72nd Legislative Session -- 1997

Committee: Senate State Affairs

                                            P - Present
                                            E - Excused
                                            A - Absent

Roll Call
P      Dunn (Jim)
P      Everist
E      Munson (David)
P      Dunn (Rebecca)
P      Hunhoff
P      Lawler
P      Whiting
P      Rounds, Vice-Chair
P      Halverson, Chair

OTHERS PRESENT: See Original Minutes

The meeting was called to order by Senator Halverson, Chair.

MOTION:      TO APPROVE THE MINUTES OF FEBRUARY 14,1997.

Moved by:      Senator Dunn (Jim)
Second by:      Senator Everist
Action:      Prevailed by voice vote.

          DEFER HB 1125 UNTIL Wednesday, February 19,1997.

          SCR 3:   Requesting the appointment of a special task force to study a corporate franchise tax and propose a ballot measure and legislation concerning a corporate franchise tax.

Proponents:      Bob Stevens, SD Education Assn
          Chuck Groth, SD Farmers Union
Opponents:      Ray Trankle, SD Industry and Commerce
          Dan Nelson, Sioux Falls Area Chamber of Commerce
Presented by:      Senator Hunhoff, with Hand-out, also rebuttals

MOTION:      DEFER SCR3 UNTIL THE 41ST LEGISLATIVE DAY

Moved by:      Senator Everist
Second by:      Senator Rounds

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Action:      Prevailed by roll call vote.   (5-3-1-0)

Voting yes:      Dunn (Jim), Everist, Whiting, Rounds, Halverson

Voting no:      Dunn (Rebecca), Hunhoff, Lawler

Excused:      Munson (David)

          SB 185:   to provide for a refund of taxes attributed to the construction of a new or expanded school district facility.

Proponents:      Senator Frederick
          Gene Enck, SD Associated School Boards
Opponents:      Scott Peterson, Department of Revenue
Presented by:      Senator Thompson, District 5

MOTION:      TO TABLE SB 185

Moved by:      Senator Everist
Second by:      Senator Rounds
Action:      Prevailed by roll call vote.   (6-2-1-0)

Voting yes:      Dunn (Jim), Everist, Dunn (Rebecca), Whiting, Rounds, Halverson

Voting no:      Hunhoff, Lawler

Excused:      Munson (David)

          SB 229:   to provide for a refund of taxes attributed to the construction of a new or expanded school district facility.


MOTION:      DO PASS SB 229

Moved by:      Senator Hunhoff
Second by:      None
Action:      Died for a lack of a second

MOTION:      SUBSTITUTE MOTION TO TABLE SB 229

Moved by:      Senator Everist
Second by:      Senator Rounds
Action:      Prevailed by roll call vote.   (5-3-1-0)

Voting yes:      Dunn (Jim), Everist, Whiting, Rounds, Halverson

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Voting no:      Dunn (Rebecca), Hunhoff, Lawler

Excused:      Munson (David)

          Senator Hunhoff voiced his objection that the committee did not have discussion on SB 185, also that there was a lack of a hearing on SB 229.

        SB 265:   to provide for the repeal of the railroad tax credit.

MOTION:      AMEND SB 265

o-265

     Delete everything after the enacting clause and insert:

"
     Section  1.  That chapter 10-28 be amended by adding thereto a NEW SECTION to read as follows:

     For the credits claimed by a railroad pursuant to §  10-28-21.1 the amounts which the railroad or railway corporations have certified as having been expended in the replacement and repair of rail lines shall be granted pursuant to the following schedule:

In year 1997	100%
1998	80%
1999	60%
2000	40%
2001	20%

     Section  2.  Section 1 of this Act and §  10-28-21.1 are repealed effective January 30, 2002. The repeal does not effect credits certified prior to January 30, 2002. "

Moved by:      Senator Rounds
Second by:      Senator Dunn (Jim)
Action:      Prevailed by voice vote.

          Speaking to the amendment: Jim Schade, Department of Revenue; Dean Krogman, DM&E, who opposed it; also Bill Doughtery, Burlington Northern RR gave an opinion.

