Legislature(2017 - 2018)
2017-02-01 House JournalFull Journal pdf
2017-02-01 House Journal Page 0155 HB 95 HOUSE BILL NO. 95 by the House Rules Committee by request of the Governor, entitled: "An Act making supplemental appropriations, capital appropriations, and other appropriations; making reappropriations; amending appropriations; repealing appropriations; and providing for an effective date." was read the first time and referred to the Finance Committee. The Governor's transmittal letter dated January 30 follows: "Dear Speaker Edgmon: Under the authority of Article III, Section 18 of the Alaska Constitution, I am transmitting a bill relating to supplemental appropriations for the State's operating and capital budgets for Fiscal Year 2017 (FY 2017). A limited number of requests that were not anticipated when the FY 2017 budget was considered during the 2016 legislative session is being submitted for your consideration. Medicaid, Corrections Physical Health Care, a settlement between the Department of Transportation and Public Facilities and the U.S. Environmental Protection Agency, constitute the largest portion of the supplemental request. A request for a health insurance rate increase proposed but not funded last year is also included. As anticipated, and in spite of cost savings measures, the plan experienced health care and pharmaceutical cost increases as similar to those experienced throughout Alaska and the nation as well as increased utilization. Examples of cost saving measures include: improved network savings, increases to the 2017-02-01 House Journal Page 0156 employee share of costs, increased deductibles and out-of-pocket limits, review and elimination of dependents no longer eligible, employee option to decline insurance coverage, limited choice to only two plans, and renegotiated pharmacy contracts. Additional costs saving measures are in progress. Without this rate increase the Group Health and Life Benefits fund is projected to be exhausted by January 2018. Given recent budget reductions agencies cannot absorb these cost increases. Thank you for your consideration of this bill. Sincerely, /s/ Bill Walker Governor"