Legislature(2011 - 2012)CAPITOL 106

02/08/2011 03:00 PM House HEALTH & SOCIAL SERVICES


Download Mp3. <- Right click and save file as

Audio Topic
03:04:40 PM Start
03:05:19 PM Presentation(s): Children's Justice Act Task Force
03:52:54 PM Alaska Health Care Commission
04:58:59 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ Presentations by: TELECONFERENCED
- Children's Justice Act Task Force
- Alaska Health Care Commission
                    ALASKA STATE LEGISLATURE                                                                                  
      HOUSE HEALTH AND SOCIAL SERVICES STANDING COMMITTEE                                                                     
                        February 8, 2011                                                                                        
                           3:04 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Wes Keller, Chair                                                                                                
Representative Alan Dick, Vice Chair                                                                                            
Representative Bob Herron                                                                                                       
Representative Paul Seaton                                                                                                      
Representative Sharon Cissna                                                                                                    
Representative Bob Miller                                                                                                       
Representative Charisse Millett                                                                                                 
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
All members present                                                                                                             
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
PRESENTATION(S): CHILDREN'S JUSTICE ACT TASK FORCE                                                                              
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
ALASKA HEALTH CARE COMMISSION                                                                                                   
                                                                                                                                
     - HEARD                                                                                                                    
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
No previous action to record                                                                                                    
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
DR. CATHY BALDWIN-JOHNSON, Chair                                                                                                
Alaska Children's Justice Act Task Force                                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Presented a PowerPoint, "Alaska Children's                                                               
Justice Act Task Force."                                                                                                        
                                                                                                                                
JARED PARRISH, Director                                                                                                         
Alaska Surveillance of Child Abuse & Neglect (SCAN)                                                                             
Division of Public Health                                                                                                       
Department of Health and Social Services                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  Testified and  answered questions during the                                                             
PowerPoint, "Alaska Children's Justice Act Task Force."                                                                         
                                                                                                                                
DEBORAH ERICKSON, Executive Director                                                                                            
Alaska Health Care Commission                                                                                                   
Office of the Commissioner                                                                                                      
Department of Health and Social Services                                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Presented a  PowerPoint, "Alaska Health Care                                                             
Commission's 2010 Report."                                                                                                      
                                                                                                                                
DR. WARD HURLBURT, Chief Medical Officer/Director                                                                               
Division of Public Health                                                                                                       
Central Office                                                                                                                  
Department of Health and Social Services                                                                                        
Anchorage, Alaska                                                                                                               
POSITION STATEMENT:  Testified and  answered questions during the                                                             
overview of the Alaska Health Care Commission's 2010 Report.                                                                    
                                                                                                                                
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
3:04:40 PM                                                                                                                    
                                                                                                                                
CHAIR  WES KELLER  called the  House Health  and Social  Services                                                             
Standing   Committee    meeting   to    order   at    3:04   p.m.                                                               
Representatives Keller,  Millett, Miller,  Cissna, and  Dick were                                                               
present at the call to  order.  Representatives Seaton and Herron                                                               
arrived as the meeting was in progress.                                                                                         
                                                                                                                                
^PRESENTATION(S): Children's Justice Act Task Force                                                                           
       PRESENTATION(S): Children's Justice Act Task Force                                                                   
                                                                                                                              
3:05:19 PM                                                                                                                    
                                                                                                                                
CHAIR KELLER announced that the  first order of business would be                                                               
a presentation by the Children's Justice Act Task Force.                                                                        
                                                                                                                                
3:05:48 PM                                                                                                                    
                                                                                                                                
DR. CATHY  BALDWIN-JOHNSON, Chair, Alaska Children's  Justice Act                                                               
Task Force,  presented a  PowerPoint, "Alaska  Children's Justice                                                               
Act Task  Force." [Included  in members'  packets.]   Pointing to                                                               
slide 1,  "Introduction," she  reported that  the Task  Force had                                                               
been founded  in 1999 to  "evaluate how our system  responds when                                                               
there  are concerns  for child  abuse and  neglect."   She stated                                                               
that  the Task  Force  mandate was  to  make recommendations  for                                                               
improvements to  the system, and  to provide an annual  update to                                                               
the  legislature.   She  declared  that  the Commission  received                                                               
population based federal funding.                                                                                               
                                                                                                                                
DR. BALDWIN-JOHNSON moved on to  slide 2, "Update," and indicated                                                               
that the  update included:   child  maltreatment data  in Alaska,                                                               
gaps in  our laws, costs  to our state,  and the 2010  Task Force                                                               
projects.                                                                                                                       
                                                                                                                                
3:07:55 PM                                                                                                                    
                                                                                                                                
DR. BALDWIN-JOHNSON explained slide  3, "Some Issues Identified."                                                               
She  emphasized  the  rising  concerns:    an  ongoing  need  for                                                               
education,  the  wide variation  to  interpretation  of laws  and                                                               
policies   across  Alaska,   the   gaps  in   our  laws,   sexual                                                               
exploitation  of  children  via   the  Internet,  and  child  sex                                                               
trafficking in Alaska.                                                                                                          
                                                                                                                                
3:08:23 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  DICK   asked  her  to  elaborate   on  child  sex                                                               
trafficking in Alaska.                                                                                                          
                                                                                                                                
DR.  BALDWIN-JOHNSON replied  that minors  were being  lured into                                                               
prostitution and sexual activity.                                                                                               
                                                                                                                                
