Legislature(2023 - 2024)BARNES 124

03/13/2023 03:15 PM House LABOR & COMMERCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ HB 58 ADULT HOME CARE; MED ASSISTANCE TELECONFERENCED
Heard & Held
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 75 OWNER & CONTRACTOR CONTROLLED INSURANCE TELECONFERENCED
Heard & Held
                    ALASKA STATE LEGISLATURE                                                                                  
          HOUSE LABOR AND COMMERCE STANDING COMMITTEE                                                                         
                         March 13, 2023                                                                                         
                           3:15 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Jesse Sumner, Chair                                                                                              
Representative Justin Ruffridge, Vice Chair                                                                                     
Representative Mike Prax                                                                                                        
Representative Dan Saddler                                                                                                      
Representative Stanley Wright                                                                                                   
Representative Ashley Carrick                                                                                                   
Representative Zack Fields                                                                                                      
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 75                                                                                                               
"An Act relating to coverage for additional insureds under owner                                                                
and contractor controlled insurance programs; and providing for                                                                 
an effective date."                                                                                                             
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
HOUSE BILL NO. 58                                                                                                               
"An  Act  relating  to  medical   assistance  for  recipients  of                                                               
Medicaid  waivers; establishing  an adult  care home  license and                                                               
procedures;  providing for  the  transition  of individuals  from                                                               
foster care  to adult  home care settings;  and providing  for an                                                               
effective date."                                                                                                                
                                                                                                                                
     - HEARD & HELD                                                                                                             
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB  75                                                                                                                  
SHORT TITLE: OWNER & CONTRACTOR CONTROLLED INSURANCE                                                                            
SPONSOR(s): RULES BY REQUEST OF THE GOVERNOR                                                                                    
                                                                                                                                
02/15/23       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/15/23       (H)       L&C                                                                                                    
02/20/23       (H)       L&C AT 3:15 PM BARNES 124                                                                              
02/20/23       (H)       Heard & Held                                                                                           
02/20/23       (H)       MINUTE(L&C)                                                                                            
03/01/23       (H)       L&C AT 3:15 PM BARNES 124                                                                              
03/01/23       (H)       <Bill Hearing Canceled>                                                                                
03/13/23       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
BILL: HB  58                                                                                                                  
SHORT TITLE: ADULT HOME CARE; MED ASSISTANCE                                                                                    
SPONSOR(s): RULES BY REQUEST OF THE GOVERNOR                                                                                    
                                                                                                                                
02/03/23       (H)       READ THE FIRST TIME - REFERRALS                                                                        
02/03/23       (H)       HSS, L&C, FIN                                                                                          
02/07/23       (H)       HSS AT 3:00 PM DAVIS 106                                                                               
02/07/23       (H)       Heard & Held                                                                                           
02/07/23       (H)       MINUTE(HSS)                                                                                            
03/07/23       (H)       HSS AT 3:00 PM DAVIS 106                                                                               
03/07/23       (H)       Moved HB 58 Out of Committee                                                                           
03/07/23       (H)       MINUTE(HSS)                                                                                            
03/08/23       (H)       HSS RPT 6DP                                                                                            
03/08/23       (H)       DP:    FIELDS,     SUMNER,    RUFFRIDGE,                                                               
                         MCCORMICK, MINA, PRAX                                                                                  
03/13/23       (H)       L&C AT 3:15 PM BARNES 124                                                                              
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
LORI WING-HEIER, Director                                                                                                       
Division of Insurance                                                                                                           
Department of Commerce, Community, and Economic Development                                                                     
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Provided invited testimony on Amendment 1                                                                
to HB 75.                                                                                                                       
                                                                                                                                
TONY NEWMAN, Acting Director                                                                                                    
Division of Senior and Disability Services                                                                                      
Department of Health                                                                                                            
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:   On  behalf of the  sponsor, House  Rules by                                                             
request  of  the governor,  introduced  HB  58 via  a  PowerPoint                                                               
presentation, titled  "House Bill 58:  Adult Home Care"  and gave                                                               
the sectional analysis.                                                                                                         
                                                                                                                                
JAMIE KOKOSZKA, Program Coordinator                                                                                             
Council on Disabilities and Special Education                                                                                   
Department of Health                                                                                                            
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Gave public testimony in support of HB 58.                                                               
                                                                                                                                
MICHELE GIRAULT, President                                                                                                      
Board of Directors                                                                                                              
Key Coalition of Alaska;                                                                                                        
Executive Director,                                                                                                             
Hope Community Resources                                                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Gave public testimony in support of HB 58.                                                               
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:15:40 PM                                                                                                                    
                                                                                                                                
