02/16/2022 01:30 PM Senate LABOR & COMMERCE
| Audio | Topic |
|---|---|
| Start | |
| Confirmation Hearing(s) | |
| SB26 | |
| Adjourn |
+ teleconferenced
= bill was previously heard/scheduled
| + | TELECONFERENCED | ||
| + | TELECONFERENCED | ||
| += | SB 26 | TELECONFERENCED | |
ALASKA STATE LEGISLATURE
SENATE LABOR AND COMMERCE STANDING COMMITTEE
February 16, 2022
1:30 p.m.
MEMBERS PRESENT
Senator Mia Costello, Chair
Senator Joshua Revak, Vice Chair
Senator Peter Micciche
Senator Gary Stevens
Senator Elvi Gray-Jackson
MEMBERS ABSENT
All members present
COMMITTEE CALENDAR
CONFIRMATION HEARING(S)
Alaska Labor Relations Agency
Paula Harrison - Anchorage
- CONFIRMATION ADVANCED 4/25/22
Board of Examiners in Optometry
Kathleen Rice - Kenai
- CONFIRMATION ADVANCED 4/25/22
Board of Pharmacy
Ramsey Bell - Eagle River
- CONFIRMATION ADVANCED 4/25/22
Alcoholic Beverage Control Board
Douglas Moore - Talkeetna
- CONFIRMATION ADVANCED 4/25/22
Board of Veterinary Examiners
Ciara Vollaro - Wasilla
- CONFIRMATION ADVANCED 4/25/22
Workers' Compensation Appeals Commission
Stephen Hagedorn - Anchorage
- CONFIRMATION ADVANCED 4/25/22
SENATE BILL NO. 26
"An Act repealing the certificate of need program for health
care facilities; making conforming amendments; and providing for
an effective date."
- MOVED CSSB 26(L&C) OUT OF COMMITTEE
PREVIOUS COMMITTEE ACTION
BILL: SB 26
SHORT TITLE: REPEAL CERTIFICATE OF NEED PROGRAM
SPONSOR(s): SENATOR(s) WILSON
01/22/21 (S) PREFILE RELEASED 1/8/21
01/22/21 (S) READ THE FIRST TIME - REFERRALS
01/22/21 (S) HSS, L&C
03/25/21 (S) HSS AT 1:30 PM BUTROVICH 205
03/25/21 (S) Heard & Held
03/25/21 (S) MINUTE(HSS)
04/07/21 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg)
04/07/21 (S) Scheduled but Not Heard
04/08/21 (S) HSS AT 1:30 PM BUTROVICH 205
04/08/21 (S) Moved SB 26 Out of Committee
04/08/21 (S) MINUTE(HSS)
04/09/21 (S) HSS RPT 1DP 3NR
04/09/21 (S) DP: HUGHES
04/09/21 (S) NR: BEGICH, REINBOLD, COSTELLO
04/21/21 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg)
04/21/21 (S) Heard & Held
04/21/21 (S) MINUTE(L&C)
04/23/21 (S) L&C AT 1:30 PM BELTZ 105 (TSBldg)
04/23/21 (S) Heard & Held
04/23/21 (S) MINUTE(L&C)
WITNESS REGISTER
LOREN LEMAN, former Lieutenant Governor
Anchorage, Alaska
POSITION STATEMENT: Discussed the activities and challenges
facing the State Board of Registration for Architects Engineers,
and Land Surveyors.
RAMSEY BELL, Appointee
Board of Pharmacy
Eagle River, Alaska
POSITION STATEMENT: Testified as appointee to the Board of
Pharmacy.
ROD GORDON, RPh, representing self
Anchorage, Alaska
POSITION STATEMENT: Voiced concern with the appointment of
Ramsey Bell to the Board of Pharmacy.
DANIEL NELSON, representing self
Fairbanks, Alaska
POSITION STATEMENT: Voiced concern with the appointment of
Ramsey Bell to the Board of Pharmacy.
