Legislature(2023 - 2024)BELTZ 105 (TSBldg)
02/17/2023 01:30 PM Senate LABOR & COMMERCE
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Audio | Topic |
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Start | |
Presentation(s): Workforce Challenges in Alaska from the Perspective of the Alaska Municipal League | |
SB55 | |
Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
*+ | SB 55 | TELECONFERENCED | |
SB 55-EXTEND STATE MEDICAL BOARD 2:29:53 PM CHAIR BJORKMAN reconvened the meeting and announced the consideration of SENATE BILL NO. 55 "An Act extending the termination date of the State Medical Board; and providing for an effective date." He invited Kali Spencer to present the bill on behalf of Senator Wielechowski. 2:30:28 PM KALI SPENCER, Staff, Senator Bill Wielechowski, Alaska State Legislature, Juneau, Alaska, gave a brief overview of SB 55 and its purpose. She paraphrased the sponsor statement: [Original punctuation provided.] SB 55 will extend the termination date of the State Medical Board to June 30, 2031. The State Medical Board (board) effectively licensed physicians, osteopaths, and podiatrists. However, emergency courtesy licenses for physician assistants were not issued in accordance with state law during the COVID-19 pandemic. This was remedied in November 2021 when corrective action was taken by sending letters to non-compliant licensees. Furthermore, the board developed and adopted regulations to protect the public, improve the licensing process, and expand access to care during the COVID-19 public health emergency. 2:31:23 PM The last extension of the board was in 2020 when the Division of Legislative Audit proposed a termination date that was three years less than the eight-year maximum allowed per statute. The Senate Labor & Commerce Committee then amended the bill to reduce the termination date by an additional two years for a sunset date of June 30, 2023. Since 2020, the board has addressed all recommendations from the previous audit by adopting regulations to guide the process for registering with the Controlled Substance Prescription Database (CSPD); developed procedures to ensure licensees with a Drug Enforcement Administration (DEA) number register in the CSPD; and worked with the Division of Corporations, Business and Professional Licensing's (DCBPL) director to establish and implement procedures to ensure the board reports disciplinary actions in accordance with state law. As a result of these successful implementations, the Division of Legislative Audit proposed in July 2022 that the legislature extend the board's termination date to June 30, 2031, which is the maximum extension allowed per statute. I respectfully request support from my colleagues to pass SB 55 in a timely manner. 2:32:47 PM CHAIR BJORKMAN invited Kris Curtis to put herself on the record and begin her review of the audit. 2:33:03 PM KRIS CURTIS, Legislative Auditor, Division of Legislative Audit, Alaska State Legislature, Juneau, Alaska, reviewed the sunset audit during the hearing on SB 55. She paraphrased the following prepared statement: The Division of Legislative Audit conducted a sunset audit of the State Medical Board. The audit is dated July 2022. A sunset audit determines whether a board or commission serves the public's interest and should be extended. The audit concludes that the board serves the public's interest by developing and implementing regulations to protect the public, improve the licensing process, and expand access to healthcare during the pandemic. Further, the board serves the public's interest by effectively licensing physicians, osteopaths, and podiatrists; however, emergency courtesy licenses for physician assistants were only sometimes issued in accordance with state law. 2:33:48 PM The Division of Legislative Audit found the board's workload increased significantly during the audit period due to the COVID-19 pandemic. The board met frequently, sometimes weekly, to consider pandemic- related regulations. Further, the number of licensing applications that the board considered increased by approximately 28 percent when compared to the prior 2019 sunset audit. The increase was the result of practitioners moving to Alaska to help meet the need for healthcare services and out-of-state practitioners providing services via technology (commonly referred to as telehealth). The dramatic increase in workload occurred immediately after the governor replaced all the board members. Board turnover and vacancies were common during the audit period. Even with these challenges, the board operated effectively, and the division recommends the maximum extension, which is eight years. 2:34:47 PM She walked the committee through the standard audit information, stating page 8 of the audit report has the schedule of licensing activity. As of March 2022, there were 5,878 active licenses and permits. Licenses increased by 28 percent compared to FY 2019. The schedule of revenues and expenditures is on page 10. The prior 2019 audit found that at the end of FY 2018, this board had a deficit of approximately $800,000. Licensing fees increased in FY 2019, and the deficit decreased to approximately $488,000 by the end of FY 2020. License revenues increased substantially due to the increased number of applications during FY 2021. The board was allotted approximately $215,000 in general funds to replace revenue lost due to the licensing fee freeze that the governor mandated to help mitigate the financial impact of the pandemic. Due to the increase in revenues and the general fund allocation, this board had a surplus of approximately $506,000 as of March 2022. The board's schedule of fees is on page 11. 2:36:13 PM The audit makes two recommendations that begin on page 14. First, the Division of Legislative Audit recommends the board's executive director ensure all board meetings have adequate public notice. The division reviewed 32 meetings held during the audit period and found six were either not public noticed or not public noticed correctly. Second, the audit recommends the board ensure emergency regulations comply with statute. The Division of Legislative Audit found the courtesy license regulation for physician assistant emergency failed to require the applicants have a collaborative plan with the supervising physician as required by statute. DCBPL identified this deficiency within seven months of its effective date and took corrective action. Management's response to the audit begins on page 25, and general management concurred with the report's conclusion and recommendations. 2:37:30 PM CHAIR BJORKMAN invited Sylvan Robb to put herself on the record to answer questions. 2:38:06 PM SYLVAN ROBB, Director, Division of Corporations, Business and Professional Licensing, Department of Commerce, Community and Economic Development, Juneau, Alaska, introduced herself. 2:38:10 PM CHAIR BJORKMAN asked whether DCBPL had the number of staff necessary and the infrastructure in place for this board to handle the increased workload throughout the pandemic. MS. ROBB replied that the division suffered severe staff shortages during the pandemic, especially the professional licensing team, with up to a 35 percent vacancy. The division was short-staffed, and it was very challenging to get licenses out. CHAIR BJORKMAN asked if the situation is substantially fixed. MS. ROBB replied that the division has made great strides in getting back to adequate staffing levels. The professional licensing team has gone from a high of more than 35 percent to a 20 percent vacancy rate. The division has about a 14 percent vacancy rate today and is hiring people daily. She said that the division is getting on top of it. 2:39:25 PM CHAIR BJORKMAN asked if she sees interstate telehealth services substantially changing the division's workload and license processing as it relates to the State Medical Board. MS. ROBB answered that the division has not seen a huge change recently. The division is gathering baseline data to see how the telehealth bill the legislature passed last year affects DCBPL over time. 2:40:20 PM CHAIR BJORKMAN held SB 55 in committee.
Document Name | Date/Time | Subjects |
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02.17.23 AML Presentation to SL&C.pdf |
SL&C 2/17/2023 1:30:00 PM |
AML Presentation to SL&C 02.17.23 |
SB 55 Version A.PDF |
SL&C 2/17/2023 1:30:00 PM |
SB 55 |
SB 55 Sponsor Statement Version A.pdf |
SFIN 3/7/2023 9:00:00 AM SL&C 2/17/2023 1:30:00 PM |
SB 55 |
SB 55 Fiscal Note-DCCED-CBPL 01.10.23.pdf |
SL&C 2/17/2023 1:30:00 PM |
SB 55 |
SB 55 Supporting Document - State Medical Board Audit, July 2022.pdf |
SFIN 3/7/2023 9:00:00 AM SL&C 2/17/2023 1:30:00 PM |
SB 55 |