CHAIR JESSE SUMNER  called the House Labor  and Commerce Standing                                                             
Committee meeting to order at  3:15 p.m.  Representatives Wright,                                                               
Prax, Carrick, Ruffridge, and Sumner  were present at the call to                                                               
order.    Representatives  Saddler  and  Fields  arrived  as  the                                                               
meeting was in progress.                                                                                                        
                                                                                                                                
         HB  75-OWNER & CONTRACTOR CONTROLLED INSURANCE                                                                     
                                                                                                                                
3:16:10 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced that the  first order of business would be                                                               
HOUSE BILL  NO. 75, "An  Act relating to coverage  for additional                                                               
insureds   under  owner   and  contractor   controlled  insurance                                                               
programs; and providing for an effective date."                                                                                 
                                                                                                                                
3:16:35 PM                                                                                                                    
                                                                                                                                
LORI WING-HEIER,  Director, Division of Insurance,  Department of                                                               
Commerce, Community,  and Economic Development,  provided invited                                                               
testimony on Amendment  1 to HB 75.  She  stated that Amendment 1                                                               
would clarify the language in  the proposed legislation regarding                                                               
additional  insurance.   She explained  that the  amendment would                                                               
make it easier for large  projects to have an owner-controlled or                                                               
contractor-controlled insurance  program for every  contractor or                                                               
subcontractor type.   Anyone working on that site  would be named                                                               
on the owner-controlled or  contractor-controlled insurance.  The                                                               
amendment  would  clarify  that  there are  two  ways  additional                                                               
insurance could be required.                                                                                                    
                                                                                                                                
3:18:56 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   RUFFRIDGE  moved   Amendment   1,  labeled   33-                                                               
GH1009\A.1, Marx, 2/22/23 to HB 75, which read as follows:                                                                      
                                                                                                                                
     Page 1, line 9:                                                                                                            
          Delete "or"                                                                                                       
                                                                                                                                
     Page 1, lines 11 - 13:                                                                                                     
          Delete "[; OR                                                                                                         
               (4)  INSURANCE POLICIES ENDORSED TO NAME ONE                                                                     
     OR MORE PERSONS AS ADDITIONAL INSUREDS]"                                                                                   
          Insert "; or                                                                                                          
               (4)  insurance policies endorsed to name one                                                                     
     or  more persons  as additional  insureds, if  naming a                                                                
     person as an  additional insured is a  term required by                                                                
     a contract; this  paragraph does not apply  to an owner                                                                
     controlled or  contractor controlled  insurance program                                                                
     for a major construction project"                                                                                      
                                                                                                                                
                                                                                                                                
REPRESENTATIVE PRAX objected for the purpose of discussion.                                                                     
                                                                                                                                
3:19:05 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRAX  asked whether the  owner of the  project and                                                               
subcontractors can still be covered by additional insurance.                                                                    
                                                                                                                                
MS. WING-HEIER  responded in the  affirmative.  In response  to a                                                               
follow-up  question,   she  said   that  the  division   has  had                                                               
"numerous" conversations with insurance  companies in the process                                                               
of working on the proposed legislation.                                                                                         
                                                                                                                                
3:20:22 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRAX  withdrew his  objection.    There being  no                                                               
further objection, Amendment 1 to HB 75 was adopted.                                                                            
                                                                                                                                
CHAIR SUMNER announced that HB 75, as amended, was held over.                                                                   
                                                                                                                                
             HB  58-ADULT HOME CARE; MED ASSISTANCE                                                                         
                                                                                                                                
3:20:36 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced that the  final order of business would be                                                               
HOUSE BILL  NO. 58,  "An Act relating  to medical  assistance for                                                               
recipients of  Medicaid waivers; establishing an  adult care home                                                               
license  and   procedures;  providing   for  the   transition  of                                                               
individuals from  foster care  to adult  home care  settings; and                                                               
providing for an effective date."                                                                                               
                                                                                                                                
3:21:02 PM                                                                                                                    
                                                                                                                                
TONY NEWMAN,  Acting Director, Division of  Senior and Disability                                                               
Services,  Department   of  Health,   introduced  HB  58   via  a                                                               
PowerPoint  presentation,  titled  "House  Bill  58:  Adult  Home                                                               
Care."                                                                                                                          
                                                                                                                                
3:21:26 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:21 p.m. to 3:22 p.m.                                                                       
                                                                                                                                
3:22:48 PM                                                                                                                    
                                                                                                                                
MR. NEWMAN  stated that HB 58  would add to the  services offered                                                               
by the  division.   On slide 2,  he pointed out  that there  is a                                                               
program  which allows  seniors and  people  with disabilities  to                                                               
stay in their homes when  they might otherwise need institutional                                                               
care,  and the  federal government  covers approximately  half of                                                               
the cost of the program.   He gave examples of the home-based and                                                               
community-based  waivers  offered by  Alaska  and  said that  the                                                               
program saves money.                                                                                                            
                                                                                                                                