TOM WADSWORTH, representing self
Wasilla, Alaska
POSITION STATEMENT: Spoke in opposition to the appointment of
Ramsey Bell to the Board of Pharmacy.
CALLISTA CARLTON
Southcentral Foundation Pharmacy
Anchorage, Alaska
POSITION STATEMENT: Stated opposition to the appointment of
Ramsey Bell to the Board of Pharmacy.
PAULA HARRISON, Appointee
Alaska Labor Relations Agency
Anchorage, Alaska
POSITION STATEMENT: Testified for reappointment to the Alaska
Labor Relations Agency.
KATHLEEN RICE, OD, Appointee
Board of Examiners in Optometry
Kenai, Alaska
POSITION STATEMENT: Testified as appointee to the Board of
Examiners in Optometry.
DOUGLAS MOORE, Appointee
Alcoholic Beverage Control (ABC) Board
Talkeetna, Alaska
POSITION STATEMENT: Testified as an appointee to the Alcoholic
Beverage Control Board.
CIARA VOLLERO, Appointee
Board of Veterinary Examiners
Wasilla, Alaska
POSITION STATEMENT: Testified as appointee to the Board of
Veterinary Examiners.
STEPHEN HAGEDORN, Appointee
Workers' Compensation Appeals Commission
Anchorage, Alaska
POSITION STATEMENT: Testified for reappointment to the Workers'
Compensation Appeals Commission.
SENATOR DAVID WILSON
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Sponsor of SB 26,
GARY ZEPP, Staff
Senator David Wilson
Alaska State Legislature
Juneau, Alaska
POSITION STATEMENT: Answered questions during the hearing on SB
26.
ACTION NARRATIVE
1:30:51 PM
CHAIR MIA COSTELLO called the Senate Labor and Commerce Standing
Committee meeting to order at 1:30 p.m. Present at the call to
order were Senators Gray-Jackson, Stevens, and Chair Costello.
Senator Micciche arrived during introductions and Senator Revak
arrived soon thereafter.
^CONFIRMATION HEARING(S)
CONFIRMATION HEARING(S)
Alaska Labor Relations Agency
Board of Examiners in Optometry
Board of Pharmacy
Alcoholic Beverage Control Board
Board of Veterinary Examiners
Workers' Compensation Appeals Commission
1:31:30 PM
CHAIR COSTELLO announced consideration of Governor Appointees to
Boards and Commissions and advised that the committee first
would hear from former Lieutenant Governor Loren Leman who was
in Juneau to attend a meeting of the State Board of Registration
for Architects Engineers, and Land Surveyors. She asked him to
comment on the board's activities and the challenges it faces.
1:32:39 PM
LOREN LEMAN, former Lieutenant Governor, Anchorage, Alaska,
stated that he was pleased to step up when the Governor asked
him to serve, but was surprised how much work is involved. The
board is not partisan so when members don't agree it's generally
about different interpretations of the statutes, regulations,
and policy. He explained that the board serves about 6,000
active registrants, about half of whom are Alaska residents. Of
those 3,000, about 400 are architects, 400 are land surveyors,
and the remainder are in one of the engineering disciplines.
The primary purpose of the board is to protect the health,
safety, and welfare of the public by setting minimum standards
of competency. The board does various things to help registrants
maintain competency, such as requiring continuing education,
following up on complaints, and enforcing requirements on
competency. He explained that the board spent several hours
today resolving various issues including whether to extend the
time for somebody who did not get their continuing education
finished this last year. It depends on the circumstances but an
extension usually is allowed. He relayed that just before he
came to the meeting the board was deep into the minutia of
whether soil borings are geotechnical engineering or geological
engineering. He expressed appreciation to all the appointees who
stepped up to serve and posited that the two new members to the
AELS board appear to be very competent.
1:38:14 PM
SENATOR REVAK joined the committee.