REPRESENTATIVE MILLETT asked if there were any statistics.                                                                      
                                                                                                                                
DR.  BALDWIN-JOHNSON  replied  that  this was  being  studied  to                                                               
better understand how large a problem it had become.                                                                            
                                                                                                                                
REPRESENTATIVE MILLETT  asked to  clarify if these  children were                                                               
runaways, or had  a lack of supervision, and how  did this happen                                                               
without parental knowledge.                                                                                                     
                                                                                                                                
DR. BALDWIN-JOHNSON,  in response, indicated there  were a number                                                               
of   factors,   which   included   runaways,   difficult   family                                                               
situations, and  not enough adult supervision.   She acknowledged                                                               
that there was a need to gather much more information.                                                                          
                                                                                                                                
REPRESENTATIVE MILLETT  asked if  the task  force was  working in                                                               
concert with the Office of Children's Services (OCS).                                                                           
                                                                                                                                
3:10:57 PM                                                                                                                    
                                                                                                                                
DR. BALDWIN-JOHNSON  confirmed that a  small task force  had been                                                               
established  to  address  the  issue, and  would  be  invited  to                                                               
address the legislature.                                                                                                        
                                                                                                                                
REPRESENTATIVE  CISSNA   pointed  to  the  growing   problems  of                                                               
homeless youth and outmigration from rural Alaska.                                                                              
                                                                                                                                
CHAIR KELLER  asked who  had identified  child trafficking  as an                                                               
issue.                                                                                                                          
                                                                                                                                
DR.  BALDWIN-JOHNSON  stated that  it  was  identified by  people                                                               
working with Anchorage Police Department and the FBI.                                                                           
                                                                                                                                
3:13:56 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA  opined that  the  problem  was with  "not                                                               
looking after our kids" and  she suggested that this be addressed                                                               
in the "big picture."                                                                                                           
                                                                                                                                
DR. BALDWIN-JOHNSON, furnishing slide  4, "2010 Projects," listed                                                               
ongoing distribution of the mandated  reporter CD, sponsorship in                                                               
collaboration  with the  Alaska Children's  Alliance to  the 2010                                                               
Alaska  Child  Maltreatment   Conference,  and  scholarships  for                                                               
Alaskans working  in the field  as ways  to address the  need for                                                               
further education.   She referenced the link to  NETSMARTZ on the                                                               
task  force   website,  which  was  an   educational  site  about                                                               
preventing  child  sexual exploitation  via  the  internet.   She                                                               
affirmed that the Multidisciplinary  Team Guidelines, on the task                                                               
force website,  addressed the  wide variation  for interpretation                                                               
on laws and policies.                                                                                                           
                                                                                                                                
3:16:37 PM                                                                                                                    
                                                                                                                                
JARED  PARRISH, Director,  Alaska Surveillance  of Child  Abuse &                                                               
Neglect (SCAN),  Division of Public Health,  Department of Health                                                               
and Social Services,  established that the data  was collected by                                                               
the  SCAN program.   He  directed attention  to slide  6, "Public                                                               
Health Surveillance," and  said that this was  an important issue                                                               
for Centers for  Disease Control and Prevention (CDC).   He noted                                                               
that, as  no single agency had  jurisdictional responsibility for                                                               
all  child maltreatment,  the public  health surveillance  was an                                                               
ongoing collection and unification  of the existing data sources.                                                               
This more  comprehensive picture of child  maltreatment in Alaska                                                               
would   lead  to   a  standardized   public  health   definition,                                                               
accounting for  areas not covered by  jurisdictional regulations,                                                               
and allowing  for measurement of  the true magnitude  and impact.                                                               
It would  also identify  risk and  protective factors,  and offer                                                               
recommendations  based  on the  comprehensive  data.   He  shared                                                               
slide 7,  "Case Designation," which  defined the tiers  of abuse:                                                               
confirmed, suspected, or potential and the definition for each.                                                                 
                                                                                                                                
3:19:29 PM                                                                                                                    
                                                                                                                                
MR.  PARRISH moved  on to  slide  9, "Maltreatment-related  child                                                               
deaths,"  and stated  that, from  2000 -  2008, approximately  20                                                               
percent  of child  deaths, 0-9  years of  age, were  maltreatment                                                               
related;  among  Alaska Native  children,  this  increased to  25                                                               
percent.   He declared  that the  rates for  maltreatment related                                                               
child deaths  were almost 4  times higher for Alaska  Native than                                                               
for non-native.                                                                                                                 
                                                                                                                                
MR. PARRISH  supplied slide 11,  "Research in  Alaska Indicates:"                                                               
He  identified   the  seven  factors  statistically   related  to                                                               
maltreatment, and  noted that 80  percent of  maltreated children                                                               
had two  or more  of the  risk factors.   He reported  that these                                                               
risk factors provided targets for prevention funding.                                                                           
                                                                                                                                
3:21:13 PM                                                                                                                    
                                                                                                                                
MR.  PARRISH indicated  slide  12,  "Maltreatment-Any Type,"  and                                                               
clarified  that  this  was  sexual  abuse,  physical  abuse,  and                                                               
neglect.  He reported:                                                                                                          
                                                                                                                                
