Legislature(1993 - 1994)

02/26/1993 09:15 AM Senate FIN

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
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                             MINUTES                                           
                    SENATE FINANCE COMMITTEE                                   
                        February 26, 1993                                      
                            9:15 a.m.                                          
                                                                               
  TAPES                                                                        
                                                                               
  SFC-93, #33, Side 1 (000-363)                                                
                                                                               
  CALL TO ORDER                                                                
                                                                               
  Senator  Drue  Pearce,  Co-chair, convened  the  meeting  at                 
  approximately 9:15 a.m.                                                      
                                                                               
  PRESENT                                                                      
                                                                               
  All members (Co-chairs Pearce and Frank, and Senators Jacko,                 
  Kelly, Kerttula, Rieger, and Sharp) were present.                            
                                                                               
  ALSO  ATTENDING:  Senator Halford; Marcia McKenzie, American                 
  Association  of University  Women; Judith  Cavanaugh, Juneau                 
  Coalition for  Pro-choice; Caren  Robinson, League of  Women                 
  Voters;  Sherrie  Goll,  Alaska  Women's  Lobby; Jen  Tucci;                 
  William  Burk;  and  aides to  committee  members  and other                 
  members of the legislature.                                                  
                                                                               
  SUMMARY INFORMATION                                                          
                                                                               
  SB 53     -    Act   annulling   changes  made   by  certain                 
  regulations              adopted by the Department of Health                 
                           and  Social  Services  relating  to                 
                           funding of abortion  services under                 
                           the general relief medical program;                 
                           and  providing  for   an  effective                 
                           date.                                               
                                                                               
                 CSSB  53 (Fin) (New Title,  see p. 6 of these                 
                 minutes.) was REPORTED OUT of  committee with                 
                           a                                                   
                 "do  pass"  recommendation and  the following                 
                 fiscal notes:                                                 
                                                                               
                      DH&SS, AFDC                   (297.3)                    
                      DH&SS, Medicaid Facilities    (454.0)                    
                      DH&SS, Medical Non-Facility   (694.4)                    
                      DH&SS, General Relief Medical  288.7                     
                      DH&SS, Claims Processing      ( 74.2)                    
                                                                               
  SB 54     -    Act  relating  to   violations  of  laws   by                 
  juveniles;               and  providing  for   an  effective                 
                           date.                                               
                                                                               
                 CSSB  54 (Fin) (New Title, see  p. 2 of these                 
                 minutes.) was REPORTED  OUT of committee with                 
                                                                               
                                                                               
                 a "do pass" recommendation  and the following                 
                 fiscal notes:                                                 
                                                                               
                      SFC/DOA, Public, Advocacy       22.5                     
                      SFC/DOA, Public, Defender        6.0                     
                      SFC/Courts                      24.5                     
                      DOLaw                            -0-                     
                      DPS                              -0-                     
                      DOCorrections                   10.8                     
                                                                               
                                                                               
  SENATE BILL NO. 54                                                           
                                                                               
       An Act relating to violations of laws by juveniles; and                 
       providing for an effective date.                                        
                                                                               
  Co-chair Drue Pearce directed  that SB 54 be brought  on for                 
  discussion  and  noted that  the  committee adopted  a draft                 
  committee substitute  (8-LS0384\Q, 2/24/93, Chenoweth)  at a                 
  previous meeting.   She  further directed  attention to  new                 
  fiscal  notes  for  the Office  of  Public  Advocacy, Public                 
  Defender, and Alaska Court System.                                           
                                                                               
  Co-chairman  Steve  Frank  asked  that  committee  attention                 
  revert to  an  amendment  offered  by Senator  Rieger  at  a                 
  previous hearing on  the bill.  The Co-chair  explained that                 
  he   had   since   changed   his   opinion   regarding   the                 
  appropriateness of the amendment and would                                   
  offer  it for committee  consideration.   He then  MOVED for                 
  unanimous  approval.   Co-chair  Pearce  clarified that  the                 
  proposed amendment  would remove  Sec. 9  from a  previously                 
  adopted amendment  by Co-chair Frank.   She then  called for                 
  objections to the motion.  No  objection having been raised,                 
  Senator Rieger's amendment was ADOPTED.                                      
                                                                               
  Senator  Kelly  MOVED  that  CSSB  54  (Finance)  pass  from                 
  committee  with individual  recommendations.   No  objection                 
  having been raised, CS  FOR SENATE BILL NO. 54(FIN)  (An Act                 
  relating to violations of laws by juveniles, to the remedies                 
  for offenses and  activities committed  by juveniles and  to                 
  records of those offenses, and to incarceration of juveniles                 
  who have been  charged, prosecuted, or convicted  as adults;                 
  and providing  for an effective  date) was  REPORTED OUT  of                 
  committee with the following fiscal notes:                                   
                                                                               
