Legislature(1993 - 1994)
03/31/1993 03:00 PM House HES
| Audio | Topic |
|---|
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE HEALTH, EDUCATION AND SOCIAL SERVICES
STANDING COMMITTEE
March 31, 1993
3:00 p.m.
MEMBERS PRESENT
Rep. Cynthia Toohey, Co-Chair
Rep. Con Bunde, Co-Chair
Rep. Gary Davis, Vice Chair
Rep. Al Vezey
Rep. Pete Kott
Rep. Harley Olberg
Rep. Bettye Davis
Rep. Irene Nicholia
Rep. Tom Brice
MEMBERS ABSENT
None
COMMITTEE CALENDAR
Confirmation hearing - State Board of Education
APPOINTMENT PASSED TO FULL HOUSE
*HB 195: "An Act authorizing youth courts by which to
provide for peer adjudication of minors who have
allegedly committed violations of state or
municipal laws, renaming the community legal
assistance grant fund and amending the purposes
for which grants may be made from that fund in
order to provide financial assistance for
organizations and initial operation of youth
courts, and relating to young adult advisory
panels in the superior court."
HEARD - NO ACTION
*HB 22: "An Act establishing the Alaska Children's Health
Corporation and the Alaska Healthy Start Program;
relating to insurance; and providing for an
effective date."
HEARD - NO ACTION
(* First public hearing.)
WITNESS REGISTER
REP. JOE SITTON
Alaska State Legislature
Courthouse, Room 609
Juneau, Alaska 99801
Phone: (907) 465-2327
Position statement: Prime sponsor of HB 195
VALERIE M. THERRIEN
Fairbanks North Star Borough, Attorney
Fairbanks North Star Borough Assembly, Member
779 Eighth Ave.
Fairbanks, Alaska 99701
Phone: (907) 452-6194 work
Phone: (907) 456-8113
Position statement: Testified in support of HB 195
RANDALL HINES
Division of Family and Youth Services
Department of Health and Social Services
P.O. Box 110630
Juneau, Alaska 99811-0630
Phone: (907) 465-3187
Position statement: Testified in support of HB 195
CAREN ROBINSON
League of Women Voters
P.O. Box 33702
Juneau, Alaska 99803
Phone: (907) 586-1107
Position statement: Testified in support of HB 195
BLYTHE MARSTON, President
Anchorage Youth Court, Inc.
3001 McCollie Ave.
Anchorage, Alaska 99517
Position statement: Testified in support of HB 195
BRYAN CLARK
Anchorage Youth Court
1981 Commodore
Anchorage, Alaska 99507
Phone: (907) 344-4486
Position statement: Testified in support of HB 195
JESSE KICHL
Anchorage Youth Court
6301 Trapper Tract
Anchorage, Alaska 99516
Phone: (907) 345-3394
Position statement: Testified in support of HB 195
ROBERT BUTTCANE, Immediate Past President
Anchorage Youth Court
2600 Providence Drive
Anchorage, Alaska 99508
Phone: (907) 562-2285
Position statement: Testified in support of HB 195
SHARON LEON
5205 Strawberry Road
Anchorage, Alaska 99502
Phone: (907) 274-5986
Position statement: Testified in support of HB 195
JON EALY
Anchorage Youth Court Bar Association
5245 E. 147th Ave.
Anchorage, Alaska 99516
Phone: (907) 345-7119
Position statement: Testified in support of HB 195
MARY BRISTOL, Social Studies Teacher
Anchorage School District
3305 Glenn Don Drive
Anchorage, Alaska 99504
Phone: (907) 333-6725
Position statement: Testified in support of HB 195
ROBERT OWENS, Immediate Past President
Anchorage Bar Association
P.O. Box 105035
Anchorage, Alaska 99510
Phone: (907) 276-5152
Position statement: Testified in support of HB 195
JOSHUA WALTON, Member
Anchorage Youth Court
P.O. Box 221166
Anchorage, Alaska 99522
Phone: (907) 248-1323
Position statement: Testified in support of HB 195
JUSTIN WALTON, Member
Anchorage Youth Court
P.O. Box 221166
Anchorage, Alaska 99522
Phone: (907) 248-1323
Position statement: Testified in support of HB 195
BRYAN MERRELL, President
Anchorage Bar Association Young Lawyer section
17613 Rachel Circle
Eagle River, Alaska 99577
Position statement: Testified in support of HB 195
MARIGH HUGHES, Partner
Hughes, Thorsness, Gantz, Powell & Brundin
509 W. Third Ave.
Anchorage, Alaska 99501
Phone: (907) 263-8359
Position statement: Testified in support of HB 195
ROY HENDERSON, Rehabilitation counselor and instructor
Juvenile Diversion Program
Alaska Coalition to Prevent Shoplifting, Inc.
