Legislature(2023 - 2024)DAVIS 106

05/07/2024 03:00 PM House HEALTH & SOCIAL SERVICES

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Audio Topic
06:21:20 PM Start
06:22:18 PM SB236
06:53:39 PM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
-- Delayed to 10 Minutes Following Session --
+ SB 236 GRANTS TO DISASTER VICTIMS TELECONFERENCED
Moved CSSB 236(FIN) Out of Committee
-- Invited & Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
**Streamed live on AKL.tv**
                    ALASKA STATE LEGISLATURE                                                                                  
      HOUSE HEALTH AND SOCIAL SERVICES STANDING COMMITTEE                                                                     
                          May 7, 2024                                                                                           
                           6:21 p.m.                                                                                            
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Mike Prax, Chair                                                                                                 
Representative Justin Ruffridge, Vice Chair                                                                                     
Representative CJ McCormick                                                                                                     
Representative Dan Saddler                                                                                                      
Representative Zack Fields                                                                                                      
Representative Genevieve Mina                                                                                                   
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Jesse Sumner                                                                                                     
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
CS FOR SENATE BILL NO. 236(FIN)                                                                                                 
"An Act relating to grants to disaster victims."                                                                                
                                                                                                                                
     - MOVED CSSB 236(FIN) OUT OF COMMITTEE                                                                                     
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: SB 236                                                                                                                  
SHORT TITLE: GRANTS TO DISASTER VICTIMS                                                                                         
SPONSOR(s): SENATOR(s) KIEHL                                                                                                    
                                                                                                                                
02/15/24       (S)       READ THE FIRST TIME - REFERRALS                                                                        
02/15/24       (S)       CRA, FIN                                                                                               
02/22/24       (S)       CRA AT 1:30 PM BELTZ 105 (TSBldg)                                                                      
02/22/24       (S)       Heard & Held                                                                                           
02/22/24       (S)       MINUTE(CRA)                                                                                            
02/29/24       (S)       CRA AT 1:30 PM BELTZ 105 (TSBldg)                                                                      
02/29/24       (S)       Moved SB 236 Out of Committee                                                                          
02/29/24       (S)       MINUTE(CRA)                                                                                            
03/01/24       (S)       CRA RPT 4DP                                                                                            
03/01/24       (S)       DP:   DUNBAR,   GRAY-JACKSON,   GIESSEL,                                                               
                         BJORKMAN                                                                                               
03/12/24       (S)       FIN AT 9:00 AM SENATE FINANCE 532                                                                      
03/12/24       (S)       Heard & Held                                                                                           
03/12/24       (S)       MINUTE(FIN)                                                                                            
04/17/24       (S)       FIN AT 9:00 AM SENATE FINANCE 532                                                                      
04/17/24       (S)       Moved CSSB 236(FIN) Out of Committee                                                                   
04/17/24       (S)       MINUTE(FIN)                                                                                            
04/19/24       (S)       FIN RPT CS 3DP 2NR   SAME TITLE                                                                        
04/19/24       (S)       DP: STEDMAN, KIEHL, BISHOP                                                                             
04/19/24       (S)       NR: WILSON, MERRICK                                                                                    
04/29/24       (S)       TRANSMITTED TO (H)                                                                                     
04/29/24       (S)       VERSION: CSSB 236(FIN)                                                                                 
05/01/24       (H)       READ THE FIRST TIME - REFERRALS                                                                        
05/01/24       (H)       HSS, FIN                                                                                               
05/07/24       (H)       HSS AT 3:00 PM DAVIS 106                                                                               
                                                                                                                                
WITNESS REGISTER                                                                                                              
                                                                                                                                
SENATOR JESSE KIEHL                                                                                                             
Alaska State Legislature                                                                                                        
Juneau, Alaska                                                                                                                  
POSITION STATEMENT:  As prime sponsor, introduced SB 236.                                                                     
                                                                                                                                
ANGELA LAFLAMME, Legislative Liaison                                                                                            
Department of Military & Veterans' Affairs                                                                                      
Anchorage, Alaska                                                                                                               
POSITION  STATEMENT:     Answered  questions  regarding  disaster                                                             
relief in Alaska.                                                                                                               
                                                                                                                                
