Legislature(2023 - 2024)ADAMS 519

05/01/2023 10:00 AM House FINANCE

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Audio Topic
10:07:58 AM Start
10:08:49 AM SB57
10:23:44 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= SB 57 ADULT HOME CARE; MED ASSISTANCE TELECONFERENCED
Moved HSC CSSB 57(FIN) Out of Committee
+ Bills Previously Heard/Scheduled TELECONFERENCED
SENATE BILL NO. 57                                                                                                            
                                                                                                                                
     "An  Act relating  to medical  assistance for  recipients                                                                  
     of  Medicaid waivers;  establishing  an  adult care  home                                                                  
     license  and  procedures;  providing for  the  transition                                                                  
     of  individuals  from  foster  care to  adult  home  care                                                                  
     settings; and providing for an effective date."                                                                            
                                                                                                                                
10:08:49 AM                                                                                                                   
                                                                                                                                
Co-Chair  Foster  invited  a  motion  to  adopt  the  proposed                                                                  
committee substitute.                                                                                                           
                                                                                                                                
Co-Chair Johnson  MOVED to ADOPT proposed committee substitute                                                                  
for SB 57, Work Draft 33-GS1708\U (Dunmire, 4/28/23).                                                                           
                                                                                                                                
Co-Chair Foster OBJECTED for the purpose of discussion.                                                                         
                                                                                                                                
10:09:37 AM                                                                                                                   
                                                                                                                                
BRODIE  ANDERSON,  STAFF,  REPRESENTATIVE   FOSTER,  explained                                                                  
the  changes in  the CS,  which were  requested  on behalf  of                                                                  
the Department  of Health and  were technical in nature.  Each                                                                  
of the  changes related  to home  and community-based  service                                                                  
[Section 1  of SB 57]. Previously,  four subsections  had been                                                                  
deleted   from  SB  57   by  the  Department   of  Health   in                                                                  
collaboration  with  the  original  sponsor  of the  home  and                                                                  
community-based  service bill  [SB 106,  sponsored by  Senator                                                                  
Cathy  Giessel]. The  reason  for the  deletion  was that  the                                                                  
Centers  for   Medicare  and   Medicaid  Services   (CMS)  had                                                                  
indicated  that the legislature  did not  need the  permission                                                                  
of CMS  to implement Section  1 of the  bill. If the  language                                                                  
stayed  in the  bill, it could  impact  the implementation  of                                                                  
services.                                                                                                                       
                                                                                                                                
Mr.  Anderson  continued  that  an  older  proposed  committee                                                                  
substitute   for  the  bill   [Version  S.A]  included   under                                                                  
Section  7(a) the  requirement for  a state  Medicaid plan  to                                                                  
be submitted  prior to implementation  of home and  community-                                                                  
based services.  He noted that  Section 7(a) had been  deleted                                                                  
in Version  U.  Additionally, Section  8(a)  and Section  8(b)                                                                  
had  been  deleted,  which  were  related   to  a  conditional                                                                  
effective  date for Section  1 which  would require the  state                                                                  
to seek  federal approval prior  to implementation.  A portion                                                                  
of  Section  9   had  also  been  deleted  which   would  have                                                                  
required federal approval in order to implement Section 1.                                                                      
                                                                                                                                
10:12:22 AM                                                                                                                   
                                                                                                                                
Representative  Galvin stated her  understanding that  some of                                                                  
the changes  were related to  the effective dates  and whether                                                                  
there  was  permission   from  the  federal  government.   She                                                                  
wondered  if  the  changes  were  related   to  the  program's                                                                  
eligibility    for   federal    funding.    She   asked    for                                                                  
clarification.                                                                                                                  
                                                                                                                                
Mr.  Anderson responded  that  the  deleted Section  8(a)  and                                                                  
Section 8(b)  were the conditional  effective dates  and would                                                                  
have  mandated   that  Section  1  only  go  into   effect  if                                                                  
approved  by federal  law.  He reiterated  that  CMS had  told                                                                  
the  legislature that  it  did not  need federal  approval  in                                                                  
order to implement Section 1.                                                                                                   
                                                                                                                                
Representative   Galvin  recalled   that  there  was   a  bill                                                                  
related  to extending  maternal  care with  an effective  date                                                                  
of  2025. She  thought  that the  reasoning  for the  extended                                                                  
effective  date was  similar. She  wanted to  ensure that  the                                                                  
changes in  the CS would make it  easier for the bill  to pass                                                                  
rather  than  making  it more  difficult.  She  asked  if  the                                                                  
changes  in  the  CS  were  made  in  order  to  expedite  the                                                                  
process.                                                                                                                        
                                                                                                                                
Mr.  Anderson   responded  in  the  affirmative,   but  wanted                                                                  
clarification   from  the  department   to  ensure   that  his                                                                  
understanding was correct.                                                                                                      
                                                                                                                                
10:14:43 AM                                                                                                                   
                                                                                                                                
TONY  NEWMAN,  DIRECTOR,  SENIOR  AND  DISABILITIES  SERVICES,                                                                  
DEPARTMENT  OF   HEALTH,  responded  that  Mr.   Anderson  was                                                                  
correct.   The  deleted   language   would   have  asked   the                                                                  
department  to seek approval  when it did  not need to,  which                                                                  
would have delayed the implementation process.                                                                                  
                                                                                                                                
