Legislature(1997 - 1998)

02/11/1998 09:00 AM Senate HES

Audio Topic
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
txt
      SENATE HEALTH, EDUCATION AND SOCIAL SERVICES COMMITTEE                   
                        February 11, 1998                                      
                            9:00 a.m.                                          
                                                                               
MEMBERS PRESENT                                                                
                                                                               
Senator Gary Wilken, Chairman                                                  
Senator Loren Leman, Vice-Chairman                                             
Senator Lyda Green                                                             
Senator Jerry Ward                                                             
Senator Johnny Ellis                                                           
                                                                               
MEMBERS ABSENT                                                                 
                                                                               
None                                                                           
                                                                               
COMMITTEE CALENDAR                                                             
                                                                               
Presentation by the State Independent Living Council (SILC)                    
                                                                               
SENATE CONCURRENT RESOLUTION NO. 14                                            
Establishing the Alaska Task Force on Parity for Mental Health.                
     HEARD AND HELD                                                            
                                                                               
PREVIOUS SENATE COMMITTEE ACTION                                               
                                                                               
SCR 14 - See HESS minutes dated 4/30/97, 1/30/98, and 2/4/98.                  
                                                                               
WITNESS REGISTER                                                               
                                                                               
Jim Burton, Chairman                                                           
State Independent Living Council                                               
1169 Hess Avenue                                                               
Fairbanks, Alaska  99709                                                       
POSITION STATEMENT:  Introduced members of the State Independent               
Living Council.                                                                
                                                                               
Howard Hedges                                                                  
P.O. Box 779                                                                   
Homer, Alaska  99603                                                           
POSITION STATEMENT:  Gave part of the presentation by the State                
Independent Living Council.                                                    
                                                                               
Cindy Lynn                                                                     
Box 1758                                                                       
Petersburg, Alaska  99833                                                      
POSITION STATEMENT:   Gave part of the presentation by the State               
Independent Living Council.                                                    
                                                                               
Joyanna Geisler                                                                
P.O. Box 2474                                                                  
Homer, Alaska  99603                                                           
POSITION STATEMENT:  Gave part of the presentation by the State                
Independent Living Council.                                                    
                                                                               
Ruth L'Hommedieu                                                               
P.O. Box 80127                                                                 
Fairbanks, Alaska  99708                                                       
POSITION STATEMENT:  Gave part of the presentation by the State                
Independent Living Council.                                                    
                                                                               
Jerie Best                                                                     
P.O. Box 426                                                                   
Soldotna, Alaska  99669                                                        
POSITION STATEMENT:  Gave part of the presentation by the State                
Independent Living Council.                                                    
                                                                               
ACTION NARRATIVE                                                               
                                                                               
TAPE 98-10, SIDE A                                                             
Number 001                                                                     
                                                                               
CHAIRMAN WILKEN called the Senate Health, Education and Social                 
Services (HESS) Committee to order at 9:05 a.m.  Present were                  
Senators Ellis, Leman, Green and Wilken.  The first order of                   
business before the committee was a presentation by the State                  
Independent Living Council (SILC).                                             
                                                                               
JIM BURTON, Chairman of the State Independent Living Council in                
Fairbanks, stated SILC is responsible for the concerns and                     
modification services for the disabled who live independently.  He             
introduced Howard Hedges of Homer, Cindy Lynn of Petersburg,                   
Joyanna Geisler of Homer, Ruth L'Hommedieu of Fairbanks, and Jerie             
Best of Soldotna who would be giving presentations to the committee            
today on behalf of SILC.                                                       
                                                                               
HOWARD HEDGES referred to a booklet entitled "Programs for People              
with Disabilities:  FY 99 Interdepartmental Budget Analysis and                
Recommendations," and specifically to page 10 which pertains to SB
253.  SB 253 will allow people with disabilities to purchase, on a             
sliding fee scale basis, health care coverage through the Medicaid             
program.  Mr. Hedges said many disabled people want to work but                
risk living without health care coverage because one must be                   
receiving public assistance to be eligible for Medicaid.  He                   
explained that in 1993 he had a stroke and became disabled.  He had            
no insurance at the time and his illness decimated his family's                
finances.  After three years of physical and occupational therapy,             
he was able to return to work.  When one returns to work after                 
receiving public assistance for a disability, a one-year clock                 
begins to tick, after which time the assistance is cut off.  He                
began working at the Kenai Independent Living Center and received              
a salary of $28,800 per year.  Private insurance for his family                
would have cost $705 per month with a $2500 deductible.  The Center            
was unable to provide insurance because it would have equaled 30               
percent of its budget, therefore he was laid off.  He once again               
received public assistance and Medicaid and was fortunate because              
in December he unexpectedly had heart surgery which cost $80,000.              
                                                                               