3:25:39 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FIELDS  asked  whether each  category  saves  the                                                               
state money.                                                                                                                    
                                                                                                                                
MR. NEWMAN  answered in  the affirmative  and explained  that the                                                               
programs  would give  individuals who  qualify for  institutional                                                               
care a  choice.   In response  to a  follow-up question,  he said                                                               
that there are some cases in  which an individual may not be able                                                               
to receive the full amount of care in an institution in Alaska.                                                                 
                                                                                                                                
3:27:17 PM                                                                                                                    
                                                                                                                                
MR. NEWMAN continued to slide 3  and slide 4 and gave an overview                                                               
of how home  and community-based waivers can be used.   He stated                                                               
that  not   all  waivers  cover   every  possible   care  option.                                                               
Explaining care  coordinators, he said  that to receive  care all                                                               
waiver  recipients   work  with   a  coordinator;   however,  the                                                               
coordinators are not  state employees.  Continuing,  he said that                                                               
the division is  seeking a new home-care option  that would allow                                                               
an individual in  need of living assistance to live  in the house                                                               
of  another  individual  while receiving  professional  care  and                                                               
state support.   This  option allows  for individuals  to receive                                                               
care while remaining  in the same community,  especially when the                                                               
community does not have any assisted living facilities.                                                                         
                                                                                                                                
3:31:40 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE PRAX  asked what qualifications would  be required                                                               
for someone to receive state assistance  to take care of a family                                                               
member living in their home.                                                                                                    
                                                                                                                                
MR. NEWMAN answered  that a certification would  be required, but                                                               
certain requirements such as having  a year's worth of experience                                                               
in  providing home  care could  be waived  or replaced  with care                                                               
experience, such as child care.                                                                                                 
                                                                                                                                
3:33:28 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CARRICK  asked whether  this opportunity  could be                                                               
extended  to those  who  are  already caring  for  a neighbor  or                                                               
family member.                                                                                                                  
                                                                                                                                
MR.   NEWMAN,   without    knowing   the   specifics,   expressed                                                               
uncertainty;  however, he  added  this is  the  type of  scenario                                                               
envisioned  with the  proposed  legislation.   In  response to  a                                                               
follow-up question, he said that  there is still some uncertainty                                                               
regarding whether this program could apply to legal guardians.                                                                  
                                                                                                                                
3:37:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   SADDLER  asked   for   clarification  on   legal                                                               
guardianship  of children  in regard  to  qualifications for  the                                                               
benefits provided by the proposed legislation.                                                                                  
                                                                                                                                
MR. NEWMAN  answered that all parents  have the duty to  care for                                                               
their children,  whether there is  a disability or not,  but once                                                               
the  child  turns  18,  parents do  not  automatically  have  the                                                               
responsibility to care for the  child anymore.  The parents could                                                               
potentially qualify  under the proposed  legislation if  they are                                                               
assigned   legal  guardianship   for  their   adult  child   with                                                               
disabilities.                                                                                                                   
                                                                                                                                
3:38:45 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE WRIGHT  asked why legislation  like HB 58  has not                                                               
already been passed.                                                                                                            
                                                                                                                                
MR.  NEWMAN  answered  that  home-based   assisted  living  is  a                                                               
relatively new idea.   He added that because  of recent workforce                                                               
shortages, the need for alternative  solutions has increased.  In                                                               
response to a follow-up question,  he said that there are ongoing                                                               
discussions  on  how  to help  military  families  with  disabled                                                               
children under this type of legislation.                                                                                        
                                                                                                                                
3:40:25 PM                                                                                                                    
                                                                                                                                
MR. NEWMAN gave  the sectional analysis for HB 58.   He explained                                                               
that Section 1 would set a  rate of payment for caretakers, while                                                               
Sections 2 through  7 would modify definitions  to establish what                                                               
would qualify  as an  adult-care home.   The requirements  for an                                                               
adult-care  home  would also  be  defined,  and Section  8  would                                                               
provide the effective date.                                                                                                     
                                                                                                                                
3:42:58 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SADDLER asked  whether Section  1 would  cover an                                                               
individual who  begins care taking  of another individual  who is                                                               
currently not under care.                                                                                                       
                                                                                                                                
MR.   NEWMAN  answered   that  it   is   specifically  aimed   at                                                               
transitioning  care  for disabled  children  in  the foster  care                                                               
system  when they  become adults.    In response  to a  follow-up                                                               
question, he said that this  section would apply to an individual                                                               
already being cared for.                                                                                                        
                                                                                                                                