P.O. Box 213-649
Anchorage, Alaska 99521
Phone: (907) 338-5548
Position statement: Testified in support of HB 195
JANE DEMMERT, Program coordinator
Fairbanks Native Association, Inc.
201 First Ave., Suite 200
Fairbanks, Alaska 99701
Phone: (907) 452-1648
Position statement: Testified in support of HB 195
STEVE PRAEDEL, Attorney
Assistant Legal Advisor
Anchorage Youth Court
715 L St.
Anchorage, Alaska 99501
Phone: (907) 279-4529
Position statement: Testified in support of HB 195
STOWELL JOHNSTONE
4822 Loretta Lane
Anchorage, Alaska 99507
Phone: (907) 562-4818
Position statement: Appointee to State Board of Education
PAULA TERRELL
Aide to Rep. Joe Sitton
Alaska State Legislature
Courthouse, Room 609
Juneau, Alaska 99801
Phone: (907) 465-2327
Position statement: Answered questions on HB 195
REP. JIM NORDLUND
Alaska State Legislature
Courthouse, Room 606
Juneau, Alaska 99801
Phone: (907) 465-4968
Position statement: Prime sponsor of HB 22
STEVE LEBRUN
Aetna Health Plans
1501 Fourth Ave.
Suite 1600, Century Square
Seattle, Washington 98101
Phone: (206) 467-2803
Position statement: Testified in support of HB 22
KAREN PERDUE, Member
Health Resources and Access Task Force
P.O. Box 73209
Fairbanks, Alaska 99707
(907) 456-5780
Position statement: Testified in support of HB 22
SHERRIE GOLL, Lobbyist
Alaska Women's Lobby; KIDPAC
P.O. Box 22156
Juneau, Alaska 99802
Phone: (907) 463-6744
Position statement: Testified in support of HB 22
PREVIOUS ACTION
BILL: HB 195
SHORT TITLE: AUTHORIZING YOUTH COURTS
BILL VERSION:
SPONSOR(S): REPRESENTATIVE(S) SITTON,Ulmer,Willis,Foster,
Brown,B.Davis,Olberg,Porter
TITLE: "An Act authorizing youth courts by which to provide
for peer adjudication of minors who have allegedly committed
violations of state or municipal laws, renaming the
community legal assistance grant fund and amending the
purposes for which grants may be made from that fund in
order to provide financial assistance for organization and
initial operation of youth courts, and relating to young
adult advisory panels in the superior court."
JRN-DATE JRN-PG ACTION
03/03/93 519 (H) READ THE FIRST TIME/REFERRAL(S)
03/03/93 519 (H) HES, JUDICIARY, FINANCE
03/12/93 628 (H) COSPONSOR(S): WILLIS, FOSTER,
BROWN
03/12/93 628 (H) COSPONSOR(S): B.DAVIS, OLBERG
03/19/93 716 (H) COSPONSOR(S): PORTER
03/24/93 (H) HES AT 03:00 PM CAPITOL 106
03/31/93 (H) HES AT 03:00 PM CAPITOL 106
BILL: HB 22
SHORT TITLE: ALASKA HEALTHY START PROGRAM
BILL VERSION:
SPONSOR(S): REPRESENTATIVE(S) NORDLUND,Brown,B.Davis,
Ulmer,Sitton,Finkelstein,Brice
TITLE: "An Act establishing the Alaska Children's Health
Corporation and the Alaska Healthy Start Program; relating
to insurance; and providing for an effective date."
JRN-DATE JRN-PG ACTION
01/04/93 30 (H) PREFILE RELEASED
01/11/93 30 (H) READ THE FIRST TIME/REFERRAL(S)
01/11/93 30 (H) HES, LABOR & COMMERCE, FINANCE
01/15/93 92 (H) COSPONSOR(S): SITTON
01/20/93 117 (H) COSPONSOR(S): FINKELSTEIN, BRICE
03/24/93 (H) HES AT 03:00 PM CAPITOL 106
03/31/93 (H) HES AT 03:00 PM CAPITOL 106
ACTION NARRATIVE
TAPE 93-53, SIDE A
Number 000
CHAIR BUNDE called the meeting to order at 3:11 p.m. and
noted members present.
CONFIRMATION HEARING - BOARD OF EDUCATION
Seeing that the appointee, STOWELL JOHNSTONE, was not yet
present, CHAIR BUNDE announced his intention to delay the
hearing until such time as the appointee arrived. He then
brought HB 195 to the table and opened public testimony.
HB 195: AUTHORIZING YOUTH COURTS
Number 028
REP. JOE SITTON testified as prime sponsor of HB 195. He
said he was representing the co-sponsors, as well as the
young Democrats and Young Republicans of Alaska. He read a
sponsor statement that described the Anchorage Youth Court
as a successful way to deal with young offenders, and said
the bill would make it possible for other areas in the state
to duplicate the Anchorage Youth Court by establishing
similar programs under the Department of Health and Social
Services (DHSS). The bill would allow nonprofit
organizations to operate such courts. He said the state
could benefit from the volunteer efforts of some youth to
help address criminal behavior in other youths.
