Legislature(1993 - 1994)
03/10/1994 01:45 PM House FIN
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE FINANCE COMMITTEE
March 10, 1994
1:45 P.M.
TAPE HFC 94 - 56, Side 1, #000 - end.
TAPE HFC 94 - 56, Side 2, #000 - end.
TAPE HFC 94 - 57, Side 1, #000 - #269.
CALL TO ORDER
Co-Chair Larson called the House Finance Committee meeting
to order at 1:45 P.M.
PRESENT
Co-Chair Larson Representative Foster
Co-Chair MacLean Representative Martin
Vice-Chair Hanley Representative Navarre
Representative Brown Representative Parnell
Representative Grussendorf Representative Therriault
Representative Hoffman was not present for the meeting.
ALSO PRESENT
Representative Tom Brice; Carrie McKee, (testified via
teleconference), AFDC Parent, Matsu; Meg Gaydosik, State
Public Policy Chair, American Association of University
Women (AAUW-Alaska), Fairbanks; Nikki Kinne, RCPC Head
Start, Fairbanks; Vicki Thayer, Fairbanks Resource Agency
(FRA), Fairbanks; Jan Boyd, FRA, Fairbanks; Louise Charles,
Program Coordinator for Tanana Job Training, Tanana Chiefs
Conference, Fairbanks; Sally Benevent, Helping Hands,
Fairbanks; Judy Bush, Alaska Legal Services, Fairbanks; Mary
Lou Canney, Family Advocate, RCPC Head Start, Fairbanks;
Ruth Listor, Interior Alaska Women's Political Caucus,
Fairbanks; Dorothy Peavy, Executive Director, Mental Health
Consumers for Alaska, Anchorage; Virginia Allen, Statewide
Coordinator for Healthy Families, Anchorage.
SUMMARY
HB 409 An Act relating to the maximum amount of
assistance that may be granted under the adult
public assistance program and the program of aid
to families with dependent children; proposing a
special demonstration project within the program
of aid to families with dependent children and
directing the Department of Health and Social
Services to seek waivers from the federal
government to implement the project; and providing
1
for an effective date.
HB 409 was HELD for further consideration.
Co-Chair Larson provided the Committee with work draft #8-
LS1813\A, Utermohle, 3/10/94, a proposed bill to amend the
Medical Assistance Program contained in Section 38, Chapter
65, SLA, 1993.
Representative Hanley explained that the bill would provide
for the developmentally disabled grants in the budget.
These waivers will receive federal match money. The funds
which normally are allocated to the grant providers would be
transferred in order to serve more people and make it more
effective. The last quarter payments will be made on April
1st. Consequently, this bill is being fast tracked and
would address a reappropriation for the flow of funds.
There were NO OBJECTIONS to introducing the legislation.
HOUSE BILL 409
"An Act relating to the maximum amount of assistance
that may be granted under the adult public assistance
program and the program of aid to families with
dependent children; proposing a special demonstration
project within the program of aid to families with
dependent children and directing the Department of
Health and Social Services to seek waivers from the
federal government to implement the project; and
providing for an effective date."
Representative Hanley provided an overview of the proposed
legislation, HB 409. He advised that the best way to reform
welfare would be to get recipients off the system. He
added, that this is what most Americans want from the
welfare system and also what most welfare families want is
job training, and work, self-sufficiency and pride.
According to a recent survey by the State Department of
Health and Social Services (DHSS), 88% of the AFDC clients
in Alaska said they would rather work than to be on welfare.
Representative Hanley pointed out that HB 409 removes
disincentives to work in the welfare program while providing
positive incentives. The legislation would direct the
Department of Health and Social Services (DHSS) to apply for
a waiver from the usual provisions governing AFDC programs
to establish a "workfare" demonstration project. All able-
bodied recipients would be required to either work for pay
or provide community service or their benefits would be
reduced. The legislation would include higher income
disregards, higher vehicle allowances and child care
assistance in order to make it easier for welfare recipients
2
to work.
The bills demonstration project language would guide the
DHSS to exercise authority in order to apply for welfare
waivers. Also included in the bill would be an adjustment
to the benefit formula added to help control rising costs.
Representative Hanley summarized that America is ready to
"end welfare as we know it". Other states are using waiver
type projects to develop alternative welfare programs. It
is time that Alaska, with its growing welfare rolls and
dwindling revenues, become more efficient.
