Legislature(2023 - 2024)BARNES 124

03/25/2024 03:15 PM House LABOR & COMMERCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
*+ HB 313 PUBLIC UTILITY REGULATORY COST CHARGE TELECONFERENCED
Heard & Held
*+ HB 324 INS. DATA SECURITY; INFO. SECURITY PRGRMS TELECONFERENCED
Heard & Held
+= HB 55 EXTEND WORKFORCE INVEST BOARD ALLOCATIONS TELECONFERENCED
Heard & Held
+ Bills Previously Heard/Scheduled TELECONFERENCED
+= HB 226 PHARMACIES/PHARMACISTS/BENEFITS MANAGERS TELECONFERENCED
Heard & Held
-- Public Testimony --
+= HB 218 FIREFIGHTER WORKERS COMP REQUIREMENTS TELECONFERENCED
Moved CSHB 218(L&C) Out of Committee
          HB 218-FIREFIGHTER WORKERS COMP REQUIREMENTS                                                                      
                                                                                                                                
3:18:11 PM                                                                                                                    
                                                                                                                                
CHAIR SUMNER announced that the first order of business would be                                                                
HOUSE BILL NO. 218, "An Act relating to coverage for disability                                                                 
from  diseases for  certain firefighters;  and  providing for  an                                                               
effective date."                                                                                                                
                                                                                                                                
3:18:38 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FIELDS moved  to  adopt Amendment  1  to HB  218,                                                               
labeled 33-LS0709\B.2, Marx, 3/25/24, which read:                                                                               
                                                                                                                                
     Page 2, line 9:                                                                                                            
          Delete "three"                                                                                                        
          Insert "six [THREE]"                                                                                              
                                                                                                                                
     Page 2, line 10:                                                                                                           
          Delete "60"                                                                                                           
     Insert "84 [60]"                                                                                                       
                                                                                                                                
REPRESENTATIVE PRAX objected.                                                                                                   
                                                                                                                                
REPRESENTATIVE FIELDS  explained that Amendment 1  would lengthen                                                               
the  period  of time  post-employment  that  firefighters can  be                                                               
covered by workers  compensation from five years  to seven years.                                                               
The current system  of covering a firefighter for  a period post-                                                               
employment  would be  maintained, he  further explained,  but the                                                               
amendment would  push the timeline  out from three months  to six                                                               
months per year  of employment.  He said Amendment  1 is based on                                                               
feedback received from the  Alaska State Firefighters Association                                                               
(ASFA) during a previous legislative session.                                                                                   
                                                                                                                                
3:19:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  PRAX expressed  his  concern  that the  committee                                                               
hasn't  heard whether  workers' compensation  insurance providers                                                               
can handle the increased risk at  the premiums to be charged.  He                                                               
advised  that  if  the local  statewide  company  which  provides                                                               
workers'  compensation  coverage  is   unable  to  determine  the                                                               
actuarial risk or decides it is  so high that it must discontinue                                                               
offering  policies to  fire companies,  then the  companies would                                                               
get kicked into the assigned risk  pool and the premiums would go                                                               
way up.   He  urged that  before deciding  on the  amendment, the                                                               
committee learn how it would affect premiums.                                                                                   
                                                                                                                                
CHAIR SUMNER, in response to  Representative Fields, informed the                                                               
committee that there is no one online to address HB 218.                                                                        
                                                                                                                                
REPRESENTATIVE SADDLER requested  that he be able  to present the                                                               
answers  to  the  questions  asked  during  the  bill's  previous                                                               
hearing before engaging on the language of Amendment 1.                                                                         
                                                                                                                                
3:21:37 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS  withdrew Amendment 1 so  the answers could                                                               
be heard.                                                                                                                       
                                                                                                                                
