74th Legislative Session -- 1999

Committee: Senate State Affairs

Monday, February 8, 1999

                                            P - Present
                                            E - Excused
                                            A - Absent

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


OTHERS PRESENT: See Original Minutes

The meeting was called to order by Senator Halverson


MOTION:      TO APPROVE THE MINUTES OF 2/8/99

Moved by:      Senator Rounds
Second by:      Senator Munson (David)
Action:      Prevailed by voice vote.

          SB 237:   transfer funds from the special racing revolving fund and the South Dakota-bred racing fund to the Department of Social Services for domestic and sexual abuse shelter programs and to the Department of Education for child development and certain technology enhancement programs and to make an appropriation therefor.

Proponents:      Dave Knudson, Governor's Office
          Larry Eliason, Executive Secretary, South Dakota Gaming Commission

MOTION:      DO PASS SB 237

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

Voting yes:      Dunn (Jim), Munson (David), Lawler, Whiting, Rounds, Halverson

Voting no:      Hutmacher

Excused:      Symens, Everist

          SB 201:   exempt certain transfers of property used exclusively for agricultural purposes from the inheritance tax.

Proponents:      Senator Bogue, Dupree, South Dakota (Document 1)
Opponents:      Allen Eide, Department of Revenue

MOTION:      DO PASS SB 201

Moved by:      Senator Hutmacher
Second by:      None


Action:      Died for a lack of a second

MOTION:      DEFER SB 201 UNTIL THE 41ST LEGISLATIVE DAY

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

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

Voting no:      Hutmacher, Lawler

Excused:      Symens

          SB 170:   ensure that enrollees receive health care services under certain managed care systems.

Proponents:      Senator Kloucek, Scotland, South Dakota

MOTION:      DEFER SB 170 UNTIL THE 41ST LEGISLATIVE DAY

Moved by:      Senator Everist
Second by:      Senator Whiting
Action:      Prevailed by roll call vote.   (7-1-1-0)

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

Voting no:      Hutmacher

Excused:      Symens

          HB 1009:   require a managed care plan to have a medical director or director.

Proponents:      Dave Knudson, Governor's Office(Document 2)
          Representative Kristi Fiegen, Sioux Falls, South Dakota(Document 3,6,7)
          Randy Moses, Department of Commerce and Regulation
          Roberta Vogt, AARP
Dave Hewett,South Dakota Association of Healthcare Organizations
Senator Kloucek, Scotland, South Dakota
Neal Chaplin(Documents 8,9,10),Golden Rule Insurance
MOTION:      DO PASS HB 1009

Moved by:      Senator Lawler
Second by:      Senator Hutmacher
Action:      Prevailed by roll call vote.   (8-0-1-0)

Voting yes:      Dunn (Jim), Munson (David), Hutmacher, Lawler, Everist, Whiting, Rounds, Halverson

Excused:      Symens

          HB 1012:   provide utilization review of managed care plans.

Proponents:      Dave Knudson, Governor's Office
          Representative Kristi Fiegen, Sioux Falls, South Dakota
          Roberta Vogt, AARP
          Dave Hewett, South Dakota Association of Healthcare Organizations
          Senator Frank Kloucek,Scotland, South Dakota
Neal Chaplin(Documents 8,9,10),Golden Rule Insurance
MOTION:      DO PASS HB 1012 AS AMENDED

Moved by:      Senator Rounds
Second by:      Senator Munson (David)
Action:      Prevailed by roll call vote.   (8-0-1-0)

Voting yes:      Dunn (Jim), Munson (David), Hutmacher, Lawler, Everist, Whiting, Rounds, Halverson

Excused:      Symens

MOTION:      TO AMEND TITLE OF HB 1012

j-1012t

     On page 1 , line 1 of the House Health and Human Services committee engrossed bill , delete everything after " to " and insert " establish criteria for the use of utilization review by health carriers, utilization review organizations, and other contracted entities. " .


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

          HB 1013:   establish certain requirements regarding coverage of emergency medical services in managed care plans.

Proponents:      Dave Knudson, Governor's Office
          Representative Kristi Fiegen, Sioux Falls, South Dakota
          Roberta Vogt, AARP
          Dave Hewett, South Dakota Association of Healthcare Organization
          Senator Frank Kloucek,Scotland, South Dakota
Neal Chaplin(Documents 8,9,10),Golden Rule Insurance
MOTION:      DO PASS HB 1013 AS AMENDED

Moved by:      Senator Everist
Second by:      Senator Rounds
Action:      Prevailed by roll call vote.   (8-0-1-0)

Voting yes:      Dunn (Jim), Munson (David), Hutmacher, Lawler, Everist, Whiting, Rounds, Halverson

Excused:      Symens

MOTION:      TO AMEND TITLE OF HB 1013

j-1013t

     On page 1 , line 2 of the House Health and Human Services committee engrossed bill , delete " in managed care plans " .


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

          SB 235:   require the disclosure of information to prospective enrollees of managed care plans.

