SB 307-SHELTERS FOR RUNAWAY MINORS  3:10:54 PM CO-CHAIR KELLER announced that the first order of business would be SENATE BILL NO. 307, "An Act relating to residential shelters for runaway minors." 3:11:16 PM CELESTE HODGE, Staff to Senator Bettye Davis, Alaska State Legislature, read from the sponsor statement [Included in the committee packet.] [original punctuation provided]: SB307 allows emergency residential shelters like the Covenant House Alaska to continue to accept federal grant funding. Covenant House Alaska has five programs that include emergency shelter, healthcare, job and educational assistance and transitional living. Covenant House Alaska served nearly 3,000 Alaskan youth in Alaska for over 20 years and served literally tens of thousands of youth. In 2007, Covenant House Alaska was awarded the federal Basic Center Grant (BCG) through the Administration for Children and Families. This competitive, federal grant supplied Covenant House Alaska with $300,000 phased over three years to operate the Crisis Center ($100,000 per year). The Administration for Children and Families recently notified Covenant House Alaska the Crisis Center is technically out of compliance with federal grant requirements stated in the Homeless and Runaway Youth Act. The Act at 42 U.S.C Section 5712(b)(2)(A) states the shelter can have "a maximum capacity of not more than 20 youth, except where the applicant assures that the State where the center or locally controlled facility is located has a State or local law or regulation that requires a higher maximum to comply with licensure requirements for child and youth serving facilities." Established through the Act, federal regulation 45 CFR 1351.18 (d) states the Basic Center Grant (BCG) may be awarded to facilities with a shelter capacity of 20 beds or less. Covenant House Alaska holds 40 beds. The Administration for Children and Families (ACF) concedes that states with statutes requiring them to operate a facility over 20 beds will meet the federal requirements. SB307 allows for a simple amendment to AS 47.10.310 - "Licensing of Programs for Runaway Minors" by adding a new subsection to read: "(e) A program for runaway minors that operates a licensed residential shelter in the state shall provide a shelter with a capacity designated in the license issued under AS 47.10.300-47.10.390." This simple amendment will allow emergency residential shelters like Covenant House Alaska to continue competing for the federal Basic Center Grant (BCG). REPRESENTATIVE SEATON asked how SB 307 would mandate a specific number of beds in order to comply with license requirements. 3:15:03 PM TOM OBERMEYER, Staff to Senator Bettye Davis, Alaska State Legislature, stated that Legislative Legal and Research had reviewed the federal statute in order to write a bill to bring Covenant House into compliance with federal law. He offered his understanding that should a state statute allow this level of capacity then the federal law would also allow it. 3:17:25 PM WILDA LAUGHLIN, Special Assistant, Office of the Commissioner, Department of Health and Social Services (DHSS), stated that Department of Health and Social Services had no concerns with the bill. She pointed out that it would help the Division of Juvenile Justice and Office of Children's Services. She offered her understanding that the licensing would not have a programmatic impact on the section of certification and licensing, as this was a federal regulation. CO-CHAIR KELLER offered his belief that the federal requirement for 20 beds was already in the regulations, but that Covenant House had already licensed for 40 beds. This would be an authorization for Covenant House Alaska to operate at the state established capacity. REPRESENTATIVE SEATON read from the sponsor statement that a State or local law "requires a higher maximum to comply with license requirements..." He asked if the language in SB 307, "the state shall provide a shelter with a capacity designated in the license" was sufficient to comply with the federal law. He asked if the state was going to have different capacities on different licenses. 3:20:54 PM LAUREN RICE, Director of Public Affairs, Covenant House Alaska, pointed out that Covenant House was the only homeless shelter for youth in Alaska. It had programs designed to keep kids off the streets and to help with the transition to healthy lives. She pointed out that these youth come from all over Alaska, and more than 39 percent were Native Alaskan. She stated that 65 percent of the girls had been sexually abused or raped, and 75 percent of the kids came from homes with abuse of alcohol and drugs. She noted that 70 percent of the $3.7 million budget was from private donations, with the balance coming from local, state, and federal grants. MS. RICE directed attention to the 2004 and 2007 Basic Center Grants (BCG), which Covenant House Alaska had received regardless of the 20 bed capacity regulation. She shared that the current federal administration had requested clarifying language to apply for this grant. She explained that SB 307 would not impact any new shelters with fewer than the 40 bed capacity of Covenant House Alaska. She summarized SB 307: if a youth facility is going to operate in the state of Alaska they need to be able to provide the beds they are licensed for. So, if you are licensed for three, you need to be able to provide three. If, in the situation with Covenant House, if we are licensed for forty, we will be required to provide forty beds to our kids. MS. RICE offered her hope that SB 307 would continue to keep Covenant House Alaska competitive. She pointed out that its daily average was 34 kids, and that Covenant House Alaska needed a 40 bed capacity to operate in Alaska. She stressed that there was not intent to limit capacity for other new shelters. 3:26:29 PM KIMBERLY COLBO, Counsel for Covenant House Alaska, expressed agreement with Ms. Rice's summation. Reading from SB 307, she offered her belief that "shall provide a shelter with the capacity designated in the license" that's been approved by the state was functionally the same as the original language which stated "is required to provide a shelter." She opined that this should allow flexibility while permitting Covenant House to operate and compete for the BCG. 3:28:30 PM CO-CHAIR KELLER, after ascertaining that no one else wished to testify, closed public testimony on SB 307. 3:28:44 PM REPRESENTATIVE T. WILSON moved to report SB 307 out of committee with individual recommendations. There being no objection, SB 307 was reported from the House Health and Social Services Standing Committee.