1:38:30 PM
SENATOR GRAY-JACKSON asked which board he served on.
LIEUTENANT GOVERNOR LEMAN answered that he serves on the State
Board of Registration for Architects Engineers, and Land
Surveyors (AELS). He noted that the board also licenses
registered landscape architects. He also noted the board is
working on a long range regulatory project to clarify and
resolve differences between the statutes, regulations and
policy.
CHAIR COSTELLO asked him to comment on the issue of the average
age of land surveyors in Alaska and the challenge to get younger
Alaskans to enter these professions.
LIEUTENANT GOVERNOR LEMAN relayed a conversation with a land
surveyor on the board why said the average age in his profession
is 62. This highlights the need to backfill with young people
who are willing to enter the profession, which means reaching
into the lower grades to inspire children about the value of
science, technology, engineering, and mathematics (STEM)
education. He relayed that for more than 10 years he had served
on the advisory board for the Dimond High School Engineering
Academy. It exposes students to the principles of the profession
and he believes that needs to happen for all the professions
under the oversight of the AELS board.
CHAIR COSTELLO thanked him for making time to address the
committee and extended thanks to all the members of the AELS
board for their service.
LIEUTENANT GOVERNOR LEMAN directed attention to the agenda for
the AELS board meeting. He noted that the board meets for two
days four times a year and holds committee meetings in between.
1:44:16 PM
CHAIR COSTELLO asked Ramsey Bell to introduce herself and
provide her background that is relevant to serving on the Board
of Pharmacy.
1:44:59 PM
RAMSEY BELL, Appointee, Board of Pharmacy, Eagle River, Alaska,
stated that she had practiced pharmacy for 21 years and is in
good standing in all the states she has held licenses. She and
her family moved to Alaska from Illinois about five years ago
and it has been a great adventure. She opined that the greatest
asset she brings to the board is that she values truth over
comfort in all situations. She graduated from Purdue University
in 2000 and immediately began work in retail pharmacy. A
promotion to pharmacy manager came within nine months largely
due to her drive to serve others. She became known as the
"pharmacy fixer" over time because of her management and problem
solving skills. For some time she has wanted to serve the
profession in a larger way and was excited to learn about the
opening on this board. She is ready to serve Alaskans in this
role.
1:47:19 PM
SENATOR GRAY-JACKSON asked her to share her thoughts on
vaccinations and the Covid-19 vaccination in particular.
MS. BELL offered her belief that informed consent is critical
and people should be encouraged to make the decision about
vaccinations with the health care provider they feel is best for
themselves and their family. There should be no coercion or
incentives from an outside entity.
SENATOR GRAY-JACKSON asked if she believes that vaccinations are
an effective way to protect the community.
MS. BELL answered that it appears that there is benefit to
vaccination for the highest risk population.
CHAIR COSTELLO asked her to explain her service on the board
because the official Boards and Commissions website and roster
lists her as Lana Bell and that this would be a reappointment.
MS. BELL clarified that she is not Lana Bell. This was her first
appointment to the Board of Pharmacy.
CHAIR COSTELLO asked if she was appointed to the pharmacist seat
for Southcentral.
MS. BELL replied that is correct.
1:49:30 PM
At ease
1:50:08 PM
CHAIR COSTELLO reconvened the meeting.
1:50:18 PM
CHAIR COSTELLO opened public testimony on the appointment of
Ramsey Bell to the Board of Pharmacy.
1:50:33 PM
ROD GORDON, RPh, representing self, Anchorage, Alaska, voiced
concern with the appointment of Ramsey Bell to the Board of
Pharmacy. He stated that he has practiced pharmacy for 42 years,
working in a variety of locations that include Saudi Arabi, the
U.S. Virgin Islands, North Carolina, Virginia, and urban and
rural areas in Alaska. He said he understands that Ramsey Bell
has a sincere interest in working on the Board of Pharmacy in
Alaska, but her posts on Facebook and other social media sites
seem to be political. He described the answer she gave about her
view on vaccines as politically biased and said he believes any
concern she articulates as a member of the Board of Pharmacy
should be based on science and medicine.