Representative Hanley reviewed each section of CS HB 409
(HES).
Representative Navarre advised that strong economic
development within communities would be necessary in order
to transition people from being on welfare into gainful
employment.
Co-Chair MacLean applauded the effort of the "workfare"
program. Representative Brown asked if changes in Section
Representative Hanley explained those stipulations would
only apply to the control groups. Representative Brown
asked if being in the control group would affect a person's
eligibility for other programs. Representative Hanley
stated that this portion of the waiver would not affect the
other programs.
CARRIE MCKEE, (TESTIFIED VIA TELECONFERENCE), AFDC MOTHER,
MATANUSKA-SUSITNA VALLEY, testified against the legislation,
most specifically the "workfare" program. She stated that
currently there are not enough jobs available for people or
enough day care assistance. Representative Hanley pointed
out that the bill would provide child care and
transportation for the pilot group.
MEG GAYDOSIK, (TESTIFIED VIA TELECONFERENCE), STATE PUBLIC
POLICY CHAIR, AMERICAN ASSOCIATION OF UNIVERSITY WOMEN
(AAUW-ALASKA), FAIRBANKS, testified in opposition to the
recommended reductions to Public Assistance. She stressed
that the path out of poverty is through education and
training and urged the Committee to reconsider the
legislation.
NIKKI KINNE, (TESTIFIED VIA TELECONFERENCE), RCPC HEAD
START, FAIRBANKS, spoke in opposition to HB 409. She
pointed out that there is not child care available for those
persons on public assistance who want to work. She
recommended placing more funds into early childhood
3
education.
VICKI THAYER, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS
RESOURCE AGENCY, FAIRBANKS, spoke in opposition to HB 409.
She stated that the individuals whom she represents live on
Adult Public Assistance and that any reduction to what they
receive will significantly impact their lives. She thought
that the legislation was unfair in that the individuals who
were not eligible for the "workfare" portion of the bill
would be asked to pay for those that are.
(Tape Change, HFC 94-56, Side 2).
JAN BOYD, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS RESOURCE
AGENCY (FRA), FAIRBANKS, spoke against the legislation and
the 1.7% reduction to those persons on Adult Public
Assistance.
LOUISE CHARLES, (TESTIFIED VIA TELECONFERENCE), PROGRAM
COORDINATOR FOR TANANA JOB TRAINING PROGRAM, TANANA CHIEFS
CONFERENCE, FAIRBANKS, testified against the proposed
legislation and the limitations it would make for the aged
and disabled. She pointed out that the current JOBS Program
is working well in the State and questioned the need to
introduce an additional program at new and greater expenses.
She pointed out that the House HESS Committee failed to make
any changes to the proposed legislation after overwhelming
testimony against the legislation. She urged that the bill
be reconsidered for further changes.
SALLY BENEVENT, (TESTIFIED VIA TELECONFERENCE), HELPING
HANDS, FAIRBANKS, spoke in opposition to the proposed
legislation and the 1.7% reduction. She added that the job
incentive program would not work as there are currently not
enough jobs available in the State nor is there enough child
care services available. Representative Hanley noted that
those persons chosen for the pilot group will receive
transportation and child care provided through the
Department of Health and Social Services.
JUDY BUSH, (TESTIFIED VIA TELECONFERENCE), ALASKA LEGAL
SERVICES, FAIRBANKS, spoke in support of the "waivers" and
spoke against the remaining sections of HB 409. She stated
that the bill is not a welfare reform bill adding that the
"workfare" proposal would not be productive but would be
expensive. She specifically spoke against the "rateable"
issue and that its relationship to the percent of poverty
level. "Poverty" is the bare minimum which a person can get
by on; to receive 70% of poverty level is low, the level
which AFDC participants receive. There will be long range
future costs associated with keeping persons at this level.
4
Ms. Bush emphasized that those most affected by the
legislation would be children, elderly and disabled
individuals. Representative Hanley pointed out that Alaska
pays the highest percentage of poverty level in the country.
MARY LOU CANNEY, (TESTIFIED VIA TELECONFERENCE), FAMILY
ADVOCATE, RCPC HEAD START, FAIRBANKS, spoke against the
legislation. She noted that she was trained by the JOBS
Program and currently employed. She urged the Committee not
to eliminate that program.
