Legislature(2017 - 2018)BARNES 124

04/09/2018 03:15 PM LABOR & COMMERCE

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Audio Topic
03:17:26 PM Start
03:18:21 PM Confirmation Hearing(s)
03:39:04 PM HB193
04:11:39 PM HB358
04:20:42 PM HB376
04:51:28 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 358 INSURANCE COVERAGE FOR TELEHEALTH TELECONFERENCED
Heard & Held
-- Public Testimony --
+ HB 193 HEALTH CARE; BALANCE BILLING TELECONFERENCED
Heard & Held
-- Public Testimony --
*+ HB 376 ESTABLISH THE ALASKA STATE BANK TELECONFERENCED
Heard & Held
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
          HOUSE LABOR AND COMMERCE STANDING COMMITTEE                                                                         
                         April 9, 2018                                                                                          
                           3:17 p.m.                                                                                            
                                                                                                                                
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Sam Kito, Chair                                                                                                  
Representative Adam Wool, Vice Chair                                                                                            
Representative Andy Josephson                                                                                                   
Representative Louise Stutes                                                                                                    
Representative Chris Birch                                                                                                      
Representative Colleen Sullivan-Leonard                                                                                         
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Gary Knopp                                                                                                       
Representative Mike Chenault (alternate)                                                                                        
Representative Bryce Edgmon (alternate)                                                                                         
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
CONFIRMATION(S):                                                                                                                
                                                                                                                                
Alaska State Board of Public Accountancy                                                                                      
                                                                                                                                
     Leslie Schmitz  Anchorage                                                                                                  
     Karen Smith  Anchorage                                                                                                     
                                                                                                                                
Alcoholic Beverage Control Board                                                                                              
                                                                                                                                
     Sara Crapuchettes  Soldotna                                                                                                
     Glenn Brady  Fairbanks                                                                                                     
                                                                                                                                
State Board of Registration of Architects Engineers and Land                                                                  
Surveyors                                                                                                                     
                                                                                                                                
     William Mott  Anchorage                                                                                                    
     Luanne Urfer  Eagle River                                                                                                  
     Jennifer Anderson  Anchorage                                                                                               
     Richard Jones  Juneau                                                                                                      
                                                                                                                                
Board of Barbers and Hairdressers                                                                                             
                                                                                                                                
     Vershawn Idom  Anchorage                                                                                                   
                                                                                                                                
Board of Chiropractic Examiners                                                                                               
                                                                                                                                
     James Morris  Dutch Harbor                                                                                                 
                                                                                                                                
Board of Dental Examiners                                                                                                     
                                                                                                                                
     Dominic Wenzell  Girdwood                                                                                                  
     Robin Wahto  Anchorage                                                                                                     
                                                                                                                                
Alaska Labor Relations Agency                                                                                                 
                                                                                                                                
     Tyler Andrews  Anchorage                                                                                                   
     Melinda (Mila) Cosgrove  Juneau                                                                                            
     Lon Needles  Valdez                                                                                                        
                                                                                                                                
Marijuana Control Board                                                                                                       
                                                                                                                                
     Loren Jones  Douglas                                                                                                       
     Nicholas Miller  Anchorage                                                                                                 
                                                                                                                                
Board of Marine Pilots                                                                                                        
                                                                                                                                
     Peggy McLaughlin  Dutch Harbor                                                                                             
     Richard Harris  Juneau                                                                                                     
     Les Cronk  Ketchikan                                                                                                       
                                                                                                                                
Board of Marital and Family Therapy                                                                                           
                                                                                                                                
     Natalie Lewis  Kotzebue                                                                                                    
                                                                                                                                
Board of Massage Therapists                                                                                                   
                                                                                                                                
     David Edwards-Smith  Soldotna                                                                                              
     Jill Motz  Wasilla                                                                                                         
                                                                                                                                
Board of Certified Direct-Entry Midwives                                                                                      
                                                                                                                                
     Dianna Kristeller  Fairbanks                                                                                               
     Kenni Linden  Palmer                                                                                                       
                                                                                                                                
Board of Nursing                                                                                                              
                                                                                                                                
     Starla Fox  Dillingham                                                                                                     
     Linda Hutchings  Soldotna                                                                                                  
                                                                                                                                
Board of Examiners in Optometry                                                                                               
                                                                                                                                
     Damien Delzer  Fairbanks                                                                                                   
     Eric Lingle  Juneau                                                                                                        
                                                                                                                                
Board of Pharmacy                                                                                                             
                                                                                                                                
     Tammy Lindemuth  Anchorage                                                                                                 
     Sharon Long  Anchorage                                                                                                     
     Lana Bell  Anchorage                                                                                                       
                                                                                                                                
State Physical Therapy and Occupational Therapy Board                                                                         
                                                                                                                                
     Keith Poorbaugh  Palmer                                                                                                    
     Robert Calhoon  Anchorage                                                                                                  
                                                                                                                                
Board of Professional Counselors                                                                                              
                                                                                                                                
     Steven Cardwell  Fairbanks                                                                                                 
     Janece Richard  Anchorage                                                                                                  
     Alice Baum  Anchorage                                                                                                      
                                                                                                                                
Board of Psychologist and Psychological Associate Examiners                                                                   
                                                                                                                                
     Paul Dukarm  Fairbanks                                                                                                     
                                                                                                                                
Board of Certified Real Estate Appraisers                                                                                     
                                                                                                                                
     Donald Faulkenburry  Anchorage                                                                                             
     David Derry  Kenai                                                                                                         
     Wendy Lawrence  Sitka                                                                                                      
                                                                                                                                
Regulatory Commission of Alaska                                                                                               
                                                                                                                                
     Janis Wilson  Anchorage                                                                                                    
     Paul Lisankie  Anchorage                                                                                                   
     Antony Scott  Anchorage                                                                                                    
                                                                                                                                
Board of Social Work Examiners                                                                                                
                                                                                                                                
     Lisa Hay  Fairbanks                                                                                                        
     Danielle LaFon  Fairbanks                                                                                                  
                                                                                                                                
Board of Veterinary Examiners                                                                                                 
                                                                                                                                
     Chris Michetti  Anchorage                                                                                                  
                                                                                                                                
Workers' Compensation Appeals Commission                                                                                      
                                                                                                                                
     Michael Notar  Juneau                                                                                                      
                                                                                                                                
Workers Compensation Board                                                                                                    
                                                                                                                                
     Bradley Evans  Anchorage                                                                                                   
     David Kester  Anchorage                                                                                                    
     Justin Mack  Anchorage                                                                                                     
     Nancy Shaw  Anchorage                                                                                                      
     Jacob Howdeshell  North Pole                                                                                               
     Bronson Frye  Anchorage                                                                                                    
     Robert Weel  Anchorage                                                                                                     
     Pamela Cline  Wasilla                                                                                                      
                                                                                                                                
