Legislature(1993 - 1994)
04/30/1994 02:30 PM Senate HES
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* first hearing in first committee of referral
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+ teleconferenced
= bill was previously heard/scheduled
SENATE HEALTH, EDUCATION AND SOCIAL SERVICES COMMITTEE
April 30, 1994
2:30 p.m.
MEMBERS PRESENT
Senator Steve Rieger, Chairman
Senator Bert Sharp, Vice-Chairman
Senator Loren Leman
Senator Mike Miller
Senator Jim Duncan
MEMBERS ABSENT
Senator Johnny Ellis
Senator Judy Salo
COMMITTEE CALENDAR
CS FOR HOUSE BILL NO. 409(FIN) am(efd fld)
"An Act relating to the maximum amount of assistance that may be
granted under the adult public assistance program and the program
of aid to families with dependent children; proposing a special
demonstration project within the program of aid to families with
dependent children and directing the Department of Health and
Social Services to seek waivers from the federal government to
implement the project."
HOUSE JOINT RESOLUTION NO. 47 am
Relating to schools on military installations.
CS FOR HOUSE BILL NO. 506(FIN) am
"An Act relating to student loans; to sanctions for defaulting on
a student loan, including denial of a state occupational license;
and providing for an effective date."
SENATE BILL NO. 346
"An Act requiring that charitable gaming permittees, operators, and
vendors may not turn over a pull tab or bingo prize of $50 or more
to a person entitled to that prize unless the person provides
certain information to the permittee, operator, or vendor and signs
a receipt for the prize; requiring the reporting of winners of
prizes of $50 or more to the Department of Health and Social
Services to ensure that recipients of services provided by the
Department of Health and Social Services are reporting charitable
gaming winnings and are eligible for those services."
HOUSE BILL NO. 472
"An Act relating to referrals involving dental services."
CS FOR HOUSE BILL NO. 478(HES) am
"An Act relating to the authority of mobile intensive care
paramedics, physician assistants, and emergency medical technicians
to pronounce death under certain circumstances."
CS FOR HOUSE BILL NO. 507(FIN)
"An Act relating to licensure by the State Medical Board and
temporary permits for certain optometrists."
SPONSOR SUBSTITUTE FOR HOUSE JOINT RESOLUTION NO. 54
Relating to medical savings account legislation.
HOUSE JOINT RESOLUTION NO. 52
Urging the Congress to amend the Social Security Act so that the
higher cost of living in Alaska is reflected when the per capita
income of the state is used as a factor in determining the federal
share of Medicaid costs.
HOUSE BILL NO. 324
"An Act extending the termination date of the Board of Dental
Examiners; and providing for an effective date."
PREVIOUS SENATE COMMITTEE ACTION
HB 409 - See Health, Education & Social Services minutes dated
4/18/94.
HJR 47 - No previous action to record.
HB 506 - See Health, Education & Social Services minutes dated
4/25/94.
SB 346 - See Labor & Commerce minutes dated 3/31/94 and Health,
Education & Social Services minutes dated 4/15/94, 4/18/94
and 4/25/94.
HB 472 - See Health, Education & Social Services minutes dated
4/15/94, 4/18/94 and 4/25/94.
HB 478 - See Health, Education & Social Services minutes dated
4/25/94.
HB 507 - See Health, Education & Social Services minutes dated
4/25/94.
HJR 54 - See Health, Education & Social Services minutes dated
4/15/94, 4/18/94 and 4/25/94.
HJR 52 - No previous action to record.
HB 324 - No previous action to record.
WITNESS REGISTER
Michelle Toohey, Legislative Assistant
Representative Hanley
State Capitol
Juneau, Alaska 99801-1182
POSITION STATEMENT: Not opposed to the HESS CS.
Curt Lomas, Division of Public Assistance
Department of Health & Social Services
P.O. Box 110640
Juneau, Alaska 99811-0640
POSITION STATEMENT: Expressed concerns with section 7 and 8 of
HB 409.
Representative Eldon Mulder
Prime Sponsor
State Capitol
Juneau, Alaska 99801-1182
POSITION STATEMENT: Reviewed HJR 47.