MR. HEDGES concluded by saying he would have preferred to continue             
to work and to pay a sliding fee scale premium for insurance but               
because of the structure of the Medicaid program, he cannot buy                
into Medicaid; he has to receive public assistance to be eligible              
for Medicaid coverage.                                                         
                                                                               
MR. HEDGES said he is caught in the dilemma of not being able to               
work so that he can maintain health care coverage through Medicaid.            
He knows he is high maintenance but he wants to return to work.                
There are many people in his situation who want to work but do not             
want to jeopardize their benefits because it is too risky.  He                 
urged the committee to support SB 253.                                         
                                                                               
CINDY LYNN discussed SB 266, described on page 11 of the Analysis              
and Recommendations booklet.  SB 266 creates a unique opportunity              
to provide affordable health care for over 11,000 children and 800             
pregnant mothers, paid for by individuals and families.  SB 266                
will also increase funding in over 34 existing programs and will               
not require a budget increase because the federal government is                
giving the states an additional 10 percent in Medicaid monies.                 
                                                                               
MS. LYNN informed committee members that SILC supports SB 266 as               
well as the Governor's Smart Start Program.  Alaska has the highest            
rate of child abuse in the nation. Disabled children are at a                  
higher risk of abuse, families with disabled children have a higher            
divorce rate, and disabled children have a higher out-of-home                  
placement rate.   Money invested in children and families saves                
state dollars in the long run, by preventing foster care placement,            
increased court costs, and jail time.                                          
                                                                               
MS. LYNN pointed out Alaska is unique in that many people are                  
either self-employed, work seasonally and do not have year-round               
insurance, or work for employers who do not offer insurance.  Many             
lower income families cannot afford insurance and are ineligible to            
receive aid.  In rural areas, most health care providers are not               
preferred providers which many insurance companies now require                 
their customers to use.  In Petersburg none of the doctors are                 
preferred providers, nor is the hospital, so she must pay a $100               
deductible requirement per day when she gets her blood drawn.  SB
266 would allow those Alaskans to purchase and pay for Medicaid                
coverage.  Medicaid will pay for preventive care, as well as dental            
work and nutritional education.  Medicaid also pays for emergency              
transportation which costs $12,000 one-way from Petersburg to                  
Seattle.                                                                       
                                                                               
Number 205                                                                     
                                                                               
SENATOR ELLIS asked if both SB 253 and SB 266 are in the Senate                
HESS committee.  CHAIRMAN WILKEN answered yes, both were sponsored             
by the Governor and were referred to the committee last week.                  
                                                                               
JOYANNA GEISLER thanked the committee for considering issues                   
important to SILC and the 88,000 Alaskans with disabilities.  She              
focused her remarks on independent living services, which are                  
described on page 19 of the Analysis and Recommendations booklet.              
Last year over 1,000 Alaskans received independent living services.            
at a cost of about $900 per person per year in combined state and              
federal dollars.  The cost of the services to the State was about              
$400, or 40 cents per person per day.  SILC believes the services              
it provides are cost effective and very important to people with               
disabilities.  Some of those services include assistance with ramp             
building and home modification, obtaining adaptive equipment, and              
helping people get back to work.                                               
                                                                               
MS. GEISLER explained independent living centers also assist                   
disabled people living in nursing homes who want to move into their            
own homes.   It took 1+  years for SILC to get a 30 year old mother            
out of a nursing home in Seward because, due to limited resources,             
staff was only able to go to Seward once a month for a couple of               
days.  The mother is now living at home, and is able to be with her            
daughter full time.  Setting up community supports for people being            
released from nursing homes takes time.  SILC is requesting                    
$100,000 to assist people who request to leave nursing homes, and              
to help people who are at risk of being placed in nursing homes.               
The $100,000 would be used to help set up the community supports               
necessary and this small initial investment will save the State                
hundreds of thousands of dollars in Medicaid costs.  On the Kenai              
Peninsula, a typical nursing home charges between $100,000 to                  
$200,000 per year.  Community living situations are estimated to               
cost one-third of that amount.                                                 
                                                                               
SENATOR GREEN asked if the specific purpose of the $100,000                    
increase is to develop, rather than implement, independent living              
plans.  MS. GEISLER replied the plan would include assisting                   
clients to live on their own by setting up community supports,                 
among other things.                                                            
                                                                               