(Rep. Brice arrived at 3:13 p.m. and departed at 3:20 p.m.)
Number 171
CHAIR BUNDE said his experience had shown him that juveniles
have strict conceptions of what is wrong and what is right,
and can be stricter than adults in judging their peers.
REP. VEZEY asked if it would be possible to amend the bill
to replace the word "nonprofit corporations" with the word
"person."
REP. SITTON said he had no problem, but the change might
carry legal ramifications. He said the Anchorage Youth
Court framework required the use of the words "nonprofit."
Number 197
REP. VEZEY noted that the use of nonprofit organization was
good or bad in various cases. He asked whether the Legal
Assistance and Juvenile Justice Grant Fund referred to in
Section 3 was a new fund.
REP. SITTON responded that the bill would change the name of
the existing Legal Assistance Fund.
REP. VEZEY expressed concern over co-mingling of funds. He
asked why there was a matching grant requirement when such
requirements could also be waived.
REP. SITTON said that waivers would not be automatic. He
stated he wanted to give the commissioner of DHSS the
authority to waive the match if he saw fit to do so. He
said the waiver would be adopted in regulation.
Number 230
REP. VEZEY suggested eliminating language indicating it was
a matching grant, and simply calling the program a grant
program.
REP. SITTON objected, saying the matching grant provision
encouraged community involvement, which he said was a key to
the success of the Anchorage Youth Court. He added,
however, that he would be willing to eliminate the matching
provisions if that were necessary to get the bill passed.
Number 243
REP. VEZEY asked the scope of the regulations that would be
created under the statute.
REP. SITTON said the regulations would establish a procedure
by which an entity could apply for a grant, and would
outline departmental overview and monitoring of such grants
to assess their success. He noted, however, that it was
impossible to control exactly what form the regulations
would finally take.
Number 262
REP. VEZEY expressed reluctance to grant regulatory
authority to state agencies. He cited a legislative effort
to allow an election on the question of whether the
legislature could annul regulations, and said that until
such a provision was in place he was very reluctant to grant
regulatory authority to state agencies.
CHAIR BUNDE asked why HB 195 carried a zero fiscal note when
the bill calls for $5,000 grants from the legal assistance
and juvenile justice grant fund.
REP. SITTON said it was probably not the first time the
legislature had seen a zero fiscal note that may have been
creative. He said his zero fiscal note was not creative.
He anticipated receiving no more than 10 requests for such
grants.
CHAIR BUNDE said that would cost $50,000.
REP. SITTON stated that he had been told that the fiscal
note from the Department of Community and Regional Affairs
addressed whether the department would have additional
costs.
CHAIR BUNDE asked whether the Department of Community and
Regional Affairs could absorb such costs without additional
appropriations.
REP. SITTON answered that that was his understanding.
CHAIR BUNDE invited public testimony on HB 195.
Number 310
VALERIE THERRIEN, an ATTORNEY with the FAIRBANKS NORTH STAR
BOROUGH and a BOROUGH ASSEMBLY MEMBER, testified in Juneau
in support of HB 195. She said the Anchorage Bar
Association (ABA), which supported the Anchorage Youth Court
(AYC), had won a national award for its work with AYC. She
said those involved in youth courts would prefer the legal
protections afforded by a nonprofit status and that would
probably be the best form to use. She said it would be
logical to establish the next youth court in Fairbanks, and
the community there could probably come up with a $5,000
match. She said youth courts help youth gain respect for
the legal system and also provide an alternative to the
juvenile court system that functioned as an effective
deterrent.
Number 347
CHAIR BUNDE said he did not intend his comments on matching
grants to mean that municipalities could not come up with a
fair share for matching funds for youth courts.
Number 352
RANDALL HINES, DIVISION OF FAMILY AND YOUTH SERVICES,
DEPARTMENT OF HEALTH AND SOCIAL SERVICES, testified in
Juneau in support of HB 195. He cited a zero fiscal note
from the Department of Health and Social Services dated
3/11/93. He said community support from the Anchorage
School District (ASD) and the ABA has helped the Anchorage
Youth Court be a successful model. He cited "legislative
resolve" number 61 from 1992 which asked the Department of
Health and Social Services to consider starting other youth
court programs in Alaska similar to the one in Anchorage.
He said the department had started that process in Juneau,
Anchorage and Fairbanks, but was facing some drawbacks in
Juneau, which had a small student population.
CHAIR BUNDE asked if the youth court might not be a usable
tool in smaller communities.
Number 371
MR. HINES said youth courts would look different in smaller
communities, but could be adapted to those settings.
Number 379
CAREN ROBINSON, LEAGUE OF WOMEN VOTERS, testified in Juneau
for herself and for the League in support of HB 195, saying
there was great interest in the program in Juneau. She said
youth court was based on the idea that judgement by peers
prevented young offenders from repeating their offenses.