MR. GORDON stated that there is no question that vaccines make a
big difference in managing communicable diseases, particularly
respiratory diseases like COVID-19. He opined that Ramsey Bell
has no reason to have reservations about recommending
vaccinations for all people, regardless of their immune status,
in order to minimize that spread.
MR. GORDON referenced Ms. Bell's Feb 1, 2021 post about
ivermectin, which is primarily used in veterinary practice but
can be used in humans for certain parasitic infections. The
studies she cites have not been successfully replicated. In
fact, the scientific literature has yet to say this medicine can
be safely used to treat COVID-19. Nevertheless, she purports
that a five-day course of ivermectin represents a safe course of
treatment. He said that does not rely on science and data. In a
January posting she claims that Florida was forced to close all
its monoclonal antibody centers because the federal government
had halted all distribution. However, it makes more sense that
these centers were making way for the EUAs of the new and more
effective Pfizer and Merck antiviral pills. He said Ms. Bell's
bias is anti-science and the Board of Pharmacy does not need
that bias among its members. Rather, board members should have
an unbiased and unpolitical view and base their decisions on
science and what is in the public interest.
1:55:01 PM
CHAIR COSTELLO asked if pharmacists in Alaska have prescribing
authority.
MR. GORDON answered no, although some pharmacies may be
authorized to administer particular products such as vaccines.
Pharmacists are part of the checks and balances for the use of
medications. They are the final hurtle to protect patients from
potential danger. For example, ivermectin to treat COVID-19 is
off label and there is no data to support its use. In fact, the
CDC and FDA recommend not to use ivermectin for COVID-19. To do
otherwise would not be in the best interests of the public. He
acknowledged that pharmacists may choose to do what they think
is appropriate, but someone in a leadership role over the
practice of pharmacy in Alaska should follow the science.
CHAIR COSTELLO thanked him for providing public testimony.
1:57:01 PM
DANIEL NELSON, representing self, Fairbanks, Alaska, voiced
concern with the appointment of Ramsey Bell to the Board of
Pharmacy. He said he is calling as a concerned pharmacist on
behalf of his employer, Tanana Chiefs Conference (TCC). He
reported that Alaska Natives have been particularly hard hit by
the effects of COVID-19 with higher rates of hospitalization,
death, and long term consequences. Medical and scientific
knowledge and information has grown and improved as studies have
been completed and analyzed. What we thought we knew has often
been proven incorrect or otherwise changed over time, he said.
This has led to an ever changing landscape of medical
literature, best practices, and clinical guidelines. However, he
said what has not changed is that all medical professionals are
trained in and grounded by a foundation of evidence-based
medicine. This is also known as science, he said.
MR. NELSON highlighted the development of new vaccines and
therapeutic options like monoclonal antibodies and oral
antivirals specifically designed to treat the SARS-Co-V-2 virus,
calling this an era of breakneck medical change and updates.
Unfortunately, things can and do become quite confusing when
change comes so quickly. The result is that some things have
come unmoored from their scientific bases and morphed into a
political ideology. At the end of the day, he said it is
necessary to go back to the scientific evidence to make
decisions and recommendations.
MR. NELSON offered his belief that Ramsey Bell unfortunately has
gone off track in her approach to the practice of pharmacy. Her
approach to literature evaluation and the application of that
evaluation is not in line with professional standards and is not
in the best interest of the residents of the state and is
dangerous to the Alaska Native population. He encouraged the
committee to vote against Ms. Bell's confirmation to the Board
of Pharmacy.
1:59:41 PM
SENATOR STEVENS asked how the working of the board would be
affected if someone with a political ideology were appointed.
