04/16/2014 09:00 AM Senate FINANCE

CS FOR HOUSE BILL NO. 263(HSS)                                                                                                
                                                                                                                                
     "An Act extending the Alaska senior benefits payment                                                                       
     program."                                                                                                                  
                                                                                                                                
9:26:06 AM                                                                                                                    
                                                                                                                                
Senator  Bishop  MOVED  to   ADOPT  the  proposed  committee                                                                    
substitute  for HB  263,  Work  Draft 28-LS1256\N  (Mischel,                                                                    
4/15/14) as a working document.                                                                                                 
                                                                                                                                
Vice-Chair   Fairclough   OBJECTED   for  the   purpose   of                                                                    
discussion.                                                                                                                     
                                                                                                                                
CHRISTINE MARASIGAN,  STAFF, SENATOR KEVIN  MEYER, explained                                                                    
that the CS simply changed the  date in Section 1, line 6 to                                                                    
2018, which gave the program a three-year sunset.                                                                               
                                                                                                                                
CECILE ELLIOT,  STAFF, SENATOR  MIKE HAWKER,  commented that                                                                    
the  sponsor  had  introduced  the  bill  in  the  hopes  of                                                                    
protecting the  program for six years.  However, she relayed                                                                    
that he appreciated the committee process and would defer.                                                                      
                                                                                                                                
9:27:46 AM                                                                                                                    
                                                                                                                                
Senator Dunleavy asked  about an increase to  the program in                                                                    
each of the following years.                                                                                                    
                                                                                                                                
RON  KREHER,   DIRECTOR,  DIVISION  OF   PUBLIC  ASSISTANCE,                                                                    
DEPARTMENT  OF HEALTH  AND SOCIAL  SERVICES, explained  that                                                                    
the fiscal  note was  driven by  projected increases  in the                                                                    
service population.                                                                                                             
Vice-Chair  Fairclough WITHDREW  her OBJECTION.  There being                                                                    
NO further OBJECTION, Work Draft  28-LS1256\N was ADOPTED as                                                                    
a working document.                                                                                                             
                                                                                                                                
Vice-Chair  Fairclough  asked  Mr.  Kreher  to  explain  the                                                                    
fiscal note.                                                                                                                    
                                                                                                                                
Mr.  Kreher  responded  that the  division  was  looking  at                                                                    
growth  in the  program  over time.  He  commented that  the                                                                    
aging population  of Alaska was  increasing. There  were six                                                                    
full-time  positions   dedicated  to  the  program   and  no                                                                    
additional  costs outside  of the  operating budget  for the                                                                    
extension. The  actual amount in  the grant line did  not go                                                                    
up at  the same  rate as the  projection in  population. The                                                                    
population projection  was propelled by the  three different                                                                    
funding levels.  The number of people  receiving benefits at                                                                    
the  highest  level, the  mid-level,  and  the lowest  level                                                                    
could fluctuate over time. The  program could not accurately                                                                    
project  at  what level  the  seniors  would come  into  the                                                                    
program. The projections  were a best estimate  based on the                                                                    
current circumstances within the senior population.                                                                             
                                                                                                                                
Senator  Bishop MOVED  to REPORT  SCS CSHB  263(FIN) out  of                                                                    
committee   with   individual    recommendations   and   the                                                                    
accompanying fiscal notes. There  being NO OBJECTION, it was                                                                    
so ordered.                                                                                                                     
                                                                                                                                
SCS CSHB 263(FIN)  was REPORTED out of committee  with a "do                                                                    
pass" recommendation and with  a previously published fiscal                                                                    
impact note: FN1(DHS).                                                                                                          
                                                                                                                                
9:30:21 AM                                                                                                                    
AT EASE                                                                                                                         
                                                                                                                                
9:32:29 AM                                                                                                                    
RECONVENED