     - CONFIRMATION(S) ADVANCED                                                                                                 
                                                                                                                                
HOUSE BILL NO. 193                                                                                                              
"An Act relating to insurance trade practices and frauds; and                                                                   
relating to emergency services and balance billing."                                                                            
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
HOUSE BILL NO. 358                                                                                                              
"An Act relating to insurance coverage for benefits provided                                                                    
through telehealth; and providing for an effective date."                                                                       
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
HOUSE BILL NO. 376                                                                                                              
"An Act establishing a state bank; relating to insurance,                                                                       
mortgage lending, securities, and permanent fund dividends; and                                                                 
providing for an effective date."                                                                                               
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 193                                                                                                                  
SHORT TITLE: HEALTH CARE; BALANCE BILLING                                                                                       
SPONSOR(s): REPRESENTATIVE(s) GRENN                                                                                             
                                                                                                                                
03/24/17       (H)       READ THE FIRST TIME - REFERRALS                                                                        
03/24/17       (H)       HSS, L&C                                                                                               
03/08/18       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/08/18       (H)       Heard & Held                                                                                           
03/08/18       (H)       MINUTE(HSS)                                                                                            
03/27/18       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/27/18       (H)       -- MEETING CANCELED --                                                                                 
03/29/18       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/29/18       (H)       Moved CSHB 193(HSS) Out of Committee                                                                   
03/29/18       (H)       MINUTE(HSS)                                                                                            
03/30/18       (H)       HSS RPT CS(HSS) NT 2DP 4NR                                                                             
03/30/18       (H)       DP: SULLIVAN-LEONARD, SPOHNHOLZ                                                                        
03/30/18       (H)       NR: TARR, ZULKOSKY, KITO, EASTMAN                                                                      
04/03/18       (H)       FIN AT 10:00 AM ADAMS ROOM 519                                                                         
04/03/18       (H)       <Bill Hearing Canceled>                                                                                
04/09/18       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
BILL: HB 358                                                                                                                  
SHORT TITLE: INSURANCE COVERAGE FOR TELEHEALTH                                                                                  
SPONSOR(s): REPRESENTATIVE(s) SPOHNHOLZ                                                                                         
                                                                                                                                
02/19/18       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/19/18       (H)       HSS, L&C                                                                                               
03/08/18       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/08/18       (H)       Heard & Held                                                                                           
03/08/18       (H)       MINUTE(HSS)                                                                                            
03/22/18       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/22/18       (H)       -- MEETING CANCELED --                                                                                 
03/29/18       (H)       HSS AT 3:00 PM CAPITOL 106                                                                             
03/29/18       (H)       Moved HB 358 Out of Committee                                                                          
03/29/18       (H)       MINUTE(HSS)                                                                                            
03/30/18       (H)       HSS RPT 3DP 3NR 1AM                                                                                    
03/30/18       (H)       DP: JOHNSTON, KITO, SPOHNHOLZ                                                                          
03/30/18       (H)       NR: TARR, ZULKOSKY, SULLIVAN-LEONARD                                                                   
03/30/18       (H)       AM: EASTMAN                                                                                            
04/09/18       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
BILL: HB 376                                                                                                                  
SHORT TITLE: ESTABLISH THE ALASKA STATE BANK                                                                                    
SPONSOR(s): REPRESENTATIVE(s) TUCK                                                                                              
                                                                                                                                
02/21/18       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/21/18       (H)       L&C, FIN                                                                                               
04/09/18       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
RYAN JOHNSTON, Staff                                                                                                            
Representative Jason Grenn                                                                                                      
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Introduced HB 193 on behalf of                                                                           
Representative Grenn, prime sponsor.                                                                                            
                                                                                                                                
DR. ANNE ZINK, MD                                                                                                               
Matsu Emergency Department                                                                                                      
Palmer, Alaska                                                                                                                  
POSITION STATEMENT:  Testified in support of HB 193.                                                                          
                                                                                                                                
REPRESENTATIVE IVY SPOHNHOLZ                                                                                                    
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Presented HB 358 as prime sponsor.                                                                       
                                                                                                                                
BERNICE NESBITT, Staff                                                                                                          
Representative Spohnholz                                                                                                        
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified on HB 358 on behalf of                                                                         
Representative Spohnholz, prime sponsor.                                                                                        
                                                                                                                                
VICTORIA KNAPP                                                                                                                  
CEO                                                                                                                             
Matsu Health Services                                                                                                           
Wasilla, Alaska                                                                                                                 
POSITION STATEMENT:  Testified in support of HB 358.                                                                          
                                                                                                                                
LYNN FREEMAN, MD                                                                                                                
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified in support of HB 358.                                                                          
                                                                                                                                
CHARLES DUNCAN, Staff                                                                                                           
Representative Chris Tuck                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Introduced HB 376 on behalf of                                                                           
Representative Tuck, prime sponsor.                                                                                             
                                                                                                                                
REPRESENTATIVE CHRIS TUCK                                                                                                       
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Introduced HB 376 as prime sponsor.                                                                      
                                                                                                                                
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:17:26 PM                                                                                                                    
                                                                                                                                
CHAIR  SAM KITO  called  the House  Labor  and Commerce  Standing                                                             
Committee  meeting   to  order   at  3:17   p.m.  Representatives                                                               
Josephson,  Wool, Birch,  Sullivan-Leonard, and  Chair Kito  were                                                               
present at the call to order.  Representative Stutes arrived as                                                                 
the meeting was in progress.                                                                                                    
                                                                                                                                
^CONFIRMATION HEARING(S)                                                                                                        
                                                                                                                                
                    CONFIRMATION HEARING(S)                                                                                 
            Alaska State Board of Public Accountancy                                                                        
                Alcoholic Beverage Control Board                                                                            
     State Board Architects, Engineers and Land Surveyors                                                                   
               Board of Barbers and Hairdressers                                                                            
                Board of Chiropractic Examiners                                                                             
                   Board of Dental Examiners                                                                                
                 Alaska Labor Relations Agency                                                                              
                    Marijuana Control Board                                                                                 
                     Board of Marine Pilots                                                                                 
              Board of Marital and Family Therapy                                                                           
                  Board of Massage Therapists                                                                               
            Board of Certified Direct-Entry Midwives                                                                        
                        Board of Nursing                                                                                    
                Board of Examiners in Optometry                                                                             
                       Board of Pharmacy                                                                                    
     State Board, Physical Therapy and Occupational Therapy                                                                 
                Board of Professional Counselors                                                                            
  Board of Psychologist and Psychological Associate Examiners                                                               
           Board of Certified Real Estate Appraisers                                                                        
                Regulatory Commission of Alaska                                                                             
                 Board of Social Work Examiners                                                                             
                 Board of Veterinary Examiners                                                                              
            Workers' Compensation Appeals Commission                                                                        
               Alaska Workers' Compensation Board                                                                           
                                                                                                                              