MR. NELSON replied he believes all boards should have members
with diverse political backgrounds and belief systems. However,
it becomes problematic when a member's ideology goes to the far
end of a political extreme and is unmoored from what the science
says. He opined that Ms. Bell is there in this particular arena.
2:01:26 PM
TOM WADSWORTH, representing self, Wasilla, Alaska, stated that
as a licensed pharmacist in Alaska for 20 years he was speaking
in opposition to the appointment of Ramsey Bell to the Board of
Pharmacy. The Board of Pharmacy is statutorily mandated to
establish and enforce professional standards, which includes
competence and rules of conduct for pharmacists practicing in
the state. He opined that members of the board should have
experience and demonstrate competence and a commitment to
evidence-based best practices and standards of care.
MR. WADSWORTH said a cursory review of Ramsey Bell's social
media posts over the last few years demonstrates an extreme,
politicized, and conspiratorial view that is at odds with the
established and time-proven standards and best practices of the
pharmacy profession. The sentiments and misinterpretations that
she expresses on social media is in direct contradiction to the
mission of the Board of Pharmacy. She has repeatedly
demonstrated an inability to critically evaluate and interpret
medical literature and then she politicizes her
misinterpretations by promoting conspiracy theories. Sometimes
she disparages the profession she seeks to represent and
regulate. She represents heretical viewpoints within the
profession with the intent of imposing those views through the
Board of Pharmacy. He concluded that Ramsey Bell is the epitome
of who should not be appointed to a regulatory board. He urged
the committee to oppose her appointment to the Board of
Pharmacy.
2:03:52 PM
CALLISTA CARLTON, Southcentral Foundation Pharmacy, Anchorage,
Alaska, said the previous speakers have stated it as well as it
can be said. She too opposes the appointment of Ramsey Bell to
the Board of Pharmacy because her views are divisive and do not
represent the practice of pharmacy.
CHAIR COSTELLO reviewed the statutory requirements to serve on
the board and said it seems that anybody who has practiced
pharmacy for three years would qualify. She asked Ms. Carlton to
comment.
MS. CARLTON replied she may technically qualify but board
members should represent the state and what is in the best
interest of the pharmacy profession. Based on Ramsey Bell's
posts, she did not believe Ms. Bell could do that.
2:05:33 PM
CHAIR COSTELLO discerned no one else wished to comment and
closed public testimony on the appointment of Ramsey Bell to the
Board of Pharmacy.
CHAIR COSTELLO asked Paula Harrison to tell the committee about
her interest in serving on the Alaska Labor Relations Agency.
2:05:55 PM
PAULA HARRISON, Appointee, Alaska Labor Relations Agency (ALRA),
Anchorage, Alaska, stated that she is the director of human
resources and labor relations for Enstar Natural Gas Company.
She has more than 38 years of experience in this field and has
served as chair of ALRA for the past three years. She requested
support for her reappointment.
SENATOR STEVENS asked how one becomes chair.
MS. HARRISON replied the governor appointed her.
CHAIR COSTELLO asked what challenges the board faces and how she
sees they will be overcome.
MS. HARRISON said COVID-19 has been a challenge the past several
years because it has prevented the board from meeting in person.
That being said, the labor relations and public employer issues
has been minimal the last three years. She related that she had
to appoint a three-member panel to hear a case just once.
CHAIR COSTELLO asked her to describe the mission of the board
and what it seeks to accomplish.
MS. HARRISON explained that the board administers the Public
Employer Relations Act and the labor provisions for the Alaska
Railroad Corporation Act as it pertains to public sector
collective bargaining. This includes the State of Alaska,
municipalities, boroughs, the university, school districts, and
all their employees in Alaska. An employee of one of those
agencies may also bring an action to the board. The board also
conducts elections to certify or decertify employee
representatives. The board hears unfair labor practice charges
from employers, unions, or individuals. The board helps to
determine the appropriate bargaining units and enforces those
agreements.