3:44:07 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS asked whether  24-hour care was literal, or                                                               
whether  a family  member  would be  able to  leave  for a  short                                                               
period of time to do an activity, such as grocery shopping.                                                                     
                                                                                                                                
MR. NEWMAN  answered that such  requirements would be  decided by                                                               
regulation if  the bill is  passed.   In response to  a follow-up                                                               
question, he  expressed the belief  that HB 58 has  the potential                                                               
to cut down on the waitlist  for assisted living, but this number                                                               
is indeterminate.                                                                                                               
                                                                                                                                
3:46:24 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE   SADDLER  asked   whether  this   form  of   care                                                               
transition would be more cost effective.                                                                                        
                                                                                                                                
MR.  NEWMAN answered  that it  is likely  to save  money, because                                                               
individuals who  would otherwise  require the  care of  a nursing                                                               
home  may no  longer need  this because  of homecare,  but it  is                                                               
possible  that some  individuals  who are  currently "making  do"                                                               
without  some  services  may  receive services  as  part  of  the                                                               
proposed legislation.                                                                                                           
                                                                                                                                
3:48:11 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER opened public testimony on HB 58.                                                                                  
                                                                                                                                
3:48:34 PM                                                                                                                    
                                                                                                                                
JAMIE KOKOSZKA, Program Coordinator,  Council on Disabilities and                                                               
Special Education, on  behalf of the Council  on Disabilities and                                                               
Special Education,  gave public  testimony in  support of  HB 58.                                                               
She  advised that  the current  law has  an oversight  concerning                                                               
disabled children transitioning to adulthood.   She said that the                                                               
proposed  legislation  would allow  quicker  access  to care  for                                                               
individuals who have been in  foster care, and these individuals,                                                               
after turning the  age of 18, are  left on their own.   She added                                                               
that, if  the proposed  bill were  to be  passed, the  council is                                                               
prepared to work with the state on regulations.                                                                                 
                                                                                                                                
3:51:21 PM                                                                                                                    
                                                                                                                                
MICHELE GIRAULT, President, Board  of Directors, Key Coalition of                                                               
Alaska; Executive  Director, Hope Community Resources,  on behalf                                                               
of the Key Coalition of  Alaska, gave public testimony in support                                                               
of HB  58.   She stated  that the  Key Coalition  of Alaska  is a                                                               
nonprofit  organization  that   advocates  for  individuals  with                                                               
disabilities, and it does this  by reviewing proposed legislation                                                               
or policy  to see whether it  would align with the  state statute                                                               
for  developmental disabilities.    She said  that the  coalition                                                               
supports  the legislation  because it  would provide  individuals                                                               
with disabilities  choices that would  allow them to  gain access                                                               
to services that would best suit their individual needs.                                                                        
                                                                                                                                
3:53:04 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SADDLER asked  whether  the proposed  legislation                                                               
would directly benefit Hope Community Resources.                                                                                
                                                                                                                                
MS. GIRAULT  answered that the  organization cares  and advocates                                                               
for  people  who would  receive  the  greatest benefit  from  the                                                               
proposed legislation.   In response to a  follow-up question, she                                                               
said  that family  life  is the  greatest  difference between  an                                                               
assisted living home and an adult care home.                                                                                    
                                                                                                                                
3:55:43 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER, after  ascertaining that there was no  one else who                                                               
wished to testify, closed public testimony on HB 58.                                                                            
                                                                                                                                
[HB 58 was held over.]                                                                                                          
                                                                                                                                
3:55:52 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no further business before the committee, the House                                                                 
Labor and Commerce Standing Committee meeting was adjourned at                                                                  
3:55 p.m.                                                                                                                       

Document Name Date/Time Subjects
HB 58 Sectional Analysis Version A.pdf HL&C 3/13/2023 3:15:00 PM
HB 58
HB 58 Fiscal Note 2 Version A.PDF HL&C 3/13/2023 3:15:00 PM
HB 58
HB 58 Presentation 3.7.23.pdf HL&C 3/13/2023 3:15:00 PM
HB 58
HB 58 Fiscal Note 1 Version A.PDF HL&C 3/13/2023 3:15:00 PM
HB 58
HB 58 Summary Version A.pdf HL&C 3/13/2023 3:15:00 PM
HB 58
HB 58 Sponsor Statement.pdf HL&C 3/13/2023 3:15:00 PM
HB 58
HB 58 Version A.PDF HL&C 3/13/2023 3:15:00 PM
HB 58
Adult Home Care HB58.SB57 2023 GCDSE Position.final (002).pdf HL&C 3/13/2023 3:15:00 PM
HB 58
SB 57