03/11/2008 08:00 AM House COMMUNITY & REGIONAL AFFAIRS
| Audio | Topic |
|---|---|
| Start | |
| HB308 | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| *+ | HB 308 | TELECONFERENCED | |
| + | TELECONFERENCED |
ALASKA STATE LEGISLATURE
HOUSE COMMUNITY AND REGIONAL AFFAIRS STANDING COMMITTEE
March 11, 2008
8:06 a.m.
MEMBERS PRESENT
Representative Gabrielle LeDoux, Co-Chair
Representative Nancy Dahlstrom
Representative Kurt Olson
Representative Sharon Cissna
MEMBERS ABSENT
Representative Anna Fairclough, Co-Chair
Representative Mark Neuman
Representative Woodie Salmon
COMMITTEE CALENDAR
HOUSE BILL NO. 308
"An Act establishing a state heating assistance program in
addition to the federal heating assistance program."
- MOVED CSHB 308(CRA) OUT OF COMMITTEE
PREVIOUS COMMITTEE ACTION
BILL: HB 308
SHORT TITLE: HEATING ASSISTANCE PROGRAM
SPONSOR(s): REPRESENTATIVE(s) NELSON
01/11/08 (H) PREFILE RELEASED 1/11/08
01/15/08 (H) READ THE FIRST TIME - REFERRALS
01/15/08 (H) CRA, FIN
03/11/08 (H) CRA AT 8:00 AM BARNES 124
WITNESS REGISTER
REPRESENTATIVE MARY NELSON
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Spoke as the sponsor of HB 308.
RON KREHER, Chief
Field Services
Division of Public Assistance
Department of Health and Social Services (DHSS)
Anchorage, Alaska
POSITION STATEMENT: During hearing of HB 308, answered
questions.
ACTION NARRATIVE
CO-CHAIR GABRIELLE LEDOUX called the House Community and
Regional Affairs Standing Committee meeting to order at 8:06:07
AM. Representatives LeDoux, Dahlstrom, Olson, and Cissna were
present at the call to order.
HB 308-HEATING ASSISTANCE PROGRAM
8:06:24 AM
CO-CHAIR LEDOUX announced that the only order of business would
be HOUSE BILL NO. 308, "An Act establishing a state heating
assistance program in addition to the federal heating assistance
program."
8:06:41 AM
REPRESENTATIVE MARY NELSON, Alaska State Legislature, speaking
as the sponsor of HB 308, explained that HB 308 establishes a
program whereby the state can match the federal low-income home
heating and energy assistance program (LIHEAP). She said that
during the special session to increase oil taxes she had wanted
some of that money be returned to Alaskan consumers, which
required the development of a program. She related that she
wanted a program in particular for space heat. Distributing the
state's wealth back to Alaska's consumers seemed to be quite a
challenge, and thus the notion of using an existing program and
helping those who need it the most arose. She explained that to
qualify for this program one must fall below the federal poverty
guidelines. She then reminded the committee that although last
year there was intent language with Alaska's Clear and Equitable
Share (ACES) legislation, statutory authority is necessary to
actually allocate the funds. This legislation would allow for
the state to contribute at higher levels than the federal
government, in terms of the poverty threshold. She related her
understanding that it would amount to 150 percent of the federal
poverty guidelines, which mirrors the senior benefits program.
Representative Nelson informed the committee that the department
wanted to amend HB 308 such that it could contract with tribal
entities because many tribes are administering the [federal low-
income] heating funds. The amendment [Amendment 1] labeled 25-
LS1294\A.2, Bullock/Mischel, 3/10/08, which is included in the
committee packet, would allow for the aforementioned.
8:10:36 AM
REPRESENTATIVE DAHLSTROM, referring to line 7 of [Amendment 1,
text provided below], asked if the term "may" is utilized
throughout the amendment. She then asked if the term "may" was
used due to the fluctuating oil prices and money that the state
may or may not receive.
REPRESENTATIVE NELSON replied yes, and reminded the committee
that under ACES it had a progressivity component such that it
isn't necessarily an entitlement program.
8:11:22 AM
REPRESENTATIVE CISSNA pointed out that the oil resources come
from rural Alaska, yet rural Alaska has significantly higher
energy costs. She indicated that an even playing field should
be the goal in this energy state. She asked if HB 308 comes
close to creating an even playing field.
REPRESENTATIVE NELSON answered that HB 308 doesn't come close to
the energy rebate or offset program that she desired.
Furthermore, HB 308 doesn't focus only on rural Alaska because
the low-income heating beneficiaries are across the state, with
the majority residing in urban Alaska. This legislation
[focuses] on low income individuals who are throughout the
state, even though the average cost is much higher in rural
Alaska. Depending upon poverty and need, there's a scale [to
determine the benefit]. The average beneficiary of the [LIHEAP]
receives about $720 a year. She noted that the aforementioned
would be less than one month's heating bill for her home in
Bethel.