                      SFC/DOA, Public, Advocacy       22.5                     
                      SFC/DOA, Public, Defender        6.0                     
                      SFC/Courts                      24.5                     
                      DOLaw                            -0-                     
                      DPS                              -0-                     
                      DOCorrections                   10.8                     
                                                                               
  All members  signed the  committee report with  a "do  pass"                 
                                                                               
                                                                               
  recommendation, with the exception  of Senator Kerttula  who                 
  signed "no rec."                                                             
                                                                               
                                                                               
  SENATE BILL NO. 53                                                           
                                                                               
       An Act  annulling changes  made by certain  regulations                 
       adopted by the Department of Health and Social Services                 
       relating  to funding  of  abortion  services under  the                 
       general relief  medical program; and  providing for  an                 
       effective date.                                                         
                                                                               
  Co-chair  Pearce  directed  that SB  53  be  brought  on for                 
  discussion and referred to a  draft committee substitute (8-                 
  LS0343\J,  Lauterback, 2/23/93).   Senator Rieger  MOVED for                 
  adoption  of  the  draft  as   a  Senate  Finance  Committee                 
  Substitute.    Senator  Kelly  OBJECTED.    Senator Kerttula                 
  called for the  question.  Co-chair  Pearce directed that  a                 
  roll call vote be taken.                                                     
                                                                               
       YEA:  Rieger, Kerttula, Jacko, Frank, Pearce                            
       NAY:  Kelly Sharp                                                       
                                                                               
  The  motion  carried  on a  vote  of  5 to  2,  and  CSSB 53                 
  (Finance) was ADOPTED.                                                       
                                                                               
  Senator Rieger explained  that the major difference  between                 
  CSSB 53  (Finance) and  the original  bill is  language that                 
  places  in statutes the  situation prior to  adoption of the                 
  regulations.     It  precludes   re-adoption  of   the  same                 
  regulations  at a  later  time.   The  original bill  merely                 
  repealed  the regulations,  while  the committee  substitute                 
  sets repeal of the regulations in statutes.                                  
                                                                               
  Speaking to the fiscal notes  accompanying the bill, Senator                 
  Rieger explained that positive fiscal impact  was associated                 
  with  promulgation  of  the  regulations.    Repeal  of  the                 
  regulations, in effect,  undoes that  positive impact.   The                 
  fiscal notes accompanying SB 53 are thus negative.   Senator                 
  Rieger acknowledged that the positive impact of promulgation                 
  and  the negative impact of repeal do not exactly match.  He                 
  advised that he had not had  an opportunity to reconcile the                 
  difference.   The  end  result, however,  is a  net negative                 
  fiscal note.                                                                 
                                                                               
  Senator Sharp  directed attention to the  following language                 
  set forth within Sec. 2 of CSSB 53 (Finance):                                
                                                                               
       The department  shall pay for  abortion procedures                      
       under  this chapter to  the extent permitted under                      
       federal law.                                                            
                                                                               
  He then referenced the following subsection and advised that                 
                                                                               
                                                                               
  it appears to  cover abortion  procedures not covered  under                 
  federal  law  from  state  general  funds.   Senator  Rieger                 
  concurred.  Senator  Sharp commented that CSSB  53 (Finance)                 
  does more than  simply void  the regulations promulgated  by                 
  the administration.  Senator Rieger explained that abortions                 
  were  paid  for under  Medicaid  until precluded  by federal                 
  regulations.  For a number of  years, the state first looked                 
  to Medicaid reimbursement.  Since that is not now available,                 
  coverage  is  provided  under  the  general  relief  medical                 
  program.   The statutes  were never  changed to reflect  the                 
  fact that  federal Medicaid  regulations had  changed.   The                 
  above-noted  subsections  reflect   the  practice  prior  to                 
  adoption of the regulations.                                                 
                                                                               
  Senator  Sharp  asked  if  the  proposed bill  would  expand                 
  eligibility  beyond  the  economic  threshold offered  under                 
  Medicare.  Senator Rieger responded, "I  don't think so.  It                 
  never came up, and I  don't see how it could."   Eligibility                 
  for Medicaid and eligibility for  general relief medical are                 
  both described elsewhere in statutes.                                        
                                                                               
  WILLIAM BURK  next came  before  committee to  speak to  the                 
  bill.  He urged passage of SB 53, saying it would be cheaper                 
  for the  state to fund  abortions than it  would be  to keep                 
  children on welfare rolls  and public assistance.   Mr. Burk                 
  said  he had  worked as  a social  worker  and had  seen the                 
  results of  unwanted children.   By  the time  they are  two                 
  years old, nine out of ten are on the AFDC rolls.  The state                 
  then has to pay foster parents, welfare, Medicaid, etc.                      
                                                                               