Such courts also save money, prevent delinquency, and
educate youth about the legal system, she said. Sentencing
should be appropriate, she stated, and has included
community service, alcohol treatment or payment of
restitution. She strongly encouraged the bill and said that
almost every community contained organizations willing to
support youth court.
(Rep. Toohey arrived at 3:36 p.m. Rep. G. Davis arrived at
approximately 3:40 p.m.)
CHAIR BUNDE invited those testifying to limit their
testimony to two minutes and not to repeat earlier
testimony, if possible.
Number 438
BLYTHE MARSTON, PRESIDENT, ANCHORAGE YOUTH COURT, INC.,
testified via teleconference from Anchorage in support of
HB 195. She described the history of AYC. She said the
court was unique in that it was run solely by youths with
adult advisors. She described the qualifications and
training youths had to have to serve in AYC. She said the
AYC tries cases referred from Juvenile Intake, and it
requires the juvenile and his parent or guardian to agree to
have the case tried by AYC and to agree to abide by its
judgement. She said the AYC have had youth accused of
joyriding, carrying a concealed knife on school grounds,
snow machine theft, and other crimes. She said the AYC
hears about 20 cases a year, most of them misdemeanors.
Convictions in AYC are wiped from an offender's record upon
completion of sentence, she said. She listed the benefits
of AYC for youth, including business experience, increasing
respect for law, allowing redress of criminal activities,
resolution of criminal cases without leaving youth with
criminal records. She said the program also reduced the
number of cases in Juvenile Intake.
Number 522
BRIAN CLARK, PRESIDENT, ANCHORAGE YOUTH COURT BAR
ASSOCIATION, testified via teleconference from Anchorage in
support of HB 195. He said he had served in other
capacities in the AYC. He said he wanted the AYC to have
the authority to subpoena witnesses, a power granted by
HB 195.
Number 537
JESSE KICHL, CHIEF JUDGE OF THE ANCHORAGE YOUTH COURT,
testified via teleconference from Anchorage in support of
HB 195. He said those youths that go through AYC have low
recidivism rates, which he attributed to the fact that the
AYC provided for trial of youth by their peers.
Number 567
ROBERT BUTTCANE, SUPERVISOR, JUVENILE INTAKE UNIT,
DEPARTMENT OF FAMILY AND YOUTH SERVICES, testified via
teleconference from Anchorage in support of HB 195. He said
the AYC was a way for the Division of Family and Youth
Services (DFYS) to meet its dual obligations to protect the
public while addressing the needs of youthful offenders. He
said peer judgement was an outstanding feature of AYC and
led to low recidivism rates. He said the AYC was one of the
most effective diversion programs he had ever seen, though
not all youth were good candidates for trial by AYC. He
said he supported the bill as a way to make youth courts
possible across the state.
TAPE 93-53, SIDE B
Number 008
SHARON LEON, A FORMER HOUSING COORDINATOR FOR A RURAL
STUDENT VOCATIONAL PROGRAM, testified via teleconference
from Anchorage in support of HB 195. She said offenders
tried by AYC, and those likely to be tried by other youth
courts, do not realize that what they might consider
mischief is actually illegal. She said many communities had
made inquiries about AYC in the past year, and while some
had been scared off by the complexity of the program, she
said, youth courts could take many forms. She said students
involved with AYC respect the confidentiality of those
involved in the system.
Number 070
JON EALY, VICE PRESIDENT, ANCHORAGE BAR ASSOCIATION,
testified via teleconference from Anchorage in support of
HB 195. He said the AYC was almost all-volunteer, but
received early support from an American Bar Association
grant. He said the $5,000 state grant would help smaller
communities get set up before finding their own funding
sources. He said it was important that youth courts be
operated as nonprofit corporations so as to collect grants
and tax-deductible contributions. He said the jurisdiction
of youth courts would be up to local authorities. He
reminded the committee that all cases brought before a youth
court would be pre-screened, probably by a lawyer, to ensure
that they were appropriate for the court. He said youth
courts impose creative sentences, tailored to each youth and
in the context of each community. He praised youth courts
as a good way for children to learn the legal system and for
lawyers to be involved in schools.
Number 114
MARY BRISTOL, A SOCIAL STUDIES TEACHER IN THE ANCHORAGE
SCHOOL DISTRICT, testified via teleconference from Anchorage
in support of HB 195. She said the AYC was among the best
real-life educational opportunities for youth she had ever
seen. She said it was a very successful partnership between
schools and the community, that it had received two national
awards, and that it received many queries form other states
and cities. She said she was glad it could be used as a
model for similar programs around the state.