3:18:21 PM                                                                                                                    
                                                                                                                                
CHAIR KITO  advised that he had  asked the members to  submit the                                                               
names   of  all   appointees  to   testify  directly,   and  nine                                                               
individuals were brought  before the committee.   In the interest                                                               
of  making  the  record  complete,  he said  he  would  read  the                                                               
appointee  names and  boards and  commissions in  which they  are                                                               
being proposed, as follows:                                                                                                     
                                                                                                                                
     Alaska State Board of Public Accountancy                                                                                 
                                                                                                                                
          Leslie Schmitz  Anchorage                                                                                             
          Karen Smith  Anchorage                                                                                                
                                                                                                                                
     Alcoholic Beverage Control Board                                                                                         
                                                                                                                                
          Sara Crapuchettes  Soldotna                                                                                           
          Glenn Brady  Fairbanks                                                                                                
                                                                                                                                
      State Board of Registration of Architects Engineers                                                                     
     and Land Surveyors                                                                                                       
                                                                                                                                
          William Mott  Anchorage                                                                                               
          Luanne Urfer  Eagle River                                                                                             
          Jennifer Anderson  Anchorage                                                                                          
          Richard Jones  Juneau                                                                                                 
                                                                                                                                
     Board of Barbers and Hairdressers                                                                                        
                                                                                                                                
          Vershawn Idom  Anchorage                                                                                              
                                                                                                                                
     Board of Chiropractic Examiners                                                                                          
                                                                                                                                
          James Morris  Dutch Harbor                                                                                            
                                                                                                                                
     Board of Dental Examiners                                                                                                
                                                                                                                                
          Dominic Wenzell  Girdwood                                                                                             
          Robin Wahto  Anchorage                                                                                                
                                                                                                                                
     Alaska Labor Relations Agency                                                                                            
                                                                                                                                
          Tyler Andrews  Anchorage                                                                                              
          Melinda (Mila) Cosgrove  Juneau                                                                                       
          Lon Needles  Valdez                                                                                                   
                                                                                                                                
     Marijuana Control Board                                                                                                  
                                                                                                                                
          Loren Jones  Douglas                                                                                                  
          Nicholas Miller  Anchorage                                                                                            
                                                                                                                                
     Board of Marine Pilots                                                                                                   
                                                                                                                                
          Peggy McLaughlin  Dutch Harbor                                                                                        
          Richard Harris  Juneau                                                                                                
          Les Cronk  Ketchikan                                                                                                  
                                                                                                                                
     Board of Marital and Family Therapy                                                                                      
                                                                                                                                
          Natalie Lewis  Kotzebue                                                                                               
                                                                                                                                
     Board of Massage Therapists                                                                                              
                                                                                                                                
          David Edwards-Smith  Soldotna                                                                                         
          Jill Motz  Wasilla                                                                                                    
                                                                                                                                
     Board of Certified Direct-Entry Midwives                                                                                 
                                                                                                                                
          Dianna Kristeller  Fairbanks                                                                                          
          Kenni Linden  Palmer                                                                                                  
                                                                                                                                
3:21:11 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SULLIVAN-LEONARD objected to Kenni Linden,                                                                       
Palmer, Alaska.                                                                                                                 
                                                                                                                                
CHAIR KITO advised there would be a separate motion regarding                                                                   
her objection.                                                                                                                  
                                                                                                                                
CHAIR KITO continued reading the list of appointees.                                                                            
                                                                                                                                
     Board of Nursing                                                                                                         
                                                                                                                                
          Starla Fox  Dillingham                                                                                                
          Linda Hutchings  Soldotna                                                                                             
                                                                                                                                
     Board of Examiners in Optometry                                                                                          
                                                                                                                                
          Damien Delzer  Fairbanks                                                                                              
          Eric Lingle  Juneau                                                                                                   
                                                                                                                                
     Board of Pharmacy                                                                                                        
                                                                                                                                
          Tammy Lindemuth  Anchorage                                                                                            
          Sharon Long  Anchorage                                                                                                
          Lana Bell  Anchorage                                                                                                  
                                                                                                                                
     State Physical Therapy and Occupational Therapy Board                                                                    
                                                                                                                                
          Keith Poorbaugh  Palmer                                                                                               
          Robert Calhoon  Anchorage                                                                                             
                                                                                                                                
     Board of Professional Counselors                                                                                         
                                                                                                                                
          Steven Cardwell  Fairbanks                                                                                            
          Janece Richard  Anchorage                                                                                             
          Alice Baum  Anchorage                                                                                                 
                                                                                                                                
       Board of Psychologist and Psychological Associate                                                                      
     Examiners                                                                                                                
                                                                                                                                
          Paul Dukarm  Fairbanks                                                                                                
                                                                                                                                
     Board of Certified Real Estate Appraisers                                                                                
                                                                                                                                
          Donald Faulkenburry  Anchorage                                                                                        
          David Derry  Kenai                                                                                                    
          Wendy Lawrence  Sitka                                                                                                 
                                                                                                                                
     Regulatory Commission of Alaska                                                                                          
                                                                                                                                
          Janis Wilson   Anchorage                                                                                              
          Paul Lisankie   Anchorage                                                                                             
          Antony Scott   Anchorage                                                                                              
                                                                                                                                
     Board of Social Work Examiners                                                                                           
                                                                                                                                
          Lisa Hay  Fairbanks                                                                                                   
          Danielle LaFon  Fairbanks                                                                                             
                                                                                                                                
     Board of Veterinary Examiners                                                                                            
                                                                                                                                
          Chris Michetti  Anchorage                                                                                             
                                                                                                                                
     Workers' Compensation Appeals Commission                                                                                 
                                                                                                                                
          Michael Notar  Juneau                                                                                                 
                                                                                                                                
     Workers' Compensation Board                                                                                              
                                                                                                                                
          Bradley Evans  Anchorage                                                                                              
          David Kester  Anchorage                                                                                               
          Justin Mack  Anchorage                                                                                                
          Nancy Shaw  Anchorage                                                                                                 
          Jacob Howdeshell  North Pole                                                                                          
          Bronson Frye  Anchorage                                                                                               
          Robert Weel  Anchorage                                                                                                
          Pamela Cline  Wasilla                                                                                                 
                                                                                                                                
