Legislature(2021 - 2022)DAVIS 106

03/01/2022 03:00 PM House HEALTH & SOCIAL SERVICES

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03:11:04 PM Start
03:13:24 PM HSCR2
04:19:20 PM Confirmation Hearing(s):|| Alaska State Medical Board
05:03:33 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HSCR 2 DISAPPROVING EXECUTIVE ORDER 121 TELECONFERENCED
Moved HSCR 2 Out of Committee
-- Invited & Public Testimony --
+ Consideration of Governor’s Appointees: Mental TELECONFERENCED
Health Trust Authority and State Medical Board -
David Wilson and Matt Heilala
-- Invited & Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
      HOUSE HEALTH AND SOCIAL SERVICES STANDING COMMITTEE                                                                     
                         March 1, 2022                                                                                          
                           3:11 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Liz Snyder, Co-Chair                                                                                             
Representative Tiffany Zulkosky, Co-Chair                                                                                       
Representative Ivy Spohnholz                                                                                                    
Representative Zack Fields                                                                                                      
Representative Ken McCarty                                                                                                      
Representative Mike Prax                                                                                                        
Representative Christopher Kurka                                                                                                
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE SPECIAL CONCURRENT RESOLUTION NO. 2                                                                                       
Disapproving Executive Order No. 121.                                                                                           
                                                                                                                                
     - MOVED HSCR 2 OUT OF COMMITTEE                                                                                            
                                                                                                                                
CONFIRMATION HEARING(S):                                                                                                        
                                                                                                                                
Alaska State Medical Board                                                                                                    
                                                                                                                                
     Matt Heilala - Anchorage                                                                                                   
     David Wilson - Palmer                                                                                                      
                                                                                                                                
     - CONFIRMATION(S) ADVANCED                                                                                                 
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HSCR 2                                                                                                                  
SHORT TITLE: DISAPPROVING EXECUTIVE ORDER 121                                                                                   
SPONSOR(s): HEALTH & SOCIAL SERVICES                                                                                            
                                                                                                                                
02/22/22       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/22/22       (H)       HSS                                                                                                    
02/22/22       (H)       HSS AT 3:00 PM DAVIS 106                                                                               
02/22/22       (H)       Heard & Held                                                                                           
02/22/22       (H)       MINUTE(HSS)                                                                                            
02/24/22       (H)       HSS AT 3:00 PM DAVIS 106                                                                               
02/24/22       (H)       Heard & Held                                                                                           
02/24/22       (H)       MINUTE(HSS)                                                                                            
03/01/22       (H)       HSS AT 3:00 PM DAVIS 106                                                                               
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
MARIANNE MILLS, President                                                                                                       
AGEnet                                                                                                                          
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in opposition to HSCR 2.                                                                       
                                                                                                                                
BOB PAWLOWSKI, Chair                                                                                                            
Alaska Pioneer Homes Advisory Board                                                                                             
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified during the hearing on HSCR 2.                                                                  
                                                                                                                                
JULIE SMYTH, representing self                                                                                                  
Fairbanks, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HSCR 2.                                                                          
                                                                                                                                
ANDREE MCLOUD, representing self                                                                                                
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HSCR 2.                                                                          
                                                                                                                                
ROBIN O'DONOGHUE, Policy & Communications Manager                                                                               
Alaska Public Interest Research Group                                                                                           
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HSCR 2.                                                                          
                                                                                                                                
LAURA BONNER, representing self                                                                                                 
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HSCR 2.                                                                          
                                                                                                                                
MIRANDA WALSO, Executive Director                                                                                               
Governor's Council on Disabilities & Special Education                                                                          
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in opposition to HSCR 2.                                                                       
                                                                                                                                
ED MARTIN, representing self                                                                                                    
Kenai, Alaska                                                                                                                   
POSITION STATEMENT:  Testified in support of HSCR 2; testified                                                                
during the confirmation hearing on governor's appointees to the                                                                 
Alaska State Medical Board.                                                                                                     
                                                                                                                                
ANDREW DUNMIRE, Legislative Counsel                                                                                             
Legislative Legal Services                                                                                                      
Legislative Agencies and Offices                                                                                                
Juneau, Alaska                                                                                                                  
POSITION  STATEMENT:   Answered questions  during the  hearing on                                                             
HSCR 2.                                                                                                                         
                                                                                                                                
MATT HEILALA, DPM, Appointee                                                                                                    
Alaska State Medical Board                                                                                                      
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:   Testified as appointee to  the Alaska State                                                             
Medical Board.                                                                                                                  
                                                                                                                                
DAVID WILSON, Appointee                                                                                                         
Alaska State Medical Board                                                                                                      
Palmer, Alaska                                                                                                                  
POSITION STATEMENT:   Testified as appointee to  the Alaska State                                                             
Medical Board.                                                                                                                  
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:11:04 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  TIFFANY ZULKOSKY  called  the House  Health and  Social                                                             
Services  Standing  Committee  meeting  to  order  at  3:11  p.m.                                                               
Representatives Spohnholz, Fields,  McCarty, Prax, Snyder, Kurka,                                                               
and Zulkosky were present at the call to order.                                                                                 
                                                                                                                                
            HSCR 2-DISAPPROVING EXECUTIVE ORDER 121                                                                         
                                                                                                                                
3:13:24 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZULKOSKY announced  that  the first  order of  business                                                               
would be HOUSE SPECIAL CONCURRENT  RESOLUTION NO. 2, Disapproving                                                               
Executive Order No. 121.                                                                                                        
                                                                                                                                