RUTH LISTOR, (TESTIFIED VIA TELECONFERENCE), INTERIOR ALASKA
WOMEN'S POLITICAL CAUCUS, FAIRBANKS, spoke in support of the
"waivers" but spoke strongly against the corpus of the bill.
She pointed out that little research was available on the
workfare program, whereas, the JOBS Program is currently
successful and would benefit the State with continued
funding.
DOROTHY PEAVY, (TESTIFIED VIA TELECONFERENCE), EXECUTIVE
DIRECTOR, MENTAL HEALTH CONSUMERS FOR ALASKA, ANCHORAGE,
spoke against Section 3 of the proposed legislation pointing
out that it would be unfair for those persons on APA to
support the workfare program by having their stipends
reduced for that purpose.
Representative Brown provided the Committee with amendment
effect of the proposed legislation would not enable people
to achieve long term self sufficiency. She asked the
Committee to give consideration to funding a "Healthy Start
Program" as part of the legislation. Representative Hanley
asked if a fiscal impact note was provided for the proposed
amendment. Representative Brown stated that Page 2 of the
amendment, states the funding intent to earmark half (1/2)
of savings achieved through rateable reductions for creating
a Healthy Start initiative.
(Tape Change, HFC 94-57, Side 1).
Representative Hanley advised that most people on the
welfare system want to work and added that ninety (90)
percent of the public thinks that people should work for the
benefits received. The workfare portion of the bill is
important and would differ from the requirements of the JOBS
Training Program. The JOBS Training Program is a more
comprehensive program dealing with education and training,
whereas, the workfare program requires only work or
community service.
Representative Brown agreed that aspects of the current
5
program are not desireable, and pointed out that in many of
the rural areas of the State, villages can not afford to
hire a VPSO Officer. She asked how could the proposed
program could work in such areas. Representative Hanley
advised that much of the program would be community service.
VIRGINIA ALLEN, (TESTIFIED VIA TELECONFERENCE), STATEWIDE
COORDINATOR FOR HEALTHY FAMILIES, ANCHORAGE, spoke in
opposition to HB 409 and the proposed 1.7% decrease to Adult
Public Assistance.
HB 409 was HELD in Committee for further discussion.
ADJOURNMENT
The meeting adjourned at 3:20 P.M.
HOUSE FINANCE COMMITTEE
March 10, 1994
1:45 P.M.
TAPE HFC 94 - 56, Side 1, #000 - end.
TAPE HFC 94 - 56, Side 2, #000 - end.
TAPE HFC 94 - 57, Side 1, #000 - #269.
CALL TO ORDER
Co-Chair Larson called the House Finance Committee meeting
to order at 1:45 P.M.
PRESENT
Co-Chair Larson Representative Foster
Co-Chair MacLean Representative Martin
Vice-Chair Hanley Representative Navarre
Representative Brown Representative Parnell
Representative Grussendorf Representative Therriault
Representative Hoffman was not present for the meeting.
ALSO PRESENT
Representative Tom Brice; Carrie McKee, (testified via
teleconference), AFDC Parent, Matsu; Meg Gaydosik, State
Public Policy Chair, American Association of University
Women (AAUW-Alaska), Fairbanks; Nikki Kinne, RCPC Head
Start, Fairbanks; Vicki Thayer, Fairbanks Resource Agency
(FRA), Fairbanks; Jan Boyd, FRA, Fairbanks; Louise Charles,
Program Coordinator for Tanana Job Training, Tanana Chiefs
Conference, Fairbanks; Sally Benevent, Helping Hands,
6
Fairbanks; Judy Bush, Alaska Legal Services, Fairbanks; Mary
Lou Canney, Family Advocate, RCPC Head Start, Fairbanks;
Ruth Listor, Interior Alaska Women's Political Caucus,
Fairbanks; Dorothy Peavy, Executive Director, Mental Health
Consumers for Alaska, Anchorage; Virginia Allen, Statewide
Coordinator for Healthy Families, Anchorage.
SUMMARY
HB 409 An Act relating to the maximum amount of
assistance that may be granted under the adult
public assistance program and the program of aid
to families with dependent children; proposing a
special demonstration project within the program
of aid to families with dependent children and
directing the Department of Health and Social
Services to seek waivers from the federal
government to implement the project; and providing
for an effective date.
HB 409 was HELD for further consideration.
Co-Chair Larson provided the Committee with work draft #8-
LS1813\A, Utermohle, 3/10/94, a proposed bill to amend the
Medical Assistance Program contained in Section 38, Chapter
65, SLA, 1993.