     In  2008,   approximately  12,400  children   were  the                                                                    
     potential  victims   of  at   least  one   incident  of                                                                    
     maltreatment.      Among  the   children   experiencing                                                                    
     maltreatment,  24 percent  had  at  least one  incident                                                                    
     confirmed.                                                                                                                 
                                                                                                                                
3:21:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SEATON requested to  return attention to slide 11,                                                               
and asked  for clarification that  a family receiving  public aid                                                               
was  a greater  risk factor  than maternal  domestic violence  or                                                               
sexual assault.                                                                                                                 
                                                                                                                                
MR.  PARRISH replied  that these  were  associative, not  causal,                                                               
indicators.                                                                                                                     
                                                                                                                                
REPRESENTATIVE MILLER  asked for  an explanation to  the headings                                                               
"aOR" and "95%CI."                                                                                                              
                                                                                                                                
MR. PARRISH  explained that "aOR"  was the "adjusted  odds ratio"                                                               
and  that  "CI"  was  confidence interval,  which  reflected  the                                                               
percentage range of confidence for the adjusted odds ratio.                                                                     
                                                                                                                                
3:23:16 PM                                                                                                                    
                                                                                                                                
MR. PARRISH  returned to  slide 12,  stating that  as many  as 34                                                               
children a day were maltreated in Alaska.                                                                                       
                                                                                                                                
MR. PARRISH continued with  slide 13, "Maltreatment-Neglect," and                                                               
stated that,  in 2008, "almost  9000 children were  the potential                                                               
victims of at least one incident  of neglect.  Among the children                                                               
experiencing  neglect,  25  percent  had at  least  one  incident                                                               
confirmed."   He emphasized that 25  percent was the "tip  of the                                                               
iceberg."   He pointed out that  this was as many  as 25 children                                                               
each day.                                                                                                                       
                                                                                                                                
3:24:55 PM                                                                                                                    
                                                                                                                                
MR.  PARRISH provided  slide  14, "Maltreatment-Physical  Abuse,"                                                               
and stated that  "2700 children were the potential  victims of at                                                               
least  one  incident  of  physical  abuse in  2008.    Among  the                                                               
children  experiencing physical  abuse, 22  percent had  at least                                                               
one incident confirmed."                                                                                                        
                                                                                                                                
3:25:17 PM                                                                                                                    
                                                                                                                                
MR. PARRISH, in  response to Representative Cissna,  said that he                                                               
would  supply a  matrix defining  maltreatment and  neglect.   He                                                               
replied that each agency had a separate definition for neglect.                                                                 
                                                                                                                                
DR. BALDWIN-JOHNSON added that neglect  meant a failure to meet a                                                               
child's  basic needs,  such as  nutritional, medical,  emotional,                                                               
and educational neglect.  She  noted that neglect did not include                                                               
abuse, but that maltreatment included both abuse and neglect.                                                                   
                                                                                                                                
3:27:14 PM                                                                                                                    
                                                                                                                                
MR.  PARRISH,  returning  attention  to  slide  14,  stated  that                                                               
physical abuse could affect as many as seven children each day.                                                                 
                                                                                                                                
MR.  PARRISH   concluded  with  slide   15,  "Maltreatment-Sexual                                                               
Abuse," stating:                                                                                                                
                                                                                                                                
        In 2008, almost 2000 children were the potential                                                                        
       victims of at least one incident of sexual abuse.                                                                        
        Among the children experiencing sexual abuse, 16                                                                        
     percent had at least one incident confirmed.                                                                               
                                                                                                                                
REPRESENTATIVE DICK asked how to define a potential victim.                                                                     
                                                                                                                                
MR. PARRISH  defined a  potential victim as  having at  least one                                                               
incident of  sexual abuse.   He  pointed out  that a  child could                                                               
have multiple incidences of sexual abuse each year.                                                                             
                                                                                                                                
3:28:40 PM                                                                                                                    
                                                                                                                                
DR.  BALDWIN-JOHNSON  said  that confirmed  instances  were  much                                                               
lower as many  times there was not the  corroborating evidence to                                                               
prosecute.                                                                                                                      
                                                                                                                                
3:29:17 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE DICK asked for further clarification.                                                                            
                                                                                                                                
DR.  BALDWIN-JOHNSON explained  that  a valid  OCS  report, or  a                                                               
medical code  that identified sexual  abuse, defined  a potential                                                               
victim.   She  shared  that a  confirmed incident  had  to go  to                                                               
court.                                                                                                                          
                                                                                                                                
3:29:52 PM                                                                                                                    
                                                                                                                                
MR.  PARRISH stated  that potentially  five children  a day  were                                                               
sexually abused in Alaska.                                                                                                      
                                                                                                                                
3:30:21 PM                                                                                                                    
                                                                                                                                
DR.  BALDWIN-JOHNSON,  indicating slide  16,  "Gaps  in our  laws                                                               
Abusive Head Trauma," spoke about  abusive head trauma and stated                                                               
that if  the child did not  die, the highest criminal  charge was                                                               
Assault 1, which  had limited penalties.  She  said that children                                                               
were included with adults under the physical assault laws.                                                                      
                                                                                                                                
DR.  BALDWIN-JOHNSON   offered  slide  17,  "Gaps   in  our  laws                                                               
Torture," pointing  out the  difficulty to  find charges  for the                                                               
torture of children.                                                                                                            
                                                                                                                                