CHAIRMAN WILKEN asked what a center for independent living looks               
like.  MS. GEISLER said SILC does not provide residential services.            
Independent living centers are staffed and governed by people with             
disabilities.  The Kenai Center has offices in Homer, Seward, and              
Soldotna.  The Center receives calls from people with disabilities             
and family members on a variety of subjects, such as the ADA and               
social security.  The Center does not always provide the direct                
service but teaches the person to get services themselves and to               
self-advocate.                                                                 
                                                                               
CHAIRMAN WILKEN asked if the centers are repositories of                       
information rather than homes.  MS. GEISLER said they are.                     
                                                                               
Number 301                                                                     
                                                                               
RUTH L'HOMMEDIEU, from Fairbanks, thanked committee members for                
passing SCR 19, pertaining to the Alaska Deaf, Hard of Hearing, and            
Deafblind Council.  She referred to page 32 of the Analysis and                
Recommendations booklet, which contains the Vocational                         
Rehabilitation budget and informed committee members she is                    
requesting an additional $350,000 to the budget.  This year the                
Division of Vocational Rehabilitation is operating with a $130,000             
cut in State funds to their budget.  That cut resulted in the loss             
of $130,000 in matching federal funds, so the division has suffered            
a total loss of $260,000 which was used to provide direct services             
to clients.  She said the $350,000 budget increase will cover the              
$260,000 loss, plus $90,000 to fund a counselor for the deaf, hard             
of hearing, and the deafblind, and a counselor for the blind, as               
well as direct services for that group of people.                              
                                                                               
MS. L'HOMMEDIEU said that last summer she found herself unemployed             
after working steadily for 15 years. She decided to apply for                  
vocational rehabilitation services and was placed with a counselor             
who has 150 clients.  On the third visit, which took about two                 
months, she was told she qualified for services.  On the fourth                
visit, the counselor informed her there were no funds available to             
help her.  She noted the overall unemployment rate in Alaska is 7.5            
percent; it is 66 percent for people with disabilities.  She asked             
committee members to remember that 66 percent when they consider               
the $350,000 budget increase request.                                          
                                                                               
Number 359                                                                     
                                                                               
JERIE BEST from Soldotna thanked the committee for moving HB 170               
out of committee last week.  She explained that 4-H youth who train            
puppies as service animals need the ability to bring those dogs                
everywhere to be socialized, before the dogs travel elsewhere for              
specialized training.                                                          
                                                                               
MS. BEST referred to page 12 of the Analysis and Recommendations               
booklet regarding enactment of a lemon law for adaptive devices for            
the disabled.  Currently no statute provides consumer protection               
for people with mobility aid devices.  Ms. Best gave ten examples              
of situations in which people purchased mobility devices that do               
not work correctly and were unable to receive replacements or                  
refunds.  She added these devices are often very expensive and few             
dealers and repair shops are located in Alaska.  She asked                     
committee members to support legislation that provides protection              
to the consumer, and noted that Representative Green plans to                  
introduce such legislation next week.                                          
                                                                               
MS. BEST informed the committee that accessibility to buildings                
required by the ADA is sorely lacking in Alaska.  DOTPF estimates              
it will cost $50 million to bring state facilities into compliance.            
The Governor has set aside $1 million in his budget this year for              
that purpose, which is a start.  She described the difficulty she              
encounters when trying to take care of motor vehicle business which            
must be done in person.  She cannot get inside the building because            
the door is not wide enough to accommodate her wheelchair.  She                
needs a handicap parking space permit because those parking spaces             
are the only ones wide enough to get her wheelchair out of her car.            
She is barely able to see over the counter.  She again urged                   
committee members to support increased funding for ADA compliance              
in state facilities and to support the ADA coordinator who plans to            
do training and has great ideas for compliance.                                
                                                                               
CHAIRMAN WILKEN noted he received Ms. Best's e-mail message last               
week.  He asked her what makes a wheelchair warranty different than            
a VCR warranty.  MS. BEST answered that wheelchairs are often                  
customized for an individual's needs.  CHAIRMAN WILKEN said the                
analogy would be a person adapting a VCR to his/her home and then              
not being able to return it.  MS. BEST agreed.                                 
                                                                               
CHAIRMAN WILKEN stated that ADA compliance in state facilities is              
one of the top three priorities of the Deferred Maintenance Task               
Force over the next five or six years.  MS. BEST commented the                 
University of Alaska is making great strides with ADA compliance.              
                                                                               
CHAIRMAN WILKEN thought most legislators agree that the Legislature            
has used a piecemeal approach to solve this problem.  They now                 
have the opportunity to fix it, and to fix it correctly.                       
                                                                               
SENATOR GREEN asked if a new lemon law would require litigation.               
MS. BEST said she did not think so because statutory protection                
alone will help individuals to get action.                                     
                                                                               