MOTION:      DO PASS SB 265 AS AMENDED

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Moved by:      Senator Whiting
Second by:      Senator Rounds
Action:      Prevailed by roll call vote.   (5-3-1-0)

Voting yes:      Dunn (Jim), Everist, Whiting, Rounds, Halverson

Voting no:      Dunn (Rebecca), Hunhoff, Lawler

Excused:      Munson (David)

          SB 121:   to define medical indigence.

          Senator Rounds spoke highly of the study group who spent 6 to 7 hours working on amendments for SB 121.

MOTION:      AMEND SB 121

t-121h

     Delete all previous amendments.

     On page 1 , line 10 of the printed bill, delete the underscored material .

     On page 1 , overstrike lines 10 and 11 .

     On page 2 , line 17 , delete everything after " in " and insert " the most appropriate hospital available to meet the emergency need. The physician, physician assistant, or nurse practitioner on duty or on call at the hospital must determine whether the individual requires emergency hospital care. The need for emergency hospital care is established if the absence of emergency care is expected to result in death, additional serious jeopardy to the individual's health, serious impairment to the individual's bodily functions, or serious dysfunction of any bodily organ or part. The term does not include care for which treatment is available and routinely provided in a clinic or physician's office " .

     On page 2 , delete lines 18 and 19 .

     On page 2 , line 20 , delete everything before " ; " .

     On page 3 , line 3 , after " attention " insert " ;

             (6)    "Indigent by design," an individual who has chosen not to work, who is a student at a postsecondary institution, who has chosen not to purchase insurance even though financially able to do so, who has failed to purchase insurance which was made available through the individual's employer, or who has transferred resources for the purpose of establishing eligibility for medical assistance available under the provisions of this chapter " .

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     On page 3 , line 11 , delete " and " .

     On page 3 , line 13 , delete " . " and insert " ; " .

     On page 3 , after line 13 , insert:

"

             (4)    Is not indigent by design; and

             (5)    Is not a veteran or a member of a Native American tribe who is eligible or would have been eligible for services through the Veterans' Administration or the Indian Health Service if the services had been applied for within seventy-two hours of the person's admission. "

     On page 4 , line 16 , overstrike " health " .

     On page 4 , line 16 , before " in " insert " social services " .

     On page 4 , line 19 , remove the overstrikes from " unless such period is " .

     On page 4 , line 20 , remove the overstrikes from " extended or otherwise provided by the secretary, " .

     On page 5 , line 3 , before " . " insert " or an amount established by the secretary of the Department of Social Services, whichever is less. The amount established by the secretary shall be based on an analysis of the prevailing charges and payments from claims submitted to the department for payment " .

     On page 5 , line 10 , overstrike " the actual cost of hospitalization " and insert " the rates provided for in this section " .

     On page 6 , line 7 , remove the overstrikes from " such " .

     On page 6 , line 8 , after " section " insert " and the release of information provided for in section 26 of this Act " .

     On page 6 , line 14 , delete " actual cost " and insert "reimbursement".

     On page 6 , line 17 , after " . " insert " If a county provides payment for nonemergency services, the services shall be approved by the county before the services are provided. " .

     On page 10 , line 24 , delete " fifty percent of the " and insert " the homestead exemption provided for in subdivision (2) of §  43-45-3; " .

     On page 11 , delete line 1 .

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     On page 12 , line 10 , delete " and " .

     On page 12 , line 10 , after " vehicle " insert " ; clothing, reasonable in relation to the household's income; and installment payments, limited to necessary household items required by the household to maintain the needs of everyday living and reasonable in relation to the household's income " .

     On page 13, line 4, overstrike "or within seven days in the case of a nonemergency admission".

     On page 13 , line 12 , overstrike " cost of " and insert " reimbursement for " .

          On page 14 , delete lines 19 to 21 , inclusive , and insert:

     "Section 21. That § 28-13-44 be amended to read as follows:

     28-13-44.   No county is liable for any expenses of any person if such expenses have been
discharged in bankruptcy, unless the person is indigent as defined by §  28-13-1.1 The fact that an individual has filed a petition in bankruptcy or has received a discharge in bankruptcy under Title 11 of the United States Code is not admissible evidence in a proceeding under this chapter and may not be considered in making a determination of indigency.

     Section 22. That chapter 28-13 be amended by adding thereto a NEW SECTION to read as follows:

     If an individual is indigent by design, the individual is ineligible for medical assistance under the provisions of this chapter and there may be no other criteria used to determine eligibility.