REPRESENTATIVE SADDLER  addressed the  question about  the bill's                                                               
intention  in distinguishing  between  hiring and  certification.                                                               
He answered that a person can  be hired and work as a firefighter                                                               
pulling hoses,  driving trucks,  directing traffic,  opening fire                                                               
hydrants, and  so forth, but before  someone can wear a  pack and                                                               
enter a burning building they  are required to have Firefighter 1                                                               
certification from  the Alaska  Fire Standards  Council.   It can                                                               
take months  or possibly years between  hiring and certification,                                                               
he  explained, so  the  goal was  to have  exams  at both  areas.                                                               
Regarding the  question about the  time between hiring  and being                                                               
certified, he answered that it  is not uncommon for a firefighter                                                               
to  be hired  at  a  department and  become  certified months  or                                                               
perhaps years later.  Regarding  the question about the effect on                                                               
the risk  pool of this coverage,  Representative Saddler answered                                                               
that this question  was raised in 2022  when then-Senator Holland                                                               
added breast  cancer to the  list of presumed diseases  for which                                                               
service as a firefighter was a  presumed cause.  He related that,                                                               
at  that time,  the Division  of  Insurance and  the Division  of                                                               
Workers' Compensation  testified, and  the Department of  Labor &                                                               
Workforce  Development concurred,  that there  was no  indication                                                               
the  bill would  increase  the  risk or  the  cost.   He  further                                                               
related  that  the  National  Council  of  Compensation  Insurers                                                               
(NCCI) has advised him that any  change to the cost or risk would                                                               
be incalculable due  to how little this provision  would be used.                                                               
So,  he  continued, the  answer  is  that  he doesn't  think  the                                                               
departments would be exposed to huge risk.                                                                                      
                                                                                                                                
3:24:09 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS again moved to adopt Amendment 1.                                                                         
                                                                                                                                
REPRESENTATIVE SADDLER  objected, but  qualified it  isn't really                                                               
an objection.   He stated he doesn't have a  problem with page 1,                                                               
lines 1-5,  of Amendment  1, which  would extend  the presumption                                                               
past a  firefighter's retirement from  the current statute  of 60                                                               
months/five years to  84 months/seven years.  He  shared that the                                                               
director of  the Division of Workers'  Compensation has indicated                                                               
his support  of this extension  as well.   Representative Saddler                                                               
then  argued   that  lines   1-[4]  of   Amendment  1   would  be                                                               
accomplished in  the first section  of Amendment  2.  He  said he                                                               
intends to look  favorably upon the first section  of Amendment 2                                                               
and offered  Conceptual Amendment 1  to Amendment 1,  which would                                                               
delete lines 1-4 of the Amendment 1.                                                                                            
                                                                                                                                
3:25:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE objected to  Conceptual Amendment 1.  He                                                               
said the  first part of Amendment  1 would affect page  2, line 9                                                               
of the  bill, while the first  part of Amendment 2,  would affect                                                               
page 2, line 14 of the bill, and they are different.                                                                            
                                                                                                                                
REPRESENTATIVE  SADDLER concurred.   He  said the  first part  of                                                               
Amendment 1  offered by Representative Fields  would increase the                                                               
factor by 100  percent, so instead of three months  for each year                                                               
of service,  it would be  six months  for every year  of service.                                                               
He surmised that  this would be a doubling of  the length of time                                                               
beyond which a retired firefighter could enjoy this presumption.                                                                
                                                                                                                                
3:26:38 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 3:26 p.m. to 3:28 p.m.                                                                       
                                                                                                                                
3:28:26 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS,  regarding going from three  months to six                                                               
months  per  year  of service,  stated  that  firefighters  would                                                               
continue to  accrue additional benefits, until  with the prospect                                                               
of adoption  of Amendment  2, which  would set  it at  84 months,                                                               
would be 14 years of service versus the status quo of 20.                                                                       
                                                                                                                                
3:28:57 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE noted that  Conceptual Amendment 1 would                                                               
delete the language  in Amendment 1 that proposes  to alter three                                                               
months of  accrued possible disability  to six months  of accrued                                                               
possible  disability for  every year  of requisite  service.   He                                                               
further  noted that  Amendment 1  would also  increase the  total                                                               
number of  calendar months following  the last day  of employment                                                               
[from 60] to  84.  Under current statute, he  said, an individual                                                               
must work  for 20 years to  be capped out at  60 calendar months.                                                               
He  interpreted Amendment  1 as  saying that  an individual  must                                                               
work for 14  years to cap out  at the 84 months.   If [Conceptual                                                               
Amendment 1 to Amendment 1 is  adopted], he continued, but the 84                                                               
months is kept, an individual will  have to work for well over 30                                                               
years  to  cap  out.   He  said  he  is  not in  support  of  the                                                               
conceptual amendment  because it would  extend that time  for way                                                               
too long.                                                                                                                       
                                                                                                                                
