Legislature(2007 - 2008)SENATE FINANCE 532

03/27/2007 09:00 AM Senate FINANCE


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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ SB 85 EXTEND STATE MEDICAL BOARD TELECONFERENCED
Moved SB 85 Out of Committee
+ HB 108 BOARD OF MARINE PILOTS TELECONFERENCED
Moved HB 108 Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
                            MINUTES                                                                                           
                    SENATE FINANCE COMMITTEE                                                                                  
                         March 27, 2007                                                                                       
                           9:02 a.m.                                                                                          
                                                                                                                                
                                                                                                                              
CALL TO ORDER                                                                                                               
                                                                                                                                
Co-Chair  Lyman Hoffman  convened  the  meeting at  approximately                                                               
9:02:01 AM.                                                                                                                   
                                                                                                                                
PRESENT                                                                                                                     
                                                                                                                                
Senator Lyman Hoffman, Co-Chair                                                                                                 
Senator Bert Stedman, Co-Chair                                                                                                  
Senator Charlie Huggins, Vice Chair                                                                                             
Senator Kim Elton                                                                                                               
Senator Joe Thomas                                                                                                              
Senator Fred Dyson                                                                                                              
Senator Donny Olson                                                                                                             
                                                                                                                                
Also Attending:   REPRESENTATIVE  KURT OLSON;  RICHARD BENAVIDES,                                                             
Staff to  Senator Bettye Davis; PAT  DAVIDSON, Director, Division                                                               
of  Legislative   Audit;  RICK   URION,  Director,   Division  of                                                               
Corporations,  Business, and  Professional Licensing,  Department                                                               
of Commerce,  Community and Economic Development;  ELEANOR WOLFE,                                                               
Staff to Representative Kurt Olson                                                                                              
                                                                                                                                
Attending  via  Teleconference:   There  were  no  teleconference                                                             
participants.                                                                                                                   
                                                                                                                                
SUMMARY INFORMATION                                                                                                         
                                                                                                                                
SB  85-EXTEND STATE MEDICAL BOARD                                                                                               
                                                                                                                                
The   Committee  heard   from  the   sponsor,  the   Division  of                                                               
Legislative Audit  and the Department of  Commerce, Community and                                                               
Economic Development. The bill was reported from Committee.                                                                     
                                                                                                                                
HB 108-BOARD OF MARINE PILOTS                                                                                                   
                                                                                                                                
The  Committee  heard from  the  sponsor  and the  Department  of                                                               
Commerce,  Community  and  Economic  Development.  The  bill  was                                                               
reported from Committee.                                                                                                        
                                                                                                                                
9:02:40 AM                                                                                                                    
                                                                                                                                
                                                                                                                                
     SENATE BILL NO. 85                                                                                                         
     "An  Act  extending  the  termination  date  for  the  State                                                               
     Medical Board; and providing for an effective date."                                                                       
                                                                                                                                
                                                                                                                                
This was the first hearing for this bill in the Senate Finance                                                                  
Committee.                                                                                                                      
                                                                                                                                
Co-Chair Stedman announced intent to report this bill from                                                                      
Committee unless concerns were identified.                                                                                      
                                                                                                                                
AT EASE 9:02:59 AM / 9:03:06 AM                                                                                             
                                                                                                                                
9:03:28 AM                                                                                                                    
                                                                                                                                
RICHARD BENAVIDES, Staff to Senator Bettye Davis, sponsor of the                                                                
bill, testified reading the sponsor statement into the record as                                                                
follows.                                                                                                                        
                                                                                                                                
     Senate Bill 85 extends the  sunset date of the State Medical                                                               
     Board  until   June  30,  2013,   in  accordance   with  the                                                               
     recommendations of the  Legislative Auditor. The legislative                                                               
     auditor  has concluded  that the  State Medical  Board meets                                                               
     the  statutory  requirements  of   public  need  and  should                                                               
    continue to regulate the occupations under its purview.                                                                     
     The  board   consists  of  five  licensed   physicians,  one                                                               
     licensed  physician  assistant,  and  two  persons  with  no                                                               
     direct financial  interests in the healthcare  industry. The                                                               
     board  serves  the  public   interest  by  establishing  the                                                               
     minimum  education  and  work experience  requirements  that                                                               
     individuals  must   meet  to  become   licenses  physicians,                                                               
     osteopaths,    podiatrists,   paramedics,    and   physician                                                               
     assistants. The board further serves  the public interest by                                                               
     investigating complaints against  licensed professionals and                                                               
     taking disciplinary licensing action when appropriate.                                                                     
     The  board   has  consistently   proven  to   be  efficient,                                                               
     therefore  I  recommend  that the  State  Medical  Board  be                                                               
     extended  to June  30, 2013,  and  ask for  your support  in                                                               
     passage of this bill.                                                                                                      
                                                                                                                                