SENATOR LEMAN commented there are examples of situations where                 
governments have tried to impose changes on people in the name of              
ADA compliance, at great cost with almost no benefit.  He thought              
it is important to review which changes will be most effective in              
helping people to get access, such as wider doors.  MS. BEST said              
she thought people tend to make ADA too hard when it is actually a             
very creative law.  A town on the Kenai made a dock handicap                   
accessible by filling the large spaces between the planks with wide            
rope.                                                                          
                                                                               
SENATOR LEMAN admired Ms. Best's desire to find practical solutions            
and encouraged her to offer that advice to those who consider all              
of the changes that need to be made to be difficult.  MS. BEST said            
simple solutions do not always work and that each situation is                 
individual.                                                                    
                                                                               
Number 555                                                                     
                                                                               
MR. BURTON closed by saying that it would take more than 15 seconds            
to list the different ethnic groups or skin colors of people, but              
it is the amount of time it takes someone to join the growing                  
minority of disabled people.                                                   
                                                                               
CHAIRMAN WILKEN thanked Mr. Burton and everyone who addressed the              
committee.                                                                     
                                                                               
          SCR 14 - PARITY FOR MENTAL HEALTH TASK FORCE                         
                                                                               
CHAIRMAN WILKEN announced there were five amendments to SCR 14, and            
that version H was adopted by the committee at a previous meeting.             
                                                                               
SENATOR LEMAN moved to adopt amendment #1. SENATOR ELLIS objected              
and asked for an explanation.                                                  
                                                                               
TAPE 98-10, SIDE B                                                             
                                                                               
SENATOR LEMAN explained amendment #1 splits the tasks to be studied            
by the task force into a more understandable order, and more                   
importantly it requires the task force to identify and define the              
unmet mental health needs and then recommend ways to measure the               
effectiveness of treatment.                                                    
                                                                               
CHAIRMAN WILKEN announced the objection was not maintained,                    
therefore amendment #1 was adopted.                                            
                                                                               
SENATOR GREEN moved to adopt amendment #2 (labeled H.1).  SENATOR              
ELLIS objected.                                                                
                                                                               
SENATOR GREEN explained that amendment #2 requires the task force              
to determine and define the terms "mental disorders," "mental                  
illness," "serious mental illness," and "mental health consumers"              
before undertaking its study.  Those phrases are not defined in the            
resolution and can be very broad.                                              
                                                                               
SENATOR ELLIS said amendment #2 presumes that those terms are                  
currently undefined yet they may be in the field, in statute, or in            
regulation.  SENATOR GREEN said and if that is the case, those                 
definitions could be used.  SENATOR ELLIS clarified that Senator               
Green was not asking the task force to redefine those terms.                   
SENATOR GREEN emphasized the amendment would require the task force            
to define those terms for purposes of the work on the report they              
produce.                                                                       
                                                                               
SENATOR ELLIS removed his objection, therefore amendment #2 was                
adopted.                                                                       
                                                                               
SENATOR GREEN moved to adopt amendment #3 (labeled H.2).  There                
being no objection to the adoption of amendment #3, the motion                 
carried.                                                                       
                                                                               
SENATOR LEMAN noted he had no objection to amendment #3, but noted             
the number "5" on line 3 should be number "6."  SENATOR GREEN                  
agreed.                                                                        
                                                                               
SENATOR GREEN moved to adopt amendment #4.  SENATOR ELLIS objected.            
SENATOR GREEN explained the Mental Health Parity Act of 1996 did               
not include chemical dependency disorders.  Amendment #4 would                 
delete the inclusion of chemical dependency disorders from the task            
force's study on discrimination in health insurance policies.  The             
remainder of amendment #4 pertains to the makeup of the task force,            
because by narrowing the study, a net of three task force members              
would not be necessary.  However, to retain an odd number of task              
force members, one of the three positions was restored, and she                
arbitrarily chose one member who is employed as staff to a member              
of Congress simply to have connection with, and access to                      
information about, mental health parity on the congressional level.            
SENATOR GREEN repeated she does not think the task force needs to              
go beyond the boundaries of the Mental Health Parity Act by                    
including chemical dependency disorders.                                       
                                                                               
CHAIRMAN WILKEN commented that amendment #4 eliminates the                     
inclusion of tasks related to chemical dependency disorders and by             
doing so changes the make-up of the task force.                                
                                                                               
