Legislature(1993 - 1994)
04/08/1994 05:30 PM House FIN
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
April 8, 1994
5:30 P.M.
TAPE HFC 94 - 115, Side 2, #000 - end.
TAPE HFC 94 - 116, Side 1, #000 - #112.
CALL TO ORDER
Co-Chair Larson called the House Finance Committee meeting
to order at 5:30 P.M.
PRESENT
Co-Chair Larson Representative Hoffman
Co-Chair MacLean Representative Martin
Vice-Chair Hanley Representative Therriault
Representative Brown Representative Parnell
Representative Grussendorf
Representative Navarre and Representative Foster were not
present for the meeting.
ALSO PRESENT
Representative Gary Davis; Representative Con Bunde; Barry
Campbell, Academy of Physician Assistants, Anchorage; Dave
Williams, Division of Medical Assistance, Department of
Health and Social Services; Lynn Smith, Staff,
Representative Cynthia Toohey; Michael Johnson, Staff,
Representative Joe Sitton.
SUMMARY
HB 341 An Act relating to physician assistants; and
providing for an effective date.
CS HB 341 (HES) was reported out of Committee with
a "do pass" recommendation and with zero fiscal
notes by the Department of Health and Social
Services, the Department of Commerce and Economic
Development and the Department of Labor.
HB 427 An Act relating to compensation for members of the
Local Boundary Commission.
HB 427 was reported out of Committee with "no
recommendation" and with a fiscal note by the
Department of Community and Regional Affairs dated
2/24/94.
1
HB 453 An Act amending the motor fuel tax to establish a
different tax levy on residual fuel oil used in
and on watercraft; and providing for an effective
date.
CS HB 453 (FIN) was reported out of Committee with
a "do pass" recommendation and with a fiscal note
by the Department of Revenue and a zero fiscal
note by the Department of Transportation and
Public Facilities.
HB 506 An Act relating to student loans; to sanctions for
defaulting on a student loan, including denial of
a state occupational license or disbursement of
state money; and providing for an effective date.
CS HB 506 (FIN) was reported out of Committee with
"no recommendations" and with a fiscal note by the
Department of Education.
HB 507 An Act relating to licensure by the State Medical
Board and temporary permits for certain
optometrists.
CS HB 507 (FIN) was reported out of Committee with
"individual recommendations" and with a fiscal
note by the Department of Commerce and Economic
Development dated 3/02/94.
HOUSE BILL 427
"An Act relating to compensation for members of the
Local Boundary Commission."
Co-Chair Larson MOVED to report HB 427 out of Committee with
individual recommendations and with the accompanying fiscal
notes. There being NO OBJECTION, it was so ordered.
HB 427 was reported out of Committee with "no
recommendations" and with a fiscal note by the Department of
Community and Regional Affairs dated 2/24/94.
HOUSE BILL 506
"An Act relating to student loans; to sanctions for
defaulting on a student loan, including denial of a
state occupational license or disbursement of state
money; and providing for an effective date."
Representative Brown MOVED to adopt Amendment #1. [Copy on
file].
2
REPRESENTATIVE CON BUNDE commented that Amendment #1
addresses concerns regarding limiting administrative costs
to three percent. He noted that he supported the amendment.
There being NO OBJECTION to adopting Amendment #1, it was
adopted.
Representative Brown MOVED TO RESCIND previous action on
Amendment #2.
There being NO OBJECTION, the action was rescinded.
DAN AUSTIN, STAFF, REPRESENTATIVE KAY BROWN, explained that
the new Amendment #2 would clarify that action may be taken
no sooner than sixty days after the commission has notified
the borrower of a default status on the loan.
Representative Brown MOVED to adopt the new Amendment #2.
There being NO OBJECTION, it was adopted.
Representative Parnell MOVED to report CS HB 506 (FIN) out
of Committee with individual recommendations and with the
accompanying fiscal note. There being NO OBJECTION, it was
so ordered.
CS HB 506 (FIN) was reported out of Committee with a "no
recommendation" and with a fiscal note by the Department of
Education.
HOUSE BILL 341
"An Act relating to physician assistants; and providing
for an effective date."
MICHAEL JOHNSON, STAFF, REPRESENTATIVE JOE SITTON, stated
that HB 341 would amend several current statutes relating to
health care providers giving Alaskans greater access to
quality health care and placing physician assistants on
equal footing to those providers with similar levels of
training.
He added that HB 341 would amend the statutes governing
workers' compensation and private insurance companies to
account for physicians assistants' (P.A.'s) emergence as
health care providers and insure that those companies would
not have trouble receiving payment from those entities. The
legislation also would add physician assistants to the
statute that prohibits private insurance companies from
refusing to pay one health care provider if another
qualified practitioner could offer the same procedure or
level of care.