3:14:19 PM                                                                                                                    
                                                                                                                                
CO-CHAIR ZULKOSKY opened public testimony on HSCR 2.                                                                            
                                                                                                                                
3:14:55 PM                                                                                                                    
                                                                                                                                
MARIANNE MILLS,  President, AGEnet, testified that  AGEnet took a                                                               
position   to  support   [Executive  Order   121],  which   would                                                               
reorganize the  Department of Health and  Social Services (DHSS).                                                               
She reported  that currently  DHSS has  a budget  the size  of 12                                                               
other departments,  with a staff tally  equaling six departments,                                                               
and  a team  of  5 manages  3,500 employees.    She posited  that                                                               
narrowing the  scope of the  agency would improve its  ability to                                                               
effectively serve  Alaskans.  She  asked the committee  to oppose                                                               
HSCR 2.                                                                                                                         
                                                                                                                                
3:16:28 PM                                                                                                                    
                                                                                                                                
BOB  PAWLOWSKI,  Chair,  Alaska  Pioneer  Homes  Advisory  Board,                                                               
testified  that  there  is a  $23  million  deferred  maintenance                                                               
backlog for  the Pioneer Home  program, and he shared  his belief                                                               
that the program would be better  served by being under a smaller                                                               
department.   He  added that  dividing the  department [as  would                                                               
happen  under EO  121,  which HSCR  2 seeks  to  stop], would  be                                                               
beneficial  for  the  health  and safety  of  the  residents  and                                                               
employees at the Pioneer Homes.                                                                                                 
                                                                                                                                
3:17:40 PM                                                                                                                    
                                                                                                                                
JULIE SMYTH, representing  self, testified in support  of HSCR 2.                                                               
She stated  that she receives  services through DHSS and  has not                                                               
received any  information from the department  about how dividing                                                               
the department would change those  services.  She opined that the                                                               
process to split DHSS should  be stopped until such questions are                                                               
answered.                                                                                                                       
                                                                                                                                
3:18:46 PM                                                                                                                    
                                                                                                                                
ANDREE MCLOUD, representing self, testified  in support of HSCR 2                                                               
as  someone who  cared for  a person  who received  benefits from                                                               
DHSS.  She argued that the  executive order did not "pass muster"                                                               
and would upend the lives of  many [vulnerable] people as well as                                                               
legislative authority.   She spoke  to points of concern  she had                                                               
after listening to previous presentations  from DHSS.  Presenters                                                               
from DHSS  had listed collaboration between  departments to lower                                                               
costs through economy of scale  purchases, and she questioned why                                                               
they were not already doing so.   She mentioned that the division                                                               
directors  reported  a need  to  "clamor  for the  commissioner's                                                               
attention" as  a large reason  for dividing DHSS, and  she argued                                                               
that  the commissioner  should  be able  to  handle the  requests                                                               
without  needing  to  create  an  entire  new  department.    She                                                               
reported that  there was a lack  of input from the  Alaskans that                                                               
rely on  the services  provided by  DHSS and  quoted Commissioner                                                               
Adam Crum as  saying that informing recipients of  the change was                                                               
"not required."  She referenced  past department initiatives such                                                               
as the Wellpath rollout and  the Medicaid adult dental preventive                                                               
program,  which she  described the  department as  having "messed                                                               
up,"  and she  questioned whether  that was  the leadership  that                                                               
should oversee  the creation of  a new department.   She insisted                                                               
that the legislature  should intervene in the  governor's plan as                                                               
it would create "chaos" for the most vulnerable Alaskans.                                                                       
                                                                                                                                
3:22:14 PM                                                                                                                    
                                                                                                                                
ROBIN O'DONOGHUE, Policy &  Communications Manager, Alaska Public                                                               
Interest  Research Group,  testified  in support  of  HSCR 2  and                                                               
cited lack of public participation  as one of the largest issues.                                                               
He  reported  that there  was  a  consensus  that DHSS  had  many                                                               
problems, but  it was  unclear if  bifurcation would  solve them.                                                               
He said that  high expense and creation of 13  new positions when                                                               
the state  was in  a fiscal and  employee deficit  was troubling.                                                               
He  stated there  had been  a lack  of communication  between the                                                               
department  and its  beneficiaries,  especially  when there  have                                                               
already been big changes in  how Alaskans navigate their services                                                               
due  to COVID-19.   He  characterized the  department's testimony                                                               
about the proposal  as confusing.  He opined  that the department                                                               
to be under-prepared to take on  such an important split and that                                                               
many   of  the   issues  could   be  resolved   internally  while                                                               
maintaining one department.  He  expressed concern that following                                                               
through with  the executive  order would  create a  bad precedent                                                               
that  the executive  branch  can reorganize  large  parts of  the                                                               
state  government  with  little  input from  the  public  or  the                                                               
legislature,  and he  referenced a  memorandum ("memo")  from the                                                               
legislative legal division  that said the executive  order was an                                                               
example of overreach.   He asked the committee to  pass HSCR 2 to                                                               
give more time to properly investigate the proposal.                                                                            
                                                                                                                                
3:24:40 PM                                                                                                                    
                                                                                                                                
LAURA BONNER, representing  self, testified in support  of HSCR 2                                                               
and  mentioned  that  she  had  a  disabled  adult  daughter  who                                                               
received  many  services  from  DHSS.    She  believed  that  the                                                               
governor  and commissioner  have not  provided enough  compelling                                                               
evidence  for why  the split  should happen  at this  time.   She                                                               
stated that it was a huge  and costly decision and should receive                                                               
more input  from the legislature  and the community  before going                                                               
forward.  She  emphasized that the timing was not  right and that                                                               
a change  this large should not  be considered at the  end of the                                                               
governor's term.                                                                                                                
                                                                                                                                