DR. BALDWIN-JOHNSON  referred to  slide 18,  "Gaps in  our laws,"                                                               
and  pointed  out  that  multiple  forms  of  physical  abuse  to                                                               
children only result in a charge of Assault 1.                                                                                  
                                                                                                                                
DR. BALDWIN-JOHNSON directed attention to  slide 19 and slide 20,                                                               
"Gaps in our laws: sexual  abuse," and reported that sexual abuse                                                               
of a  five year  old carried  the same  charge as  a 19  year old                                                               
having consensual  sex with a  14 year  old.  She  announced that                                                               
foster siblings could not be  charged with incest or sexual abuse                                                               
of a minor if there was less than a four year age difference.                                                                   
                                                                                                                                
3:33:46 PM                                                                                                                    
                                                                                                                                
CHAIR  KELLER   confirmed  that   the  committee   members  would                                                               
deliberate the legislation proposals.                                                                                           
                                                                                                                                
3:34:29 PM                                                                                                                    
                                                                                                                                
DR.  BALDWIN-JOHNSON brought  attention to  slide 21,  "What does                                                               
this  cost?" and  observed that  there were  both short  and long                                                               
term costs  for medical and  mental health  care, as well  as for                                                               
the child protection and criminal justice systems.                                                                              
                                                                                                                                
3:35:05 PM                                                                                                                    
                                                                                                                                
DR.   BALDWIN-JOHNSON  explained   that  the   Adverse  Childhood                                                               
Experiences  Studies,   slide  22,  "Turning  Gold   Into  Lead,"                                                               
recognized  the link  between "bad  things happening  to children                                                               
and the  adults that they  become..."  She directed  attention to                                                               
the chart  on slide 23 which  graphed the rising costs  in health                                                               
care.                                                                                                                           
                                                                                                                                
3:36:04 PM                                                                                                                    
                                                                                                                                
DR. BALDWIN-JOHNSON  stated that  slide 24, "Direct  Annual Costs                                                               
of Child Abuse & Neglect in  the US," revealed costs totaled more                                                               
than  $33 billion.   Slide  25, "Indirect  Annual Costs,"  showed                                                               
that  costs  for  juvenile   delinquency  and  adult  criminality                                                               
exceeded $70 billion.                                                                                                           
                                                                                                                                
3:37:01 PM                                                                                                                    
                                                                                                                                
DR. BALDWIN-JOHNSON emphasized this total  cost of more than $103                                                               
billion, as shown on slide 26,  "Total Annual Cost of Child Abuse                                                               
and  Neglect in  the  US," and  shared that  the  annual cost  in                                                               
Alaska was more than $500 million, as shown on slide 27.                                                                        
                                                                                                                                
DR. BALDWIN-JOHNSON turned  to slide 28, "What are  we willing to                                                               
pay to  keep kids safe?"   She  reported on a  child maltreatment                                                               
survey in the  state of Georgia which had shown  a willingness by                                                               
each citizen  to pay  $150 to  help reduce  the number  of deaths                                                               
from child  maltreatment.  She  asked what Alaskans  were willing                                                               
to pay to keep kids safe.                                                                                                       
                                                                                                                                
DR. BALDWIN-JOHNSON  summarized slide 30, "In  Juneau:" and asked                                                               
for  ongoing  support  for  the  governor's  initiative,  "Choose                                                               
Respect,"  and  to  ensure  that the  related  data  and  program                                                               
development include children.  She  summarized slide 31, "In your                                                               
community," and  asked for  support to  the local  Child Advocacy                                                               
Centers  and for  support to  any  child maltreatment  prevention                                                               
programs.                                                                                                                       
                                                                                                                                
3:38:47 PM                                                                                                                    
                                                                                                                                
DR.  BALDWIN-JOHNSON asked  the committee  for assistance,  slide                                                               
32,  "2011 Alaska  CJATF Projects,"  with legislative  support to                                                               
the  Task  Force, and  with  passing  laws which  hold  offenders                                                               
accountable and  prevent future victimization.   She endorsed the                                                               
search for  more information on  child trafficking and  child on-                                                               
line sexual exploitation.                                                                                                       
                                                                                                                                
DR. BALDWIN-JOHNSON  shared slide 33, "Remember:"  and asked that                                                               
legislators remember:                                                                                                           
                                                                                                                                
     During this legislative session,  here in Alaska, about                                                                    
     3000 children  are likely going  to be  maltreated, 450                                                                    
     sexually   abused,   630    physically   abused,   2200                                                                    
     neglected, and the  price tag to our  state during this                                                                    
     90 days exceeds $123 million.                                                                                              
                                                                                                                                
3:39:54 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  DICK asked  where  to look  for  a definition  of                                                               
neglect.   He  asked if  this definition  could become  intrusive                                                               
into people's  private lives, with respect  to government imposed                                                               
immunizations.                                                                                                                  
                                                                                                                                
DR. BALDWIN-JOHNSON  replied that refusing immunizations  was not                                                               
a form of neglect in Alaska.   She emphasized that the conditions                                                               
under which some children live in Alaska were appalling.                                                                        
                                                                                                                                
3:41:07 PM                                                                                                                    
                                                                                                                                
DR. BALDWIN-JOHNSON, in response  to Chair Keller, explained that                                                               
the  mandated reporter  training CD  was developed  for statewide                                                               
distribution, and was also available on the website.                                                                            
                                                                                                                                