3
Mr. Johnson pointed out that Representative Sitton does not
support the fiscal note as provided by the Department of
Health and Social Services and consequently has provided an
alternative note.
DAVE WILLIAMS, DIVISION OF MEDICAL ASSISTANCE, DEPARTMENT OF
HEALTH AND SOCIAL SERVICES, explained that in Alaska,
physicians assistants have not been paid directly for
services rendered. He pointed out that there are a number
of reasons why the legislation will cost the Department a
large amount of money, adding that the legislation would
provide seventeen new access points for services in Alaska.
Thus far this year, $1.8 million dollars has been paid by
the Department for rural health clinics enrolled as IHS
providers.
Mr. Johnson explained that the Department assumes that a
certain number of physician assistants will enroll and that
there will be a number of new patients contributing to the
cost of the program. He indicated that the assumption would
not include any cost shifting or accounting for cost
shifting and felt the fiscal note should reflect that
information.
BARRY CAMPBELL, PRESIDENT, ALASKA ACADEMY OF PHYSICIAN
ASSISTANTS, ANCHORAGE, remarked that a physician assistant
(P.A.'s) requires two to four years training. Some programs
require prior medical background. Mr. Campbell noted
support of Representative Sitton's fiscal note.
Mr. Williams advised that the legislation would provide for
P.A.'s in both rural and urban areas and added that the
Department had provided their fiscal note based upon that
information and the Governor's proposed budget.
Discussion followed among Committee members regarding the
fiscal note and the impact to the Department of Health and
Social Services.
Representative Hanley MOVED to adopt Amendment #1 which
would rearrange services payable by the Department of Health
and Social Services and would place physician assistant
services in the first category. Representative Brown
OBJECTED.
A roll call vote was taken on the MOTION.
IN FAVOR: Hanley.
OPPOSED: Hoffman, Martin, Parnell, Brown,
Grussendorf, MacLean, Larson.
4
Representatives Navarre and Foster were not present for the
vote.
The MOTION FAILED (1-7).
Representative Hanley MOVED to report CS HB 341 (HES) out of
Committee with individual recommendations and with a zero
fiscal note by the Department of Health and Social Services.
There being NO OBJECTION, it was so ordered.
CS HB 341 (HES) was reported out of Committee with a "do
pass" recommendation and with zero fiscal notes by the
Department of Health and Social Services, the Department of
Commerce and Economic Development and the Department of
Labor.
HOUSE BILL 453
"An Act amending the motor fuel tax to establish a
different tax levy on residual fuel oil used in and on
watercraft; and providing for an effective date."
REPRESENTATIVE GARY DAVIS stated that HB 453 would attempt
to create an equal playing field between Alaska's residual
fuel oil industry and their counterparts in the Lower 48 and
Canada. He added that residual fuel oil is the residue from
crude oil after the light oils, gasoline, naphtha, kerosine,
and mid-distillates are extracted in the refining process.
The only applications for residual fuel oil in Alaska are
asphalt, cruise ship fuel and reinjection into the pipeline.
Representative Parnell MOVED work draft #8-LS1357\X,
Chenoweth, 3/28/94, as the version before the Committee.
There being NO OBJECTION, the work draft was adopted.
Co-Chair MacLean MOVED to report CS HB 453 (FIN) out of
Committee with individual recommendations and with
accompanying fiscal notes.
There being NO OBJECTION, it was so ordered.
CS HB 453 (FIN) was reported out of Committee with a "do
pass" recommendation and with a fiscal note by the
Department of Revenue and a zero fiscal note by the
Department of Transportation and Public Facilities.
HOUSE BILL 507
"An Act relating to licensure by the State Medical
Board and temporary permits for certain optometrists."
(Tape Change, HFC 94-116, Side 1).
5
LYNN SMITH, STAFF, REPRESENTATIVE CYNTHIA TOOHEY, advised
that HB 507 was introduced by the House HESS Committee by
the request of the State Medical Board and the Alaska
Optometric Association and would address concerns of the
board that interviewing applicants for licensure be in
person. The provision would decrease costs for applicants
who wish to practice medicine in Alaska.
Representative Brown MOVED to adopt Amendment #1 requiring
an interview and allowing that interview to be by telephone.
There being NO OBJECTION, it was adopted.
Co-Chair MacLean MOVED to report CS HB 507 (FIN) out of
Committee with individual recommendations and with the
accompanying fiscal note. There being NO OBJECTION, it was
so ordered.
CS HB 507 (FIN) was reported out of Committee with
"individual recommendations" and with the fiscal note by the
Department of Commerce and Economic Development dated
3/02/94.
ADJOURNMENT
The meeting adjourned at 6:30 P.M.