3:23:20 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:23 p.m. to 3:30 p.m.                                                                       
                                                                                                                                
3:30:02 PM                                                                                                                    
                                                                                                                                
CHAIR KITO moved to advance the governor's named appointees to a                                                                
joint session of the House of Representatives and Senate for                                                                    
consideration, other  than the name  that received  an objection,                                                               
Kenni Linden.   He reminded the members that  signing the reports                                                               
regarding these  appointments to  the boards and  commissions are                                                               
merely  forwarded to  the full  legislature  for confirmation  or                                                               
rejection.    There   being  no  objection,  the   names  of  the                                                               
appointees were  advanced to  the joint session  of the  House of                                                               
Representatives and the Senate.                                                                                                 
                                                                                                                                
3:31:00 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:31 p.m. to 3:33 p.m.                                                                       
                                                                                                                                
3:33:06 PM                                                                                                                    
                                                                                                                                
CHAIR KITO noted that there was  an objection to the appointee to                                                               
the Board of  Certified Direct-Entry Midwives, Kenni  Linden.  He                                                               
reminded the  committee that a  member's signature on  the report                                                               
does not reflect an  intent by any of the members  to vote for or                                                               
against this individual during the  joint session of the House of                                                               
Representatives and the Senate for the purposes of approval.                                                                    
                                                                                                                                
3:33:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SULLIVAN-LEONARD  spoke   to  her  objection  and                                                               
stated that she received hundreds  of e-mails and telephone calls                                                               
from her  constituents who  have voiced  their objection  to this                                                               
member   being  included   in  a   midwifery   board,  which   is                                                               
significant.    In reviewing  the  composition  of the  midwifery                                                               
board  itself, there  is representation  from the  Mat-Su Valley,                                                               
which is  an important component  to review when looking  at each                                                               
board.   The member from Mat-Su  is a midwife, the  position that                                                               
Ms. Linden has applied for is a public seat.                                                                                    
                                                                                                                                
3:35:39 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:35 p.m. to 3:36 p.m.                                                                       
                                                                                                                                
3:36:08 PM                                                                                                                    
                                                                                                                                
A roll  call vote  was taken.   Representatives  Josephson, Wool,                                                               
Stutes, and  Kito voted  in favor  of advancing  the name  of Ms.                                                               
Kenni Linden.   Representatives Sullivan-Leonard and  Birch voted                                                               
against it.  Therefore, the  appointee's name was advanced to the                                                               
joint  session of  House  of Representative  and  the Senate  for                                                               
consideration by a vote of 4-2.                                                                                                 
                                                                                                                                
3:36:41 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:36 p.m. to 3:39 p.m.                                                                       
                                                                                                                                
              HB 193-HEALTH CARE; BALANCE BILLING                                                                           
3:39:04 PM                                                                                                                    
                                                                                                                                
CHAIR KITO  announced that  the next order  of business  would be                                                               
HOUSE  BILL  NO.  193,  "An   Act  relating  to  insurance  trade                                                               
practices  and frauds;  and relating  to  emergency services  and                                                               
balance billing."                                                                                                               
                                                                                                                                
3:39:21 PM                                                                                                                    
                                                                                                                                
RYAN JOHNSTON,  Staff, Representative Jason Grenn,  introduced HB                                                               
193  on  behalf  of  Representative Grenn,  prime  sponsor.    He                                                               
paraphrased  the   sectional  analysis  [included   in  committee                                                               
packet], which reads as follows [original punctuation provided]:                                                                
                                                                                                                                
     Section 1:  Establishes a "Hold Harmless"  standard for                                                                    
     insurance providers in the situation where a covered                                                                       
     person  receives medical  care  from an  out-of-network                                                                    
     medical   provider  in   an  emergency   situation.  An                                                                    
     insurance provider will hold  a covered person harmless                                                                    
     to ensure that  the covered person only  pay what would                                                                    
     have  been paid  if  the medical  provider  was an  in-                                                                    
     network provider.                                                                                                          
                                                                                                                                
     Outlines  the  standards  to establish  the  situations                                                                    
     where a medical provider  cannot balance bill a covered                                                                    
     person. An  insurance provider shall pay  a non-network                                                                    
     health  care  provider  if  the  health  care  provider                                                                    
     renders to a covered person;                                                                                               
        • emergency services or treats an emergency medical                                                                     
          condition                                                                                                             
        • services at an in-network facility                                                                                    
        • services for which a referral was made by an in-                                                                      
          network health care provider to an out-of-network                                                                     
          health care provider without the explicit written                                                                     
          consent of the covered person.                                                                                        
     The covered  person is  still required  to pay  the in-                                                                    
     network  rates  for  the  deductible,  coinsurance  and                                                                    
     copayment.  The amount  paid by  the covered  person is                                                                    
     required  to be  counted  towards  the covered  persons                                                                    
     deductible.                                                                                                                
     The final  payment determined for the  medical provider                                                                    
     will subtract any amount paid by the covered person.                                                                       
     The insurance provider  is to pay the  greater of three                                                                    
     possible amounts;                                                                                                          
        • the median negotiated contract rate generated                                                                         
          using  the in-network  health  care providers  for                                                                    
          the service provided;                                                                                                 
        • That is equal to the 80th percentile of charges                                                                       
          for the  services calculated  using a  method that                                                                    
          establishes a statistically  credible profile that                                                                    
          reflects the general  cost differences between the                                                                    
          geographical area where  the service was preformed                                                                    
          and  the other  geographical areas  when performed                                                                    
          by a health  care provider in the  same or similar                                                                    
          specialty; or                                                                                                         
        • That would be paid under Medicare for the service                                                                     
          provided.                                                                                                             
     Medical  providers are  required to  send all  bills to                                                                    
     the  insurance  provider,  except for  the  deductible,                                                                    
     coinsurance and copayment.                                                                                                 
     Contains a  clause that if  a covered  person knowingly                                                                    
     elects to  use an out-of-network medical  provider then                                                                    
     they can be balanced billed for the services.                                                                              
                                                                                                                                
     Section 2:  Health care insurance plans  obtained under                                                                    
     AS  39.30.090 or  provided under  AS 39.30.091  will be                                                                    
     subject  to the  requirements  of  secs. 21.36.512  and                                                                    
     21.36.513.                                                                                                                 
                                                                                                                                
     Section 3: Bans the practice  of "Balance Billing" by a                                                                    
     medical  provider under  the criteria  of section  1 of                                                                    
     the  bill. Stipulates  that  the  medical provider  can                                                                    
     still   bill  for   the  deductible,   coinsurance  and                                                                    
     copayment.                                                                                                                 
     States that  a medical provider will  be paid according                                                                    
     to section 1 of the bill.                                                                                                  
                                                                                                                                
