Legislature(2021 - 2022)SENATE FINANCE 532
03/21/2022 09:00 AM Senate FINANCE
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| Audio | Topic |
|---|---|
| Start | |
| SB186 | |
| SB190 | |
| SB222 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| + | SB 186 | TELECONFERENCED | |
| + | SB 190 | TELECONFERENCED | |
| + | SB 222 | TELECONFERENCED | |
| + | TELECONFERENCED | ||
SENATE FINANCE COMMITTEE
March 21, 2022
9:05 a.m.
9:05:10 AM
CALL TO ORDER
Co-Chair Bishop called the Senate Finance Committee meeting
to order at 9:05 a.m.
MEMBERS PRESENT
Senator Click Bishop, Co-Chair
Senator Bert Stedman, Co-Chair
Senator Lyman Hoffman
Senator Donny Olson
Senator Natasha von Imhof
Senator Bill Wielechowski
Senator David Wilson
MEMBERS ABSENT
None
ALSO PRESENT
Tim Lamkin, Staff, Senator Gary Stevens; Kris Curtis,
Legislative Auditor, Alaska Division of Legislative Audit;
Sara Chambers, Division Director, Corporation, Business and
Professional Licensing; Senator Robert Myers, Sponsor;
Dawson Mann, Staff, Robert Senator Myers; Keith Bauguess,
Staff, Senator Gray-Jackson; Senator Elvi Gray-Jackson,
Sponsor.
PRESENT VIA TELECONFERENCE
Dr. Damien Delzer, Chair, Alaska Board of Examiners and
Optometry, Fairbanks; Steve Dobson, Self, Anchorage; Keith
Kurber, Commissioner, Regulatory Commission of Alaska,
Fairbanks; Bob Pickett, Chairman, Regulatory Commission of
Alaska, Anchorage.
SUMMARY
SB 186 EXTEND BOARD OF EXAMINERS IN OPTOMETRY
SB 186 was HEARD and HELD in committee for
further consideration.
SB 190 EXTEND REGULATORY COMMISSION OF ALASKA
SB 190 was HEARD and HELD in committee for
further consideration.
SB 222 EXTEND PT & OCCUPATIONAL THERAPY BOARD
SB 222 was HEARD and HELD in committee for
further consideration.
SENATE BILL NO. 186
"An Act extending the termination date of the Board of
Examiners in Optometry; and providing for an effective
date."
9:06:33 AM
TIM LAMKIN, STAFF, SENATOR GARY STEVENS, stated that the
bill was self-explanatory.
KRIS CURTIS, LEGISLATIVE AUDITOR, ALASKA DIVISION OF
LEGISLATIVE AUDIT, discussed the audit for the Board of
Examiners in Optometry (copy on file). She explained that
the audit concluded that the board conducted its meetings
in compliance with state law, effectively licensed
optometrists, and actively amended regulation to implement
statutory changes and to improve the license process. She
said that the audit also found that the audit also found
that the Division of Corporations, Businesses, and
Professional Licensing (DCBPL) staff failed to operate in
the publics interest by not consistently recording the
existence of a DEA number in DCBPL licensing database, by
not ensuring that continuing education audits were
conducted in a timely manner, and by not effectively
monitoring licensee compliance with continuing education in
pain management and opioid use and addiction. She said her
division recommended that the board be extended 6 years,
which was 2 years less than the 8-year maximum allowed for
in statute. She stated the reduced extension recommendation
reflected the need for more timely oversight considering
the audit findings. She turned to Page 9 of the audit,
which showed the standard licensing statistics. She relayed
that as of January 2021, there were 218 licensed
optometrists, reflecting an increase of 18 percent when
compared to the prior 2013 sunset audit. She cited Page 10,
which showed the schedule of board revenues and
expenditures. She furthered that as of January 2021, the
board had a deficit of approximately $52,000. She stated
that a fee increase had been recommended in April 2020;
however, fees had not been increased due to a directive
from the governors office to freeze the fee increased for
occupational boards to help mitigate the impact from the
Covid 19 pandemic. She relayed that the board had the
following recommendations:
Recommendation No. 1:
DCBPL's director should dedicate resources to ensure
licensees holding a DEA number are consistently
recorded in the licensing database.
Recommendation No. 2:
The board chair and DCBPL's director should change the
license renewal form to allow the board to monitor
compliance with continuing education requirements.