HOUSE FINANCE COMMITTEE
April 8, 1994
5:30 P.M.
TAPE HFC 94 - 115, Side 2, #000 - end.
TAPE HFC 94 - 116, Side 1, #000 - #112.
CALL TO ORDER
Co-Chair Larson called the House Finance Committee meeting
to order at 5:30 P.M.
PRESENT
Co-Chair Larson Representative Hoffman
Co-Chair MacLean Representative Martin
Vice-Chair Hanley Representative Therriault
Representative Brown Representative Parnell
Representative Grussendorf
Representative Navarre and Representative Foster were not
present for the meeting.
6
ALSO PRESENT
Representative Gary Davis; Representative Con Bunde; Barry
Campbell, Academy of Physician Assistants, Anchorage; Dave
Williams, Division of Medical Assistance, Department of
Health and Social Services; Lynn Smith, Staff,
Representative Cynthia Toohey; Michael Johnson, Staff,
Representative Joe Sitton.
SUMMARY
HB 341 An Act relating to physician assistants; and
providing for an effective date.
CS HB 341 (HES) was reported out of Committee with
a "do pass" recommendation and with zero fiscal
notes by the Department of Health and Social
Services, the Department of Commerce and Economic
Development and the Department of Labor.
HB 427 An Act relating to compensation for members of the
Local Boundary Commission.
HB 427 was reported out of Committee with "no
recommendation" and with a fiscal note by the
Department of Community and Regional Affairs dated
2/24/94.
HB 453 An Act amending the motor fuel tax to establish a
different tax levy on residual fuel oil used in
and on watercraft; and providing for an effective
date.
CS HB 453 (FIN) was reported out of Committee with
a "do pass" recommendation and with a fiscal note
by the Department of Revenue and a zero fiscal
note by the Department of Transportation and
Public Facilities.
HB 506 An Act relating to student loans; to sanctions for
defaulting on a student loan, including denial of
a state occupational license or disbursement of
state money; and providing for an effective date.
CS HB 506 (FIN) was reported out of Committee with
"no recommendations" and with a fiscal note by the
Department of Education.
HB 507 An Act relating to licensure by the State Medical
Board and temporary permits for certain
optometrists.
7
CS HB 507 (FIN) was reported out of Committee with
"individual recommendations" and with a fiscal
note by the Department of Commerce and Economic
Development dated 3/02/94.
HOUSE BILL 427
"An Act relating to compensation for members of the
Local Boundary Commission."
Co-Chair Larson MOVED to report HB 427 out of Committee with
individual recommendations and with the accompanying fiscal
notes. There being NO OBJECTION, it was so ordered.
HB 427 was reported out of Committee with "no
recommendations" and with a fiscal note by the Department of
Community and Regional Affairs dated 2/24/94.
HOUSE BILL 506
"An Act relating to student loans; to sanctions for
defaulting on a student loan, including denial of a
state occupational license or disbursement of state
money; and providing for an effective date."
Representative Brown MOVED to adopt Amendment #1. [Copy on
file].
REPRESENTATIVE CON BUNDE commented that Amendment #1
addresses concerns regarding limiting administrative costs
to three percent. He noted that he supported the amendment.
There being NO OBJECTION to adopting Amendment #1, it was
adopted.
Representative Brown MOVED TO RESCIND previous action on
Amendment #2.
There being NO OBJECTION, the action was rescinded.
DAN AUSTIN, STAFF, REPRESENTATIVE KAY BROWN, explained that
the new Amendment #2 would clarify that action may be taken
no sooner than sixty days after the commission has notified
the borrower of a default status on the loan.
Representative Brown MOVED to adopt the new Amendment #2.
There being NO OBJECTION, it was adopted.
Representative Parnell MOVED to report CS HB 506 (FIN) out
of Committee with individual recommendations and with the
accompanying fiscal note. There being NO OBJECTION, it was
8
so ordered.
CS HB 506 (FIN) was reported out of Committee with a "no
recommendation" and with a fiscal note by the Department of
Education.
HOUSE BILL 341
"An Act relating to physician assistants; and providing
for an effective date."
MICHAEL JOHNSON, STAFF, REPRESENTATIVE JOE SITTON, stated
that HB 341 would amend several current statutes relating to
health care providers giving Alaskans greater access to
quality health care and placing physician assistants on
equal footing to those providers with similar levels of
training.
He added that HB 341 would amend the statutes governing
workers' compensation and private insurance companies to
account for physicians assistants' (P.A.'s) emergence as
health care providers and insure that those companies would
not have trouble receiving payment from those entities. The
legislation also would add physician assistants to the
statute that prohibits private insurance companies from
refusing to pay one health care provider if another
qualified practitioner could offer the same procedure or
level of care.