     Section  4:  Establishes  the  punishment  for  medical                                                                    
     providers   under  the   Unfair  Trade   Practices  and                                                                    
     Consumer Protection.                                                                                                       
                                                                                                                                
3:43:23 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE BIRCH asked whether the bill sponsor has heard                                                                   
concerns about equity for small businesses.                                                                                     
                                                                                                                                
MR. JOHNSTON answered  that was the motivation  behind Section 2.                                                               
He said that requiring private  insurers to follow the directive,                                                               
the state  plan should  be held  to the same  standard.   He said                                                               
some aspects could not be addressed at the state level.                                                                         
                                                                                                                                
REPRESENTATIVE BIRCH asked about the fiscal note (FN).                                                                          
                                                                                                                                
MR. JOHNSTON answered it should be  a cost savings for the state.                                                               
He said  that currently the  Division of Retirement  and Benefits                                                               
pays 100 percent of the  billed amount in an emergency situation.                                                               
He  added the  state  does  hold state  employees  harmless.   He                                                               
stated the  proposed bill states that  it has to be  in the state                                                               
in which the  service was rendered, for example  for an emergency                                                               
room  visit in  Oregon,  the  state would  just  use Oregon's  80                                                               
percentile.  He said the language could be made clearer.                                                                        
                                                                                                                                
3:46:27 PM                                                                                                                    
                                                                                                                                
DR.  ANNE  ZINK, MD,  Matsu  Emergency  Department, testified  in                                                               
support of  HB 193.   She presented a PowerPoint  presentation on                                                               
"HB  193:  A Patient  Protection  Bill,[included    in  committee                                                               
packet]. She said the question is  what is right for the patient.                                                               
She stated the bill would end  the "surprise insurance gap."  She                                                               
described a  scenario of  someone in  an emergency  situation and                                                               
the subsequent related  billing for services.   She explained the                                                               
scenario  in terms  of  in  and out  of  network  services.   She                                                               
explained that the  bill would put a ban on  balance bill, ending                                                               
the "surprise  insurance gap."   She underlined that in  order to                                                               
preserve  a  safety  net  for  patients, the  system  has  to  be                                                               
geographically relevant.                                                                                                        
                                                                                                                                
REPRESENTATIVE  WOOL asked  about health  spending versus  health                                                               
costs.                                                                                                                          
                                                                                                                                
DR. ZINK answered she was speaking to health spending.                                                                          
                                                                                                                                
3:56:56 PM                                                                                                                    
                                                                                                                                
DR. ZINK  spoke to  "Alaska and  the 80th  Percentile Regulation:                                                               
Myth and  Reality."  She  said Alaska  is not the  most expensive                                                               
area in the  country for health care, as it  follows the District                                                               
of  Columbia.     She  said  that  rural  states   pay  more  for                                                               
physicians.  She  remarked that the 80th percentile  rule did not                                                               
change the  Alaska per capita  private health  insurance spending                                                               
curve.  She  added that Connecticut and New  York established the                                                               
80th  percentile as  a benchmark  for  payment in  2014 and  many                                                               
states are considering similar patient  protection measures.  She                                                               
underlined  there were  no  increases in  charges after  the  80                                                                
percentile was adopted.                                                                                                         
                                                                                                                                
DR. ZINK  pointed out that  the National  Insurance Commissioners                                                               
model  legislation   regarding  out-of-network   balance  billing                                                               
stated as a guide:                                                                                                              
                                                                                                                                
       A. For the purposes of this subsection, "usual and                                                                       
         customary cost" shall mean the eightieth percentile                                                                    
         of  all charges  for  the  particular  health  care                                                                    
         service performed  by  a provider  in  the same  or                                                                    
         similar  specialty   and  provided   in  the   same                                                                    
         geographical area  as  reported  in a  benchmarking                                                                    
         database  maintained by  a  nonprofit  organization                                                                    
         specified  by   the  commissioner.   The  nonprofit                                                                    
         organization  shall  not   be  affiliated   with  a                                                                    
         carrier.                                                                                                               
                                                                                                                                
4:00:02 PM                                                                                                                    
                                                                                                                                
DR. ZINK  went on to  explain how emergency costs  are coded                                                                    
between Anchorage, Alaska, and  Seattle, Washington, for in-                                                                    
network  and  out-of-network  services.    She  showed  that                                                                    
emergency  costs   are  already   the  same  or   less  that                                                                    
                                          th                                                                                    
neighboring states.  She said that the 80 percentile is a                                                                       
patient protection issue.                                                                                                       
                                                                                                                                
CHAIR KITO  asked whether  Americas Health  Insurance Association                                                               
had indicated  it would  be harder to  bring physicians  into the                                                               
network if the proposed bill were to  pass.  He asked Dr. Zink to                                                               
give her thoughts.                                                                                                              
                                                                                                                                
DR.  ZINK answered  she does  not have  concerns.   She explained                                                               
that if  there is  a relatively  good out-of-network  minimum, it                                                               
encourages providers to be in-network.                                                                                          
                                                                                                                                
REPRESENTATIVE  BIRCH  asked where  the  hospitals  fit into  the                                                               
issue.                                                                                                                          
                                                                                                                                
DR. ZINK shared her understanding  the hospitals would be held to                                                               
the same provision in the proposed bill.                                                                                        
                                                                                                                                
4:04:45 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE WOOL  asked Dr. Zink  to explain the  database she                                                               
mentioned in her presentation.                                                                                                  
                                                                                                                                
DR. ZINK  answered that  the proposed bill  does not  specify how                                                               
geographic  relevance   and  a   non-profit  database   would  be                                                               
established.                                                                                                                    
                                                                                                                                
REPRESENTATIVE WOOL asked about non-emergency medical services.                                                                 
                                                                                                                                
DR. ZINK answered  that anything a patient feels  is an emergency                                                               
has to be examined.  She  said the issue of emergency definitions                                                               
is defined in federal law.                                                                                                      
                                                                                                                                
CHAIR KITO  mentioned a scenario  in which an  insurance employee                                                               
made a point of asking the  anesthesiologist whether he or she is                                                               
in or out of network before proceeding.                                                                                         
                                                                                                                                
DR. ZINK added that  at time the person who is  in network is not                                                               
available for the procedure and  someone who is out-of-network is                                                               
used.                                                                                                                           
                                                                                                                                
REPRESENTATIVE  WOOL  asked whether  the  answer  is to  ask  the                                                               
medical professional prior to any  procedure whether they are in-                                                               
network.                                                                                                                        
                                                                                                                                