REPRESENTATIVE SEATON  clarified that  the neglect statute  was a                                                               
statewide  standard and  was  not the  community  standard for  a                                                               
village.                                                                                                                        
                                                                                                                                
3:43:01 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA reflected that  this was now a generational                                                               
problem, and that kids were not  being taken care of.  She opined                                                               
that foster care could not replace the family.                                                                                  
                                                                                                                                
3:45:38 PM                                                                                                                    
                                                                                                                                
DR.  BALDWIN-JOHNSON  replied  that  this had  been  a  topic  of                                                               
discussion.    She   offered  her  belief  that   the  Office  of                                                               
Children's  Services (OCS)  was making  efforts to  keep children                                                               
safer in  their own homes.   She agreed that foster  care was not                                                               
usually the first choice, but  there may be no other alternative.                                                               
She opined that the solutions  were complicated, as they involved                                                               
a  cultural shift  for  the  value of  children,  which would  be                                                               
multi-tiered.   She confirmed  that as  more data  was uncovered,                                                               
the  risk  factors could  be  better  identified, and  prevention                                                               
solutions could be  developed.  She advocated for  better laws to                                                               
hold people accountable, and to prevent further victimization.                                                                  
                                                                                                                                
3:48:13 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE HERRON asked  if the Task Force  had contacted the                                                               
administration about proposed legislation.                                                                                      
                                                                                                                                
DR. BALDWIN-JOHNSON  replied that  they had  not yet  spoken with                                                               
the administration.                                                                                                             
                                                                                                                                
3:48:46 PM                                                                                                                    
                                                                                                                                
CHAIR KELLER  declared that  the role of  government was  to take                                                               
care of  the most vulnerable.   He  challenged the task  force to                                                               
contact  HHSS and  ask for  children's advocates.   He  requested                                                               
more information and updates about the child advocacy centers.                                                                  
                                                                                                                                
3:50:15 PM                                                                                                                    
                                                                                                                                
The committee took a brief at-ease.                                                                                             
                                                                                                                                
^Alaska Health Care Commission                                                                                                
                 Alaska Health Care Commission                                                                              
                                                                                                                              
3:52:54 PM                                                                                                                    
                                                                                                                                
CHAIR KELLER announced that the  final order of business would be                                                               
a presentation by the Alaska Health Care Commission.                                                                            
                                                                                                                                
DEBORAH   ERICKSON,  Executive   Director,  Alaska   Health  Care                                                               
Commission, Office of the Commissioner,  Department of Health and                                                               
Social  Services, presented  a  PowerPoint,  "Alaska Health  Care                                                               
Commission's 2010  Report." [Included  in members' packets]   She                                                               
directed attention to slide 2,  "A Brief History of Health Reform                                                               
Attempts  in Alaska,"  and listed  the  groups and  organizations                                                               
which addressed these issues.   She stated that each had provided                                                               
findings and recommendations.                                                                                                   
                                                                                                                                
MS. ERICKSON  offered slide  3, a graph  of the  1993 legislative                                                               
task force projections  of health care expenditures.   She opined                                                               
that these  cost concerns  had lead to  the establishment  of the                                                               
current  Alaska  Health Care  Commission.    She said  that  2005                                                               
health care  expenditures were more  than $5.5 billion,  and that                                                               
Institute of Social and Economic  Research (ISER) consultants had                                                               
projected 2010 expenditures to be more than $7 billion.                                                                         
                                                                                                                                
MS. ERICKSON referring  to slide 4, "Significance  of Health Care                                                               
to SOA,"  listed Medicaid  expenses to be  about $1.4  billion of                                                               
the $7.3  billion in  the state operating  budget.   The Medicaid                                                               
expenses were  comparable to the  entire operating budget  of the                                                               
Department of Education and Early  Development, and twice that of                                                               
the  Department  of  Transportation  & Public  Facilities.    She                                                               
pointed  out  that  these Medicaid  operating  expenses  did  not                                                               
include other health care expenses incurred by state government.                                                                
                                                                                                                                
3:59:19 PM                                                                                                                    
                                                                                                                                
CHAIR KELLER asked about the level of detail in the ISER study.                                                                 
                                                                                                                                
MS. ERICKSON replied that it  would show spending for health care                                                               
by major  payers in 2010,  and the factors driving  the increases                                                               
in costs.                                                                                                                       
                                                                                                                                
3:59:47 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA   asked  if  social  disparity   had  been                                                               
considered.                                                                                                                     
                                                                                                                                
4:01:01 PM                                                                                                                    
                                                                                                                                
MS. ERICKSON  replied that  social factors  to health  care costs                                                               
would be discussed later.                                                                                                       
                                                                                                                                
4:01:35 PM                                                                                                                    
                                                                                                                                
MS. ERICKSON  provided slide 5, "Alaska  Health Care Commission."                                                               
She  said that  the Alaska  Health Care  Commission was  convened                                                               
under  a 2009  administrative order  by Governor  Palin, and  was                                                               
established in statute  in 2010.  The bill  added four additional                                                               
voting  members  to the  Commission,  and  included a  transition                                                               
clause  to  provide  for  continuity   by  retaining  the  former                                                               
members.                                                                                                                        
                                                                                                                                