Dennis Porter, Executive Officer
Task Force Member
1700 7th Street Unit B
Elmendorf AFB, Alaska 99506
POSITION STATEMENT: Reviewed HJR 47.
Representative Gary Davis
Prime Sponsor
State Capitol
Juneau, Alaska 99801-1182
POSITION STATEMENT: Reviewed HB 472.
Eric Forrer, Member
University of Alaska Board of Regents
Post Secondary Education Commission
Juneau, Alaska
POSITION STATEMENT: Urged passage of HB 506.
Joe McCormick, ACPE
3030 Vintage Boulevard
Juneau, Alaska 99801
POSITION STATEMENT: Supports HB 506
Roxanne Rohweder, Staff to Representative
Jim Nordlund
State Capitol
Juneau, AK 99801-1182
POSITION STATEMENT: Offered information on HJR 52
Jack Phelps, Staff to Representative Pete Kott
State Capitol
Juneau, AK 99801-1182
POSITION STATEMENT: Offered information on SSHJR 54
Representative Gene Therriault
State Capitol
Juneau, AK 99801-1182
POSITION STATEMENT: Prime Sponsor of HB 478
Mark Johnson, Chief, Emergency Medical
Services
Division of Public Health
Department of Health & Social Services
P.O. Box 110616
Juneau, AK 99811-0616
POSITION STATEMENT: Testified in support of HB 478
ACTION NARRATIVE
TAPE 94-35, SIDE A
Number 003
CHAIRMAN RIEGER called the Senate Health, Education and Social
Services (HESS) Committee to order at 2:30 p.m. He introduced
HB 409 (AFDC DEMO PROJECT AND DECREASE) as the first order of
business. He noted that there was a proposed HESS CS which would
delete the statutory reductions in AFDC and APA and incorporates
other minor changes.
SENATOR MILLER moved to adopt the HESS CS, the 8-LS1211\S version,
in lieu of the original bill. Hearing no objections, the CS was
adopted.
MICHELLE TOOHEY, Legislative Assistant to Representative Hanley,
stated that they did not have any opposition to the CS.
CURT LOMAS, Division of Public Assistance in the Department of
Health and Social Services, said that he was representing Jan
Hansen. He addressed Sections 7 and 8 which would cap the amount
of payments in AFDC and APA at the levels in effect in 1992. He
stated that there was a problem with the language tying benefit
levels to January of 1992 because of the restructuring of the
standards in last years bill. He did not believe that Sections 7
and 8 were necessary.
CHAIRMAN RIEGER explained that those sections were present in order
to conform to the title. He asked if Mr. Lomas had conforming
language to offer. CURT LOMAS suggested that they change the dates
in sections 7 and 8 to October 1993 which would eliminate the
technical problem.
Number 085
SENATOR MILLER moved to adopt the amendment changing the date from
"January 1992" to "October 1993." Hearing no objections, it was
adopted.
CURT LOMAS pointed out another issue with Section 8. He explained
that existing language under HB 67 makes cost of living awards
contingent upon specific appropriations by the Legislature for that
purpose. Section 8 appears to conflict with that provision which
seems to indicate a potential problem.
CHAIRMAN RIEGER asked if Mr. Lomas had suggested language to
address that problem. Chairman Rieger asked if Mr. Lomas was in
doubt to the possibility of a problem regarding this issue. CURT
LOMAS said that he was not certain that there was a problem, but he
thought that he could propose some language if given some time.
CHAIRMAN RIEGER set HB 409 aside in order to give Mr. Lomas time to
come up with language to speak to this problem in Section 8.
Number 127
CHAIRMAN RIEGER introduced HJR 47 (FUNDS TO UPGRADE MILITARY BASE
SCHOOLS) as the next order of business before the committee.
