Legislature(2001 - 2002)

01/28/2002 01:33 PM Senate HES

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
                    ALASKA STATE LEGISLATURE                                                                                    
      SENATE HEALTH, EDUCATION & SOCIAL SERVICES COMMITTEE                                                                    
                        January 28, 2002                                                                                        
                            1:33 p.m.                                                                                           
                                                                                                                                
MEMBERS PRESENT                                                                                                               
Senator Lyda Green, Chair                                                                                                       
Senator Loren Leman, Vice Chair                                                                                                 
Senator Gary Wilken                                                                                                             
Senator Jerry Ward                                                                                                              
Senator Bettye Davis                                                                                                            
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All Members Present                                                                                                             
                                                                                                                              
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 162                                                                                                              
"An Act relating to absences from the state under the longevity                                                                 
bonus program."                                                                                                                 
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
HB 162 - See HESS minutes dated 4/20/01.                                                                                        
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
Representative Gretchen Guess                                                                                                   
Alaska State Capitol                                                                                                            
Juneau, AK  99801-1182                                                                                                          
POSITION STATEMENT: Presented HB 162                                                                                          
                                                                                                                                
Representative Fred Dyson                                                                                                       
Alaska State Capitol                                                                                                            
Juneau, AK  99801-1182                                                                                                          
POSITION STATEMENT: Commented on HB 162                                                                                       
                                                                                                                                
Ms. Alison Elgee, Deputy Commissioner                                                                                           
Department of Administration                                                                                                    
PO Box 110200                                                                                                                   
Juneau, AK  99811-0200                                                                                                          
POSITION STATEMENT: Addressed the fiscal note for HB 162                                                                      
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
TAPE 02-3, SIDE A                                                                                                             
                                                                                                                              
CHAIRWOMAN  LYDA  GREEN  called the  Senate  Health,  Education  &                                                            
Social Services  Committee meeting to  order at 1:33  p.m. Present                                                              
were Senators Ward, Davis and Green.   Chairwoman Green introduced                                                              
Janey  Wineinger,   staff  to  the  Senate  HESS   Committee,  and                                                              
announced that she  will be the first point of  contact for anyone                                                              
wishing to  work with  the committee.   Senators Leman  and Wilken                                                              
arrived at 1:34 p.m. and the committee took up HB 162.                                                                          
                                                                                                                                
          HB 162-ABSENCES UNDER LONGEVITY BONUS PROGRAM                                                                     
                                                                                                                                
REPRESENTATIVE  GRETCHEN GUESS offered  the following  information                                                              
about HB 162 on behalf of the House HESS Committee.                                                                             
                                                                                                                                
HB 162 changes two longevity bonus  date clauses. It increases the                                                              
allowable  paid  absence  from  30 to  60  consecutive  days.  She                                                              
requested  that  change  after a  constituent  contacted  her  who                                                              
wanted to  leave the state to  visit family.  The  constituent had                                                              
to drive to  three places in the  Lower 48 and could  not make the                                                              
trip within 30 days.   She could find no reason  in the record for                                                              
a 30-day limit.   The second change extends the  unpaid sabbatical                                                              
from 90 days  to five years. Under the 90-day  limit, many seniors                                                              
must fly  back to  Alaska during  their sabbaticals  for the  sole                                                              
purpose of maintaining  eligibility for the longevity  bonus.  The                                                              
longevity bonus is  not provided to seniors while  they are out of                                                              
the state.  She noted  Representative Dyson  and a  representative                                                              
from the  Department of  Administration  were available to  answer                                                              
questions.                                                                                                                      
                                                                                                                                
REPRESENTATIVE DYSON  commended Representative Guess  for bringing                                                              
this legislation  forward and called committee  members' attention                                                              
to its  negative fiscal  note.  The  Department of  Administration                                                              
anticipates that  the changes made in  HB 162 will save  the state                                                              
about $100,000  per year.  He  said that all seniors'  groups that                                                              
he has heard  from support this  legislation and that some  of his                                                              
constituents,  as soon as  they retire,  go on short-term  mission                                                              
projects around  the world.  This  bill will allow them  to remain                                                              
qualified for the longevity bonus  while they are working on those                                                              
projects.   He noted  that quite  a few  of Alaska's seniors  find                                                              
their lives  dominated by  the 90-day limit  even though  they are                                                              
legitimate residents.                                                                                                           
                                                                                                                                