     Section 23. That § 28-13-30 be amended to read as follows:

     28-13-30.   The secretary of health social services shall make such investigation as he deems necessary, and shall approve the statement of costs only if he finds it as the statement is accurate, complete and reliable as could reasonably be expected, and that it discloses, as nearly as may be reasonably determined, the ratios of costs to charges for the hospital's fiscal year covered by the statement of costs. In granting approval, the secretary may modify any items in the statement as he finds which require such modification and shall provide written notice of any such modification to the respective hospital.

     Section 24. That § 28-13-31 be amended to read as follows:

     28-13-31.   No statement of costs, or amendment thereto, may take effect until approved by
the secretary of health social services and the expiration of thirty days from the filing thereof, and thereafter, for purposes of § §   28-13-27 to 28-13-36, inclusive this chapter , shall remain in full force and effect until the next statement of costs, or amendment thereto, filed by the hospital pursuant to §   28-13-28 is approved by the secretary. Any such statement of costs, or amendments thereto, shall be a public record and be available for inspection at any time in behalf of any board of county commissioners.

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     Section 25. That § 28-13-32 be amended to read as follows:

     28-13-32.   Any board of county commissioners may at any time file, with the secretary of
health social services and the hospital concerned, objections in writing to any such statement
of costs, any items therein, or amended thereto, which objections shall be passed upon by the secretary.

     Section 26. That chapter 28-13 be amended by adding thereto a NEW SECTION to read as follows:

    If submitting a notice under the provisions of § 28-13-34.1, the hospital shall make every reasonable effort to secure from the patient, and to include with the notice, a release of information form which has been signed by the patient or the patient's authorized representative. The form shall authorize persons, agencies, or institutions to release, to the county, the patient's social security number, the social security number of other household members, medical information concerning the patient, and financial information concerning the patient or members of the patient's household.

     Section 27. That chapter 28-13 be amended by adding thereto a NEW SECTION to read as follows:

     A county may review the need for emergency room treatment, an admission, a transfer, a continued stay, or inpatient surgical services. At its option, a county may request the Department of Social Services to provide the needed reviews on the county's behalf. In either case, the review shall be conducted by or under the supervision of a physician licensed under chapter 36-4, and shall be consistent with generally accepted medical practice guidelines.

     Section 28. That chapter 28-13 be amended by adding thereto a NEW SECTION to read as follows:

     No county is liable for the payment of any experimental procedures or experimental modes of treatment provided on behalf of a medically indigent person.

     Section 29. That chapter 28-13 be amended by adding thereto a NEW SECTION to read as follows:

     Notwithstanding § 7-8-30, in any appeal regarding medical indigence, the circuit court may affirm or remand for further proceedings, or the court may reverse or modify the decision if substantial rights of the appellant have been prejudiced because the county's findings, inferences, conclusions, or decisions are:

             (1)    In violation of constitutional or statutory provisions;

             (2)    In excess of the statutory authority of the county;

             (3)    Made upon lawful procedure;

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             (4)    Affected by other error of law;

             (5)    Clearly erroneous in light of the entire evidence in the record; or

             (6)    Clearly unwarranted exercise of discretion.
     Section 30. That chapter 28-13 be amended by adding thereto a NEW SECTION to read as follows:

If submitting a bill to a county for medically necessary hospital services provided on behalf of a person who is medically indigent, the hospital must first demonstrate that it has exhausted all avenues of payment including accepting reasonable monthly payments from the person who does not have the ability to pay the hospital in one lump sum at the time of discharge."

Moved by:      Senator Rounds
Second by:      Senator Lawler
Action:      Prevailed by voice vote.

          Jill Wellhouse, Department of Social Services, explained amendment t-121h.

          Frank Drew, SD Assn of Health Care Organizations spoke to proposed amendments o-121h and t-121c. Jeremiah Murphy and Jim Ellenbecker (Secretary of Social Services) also joined the discussion.

        DEFER SB 121 AS AMENDED UNTIL February 19, 1997.

MOTION:      ADJOURN

Moved by:      Senator Dunn (Jim)
Second by:      Senator Lawler
Action:      Prevailed by voice vote.

Alma Matzen

Committee Secretary