Recommendation No. 3:
DCBPL's director should ensure adequate resources are
available to perform continuing education audits.
Ms. Curtis spoke to each recommendation. She directed
committee attention to DCBPLs management response to the
recommendations, found on Page 25. She relayed that the
Commissioner of the Department of Commerce, Community, and
Economic development agreed with the conclusions and
recommendations and had reported that the Licensing
Examiner position had turned over 5 times during the three-
and-a-half-year audit period, while the Licensing
Supervisor position had turned over 4 times. She related
that the turnover in those positions was what had led to
the audit findings. She noted the chairs response on Page
27, who reported that the issues would be addressed before
the next license renewal cycle.
Senator Wilson wondered whether the findings were most
related to the staff or licensees.
Ms. Curtis replied that the findings mainly circulated
around the division's performance. She added that in the
case of the licensing form, the board and the staff
reviewed the form, which was deficient.
Senator Olson wondered whether patients eye health had
suffered due to the deficiencies found in the audit.
9:12:51 AM
Ms. Curtis replied that it would be impossible to respond
to the question. She offered that no specific public health
implications had been conclusive.
Senator Olson recalled the freeze on the licensing fees. He
mentioned the increasing fees for veterinarians. He
wondered whether they had been subject to the freeze.
Ms. Curtis understood that all boards had been under the
freeze. She deferred to the DCBPL director.
SARA CHAMBERS, DIVISION DIRECTOR, CORPORATION, BUSINESS AND
PROFESSIONAL LICENSING, replied to Senator Olson's
question, and stated that all boards and non-boarded
licensing program were subject to the freeze during the
pandemic. She did that any needed fee increased had been
offset in FY21, FY22, and proposed FY23, with General
Funds. She said that the veterinary board and the optometry
board would receive money to prevent another fee increase
for the time being.
9:15:01 AM
Senator Olson wondered whether there was an anticipated fee
increase for optometrists.
Ms. Chambers replied that one of the budget requests for
FY23 would fund a proposal to the legislature to research
how fees were assessed. She stated that putting 100 percent
of the investigative and administrative fees on licensees
was a burden for licensees. She hoped that that policy
could be changed for fairness and stability.
Senator Olson mentioned drugs prescribed my optometrists
and asked whether the optometrists were subject to the
Prescription Drug Monitoring Program (PDMP).
Ms. Chambers replied that if the optometrist had a Drug
Enforcement Agency (DEA) License they were subject to the
program.
Senator Olson asked whether there had been any complaints
made to the division of compromised eye health.
Ms. Chambers replied in the negative.
Senator von Imhof recalled that there had been no filings
for malpractice or patent complaints since the last audit.
Ms. Chambers agreed to provide more conclusive information.
She remarked that during the current audit period there had
been some disciplinary action taken due to non-compliance
with the audits.
9:17:48 AM
Senator von Imhof wondered who should pay for the
investigative and administrative expenses other than the
licensees. She asked whether general funds were to be used
this one time, to fill the gap, or was it expected the
state would pay into the future.
Ms. Chambers replied that the issue was under discussion
for the next legislative session. She said it would be up
to the administration and the legislature to determine
whether the current model was working. She knew that
various fee funding structures were used in the country.
Co-Chair Bishop wondered what the exit surveys had revealed
about why people left the field.
Ms. Chambers replied that people in the field were trained
to rise in position to manage boards and customer services.
She said that often junior to mid-range people would move
up to higher positions in other agencies. Some moved out of
state. She noted that the position was not a full-time job.
9:21:13 AM
Co-Chair Bishop felt that perhaps the administration should
increase the PCN to have continuity in safety and health.
Ms. Chambers replied that there was a strategy to
restructure the professional licensing section, which could
include some reclassifications. She said that licensing
numbers were increasing, and additional positions could be
useful. She stated that the FY 23 budget included two new
PCNs for programs that may allow the program, and others,
some flexibility. She said that high turnover in several
state agencies was creating healthy conversation.
DR. DAMIEN DELZER, CHAIR, ALASKA BOARD OF EXAMINERS AND
OPTOMETRY, FAIRBANKS (via teleconference), spoke in support
of the legislation.
9:24:36 AM
STEVE DOBSON, SELF, ANCHORAGE (via teleconference),
testified in support of the legislation. He acknowledged
Dr. Delzer for his leadership on the board.
Co-Chair Bishop OPENED and CLOSED public testimony.
Co-Chair Bishop announced an amendment deadline of March
23, 2022.