ACTION NARRATIVE                                                                                                              
                                                                                                                                
6:21:20 PM                                                                                                                    
                                                                                                                                
CHAIR PRAX called  the House Health and  Social Services Standing                                                               
Committee  meeting  to  order  at   6:21  p.m.    Representatives                                                               
Ruffridge, Saddler,  Fields, Mina, and  Prax were present  at the                                                               
call to order.  Representatives  Saddler and McCormick arrived as                                                               
the meeting was in progress.                                                                                                    
                                                                                                                                
               SB 236-GRANTS TO DISASTER VICTIMS                                                                            
                                                                                                                                
6:22:18 PM                                                                                                                    
                                                                                                                                
CHAIR PRAX announced that the only  order of business would be CS                                                               
FOR  SENATE BILL  NO. 236(FIN),  "An  Act relating  to grants  to                                                               
disaster victims."                                                                                                              
                                                                                                                                
6:23:03 PM                                                                                                                    
                                                                                                                                
SENATOR JESSE KIEHL, Alaska State  Legislature, as prime sponsor,                                                               
introduced  SB 236  to the  committee, explaining  that the  bill                                                               
expands and  brings parity to  Alaska's disaster  assistance law.                                                               
He described  natural disasters  as a  statewide issue  in Alaska                                                               
and spoke about  learning about some deficiencies  in the current                                                               
disaster assistance program.   He opined that  Alaska is uncommon                                                               
among  the  states  in  that  its  residents  help  their  fellow                                                               
Alaskans when "disasters knock them  flat, even if Uncle Sam does                                                               
not."  When the governor  declares a disaster, Alaska can provide                                                               
disaster  assistance.    If  the  President  declares  a  federal                                                               
disaster,  Federal Emergency  Management  Agency (FEMA)  provides                                                               
more  resources  and  programs.    Senator  Kiehl  described  the                                                               
skilled  and  capable team  at  the  Department of  Military  and                                                               
Veterans'  Affairs  (DMVA)  in the  Homeland  Security  Emergency                                                               
Management  Division, lauding  the work  they do  to help  Alaska                                                               
disaster victims get on the road to recovery.                                                                                   
                                                                                                                                
SENATOR  KIEHL went  on to  say that  the assistance  provided to                                                               
homeowners is not  available to all homeowners.   If the disaster                                                               
damages  a  condo,  the  way   Alaska's  statutes  are  currently                                                               
written, the program  can't help a condo owner who  is assessed a                                                               
share of damage to the common  property, for example, if there is                                                               
damage to  the roof, the  foundation, or the exterior  wall, that                                                               
is part  of the common property,  and there is no  state disaster                                                               
assistance available for the individual  homeowner.  He explained                                                               
that  SB 236  fixes that,  bringing straight  parity such  as the                                                               
relief provided to  a single-family homeowner.   Another issue he                                                               
discussed was  the amount of  disaster assistance provided.   For                                                               
example,  FEMA  offers  several  programs  which  are  capped  at                                                               
$42,000.   Alaska's relief currently provides  $21,000, an amount                                                               
that  has not  kept  up  with inflation.    The  bill before  the                                                               
committee raises that amount to  $50,000.  Senator Keihl spoke of                                                               
conversations with homeowners who said  that 50,000 will not make                                                               
them  whole.   It  is not  the purpose  of  state level  disaster                                                               
relief  to make  the homeowner  whole; it  is to  help start  the                                                               
process of getting back on their feet.                                                                                          
                                                                                                                                
6:28:12 PM                                                                                                                    
                                                                                                                                
CHAIR PRAX noted the sectional  analysis for SB 236 was available                                                               
in the committee packet.                                                                                                        
                                                                                                                                
6:28:49 PM                                                                                                                    
                                                                                                                                
CHAIR  PRAX   opened  public   testimony  on   SB  236.     After                                                               
ascertaining there  was no one  who wished to testify,  he closed                                                               
public testimony on SB 236                                                                                                      
                                                                                                                                
6:29:46 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  FIELDS  inquired  about  any  type  of  analysis,                                                               
retrospectively or  looking to  Alaska's future,  regarding types                                                               
of disasters, potential costs, and range of projections.                                                                        
                                                                                                                                