DR. ZINK answered  in the affirmative.  She added  that is why it                                                               
is  so important  to  pass  the proposed  legislation,  as in  an                                                               
emergency that scenario would not be possible.                                                                                  
                                                                                                                                
4:11:14 PM                                                                                                                    
                                                                                                                                
CHAIR KITO opened public testimony on HB 193.                                                                                   
                                                                                                                                
CHAIR KITO held over HB 193.                                                                                                    
                                                                                                                                
            HB 358-INSURANCE COVERAGE FOR TELEHEALTH                                                                        
                                                                                                                                
4:11:39 PM                                                                                                                    
                                                                                                                                
CHAIR KITO  announced that  the next order  of business  would be                                                               
HOUSE BILL  NO. 358, "An  Act relating to insurance  coverage for                                                               
benefits  provided  through  telehealth;  and  providing  for  an                                                               
effective date."                                                                                                                
                                                                                                                                
4:11:51 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SPOHNHOLZ, Alaska  State Legislature, presented HB                                                               
358  as prime  sponsor.   She paraphrased  the sponsor  statement                                                               
[included in committee packet], which reads as follows [original                                                                
punctuation provided]:                                                                                                          
                                                                                                                                
     HB  358 will  enhance access  to health  care services,                                                                    
     primarily mental health and  primary care, for Alaskans                                                                    
     who  have  insurance  plans  with  Moda,  Premera  Blue                                                                    
     Cross, United Healthcare, and  Aetna Life Insurance, to                                                                    
     name a few. HB 358  does this by requiring the insurers                                                                    
     previously  listed to  provide  insurance coverage  for                                                                    
     health care services provided through telehealth.                                                                          
     Increasing  access to  health care  services throughout                                                                    
     Alaska is crucial. Because of our unique                                                                                   
     geographical   landscape  and   our  rural   and  aging                                                                    
     communities spread out across the state,                                                                                   
     telehealth  can  enhance  access  to  health  care  and                                                                    
     improve clinical outcomes.                                                                                                 
                                                                                                                                
     Here are some of the advantages of telehealth:                                                                             
        • Better access and privacy in rural, remote, and                                                                       
          urban areas of Alaska                                                                                                 
        • Early intervention which can lead to savings                                                                          
        • Greater access for referrals to providers who                                                                         
         specialize in treating specific health issues                                                                          
        • Better, and potentially quicker, access means a                                                                       
          potential   reduction    in   suicides,   domestic                                                                    
          violence and other serious events                                                                                     
        • Zero impact on state budget                                                                                           
                                                                                                                                
     Under  HB  358,  telehealth benefits  for  all  covered                                                                    
     health   care   services,   including   mental   health                                                                    
     benefits,   will  be   reimbursable  for   health  care                                                                    
     providers licensed in the state  without an initial in-                                                                    
     person appointment.  Depending on the  patient's needs,                                                                    
     a   telehealth  appointment   can  provide   education,                                                                    
     reviewing of  prescriptions and checking  symptoms, all                                                                    
     at a distance on a secure system.                                                                                          
                                                                                                                                
     Health  care  services   delivered  via  telehealth  is                                                                    
     happening all  over the country,  and Alaska is  at the                                                                    
     forefront of  providing telehealth services  for urban,                                                                    
     rural,  aging, and  the underserved  communities across                                                                    
     the state.                                                                                                                 
                                                                                                                                
4:13:10 PM                                                                                                                    
                                                                                                                                
BERNICE  NESBITT, Staff,  Representative Spohnholz,  testified on                                                               
HB  358 on  behalf  of Representative  Spohnholz, prime  sponsor.                                                               
She  paraphrased the  sectional analysis,  which read  as follows                                                               
[original punctuation provided]:                                                                                                
                                                                                                                                
     Section 1.                                                                                                                 
     AS  21.42.422 has  been  amended  to require  insurance                                                                    
     coverage for benefits provided via telehealth.                                                                             
                                                                                                                                
     Section 2.                                                                                                                 
     AS 21.42.422  is a new  subsection that  defines health                                                                    
     care insurer  as a person  transacting the  business of                                                                    
     health   care  insurance   except   for  a   nonfederal                                                                    
     governmental  plan.  It  also adds  the  definition  of                                                                    
     telehealth  under  47.05.270(e)   as  the  practice  of                                                                    
     health    care    delivery,   evaluation,    diagnosis,                                                                    
     consultation,  or  treatment,  using  the  transfer  of                                                                    
     health  care  data  through   audio,  visual,  or  data                                                                    
     communications,  performed over  two or  more locations                                                                    
     between  providers who  are  physically separated  from                                                                    
     the recipient or from each  other or between a provider                                                                    
     and a recipient who  are physically separated from each                                                                    
     other.                                                                                                                     
                                                                                                                                
     Section 3                                                                                                                  
     The  changes  to Section  1  of  this bill  applies  to                                                                    
     health care  insurance plans that are  offered, issued,                                                                    
     delivered, or renewed on or after the effective date.                                                                      
                                                                                                                                
     Section 4                                                                                                                  
     The effective date is July 1, 2019.                                                                                        
                                                                                                                                
MS. NESBITT shared that she had heard from the major                                                                            
providers in the state, and none had expressed opposition                                                                       
to the proposed legislation.                                                                                                    
                                                                                                                                
4:15:52 PM                                                                                                                    
                                                                                                                                
VICTORIA  KNAPP,  CEO,  Mat-Su   Health  Services,  testified  in                                                               
support of  HB 358.  She  stated there is a  need for psychiatric                                                               
providers in  the state. She said  the demand is higher  than the                                                               
availability.  She  explained that the company  had moved towards                                                               
telehealth  to  meet that  need.    She  said often  patients  go                                                               
without  evaluations  because their  provider  will  not pay  for                                                               
evaluations via telehealth.                                                                                                     
                                                                                                                                
4:17:55 PM                                                                                                                    
                                                                                                                                
LYNN FREEMAN, MD, testified in support  of HB 358.  She indicated                                                               
she was  testifying from the  private provider perspective.   She                                                               
described her  patient pool.  She  said some are in  chronic pain                                                               
and were  facing surgery.   She  said pain can  be made  worse by                                                               
having to drive to appointments.                                                                                                
                                                                                                                                
4:20:25 PM                                                                                                                    
                                                                                                                                
CHAIR KITO opened public testimony on HB 358.                                                                                   
                                                                                                                                
CHAIR KITO held over HB 358.                                                                                                    
                                                                                                                                