REPRESENTATIVE ELDON MULDER, Prime Sponsor, said that the Military
Schools Task Force evaluated the problem of lack of repairs and
repair funding for the school base schools. There is approximately
a $52 million backload of work needed to bring these schools up to
minimal standards. He explained that the municipalities within
which the schools reside are not allowed to bond for the upgrades
of these schools since they do not own the schools while the school
districts are hesitant to transfer or accept ownership of the
schools until they are upgraded. HJR 47 along with a $26 million
appropriation bill would attempt to cooperatively reach an
agreement between the state and the federal government in order to
address this problem. He pointed out that they would propose a 50-
50 match between the state and federal government. The federal
government has allocated $10 million towards these type schools
nation wide. HJR 47 and some funding from the budget would work
towards securing the funds needed to upgrade these schools.
DENNIS PORTER, Executive Officer to General Ralston and member of
the Task Force, said that this resolution would be used to lobby
the federal government in order to free up funds from them. He
pointed out that the current Deputy Secretary of Education,
Madeline Cunin, will be coming to Alaska to see the problems on
school base installation facilities. Hopefully, she will
acknowledge the problems, realize the slowness of the funding,
recognize that Alaska is trying to satisfy the immediate needs
while looking to the long term. He encouraged the committee's
support of HJR 47.
SENATOR LEMAN inquired as to Representative Mulder's comment
regarding funding from the budget this year. He expressed concern
with the inability to identify an amount from the $10 million that
would be available in Alaska. He said that he did not see
references to the military schools task force in HJR 47, and he
asked if that is an intentional omission.
REPRESENTATIVE MULDER explained that the 50-50 match was not
included in HJR 47, the appropriations bill was the 50-50 match.
The omission was intentional in order to recognize budgetary
constraints, but everything would be done to try to provide that
match. He felt that the match was a reasonable alternative. He
noted that this problem affects the security of these bases in
terms of evaluation. They are trying to push some kind of funding
in the House. He mentioned the Aurora school and its problem.
SENATOR LEMAN thought that Representative Mulder had mentioned
funding this year on the 50-50 match. REPRESENTATIVE MULDER noted
the presence of a proposal regarding some school construction
money.
SENATOR MILLER moved HJR 47 as amended out of committee with
individual recommendations. Hearing no objections, it was so
ordered.
Number 230
CHAIRMAN RIEGER introduced HB 472 (REFERRALS INVOLVING DENTAL
SERVICES) as the next order of business before the committee.
REPRESENTATIVE GARY DAVIS, Prime Sponsor, explained that HB 472
would deal with the problems encountered in the ethics code of the
Alaska Dental Society regarding referrals. HB 472 would add a new
section to the statutes regarding the Board of Dental Examiners.
He pointed out that the section would merely codify the portion of
their ethics code which speaks to referrals.
SENATOR LEMAN asked if HB 472 would prevent a dentist who goes on
vacation from referring a patient to another dentist if that favor
is returned later. REPRESENTATIVE DAVIS stated that HB 472 would
only prohibit dentists from receiving compensation for a referral,
but it would not eliminate advertising or referrals.
SENATOR MILLER moved HB 472 out of committee with individual
recommendations. Hearing no objections, it was so ordered.
Number 278
CHAIRMAN RIEGER introduced HB 506 (STUDENT LOAN PROGRAM) as the
next order of business before the committee.
ERIC FORRER, Member of the University of Alaska Board of Regents
and Postsecondary Education Commission, explained that HB 506
speaks to the Postsecondary Education Commission's primary
responsibility of turning the student loan fund into a revolving
fund. This fund is approximately $500 million in state investments
which should be self-supporting. He indicated that the
commission's goal was vigorous management of this fund. He said
that with such high capital, it is easy to lose track of this bad
situation. Strict management of this fund is necessary for the
long term.
Mr. Forrer mentioned that the portion of HB 506 which denies the
reissuance of a license by the state to an individual whose student
loan was in arrears. He did not believe that discussion was about
the correct issue. He felt that it would be more onerous not to
require people to be in good standing with their student loan than
to require it. That would illustrate the commission's seriousness
about rigorous management of the fund. He urged passage of HB 506.
CHAIRMAN RIEGER expressed concern with the first section of HB 506
regarding the denial of an occupational license. He did not think
that any other lender in Alaska could go to the Department of
Commerce and request for denial of an occupational license of a
borrower who is in default. He suggested that on page 1, line 12
after "licensee," the following clause be inserted: "and the
balance owing on the loan is $100,000." Super agencies with more
power than those of the lending community should not be created.