6:30:31 PM                                                                                                                    
                                                                                                                                
SENATOR KIEHL responded that he  did not have that information at                                                               
this  time.   He said  there is  no question  that the  number of                                                               
disasters has  been rising, especially  wildfires.  The  DMVA has                                                               
looked  into   hypothetical  numbers,  so  he   deferred  to  the                                                               
department.                                                                                                                     
                                                                                                                                
REPRESENTATIVE  FIELDS requested  information  about cases  where                                                               
there may be  the risk of repeated disaster and  what process, if                                                               
any, and what  analysis the department uses  to determine whether                                                               
it  is  better  to  rebuild  in place  or  relocate  to  a  safer                                                               
location.                                                                                                                       
                                                                                                                                
SENATOR  KIEHL  explained  that  the  department  does  not  have                                                               
requirements that  he is  aware of.   Many local  governments use                                                               
their  planning  authorities,  and   there  are  certain  federal                                                               
programs which reward planning that  reduces the risk of disaster                                                               
such as  flood mapping  to make types  of insurance  available at                                                               
attainable  costs.   He deferred  to the  department for  details                                                               
about potential counseling for individual Alaskans.                                                                             
                                                                                                                                
REPRESENTATIVE FIELDS  referred to  a previous hearing  where the                                                               
committee heard  about disincentives  of people to,  for example,                                                               
map  out a  landslide hazard  because  it might  make swathes  of                                                               
homes uninsurable.  He spoke  of the increased risk of landslides                                                               
in Southeast and  wildfires in Anchorage and in  the Interior and                                                               
wondered  if the  bill had  prompted conversations  regarding the                                                               
role  of  the  state  and local  governments  in  these  planning                                                               
activities  to balance  awareness  and  prevention versus  making                                                               
huge swathes of homes uninsurable because of an elevated risk.                                                                  
                                                                                                                                
SENATOR  KIEHL responded  that  it was  a  large and  overarching                                                               
discussion.    The  current  state   law  says  these  are  local                                                               
decisions, although  the state requires comprehensive  plans from                                                               
any  municipality  that   has  planning  powers.     That  is  an                                                               
appropriate  place for  communities  to work  on those  difficult                                                               
questions.   Many  communities' plans  and zoning  powers address                                                               
high hazard areas  and prohibit building or  reducing the density                                                               
of building in those high hazard  areas.  He pointed out that the                                                               
municipalities have  to work  on and  decide with  their citizens                                                               
the painful  issues regarding existing neighborhoods  and private                                                               
property  rights as  well as  the economic  and potential  public                                                               
safety impact.                                                                                                                  
                                                                                                                                
6:34:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER  called Senator  Kiehl's attention  to the                                                               
fiscal note and asked for help in reconciling some numbers.                                                                     
                                                                                                                                
SENATOR KIEHL responded that it was  a rounding error on his part                                                               
and that, precisely  stated, it would be half  the maximum amount                                                               
the federal program pays.   The federal program amount is indexed                                                               
to inflation and uses a Consumer  Price Index (CPI) inflater.  He                                                               
stated that  the DMVA would  have information much closer  to the                                                               
actual dollar amount.                                                                                                           
                                                                                                                                
6:35:24 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS  stated that in  the longer term,  he hopes                                                               
the state invests a reasonable  amount of money for helping local                                                               
governments  to  plan  for changing  conditions  as  well  simply                                                               
compensating homeowners after an event has happened.                                                                            
                                                                                                                                
SENATOR  KIEHL said  he appreciated  the insights  concerning the                                                               
topic and acknowledged that there  is no community in Alaska that                                                               
will not struggle with that question.                                                                                           
                                                                                                                                
6:36:31 PM                                                                                                                    
                                                                                                                                
CHAIR PRAX questioned  whether this bill was the  same concept as                                                               
insurance  and  whether  federal flood  or  earthquake  insurance                                                               
would apply  to the  situation that occurred  in Juneau  when the                                                               
Mendenhall River flooded.                                                                                                       
                                                                                                                                