Representative Galvin commented that it was a wise move.                                                                        
                                                                                                                                
Representative  Stapp asked what  the expected timeline  would                                                                  
be to implement the changes.                                                                                                    
                                                                                                                                
Mr.  Newman responded  that  the  department still  needed  to                                                                  
develop  regulations  to  allow  for the  changes  within  the                                                                  
bill.  The   department  had   pledged  that  the   regulatory                                                                  
changes  would  be made  through  a public  and  participatory                                                                  
process.                                                                                                                        
                                                                                                                                
Representative   Galvin  asked  for   details  on   a  typical                                                                  
timeline inclusive of a public process.                                                                                         
                                                                                                                                
Mr.  Newman  responded  that  the  department  anticipated  an                                                                  
enactment  date of the  bill on July  1, 2024. The  department                                                                  
expected  to  spend   about  three  months  gathering   public                                                                  
input.                                                                                                                          
                                                                                                                                
10:16:47 AM                                                                                                                   
                                                                                                                                
Representative  Josephson  understood  that the  changes  made                                                                  
in the  CS would  allow  the state  to grow  its workforce  by                                                                  
paying  individuals to  care for  family  members who  receive                                                                  
home and  community-based services.  He asked for  more detail                                                                  
on the associated costs of the changes.                                                                                         
                                                                                                                                
Mr. Newman  responded that the  department did not  anticipate                                                                  
any  increased  Medicaid  services   costs  to  implement  the                                                                  
changes  in the bill.  He explained  that the  bill would  not                                                                  
make  more  people eligible  for  Medicaid  but  would  simply                                                                  
open up  a wider availability  of care  providers by  allowing                                                                  
individuals  already  providing  care  to  be  reimbursed  for                                                                  
their services.                                                                                                                 
                                                                                                                                
Representative Josephson asked what it would cost.                                                                              
                                                                                                                                
Mr.  Newman  responded  that  it was  difficult  to  know  the                                                                  
costs  because  every  person  would   have  different  needs;                                                                  
however, it was not anticipated to impact many people.                                                                          
                                                                                                                                
Co-Chair  Foster WITHDREW  his OBJECTION  to  the adoption  of                                                                  
the  CS  [Work  Draft  33-GS1708\U (Dunmire,  4/28/23).  There                                                                  
being NO further OBJECTION, it was so ordered.                                                                                  
                                                                                                                                
Co-Chair  Foster suggested  that  the committee  hear a  short                                                                  
synopsis of the bill.                                                                                                           
                                                                                                                                
Mr.  Newman  explained  that  SB  57  would   provide  elderly                                                                  
Alaskans with  a new care option  called adult home  care. The                                                                  
option would  be provided through  a new licensed  residential                                                                  
setting   called   an   adult   care  home   and   through   a                                                                  
corresponding   service    called   adult   home   care.   The                                                                  
department   would    develop   a   process    through   which                                                                  
individuals  on  Medicaid  home  and  community-based  waivers                                                                  
could  apply to  receive  adult home  care.  In addition,  the                                                                  
language  inserted into SB  57 from SB  106 [Section  1] would                                                                  
allow  "prohibited   individuals"   or  "legally   responsible                                                                  
individuals"  to provide  personal care  services under  a new                                                                  
program  called  the  Community  First   Choice  Program.  The                                                                  
program  was  a flexibility  that  was  permitted  during  the                                                                  
COVID-19  pandemic and  it proved  to be  a successful  method                                                                  
to allow for more individuals to provide care.                                                                                  
                                                                                                                                
10:20:44 AM                                                                                                                   
                                                                                                                                
Co-Chair  Foster stated he  would entertain  a motion  to move                                                                  
the bill.                                                                                                                       
                                                                                                                                
Co-Chair  Johnson MOVED  to  REPORT HCS  CSSB  57(FIN) out  of                                                                  
committee    with   individual    recommendations   and    the                                                                  
accompanying  fiscal note.  There being  NO OBJECTION,  it was                                                                  
so ordered.                                                                                                                     
                                                                                                                                
HCS CSSB  57(FIN) was  REPORTED  out of committee  with  a "do                                                                  
pass"  recommendation  and  with  five  previously   published                                                                  
fiscal  notes: FN3  (DOH), FN4  (DOH), FN5  (DOH), FN6  (DOH),                                                                  
and FN7 (DOH).                                                                                                                  
                                                                                                                                
Co-Chair  Foster   reviewed  the  agenda  for   the  afternoon                                                                  
meeting.                                                                                                                        

Document Name Date/Time Subjects
SB 57 Public Testimony Rec'd by 042823.pdf HFIN 5/1/2023 10:00:00 AM
SB 57
SB 57 HCS WORKDRAFT HFIN v.U 042823.pdf HFIN 5/1/2023 10:00:00 AM
SB 57
SB 57 Public Testimony Rec'd by 050123.pdf HFIN 5/1/2023 10:00:00 AM
SB 57