4:03:42 PM                                                                                                                    
                                                                                                                                
MS. ERICKSON  stated, as  shown on slide  6, "Alaska  Health Care                                                               
Commission," that the  purpose of the Commission  was: "to foster                                                               
the  development   of  a  statewide  plan   to  address  quality,                                                               
accessibility and  availability of  health care for  all citizens                                                               
of the state."   The main duties listed in  the statute were "for                                                               
the  commission   to  serve  as   the  state's   health  planning                                                               
coordinating  body and  to  foster the  development  of both  the                                                               
comprehensive state wide  health care policy and  also a strategy                                                               
for improving the health of all Alaskans."                                                                                      
                                                                                                                                
MS.  ERICKSON discussed  slide 7,  "Membership," and  stated that                                                               
there  were 11  voting members  designated from  the health  care                                                               
industry, the Division of Veterans'  Affairs (VA), and consumers.                                                               
She pointed out  that the Chair was the Chief  Medical Officer of                                                               
Department of Health and Social Services.                                                                                       
                                                                                                                                
4:05:11 PM                                                                                                                    
                                                                                                                                
MS.  ERICKSON moved  on to  slide 8,  "5-Year Strategic  Planning                                                               
Process,"  and listed  the five  parts of  the process:   develop                                                               
vision,   describe  current   state,  build   foundation,  design                                                               
transformation policies,  and measure progress.   Once the vision                                                               
was developed, each of the other four parts had an annual goal.                                                                 
                                                                                                                                
4:06:14 PM                                                                                                                    
                                                                                                                                
MS. ERICKSON,  summarizing slide 9, "Develop  Vision," stated the                                                               
vision:                                                                                                                         
                                                                                                                                
     Alaska's  health care  system produces  improved health                                                                    
     status,  provides   value  for  Alaskans   health  care                                                                    
     dollar,  delivers consumer  and provider  satisfaction,                                                                    
     and is sustainable.                                                                                                        
                                                                                                                                
She listed  the goals:   increase access, control  costs, improve                                                               
quality, and make the system more prevention-based.                                                                             
                                                                                                                                
MS.  ERICKSON provided  slide 10,  "Describe Current  State," and                                                               
explained  that   the  2009  report   had  an  appendix   with  a                                                               
description  of the  current system,  an  explanation of  service                                                               
finance,  and  an overview  of  the  impact  on Alaska  from  the                                                               
Patient Protection Affordable Care Act  (PPACA).  She added that,                                                               
in 2011, the  Commission was planning an analysis  of the current                                                               
conditions.                                                                                                                     
                                                                                                                                
4:10:22 PM                                                                                                                    
                                                                                                                                
DR. WARD  HURLBURT, Chief  Medical Officer/Director,  Division of                                                               
Public  Health,  Central  Office,   Division  of  Public  Health,                                                               
Department of  Health and Social Services,  offered three reasons                                                               
for a  Health Care  Commission, cost,  cost, and  cost.   He said                                                               
that the  costs of health care  now exceeded 18 percent  of gross                                                               
domestic product.  He compared this  cost in the United States to                                                               
the other  37 industrialized countries  in the world,  which each                                                               
spent between  8 - 12 percent  of its gross domestic  product for                                                               
health care.   He reported  that, from 1991  - 2005, the  cost of                                                               
living in  Alaska increased 38  percent, while health  care costs                                                               
increased 100  percent.  He  stated that health  care expenditure                                                               
was $7.1 billion  in Alaska, about 23 percent of  the state gross                                                               
domestic product.                                                                                                               
                                                                                                                                
DR. HURLBURT  directed attention  to slide 12,  "Describe Current                                                               
State" and discussed  that Medicaid would cost  Alaska about $1.5                                                               
billion in  the upcoming fiscal  year, an average of  $13,000 for                                                               
each of  the 110,000  enrollees.  He  pointed out  that, although                                                               
the  majority of  enrollees were  young women  and children,  the                                                               
high costs  were for  those individuals  with "life  issues, like                                                               
drug use."                                                                                                                      
                                                                                                                                
4:15:50 PM                                                                                                                    
                                                                                                                                
DR. HURLBURT pointed to slide  13, "Differences in Medicaid Fees,                                                               
2009,"  and  explained  that  the  comparative  costs  of  Alaska                                                               
Medicaid fee  schedules were more  than 2.5  to 3 times  those of                                                               
Washington and  Oregon.  He  referenced the  comparative workers'                                                               
comp  fee schedules  for Alaska,  Washington,  and Hawaii,  which                                                               
also  reflected the  much higher  costs in  Alaska.   He reported                                                               
that  an  actuarial firm  and  the  VA  were both  reviewing  the                                                               
reasons for the high medical costs in Alaska.                                                                                   
                                                                                                                                