Mr. Johnson pointed out that Representative Sitton does not
support the fiscal note as provided by the Department of
Health and Social Services and consequently has provided an
alternative note.
DAVE WILLIAMS, DIVISION OF MEDICAL ASSISTANCE, DEPARTMENT OF
HEALTH AND SOCIAL SERVICES, explained that in Alaska,
physicians assistants have not been paid directly for
services rendered. He pointed out that there are a number
of reasons why the legislation will cost the Department a
large amount of money, adding that the legislation would
provide seventeen new access points for services in Alaska.
Thus far this year, $1.8 million dollars has been paid by
the Department for rural health clinics enrolled as IHS
providers.
Mr. Johnson explained that the Department assumes that a
certain number of physician assistants will enroll and that
there will be a number of new patients contributing to the
cost of the program. He indicated that the assumption would
not include any cost shifting or accounting for cost
shifting and felt the fiscal note should reflect that
information.
9
BARRY CAMPBELL, PRESIDENT, ALASKA ACADEMY OF PHYSICIAN
ASSISTANTS, ANCHORAGE, remarked that a physician assistant
(P.A.'s) requires two to four years training. Some programs
require prior medical background. Mr. Campbell noted
support of Representative Sitton's fiscal note.
Mr. Williams advised that the legislation would provide for
P.A.'s in both rural and urban areas and added that the
Department had provided their fiscal note based upon that
information and the Governor's proposed budget.
Discussion followed among Committee members regarding the
fiscal note and the impact to the Department of Health and
Social Services.
Representative Hanley MOVED to adopt Amendment #1 which
would rearrange services payable by the Department of Health
and Social Services and would place physician assistant
services in the first category. Representative Brown
OBJECTED.
A roll call vote was taken on the MOTION.
IN FAVOR: Hanley.
OPPOSED: Hoffman, Martin, Parnell, Brown,
Grussendorf, MacLean, Larson.
Representatives Navarre and Foster were not present for the
vote.
The MOTION FAILED (1-7).
Representative Hanley MOVED to report CS HB 341 (HES) out of
Committee with individual recommendations and with a zero
fiscal note by the Department of Health and Social Services.
There being NO OBJECTION, it was so ordered.
CS HB 341 (HES) was reported out of Committee with a "do
pass" recommendation and with zero fiscal notes by the
Department of Health and Social Services, the Department of
Commerce and Economic Development and the Department of
Labor.
HOUSE BILL 453
"An Act amending the motor fuel tax to establish a
different tax levy on residual fuel oil used in and on
watercraft; and providing for an effective date."
REPRESENTATIVE GARY DAVIS stated that HB 453 would attempt
to create an equal playing field between Alaska's residual
10
fuel oil industry and their counterparts in the Lower 48 and
Canada. He added that residual fuel oil is the residue from
crude oil after the light oils, gasoline, naphtha, kerosine,
and mid-distillates are extracted in the refining process.
The only applications for residual fuel oil in Alaska are
asphalt, cruise ship fuel and reinjection into the pipeline.
Representative Parnell MOVED work draft #8-LS1357\X,
Chenoweth, 3/28/94, as the version before the Committee.
There being NO OBJECTION, the work draft was adopted.
Co-Chair MacLean MOVED to report CS HB 453 (FIN) out of
Committee with individual recommendations and with
accompanying fiscal notes.
There being NO OBJECTION, it was so ordered.
CS HB 453 (FIN) was reported out of Committee with a "do
pass" recommendation and with a fiscal note by the
Department of Revenue and a zero fiscal note by the
Department of Transportation and Public Facilities.
HOUSE BILL 507
"An Act relating to licensure by the State Medical
Board and temporary permits for certain optometrists."
(Tape Change, HFC 94-116, Side 1).
LYNN SMITH, STAFF, REPRESENTATIVE CYNTHIA TOOHEY, advised
that HB 507 was introduced by the House HESS Committee by
the request of the State Medical Board and the Alaska
Optometric Association and would address concerns of the
board that interviewing applicants for licensure be in
person. The provision would decrease costs for applicants
who wish to practice medicine in Alaska.
Representative Brown MOVED to adopt Amendment #1 requiring
an interview and allowing that interview to be by telephone.
There being NO OBJECTION, it was adopted.
Co-Chair MacLean MOVED to report CS HB 507 (FIN) out of
Committee with individual recommendations and with the
accompanying fiscal note. There being NO OBJECTION, it was
so ordered.
CS HB 507 (FIN) was reported out of Committee with
"individual recommendations" and with the fiscal note by the
Department of Commerce and Economic Development dated
3/02/94.
ADJOURNMENT
11
The meeting adjourned at 6:30 P.M.
12
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