SB 186 was HEARD and HELD in committee for further
consideration.
SENATE BILL NO. 190
"An Act extending the termination date of the
Regulatory Commission of Alaska; and providing for an
effective date."
9:27:23 AM
SENATOR ROBERT MYERS, SPONSOR, spoke to the Sponsor
Statement (copy on file):
The Senate Bill 190 extends the termination date of
the Regulatory Commission of Alaska (RCA) until June
30, 2027.
The Regulatory Commission of Alaska is an independent,
quasi-judicial regulatory body that was formed by the
legislature in 1999 to replace the Alaska Public
Utilities Commission. The RCA is charged with
regulating public utilities and pipeline services.
Regulation is accomplished by certifying qualified
providers and ensuring they provide safe and adequate
services and facilities at just and reasonable rates,
terms, and conditions.
9:28:25 AM
DAWSON MANN, STAFF, ROBERT SENATOR MYERS, discussed the
Explanation of Changes (copy on file):
Sec. 1 Page 1, Lines 4-9
Adds legislative intent language to uncodified law
which states that it is the intent to extend the
Regulatory Commission of Alaska every five years to
take into account the term length of legislators,
providing for awareness of the commission and its
purpose through legislative review and debate.
Sec. 2 AS 44.66.010(a)(3) Page 1, Lines 10-13
Changes the expiration date for the commission from
2030 to 2027.
Mr. Mann looked at the Sectional Analysis (copy on file):
Section 1: Page 1, Lines 4-9
This section adds legislative intent language to
uncodified law which states that it is the intent to
extend the Regulatory Commission of Alaska (RCA) every
five years to take into account the term length of
legislators, providing for awareness of the commission
and its purpose through legislative review and debate.
Section 2: AS 44.66.010(a)(3) Page 1, Lines 10-12
This section extends the termination date for the
Regulatory Commission of Alaska until June 30, 2027.
Section 3: Page 1, Line 13
This section establishes an immediate effective date.
9:29:55 AM
Senator Olson asked whether the sponsor supported the
committee substitute.
Senator Myers deferred to the Division of Legislative
Audit.
Senator von Imhof queried the date change from 2030 to
2027.
Senator Myers replied that the change had been made in the
previous committee out of concern for the size of the RCA
and that future legislators might not know what the
commission was; the idea was that a more frequent audit
would familiarize new legislators with the RCA.
Senator von Imhof recalled that legislators were
responsible for educating themselves on various boards and
commissions. She though that if the auditor made a
recommendation, they had good reason to do so. She felt
that the auditor recommending a 2030 sunset made sense as
long as legislators were keeping up to date on audit
findings.
Senator Wilson probed the reason for the change. He felt
that if there were no findings in the audit, repetitive
steps were being taken that drained time and resources.
Co-Chair Stedman agreed. He did not believe in increasing
the cost to the state by truncating the board reviews.
Co-Chair Bishop agreed.
9:33:45 AM
KRIS CURTIS, AUDITOR, LEGISLATIVE AUDIT, looked at the
"Sunset Review of the Department of Commerce, Community and
Economic Development, Regulatory Commission of Alaska
(RCA)" (copy on file). She read the report findings:
REPORT CONCLUSIONS
Overall, the audit concluded RCA operated in an
effective manner and served the public's interest by:
.notdefassessing the capabilities of utility and pipeline
companies to safely serve the public;
.notdef evaluating tariffs and charges made by regulated
entities;
.notdef verifying the pass-through charges to consumers from
electric and natural gas utilities;
.notdef adjudicating disputes between ratepayers and
regulated entities;
.notdef providing consumer protection services; and
.notdef performing financial reviews of utilities for the
State's power cost equalization program.
Ms. Curtis stated that the recommendation was to extend the
sunset 8 years. She shared that that a survey, found on
Page 19 of the audit, showed that the positive responses to
survey questions outweighed negative responses in the
surveyed areas. She spoke to Page 4 of the audit, which
showed that Regulatory Commission of Alaska resolved most
of their consumer complaints within a 30-day period. She
said that Page 5 provided a listing of the types of
complaints received from July 2020 through February 2021.
She said that Page 4 showed the conclusion that RCA
processed tariff filing and dockets within the statutory
regulatory timelines, which was the area that received the
most review. The audit had one administrative
recommendation:
Recommendation No. 1:
The RCA chair should clarify regulations concerning
the cancelation of scheduled public meetings.