SENATOR  KIEHL  compared  insurance and  disaster  relief  funds,                                                               
pointing out that  they are similar in that both  occur after the                                                               
event.  However,  he reiterated that the  disaster relief program                                                               
is not an attempt to make someone  whole.  In addition, it is not                                                               
limited  by  risks that  are  calculated  whereas insurance  does                                                               
calculate risks.   He  referred to  an earlier  conversation with                                                               
the director  of the Division  of Insurance that  losses Alaskans                                                               
suffer in  natural disasters  are things  against which  a person                                                               
cannot insure  such as landslides  or movement of the  earth that                                                               
might undercut  a foundation.  In  the case of a  flood where the                                                               
water does damage  and goes away, a person is  covered, but if it                                                               
moves the  soil and your house  falls, that is not  covered.  The                                                               
director of insurance  also noted that disaster  insurance is not                                                               
motivation  to  be  underinsured because  the  amounts  available                                                               
cannot make  a person  whole, and  many of  the harms  that might                                                               
occur are not insurable.                                                                                                        
                                                                                                                                
6:40:04 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS asked the  DMVA legislative liaison whether                                                               
it  would  be  duplicative  to   ask  the  DMVA  to  provide  the                                                               
legislature with  a menu of  options to assist  local governments                                                               
for   mitigation  and   response   planning  including   ensuring                                                               
reconstruction  following  a  disaster and  minimizing  structure                                                               
risk where there is a high likelihood of recurring disaster.                                                                    
                                                                                                                                
ANGELA LAFLAMME,  Legislative Liaison,  Department of  Military &                                                               
Veterans' Affairs,  explained that the department  does work with                                                               
communities that  request help on  planning for  preparedness for                                                               
disasters  and  also  after disaster  response  to  help  prevent                                                               
things  from happening  again.   All  the  mitigation funding  in                                                               
these  instances  comes from  the  federal  mitigation plan;  the                                                               
state has no mitigation planning.                                                                                               
                                                                                                                                
REPRESENTATIVE FIELDS  asked for clarification  regarding whether                                                               
the  state  helps  communities plan  for  damage  from  recurring                                                               
events.                                                                                                                         
                                                                                                                                
MS. LAFLAMME responded  that there is not  mitigation in disaster                                                               
response which  instead focuses  on returning  the infrastructure                                                               
to pre-disaster condition.                                                                                                      
                                                                                                                                
REPRESENTATIVE FIELDS presented a  hypothetical scenario in which                                                               
the disaster relief team responded  to a landslide in a community                                                               
and saw a  slope with a similar angle and  vegetation which would                                                               
potentially have  a high risk of  sliding.  He asked  whether the                                                               
MLVA  team would  be able  to  help a  local government  mitigate                                                               
potential future disasters.                                                                                                     
                                                                                                                                
MS. LAFLAMME  responded that  the department can  do that  when a                                                               
community asks  for it,  although it does  not proactively  go to                                                               
communities.    She  noted  that  there  is  a  preparedness  and                                                               
planning  process through  [a  section]  within the  department's                                                               
Division  of Homeland  Security and  Emergency Management  (HSEM)                                                               
that can help the community.                                                                                                    
                                                                                                                                
6:42:27 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE SADDLER  commented on his understanding  that DMVA                                                               
has  disaster relief  and  response and  that it  seems  to be  a                                                               
passive  response.   He  further  noted  that the  Department  of                                                               
Natural  Resources does  have the  Seismic Hazard  Safety Council                                                               
which tries  to identify areas  of seismic activity  to recommend                                                               
places  for building  to try  to mitigate  future disasters.   In                                                               
addition, as  a response to  the landslides in  Southeast Alaska,                                                               
the Division of  Geological and Geophysical Surveys  has tried to                                                               
map  areas  where  the  soil saturation,  the  slope,  and  other                                                               
factors might contribute to landslides.                                                                                         
                                                                                                                                
6:43:19 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE FIELDS  addressed a  question to the  bill sponsor                                                               
regarding whether  there is value  in adding language  asking the                                                               
department to come  back to the legislature regarding  how it can                                                               
better support  local governments to work  on planning mitigation                                                               
where there is a high likelihood of future disasters.                                                                           
                                                                                                                                
MS. LAFLAMME  restated that  the HSEM  can work  on that  type of                                                               
planning,  and she  offered to  speak with  Representative Fields                                                               
further on the issue.                                                                                                           
                                                                                                                                