He also indicated concerns with the statutory provisions regarding
assigning wages for a defaulted loan.
Number 363
JOE MCCORMICK explained that the Alaska student loan program is a
non-collateralized loan. He pointed out that this section speaks
to the renewal of a license not the initial license. The section
is more like a concept, a reminder. He noted that reminding an
individual that their Alaska student loan is in arrears when they
renew their occupational license is common practice in many other
states. That would send a message to the borrower that the state
of Alaska is serious about the repayment of student loans.
SENATOR MILLER inquired as to the ability of pursuing an individual
whose loan is in arrears through legal procedures. JOE MCCORMICK
said that eventually that could happen. A judgement or garnishment
of wages of the borrower could occur. Mr. McCormick reiterated the
importance of sending the message to the bond market and the
borrower that the state of Alaska does expect a borrower to repay
their loan.
SENATOR MILLER felt that the majority of non-payers are individuals
living outside of the state. JOE MCCORMICK said that was not
necessarily the case. The percentage of individuals with
occupational licenses who have delinquent loans are less than 10
percent. Mr. McCormick explained that this would not be a
mechanism in which to collect money. He added that he was not
advocating this provision because he thinks it is going to collect
a lot of money for the Alaska Student Loan Program. He is
advocating as simply sending a message to the borrower, as well as
sending the message to the people that they receive their bonds
from, that they really are serious about making this a viable
program and having sound financial integrity.
Number 418
CHAIRMAN RIEGER asked if the names of the delinquent borrowers are
published in the newspapers and JOE MCCORMICK acknowledged that
they are published. Also, they have the power to garnish wages,
but that power is much more difficult for self-employed
individuals.
CHAIRMAN RIEGER requested Mr. McCormick's comments on an amendment
that he was proposing which provides if the balance owing on a loan
is in excess of $100,000, it would trigger the denial of the
occupational license. JOE MCCORMICK responded that the important
thing is to get the legislation passed, and while he does not
particularly favor the amendment, he believes it is important to
get it passed in some form.
Number 441
SENATOR SHARP commented that he has extreme difficulty with the
amendment, and he wants to enhance the lowest cost method possible
to collect delinquent student loans. To go through the court
system is not cheap.
Number 451
CHAIRMAN RIEGER moved the adoption of his proposed amendment.
Senators Miller and Rieger voted "Yea" and Senators Sharp, Leman
and Duncan voted "Nay." The motion failed.
Number 453
SENATOR MILLER moved that CSHB 506(FIN) am be passed out of
committee with individual recommendations. Hearing no objection,
it was so ordered.
Number 458
CHAIRMAN RIEGER introduced CSHB 409(FIN) am(efd fld) (PUBLIC
ASSIST. DEMO PROJECT & DECREASE) as the next order of business. He
asked for Mr. Lomas' comments on a change to Section 8 in SCS CSHB
409(HES) which was adopted by the committee on 4/18/94.
CURTIS LOMAS, Division of Public Assistance, Department of Health
and Social Services, said he has discussed a proposed change to
Section 8 with the bill drafter who agrees that it will take care
of the problem. The amendment would delete the language
"Notwithstanding AS 47.25.430 - 47.25.615" on page 5, line 16 and
replace it with "Except as provided in AS 47.25.430(b)." He
explained that is the section that provides for awarding of cost-
of-living increases, subject to appropriation for that purpose by
the Legislature.
Number 470
SENATOR MILLER moved the adoption of Amendment No. 2 to page 5,
line 16 of SCS CSHB 409(HES). Hearing no objection, the Chairman
stated the amendment was adopted.
Number 480
SENATOR MILLER moved that SCS CSHB 409(HES), as amended, be passed
out of committee with individual recommendations. Hearing no
objection, it was so ordered.
Number 482
CHAIRMAN RIEGER brought HJR 52 (DETERMINING FEDERAL SHARE OF
MEDICAID) before the committee as the next order of business.