4:18:18 PM                                                                                                                    
                                                                                                                                
DR. HURLBURT referred  to slide 14, "Determinants  of Health" and                                                               
slide  15, "Chronic  Disease  accounts for,"  and  said that  the                                                               
leading cause  of death for ages  1 - 44 years  was unintentional                                                               
injuries.   He  noted that  infectious  disease had  been a  high                                                               
cause of  death, but that  "diseases of choice" were  now higher.                                                               
He shared that although Alaska  ranked first in education against                                                               
smoking,  a  much  bigger  problem  was now  obesity.    CDC  had                                                               
estimated the  direct medical cost  related to  the complications                                                               
of obesity  to be $300  billion each year, which  he extrapolated                                                               
to a cost  for Alaska of $800  million each year.   He pointed to                                                               
diabetes as the  most notable complication of  obesity, and that,                                                               
in 2003,  CDC estimated that children  born in this decade  had a                                                               
33 percent  risk of developing  diabetes, while almost  8 percent                                                               
of the population  had diabetes.  He reported that  33 percent of                                                               
Americans were  overweight, which lead  to a 13  percent increase                                                               
for expectation  of premature mortality; another  33 percent were                                                               
obese, which lead to  an increase of 40 - 80  percent.  He listed                                                               
the  complications  of diabetes  to  include  blindness, loss  of                                                               
kidney function, dialysis,  loss of limbs, and  heart attack, and                                                               
he stressed the  huge economic.  He opined that  the challenge to                                                               
overcome  obesity would  be greater  than  that of  smoking.   He                                                               
applauded the efforts of the  Anchorage schools to combat obesity                                                               
rates.   He summarized  that chronic  diseases accounted  for the                                                               
majority of health care costs  and that the economic impact could                                                               
be devastating.                                                                                                                 
                                                                                                                                
4:24:48 PM                                                                                                                    
                                                                                                                                
DR. HURLBURT, in response to  Chair Keller, said that Milliman, a                                                               
large  national  actuarial  firm,  would be  a  good  choice  for                                                               
studying the reasons for the increased health rates.                                                                            
                                                                                                                                
4:25:58 PM                                                                                                                    
                                                                                                                                
CHAIR KELLER asked when this would be available.                                                                                
                                                                                                                                
MS. ERICKSON replied  that the VA would release  the report later                                                               
in the year.                                                                                                                    
                                                                                                                                
CHAIR  KELLER  asked   if  the  report  would   specify  the  fee                                                               
differences between workers' comp and Medicaid.                                                                                 
                                                                                                                                
MS. ERICKSON  replied that  the request was  for an  analysis and                                                               
comparison  of the  methodologies of  the health  care payers  in                                                               
Alaska, which she assumed would  include Medicaid, Workers' Comp,                                                               
private insurance, and TRICARE fee schedules.                                                                                   
                                                                                                                                
REPRESENTATIVE  HERRON  asked about  the  three  contracts to  be                                                               
proposed:  actuarial, Medicare, and health status.                                                                              
                                                                                                                                
MS. ERICKSON agreed  that the three contracts would  be in place,                                                               
although  ISER was  just finishing  up  a study  on the  economic                                                               
impact of  the PPACA on  Alaska.  She  reported that there  was a                                                               
contract with  ISER for  an analysis on  health care  spending in                                                               
Alaska, and  a contract with a  health care actuarial firm  for a                                                               
comparison of pricing, the cost  of providing Medicare in Alaska,                                                               
and  any  inequities  with   reimbursement  for  Medicare  versus                                                               
primary care.                                                                                                                   
                                                                                                                                
4:28:52 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  CISSNA  reiterated  her  earlier  question  about                                                               
social disparities.                                                                                                             
                                                                                                                                
DR.  HURLBURT replied  that  social disparities  had  not been  a                                                               
major focus of the Health Care  Commission, though it was a focus                                                               
of the  federal government.   He noted  that Alaska  Natives were                                                               
the largest non-white population  and he confirmed that standards                                                               
for Alaska  Natives were not yet  to the US all  races standards.                                                               
He noted that the Alaska Tribal  Health System was doing a better                                                               
job on  child immunizations than  the rest  of state.   He stated                                                               
his aspiration  to be in the  top 90 percentile for  child health                                                               
care.   He  referenced studies  which indicated  that the  Alaska                                                               
Tribal  Health  System was  about  33  percent underfunded.    He                                                               
pointed out the collaboration between  the health care systems in                                                               
Alaska.                                                                                                                         
                                                                                                                                
4:34:07 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE CISSNA  stated that her visitations  around Alaska                                                               
had  revealed  an  out  migration  from its  rural  areas.    She                                                               
expressed that it's  the "whole well-being picture  that's got to                                                               
be  looked at."   She  stressed the  need for  immediate work  on                                                               
this.                                                                                                                           
                                                                                                                                
4:36:38 PM                                                                                                                    
                                                                                                                                
MS.  ERICKSON,   indicating  slide   16,  "Analysis   of  Current                                                               
Conditions (planned for 2011)," pointed  to the formula for costs                                                               
to  health   care,  and  explained   that  the  cost   for  total                                                               
expenditures was  equal to the  price for the  process multiplied                                                               
by  the  utilization.   She  confirmed  that the  analysis  would                                                               
include a cost  analysis, a price comparison study,  and a health                                                               
status  assessment.   In response  to Representative  Cissna, she                                                               
noted  that underlying  health status  and  utilization would  be                                                               
reviewed in accord with social determinants.                                                                                    
                                                                                                                                
4:38:00 PM                                                                                                                    
                                                                                                                                
MS.  ERICKSON presented  slide  17,  "Health Care  Transformation                                                               
Strategy," and  explained the strategies for  transforming Alaska                                                               
health care.   She explained the need to build  the foundation by                                                               
ensuring  a  strong  health   care  workforce,  deploying  health                                                               
information   technology,   and  maintaining   strong   statewide                                                               
leadership.   The health care  strategies were built  around this                                                               
foundation.   Referring to  slide 18, she  relayed that  in 2009,                                                               
the focus was  on primary care intervention  and patient centered                                                               
medical home  models; in  2010, the focus  was on  evidence based                                                               
medicine; and  for 2011, the  strategic study would be  for price                                                               
and quality transparency, and value driven purchasing.                                                                          
                                                                                                                                