9:05:08 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman directed  attention to  an updated  fiscal note                                                               
prepared  by the  Senate Finance  Committee. The  original fiscal                                                               
note   incorrectly   included   an  estimate   of   $846,000   as                                                               
expenditures for FY 07. This  legislation would have no impact on                                                               
the current year budget.                                                                                                        
                                                                                                                                
9:05:48 AM                                                                                                                    
                                                                                                                                
Senator Dyson inquired about the  auditor recommendation that the                                                               
State Medical Board update certain regulations.                                                                                 
                                                                                                                                
9:06:15 AM                                                                                                                    
                                                                                                                                
PAT DAVIDSON, Director, Division  of Legislative Audit, testified                                                               
that other  than the  Board's response  to the  preliminary audit                                                               
report recommendations that  the Board was willing  to making the                                                               
regulatory changes,  she was unaware  of whether the  changes had                                                               
been made.                                                                                                                      
                                                                                                                                
Co-Chair Stedman  requested a response  from the Board as  to the                                                               
status of the regulatory changes.                                                                                               
                                                                                                                                
9:07:04 AM                                                                                                                    
                                                                                                                                
RICK  URION, Director,  Division of  Corporations, Business,  and                                                               
Professional  Licensing, Department  of  Commerce, Community  and                                                               
Economic Development,  testified in support of  this legislation.                                                               
He  informed  that  the  Board  had  taken  necessary  action  in                                                               
amending regulations.                                                                                                           
                                                                                                                                
9:07:36 AM                                                                                                                    
                                                                                                                                
Senator Dyson asked  the estimated date that  the new regulations                                                               
would be in effect.                                                                                                             
                                                                                                                                
9:07:41 AM                                                                                                                    
                                                                                                                                
Mr. Urion responded that the  proposed regulations were currently                                                               
before the Department of Law for review.                                                                                        
                                                                                                                                
9:07:51 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman  ascertained  that  no  further  testimony  was                                                               
forthcoming  and  that  Members  had no  additional  comments  or                                                               
questions.                                                                                                                      
                                                                                                                                
9:08:15 AM                                                                                                                    
                                                                                                                                
Co-Chair  Hoffman  offered  a  motion to  report  the  bill,  24-                                                               
LS0584\A,  from  Committee  with individual  recommendations  and                                                               
updated fiscal note.                                                                                                            
                                                                                                                                
Without objection  SB 85 was  REPORTED FROM COMMITTEE with  a new                                                               
fiscal note dated 3/27/07 from the Senate Finance Committee.                                                                    
                                                                                                                                
AT EASE 9:09:01 AM / 9:09:24 AM                                                                                             
                                                                                                                                
9:09:36 AM                                                                                                                    
                                                                                                                                
                                                                                                                                
     CS FOR HOUSE BILL NO. 108(L&C)                                                                                             
     "An Act extending the termination date for the Board of                                                                    
     Marine Pilots; and providing for an effective date."                                                                       
                                                                                                                                
                                                                                                                                
This was  the first hearing for  this bill in the  Senate Finance                                                               
Committee.                                                                                                                      
                                                                                                                                
Co-Chair Stedman  announced his intent  to report this  bill from                                                               
Committee at this hearing unless  concerns were raised to warrant                                                               
additional consideration.                                                                                                       
                                                                                                                                
REPRESENTATIVE  KURT  OLSON,  Chair,  House  Labor  and  Commerce                                                               
Committee, sponsor of this legislation,  testified that this bill                                                               
would extend the  term of the Board of Marine  Pilots to June 30,                                                               
2013.                                                                                                                           
                                                                                                                                
9:10:44 AM                                                                                                                    
                                                                                                                                
ELEANOR WOLFE,  Staff to Representative  Kurt Olson,  informed of                                                               
those present to respond to questions.                                                                                          
                                                                                                                                
9:11:14 AM                                                                                                                    
                                                                                                                                
RICK  URION, Director,  Division of  Corporations, Business,  and                                                               
Professional  Licensing, Department  of  Commerce, Community  and                                                               
Economic Development, encouraged passage  of this bill. The Board                                                               
had  completed its  audit process.  Recommendations  made in  the                                                               
audit  report regarding  corrections to  drug testing  procedures                                                               
had been implemented.                                                                                                           
                                                                                                                                