Number 134
ROBERT OWENS, IMMEDIATE PAST PRESIDENT OF THE ANCHORAGE BAR
ASSOCIATION, testified via teleconference from Anchorage in
support of HB 195. He said the ABA had long been involved
in the AYC, supported it vigorously, and still contributed
money to it each year, partly because the state had provide
money to the program early on. He said a nonprofit
designation is useful for youth courts. He said the AYC has
been responsible in reporting its financial activities, even
in the absence of formal, rigid financial regulations. He
suggested making the youth court available to boroughs as
well as first- or second-class municipalities and cities.
Number 178
JOSHUA WALTON, A MEMBER OF THE ANCHORAGE YOUTH COURT,
testified via teleconference from Anchorage in support of
HB 195. He said the AYC provided benefits for both
defendants and attorneys, was educational, and led to lower
state court costs.
Number 201
JUSTIN WALTON, A MEMBER OF THE ANCHORAGE YOUTH COURT BAR
ASSOCIATION, testified via teleconference from Anchorage in
support of HB 195. He said the AYC saved the state money
and was effective. He noted that the AYC had a five percent
recidivism rate, compared to 50 percent for the normal
juvenile court system.
Number 219
BRYAN MERRELL, PRESIDENT OF THE ANCHORAGE BAR ASSOCIATION
YOUNG LAWYER SECTION, testified via teleconference from
Anchorage in support of HB 195. He said the program gets
lawyers involved with students, helps students learn about
the judicial branch of government, reduces recidivism rates,
and saves the government money.
Number 250
MARIGH HUGHES, PARTNER AT HUGHES, THORSNESS, GANTZ, POWELL &
BRUNDIN LAW FIRM, AND PRESIDENT OF THE ALASKA BAR
FOUNDATION, testified via teleconference from Anchorage in
support of HB 195. She said the foundation, which has
funded the AYC, has rigid financial requirements which the
AYC has always met. She called the program a model to be
followed nationwide. She said the foundation trustees
support HB 195. She stated that in 1991 the DOE had
attempted, through its rural outreach program and in
conjunction with the ABA, to establish two pilot rural youth
court programs.
Number 275
ROY HENDERSON, REHABILITATION COUNSELOR AND INSTRUCTOR
IN THE JUVENILE DIVERSION PROGRAM OF THE ALASKA COALITION TO
PREVENT SHOPLIFTING, INC., testified via teleconference from
Anchorage in support of HB 195. He said it was a good
program to educate youth who are good candidates for
rehabilitation about the consequences of crimes often
committed under peer pressure. He encouraged expansion of
the youth court program to pay for follow-up assistance for
poor youth.
Number 300
CHAIR BUNDE thanked those testifying from Anchorage for
their testimony.
Number 303
JANE DEMMERT, PROGRAM COORDINATOR OF THE FAIRBANKS NATIVE
ASSOCIATION, testified via teleconference from Fairbanks in
support of HB 195. She said the bill would help Fairbanks
learn from Anchorage's example while setting up its own
youth court. She also noted with approval that the bill
provided for alternative approaches in smaller communities.
Number 324
STEVE PRAEDEL, AN ATTORNEY, AND ASSISTANT LEGAL ADVISOR TO
THE ANCHORAGE YOUTH COURT, testified via teleconference from
Anchorage in support of HB 195. He noted that the program
attracted many dedicated volunteers, including police,
teachers, judges, attorneys, court workers, and all types of
students. He voiced the hope that the offenders would
become part of the AYC system. As a family lawyer, he said
the AYC was a more positive solution to youth crime than the
normal juvenile justice system and could be a good model for
the rest of the state.
Number 358
CHAIR BUNDE closed public testimony on HB 195 and invited
the committee to discuss the bill. He asked Rep. Sitton to
comment on the suggestion that the bill be extended to
include boroughs.
REP. SITTON said he hoped the committee would entertain such
a motion.
Number 362
REP. VEZEY observed that amending the bill to substitute the
word "person" for the word "nonprofit corporation" in the
bill would extend the bill to include boroughs.
CHAIR BUNDE observed that someone had testified that
establishing a youth court under a nonprofit corporation
umbrella would allow the youth courts to accept tax-exempt
donations.
REP. VEZEY countered that an organization merely had to have
tax-exempt status, granted by the Internal Revenue Service
(IRS) in order to accept tax-deductible contributions. He
said most nonprofit corporations did not necessarily have
such status.
Number 372
REP. B. DAVIS said that an organization needed 501 3(c)
status, as did the AYC.
REP. G. DAVIS noted that a slight change to the bill on page
3, line 24, changing the word "cities" to the word
"municipalities" would extend the bill to boroughs and
cities.
REP. SITTON concurred.
Number 380
CHAIR BUNDE moved the amendment suggested by Rep. G. Davis,
changing the word "cities" to the word "municipalities"
on page 3, line 24. Hearing neither discussion nor
objection, he declared the motion passed.
REP. VEZEY proposed an amendment to Section 3 of the bill to
establish an independent fund for the youth court grants
instead of mingling the fund with the legal assistance fund.
He suggested such an amendment might take some legal
research.
