN GREEN advised members that hearing no objection, Amendment           
 2, HB 207, was adopted.                                                       
                                                                               
 CHAIRMAN GREEN offered Amendment 3, HB 207, page 5, line 1,                   
 following ".", insert; Each employer shall ensure that all persons            
 designated to supervise employees receive at least 60 minutes of              
 training on alcohol misuse and receive at least an additional 60              
 minutes of training on controlled substances use.  The training               
 will be used by the supervisors to determine whether reasonable               
 suspicion exists to require an employee to undergo testing under              
 23.10.640.                                                                    
                                                                               
 REPRESENTATIVE ROKEBERG objected.                                             
                                                                               
 MR. LOGAN explained that Amendment 3 was another item brought to              
 Representative Green's attention by employee organizations                    
 regarding the concern that the current version of HB 207 did not              
 mention how, or who, would be observing the behavior that might               
 lead to an indication or conclusion of drug abuse, or alcohol                 
 misuse.  He advised members that the proposed language was the same           
 as in the federal code.                                                       
                                                                               
                                                                               
 REPRESENTATIVE ROKEBERG noted that the question had been raised in            
 the House Labor and Commerce Committee, and Amendment 3 was an                
 endeavor on the part of Representative Joe Green, and commended the           
 maker of the amendment and the sponsor of the bill for looking into           
 the concern that had been expressed.  He advised members that one             
 of his concerns was requiring two hours of training for every                 
 supervisor in the state and the private sector, and questioned what           
 the fiscal note would be from the private sector.                             
                                                                               
 REPRESENTATIVE ROKEBERG felt it was the intent to allow for                   
 supervisors to have some training, but the amendment, again, would            
 require all supervisors to have the training.  He asked Mr. Logan             
 how that was applied in federal law in regards to the private                 
 sector's fiscal impact.                                                       
                                                                               
 Number 2210                                                                   
                                                                               
 MR. LOGAN explained that it would not be every private sector                 
 employee in the state that would fall under the provisions of                 
 Amendment 3, but only those employers who had established a drug              
 and alcohol program and sought the indemnity that the statute                 
 offered.  Mr. Logan noted that he could not speak to the cost                 
 effect of how the federal code was applied.                                   
                                                                               
 CHAIRMAN GREEN pointed out that while he shared the concern                   
 expressed by Representative Rokeberg, that by the same token, it              
 was an indemnity that the company would be getting in return for              
 training some personnel to know what to look for.  He expressed               
 that it could be bad in the fact that all persons designated by a             
 company would be required to receive training; however, by that               
 training, those supervisors would be able to identify problem                 
 employees before they actually became a problem.                              
                                                                               
 REPRESENTATIVE ROKEBERG advised members that he would have no                 
 problem with the amendment if there was a means to limit the number           
 of people who would be trained and performing the act of suspicion.           
 He pointed out that to limit the number of supervisors required, it           
 would also limit the cost effects and also not have everyone be the           
 local in-house drug detective.  Representative Rokeberg felt a                
 limited number, or designated number of supervisors could be                  
 reflected in the amendment and that would reduce his concern to a             
 great extent.                                                                 
                                                                               
 MATTHEW FAGNANI, President, Allvest Laboratories, Inc., advised               
 members that the training for supervisors was currently done both             
 ways.  He advised members that the Federal Department of                      
 Transportation, Federal Highways Administration had amended their             
 rules approximately 18 months ago to include all supervisors who              
 had supervisory authority over employees to receive the training.             
 He pointed that they follow the Federal DOT for guideline purposes            
 to establish policies, such as HB 207.  Mr. Fagnani advised members           
 that the supervisors would only be required to undergo the training           
 one time, and did not require recurrent training, while others did.           
                                                                               
 MR. FAGNANI pointed out that the training methods varied.  He                 
 advised members that he taught a class of 35 people that afternoon            
 where each paid $69 to sit in a two hour training class.  Mr.                 
 Fagnani noted that there were also video tapes available that could           
 be repeatedly shown to all new supervisors.  He did not believe it            
 would be a huge financial burden on the companies, but the idea was           
 that someone within the company undergo training to identify when             
 there was reasonable cause to suspect in the workplace.                       
                                                                               
 Number 2382                                                                   
                                                                               
 CHAIRMAN GREEN suggested amending Amendment 3 by deleting the word            
 [all] on line 1 of the amendment, and insert; at least one                    
 designated [to] person shall, and delete [designated to supervise             
 employees], and on line 6, delete [supervisors] and insert                    
 designee(s).   The amendment would then read:  Each employer shall            
 ensure that at least one designated person shall receive at least             
 60 minutes of training on alcohol misuse and receive at least an              
 additional 60 minutes of training on controlled substances use.               
 The training will be used by the designee(s) to determine whether             
 reasonable suspicion exists to require an employee to undergo                 
 testing under 23.10.630.                                                      
                                                                               
 REPRESENTATIVE ROKEBERG advised members that anything that would              
 clarify the language and limit the number of supervisors required             
 to undergo the training he would go along with.  He pointed out               
 that $69 for a 2 hour session, plus the individual losing 2 hours             
 of employment time could result in a cost of over $100 per person,            
 and pointed out that there was a definite economic impact.                    
                                                                               
 CHAIRMAN GREEN advised members he certainly understood                        
 Representative Rokeberg's concern, and agreed.                                
                                                                               
 REPRESENTATIVE ROKEBERG moved a conceptual amendment that would               
 limit the number of people designated, unless the Chair was                   
 satisfied with the language he proposed.                                      
                                                                               
 CHAIRMAN GREEN felt the amendment to Amendment 3, as he stated it,            
 would accomplish the concern that was being expressed.                        
                                                                               
 TAPE 97-53, SIDE B                                                            
 Number 000                                                                    
                                                                               
 REPRESENTATIVE ROKEBERG agreed with the amendment to Amendment 3,             
 as recommended by Chairman Green.  There being no objection, the              
 amendment to Amendment 3 was adopted.                                         
                                                                               
 CHAIRMAN GREEN asked if there were any objections to Amendment 3.             
 Representative Rokeberg removed his objection to Amendment 3.                 
 There being no objection, Amendment 3, HB 207, as amended was                 
 adopted.                                                                      
                                                                               
 Number 033                                                                    
                                                                               
 REPRESENTATIVE JAMES pointed out that Mr. Logan had stated, prior             
 to the recess, that he would explain the bill, and she did not know           
 why the committee was addressing the issue.                                   
                                                                               
 REPRESENTATIVE CROFT stated that because members were late for                
 evening meetings, if it would be the Chair's desire that Mr. Logan            
 provide further explanation at a later date.                                  
                                                                               
 REPRESENTATIVE JAMES questioned whether they were addressing tort             
 reform, in some respect, with HB 207.                                         
                                                                               
 CHAIRMAN GREEN stated that it was not, that it was a drug test to             
 provide for a safe workplace.                                                 
                                                                               
 REPRESENTATIVE JAMES asked if the bill was introduced to provide              
 protection for employers.                                                     
                                                                               
 CHAIRMAN GREEN advised members that it would protect the employer             
 from litigation from drug testing its employees.                              
                                                                               
 REPRESENTATIVE JAMES asked if the proposed legislation was a bill             
 that put more government in the lives of the public.                          
                                                                               
 CHAIRMAN GREEN stated that it was not, that it put the burden on              
 the employer to conduct his own drug screening for the immunity he            
 would gain by having a posted, outlined drug program.                         
                                                                               
 REPRESENTATIVE CROFT stated that he had some concerns he would like           
 to express also.                                                              

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