04/08/2014 01:30 PM Senate LABOR & COMMERCE

           HB 141-WORKERS' COMPENSATION MEDICAL FEES                                                                        
                                                                                                                                
1:53:26 PM                                                                                                                    
CHAIR  DUNLEAVY   reconvened  the   meeting  and   announced  the                                                               
consideration  of HB  141. "An  Act setting  the fee  for medical                                                               
treatment  or  services performed  outside  the  state under  the                                                               
Alaska  Workers'  Compensation  Act,   requiring  a  provider  of                                                               
medical  treatment   or  services   under  the   Alaska  Workers'                                                               
Compensation Act  to submit  bills for  treatment or  services to                                                               
employers  within  180  days  after the  date  the  treatment  or                                                               
services are  rendered, and  limiting the  time for  appealing an                                                               
employer's denial  or reduction of  a bill; and providing  for an                                                               
effective date." This was the second hearing.                                                                                   
                                                                                                                                
1:53:38 PM                                                                                                                    
ANNA  LATHAM,  Staff,  Representative Kurt  Olson,  Alaska  State                                                               
Legislature, Juneau,  Alaska, explained  that HB  141 sets  a fee                                                               
schedule  for  worker's  compensation  claims  that  are  treated                                                               
outside the  state of Alaska  and establishes  billing timelines.                                                               
The statute  was amended last in  2011 with House Bill  13, which                                                               
extended the  usual, customary and  reasonable fee  schedule that                                                               
Alaska  uses   for  worker's   compensation  billing.   That  was                                                               
reflective of  the geographic area  where services  were rendered                                                               
and set at  the 90th percentile. What that bill  failed to do was                                                               
to set parameters for where Alaska's fee schedule could be used.                                                                
                                                                                                                                
MS.   LATHAM  said   that  Alaska   has   the  highest   worker's                                                               
compensation premium  rates in  the nation,  and the  sponsor has                                                               
found  that  worker's  compensation  claimants  who  are  treated                                                               
outside  the state  are being  billed at  Washington, Oregon,  or                                                               
California  rates  and   then  they  could  be   billed  for  the                                                               
difference between Alaska's  higher rate and the  rate where they                                                               
were treated.  HB 141 would  fix this by clarifying  that medical                                                               
services treated  in Alaska would  be charged using  Alaska's UCR                                                               
fee schedule,  whereas medical services  treated in  other states                                                               
could not  exceed the  charges set  by the  worker's compensation                                                               
statutes in the state where the services are rendered.                                                                          
                                                                                                                                
MS.  LATHAM responded  to a  question and  affirmed that  the fee                                                               
schedule remains  the same in  the state of Alaska,  but services                                                               
rendered outside  the state would be  billed at the rates  in the                                                               
jurisdiction  in which  the  worker's  compensation claimant  was                                                               
treated.                                                                                                                        
                                                                                                                                
1:55:50 PM                                                                                                                    
MICHAEL  MONAGLE, Director,  Division  of Workers'  Compensation,                                                               
Department of  Labor and Workforce  Development (DOLWD),  said he                                                               
had no additional comments on HB 141.                                                                                           
                                                                                                                                
1:56:22 PM                                                                                                                    
WARD HURLBURT,  Chief Medical Officer,  Department of  Health and                                                               
Social Services  (DHSS), offered  to answer questions  related to                                                               
HB 141.                                                                                                                         
                                                                                                                                
1:56:48 PM                                                                                                                    
VINCE   O'SHEA,  Vice   President,  Pacific   Seafood  Processors                                                               
Association, said  he testified  during the previous  hearing and                                                               
had no additional comments.                                                                                                     
                                                                                                                                
CHAIR DUNLEAVY closed public testimony.                                                                                         
                                                                                                                                
SENATOR  MICCICHE  expressed  appreciation  to  the  sponsor  for                                                               
introducing the bill. He noted  that it was discussed extensively                                                               
during the previous hearing.                                                                                                    
                                                                                                                                
1:57:43 PM                                                                                                                    
SENATOR  MICCICHE moved  to  report HB  141  from committee  with                                                               
individual recommendations and attached fiscal note(s).                                                                         
                                                                                                                                
CHAIR  DUNLEAVY announced  that  without objection  HB 141  moved                                                               
from the Senate Labor & Commerce Standing Committee.