2:09:59 PM
CHAIR COSTELLO opened public testimony on the appointment of
Paula Harrison to the Alaska Labor Relations Agency; finding
none, she closed public testimony.
CHAIR COSTELLO asked Dr. Kathleen Rice to discuss her interest
in serving on the Board of Examiners in Optometry.
2:10:25 PM
KATHLEEN RICE, OD, Appointee, Board of Examiners in Optometry,
Kenai, Alaska, stated she is an optometrist in Kenai and has
been practicing for about 17 years. She said she would like to
serve on the Board of Examiners in Optometry because she feels
that optometrists' contribution should be beyond just clinical
care. She has experience working in a commercial setting, an
ophthalmologic setting, and private practice so she understands
and can relate to optometrists in these different settings.
SENATOR MICCICHE disclosed that Dr. Rice was a friend and he was
biased in her favor.
2:12:22 PM
CHAIR COSTELLO opened public testimony on the appointment of
Kathleen Rice to the Board of Examiners in Optometry; finding
none, she closed public testimony.
CHAIR COSTELLO asked Douglas Moore to share his interest in
serving on the Alcoholic Beverage Control Board.
2:12:49 PM
DOUGLAS MOORE, Appointee, Alcoholic Beverage Control (ABC)
Board, Talkeetna, Alaska, stated that he has lived in Talkeetna
for 41 years and throughout that time he worked in a small
business. Currently, he and his wife own and operate a hardware
store that employs about 20 local residents. He relayed that he
was asked to serve on the ABC Board in May last year and has
actively participated in four meetings since then. He offered
that he brings a unique mix to the board with his small business
background and public safety experience as a 10-year volunteer
as an EMT and firefighter. His nomination is to one of the two
public seats. The board is largely comprised of new members and
directors, yet it has done a good job in carrying on the
business of the board. He gave a shout out to Executive Director
Klinkhart for his excellent work and asked the committee for its
support.
2:15:27 PM
SENATOR REVAK expressed appreciation for his community service
and thanked him for his involvement and willingness to serve.
2:16:08 PM
CHAIR COSTELLO opened public testimony on the appointment of
Douglas Moore to the Alcoholic Beverage Control Board; finding
none, she closed public testimony.
CHAIR COSTELLO asked Ciara Vollero to tell the committee about
her interest in serving on the Board of Veterinary Examiners
2:16:29 PM
CIARA VOLLERO, Appointee, Board of Veterinary Examiners,
Wasilla, Alaska, stated that she moved to Alaska after five
years of practice in California. She noted that most
veterinarians in Alaska must be resourceful, rugged, and
spirited in their approach to care in remote and challenging
circumstances. She offered her perspective that the industry was
on the brink of modernizing care to the standard that is found
in urban cities, but these advancements cannot take place
without advocates foraging the way for more affordable treatment
options for every demographic. She stated that as a dedicated,
passionate, and imaginative professional she would like to join
the other professionals on the board who are willing to work to
move the state forward.
CHAIR COSTELLO asked if veterinarians have faced particular
challenges due to COVID-19 and how the board intends to address
those challenges.
MS. VOLLERO answered that curbside care that was initiated due
to COVID-19 has been difficult for many clients and their
animals to be seen timely. Emergency hospitals are vastly
overrun and the profession is losing technicians and other
support staff. It has made a significant difference to be able
to open the doors to facilities once again. Perhaps the largest
challenge has been to get veterinarians licensed timely. The
board also needs to focus on getting more people interested in
working in veterinary offices, clinics, and hospitals statewide.
CHAIR COSTELLO noted that her application says she is seeking
the public seat on the board. She asked if that was inaccurate.
MS. VOLLERO replied she is seeking to serve on the board as a
veterinarian.
CHAIR COSTELLO said her office would look into that.
2:19:53 PM
CHAIR COSTELLO opened public testimony on the appointment of
Ciara Vollero to the Board of Veterinary Examiners; finding
none, she closed public testimony.