SENATOR LEMAN asked  why a five-year timeframe was  chosen for the                                                              
sabbatical.                                                                                                                     
                                                                                                                                
REPRESENTATIVE  GUESS said  that  timeframe was  suggested by  the                                                              
Department of Administration.                                                                                                   
                                                                                                                                
MS.  ALISON  ELGEE,  Deputy  Commissioner  of  the  Department  of                                                              
Administration,  explained  that  the  department  wanted  a  time                                                              
certain  that  would allow  it  to purge  the  rolls  so that  the                                                              
department  could track the  number of  eligible recipients.   She                                                              
noted, "In  truth there is  no magic to  five years, we  just felt                                                              
that  that was  a  timeframe where  we  could  safely assume  that                                                              
people were not coming back or had perhaps passed away."                                                                        
                                                                                                                                
SENATOR LEMAN  asked if  it would do  anyone a disservice  to make                                                              
that time period three years.                                                                                                   
                                                                                                                                
DEPUTY COMMISSIONER  ELGEE said  it is truly  a judgment  call but                                                              
the Department  of Administration  is quite  comfortable  with the                                                              
five-year timeframe.                                                                                                            
                                                                                                                                
CHAIRWOMAN GREEN  asked if the new  language on page 2,  lines 26-                                                              
31, is necessary to conform to the changes made in Section 1.                                                                   
                                                                                                                                
DEPUTY COMMISSIONER ELGEE said that is correct.                                                                                 
                                                                                                                                
CHAIRWOMAN  GREEN confirmed  that the bill  contains new  language                                                              
that  permanently disqualifies  a  recipient  who is  continuously                                                              
absent for  more than  five years.   She then  asked Ms.  Elgee to                                                              
comment on the fiscal note.                                                                                                     
                                                                                                                                
DEPUTY COMMISSIONER  ELGEE said the fiscal note is  made up of two                                                              
parts.  The first part reflects the  eligibility of individuals to                                                              
receive a check if they are out of  state up to 60 days instead of                                                              
30 days.   The department  actually counted  the number  of absent                                                              
seniors  in calendar  year 2000  to  determine how  many of  those                                                              
individuals would  have been paid  an extra longevity  bonus check                                                              
and came up with an additional cost  of $288,400.  The second part                                                              
of the fiscal  note shows the big savings will  come from allowing                                                              
people  to  be out  of  state  for  longer  periods of  time.  The                                                              
department   estimates  that   10  percent   of  longevity   bonus                                                              
recipients will be absent for 30  days more than they are today if                                                              
HB 162  passes, saving  the program  $435,000 per  year.   The net                                                              
savings to the state will be $146,700 per year.                                                                                 
                                                                                                                                
SENATOR WARD  asked if the  first number  will increase if  HB 162                                                              
passes.                                                                                                                         
                                                                                                                                
DEPUTY  COMMISSIONER  ELGEE  said the  department  quantified  the                                                              
people who are out  of state right now that are  now receiving the                                                              
longevity  bonus check  (those  absent between  30  and 60  days).                                                              
Because the  pool is a  closed pool,  the other recipients  are in                                                              
Alaska so the costs will not go up.                                                                                             
                                                                                                                                
SENATOR WARD moved HB 162 from committee with individual                                                                        
recommendations and its most recent fiscal note.                                                                                
                                                                                                                                
CHAIRWOMAN GREEN announced that the motion carried with no                                                                      
objection.                                                                                                                      
                                                                                                                                
CHAIRWOMAN GREEN informed  members the committee will  hear SB 250                                                              
on  Wednesday and  that  the House  HESS  Committee  will hear  an                                                              
overview by the  Department of Education and Early  Development on                                                              
the regulations  for correspondence  study  tomorrow at 9:30  a.m.                                                              
She then adjourned the meeting at 1:40 p.m.                                                                                     
                                                                                                                                

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