Representative Hanley explained that the bill would provide
for the developmentally disabled grants in the budget.
These waivers will receive federal match money. The funds
which normally are allocated to the grant providers would be
transferred in order to serve more people and make it more
effective. The last quarter payments will be made on April
1st. Consequently, this bill is being fast tracked and
would address a reappropriation for the flow of funds.
There were NO OBJECTIONS to introducing the legislation.
HOUSE BILL 409
"An Act relating to the maximum amount of assistance
that may be granted under the adult public assistance
program and the program of aid to families with
dependent children; proposing a special demonstration
project within the program of aid to families with
dependent children and directing the Department of
Health and Social Services to seek waivers from the
federal government to implement the project; and
providing for an effective date."
Representative Hanley provided an overview of the proposed
legislation, HB 409. He advised that the best way to reform
welfare would be to get recipients off the system. He
7
added, that this is what most Americans want from the
welfare system and also what most welfare families want is
job training, and work, self-sufficiency and pride.
According to a recent survey by the State Department of
Health and Social Services (DHSS), 88% of the AFDC clients
in Alaska said they would rather work than to be on welfare.
Representative Hanley pointed out that HB 409 removes
disincentives to work in the welfare program while providing
positive incentives. The legislation would direct the
Department of Health and Social Services (DHSS) to apply for
a waiver from the usual provisions governing AFDC programs
to establish a "workfare" demonstration project. All able-
bodied recipients would be required to either work for pay
or provide community service or their benefits would be
reduced. The legislation would include higher income
disregards, higher vehicle allowances and child care
assistance in order to make it easier for welfare recipients
to work.
The bills demonstration project language would guide the
DHSS to exercise authority in order to apply for welfare
waivers. Also included in the bill would be an adjustment
to the benefit formula added to help control rising costs.
Representative Hanley summarized that America is ready to
"end welfare as we know it". Other states are using waiver
type projects to develop alternative welfare programs. It
is time that Alaska, with its growing welfare rolls and
dwindling revenues, become more efficient.
Representative Hanley reviewed each section of CS HB 409
(HES).
Representative Navarre advised that strong economic
development within communities would be necessary in order
to transition people from being on welfare into gainful
employment.
Co-Chair MacLean applauded the effort of the "workfare"
program. Representative Brown asked if changes in Section
Representative Hanley explained those stipulations would
only apply to the control groups. Representative Brown
asked if being in the control group would affect a person's
eligibility for other programs. Representative Hanley
stated that this portion of the waiver would not affect the
other programs.
CARRIE MCKEE, (TESTIFIED VIA TELECONFERENCE), AFDC MOTHER,
MATANUSKA-SUSITNA VALLEY, testified against the legislation,
most specifically the "workfare" program. She stated that
8
currently there are not enough jobs available for people or
enough day care assistance. Representative Hanley pointed
out that the bill would provide child care and
transportation for the pilot group.
MEG GAYDOSIK, (TESTIFIED VIA TELECONFERENCE), STATE PUBLIC
POLICY CHAIR, AMERICAN ASSOCIATION OF UNIVERSITY WOMEN
(AAUW-ALASKA), FAIRBANKS, testified in opposition to the
recommended reductions to Public Assistance. She stressed
that the path out of poverty is through education and
training and urged the Committee to reconsider the
legislation.
NIKKI KINNE, (TESTIFIED VIA TELECONFERENCE), RCPC HEAD
START, FAIRBANKS, spoke in opposition to HB 409. She
pointed out that there is not child care available for those
persons on public assistance who want to work. She
recommended placing more funds into early childhood
education.
VICKI THAYER, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS
RESOURCE AGENCY, FAIRBANKS, spoke in opposition to HB 409.
She stated that the individuals whom she represents live on
Adult Public Assistance and that any reduction to what they
receive will significantly impact their lives. She thought
that the legislation was unfair in that the individuals who
were not eligible for the "workfare" portion of the bill
would be asked to pay for those that are.
(Tape Change, HFC 94-56, Side 2).
JAN BOYD, (TESTIFIED VIA TELECONFERENCE), FAIRBANKS RESOURCE
AGENCY (FRA), FAIRBANKS, spoke against the legislation and
the 1.7% reduction to those persons on Adult Public
Assistance.
