Legislature(2025 - 2026)ADAMS 519

04/29/2025 10:00 AM House FINANCE

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Audio Topic
10:06:02 AM Start
10:06:57 AM Overview: Governor's Amendments by the Office of Management and Budget
10:24:23 AM HB14
10:32:15 AM HB123
11:15:30 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Please Note Time Change --
+ HB 14 REPEAL CATASTROPHIC ILLNESS/MED ASSIST TELECONFERENCED
Moved HB 14 Out of Committee
+= HB 123 TAXATION: VEHICLE RENTALS, SUBPOENAS TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
Overview: Governor's Amendments by Lacey Sanders,
Director, Office of Management and Budget
HOUSE BILL NO. 14                                                                                                             
                                                                                                                                
     "An Act repealing programs for catastrophic illness                                                                        
     assistance and medical assistance for chronic and                                                                          
     acute medical conditions."                                                                                                 
                                                                                                                                
10:24:23 AM                                                                                                                   
                                                                                                                                
Co-Chair  Foster asked  the bill  sponsor  to introduce  the                                                                    
bill.                                                                                                                           
                                                                                                                                
10:25:16 AM                                                                                                                   
                                                                                                                                
REPRESENTATIVE  WILL STAPP,  SPONSOR, noted  that a  similar                                                                    
bill  had passed  out of  the committee  and had  passed the                                                                    
house nearly  unanimously in the previous  year. He reminded                                                                    
the  committee  that  in  the  prior  year  the  legislature                                                                    
defunded  the  Catastrophic  Illness and  Chronic  or  Acute                                                                    
Medical Conditions  (CAMA) program  because no  Alaskans had                                                                    
applied  for the  program for  many years.  He cited  the FY                                                                    
2025  Midyear  Status  Report  by  the  Legislative  Finance                                                                    
Division for  the Department of  Health (DOH)  that assessed                                                                    
how  the  departments  were  executing  the  current  year's                                                                    
budget directives. He delineated  that the question directed                                                                    
to  the  department  was whether  DOH  had  encountered  any                                                                    
issues  related   to  defunding  the  program.   The  agency                                                                    
responded that  it had not  encountered issues  nor received                                                                    
any  applications  for  assistance.   He  related  that  the                                                                    
program began in  1986 and was designed to bridge  a gap for                                                                    
individuals who  experienced a  catastrophic event  and were                                                                    
too young  or could not  qualify for Medicare  and Medicaid.                                                                    
Medicaid  expansion  and  other  public  assistance  program                                                                    
changes since  1986 rendered CAMA null  and void. Currently,                                                                    
Alaskans would likely "have better  options on the federally                                                                    
facilitated marketplace"  than under the CAMA  program, thus                                                                    
the  reason no  Alaskans qualified  for the  program in  the                                                                    
prior 3 years.                                                                                                                  
                                                                                                                                
10:27:30 AM                                                                                                                   
                                                                                                                                
Co-Chair Foster asked for a review of the fiscal note.                                                                          
                                                                                                                                
DEB  ETHERIDGE,  DIRECTOR,  DIVISION OF  PUBLIC  ASSISTANCE,                                                                    
DEPARTMENT  OF  HEALTH  (via teleconference),  reviewed  the                                                                    
published zero  fiscal note for  DOH (FN1(DOH)  allocated to                                                                    
Public Assistance  Field Services. She read  the analysis on                                                                    
page 2 of the fiscal note as follows:                                                                                           
                                                                                                                                
     Since  the  implementation  of the  Medicaid  Expansion                                                                    
     Group  in  2015,  most   individuals  now  qualify  for                                                                    
     Modified   Adjusted  Gross   Income  (MAGI)   Medicaid,                                                                    
     eliminating the need for the  Chronic and Acute Medical                                                                    
     Assistance (CAMA)  program. Currently, no one  is using                                                                    
     the  service,  as  its only  eligible  populationlegal                                                                     
     immigrants  who  do not  meet  the  five-year residency                                                                    
     requirement   for   Medicaidcan    access   alternative                                                                    
     options through the  federally facilitated marketplace.                                                                    
     The  Division can  integrate the  regulatory repeal  of                                                                    
     CAMA  into  regular  updates  with  minimal  impact  on                                                                    
     public assistance field services.                                                                                          
                                                                                                                                
Co-Chair  Foster asked  what  happened to  the  bill in  the                                                                    
prior year. Representative Stapp  answered that the bill had                                                                    
made  it to  the Senate  Finance Committee  in the  previous                                                                    
year and  ran out of time.  The committee had not  heard the                                                                    
bill.  However, the  deletion of  the program's  funding was                                                                    
maintained    in  the budget.  He  thought  the  legislature                                                                    
should pass the bill and carry on.                                                                                              
                                                                                                                                
Representative Hannan stated the  fiscal note showed that it                                                                    
cost nothing to  cut the program. She asked if  it saved any                                                                    
funding  to cut  the program.  Ms. Etheridge  responded that                                                                    
there  had   been  a  limited  number   of  individuals  who                                                                    
inadvertently applied for the  program; nine had applied and                                                                    
were ineligible.  The fiscal note reflected  the very little                                                                    
change  in the  division's work.  The program's  elimination                                                                    
did not save or cost any money.                                                                                                 
                                                                                                                                
Co-Chair  Foster  asked  for   the  will  of  the  committee                                                                    
regarding moving the bill out of committee.                                                                                     
                                                                                                                                
Representative  Jimmie   MOVED  to  REPORT  HB   14  out  of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal note.                                                                                                       
                                                                                                                                
There being NO OBJECTION, it was so ordered.                                                                                    
                                                                                                                                
HB  14 was  REPORTED out  of committee  with nine  "do pass"                                                                    
recommendations and two  "no recommendation" recommendations                                                                    
and  with one  previously  published zero  fiscal note:  FN1                                                                    
(DOH).                                                                                                                          
                                                                                                                                
Representative Stapp thanked the committee.                                                                                     
                                                                                                                                

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