CHAIR COSTELLO asked Stephen Hagedorn to tell the committee what
seat he is applying for, whether this is a reappointment, and
his interest in serving on the Workers' Compensation Appeals
Commission.
2:20:26 PM
STEPHEN HAGEDORN, Appointee, Workers' Compensation Appeals
Commission, Anchorage, Alaska, stated that he came to Alaska as
a member of the U.S. Army and never really left. He worked for
the Alaska Railroad for 34 years, the last 25 years as a risk
manager. He retired in 2009 but maintained an interest in
workers' compensation matters. Governor Hickel appointed him to
the Alaska Workers' Compensation Board in 1991 and he served for
15 years. In 2008 he was appointed as an industry member to the
Workers' Compensation Appeals Commission and has served in that
capacity for the last 14 years. His interest in serving is based
on his belief that it is important to give back to the state
that has given him so much. He would like to continue to serve.
CHAIR COSTELLO asked what challenges the commission faces and
how it plans to address those challenges.
MR. HEGEDORN said the commission is an appellate body that in
2006 assumed responsibility for appeals from the superior court.
The board has faced the same challenges as other boards due to
COVID-91 and has had to adapt to meeting remotely. Zoom calls
have worked well but the personal contact that can be helpful
during deliberations is missing. After 30 years working on
workers' compensation matters, his view is that workers'
compensation is a system that works for almost all injured
workers. That is the most important thing the commission does.
2:23:36 PM
CHAIR COSTELLO opened public testimony on the appointment of
Stephen Hagedorn to the Workers' Compensation Appeals
Commission; finding none, she closed public testimony.
2:23:53 PM
At ease
2:25:50 PM
CHAIR COSTELLO reconvened the meeting and stated she would hold
all the names for a future meeting, awaiting clarification from
the Governor's Office.
SB 26-REPEAL CERTIFICATE OF NEED PROGRAM
2:26:25 PM
CHAIR COSTELLO announced the consideration of SENATE BILL NO. 26
"An Act repealing the certificate of need program for health
care facilities; making conforming amendments; and providing for
an effective date."
She noted that this was the third hearing on the bill and there
was an amendment for the committee to consider.
2:26:43 PM
SENATOR MICCICHE moved to adopt Amendment 1 for SB 26, [work
order 32-LS0232\B.1].
32-LS0232\B.1
Dunmire
2/16/22
AMENDMENT 1
OFFERED IN THE SENATE BY SENATOR MICCICHE
TO: SB 26
Page 6, line 5, following "APPLICABILITY.":
Insert "(a)"
Page 6, line 8, following "Act":
Insert ", unless the certificate of need is for an expenditure that exceeds
(1) $5,000,000, as of July 1, 2024;
(2) $7,500,000, as of July 1, 2026;
(3) $10,000,000, as of July 1, 2028; or
(4) $15,000,000, as of July 1, 2030;
(b) On and after July 1, 2031, the Department of Health and Social Services may
not take action to revoke, enforce, or modify a certificate of need issued to a health care
facility before the effective date of secs. 1 - 11 of this Act"
CHAIR COSTELLO objected for an explanation.
SENATOR MICCICHE offered his belief that it was important for
people to be able to recover costs based on a set of rules.
Amendment 1 reflects what multiple national and state experts
agree is a good approach. The idea is to look at the lifespan of
major purchases such as CT and MRI scanners and give the
individuals that made those investments more time to recover
their costs. The amendment provides a sliding scale such that a
$5 million investment gives an extra year after the effective
date of the bill; a $7.5 million investment gives three years; a
$10 million investment gives five years; and a $15 million
investment gives an extra seven years. DHSS may make
modifications to a certificate of need on or after July 1, 2031.
He noted that the bill already prevents additional certificates
of need after the effective date. The amendment provides the
same accommodation for individuals that have the foregoing
levels of investment.