LOUISE CHARLES, (TESTIFIED VIA TELECONFERENCE), PROGRAM
COORDINATOR FOR TANANA JOB TRAINING PROGRAM, TANANA CHIEFS
CONFERENCE, FAIRBANKS, testified against the proposed
legislation and the limitations it would make for the aged
and disabled. She pointed out that the current JOBS Program
is working well in the State and questioned the need to
introduce an additional program at new and greater expenses.
She pointed out that the House HESS Committee failed to make
any changes to the proposed legislation after overwhelming
testimony against the legislation. She urged that the bill
be reconsidered for further changes.
SALLY BENEVENT, (TESTIFIED VIA TELECONFERENCE), HELPING
HANDS, FAIRBANKS, spoke in opposition to the proposed
legislation and the 1.7% reduction. She added that the job
9
incentive program would not work as there are currently not
enough jobs available in the State nor is there enough child
care services available. Representative Hanley noted that
those persons chosen for the pilot group will receive
transportation and child care provided through the
Department of Health and Social Services.
JUDY BUSH, (TESTIFIED VIA TELECONFERENCE), ALASKA LEGAL
SERVICES, FAIRBANKS, spoke in support of the "waivers" and
spoke against the remaining sections of HB 409. She stated
that the bill is not a welfare reform bill adding that the
"workfare" proposal would not be productive but would be
expensive. She specifically spoke against the "rateable"
issue and that its relationship to the percent of poverty
level. "Poverty" is the bare minimum which a person can get
by on; to receive 70% of poverty level is low, the level
which AFDC participants receive. There will be long range
future costs associated with keeping persons at this level.
Ms. Bush emphasized that those most affected by the
legislation would be children, elderly and disabled
individuals. Representative Hanley pointed out that Alaska
pays the highest percentage of poverty level in the country.
MARY LOU CANNEY, (TESTIFIED VIA TELECONFERENCE), FAMILY
ADVOCATE, RCPC HEAD START, FAIRBANKS, spoke against the
legislation. She noted that she was trained by the JOBS
Program and currently employed. She urged the Committee not
to eliminate that program.
RUTH LISTOR, (TESTIFIED VIA TELECONFERENCE), INTERIOR ALASKA
WOMEN'S POLITICAL CAUCUS, FAIRBANKS, spoke in support of the
"waivers" but spoke strongly against the corpus of the bill.
She pointed out that little research was available on the
workfare program, whereas, the JOBS Program is currently
successful and would benefit the State with continued
funding.
DOROTHY PEAVY, (TESTIFIED VIA TELECONFERENCE), EXECUTIVE
DIRECTOR, MENTAL HEALTH CONSUMERS FOR ALASKA, ANCHORAGE,
spoke against Section 3 of the proposed legislation pointing
out that it would be unfair for those persons on APA to
support the workfare program by having their stipends
reduced for that purpose.
Representative Brown provided the Committee with amendment
effect of the proposed legislation would not enable people
to achieve long term self sufficiency. She asked the
Committee to give consideration to funding a "Healthy Start
Program" as part of the legislation. Representative Hanley
asked if a fiscal impact note was provided for the proposed
10
amendment. Representative Brown stated that Page 2 of the
amendment, states the funding intent to earmark half (1/2)
of savings achieved through rateable reductions for creating
a Healthy Start initiative.
(Tape Change, HFC 94-57, Side 1).
Representative Hanley advised that most people on the
welfare system want to work and added that ninety (90)
percent of the public thinks that people should work for the
benefits received. The workfare portion of the bill is
important and would differ from the requirements of the JOBS
Training Program. The JOBS Training Program is a more
comprehensive program dealing with education and training,
whereas, the workfare program requires only work or
community service.
Representative Brown agreed that aspects of the current
program are not desireable, and pointed out that in many of
the rural areas of the State, villages can not afford to
hire a VPSO Officer. She asked how could the proposed
program could work in such areas. Representative Hanley
advised that much of the program would be community service.
VIRGINIA ALLEN, (TESTIFIED VIA TELECONFERENCE), STATEWIDE
COORDINATOR FOR HEALTHY FAMILIES, ANCHORAGE, spoke in
opposition to HB 409 and the proposed 1.7% decrease to Adult
Public Assistance.
HB 409 was HELD in Committee for further discussion.
ADJOURNMENT
The meeting adjourned at 3:20 P.M.
11
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