3:26:42 PM                                                                                                                    
                                                                                                                                
MIRANDA   WALSO,  Executive   Director,  Governor's   Council  on                                                               
Disabilities  & Special  Education,  testified  in opposition  to                                                               
HSCR 2.   She stated  that to solve  the issues DHSS  was facing,                                                               
the state needed to increase  its capacity at the highest levels.                                                               
She shared  her belief  that "things  aren't getting  better" and                                                               
that a  larger change  would be  required.   She opined  that the                                                               
expansiveness of  the regulations  and services provided  was too                                                               
diverse for one small group of  people to handle, and there was a                                                               
pressing need to increase oversight.                                                                                            
                                                                                                                                
3:28:36 PM                                                                                                                    
                                                                                                                                
ED MARTIN,  representing self,  testified in  support of  HSCR 2.                                                               
He  opined  that  splitting  a  department  would  not  be  cost-                                                               
effective.   He questioned the  zero fiscal note  associated with                                                               
the executive  order and stated  that there  would have to  be an                                                               
addition of  government positions  either now  or in  the future,                                                               
which would  cost the state  money.   He shared his  concern over                                                               
how DHSS handled the COVID-19  crisis and stated that "this whole                                                               
department under [Commissioner] Crum has  been out of control for                                                               
two years."   He shared his belief that  splitting the department                                                               
would  lead to  more  opportunity for  the  department to  "steal                                                               
liberties" from  Alaskans.   He urged the  committee to  stop the                                                               
governor's "overreach" by passing HSCR 2 out of committee.                                                                      
                                                                                                                                
3:30:35 PM                                                                                                                    
                                                                                                                                
CO-CHAIR ZULKOSKY, after  ascertaining there was no  one else who                                                               
wished to testify, closed public testimony on HSCR 2.                                                                           
                                                                                                                                
3:31:00 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS  stated that he was  personally against the                                                               
bifurcation   due  to   not   enough  collaborative   stakeholder                                                               
engagement and the lack of an  accompanying bill.  He expressed a                                                               
need  to  make  sure  there   was  proper  legislation  for  this                                                               
departmental change  so that  there was not  a precedent  for the                                                               
executive branch to rewrite large  sections of statute through an                                                               
executive order.   He opined  that there  needed to be  more time                                                               
and  thought put  into the  bifurcation process,  and he  advised                                                               
that a bill  should be drafted for the  next legislative session,                                                               
under the  governor at that  time.  He emphasized  the importance                                                               
of ensuring a  balance between the powers of  the legislative and                                                               
executive branches.                                                                                                             
                                                                                                                                
3:32:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  MCCARTY  commented that  a  common  theme in  the                                                               
discussions about the issues within DHSS was its management.                                                                    
He shared how his personal  experience working in health care has                                                               
left him very disgruntled about  the management of the department                                                               
he has  seen over the years,  which he said has  been mirrored in                                                               
the  overall discussion.    He  said that  the  question was  not                                                               
whether  there are  issues but  how to  fix them.   He  mentioned                                                               
several of the  areas where DHSS has been struggling.   He shared                                                               
that he was  not opposed to bifurcation but would  want to see it                                                               
accompanied  by measurable  goals  for growth  that show  results                                                               
within a  year.  He  stated that it was  within the power  of the                                                               
committee to create a bill that  year to clean up the language of                                                               
the executive order  and ensure it was moving toward  the goal of                                                               
serving Alaskans.                                                                                                               
                                                                                                                                
3:36:07 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SPOHNHOLZ expressed agreement  that there are many                                                               
issues in DHSS  and that the department needs  more capacity, but                                                               
she  stated that  the stakeholder  engagement  has been  lacking.                                                               
She   reiterated  that   engagement   has   been  one-way,   with                                                               
stakeholders feeling  as though they were  "essentially informed"                                                               
that there would be a division  of the department, but that their                                                               
input on  reorganization was  not being  considered.   She argued                                                               
that the current  offer was an incomplete package  - an executive                                                               
order  without  companion  legislation, which  she  described  as                                                               
"absolutely  necessary" for  the success  of the  reorganization.                                                               
She  posited  that  the  executive  branch  did  not  submit  the                                                               
companion  legislation  out  of  fear  that  the  bill  would  be                                                               
"Christmas treed," but said it  was her position that if adequate                                                               
stakeholder engagement  had occurred, then there  would have been                                                               
a lot  of consensus and support  for the executive order  and its                                                               
legislation within  the legislature.   Instead  of collaboration,                                                               
she  reported   hearing  from  people  within   the  health  care                                                               
community   who   fear   that   their   relationship   with   the                                                               
administration  and  their mission  within  their  work would  be                                                               
jeopardized if  they spoke candidly  on the subject.   She stated                                                               
that this  is a problem  because these community members  run the                                                               
"mom and  pop" or non-profit  organizations that provide  most of                                                               
the services that DHSS funds,  and she explained that they cannot                                                               
do  their  work  if  they   have  a  bad  relationship  with  the                                                               
department.                                                                                                                     
                                                                                                                                