REP. SITTON said he appreciated Rep. Vezey's concern for
state money management, but added that he would hate to see
the bill delayed by what he saw as an insignificant problem.
Number 395
REP. G. DAVIS pointed out that two paragraphs in Section 3
of the bill defined the two distinct uses to which the fund
would be put.
CHAIR BUNDE asked Rep. Vezey if that would satisfy his
concerns.
Number 403
REP. VEZEY answered that it would not, and that there was a
need, in his opinion, for separate funds in order to
properly manage the funds.
REP. NICHOLIA moved for passage of HB 195 from the committee
with individual recommendations.
REP. VEZEY objected.
CHAIR BUNDE asked Rep. Vezey if he had made a motion.
Number 413
REP. VEZEY answered that he had not made a formal motion, as
he believed it would first be necessary to perform research
on the issue he had raised. He said he had two other
amendments he wanted to present.
REP. NICHOLIA withdrew her amendment.
Number 418
REP. VEZEY moved an amendment to the bill to substitute the
word "person" for the words "corporation" or "nonprofit
corporation" in four places: page 2, line 23; page 2, line
29; page 3, line 21; and page 4, line 1.
REP. B. DAVIS objected to the motion and said the committee
should have representatives from Legal Services present
before voting on the motion.
CHAIR BUNDE said HB 195 was apparently going to take longer
than he had thought. He suggested that the committee take
up the confirmation of Stowell Johnstone to the State Board
of Education and delay action on HB 195 pending arrival of a
representative from Legal Services. He declared his
intention to finish discussion on HB 195 that day.
CONFIRMATION HEARING - STATE BOARD OF EDUCATION
Number 441
STOWELL JOHNSTONE, APPOINTEE TO THE STATE BOARD OF
EDUCATION, made himself available to the committee for
questions in Juneau, but made no statement.
Number 448
REP. VEZEY asked Mr. Johnstone if there were any reasons why
his appointment should not be confirmed.
MR. JOHNSTONE answered no, that he should be qualified.
REP. B. DAVIS said that she was glad at Mr. Johnstone's
appointment and believed he would do well.
CHAIR BUNDE asked if Mr. Johnstone realized the
responsibilities and demands of the position he intended to
assume.
MR. JOHNSTONE said that in his 30-year career in education
he had often wondered why anyone would volunteer for school
board duty. He said he believed he could make a difference
through participating on the state board and he would like
the chance to do so.
Number 465
CHAIR BUNDE asked Mr. Johnstone to outline his views of the
state board's role.
MR. JOHNSTONE said that he had once heard that a school
board member's duties included anything about which he
picked up the telephone and caught hell. He said that
whatever affected education was included in the board's
role. He said the board could work with the Alaska 2000
committee to establish standards for educational outcome.
Number 478
CHAIR BUNDE asked his personal goals for influencing
education in the near term.
MR. JOHNSTONE said he hoped to provide an educational
environment to help improve the culture of education, to
include more support from communities, the legislature and
the governor.
Number 486
CHAIR BUNDE asked Mr. Johnstone for a brief overview of his
priorities concerning the Alaska 2000 proposal and the bills
which had evolved from it.
MR. JOHNSTONE said that, having had little opportunity to
work with the DOE and the board, his emphasis would be on
making sure that as much aid as possible could reach the
classroom. He praised the Alaska 2000 process of asking
communities how they wanted to improve schools, and said the
process should continue, albeit possibly in a slightly
changed manner.
Number 502
CHAIR BUNDE said he would entertain a motion to pass the
appointee's name along to the House.
REP. B. DAVIS moved passage of Mr. Johnstone's appointment
to the House.
CHAIR BUNDE, hearing no objection, declared Mr. Johnstone's
appointment had been passed to the full House. He then
returned HB 195 to the table.
HB 195: AUTHORIZING YOUTH COURTS
CHAIR BUNDE noted that there was a question of the necessity
of 501 (c) nonprofit designation.
REP. SITTON invited his aide to address that question.
Number 520
PAULA TERRELL, AIDE TO REP. JOE SITTON, testified on HB 195.
She said she had consulted with Jack Chenoweth of the
Legislative Legal Counsel in the Legislative Affairs Agency,
who had answered some of the committee's questions on
HB 195. She stated Mr. Chenoweth said that the use of the
word "person" would include nonprofits and the bill language
was broad enough to allow communities to adapt the bill to
their own purposes. She said the courts might look askance
at having a single individual person operate a youth court,
but that issue could be resolved when such a person
attempted to establish a youth court program.
Number 527
CHAIR BUNDE said that answered his question.
REP. VEZEY noted that the term "nonprofit" was used three
times in the bill, and the term "corporation" was used
twice.
Number 530
CHAIR BUNDE asked whether the nonprofit designation would
remain should the committee pass Rep. Vezey's proposed
amendment to change "nonprofit" to "person."