2:28:25 PM
CHAIR COSTELLO asked if other states have a stair-step out of
the Certificate of Need (CON) program.
SENATOR MICCICHE replied he did not research what other states
have done. His office worked with an independent group that
contacted national experts. He noted somebody in Alaska wants to
help existing entities that have a CON recover their costs and
this was the suggestion that was put forward.
2:29:17 PM
CHAIR COSTELLO removed her objection. Finding no further
objection, Amendment 1 was adopted.
CHAIR COSTELLO asked the sponsor if he had any comments on the
bill or the amendment.
2:29:44 PM
SENATOR DAVID WILSON, Alaska State Legislature, Juneau, Alaska,
sponsor of SB 26, explained that in many states, CON laws and
regulations were suspended during the COVID-19 pandemic. This
has allowed health care professionals flexibility to construct
facilities, expand beds, and provide critical care services. He
noted that in Alaska these rules and regulations were suspended
through the Governor's emergency orders and the expanded powers
of the commissioner of the Department of Health and Social
Services (DHSS).
SENATOR D. WILSON said his office provided more than four
decades of data to show that CON laws have not stemmed costs or
improved quality or outcomes. It has been shown that well-
functioning health care markets improve access to quality
outcomes and stimulate innovations from new entrants that can
help lower costs of health care services for consumers.
SENATOR D. WILSON offered his belief that repealing Alaska
Certificate of Need laws would benefit Alaskan consumers.
CHAIR COSTELLO asked for a brief explanation of how the
certificate of need program, which the bill repeals, currently
works.
SENATOR WILSON explained that the Certificate of Need law is a
regulatory process whereby health care facilities in certain
areas are not allowed access if a dollar threshold of a
facility, certain equipment, whether it is physician owned or
Native tribe owned, are waived from going through this
regulatory process. It is a lengthy and expensive process to
allow new entrants to the health care market if they exceed
certain thresholds. It is a type of limited entry.
2:32:35 PM
GARY ZEPP, Staff, Senator David Wilson, Alaska State
Legislature, Juneau, Alaska, added that for health care
facilities and services in Alaska, the government must approve
expansions. SB 26 would repeal that process, which is what about
one-third of people in the country enjoy. About 130 million
Americans live without certificate of need and the health care
markets in those areas function better than in Alaska.
SENATOR REVAK observed that the bill has a finance referral.
2:33:42 PM
SENATOR REVAK moved to report SB 26, work order 32-LS0232\B, as
amended, from committee with individual recommendations and
attached fiscal note(s).
CHAIR COSTELLO found no objection and CSSB 26(L&C) was reported
from the Senate Labor and Commerce Standing Committee.
2:34:20 PM
There being no further business to come before the committee,
Chair Costello adjourned the Senate Labor and Commerce Standing
Committee meeting at 2:34 p.m.
| Document Name | Date/Time | Subjects |
|---|---|---|
| SLAC Gov Appointee Paula Harrison Application.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SLAC Gov Appointee Kathleen Rice Application.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SLAC Gov Appointee Kathleen Rice Resume.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SLAC Gov Appointee Ramsey Bell Application.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SLAC Gov Appointee Douglas Moore Application.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SLAC Gov Appointee Douglas Moore Resume.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SLAC Gov Appointee Ciara Vollaro Application.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SLAC Gov Appointee Stephen Hagedorn Application.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SLAC Gov Appointee Stephen Hagedorn Resume.pdf |
SL&C 2/16/2022 1:30:00 PM |
Governor Appointee |
| SB 26 Amendment B.1.pdf |
SL&C 2/16/2022 1:30:00 PM |
SB 26 |
| SB 26 Fiscal Note 2696 - DOH.pdf |
SL&C 2/16/2022 1:30:00 PM |
SB 26 |
| SB 26 Fiscal Note 3234 - DOH.pdf |
SL&C 2/16/2022 1:30:00 PM |
SB 26 |