Ms. Curtis shared that Regulatory Commission of Alaska
regulations required two meetings a month and if there was
nothing on the agenda meetings were cancelled. She relayed
that during the audit timeframe, 25 of 88 meetings were
cancelled, 6 consecutively. She related that according to
RCA management regulations allowed the commission to modify
a requirement by their own motion, but no official motion
had been recognized but the auditors. She offered that it
was reasonable for the RCA to cancel meetings when there
were no agenda items, but that action did not strictly
adhere to their regulations. She did not believe that the
issue should affect the extension timeline. She shared that
the response on Page 23 revealed that both the commissioner
of DCCED and the RCA chairman supported the extension.
9:37:57 AM
Senator von Imhof recalled that there were some questions
about the time the RCA took to review rates and make
recommendations. She queried the average timeline.
Ms. Curtis replied that the audit background information
provided all statutory timelines, which differed for each
type of business. She added that the statutory requirements
were approved by the legislature and the regulatory through
the public comment process She said that it had been found
that
9:39:31 AM
Senator von Imhof thought that it could be time for the
legislature to review the regulatory timelines for the
Regulatory Commission of Alaska to complete its work.
Co-Chair Bishop agreed.
KEITH KURBER, COMMISSIONER, REGULATORY COMMISSION OF
ALASKA, FAIRBANKS (via teleconference), noted that in a
previous hearing in another committee there had been a
question as to whether changing the sunset from 8 years to
5 years would affect the work of legislative auditors.
BOB PICKETT, CHAIRMAN, REGULATORY COMMISSION OF ALASKA,
ANCHORAGE (via teleconference), supported the original
recommendation of an 8-year sunset date.
9:42:04 AM
Co-Chair Bishop OPENED and CLOSED public testimony.
Co-Chair Bishop set an amendment deadline of March 28,
2022.
SB 190 was HEARD and HELD in committee for further
consideration.
SENATE BILL NO. 222
"An Act extending the termination date of the State
Physical Therapy and Occupational Therapy Board; and
providing for an effective date."
9:43:07 AM
KEITH BAUGUESS, STAFF, SENATOR GRAY-JACKSON, introduced
himself.
SENATOR ELVI GRAY-JACKSON, SPONSOR, introduced the bill.
KRIS CURTIS, AUDITOR, LEGISLATIVE AUDIT, pointed to the
audit of the State Physical Therapy and Occupational
Therapy Board. She stated that there was a recommendation
for an eight-year extension of the board.
She stated that the report made no recommendations.
9:45:38 AM
Co-Chair Bishop OPENED public testimony.
Co-Chair Bishop CLOSED public testimony. Co-Chair Bishop
discussed the schedule for the following meeting.
ADJOURNMENT
9:46:22 AM
The meeting was adjourned at 9:46 a.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SB 186 Optometry Sponsor Statement 2.22.2022.pdf |
SFIN 3/21/2022 9:00:00 AM |
SB 186 |
| SB 186 Optometry Audit June 2021.pdf |
HL&C 4/25/2022 3:15:00 PM SFIN 3/21/2022 9:00:00 AM |
SB 186 |
| SB 186 Optometry Letters of Support _bundled as of 3.4.2022.pdf |
SFIN 3/21/2022 9:00:00 AM |
SB 186 |
| SB 190 v. I Sectional Analysis.pdf |
SFIN 3/21/2022 9:00:00 AM SFIN 3/30/2022 9:00:00 AM |
SB 190 |
| SB 190 Explanation of Changes version A to I.pdf |
SFIN 3/21/2022 9:00:00 AM |
SB 190 |
| SB 190 Support Document- Legislative Audit RCA Sunset Review 9.21.21.pdf |
SFIN 3/21/2022 9:00:00 AM SFIN 3/30/2022 9:00:00 AM |
SB 190 |
| SB 190 v. I Sponsor Statement.pdf |
SFIN 3/21/2022 9:00:00 AM SFIN 3/30/2022 9:00:00 AM |
SB 190 |
| SB 222 Sponsor Statement for Senate Bill 222.pdf |
SFIN 3/21/2022 9:00:00 AM |
SB 222 |
| SB 222 Audit Report 02.17.2022.pdf |
SFIN 3/21/2022 9:00:00 AM |
SB 222 |
| SB 222 Sectional Analysis.pdf |
SFIN 3/21/2022 9:00:00 AM |
SB 222 |