CHAIR SUMNER estimated it would be slightly under 30 years.                                                                     
                                                                                                                                
REPRESENTATIVE FIELDS said it would be 28 [years].                                                                              
                                                                                                                                
REPRESENTATIVE RUFFRIDGE thanked  Chair Sumner and Representative                                                               
Fields.                                                                                                                         
                                                                                                                                
3:30:50 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SADDLER  stated  he misread  the  provisions  and                                                               
agreed  that extending  the period  to [nearly]  30 years  is too                                                               
much.  He further stated that  is okay with the second section of                                                               
Amendment 1 that  would change 60 to 84.   He withdrew Conceptual                                                               
Amendment 1  to Amendment 1.   He said  his preference is  to not                                                               
accept Amendment  1 and instead  make modification  to [Amendment                                                               
2] to accomplish the provision of changing 60 to 84.                                                                            
                                                                                                                                
3:31:40 PM                                                                                                                    
                                                                                                                                
A roll call vote was  taken.  Representatives Ruffridge, Carrick,                                                               
and Fields voted in favor  of Amendment 1.  Representatives Prax,                                                               
Saddler,  Wright,  and  Sumner  voted  against  it.    Therefore,                                                               
Amendment 1 failed by a vote of 3-4.                                                                                            
                                                                                                                                
3:32:14 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE  moved to adopt  Amendment 2 to  HB 218,                                                               
labeled 33-LS0709\B.1, Marx, 3/6/24, which read:                                                                                
                                                                                                                                
     Page 2, line 14:                                                                                                           
          Delete "three"                                                                                                    
          Insert "six"                                                                                                      
                                                                                                                                
     Page 2, lines 15 - 25:                                                                                                     
          Delete all material and insert:                                                                                       
               "(A)  underwent [WAS GIVEN] a qualifying                                                                     
     medical examination                                                                                                        
               (i)  upon the first employment as [BECOMING]                                                             
        a firefighter that did not show evidence of the                                                                         
     disease;                                                                                                                   
               (ii)  at least once every two years [(B) WAS                                                                 
       GIVEN AN ANNUAL MEDICAL EXAM] during [EACH OF] the                                                                       
     first six [SEVEN] years of employment as a firefighter                                                             
     that did not show evidence of the disease; and"                                                                            
                                                                                                                                
     Page 2, line 30, following "cancer":                                                                                       
          Insert ";                                                                                                         
     (4)   the  requirements  of (3)(A)  of this  subsection                                                                
     apply  only if  the  firefighter's  employer makes  the                                                                
     applicable qualifying medical  examination available to                                                                
     the firefighter"                                                                                                       
                                                                                                                                
REPRESENTATIVE SADDLER objected.                                                                                                
                                                                                                                                
REPRESENTATIVE   RUFFRIDGE  reviewed   the  three   parts  within                                                               
Amendment  2.   He noted  that  page 2,  lines 12-14  of HB  218,                                                               
propose to change  [the current statute of] seven  years to three                                                               
years.   The  first part  of Amendment  2, he  said, proposes  to                                                               
change three  years to  six.  The  rationale for  the amendment's                                                               
change, he explained,  is that some of these diseases  can take a                                                               
significant  amount  of time  to  manifest  themselves, so  three                                                               
years seems to be a short  window, seven years seems a little too                                                               
long, and six years seems more appropriate.                                                                                     
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE   stated  that   the  second   part  of                                                               
Amendment 2  proposes to delete  all material from page  2, lines                                                               
15-25  of HB  218,  thereby  getting rid  of  the language  [that                                                               
distinguishes   between  a   firefighter   being   hired  and   a                                                               
firefighter becoming  certified].  He said  this second provision                                                               
also proposes  that a medical exam  be given every two  years for                                                               
the first six years of  employment instead of annually during the                                                               
first seven  years.  This  ensures, he explained, that  a disease                                                               
doesn't creep  up without  notice and can  be treated  early, and                                                               
this  language  matches  up  with the  language  proposed  to  be                                                               
inserted on page 2, line. 14.                                                                                                   
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE  explained  that   the  third  part  of                                                               
Amendment 2  would add  a new section  on page 2,  line 30  of HB
218.   He allowed that  adding this provision could  be debatable                                                               
given  that   many  of   Alaska's  institutions   are  volunteer.                                                               
However, he continued, these  qualifying medical examinations are                                                               
very expensive  and probably should  be a part of  the employment                                                               
process, so reducing it to every  two years might fit easier into                                                               
a budget than every year.                                                                                                       
                                                                                                                                