MS. TERRELL said that she believed, based on her
conversation with Mr. Chenoweth, that this was correct.
REP. TOOHEY moved passage of Rep. Vezey's amendment.
CHAIR BUNDE noted that Rep. Vezey had already made that
amendment.
REP. TOOHEY said that she would therefore repeat the
amendment.
CHAIR BUNDE asked for objections.
Number 541
REP. B. DAVIS said she had voiced objection to the motion
earlier, but she wished to withdraw her objection.
CHAIR BUNDE said, "That takes care of that amendment. And,
Rep. Vezey, you had another amendment that you were
concerned with."
Number 542
REP. VEZEY moved an amendment to page 4, line 4, of the
bill, deleting the last sentence of the paragraph, (an
amendment which would have the effect of preventing waiver
of the requirement for matching grants). He said the bill
offered enough flexibility in the form of matching
contributions such that if a community was not willing to
provide some matching contribution, the state should not
provide the grant.
REP. NICHOLIA objected.
REP. SITTON said the amendment would not substantially alter
the bill. He said he agreed with the amendment.
Number 555
REP. NICHOLIA said she believed the commissioner of the DOE
should have the ability to waive the match because rural
areas might not be able to afford the match and would be
deprived of the benefits of youth courts.
TAPE 93-54, SIDE A
Number 000
CHAIR BUNDE asked for further discussion on the amendment.
Hearing no further objection, he called for a roll call
vote. Those voting yes were Reps. Vezey and Kott. Those
voting no were Reps. G. Davis, Olberg, B. Davis, Nicholia,
Toohey and Bunde. The motion failed 2-6.
Number 032
REP. VEZEY moved an amendment to split the legal assistance
grant fund from the juvenile justice grant fund.
REP. G. DAVIS said he had no problem with the amendment. He
said it was a good bill and suggested the committee pass it
along to the Judiciary Committee with a letter of intent to
avoid the delay that would come with drafting an amendment.
Number 048
CHAIR BUNDE asked Rep. Vezey if that would satisfy his
concerns. He also said he was willing to return the bill to
the committee again the next day to allow time to draft the
amendment.
REP. VEZEY said he would be willing to act at the pleasure
of the chair, and he did not see any large rush. He
observed that HB 195 would not make it to the floor, as the
legislative session was nearing an end. He agreed to send a
letter to the Judiciary Committee requesting his amendment.
Number 064
REP. OLBERG asked if the committee would vote on the motion
or view the amendment first.
CHAIR BUNDE said he would prefer to hold the bill one day to
allow language to be drafted to address Rep. Vezey's
concerns and avoid the need to try to have another committee
try to assess the HESS Committee's will. He announced the
end of business on HB 195.
CHAIR BUNDE brought HB 22 to the table, but said he did not
anticipate that the committee would complete work on the
bill that day.
(Rep. Olberg departed at 4:43 p.m. Rep. Brice returned at
4:44 p.m.)
Number 100
HB 22: ALASKA HEALTHY START PROGRAM
REP. JIM NORDLUND testified as PRIME SPONSOR of HB 22. He
said the bill would establish a pool to provide health
insurance for children. He said the CS version of the bill
proposes requiring the families to pay 100 percent of the
premiums for such insurance for their children, though the
bill originally included some state subsidy. The bill gives
authority to a board to establish coverage levels and keep
premium levels low, with an emphasis on prevention and on
emergency care. The bill provides prenatal coverage for
pregnant women, but not coverage of the cost of delivery
services. The bill allows premiums to be paid by deductions
from the child's Alaska Permanent Fund dividend, and allows
the board or corporation established under the bill to
accept private contributions and special legislative
appropriations. He noted the large fiscal note and said it
could be possible to reduce the state's administrative cost
by including that expense in the participants' premiums.
Number 164
STEVE LEBRUN, A GROUP SERVICES ACCOUNT MANAGER WITH AETNA
HEALTH PLANS, testified via teleconference from Seattle in
support of HB 22. He said he had asked Rep. Nordlund to
coordinate analysis of potential claim costs. (A letter
from Mr. LeBrun to Rep. Nordlund outlining some elements of
the analysis is on file.) He said the most effective care
would be wellness and preventative care, and a package
including well baby care, full immunization, routine medical
care and vision exams would cost about $6 per month in claim
costs. He said he had worked up a dental benefits package
that would cost about $20 per month, and an ambulatory out-
patient care package that would cost about $54 per month. A
package to cover delivery of newborns would assume delivery
would cost about $600, he said. He stated that those costs
were based on usual costs in Alaska. He said the size of
administration costs would depend on how much of the work
was left to the insurance company.
MR. LEBRUN commented, "One area of concern we do have with
the bill is that we would request reconsideration of what
appears to be a requirement now that the insurer of the
state plan be required to bid, and would only as that, given
the as-yet undefined broad authority vested in the
corporation to set the final rule, that we consider that
somewhat unreasonable that there be requirement to bid
without further verification and definition of the coverage
and administration." He said the company supported the bill
in general, and said it offered the potential to bring
uninsured children into the insurance fold and help prevent
more costly medical care later.