ROXANNE ROHWHEDER, staff to Representative Jim Nordlund, said
currently, the federal government sets its medical assistance
percentages based on each state's per capita income. Those
percentages range from 50 percent to 79 percent, with Alaska's
matching rate set at only 50 percent. HJR 52 urges Congress to
amend the Social Security Act to take into account Alaska's high
cost of living, as well as its higher health costs.
Number 503
SENATOR MILLER moved that HJR 52 be passed out of committee with
individual recommendations. Hearing no objection, it was so
ordered.
Number 506
CHAIRMAN RIEGER introduced SSHJR 54 (SUPPORT MEDICAL SAVINGS ACCT
LEGISLATION) as the next order of business.
JACK PHELPS, staff to Representative Pete Kott, explained that as
medical costs nationally and in Alaska continue to rise, the need
for innovative approaches to health care cost containment becomes
more acute. Medical Savings Accounts (MSAs) offer an approach to
reducing health care costs that appeals to market forces and
minimizes government intrusion into the market. HJR 52 urges
Congress to amend the U.S. Tax Code to make these medical savings
accounts work.
Number 525
SENATOR MILLER moved that SSHJR 54 be passed out of committee with
individual recommendations. Hearing no objection, it was so
ordered.
Number 527
CHAIRMAN RIEGER brought CSHB 478(HES) am (AUTHORITY TO PRONOUNCE
DEATH) before the committee.
REPRESENTATIVE GENE THERRIAULT, prime sponsor of HB 478, said the
legislation was introduced to allow mobile intensive care
paramedics, physician assistants, and emergency medical technicians
to determine and pronounce death under certain circumstances. It
provides that they may make a determination and pronouncement of
death upon determining that a person has suffered irreversible
cessation of circulatory and respiratory functions while a
physician is not immediately available for consultation by radio or
telephone. This will help emergency response teams to better
attend to the emergency medical needs of Alaska.
Number 557
MARK JOHNSON, Chief, Emergency Medical Services Section, Department
of Health and Social Services, stated the department's support for
HB 478. He said the bill very clearly defines under what
circumstances CPR can be stopped.
CHAIRMAN RIEGER noted Craig Lewis of the Alaska EMS Association
was present to respond to questions. There being none, he asked
for the pleasure of the committee.
SENATOR MILLER moved that CSHB 478(HES) am be passed out of
committee with individual recommendations. Hearing no objection,
it was so ordered.
Number 567
CHAIRMAN RIEGER brought CSHB 507(FIN) (LICENSING OF OPTOMETRISTS
AND PHYSICIANS) before the committee. He directed attention to a
proposed SCS CSHB 507(HES), that is identical to SB 298 which was
passed out of committee several weeks before.
SENATOR MILLER moved that SCS CSHB 507(HES) be adopted. Hearing no
objection, the motion carried.
SENATOR MILLER moved that CSHB 507(HES) be passed out of committee
with individual recommendations. Hearing no objection, it was so
ordered.
Number 582
CHAIRMAN RIEGER brought SB 346 (REPORT CHARITABLE GAMING WINNERS)
before the committee as the next order of business.
TAPE 94-35, SIDE B
Number 573
CHAIRMAN RIEGER said during a previous hearing on SB 346, there was
testimony asking for verification by photo identification to
address a concern that people were claiming prizes under false
identification. He then directed attention to a work draft
committee substitute which addresses that concern.
SENATOR MILLER moved that CSSB 346(HES) be adopted. SENATOR DUNCAN
objected. A vote was taken with the following result: Senators
Rieger, Miller, Sharp and Leman voted "Yea" and Senator Duncan
voted "Nay." The Chairman stated the motion carried.
SENATOR MILLER moved that CSSB 346(HES) be passed out of committee
with individual recommendations. Hearing no objection, it was so
ordered.
Number 563
CHAIRMAN RIEGER brought HB 324 (EXTEND BOARD OF DENTAL EXAMINERS)
before the committee as the final order of business. There being
no witnesses wishing to testify on the legislation, he then asked
for the pleasure of the committee.
SENATOR MILLER moved that HB 324 be passed out of committee with
individual recommendations. Hearing no objection, it was so
ordered.
There being no further business to come before the committee, the
meeting was adjourned at 3:30 p.m.
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