3:35:41 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER stated  that he can accept  the first part                                                               
of Amendment  2 because it  accomplishes the bill's  general goal                                                               
to lower  the onus of  obtaining workers'  compensation insurance                                                               
for firefighter  cancers.  He  further stated that he  can accept                                                               
the second  part of Amendment  2 because it advances  the overall                                                               
goal of the bill, even though  it isn't the exact schedule he had                                                               
originally  presumed and  worked  with the  fire  chiefs to  say.                                                               
However,  he  continued, he  is  opposed  to  the third  part  of                                                               
Amendment  2  because it  conditions  the  periodic medical  exam                                                               
required  on  whether  the  employer  pays for  it,  and  if  the                                                               
employer  doesn't  pay  for  the  exam  then  the  periodic  exam                                                               
requirement goes  away and does not  apply.  He pointed  out that                                                               
someone who had cancer before  being hired as a firefighter would                                                               
not have that cancer established  as a baseline if the department                                                               
didn't pay for medical exams,  thereby exposing the department to                                                               
the risk  of future  workers' compensation  claims from  a cancer                                                               
that could have been detected  had the department paid for exams.                                                               
This  third  part of  Amendment  2,  he argued,  contravenes  the                                                               
purpose  of the  underlying  statute and  HB  218 by  potentially                                                               
increasing costs to fire departments.                                                                                           
                                                                                                                                
3:37:44 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FIELDS  asked whether  Representatives  Ruffridge                                                               
and  Saddler want  him to  offer  a conceptual  amendment to  add                                                               
lines 5-7 of Amendment 1 into Amendment 2.                                                                                      
                                                                                                                                
REPRESENTATIVE SADDLER said that would not be his preference.                                                                   
                                                                                                                                
3:38:32 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER moved to adopt  Amendment 1 to Amendment 2                                                               
to delete lines 16-20 on page 1  of Amendment 2.  The language to                                                               
do this,  he explained,  is written in  Amendment 3,  labeled 33-                                                               
LS0709\B.3, Marx, 3/25/24, and which reads:                                                                                     
                                                                                                                                
     Page 1, lines 16 - 20 of the amendment:                                                                                    
     Delete all material.                                                                                                       
                                                                                                                                
REPRESENTATIVE RUFFRIDGE objected to Amendment 1 to Amendment 2.                                                                
                                                                                                                                
REPRESENTATIVE  SADDLER   stated  that  parts  one   and  two  of                                                               
Amendment 2  comport with  the intent  of the  underlying statute                                                               
and with HB 218, but part three  of Amendment 2 does not.  So, he                                                               
continued, he would like part three excised from Amendment 2.                                                                   
                                                                                                                                
3:39:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CARRICK asked whether  there are employers that do                                                               
not currently  offer applicable qualifying  medical examinations,                                                               
and whether the  [other] language in Amendment  2 would establish                                                               
requirements  that  employers  were  capable  of  meeting.    She                                                               
further asked about the sponsor's intent in this section.                                                                       
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE replied  that, based  on his  research,                                                               
this language  is variable  throughout the  multiple firefighting                                                               
apparatuses and groups across Alaska.   He allowed that volunteer                                                               
firefighting  groups struggle  to offer  these expensive  medical                                                               
examinations.    He recalled  that  testimony  during the  bill's                                                               
initial  iteration  indicated that  moving  the  timeframe for  a                                                               
medical exam  by up  to five  years would  help offset  the cost,                                                               
which could be  up to $1,800 according to his  research.  He said                                                               
many  employers do  make  these  qualifying medical  examinations                                                               
available and  offering them is  probably a standard  that should                                                               
be upheld, although it can be a cost barrier to some.                                                                           
                                                                                                                                