Number 448                                                                     
                                                                               
DON DAPCEVICH, Executive Director for the State Advisory Board on              
Alcoholism and Drug Abuse, testified against Amendment #4.  He                 
stated SCR 14 provides an opportunity to take a look at how                    
chemical dependency is affecting Alaskans, and to do so at no  cost            
to the state.  The task force will determine whether there is a                
cost benefit to including chemical dependency in any changes                   
considered in the future.  If there is no cost benefit, the task               
force's recommendations will reflect that.  The Mental Health Trust            
Authority has offered to share its resources so that the                       
Legislature will examine their beneficiaries, both mental health               
and chemical dependency beneficiaries.  Amendment #4 will prevent              
any discussion on the issue.  Mr. Dapcevich agreed chemical                    
dependency disorders are not included in the Mental Health Parity              
Act of 1996, but an amendment to include it is being introduced                
before Congress.  Each state taking up the issue of parity is                  
studying whether chemical dependency disorders should be included.             
Mr. Dapcevich emphasized the Alaska Advisory Board on Alcoholism               
and Drug Abuse will not know whether to support the issue of parity            
unless the task force studies the issue.  He strongly encouraged               
committee members to reject amendment #4.                                      
                                                                               
SENATOR LEMAN questioned whether there is a way to reword that                 
section by taking the phrase "chemical dependency disorders" out of            
subsection (1), and creating a separate subsection that identifies             
the study of the cost benefit relationship of chemical dependency              
disorders.  He believed it will not hurt to look at the issue and              
identify whether there is a cost benefit.                                      
                                                                               
MR. DAPCEVICH thought it would be wise to separate, in the report,             
chemical dependency issues from mental health issues.  He cautioned            
that excluding task force participation of professionals from the              
chemical dependency field will provide less than a perfect product             
in terms of participants and expertise.                                        
                                                                               
CHAIRMAN WILKEN said his sense is that although there is some                  
relationship between the two, the issues are different and should              
be studied separately.  He stated he supports the amendment for                
that reason.  He asked Mr. Dapcevich why the relationships between             
the two cannot be separated.                                                   
                                                                               
MR. DAPCEVICH thought the two issues can be separated for                      
expediency sake, but the Trust Authority does not distinguish                  
between the beneficiaries, and the parity issues for both groups               
are the same. Both have artificial caps on insurance, and the                  
rationale for exclusion is the same in many cases.                             
                                                                               
SENATOR GREEN mentioned that the original resolution pertained only            
to mental illness.  She said she is opposed to summarily saying, by            
implication, that substance abuse is mental illness.  If substance             
abuse leads to mental illness, that needs to be defined in the                 
definition of mental illness.                                                  
                                                                               
SENATOR ELLIS maintained his objection to the adoption of amendment            
Ward, Wilken, and Leman voting "yea," and Senator Ellis voting                 
"nay."                                                                         
                                                                               
SENATOR LEMAN said that although he voted for the amendment, he                
believes Mr. Dapcevich's point is valid.  He thought it would be               
more useful to have people serve on the task force with expertise              
in chemical dependency disorders, than to create two task forces.              
                                                                               
CHAIRMAN WILKEN noted SCR 14 has another referral to the Senate                
Finance Committee.  He asked Senator Leman if he would like to                 
offer another amendment at the next meeting.  SENATOR LEMAN asked              
Mr. Dapcevich to provide the committee with a subsection to add                
that specifically addresses the cost benefit of parity for chemical            
dependency disorders.                                                          
                                                                               
Number 398                                                                     
                                                                               
CHAIRMAN WILKEN said he is very reluctant to include chemical                  
dependency disorders because he thought it would be more beneficial            
to both issues to keep them separate.  He announced SCR 14 will be             
held until the next meeting on Monday.                                         
                                                                               
CHAIRMAN WILKEN offered amendment #5.  SENATOR ELLIS objected.                 
CHAIRMAN WILKEN explained the prior amendment eliminated chemical              
dependency disorders, therefore the annual cost to the state should            
be $187,272,000 rather than $432,072,000; and the phrase "annually             
costs the state at least" was changed to specify the actual cost in            
1996, to be more specific.                                                     
                                                                               
SENATOR ELLIS felt the committee's discussion was ironic given the             
Senate's strong bipartisan support for Sobriety Awareness Month.               
He agreed with Senator Leman's conclusion that the creation of a               
second task force to study chemical dependency disorders is                    
unlikely to occur.                                                             
                                                                               
SENATOR LEMAN questioned how Chairman Wilken obtained the 1996                 
costs.  CHAIRMAN WILKEN said he relied on an estimate from the                 
professionals.                                                                 
                                                                               
There being no further objection, amendment #5 was adopted.                    
CHAIRMAN WILKEN announced SCR 14 will be heard again on Monday,                
February 16.  He adjourned the meeting at 10:18 a.m.                           

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