             HB 376-ESTABLISH THE ALASKA STATE BANK                                                                         
                                                                                                                              
4:20:42 PM                                                                                                                    
                                                                                                                                
CHAIR KITO  announced that the  final order of business  would be                                                               
HOUSE BILL NO. 376                                                                                                              
"An  Act  establishing  a  state  bank;  relating  to  insurance,                                                               
mortgage lending,  securities, and permanent fund  dividends; and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
CHARLES DUNCAN,  Staff, Representative  Chris Tuck,  Alaska State                                                               
Legislature, introduced HB 376 on  behalf of Representative Tuck,                                                               
prime sponsor.   He paraphrased  the sponsor  statement [included                                                               
in   committee  packet],   which  reads   as  follows   [original                                                               
punctuation provided]                                                                                                           
                                                                                                                                
     The Alaska State  Bank is designed to  create the legal                                                                    
     ability  to access  Federal Reserve  and United  States                                                                    
     Treasury  monetary  policy  funds  and  use  fractional                                                                    
     reserve   banking  methods   to   promote  a   science,                                                                    
     education and infrastructure recovery.                                                                                     
                                                                                                                                
     As federal  fiscal policy funding continues  to decline                                                                    
     for state  governments and  as Federal  Reserve support                                                                    
     for  liquidity in  the monetary  base  continues to  be                                                                    
     maintained at  high historical levels,  the opportunity                                                                    
     is  opened for  state governments  to create  new legal                                                                    
     mechanisms to access monetary  policy. Fiscal policy is                                                                    
     taxation  and  spending   by  government  and  monetary                                                                    
     policy  is control  of the  money  supply and  interest                                                                    
     rates.                                                                                                                     
                                                                                                                                
     In  the   traditions  of  Benjamin  Franklin   and  the                                                                    
     Reconstruction  Finance  Corporation,  local  decision-                                                                    
     making is a requirement  in guiding monetary policy and                                                                    
     the best  method to  do that today  is to  create state                                                                    
     development banks.                                                                                                         
                                                                                                                                
     The   basic  proposal   is   to   use  existing   state                                                                    
     development institutions  to create packages  of state,                                                                    
     municipal,  borough,  port authority,  and  development                                                                    
     finance  authority bonds,  grants and  shares that  are                                                                    
     rediscounted through  the Federal Reserve  and combined                                                                    
     with federal  bonds and  Treasury currency.  The Alaska                                                                    
     State  Bank then  leverages or  transfers the  packages                                                                    
     back to the State  of Alaska, municipalities, boroughs,                                                                    
     port  authorities,   development  finance  authorities,                                                                    
     local     banks,    credit     unions,    universities,                                                                    
     corporations, small business and entrepreneurship.                                                                         
                                                                                                                                
     The Alaska  State Bank will begin  as an infrastructure                                                                    
     bank  that leverages  loans with  our  local banks  and                                                                    
     then evolve  into a full  featured development  bank in                                                                    
     the future.  The first goal  will be to  access Federal                                                                    
     Reserve   funds   to   provide  reserve   and   capital                                                                    
     requirements  for  the  Alaska  State  Bank.  Very  low                                                                    
     interest rates combined with the  function of the grant                                                                    
     and  equity process  will  guarantee payment  stability                                                                    
     and   long-term   investments   into   jobs,   science,                                                                    
     technology, education and infrastructure.                                                                                  
                                                                                                                                
     The Alaska  Permanent Fund or  other existing  State of                                                                    
     Alaska financial  institutions will not be  required by                                                                    
     statute  to dedicate  reserve  or capital  requirements                                                                    
     and there will not  be mandatory state revenue deposits                                                                    
     into  the state  bank.  Maintaining existing  financial                                                                    
     agreements while  using the self-interest  of voluntary                                                                    
     participation  will  be  important  keys  for  insuring                                                                    
     long-term financial success.                                                                                               
                                                                                                                                
     Self-interest  will  identify   partnerships  with  our                                                                    
     local banks in retailing some of the new funds.                                                                            
     Local  banks   and  credit  unions  will   become  more                                                                    
     valuable assets for  increasing transactions efficiency                                                                    
     and helping to choose viable loan partners.                                                                                
     Creating  an infrastructure  development bank  with the                                                                    
     legal  ability to  access federal  and Federal  Reserve                                                                    
     monetary  policy funds  is a  much  better solution  to                                                                    
     Alaska's   fiscal  crises   than  increasing   personal                                                                    
     taxation or  confiscating the Permanent  Fund Dividend.                                                                    
     Less  than $5  billion per  year in  total transactions                                                                    
     will make  the Alaska  State Bank the  primary solution                                                                    
     to Alaska's fiscal crisis.                                                                                                 
                                                                                                                                
4:25:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CHRIS  TUCK, Alaska State  Legislature, introduced                                                               
HB  376 as  prime  sponsor.   He  shared  the  Alaska State  Bank                                                               
project was modelled on the  Bank of Japan and the Reconstruction                                                               
Finance Corporation  established after  the U.S.  Civil War.   He                                                               
said at one time the state  had a foundation which contributed to                                                               
science  and   technology.    He  mentioned   the  Committee  for                                                               
Measurable Objectives.   He spoke to infrastructure  needs of the                                                               
state.   He  said  the  state could  access  federal funds  using                                                               
fractional reserve banking practices.                                                                                           
                                                                                                                                
4:29:39 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STUTES  said [the  aim  of  the proposal  is]  to                                                               
facilitate access through the federal  banking system.  She asked                                                               
whether the Alaska state bank  could "handle any of the marijuana                                                               
dollar."                                                                                                                        
                                                                                                                                
REPRESENTATIVE TUCK  answered it  is not the  focus of  the bank.                                                               
He said it would be  the "insulating institution between them and                                                               
the federal  government."  He  said the proposed bank  could help                                                               
with required reports.   He described ways in  which the proposed                                                               
bank could help the industry.                                                                                                   
                                                                                                                                
REPRESENTATIVE  BIRCH said  it seems  like a  terrible idea.   He                                                               
said he  spends his time trying  to restrain the growth  of state                                                               
government.  He asked about the genesis of the proposal.                                                                        
                                                                                                                                
REPRESENTATIVE TUCK answered that  the proposal would be allowing                                                               
money to  be created in Alaska  through the Federal Reserve.   He                                                               
stated it cannot  be done with Alaska  Industrial Development and                                                               
Export Authority  (AIDEA) or  Alaska Housing  Finance Corporation                                                               
(AFHC)  because those  institutions cannot  work with  fractional                                                               
reserve banking.                                                                                                                
                                                                                                                                
REPRESENTATIVE BIRCH asked about liability.                                                                                     
                                                                                                                                