Proponents:      Doneen Hollingsworth, Secretary, Department of Health(Documents 4,5)
          Michael Shaw,American Family Insurance
          Richard Tieszen, State Farm Insurance Companies
          Roberta Vogt, AARP

MOTION:      DO PASS SB 235 AS AMENDED

Moved by:      Senator Lawler
Second by:      Senator Munson (David)
Action:      Prevailed by roll call vote.   (8-0-1-0)

Voting yes:      Dunn (Jim), Munson (David), Hutmacher, Lawler, Everist, Whiting, Rounds, Halverson

Excused:      Symens

          SB 236:   establish standards for network adequacy and quality of care in managed care plans and to require the registration of managed care entities.

Proponents:      Doneen Hollingsworth, Secretary, Department of Health
          Michael Shaw, American Family Insurance
          Richard Tieszen, State Farm Insurance
          Roberta Vogt, AARP

MOTION:      DO PASS SB 236 AS AMENDED

Moved by:      Senator Munson (David)
Second by:      Senator Lawler
Action:      Prevailed by roll call vote.   (8-0-1-0)

Voting yes:      Dunn (Jim), Munson (David), Hutmacher, Lawler, Everist, Whiting, Rounds, Halverson

Excused:      Symens

          SB 238:   authorize the Public Utilities Commission to regulate certain telecommunications services.

Proponents:      Dave Knudson, Governor's Office
          Pam Nelson, Commissioner, Public Utilities Commission(Opposed to Document 12)
          Laska Schoenfelder, Commissioner, Public Utilities Commission
          Rulayne Wiest,Public Utilities Commission
Opponents:      Tom Adam, MCI(Document 12)
          Harry Christianson, AT&T
          Melody Hackett, Sprint
          Richard Gregerson,Dakota Telecommunication Group
          Brian Meyer,South Dakota Association of Telephone Cooperatives

MOTION:      AMEND SB 238

o-238

     On page 1 , line 8 of the printed bill , delete " customer " and insert " subscriber " .

     On page 1 , line 10 , delete " Public Utilities Commission " and insert " commission. The commission may promulgate rules pursuant to chapter 1-26 to implement this section " .

     On page 2 , line 18 , delete " a nonauthorized " and insert " an unauthorized " .

     On page 2 , after line 25 , insert:

"      Section 5. That § 37-30A-9 be repealed.

     37-30A-9.   Notwithstanding the provisions of §   37-30A-8, no person may change the designated telecommunications company as defined in §   49-31-1(9) which is providing service to a consumer without the written confirmation in the form of a letter of agency from that consumer or confirmation by a third-party verification company. The third-party verification company shall meet each of the following criteria:

             (1)      Be independent of the telecommunications company that seeks to provide the consumer's new service;
             (2)      Not be directly managed, controlled, or directed, or owned wholly or in part, by the telecommunications company that seeks to provide the consumer's new service;
             (3)      Operate from facilities physically separate from those of the telecommunications company that seeks to provide the consumer's new service; and
             (4)      Not derive commissions or compensation based upon the number of sales confirmed.
     The telecommunications company that seeks to provide the consumer's new service shall connect the consumer by telephone to the third-party verification company or shall arrange for the third-party verification

company to call the consumer to confirm the change. The third-party verification company shall obtain the consumer's oral confirmation regarding the change and shall record that confirmation. The record shall include the information requested by the third-party verification company and the consumer's responses. The third-party verification company shall retain that record for twelve months. The record shall be available to the Public Utilities Commission and to the consumer at no cost. No information obtained from the consumer may be used for marketing purposes. If the telecommunications company or a third-party verification company acting on its behalf fails to comply with these third-party verification provisions, the Public Utilities Commission may revoke the telecommunication company's certificate of authority and may impose a civil fine of not less than two hundred dollars nor more than one thousand dollars for each offense. It is a violation of §   §   37-30A-1 to 37-30A-17 for any person to make such an unauthorized change. "



Moved by:      Senator Rounds
Second by:      Senator Dunn (Jim)
Action:      Prevailed by voice vote.
Senator Halverson appointed Senator Lawler and Senator Whiting to a special committee
to work on SB238.
The Chair deferred SB 238 until 2/12/99.

          SB 239:   revise certain provisions regarding telecommunications services.

Proponents:      Dave Knudson, Governor's Office

MOTION:      DO PASS SB 239

Moved by:      Senator Munson (David)
Second by:      Senator Rounds
Action:      Prevailed by roll call vote.   (8-0-1-0)

Voting yes:      Dunn (Jim), Munson (David), Hutmacher, Lawler, Everist, Whiting, Rounds, Halverson

Excused:      Symens

          SB 154:   revise certain provisions regarding the Public Utilities Commission implementation of the federal Telecommunications Act of 1996.

Proponents:      Larry Toll, U.S. West
Opponents:      Rulayne Wiest, Public Utilities Commission

The Chair deferred SB 154 until 2/12/99.

          SB 144:   revise the definition of basic local exchange service for the purposes of regulating telecommunications services.



The Chair deferred SB 144 until 2/12/99.

MOTION:      ADJOURN

Moved by:      Senator Lawler
Second by:      Senator Munson (David)
Action:      Prevailed by voice vote.



Janet Judson

_________________________________

Committee Secretary
Harold Halverson, Chair


../02081930.SST    Page 1