HB 97 - PARENTAL CARE FOR CHILD IN STATE CUSTODY CHAIRMAN PORTER announced that HB 97 was the next item of business before the committee. ELMER LINDSTROM, from the DEPARTMENT OF HEALTH AND SOCIAL SERVICES, said HB 97 was sponsored by Rep. Cynthia Toohey, who could not be at the meeting to speak on the bill. He said the department supported HB 97. He commented that the need for HB 97 arose from a 1991 court ruling that would require the department to pay for medical costs for children who were in state custody, but were living with their parents. Mr. Lindstrom noted that while the situation might seem peculiar, it was in fact common for children to be removed from their homes, placed in foster care, and later returned to their homes while still in the custody of the state. Mr. Lindstrom noted that in December 1992, 235 Alaskan children were living with their parents while technically in state custody. MR. LINDSTROM said that the court had ruled that the department was liable for medical costs for children in that situation. He added that the Department of Law was concerned that by extension the state could find itself in the position of paying for other costs as well, including food and lodging. MR. LINDSTROM called the members' attention to the zero fiscal note attached to HB 97. He said that if the bill did not pass the legislature, the state could face a substantial cost. Number 258 CHAIRMAN PORTER asked Mr. Lindstrom if he were to appear before the committee a year from now, would he bring a fiscal note for HB 97 reflecting a cost savings to the state? Number 261 MR. LINDSTROM said the chairman was correct; HB 97 was a cost avoidance measure, but those costs could not be avoided for an indefinite period of time. Number 270 REP. GREEN asked Mr. Lindstrom if HB 97 would have any adverse effect on children going back to live with their parents by requiring parents to pay for the costs of raising their children. Number 281 MR. LINDSTROM said that he was unaware of any concerns the department had in that regard. Number 299 REP. GREEN made a motion to pass HB 97 out of committee, with individual recommendations and a zero fiscal note. REP. PHILLIPS stated that she would like to know how much money the state had spent in the last several years on the program. Number 310 CHAIRMAN PORTER commented that no money had yet been spent by the state because of the recency of the court decision requiring that the state pay medical expenses. Hearing no objections, CHAIRMAN PORTER ordered that HB 97 be move out of committee, with individual recommendations and a zero fiscal note.