  Mr.  Burk  noted  that  the  United  States  was  founded on                 
  separation of church and  state.  He then voiced  his belief                 
  that the regulations  were adopted at the  urging of "right-                 
  wing, conservative,  christian fundamentalists."   Mr.  Burk                 
  voiced his belief that a woman should have a  choice, and he                 
  suggested that abortions  would be performed whether  or not                 
  they are funded by  the state.  The rich have  always had an                 
  opportunity for an  abortion.  Poor  women are the ones  who                 
  have suffered.                                                               
                                                                               
  MARCIA McKENZIE,  American Association of  University Women,                 
  next  came  before committee.    She  voiced support  for  a                 
  woman's right to self-determination and reproductive rights.                 
  She  further voiced support for CSSB  53 (Finance) and urged                 
  passage.                                                                     
                                                                               
  Ms. McKenzie  acknowledged that abortion services  in Alaska                 
  are costly.   When travel is  included, the cost can  become                 
  prohibitive.  Alaska's rate of  teen pregnancy remains among                 
  the  highest  in  the nation.    A  young  person having  an                 
  unwanted child often faces poverty  and bitterness caused by                 
  "removal of opportunity"  for a better life.   Approximately                 
  20,000 children  (5% of Alaska's  population) are  currently                 
  being raised by single parents  supported by public funding.                 
                                                                               
                                                                               
  The  cost  far outstrips  the  cost of  terminating unwanted                 
  pregnancies.                                                                 
                                                                               
  Ms. McKenzie further attested to the psychological burden of                 
  an unwanted  pregnancy on  both the  mother  and the  child.                 
  Further,  the   legislation  will  remove   the  unwarranted                 
  intrusion of  government into  the most  private aspects  of                 
  health  care for  women  who cannot  afford medical  care on                 
  their own.  The regulations stipulate that abortion would be                 
  covered by general  relief medical in cases of rape, incest,                 
  or when a mother's life is in danger.  Ms. McKenzie stressed                 
  the  traumatic impact of  rape and incest,  and advised that                 
  often  a  woman  does not  wish  to  reveal  how she  became                 
  pregnant.   It  would be  extremely difficult for  women who                 
  would be required  to document the cause  of their pregnancy                 
  under strict enforcement of the proposed regulations.                        
                                                                               
  Ms. McKenzie stressed  that, under the separation  of church                 
  and  state, the termination of  a pregnancy is an individual                 
  judgment  that  must be  left to  the  woman.   The proposed                 
  regulations  would  impose that  decision  and  a particular                 
  moral  code  only on  those who  do  not have  the financial                 
  resources to deal with  the situation on their own.   In her                 
  concluding remarks, Ms.  McKenzie posed the question:  Is it                 
  fair that these women are deprived of control of their lives                 
  simply because of their financial situation?                                 
                                                                               
  JEN TUCCI next came before committee.   She urged passage of                 
  the legislation, saying that she supports a woman's right to                 
  choose.  Ms. Tucci advised that the bill also relates to the                 
  basic right  to privacy  as well  as discrimination  against                 
  poor women.   The decision of whether or not to have a child                 
  should not be based on whether  or not an individual can pay                 
  for an abortion.                                                             
                                                                               
  JUDITH CAVANAUGH, Juneau Coalition for Pro-choice, next came                 
  before committee.  She explained that the coalition consists                 
  of more than  400 individuals in  the Juneau area.   Through                 
  use of a mail survey and  phone bank, the coalition compiled                 
  a  data   base  of   3,800  registered,   pro-choice,  women                 
  supporters.    Mr.  Cavanaugh  voiced  support for  CSSB  53                 
  (Finance),  advising  that   the  bill   will  protect   the                 
  constitutional right to privacy for  all women by protecting                 
  the right  to  choose,  regardless  of income  level.    The                 
  coalition  opposed  the  regulations when  they  were  first                 
  introduced,  and it was successful  in getting more than 700                 
  people  in  Juneau   to  voice   their  opposition  to   the                 
  regulations during the  comment period.   Opposition to  the                 
  regulations focuses upon:                                                    
                                                                               
       1.    Alaska's  Constitution  which  includes  a  broad                 
  right to  privacy clause  that protects  a woman's  right to                 
            choose, regardless of whether she is rich or poor.                 
                                                                               
                                                                               
       2.   The fact that  the strictest abortion laws  in the                 
  world     do not stop abortions.                                             
                                                                               
  At issue is whether low income women and teenagers in Alaska                 
  will  have access  to safe  abortion services  or must  seek                 
  desperate help elsewhere.   The  regulations place an  undue                 
  burden on  "poor women in  rural and Southeast  Alaska where                 
  abortion  services are  not available  at  this time."   The                 
  regulations will force these women  to seek unsafe abortions                 
  or to bear  children they  do not want  and cannot  support.                 
  The potential social costs of  the regulations are enormous.                 
  Unwanted children in Alaska often become wards of the  state                 
  at great cost  to all.  Mr. Cavanaugh  urged support for the                 
  bill.                                                                        
                                                                               