REPRESENTATIVE  SPOHNHOLZ  characterized  the proposal  from  the                                                               
administration  as "half-baked"  and said  that by  presenting it                                                               
without legislation, the governor  was forcing the legislature to                                                               
fix the  issues itself  or even draw  out the  transition process                                                               
another year  while creating  the legislation.   She  stated that                                                               
transitions are already difficult but  can be improved with solid                                                               
stakeholder engagement and  an idea of what it will  look like at                                                               
the  end.   She  said  that what  the  legislature was  currently                                                               
presented with was  a transition that would be "a  slog without a                                                               
clear  vista," and  it  is  not clear  what  the  state would  be                                                               
getting out of it.  She  stated that she supported passing HSCR 2                                                               
to reject the  executive order and approach the  issue slowly and                                                               
methodically,   with  deep   stakeholder   engagement,  and   she                                                               
mentioned  the  $500,000  budget  amendment  to  do  more  robust                                                               
engagement  over  the  next  year.    She  recommended  that  the                                                               
legislature  invest  in  this  approach because  it  would  be  a                                                               
smoother process that would yield a better product overall.                                                                     
                                                                                                                                
3:42:03 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRAX spoke  in opposition  to HSCR  2 and  stated                                                               
that the problems with the department  have been known for over a                                                               
decade and  that there  had been  as much  research as  there was                                                               
time for,  so now the  state needed to  make a decision  and move                                                               
on.  He opined  that the amount of work and detail  put in by the                                                               
administration has been robust and  included input from employees                                                               
within the  organization from over  many years.  He  posited that                                                               
the preparation  was as  good as  it was going  to get,  and that                                                               
there was  more risk  in not following  the executive  order than                                                               
there was in following it.                                                                                                      
                                                                                                                                
3:43:58 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE KURKA  asked whether Mr. Dunmire  from Legislative                                                               
Legal Services was still on the line for questions.                                                                             
                                                                                                                                
REPRESENTATIVE   ZULKOSKY   confirmed   that  Mr.   Dunmire   was                                                               
available.                                                                                                                      
                                                                                                                                
REPRESENTATIVE   KURKA   voiced   his  understanding   that   the                                                               
Constitution of  the State of  Alaska does give the  governor the                                                               
ability  to split  departments using  an  executive order,  which                                                               
would automatically involve  changing the statute.   He asked Mr.                                                               
Dunmire  if  it  would  be   possible  to  divide  such  a  large                                                               
department through  executive order  without making  policy calls                                                               
and changing statute.                                                                                                           
                                                                                                                                
3:46:52 PM                                                                                                                    
                                                                                                                                
ANDREW DUNMIRE, Legislative  Counsel, Legislative Legal Services,                                                               
Legislative Agencies  and Offices,  opined that  it would  not be                                                               
possible  to  split a  principal  department  by executive  order                                                               
without making policy changes through the process.                                                                              
                                                                                                                                
REPRESENTATIVE  KURKA stated  that the  memorandum ("memo")  that                                                               
Legislative Legal Services created  addressed several sections in                                                               
the  executive order  that included  unnecessary policy  changes,                                                               
and  he asked  Mr.  Dunmire  to point  these  sections  out.   He                                                               
specifically mentioned Section 27  and asked for more information                                                               
about the Alaska Statues that would be changed by that section.                                                                 
                                                                                                                                
MR. DUNMIRE  explained that during  the drafting of the  memo, he                                                               
compared each line  of the executive order  with existing statute                                                               
and  made note  of every  policy change  he saw,  which were  all                                                               
included in the final memo.   He addressed Representative Kurka's                                                               
question about  the policy  change made  under Section  27, which                                                               
decided  that the  new Department  of  Health (DOH)  commissioner                                                               
would  sit  on  the  board  of the  Alaska  Mental  Health  Trust                                                               
Authority  (AMHTA).   However, he  explained  that the  executive                                                               
order also  decided that the  Alaska Psychiatric  Institute (API)                                                               
would be  overseen by  the Department  of Family  Services (DFS),                                                               
meaning  that the  commissioner who  oversees that  program would                                                               
not have  input into its  regulatory board.   He deferred  to the                                                               
legislature to  decide whether the  policy changes he  found were                                                               
unnecessary.                                                                                                                    
                                                                                                                                
3:51:42 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SNYDER  expanded on Representative Kurka's  question and                                                               
stated it was  a valid line of questioning that  had been touched                                                               
on in  previous testimony  from the Department  of Law  (DOL) and                                                               
Legislative  Legal Services.   She  reported that  reorganization                                                               
and reassignment of  a department through an  executive order was                                                               
legal,  but expansions  or  shrinking of  authority  were a  gray                                                               
area.    She  mentioned  that  most of  the  issues  were  around                                                               
"problematic" wording  that left too much  open to interpretation                                                               
and listed board  membership and areas of authority  as two areas                                                               
of concern, but  she said that these could be  fixed with a piece                                                               
of companion  legislature.   She stated  that legality  aside, it                                                               
was now  "in the  legislature's court" to  decide how  to proceed                                                               
with the proposed bifurcation.   She emphasized her commitment to                                                               
improve  the functionality  and oversight  of the  department and                                                               
her  gratitude towards  DHSS for  the work  accomplished so  far.                                                               
However,  she  insisted  that  it was  part  of  the  committee's                                                               
responsibility  to give  the executive  order  due diligence  and                                                               
that  she  continued  to  have  several  questions  about  moving                                                               
bifurcation forward that did not  seem to have answers, which she                                                               
stated was a concern.                                                                                                           
                                                                                                                                