3:41:48 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER reiterated that  part three of Amendment 2                                                               
would  condition  the  periodic   medical  exam  on  whether  the                                                               
department pays the cost of the  exam, and he doesn't think there                                                               
is any requirement  for an individual to  get those examinations.                                                               
Without the exams, he said, a  firefighter may have a harder time                                                               
proving  that any  cancer  which developed  later  was caused  by                                                               
their  service  as a  firefighter.    It  is a  disincentive,  he                                                               
argued, for departments to provide  those periodic medical exams,                                                               
so it is contradictory to the intent of the bill and the law.                                                                   
                                                                                                                                
3:42:35 PM                                                                                                                    
                                                                                                                                
A roll  call vote  was taken.   Representatives  Saddler, Wright,                                                               
Carrick, and  Sumner voted in  favor of Amendment 1  to Amendment                                                               
2.   Representatives  Prax, Ruffridge,  and Fields  voted against                                                               
it.  Therefore, Amendment 1 to  Amendment 2 was adopted by a vote                                                               
of 4-3.                                                                                                                         
                                                                                                                                
CHAIR SUMNER  said there  is still objection  to Amendment  2, as                                                               
amended.                                                                                                                        
                                                                                                                                
3:43:37 PM                                                                                                                    
                                                                                                                                
A roll  call vote  was taken.   Representatives  Carrick, Fields,                                                               
Prax, Ruffridge,  Saddler, Wright, and  Sumner voted in  favor of                                                               
Amendment 2,  as amended.   Therefore,  Amendment 2,  as amended,                                                               
was adopted by a vote of 7-0.                                                                                                   
                                                                                                                                
3:44:17 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE RUFFRIDGE moved to report  HB 218, as amended, out                                                               
of   committee   with    individual   recommendations   and   the                                                               
accompanying zero  fiscal note.   There being no  objection, CSHB
218(L&C) was reported from the  House Labor and Commerce Standing                                                               
Committee.                                                                                                                      
                                                                                                                                

Document Name Date/Time Subjects
HB313 PowerPoint Presentation for HL&C.pdf HL&C 3/25/2024 3:15:00 PM
HB 313
HB313 ver. A.pdf HL&C 3/25/2024 3:15:00 PM
HB 313
HB313 Transmittal Letter.pdf HL&C 3/25/2024 3:15:00 PM
HB 313
HB313 Sectional Analysis ver. A.pdf HL&C 3/25/2024 3:15:00 PM
HB 313
HB313 Fiscal Note DCCED-RCA.pdf HL&C 3/25/2024 3:15:00 PM
HB 313
HB 324-Sponsor Statement.pdf HL&C 3/25/2024 3:15:00 PM
HB 324
HB 324 Sectional Analysis.pdf HL&C 3/25/2024 3:15:00 PM
HB 324
HB 324 Supporting Documents-State Map.pdf HL&C 3/25/2024 3:15:00 PM
HB 324
HB233 Support Letter - Chair of Automative and Diesel Tech UAA.pdf HL&C 3/25/2024 3:15:00 PM
HB 233
UA TVEP_HLC Committee_3-25-24.pdf HL&C 3/25/2024 3:15:00 PM
HB 55
2024 UA TVEP Reauthorization Report.pdf HL&C 3/25/2024 3:15:00 PM
HB 55
FY23 AWIB Technical and Vocational Report.pdf HL&C 3/25/2024 3:15:00 PM
HB 55
AWIB Resolution Supporting Reauthorization of TVEP-docx.pdf HL&C 3/25/2024 3:15:00 PM
HB 55
B.pdf HL&C 3/25/2024 3:15:00 PM
HB 324
Summary of Changes HB 324 – Bill Ver A to B.pdf HL&C 3/25/2024 3:15:00 PM
HB 324
20240325 AK HB 226 COA support.pdf HL&C 3/25/2024 3:15:00 PM
HB 226
HB218 Amendments.pdf HL&C 3/25/2024 3:15:00 PM
HB 218