REPRESENTATIVE  TUCK  said  that  one way  that  money  is  being                                                               
created is through  the Federal Reserve buying up debt.   He said                                                               
the idea  is to  take advantage  of that  to expand  the monetary                                                               
supply in Alaska.                                                                                                               
                                                                                                                                
MR. DUNCAN said  the proposal would be asking for  money from the                                                               
Federal Reserve.   He said  there are  three ways to  access that                                                               
money   loan  guarantees, capital purchase in which  the Fed buys                                                               
bonds, and credit stimulus.                                                                                                     
                                                                                                                                
REPRESENTATIVE  TUCK  said  it is  called  the  capital  stimulus                                                               
method, but it is really a debt stimulus method.                                                                                
                                                                                                                                
4:38:18 PM                                                                                                                    
                                                                                                                                
CHAIR KITO asked  whether there are any  other financial entities                                                               
that have access to the proposed type of financing.                                                                             
                                                                                                                                
MR.  DUNCAN answered  that a  bond-creating  institution such  as                                                               
AIDEA can  access two of the  methods mentioned.    He reiterated                                                               
those institutions cannot  act with fractional reserve  bank.  He                                                               
explained that is what the proposal is.                                                                                         
                                                                                                                                
CHAIR KITO suggested  the proposal would open  access to reserves                                                               
to which the state does not currently have access.                                                                              
                                                                                                                                
MR. DUNCAN answered that is correct.                                                                                            
                                                                                                                                
4:40:13 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  BIRCH stated  he  is not  comfortable with  using                                                               
debt  to acquire  more debt.   He  asked how  the proposal  would                                                               
produce new money.                                                                                                              
                                                                                                                                
REPRESENTATIVE TUCK  said the aim  is to create money  in Alaska.                                                               
He said banks have  a lot of surplus.  He said  the bank would be                                                               
an infrastructure and development driver.   He spoke to using the                                                               
university system to enhance development.                                                                                       
                                                                                                                                
MR. DUNCAN answered the central  issue in monetary policy is what                                                               
the money  is being increased  for.  He  said the proposal  is to                                                               
subsidize science and technology rather than speculation.                                                                       
                                                                                                                                
4:44:14 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  STUTES  asked for  a  simple  explanation of  the                                                               
proposal and how it would access federal dollars.                                                                               
                                                                                                                                
MR.  DUNCAN  answered  that  currently   there  is  a  debt-based                                                               
monetary system.   He said  the state institutions  create bonds.                                                               
Those bonds are  put into an account with the  Alaska State Bank.                                                               
The bank  issues stock, and that  package is put on  account with                                                               
the Federal Reserve.   The account is considered  the capital and                                                               
reserve requirement for loaning new money.                                                                                      
                                                                                                                                
REPRESENTATIVE TUCK said that is where the confusion comes in.                                                                  
                                                                                                                                
CHAIR  KITO shared  his  understanding that  the  proposal is  to                                                               
create a  revolving loan  fund.   The bonds  on account  with the                                                               
Federal Reserve,  which in turn gives  credit on the bonds.   The                                                               
money is then lent out for other things.                                                                                        
                                                                                                                                
REPRESENTATIVE STUTES  said it sounds  like the state  would then                                                               
always owe someone money.                                                                                                       
                                                                                                                                
CHAIR  KITO  said  that  with  the  proposed  bank,  the  federal                                                               
government would  loan money based  on the bonds on  account with                                                               
the state bank.                                                                                                                 
                                                                                                                                
REPRESENTATIVE  STUTES suggested  the  bonds sold  would then  be                                                               
sold to the Fed.                                                                                                                
                                                                                                                                
MR. DUNCAN corrected that the bonds  would be on account with the                                                               
Fed, not sold to it.                                                                                                            
                                                                                                                                
REPRESENTATIVE TUCK added that AIDEA  could do the same thing but                                                               
does  not.   He  added  the  Fed prefers  to  have  the bonds  on                                                               
account.                                                                                                                        
                                                                                                                                
CHAIR KITO  asked whether  it would  be correct  to say  that the                                                               
bonds would be used as collateral.                                                                                              
                                                                                                                                
REPRESENTATIVE TUCK answered in the affirmative.                                                                                
                                                                                                                                
4:49:20 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SULLIVAN-LEONARD asked about a fiscal note.                                                                      
                                                                                                                                
MR. DUNCAN  said the fiscal  note would be  the next step  in the                                                               
process.    He said  the  total  cost would  not  be  great.   He                                                               
explained there would be four boards for the bank.                                                                              
                                                                                                                                
4:50:42 PM                                                                                                                    
                                                                                                                                
CHAIR KITO opened public testimony on HB 376.                                                                                   
                                                                                                                                
CHAIR KITO held over HB 376.                                                                                                    
                                                                                                                                
4:51:28 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the House                                                                 
Labor and Commerce Standing Committee meeting was adjourned at                                                                  
4:51 p.m.                                                                                                                       

Document Name Date/Time Subjects
HB193 Supporting Documents Alaska ACEP 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Supporting Documents EDPMA_ALASKA_FINAL 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Supporting Documents Balance Billing by Providers State Consumer Protections - The Commonwealth Fund 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Supporting Documents Georgetown University Health Policy Institute 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Supporting Documents NASHP Surprise-Balance-Billing 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Supporting Documents Surprise Medical Bills _ The Henry J. Kaiser Family Foundation 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 ver I 3.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Additional Documents Emergency CPT Code Reference Table 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Definitions 03.08.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Fiscal Note DCCED DOI 3.2.18.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Fiscal Note DOA DRB 4.5.18.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Sectional Anaylsis ver I 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 Sponsor Statement 03.30.2018.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB358 ver J 03.30.18.pdf HL&C 4/9/2018 3:15:00 PM
HB 358
HB358 Sectional Analysis ver J 03.30.18.pdf HL&C 4/9/2018 3:15:00 PM
HB 358
HB376 Support Document Economists Ignore One of Capitalism's Biggest Problems.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Support Document Reconstruction Finance Corporation.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Support Document Public Banking Institute-FAQ.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Support Document Why Public Banks Outperform Private Banks.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 ver O.PDF HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Economic Charts.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Opposition Letter.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Sectional Analysis ver A 4.6.18.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Sponsor Statement 4.6.18.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Support Document Bank of North Dakota.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB376 Support Document Benjamin Franklin quote House of Commons 1766.pdf HL&C 4/9/2018 3:15:00 PM
HB 376
HB193 Support Letters 4.9.18.pdf HL&C 4/9/2018 3:15:00 PM
HB 193
HB193 AKACEP presentation.pdf HL&C 4/9/2018 3:15:00 PM
HB 193