CO-CHAIR SNYDER  cited continuous  budget cuts to  the department                                                               
since  2015 and  opined  that the  state  "shouldn't be  terribly                                                               
surprised"  about the  persistent challenges  the department  was                                                               
facing.  She  listed workforce burnout, low  rates of recruitment                                                               
and retention,  and aging technological infrastructure  as issues                                                               
that can be directly tied to  DHSS budget volatility.  She agreed                                                               
with Representative  Prax's point that  the issues are  known and                                                               
further research  into that  was not needed  but argued  that the                                                               
proposal to bifurcate and add  more positions would not solve the                                                               
identified  problem.   She  emphasized the  point  made by  other                                                               
members of the  committee about the precedent  that the executive                                                               
order would  set and added  that the legislature  should consider                                                               
that precedent fully.   She concluded by  reiterating her support                                                               
for HSCR 2  and stated that moving it through  in a timely manner                                                               
would allow the legislature to keep  all its options on the table                                                               
to  ensure  it  practices  due  diligence  before  enacting  this                                                               
change.                                                                                                                         
                                                                                                                                
3:59:05 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZULKOSKY   opined  that  the  discussions   around  the                                                               
executive order  revealed that  a solution  to the  many programs                                                               
that are in crisis was crucial,  as many of the stakeholders were                                                               
among Alaska's  most vulnerable populations.   She expressed that                                                               
DHSS had done  an incredible job in demonstrating  its many needs                                                               
in  terms  of providing  services,  but  that  she had  not  been                                                               
convinced that  the executive order  was the best solution.   She                                                               
echoed the concerns of Legislative  Legal Services that the legal                                                               
and fiscal  ambiguities of the  executive order  could negatively                                                               
impact  the future  of the  legislature as  an institution.   She                                                               
considered the  60-day deadline for  a response on  the executive                                                               
order  as an  inadequate amount  of  time to  fully consider  the                                                               
legal   precedent,  especially   regarding   the  potential   for                                                               
executive branch overreach.                                                                                                     
                                                                                                                                
CO-CHAIR ZULKOSKY returned to the  topic of the executive order's                                                               
constitutionality  and  highlighted  that the  Legislative  Legal                                                               
Services' memo revealed  that there was very  little authority on                                                               
the  permissible scope  of an  executive order.   She  emphasized                                                               
that EO 121  dwarfs previous executive orders in  size and scope;                                                               
allowing it to go into  effect would signal that a reorganization                                                               
of this  size was permissible and  would cede a large  portion of                                                               
the legislature's  policy-making power  to the  executive branch.                                                               
She stated  that legislative powers  were bestowed solely  on the                                                               
legislature by Alaska's  constitution and that she  was unable to                                                               
separate  the incredible  work  DHSS has  done  from her  concern                                                               
about the possibly  substantive changes to statue  included in EO                                                               
121  when Legislative  Legal  Services has  advised  that a  bill                                                               
would  be  a  more  appropriate   way  to  enact  the  governor's                                                               
proposal.  She added that  allowing the executive branch to usurp                                                               
the  legislatures  powers,  whether  intentional  or  not,  would                                                               
violate constitutional checks and balances.                                                                                     
                                                                                                                                
CO-CHAIR ZULKOSKY,  having looked back  at the last  three fiscal                                                               
years, reported that  the legislature had cut $30  million from a                                                               
number of DHSS divisions through  the elimination of many "front-                                                               
line" service delivery positions.   These cuts were made in favor                                                               
of six  figure salaries and  additional overhead in  the creation                                                               
of a new commissioner's office, which  was not a fiscal or policy                                                               
choice she  supported.  She  expressed concern that if  the state                                                               
were not able to deliver on  the promise of a seamless transition                                                               
during  bifurcation,  then  it  would lead  to  the  addition  of                                                               
positions   and   massive   unforeseen   expenses   that   future                                                               
legislatures would  have to address.   She expressed  her support                                                               
of  moving HSCR  2  out of  committee through  a  summary of  her                                                               
concerns  and stated  that moving  the  resolution would  promote                                                               
further dialogue within the  legislature about this multi-faceted                                                               
issue.                                                                                                                          
                                                                                                                                
4:06:10 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  SNYDER moved  to report  HSCR 2  out of  committee with                                                               
individual recommendations and the accompanying fiscal notes.                                                                   
                                                                                                                                
4:06:31 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRAX objected.                                                                                                   
                                                                                                                                
4:06:36 PM                                                                                                                    
                                                                                                                                
A roll call  vote was taken.   Representatives Spohnholz, Fields,                                                               
Kurka,  Snyder, and  Zulkosky voted  in  favor of  the motion  to                                                               
report HSCR  2 out of  committee with  individual recommendations                                                               
and the  accompanying fiscal notes.   Representatives McCarty and                                                               
Prax voted  against it.   Therefore, HSCR  2 was reported  out of                                                               
the  House Health  and Social  Services Standing  Committee by  a                                                               
vote of 5-2.                                                                                                                    
                                                                                                                                
4:07:12 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 4:07 p.m. to 4:19 p.m.                                                                       
                                                                                                                                
^CONFIRMATION HEARING(S):                                                                                                       
^Alaska State Medical Board                                                                                                     
                    CONFIRMATION HEARING(S):                                                                                
                    Alaska State Medical Board                                                                              
                                                                                                                                
4:19:20 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZULKOSKY announced  that  the final  order of  business                                                               
would  be  a  confirmation  hearing   for  consideration  of  the                                                               
governor's appointees to the Alaska State Medical Board.                                                                        
                                                                                                                                
