04/07/1995 09:15 AM Senate HES

       HB 124 ABOLISH BD OF NURSING HOME ADMINISTRATORS                      
                                                                               
 Number 289                                                                    
                                                                               
 CHAIRMAN GREEN announced  HB 124  as the next order of business               
 before the committee.                                                         
                                                                               
 BENJAMIN BROWN, staff to Representative Toohey, explained that                
 HB 124 would transfer the regulation of nursing home administrators           
 to the Department of Commerce and Economic Development and abolish            
 the Board of Nursing Home Administrators.  He noted that the Board            
 of Nursing Home Administrators would sunset at the end of this                
 fiscal year.  HB 124 would also clarify the conditions under which            
 a nursing home administrator's license may be denied and provide              
 for an effective date.  He pointed out that HB 124 was requested by           
 the Alaska Hospital and Nursing Home Administration who did not               
 want the board conducting licensing and regulation of those                   
 administrators.  There was also a legislative audit which                     
 recommended the elimination of the board as well.  He informed the            
 committee that approximately $7,000 would be saved with the                   
 elimination of the board due to the elimination of travel costs.              
 He stated that the Division of Occupational Licensing is ready to             
 undertake this responsibility; they have staffed the board for a              
 number of years.  He pointed out that Medicaid funds of $167                  
 million would be put in risk if HB 124 does not pass.                         
                                                                               
 SENATOR LEMAN inquired as to the number of nursing home                       
 administrators in Alaska.  BENJAMIN BROWN said that there are                 
 currently 86 nursing home administrators in Alaska.                           
                                                                               
 SENATOR LEMAN noted that legislative policy had been established in           
 which occupational licenses would pay for themselves through fees.            
 He assumed that there would be some cost to administer for which              
 fees would be set up to recover that cost.  BENJAMIN BROWN                    
 explained that the fiscal note illustrates that the amount                    
 collected varies from $19,000 in one year to $2,000 the next year;            
 that is because they are biannual licenses.  Mr. Brown informed the           
 committee that the law to which Senator Leman referred was already            
 in effect.  The division already collects licensing fees to pay for           
 the board.  Perhaps, the licensing fees could be lowered once the             
 board's travel expenses are eliminated.                                       
                                                                               
 BARBARA GABIER, Program Coordinator of the Division of Occupational           
 Licensing, explained that the fees are reviewed annually and                  
 adjustments are made accordingly.  In this case, the cost would be            
 decreasing due to the elimination of the travel costs.  She                   
 reiterated that the Department of Commerce is prepared to take over           
 this licensing program.                                                       
                                                                               
 SENATOR LEMAN moved that CS HB 124 (FIN) be reported out of                   
 committee with individual recommendations and the accompanying                
 fiscal notes.  Hearing no objection, it was so ordered.