9:11:57 AM                                                                                                                    
                                                                                                                                
Senator Dyson noticed the audit  recommended that the Legislature                                                               
should   consider  "clarifying   statutes"  pertaining   to  drug                                                               
testing.  He asked  what measures  had been  taken to  accomplish                                                               
this.                                                                                                                           
                                                                                                                                
9:12:28 AM                                                                                                                    
                                                                                                                                
Mr.  Urion explained  that questions  were  raised about  whether                                                               
"enough people were  being tested". Corrections had  been made to                                                               
ensure that the "appropriate number of people" would be tested.                                                                 
                                                                                                                                
Senator  Dyson  understood  the   recommendation  to  extend  the                                                               
mandatory drug  testing to include  trainees and  apprentices and                                                               
asked if statutory changes had been considered.                                                                                 
                                                                                                                                
9:13:17 AM                                                                                                                    
                                                                                                                                
Mr. Urion  responded that  these members had  been added  "in the                                                               
mix"  to  receive random  drug  testing.  He was  unsure  whether                                                               
statutory changes would be necessary.                                                                                           
                                                                                                                                
9:13:27 AM                                                                                                                    
                                                                                                                                
Senator  Dyson   next  asked   about  the   audit  recommendation                                                               
concerning  investigative  functions,  which were  not  occurring                                                               
during long  absences of investigative personnel.  Some accidents                                                               
were not investigated until six months after occurring.                                                                         
                                                                                                                                
9:13:48 AM                                                                                                                    
                                                                                                                                
Mr. Urion  knew of one  such incident.  A change in  staffing was                                                               
deemed to be  the cause. A vacancy occurred and  when filled, the                                                               
new investigator was  unaware that the case had  existed. No harm                                                               
resulted from this delay.                                                                                                       
                                                                                                                                
9:14:24 AM                                                                                                                    
                                                                                                                                
Senator Dyson  asked if  such vacancy occurred  in the  future if                                                               
action was taken to ensure that  the duties would be delegated to                                                               
another position.                                                                                                               
                                                                                                                                
Mr. Urion assured that the  current chief investigator was better                                                               
apprised of the cases.                                                                                                          
                                                                                                                                
9:14:54 AM                                                                                                                    
                                                                                                                                
Senator Olson assumed that the  drug tests were administered to a                                                               
"random consortium".                                                                                                            
                                                                                                                                
Mr. Urion affirmed.                                                                                                             
                                                                                                                                
9:15:04 AM                                                                                                                    
                                                                                                                                
Senator Olson  asked how  often a member  was tested  and whether                                                               
the tests were of urine or blood.                                                                                               
                                                                                                                                
Mr. Urion was unsure of the details of the testing procedures.                                                                  
                                                                                                                                
9:15:18 AM                                                                                                                    
                                                                                                                                
Senator  Olson  asked  if  this  applies  to  all  marine  pilots                                                               
including those employed by the Alaska Marine Highway System.                                                                   
                                                                                                                                
Mr. Urion  replied marine pilots  employed by the State  were not                                                               
included. This Board governs those  marine pilots affiliated with                                                               
private enterprise.                                                                                                             
                                                                                                                                
9:15:32 AM                                                                                                                    
                                                                                                                                
Senator   Olson  asked   the   number  of   violations  and   the                                                               
disciplinary actions taken in the past year.                                                                                    
                                                                                                                                
9:15:44 AM                                                                                                                    
                                                                                                                                
Mr. Urion  told of one case  that had been ongoing.  Otherwise he                                                               
estimated the number of cases to be three.                                                                                      
                                                                                                                                
9:16:20 AM                                                                                                                    
                                                                                                                                
Co-Chair  Stedman  commented that  the  fiscal  note appeared  in                                                               
order.                                                                                                                          
                                                                                                                                
9:16:28 AM                                                                                                                    
                                                                                                                                
Co-Chair Hoffman offered a motion to report the bill, 24-                                                                       
LS0445\C, from Committee with individual recommendations and                                                                    
accompanying fiscal note.                                                                                                       
                                                                                                                                
There was no objection and CS HB 108(L&C) was REPORTED FROM                                                                     
COMMITTEE, with fiscal note #2 from the Department of Commerce,                                                                 
Community and Economic Development.                                                                                             
                                                                                                                                
9:16:59 AM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                 
                                                                                                                                
Co-Chair Lyman Hoffman adjourned the meeting at 9:18:06 AM                                                                    

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