4:19:46 PM                                                                                                                    
                                                                                                                                
MATT  HEILALA,  DPM,  Appointee,   Alaska  State  Medical  Board,                                                               
introduced himself with a brief  personal history and stated that                                                               
after 25  years in the medical  profession he was ready  to serve                                                               
his fellow  Alaskans in  a different capacity  by serving  on the                                                               
Alaska State Medical Board.                                                                                                     
                                                                                                                                
4:20:51 PM                                                                                                                    
                                                                                                                                
CO-CHAIR SNYDER inquired  about the type of work  Dr. Heilala was                                                               
looking forward  to completing with  the board and  asked whether                                                               
there were particular issues he was interested in addressing.                                                                   
                                                                                                                                
DR.  HEILALA  responded that  he  was  eager  to both  learn  and                                                               
contribute while on the board.   He stated that he was interested                                                               
in policy  concerning patient  care and  was concerned  about the                                                               
conflict  surrounding these  issues,  which he  contributed to  a                                                               
lack of  strong leadership.  He  saw this as a  great opportunity                                                               
to  step  up and  participate  in  these conversations  with  the                                                               
ultimate goal of preserving the sanctity of patient care.                                                                       
                                                                                                                                
4:22:25 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SPOHNHOLZ  asked Dr.  Heilala to elaborate  on the                                                               
"conflicts"  he had  mentioned and  how he  envisioned the  board                                                               
approaching them.                                                                                                               
                                                                                                                                
DR. HEILALA  replied that he  had relationships with most  of the                                                               
physicians in Central  Alaska and was concerned  about strife and                                                               
finger pointing  that had arisen  in the  community, specifically                                                               
around  aftereffects of  the pandemic.   He  referenced a  highly                                                               
publicized  letter  to  the  editor,  and he  said  he  hoped  to                                                               
contribute  to a  calmer conversation  from his  position on  the                                                               
board where he  was excited to support President Dr.  Levine.  He                                                               
stated that  Dr. Levine  helps keep the  board in  perspective of                                                               
its purview.   He said he believed that he  had an opportunity to                                                               
help remind people  that multiple opinions and  morals exist, and                                                               
it  is the  board's  mission  to uphold  proper  patient care  by                                                               
adjudicating issues cautiously and proactively.                                                                                 
                                                                                                                                
4:25:02 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SPOHNHOLZ  asked Dr.  Heilala to describe  what he                                                               
believed  the role  of  the  board should  be  in navigating  the                                                               
controversy that has been brought before it recently.                                                                           
                                                                                                                                
DR. HEILALA  responded that there  were concerns  brought forward                                                               
that individual  Alaska physicians were  implementing alternative                                                               
COVID-19 patients.  He added that there  was a call by a group of                                                               
physicians  for  the  board to  broadly  investigate  the  claims                                                               
without  the  board receiving  any  individual  accusations.   He                                                               
agreed  with  Dr.   Lee's  formal  response  that   it  would  be                                                               
unprecedented  to  use  a  "drag   net"  approach  without  first                                                               
establishing  harm  caused  by   an  individual  physician.    He                                                               
expressed empathy for  both the physicians who  are being accused                                                               
and face losing their medical  license and the infectious disease                                                               
physicians  at hospitals  that  have  experienced extreme  trauma                                                               
over the last few  years.  He said he thinks that  as a member of                                                               
the  state   medical  board,   his  main   role  is   to  improve                                                               
communication.    He concluded  by  agreeing  with Dr.  Lee  that                                                               
without particular cases being brought  forth, the board does not                                                               
have the authority to investigate broadly.                                                                                      
                                                                                                                                
4:27:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SPOHNHOLZ  questioned  whether  substantial  harm                                                               
must occur to Alaskans before  the board acted.  She acknowledged                                                               
concerns  that  some Alaskans  were  put  in  harm's way  due  to                                                               
"unorthodox"  treatments   of  conditions  during   COVID-19  and                                                               
wondered where  the line was drawn  in terms of the  board taking                                                               
action.                                                                                                                         
                                                                                                                                
DR. HEILALA  replied that it was  the position of the  board that                                                               
concerns need  to be  brought to the  board as  individual cases.                                                               
He  explained that  this allowed  the  board to  assess the  many                                                               
factors of  each case to determine  if harm was done,  if it fell                                                               
into  the  board's jurisdiction,  and  decide  on an  appropriate                                                               
action.   He clarified that the  board would not "sit  back idly"                                                               
if there were known harm  occurring but reiterated that "there is                                                               
a  process for  delivering  a complaint"  which  did not  include                                                               
instigating  a broad  investigation.   He agreed  with Dr.  Lee's                                                               
written statement  that the board  should handle  complaints that                                                               
were  focused on  a particular  practitioner rather  than issuing                                                               
broad statements of disapproval.                                                                                                
                                                                                                                                
4:29:59 PM                                                                                                                    
                                                                                                                                
CO-CHAIR ZULKOSKY  inquired about  Dr. Heilala's  experience with                                                               
the obstacles  of practicing medicine  in rural Alaska  and asked                                                               
how he would approach this topic as a board member.                                                                             
                                                                                                                                
DR.  HEILALA talked  about his  experience  living, working,  and                                                               
traveling throughout  Alaska, including  rural areas,  and shared                                                               
his understanding  of the challenges facing  rural practitioners.                                                               
He emphasized  that these practitioners need  more flexibility to                                                               
use  tele-health technology  without excessive  regulations.   He                                                               
gave  an  example  of  his  experience  testifying  against  more                                                               
stringent X-ray  requirements that  would have  directly impacted                                                               
many  small  villages  across  rural  Alaska.    He  stated  that                                                               
flexibility   needed  to   be   defended   to  prevent   needless                                                               
transportation  of   patients  across   the  state   when  proper                                                               
diagnosis can and does happen close to home.                                                                                    
                                                                                                                                