  CAREN ROBINSON,  League of  Women Voters,  next came  before                 
  committee.   She  voiced support  for  CSSB 53  (Finance) on                 
  behalf of the League's 400 members and urged passage.                        
                                                                               
  SHERRIE  GOLL,  Alaska  Women's  Lobby,   next  came  before                 
  committee, voicing support for CSSB  53 (Finance) and urging                 
  that it move forward.   She noted that should the  bill pass                 
  and  withstand  the  Governor's veto,  it  would  provide an                 
  additional savings in the form of legal costs that would not                 
  have  to be expended to defend  the constitutionality of the                 
  regulations.                                                                 
                                                                               
  Senator Kerttula MOVED for passage of CSSB 53 (Finance) with                 
  individual recommendations.    Senator Sharp  OBJECTED.   He                 
  then  noted that  testimony pointed out  that there  are now                 
  approximately  20,000 dependent  children.   This  situation                 
  occurred while abortion was an available option.  It is thus                 
  questionable   whether  the   proposed  bill  will   have  a                 
  meaningful  effect.   The  Senator  further advised  that he                 
  resented the  implication that  religion is  involved.   The                 
  bill  contains  no reference  thereto.   Senator  Kelly also                 
  voiced OBJECTION, stating, "I really object to the committee                 
  substitute."   He said  it goes far  beyond "anything that's                 
  been discussed."  He suggested that a good word for it would                 
  be "greedy,"  and he further suggested that it makes certain                 
  there will be enough votes to sustain the Governor's veto.                   
                                                                               
  Senator  Rieger acknowledged comments  by Senator Sharp that                 
  the  primary focus of  repeal of the  regulations relates to                 
  the  right  to choose  rather  than the  fiscal  effect, the                 
  impact on  the number  of dependent  children, or  religious                 
  considerations.  He said his support for the bill stems from                 
  the  "desirability  of  having  a  woman's right  to  choose                 
  protected."                                                                  
                                                                               
  Senator  Sharp  explained  that he  supported  the  original                 
  version of  the bill,  when it  was before  Senate Health  &                 
  Social Services Committee.  He then voiced continued support                 
                                                                               
                                                                               
  for  that version, saying that  CSSB 53 (Finance) appears to                 
  set  the  legislation  up  for  negative reaction  from  the                 
  administration.  That may  negate total legislative efforts.                 
                                                                               
                                                                               
  Co-chair Pearce directed that  a roll call vote be  taken on                 
  the MOTION for passage of CSSB 53 (Finance):                                 
                                                                               
       YEA:      Jacko, Kerttula, Rieger, Frank, Pearce                        
       NAY:      Kelly, Sharp                                                  
                                                                               
  The  motion CARRIED on a  vote of 5 to  2, and CS FOR SENATE                 
  BILL NO.  53(FIN) (An Act relating to  payment for abortions                 
  under  Medicaid  and  general  relief  medical   assistance;                 
  annulling changes made by certain regulations adopted by the                 
  Department of Health and Social Services relating to funding                 
  of  abortion  services  under  the  general  relief  medical                 
  program; and providing  for an effective date)  was REPORTED                 
  OUT of committee with the following fiscal notes:                            
                                                                               
                      DH&SS, AFDC                   (297.3)                    
                      DH&SS, Medicaid Facilities    (454.0)                    
                      DH&SS, Medical Non-Facility   (694.4)                    
                      DH&SS, General Relief Medical  288.7                     
                      DH&SS, Claims Processing      ( 74.2)                    
                                                                               
  Co-chair  Frank  and Senators  Jacko,  Rieger, and  Kerttula                 
  signed the committee report with a "do pass" recommendation.                 
  Co-chair Pearce signed "do pass  w/out amendment."  Senators                 
  Kelly and Sharp signed "do not pass."                                        
                                                                               
  ANNOUNCEMENTS                                                                
                                                                               
  Co-chair  Pearce  announced that  the  following legislation                 
  would be heard March 1, 1993, at 9:00 a.m.:                                  
                                                                               
                   SB  19 CRIME OF CONSPIRACY                                  
                 SB  46 AUTHORIZE MOOSE FARMING                                
            SB  49 YEAR-END CAMPAIGN FINANCE REPORTS                           
                                                                               
  ADJOURNMENT                                                                  
                                                                               
  There being nothing further to come before committee at this                 
  time, the meeting was adjourned at approximately 9:45 a.m.                   
                                                                               

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