State of Alaska
Fiscal Note
Bill Version: SCS CSHB 96(FIN)
2020 Legislative Session
Fiscal Note Number: 10
(S) Publish Date: 3/23/2020
Identifier: HB096SCSCS(FIN)-DHSS-PH-3-23-2020 Department: Department of Health and Social Services
Title: PIONEERS' HOME AND VETERANS' HOME Appropriation: Alaska Pioneer Homes
RATES Allocation: Pioneer Homes
Sponsor: FIELDS OMB Component Number: 2671
Requester: (S) RLS
Expenditures/Revenues
Note: Amounts do not include inflation unless otherwise noted below. (Thousands of Dollars)
Included in
FY2021 Governor's
Appropriation FY2021 Out-Year Cost Estimates
Requested Request
OPERATING EXPENDITURES FY 2021 FY 2021 FY 2022 FY 2023 FY 2024 FY 2025 FY 2026
Personal Services 42,942.2
Travel 14.7
Services 19,981.4
Commodities 2,906.0
Capital Outlay 95.6
Grants & Benefits 4.8
Miscellaneous
Total Operating 0.0 65,944.7 0.0 0.0 0.0 0.0 0.0
Fund Source (Operating Only)
1002 Fed Rcpts (Fed) 1,594.2
1005 GF/Prgm (DGF) (6,061.5) 25,478.4 (6,061.5) (6,061.5) (6,061.5) (6,061.5) (6,061.5)
1007 I/A Rcpts (Other) 6,061.5 34,640.8 6,061.5 6,061.5 6,061.5 6,061.5 6,061.5
1037 GF/MH (UGF) 2,007.0
1246 RcdvsmFund (DGF) 2,224.3
Total 0.0 65,944.7 0.0 0.0 0.0 0.0 0.0
Positions
Full-time
Part-time
Temporary
Change in Revenues
None
Total 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Estimated SUPPLEMENTAL (FY2020) cost: 0.0 (separate supplemental appropriation required)
Estimated CAPITAL (FY2021) cost: 0.0 (separate capital appropriation required)
Does the bill create or modify a new fund or account? no
(Supplemental/Capital/New Fund - discuss reasons and fund source(s) in analysis section)
ASSOCIATED REGULATIONS
Does the bill direct, or will the bill result in, regulation changes adopted by your agency? yes
If yes, by what date are the regulations to be adopted, amended or repealed? 07/01/21
Why this fiscal note differs from previous version/comments:
Fiscal note has been recalculated to display needs in FY2021 and out years, relative to the FY2021 Governor's Request.
Prepared By: Clinton Lasley, Deputy Commissioner Phone: (907)465-5736
Division: Alaska Pioneer Homes
REPORT Date: 03/23/2020 12:10 PM
ED
SFC 03/2 OUT OF
Approved By: Sana Efird, Administrative Services Director Date: 03/23/20
Agency: Office of Management and Budget
3/2020
Printed 3/23/2020 Page 1 of 2 Control Code: SIUsr
 SCS CSHB 96(FIN) - Fiscal Note 10
FISCAL NOTE ANALYSIS
STATE OF ALASKA BILL NO. SCS CSHB096(FIN)
2020 LEGISLATIVE SESSION
Analysis
This bill sets in statute Alaska Pioneer Home rates that are an average of 26% less than the costs of providing Pioneer
Home services. Under this legislation, the State will subsidize the cost of services to all residents, including those with
private pay ability. This bill also increases the amount of personal income a resident keeps for incidentals, which will
increase the cost of care subsidy for residents on payment assistance.
The Pioneer Homes subsidize residents in two distinct ways. First, because no resident is invited to live in the home based
on his or her ability to pay, a needs-based payment assistance program is in place to ensure that all elders can celebrate
life through its final breath in the homes regardless of their income. Secondly, there is a general fund subsidy which funds
the gap between charged rates and the actual cost to provide services. The bill proposes to decrease Pioneer Home rates
to a level below the full cost of operating the facilities. As such, an adjustment to both the Payment Assistance Program
and the general fund subsidy is needed to fully fund the operations of the Pioneer Homes.
Based on occupancy over the most recent 6 months of FY2020, the division calculates a need for an additional $5896.1
general fund subsidy to cover the gap between rates charged under HB 96 and the full cost of care, and $165.4 general
fund subsidy to make up for an increase, under HB 96, to the personal allowance a resident may retain, for those on
payment assistance. This has been rounded to $6061.5, total for this fiscal note.
The Pioneer Homes component will expect $6061.5 less in payments from residents under HB 96 (general fund program
receipts), and will make up for that through an increase in draws from the Payment Assistance component (interagency
receipts).
(Revised 10/22/19 OMB/LFD) Page 2 of 2
HB096SCSCS(FIN)-DHSS-PH-3-23-2020 Page 2 of 2 Control Code: SIUsr


Statutes affected:
HB0096A, AM HB 96, introduced 03/15/2019: 47.55.020, 47.55.030, 47.55.070, U.S.C
HB0096B, AM CSHB 96(STA), introduced 04/03/2019: 47.55.020, 47.55.030, 47.55.070, U.S.C
HB0096C, AM CSHB 96(FIN), introduced 05/06/2019, passed House 05/10/2019: 47.55.020, 47.55.030, 47.55.070, U.S.C
HB0096D, AM SCS CSHB 96(FIN), introduced 03/23/2020: 47.55.010, 47.55.020, 47.55.030, 47.55.070, U.S.C
HB0096Z, AM Enrolled HB 96, introduced 03/24/2020: 47.55.010, 47.55.020, 47.55.030, 47.55.070, U.S.C