Number 260
REP. TOOHEY asked what it might cost an individual, without
state assistance, for health insurance for a healthy newborn
baby.
MR. LEBRUN said it cost from $2,500 to $3,000 to deliver a
baby in Alaska.
Number 280
REP. TOOHEY repeated her question as to the cost of
insurance for an already-born baby.
MR. LEBRUN asked if she meant how much such coverage would
cost under HB 22.
Number 285
REP. TOOHEY said she thought HB 22 would offer a family the
chance to be covered by insurance.
MR. LEBRUN said that was correct. He said such coverage
would be approximately $80 to cover average claims, plus an
administrative cost of from $15 to $30 per month.
Number 295
REP. TOOHEY asked if the Municipality of Anchorage and other
larger communities did not already offer for free many of
the services he had mentioned.
MR. LEBRUN said he could not answer, but some preventative
services were probably available through community
resources.
Number 301
REP. VEZEY said he was confused by Mr. LeBrun's comments
concerning the average cost of insuring a newborn and mother
for about $80 per month, when Aetna provided health
insurance to state workers at a cost of about $460 per month
for a family.
MR. LEBRUN said the figures he had cited were the cost for
each child, not including delivery services or any in-
patient services, and excluding any psychiatric or substance
abuse treatment or home nursing coverage. He said almost
half of the monthly premium for state workers goes to cover
in-patient services.
REP. VEZEY said the insurance package for children would
exclude the cost of in-patient medical services.
MR. LEBRUN answered that was correct.
Number 333
REP. VEZEY asked whether the estimated total cost of the
program could be derived by adding the administrative costs
under the Division of Retirement and Benefits to the
coverage costs.
MR. LEBRUN said that was correct, but there would be an
additional cost for the insurance company administrative
costs of paying claims. He commented he had not seen the
fiscal note from the Division of Retirement and Benefits.
REP. VEZEY said the Division of Retirement and Benefits'
fiscal note indicated a cost of about $361,000 for FY94 and
about $500,000 in the out years. He asked how much the
insurance company would cost for its markup, and suggested
it might be from 15 percent to 20 percent.
Number 344
MR. LEBRUN said the amount would probably be higher than
that. He said if the insurance covered only the costs of
preventative health care, then the cost of administration
might exceed the cost of benefits.
Number 362
KAREN PERDUE, MEMBER OF THE HEALTH RESOURCES AND ACCESS TASK
FORCE, testified via teleconference from Fairbanks in
support of HB 22 and of the sponsor substitute. She said
the bill would organize the market so as to make a
previously unavailable product available for sale to Alaska
families. She said poor working families had few options
for minimal health insurance coverage of the minor medical
needs of children. She said that a program such as HB 22
might allow parents to budget for medical care and
prevention for their children. Parents could still have
catastrophic health insurance coverage for their children,
with large deductibles and relatively low costs, he pointed
out. Programs such as the one proposed in HB 22 have been
successful in other states, she said. She stated keeping
the price of such coverage down was essential and very
possible, given the low exposure to the risk of costly
hospital care.
Number 403
SHERRIE GOLL, LOBBYIST, ALASKA WOMEN'S LOBBY AND KIDPAC,
testified in Juneau in support of HB 22. She said HB 22 was
supported by the Health Resources and Access Task Force.
She said the bill would provide an important level of
preventative health care for about 20,000 children whose
parents were too poor for private insurance, but too rich
for Medicaid. She said the bill would allow children and
parents to develop relationships with a pediatrician for
preventative medicine.
REP. TOOHEY asked Rep. Nordlund why it was necessary to have
state government serve as a middleman between the insurance
industry and families, and why insurance companies did not
themselves offer basic health insurance for about $900 per
child.
Number 435
REP. NORDLUND said that if he could he would eliminate the
bureaucracy set up by the bill, but he did not believe Aetna
would take the initiative to create a pool of uninsured
children. He noted the CHIPRA (Comprehensive Health
Insurance Price Reform Act) proposal and state Sen. Jim
Duncan's health care authority proposal would both create
entities with much broader ranges of authority than that
proposed under HB 22. He said if such entities were
created, then there would be no need for such a bill as
HB 22.
Number 449
REP. TOOHEY said that the state of Alaska paid about $4,500
per year to provide health insurance for an employee's
family of five, and it should be possible to provide health
insurance for one child for about $900 per year.
REP. NORDLUND noted that the state acts as the pooling agent
for state workers and their families. He said he did not
know how the insurance companies could create a pool of
uninsured children itself, but if it were possible, he would
like to hear how.
CHAIR BUNDE said that the issue would be discussed further
at a later date, and he ADJOURNED the meeting at 5:10 p.m.
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