8:13:53 AM
REPRESENTATIVE NELSON, returning to Amendment 1, clarified that
the "may" language only refers to contracting with tribes and it
merely allows such and doesn't require such.
8:14:35 AM
REPRESENTATIVE OLSON asked whether the 100 percent pass through
is to the tribes or is there an administrative fee.
REPRESENTATIVE NELSON deferred to department representatives.
8:14:54 AM
RON KREHER, Chief, Field Services, Division of Public
Assistance, Department of Health and Social Services (DHSS),
specified that under the federal program there is a cap on
administrative costs. Presumably the program proposed in HB 308
would be operated parallel to the federal program, and thus
there would some administrative burden. In further response to
Representative Olson, Mr. Kreher related that the cap on the
federal program is 10 percent. However, on average the state
operates at about 7 percent.
8:15:42 AM
CO-CHAIR LEDOUX, upon determining no one else wished to testify,
closed public testimony.
8:16:11 AM
REPRESENTATIVE DAHLSTROM moved that the committee adopt
Amendment 1, labeled 25-LS1294\A.2, Bullock/Mischel, 3/10/08,
which read:
Page 1, line 14:
Delete "Duties."
Insert "Powers and Duties. (a)"
Page 2, following line 6:
Insert new subsections to read:
"(b) The department may develop a regional
Alaska heating assistance program for the
administration of AS 47.25.621 - 47.25.625 to provide
home heating assistance in a uniform and cost-
effective manner in a region of this state if an
Alaska Native organization is authorized to implement
a federally approved tribal family assistance plan
that includes that region and has been awarded an
Alaska Native family assistance grant for a program
that includes that region for the applicable fiscal
year under AS 47.27.200.
(c) The department may award contracts to
implement a program developed under (b) of this
section. A contract authorized for delivery of home
heating assistance under a regional Alaska heating
assistance program under (b) - (g) of this section is
exempt from the competitive bid requirements of
AS 36.30 (State Procurement Code). Subject to
appropriation, a contract under this section must be
in an amount that represents a fair and equitable
share of the money appropriated for the Alaska heating
assistance program under AS 47.25.621 - 47.25.625 to
serve the state residents specified in (b) of this
section. The authority provided under (b) - (g) of
this section to contract is in addition to the
authority to contract in AS 47.05.015 or other law.
(d) The department may award a contract under
this section only to an organization that
(1) has been awarded an Alaska Native
family assistance grant under AS 47.27.200 for a
program that includes that region;
(2) agrees to administer home heating
assistance under AS 47.25.621 - 47.25.625 to state
residents in the region; and
(3) agrees to implement an appeals process
as described in (f) of this section.
(e) Records pertaining to recipients of home
heating assistance under a contract awarded under (b)
- (g) of this section have the same confidential
protections as are provided to recipients of
assistance from Alaska Native family assistance grants
under AS 47.27.200.
(f) Notwithstanding AS 47.25.624, an
organization that receives a contract under this
section shall provide an appeals process to applicants
for or recipients of home heating assistance covered
by the contract awarded under (b) - (g) of this
section. The appeals process must be the same as the
method available under AS 47.25.624, except that the
decision reached shall be considered a recommended
decision to the department. Within 30 days after
receiving a recommended decision, the department shall
review the recommended decision and issue a decision
accepting or rejecting the recommended decision. If
the department rejects the recommended decision, the
department shall independently review the record and
issue its final decision. The final decision of the
department on the matter is appealable to the courts
of this state.
(g) If the department establishes a regional
Alaska heating assistance program and awards a
contract to provide home heating assistance under (b)
- (g) of this section, a person applying for home
heating assistance under AS 47.25.621 - 47.25.625 in
the region of the state covered by the regional home
heating assistance program may obtain home heating
assistance from the department only through the
organization designated by the department to serve the
region."
Page 2, line 18:
Delete "An"
Insert "Except as provided in AS 47.25.623(f), an"
There being no objection, Amendment 1 was adopted.
8:16:38 AM
REPRESENTATIVE OLSON pointed out that missing today are at least
two members who may want to weigh in on this legislation. He
asked if the committee's calendar is such that HB 308 could be
held over to Thursday.
CO-CHAIR LEDOUX specified that the committee has two pieces of
legislation scheduled for Thursday.
8:17:05 AM
REPRESENTATIVE NELSON interjected that time is of the essence.
8:17:25 AM
REPRESENTATIVE DAHLSTROM mentioned that the House Finance has
similar legislation [in its possession], and therefore she said
she's comfortable forwarding HB 308 to the House Finance
Committee so that it can review all legislation pertaining to
energy assistance.
8:17:57 AM
REPRESENTATIVE DAHLSTROM moved to report HB 308, as amended, out
of committee with individual recommendations and the
accompanying fiscal notes. There being no objection, CSHB
308(CRA) was reported from the House Community and Regional
Affairs Standing Committee.
8:18:17 AM
ADJOURNMENT
There being no further business before the committee, the House
Community and Regional Affairs Standing Committee meeting was
adjourned at 8:18 a.m.
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