4:33:12 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZULKOSKY  asked which  areas  of  medical practice  Dr.                                                               
Heilala considered a priority.                                                                                                  
                                                                                                                                
DR. HEILALA pointed to increasing  access to podiatry care, which                                                               
had been  an issue for Alaskans  within the Medicaid system.   As                                                               
the board's  first podiatrist, he  hoped to help bring  the level                                                               
of foot  and ankle care  up to par with  the rest of  the country                                                               
and was  particularly invested in preventing  amputations for the                                                               
diabetic  population.     He  expressed  that   the  country  was                                                               
experiencing a time  of change with a  considerable shift towards                                                               
out-patient  and  increasingly localized  care.    He shared  his                                                               
excitement to be part of  these conversations as they are brought                                                               
before the board.                                                                                                               
                                                                                                                                
4:35:01 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZULKOSKY opened  public testimony  on the  confirmation                                                               
hearing for Matt Heilala, Appointee, Alaska State Medical Board.                                                                
                                                                                                                                
4:35:21 PM                                                                                                                    
                                                                                                                                
ED  MARTIN, representing  self,  raised his  concerns around  the                                                               
modernization of the  medical field, especially in  regard to the                                                               
treatment  of patients.    He  noted that  there  was  a lack  of                                                               
information available  to the public  about Dr. Heilala  and said                                                               
he felt as  though he did not  have access to the  appointee.  He                                                               
shared  his  personal experience  about  being  denied access  to                                                               
telehealth services while  living away from the  state during the                                                               
COVID-19 pandemic,  and he inferred  that those were the  sort of                                                               
issues  most Alaskans  are  dealing  with.   He  agreed with  the                                                               
board's decision not to implement  a broad investigation into the                                                               
COVID-19 treatment  concerns and  cited the  right to  privacy as                                                               
ample reason.   He stated that he was leaning  toward support for                                                               
the appointee but would like  to have personal conversations with                                                               
both  appointees  to  the  board before  he  could  finalize  his                                                               
opinion.                                                                                                                        
                                                                                                                                
4:39:03 PM                                                                                                                    
                                                                                                                                
CO-CHAIR ZULKOSKY  after ascertaining there  was no one  else who                                                               
wished to testify, closed public testimony.                                                                                     
                                                                                                                                
4:39:37 PM                                                                                                                    
                                                                                                                                
DAVID WILSON,  Appointee, Alaska  State Medical Board,  said that                                                               
he was interested  in the public seat on the  board.  He reported                                                               
that as a  pilot for Alaska Airlines, he served  as the Anchorage                                                               
chair for its Professional Standards  Board.  He talked about his                                                               
history living in  multiple places in Alaska over  his career and                                                               
how  living  in Bethel  opened  his  eyes  to the  challenges  to                                                               
survival  in  rural Alaska.    He  listed high  shipping,  supply                                                               
costs, and limited access to  health care among the challenges he                                                               
saw  the  Native  communities   face  with  "resourcefulness  and                                                               
independent resilience."   While in Bethel, he  reported, he flew                                                               
patients  and  medical  staff frequently  and  commented  on  the                                                               
staff's  commitment  to  their communities.    He  expressed  his                                                               
fortune in being able to  help the medical professionals in their                                                               
service  to  these  rural  areas,   a  service  he  described  as                                                               
essential  to the  survival  of  the villages.    He spoke  about                                                               
similar experiences he  had after moving back  to Kodiak, Alaska,                                                               
and flying  the medical  staff in that  region, and  he mentioned                                                               
the meaningful  relationships with  members of the  Alaska Native                                                               
community that he  has maintained.  He talked  about his personal                                                               
experiences with doctors in Alaska,  from his family physician to                                                               
the medical  team that  supported his father  later in  life with                                                               
"great care."                                                                                                                   
                                                                                                                                
MR. WILSON  shared that he wanted  to serve on the  board to help                                                               
give  back  to the  passionate  and  caring community  of  Alaska                                                               
physicians.  He stated that his  role as the public member of the                                                               
board served two purposes.  First,  he believed he would give the                                                               
perspective of a patient and  could especially represent those in                                                               
rural  Alaska  who face  the  greatest  logistical challenges  to                                                               
receiving medical  care.  Second,  he shared that  his experience                                                               
in human  factor analysis for  aviation safety would  benefit the                                                               
board.   He posited  that there were  many parallels  between the                                                               
Professional Standards Board and  the Alaska State Medical Board.                                                               
He continued  this comparison by  talking about  the similarities                                                               
between  pilots and  medical personnel  and the  issues they  can                                                               
face professionally, such as  culture of non-compliance, external                                                               
pressures, and  substance abuse.  He  spoke to the need  for high                                                               
levels  of  professionalism  in  both career  paths  due  to  the                                                               
possibility  of harm  to  the  public if  that  standard was  not                                                               
maintained.  He shared his  belief that behavioral issues such as                                                               
non-compliance often come from outside  factors and can be solved                                                               
only by  speaking in depth  with the  person to address  the root                                                               
cause  of the  problem.   He  said he  hoped to  bring a  similar                                                               
approach to issues brought before the board.                                                                                    
                                                                                                                                
4:47:32 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRAX  asked  whether the  Professional  Standards                                                               
Board Mr. Wilson served on was a national or state board.                                                                       
                                                                                                                                
