Legislature(2015 - 2016)BUTROVICH 205
01/27/2016 01:30 PM Senate HEALTH & SOCIAL SERVICES
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| Audio | Topic |
|---|---|
| Start | |
| SB98 | |
| HB8 | |
| HB76 | |
| SB145 | |
| SB147 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| = | SB 145 | ||
| += | SB 147 | TELECONFERENCED | |
| += | HB 8 | TELECONFERENCED | |
| += | SB 98 | TELECONFERENCED | |
| += | HB 76 | TELECONFERENCED | |
SB 145-DAY CARE ASSISTANCE & CHILD CARE GRANTS
1:53:17 PM
CHAIR STEDMAN announced the consideration of SB 145. He noted it
is the first hearing on the bill and is sponsored by the Office
of the Governor.
SEAN O'BRIEN, Director, Division of Public Assistance (DPA),
Department of Health and Social Services (DHSS), presented
information on SB 145. He related that the Child Care Program
Office administers the federal Child Care Development Program,
which provides child care funding for qualified low income
individuals. It offers temporary assistance programs to support
those individuals so they can return to work. He explained that
SB 145 would allow for the collection of overpayments and the
garnishment of PFDs when necessary. There is currently no
garnish option, only voluntary repayment.
MR. O'BRIEN stated that the bill addresses four aspects: it
supports the compliance with the Child Care Development Program
to recover improper or fraudulent payments and addresses a gap
in DPA's authority to refute those payments, it provides
consistency of collection and practices within DPA programs
streamlining the collection process and releasing an amount of
staff time in collection attempts, it enables an alternative
source of recruitment when the recipient does not voluntarily
repay the overpayment, and it allows the division to leverage an
estimated $500,000 in the future to help cover the cost of this
effort.
1:56:28 PM
MR. O'BRIEN reported that Section 1 of the bill contains the
statutes that would allow the division to move forward. He said
the bill provides for a long-needed change. He noted an attached
zero fiscal note.
1:57:00 PM
SENATOR STOLTZE asked how far the reach back to recover funds
goes.
MR. O'BRIEN said the effectual date of the bill is July 1, 2016.
SENATOR STOLTZE asked if the bill reaches back to FY 15.
MR. O'BRIEN deferred to Ms. Kraly to answer.
1:58:45 PM
STACIE KRALY, Assistant Attorney General, Human Services
Section, Department of Law, answered questions related to SB
145. She said the effective date is July 1, 2016, which allows
the Division to garnish the 2016 PFD and also collect past
debts.
SENATOR STOLTZE asked if collected funds go back to the general
fund.
MR. O'BRIEN explained that the monies collected would go back
into the federal fund account.
2:00:41 PM
JANICE BRADEN, Program Manager; Child Care Program Office,
Division of Public Assistance (DPA), Department of Health and
Social Services (DHSS), answered questions related to SB 145.
She agreed that all collected funds would be returned to the
federal account.
SENATOR STOLTZE asked for the method of appropriation.
MS. BRADEN offered to get back to the committee on that.
2:02:08 PM
SENATOR GIESSEL referred to page 2, line 2, of the bill and
inquired how far back the recovery process could go.
MR. O'BRIEN understood that the program would have a one-year
look back period from July 1, 2016.
CHAIR STEDMAN requested more information about the amount of
unpaid monies looking back.
SENATOR STOLTZE asked whether a federal audit initiated the
bill.
2:04:15 PM
MS. BRADEN explained that the Child Care Assistance Program is
funded through the Child Care and Development Fund and has a
requirement to recoup improper or fraudulent payments. There are
regulations in place that support that policy. Currently, there
is no ability for anything but a voluntary repayment.
SENATOR STOLTZE asked what caused the overpayments.
CHAIR STEDMAN requested that the division provide that
information at a later date.
2:06:15 PM
SENATOR ELLIS provided a brief history of the program under
Governor Wally Hickel. He shared a story about Governor Hickel's
plan to get rid of day care assistance and child care grants.
The legislature informed Governor Hickel that the monies were
primarily federal funded. Senator Ellis described a button he
made that said "Day Care Prevents Welfare," which was noticed by
Mrs. Hickel who then influenced the Governor's decision to
continue to accept federal funding for day care assistance and
child care.
2:07:57 PM
CHAIR STEDMAN opened public hearing, and seeing no testifiers,
closed public hearing.
CHAIR STEDMAN held SB 145 in committee.
MR. O'BRIEN offered to provide the requested information to the
committee at the next hearing.