Legislature(1995 - 1996)

04/06/1995 01:35 PM Senate L&C

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
               SENATE LABOR AND COMMERCE COMMITTEE                             
                         April 6, 1995                                         
                           1:35 P.M.                                           
                                                                               
                                                                               
 MEMBERS PRESENT                                                               
                                                                               
 Senator Tim Kelly, Chairman                                                   
 Senator John Torgerson, Vice Chairman                                         
 Senator Mike Miller                                                           
 Senator Judy Salo                                                             
                                                                               
  MEMBERS ABSENT                                                               
                                                                               
 Senator Jim Duncan                                                            
                                                                               
  COMMITTEE CALENDAR                                                           
                                                                               
 HOUSE BILL NO. 23                                                             
 "An Act relating to referrals involving dental services."                     
                                                                               
 CS FOR HOUSE BILL NO. 116(L&C)                                                
 "An Act exempting the Alaska Seafood Marketing Institute from the             
 State Procurement Code."                                                      
                                                                               
  PREVIOUS SENATE COMMITTEE ACTION                                             
                                                                               
 HB 23 - No previous action to record.                                         
                                                                               
 HB 116 - No previous action to record.                                        
                                                                               
  WITNESS REGISTER                                                             
                                                                               
 Darin Morgan, Legislative Aide                                                
 Representative Gary Davis                                                     
 State Capitol                                                                 
 Juneau, AK 99801-1182                                                         
  POSITION STATEMENT:   Commented on HB 23.                                    
                                                                               
 Dr. Dan Pitts                                                                 
 Soldotna, AK 99660                                                            
  POSITION STATEMENT:   Supported HB 23.                                       
                                                                               
 Amy Dougherty, Legislative Aide                                               
 Representative Alan Austerman                                                 
 State Capitol                                                                 
 Juneau, AK 99801-1182                                                         
  POSITION STATEMENT:   Supported CSHB 116(L&C).                               
                                                                               
 Art Shunemann                                                                 
 Alaska Seafood Marketing Institute                                            
 1111 West 8th Street, Suite 100                                               
 Juneau, AK 99801                                                              
  POSITION STATEMENT:   Supported CSHB 116(L&C).                               
                                                                               
  ACTION NARRATIVE                                                             
  TAPE 95-16, SIDE A                                                           
 Number 001                                                                    
           HB  23 REFERRALS INVOLVING DENTAL SERVICES                         
                                                                              
 CHAIRMAN KELLY called the Senate Labor and Commerce Committee                 
 meeting to order at 1:35 p.m. and announced HB 23 to be up for                
 consideration.                                                                
                                                                               
 DARIN MORGAN, Legislative aide to Senator Gary Davis, said HB 23              
 prohibits the receipt of compensation by a dentist for referring a            
 person to another dentist or dental practice.  The American Dental            
 Association Code of Ethics forbids dentists from profiting from               
 referrals.  This legislation codifies the ethical concern relating            
 to referrals.  Section 2 prohibits the receipt of compensation by             
 a person or advertisement referring a dental service unless the               
 compensation for referral is disclosed at the time of referral.               
 This will help insure that patients are being referred to a dentist           
 or dental practice as a result of their service.                              
                                                                               
 DR. DAN PITTS, the Alaska Dental Society, explained that the reason           
 for this legislation is because of complaints coming through the              
 Dental Society about the 1-800 dentist referral service doing                 
 referrals without disclosing that the dentist they are referring              
 paid for the advertisement in the yellow pages.  Many times                   
 patients would be referred to the wrong kind of dentist.                      
                                                                               
 The American Dental Society feels it is unethical for dentists to             
 receive compensation for referring to another dentist, a practice             
 that is called "fee splitting."                                               
                                                                               
 SENATOR SALO asked if that also held true for a dentist referring             
 a patient to an oral surgeon or an orthodontist.  He said that was            
 correct.                                                                      
                                                                               
 Number 127                                                                    
                                                                               
 SENATOR MILLER moved to pass HB 23 from committee with individual             
 recommendations.  There were no objections and it was so ordered.             
            HB 116 EXEMPT ASMI FROM PROCUREMENT CODE                          
                                                                              
 SENATOR KELLY announced CSHB 116(L&C) to be up for consideration.             
                                                                               
                                                                               
 AMY DOUGHERTY, Legislative Aide to Representative Austerman, said             
 HB 116 seeks relief for ASMI from the State Procurement Code,                 
 because it impedes their way of doing business by keeping them from           
 being more responsive in the marketing of state seafood.  The House           
 Labor and Commerce Committee decided to have the ASMI Board develop           
 their own procurement policies.                                               
                                                                               
 ART SHUNEMANN, Executive Director, Alaska Seafood Marketing                   
 Institute (ASMI), supported CSHB 116 (L&C).  He said they are a               
 seafood commodity commission funded through industry assessments.             
 The state procurement process they currently work under is designed           
 to manage the purchasing of traditional governmental services in              
 Alaska and is not compatible with marketing and business                      
 development type of work in the United States which is their target           
 market.                                                                       
                                                                               
 SENATOR KELLY asked what percentage of their budget is made up of             
 state funds.  MR. SHUNEMANN answered that it is currently $1.09               
 million of actual general fund money.  This is used to match                  
 federal dollars from the U.S. Department of Agriculture, Foreign              
 Agriculture Service, for their export program.                                
                                                                               
 SENATOR KELLY questioned a letter that was written on Governor                
 Hickel's stationery that wasn't signed or dated and instructed                
 staff to not accept unsigned and undated letters.                             
                                                                               
 SENATOR TORGERSON moved to pass CS HB 116(L&C) from committee with            
 individual recommendations.  There were no objections and it was so           
 ordered.                                                                      
 SENATOR KELLY adjourned the meeting at 1:52 p.m.                              
                                                                               

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