MR.  WILSON responded  it was  a  national board  related to  the                                                               
Airline  Pilots Association  (APA),  a  union of  which  he is  a                                                               
member.                                                                                                                         
                                                                                                                                
REPRESENTATIVE   MCCARTY   spoke   about  the   complexities   of                                                               
understanding humanity and  the blend of science and  art that is                                                               
the profession  of medicine.   He asked  how Mr. Wilson's  use of                                                               
systematic professional standards fit within that landscape.                                                                    
                                                                                                                                
MR. WILSON clarified  that he had limited  experience in medicine                                                               
but  could  apply his  perspective  of  the  art and  science  of                                                               
aviation to his response.                                                                                                       
                                                                                                                                
REPRESENTATIVE MCCARTY  inquired about Mr. Wilson's  ideas on the                                                               
professional standards of behavior and  how that contrasts with a                                                               
need for latitude and openness in medicine to benefit patients.                                                                 
                                                                                                                                
MR.  WILSON  opined  that  because  physicians  were  trained  in                                                               
certain specialties,  the system  of referrals allows  doctors to                                                               
point their  patients towards  the best  care, which  he believed                                                               
showed the importance of latitude in the medical field.                                                                         
                                                                                                                                
REPRESENTATIVE  PRAX expressed  his intrigue  about Mr.  Wilson's                                                               
aviation background  and asked how  he envisioned  his experience                                                               
in aviation investigations to benefit the board.                                                                                
                                                                                                                                
MR.  WILSON referenced  a  board meeting  he  attended where  the                                                               
board's investigator went through  several malpractice cases that                                                               
were before  the board.  He  reported that he had  inquired about                                                               
the   existence  of   a  database   for  tracking   [breeches  of                                                               
professional conduct].   He wondered what role the  stress of the                                                               
last  two years  and the  fact that  physicians were  one of  the                                                               
occupations  predisposed  to  substance abuse  and  suicide  have                                                               
played in  the occurrence  of malpractice  suits.   He reiterated                                                               
that  in the  aviation  world, any  incident  brought before  the                                                               
board would  be addressed with  the board's consideration  of the                                                               
pilot's history and be investigated  for the root causes, such as                                                               
outside factors,  and he suggested  that this practice  should be                                                               
applied to  the Alaska State  Medical Board  as well.   He shared                                                               
his  belief that  physicians were  pillars of  the community  and                                                               
that the board  should work to understand  the circumstances that                                                               
surround an instance  of malpractice in order to get  to the root                                                               
of  the problem  and  provide  help to  a  physician  who may  be                                                               
struggling.                                                                                                                     
                                                                                                                                
4:57:41 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZULKOSKY noted  that the  board oversees  state license                                                               
renewal,  which  depends  on   the  physician  proving  continued                                                               
competency.   She asked  how Mr.  Wilson would  assess competency                                                               
given his lack of medical experience.                                                                                           
                                                                                                                                
MR.  WILSON replied  that  he  would trust  the  opinions of  the                                                               
doctors on  the board when  it comes  to competency, and  that he                                                               
viewed his role in assessment as supportive.                                                                                    
                                                                                                                                
CO-CHAIR ZULKOSKY asked how Mr.  Wilson's experience had prepared                                                               
him for  the board's work  of setting regulations  that establish                                                               
guidelines for physicians.                                                                                                      
                                                                                                                                
MR.  WILSON  explained that  in  his  previous position  as  lead                                                               
pilot, he  was tasked with  creating policy for the  company that                                                               
complied with [ever-changing] regulations.   Although the subject                                                               
matter  is   different,  he  believed  that   his  experience  in                                                               
regulatory compliance and creating policy  that spoke to both the                                                               
letter and the intent  of the law would apply to  his work on the                                                               
board.                                                                                                                          
                                                                                                                                
5:01:07 PM                                                                                                                    
                                                                                                                                
The committee took a brief at ease.                                                                                             
                                                                                                                                
5:01:45 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZULKOSKY opened  public testimony  on the  confirmation                                                               
hearing for David Wilson, Appointee,  Alaska State Medical Board.                                                               
After ascertaining that  there was no one who  wished to testify,                                                               
she closed public testimony.                                                                                                    
                                                                                                                                
5:02:18 PM                                                                                                                    
                                                                                                                                
CO-CHAIR  ZULKOSKY  stated  that  the  House  Health  and  Social                                                               
Services Standing  Committee had  reviewed the  qualifications of                                                               
the  following governor's  appointees  for  consideration:   Matt                                                               
Heilala and  David Wilson to  the Alaska State Medical  Board and                                                               
would  advance  the  confirmations   to  the  joint  session  for                                                               
consideration.   Each member's signature on  the committee report                                                               
in  no way  reflects the  member's  vote during  the joint  floor                                                               
session.                                                                                                                        
                                                                                                                                
5:03:33 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Health  and  Social  Services   Standing  Committee  meeting  was                                                               
adjourned at 5:03 p.m.                                                                                                          

Document Name Date/Time Subjects
David Wilson, Medical Board.pdf HHSS 3/1/2022 3:00:00 PM
Matt Heilala, Medical Board.pdf HHSS 3/1/2022 3:00:00 PM
EO 121, Letters of Support, 2.28.22.pdf HHSS 3/1/2022 3:00:00 PM
AMHB.ABADA EO 121 LOS Final.pdf HHSS 3/1/2022 3:00:00 PM
EO 121
HSCR 2, Fiscal Note.pdf HHSS 3/1/2022 3:00:00 PM
HSCR 2