6:44:26 PM                                                                                                                    
                                                                                                                                
CHAIR PRAX  explained that  he was  troubled by  possibility that                                                               
the bill might create what is  referred to in the insurance world                                                               
as  a morale  hazard  as opposed  to  a moral  hazard.   He  gave                                                               
several examples  and said  there is a  huge problem  to address.                                                               
He  opined that  Band-aid  approaches do  not  address the  whole                                                               
picture  which   includes  extreme  risks  and   asked  what  the                                                               
estimated average expenditure over time  would be for the MLVA to                                                               
provide disaster response and disaster relief.                                                                                  
                                                                                                                                
MS. LAFLAMME responded that she did  not know what the average is                                                               
over the years, pointing out  that each disaster is different and                                                               
there are  many variables such  as how many people  are affected;                                                               
how many people qualify under  the individual assistance program;                                                               
and whether or not a federal disaster is also declared.                                                                         
                                                                                                                                
6:48:13 PM                                                                                                                    
                                                                                                                                
SENATOR  KIEHL provided  budgetary perspective,  stating that  in                                                               
recent  years   the  state's  disaster  fund   expenditures  have                                                               
averaged  approximately $30  million per  year.   He pointed  out                                                               
that this  amount increased tremendously year-over-year  citing a                                                               
recent  year when  the costs  were about  $5 million  and another                                                               
when they were over $50 million.   He explained that this funding                                                               
helped  Alaskans start  to get  back on  their feet  but did  not                                                               
provide the  type of  significant relief  offered by  the federal                                                               
government.  He  emphasized the complexity of the  issue and said                                                               
he  could  not give  the  committee  a thorough  fiscal  analysis                                                               
because of the many variables.   He provided specific examples of                                                               
federal disaster programs.  The state  can afford to pay a little                                                               
bit of assistance for actual amounts  up to the limits for things                                                               
like  an  owner-occupied home.    He  said  the bill  before  the                                                               
committee increases  the amount a  little, and  if the home  is a                                                               
condo,  the  situation  is  treated equitably  to  someone  in  a                                                               
single-family home.   He  stated that the  bill does  not address                                                               
the  hardening of  communities and  homeowners against  potential                                                               
disasters, citing examples  from districts around the  state.  He                                                               
agreed with Chair  Prax that more preparedness  planning is good.                                                               
He concluded that  when a disaster hits, this  bill extends help,                                                               
and a little help goes a long way.                                                                                              
                                                                                                                                
6:51:57 PM                                                                                                                    
                                                                                                                                
The committee took an at-ease from 6:51 p.m. to 6:53.                                                                           
                                                                                                                                
6:53:08 PM                                                                                                                    
                                                                                                                                
REPRESENTATIVE  RUFFRIDGE moved  to report  CSSB 236(FIN)  out of                                                               
committee  with individual  recommendations and  the accompanying                                                               
fiscal  notes.   There  being  no  objection, CSSB  236(FIN)  was                                                               
reported out  of the  House Health  and Social  Services Standing                                                               
Committee.                                                                                                                      
                                                                                                                                
6:53:39 PM                                                                                                                    
                                                                                                                                
ADJOURNMENT                                                                                                                   
                                                                                                                                
There being no  further business before the  committee, the House                                                               
Health  and  Social  Services   Standing  Committee  meeting  was                                                               
adjourned at 6:53 p.m.                                                                                                          

Document Name Date/Time Subjects
SB 236 Fiscal Note MVA-DHSEM.pdf HHSS 5/7/2024 3:00:00 PM
SB 236
SB 236 Sponsor Statement.pdf HHSS 5/7/2024 3:00:00 PM
SB 236
SB 236 Sectional Analysis.pdf HHSS 5/7/2024 3:00:00 PM
SB 236
SB 236 Support Letters (2.28.24).pdf HHSS 5/7/2024 3:00:00 PM
SB 236
SB 236 Version R.pdf HHSS 5/7/2024 3:00:00 PM
SB 236
SB 236 CAI Testimony.pdf HHSS 5/7/2024 3:00:00 PM
SB 236
SB 236 Thorne Support.pdf HHSS 5/7/2024 3:00:00 PM
SB 236
SB 236 Allmeroth Testimony.pdf HHSS 5/7/2024 3:00:00 PM
SB 236
SB 236 Neseth_Redacted.pdf HHSS 5/7/2024 3:00:00 PM
SB 236