REPRESENTATIVE DICK asked about  the relative cost of malpractice                                                               
insurance to the cost of health care.                                                                                           
                                                                                                                                
MS.  ERICKSON replied  that  malpractice reform  was  one of  the                                                               
strategies for  increasing value, which the  commission was going                                                               
to study  in the future.   She pointed to the  Alaska Health Care                                                               
Commission's 2009 report, which  included a national estimate for                                                               
the  effect   of  malpractice  on   health  care  costs   and  an                                                               
explanation of Alaska laws regarding  malpractice.  She confirmed                                                               
that there had been a malpractice reform effort in 2005.                                                                        
                                                                                                                                
4:42:58 PM                                                                                                                    
                                                                                                                                
CHAIR  KELLER opined  that  Alaska liability  laws  were in  good                                                               
shape.                                                                                                                          
                                                                                                                                
REPRESENTATIVE  SEATON   remarked  that  even   with  malpractice                                                               
reform,  there had  not  been any  lowering  of Alaska  insurance                                                               
rates.    He  pointed  out that  the  malpractice  premium  which                                                               
doctors  paid had  remained the  same, but  that they  received a                                                               
rebate at the end of the year,  the value of which was not passed                                                               
on to the consumer.  He asked  for a further review.  He referred                                                               
to  slide  20, "Potential  System  Design  Policies for  Enhanced                                                               
Prevention," asked if  any of the policies  had been implemented,                                                               
and questioned why prevention was not more of a focus.                                                                          
                                                                                                                                
4:45:38 PM                                                                                                                    
                                                                                                                                
MS. ERICKSON, in  response to Representative Seaton,  said that a                                                               
duty  of the  Alaska  Health  Care Commission  was  to develop  a                                                               
strategy for improving  the health of Alaskans.   She shared that                                                               
a  2009  recommendation  from  the   Commission  was  to  explore                                                               
opportunities for  support of healthy  lifestyles.   She directed                                                               
attention to  slide 27,  "Status of  2009 Recommendations."   She                                                               
clarified  that  the  recommendations from  the  Commission  were                                                               
standing  recommendations  for  the  future, and  that  it  would                                                               
report each year on the  full body of recommendations relative to                                                               
what had  happened in  the state.   Returning attention  to slide                                                               
27,   she  indicated   that  the   governor's  "Choose   Respect"                                                               
initiative, the  Childhood Obesity Collaborative, and  the Alaska                                                               
Food Policy Council were 2010  activities which supported healthy                                                               
lifestyles.  She  stated that the report  included major policies                                                               
and  organizational  activities  undertaken in  the  health  care                                                               
industry during the year.                                                                                                       
                                                                                                                                
4:50:21 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE MILLETT asked why  substance and alcohol abuse was                                                               
not  addressed   by  either  the  2009   recommendations  or  the                                                               
governor's initiative.                                                                                                          
                                                                                                                                
4:51:19 PM                                                                                                                    
                                                                                                                                
MS. ERICKSON,  in response to  Representative Millett,  said that                                                               
the  2009 prevention  recommendation  was a  very generic  policy                                                               
suggestion.   She said  there were no  new initiatives,  but that                                                               
behavioral health  would be addressed  in the 2011  health status                                                               
report.   She noted that  the StopSuicideAlaska web portal  was a                                                               
new behavioral health initiative.                                                                                               
                                                                                                                                
REPRESENTATIVE  SEATON, referring  to  the use  of checklists  in                                                               
hospitals,  asked  if  the  Alaska  Health  Care  Commission  had                                                               
focused on procedures as a means to improving health.                                                                           
                                                                                                                                
DR. HURLBURT replied that the  Commission was trying to deal with                                                               
broader scope issues, not with specifics of clinical practice.                                                                  
                                                                                                                                
4:55:17 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  SEATON asked  to  see  that the  recommendations,                                                               
even though not specific, were followed.                                                                                        
                                                                                                                                
4:55:48 PM                                                                                                                    
                                                                                                                                
DR. HURLBURT  referred to slide  33, "New  2010 Recommendations,"                                                               
and declared that these recommendations  dealt primarily with the                                                               
use of  evidence-based medicine.   He  announced that  this dealt                                                               
with quality  and cost savings,  and he embraced  the suggestions                                                               
for follow up.                                                                                                                  
                                                                                                                                
4:57:03 PM                                                                                                                    
                                                                                                                                
CHAIR KELLER asked Representative  Seaton for more information on                                                               
his statement about malpractice rates.                                                                                          
                                                                                                                                
REPRESENTATIVE SEATON asked Dr.  Hurlburt if that information was                                                               
available.                                                                                                                      
                                                                                                                                
CHAIR KELLER  offered for  his staff to  contact the  Director of                                                               
the Division of Insurance for this information.                                                                                 
                                                                                                                                
4:58:29 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  DICK offered  his  belief that  high health  care                                                               
costs  were a  direct result  of what  the health  care providers                                                               
thought they could charge.                                                                                                      
                                                                                                                                
4:58:59 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Health  and  Social  Services   Standing  Committee  meeting  was                                                               
adjourned at 4:59 p.m.                                                                                                          

Document Name Date/Time Subjects