Special Advisory Commission of Senior Citizens

 

Minutes of the<MeetNo1> 2nd Meeting

of 2005

 

<MeetMDY1> November 3, 2005

 

The<MeetNo2> second semiannual meeting of the Special Advisory Commission of Senior Citizens was convened on<Day> Thursday,<MeetMDY2> November 3, 2005, at<MeetTime> 1:00 PM, at the Holiday Inn Capital Plaza, in Frankfort<Room>. Bert Sisk, Chair, called the meeting to order.

 

Present were:

 

Members:<Members> Bert Sisk, Chair; Frances Baccus, Mabel Ballinger, Mary Barlow, Anna Birch, J. T. Boling, Leon Boyd, Robert Boynton, Joyce Bruce, Ruth Bryant, Russ Callahan, Douglas Cole, Bertha Daniels, Leon Dodge, Joe Doebler, Randall Donahue, Doris Engle, Jack Eversole, Finnell Fields, Ed Flanagan, Hallie Folz, James Frazier, Jane Fugate, Rufus Fugate, Barbara Germain, Margaret Gilland, Dell Hall, Gloria Hall, Bill Harned, Frank Hatfield, Edna Hawkins, Faye Hensley, Eleanor Holbrook, Lee Hopkins, Carolyn Horn, Betty Huff, James Huff, Phil Hulsman, Bobby Humes, Edgar Jamison, Argene Jones, W. D. Kelley, Gayle Lawson, Irving Lipetz, Abby Marlatt, Phillip Martin, Warren Massey, Pete McNeill, Denver Moore, Betty Olson, Elmer Olson, Josephine Osborn, Raymond Osborn, Kenneth Overhults, Norman Pallarito, Joy Payne, Jean Phelps, Stanley Ramey, Lillian Rice, Clarence Richardson, Esther Rigby, Jeane Robertson, Mary Robertson, LaVerne Ryan, John Searcy, Clayton Shannon, Martha Shircliffe, Laura Alice Sidwell, Delma Smith, Fred Smith, Martha Smith, Donald Stethen, Pat Sutton, Ernest Taylor, Claude Tiller, Mary Trimble, Laurel True, Joan Veazey, Irene Vertrees, Joe Wahlen, Lillian Wheeler, and Betty Whitehead.

 

Guests: Representative Carolyn Belcher; Brian Bishop, Executive Director, Kentucky Board of Emergency Medical Services; Vickie Bourne, Office of Transportation Delivery, Kentucky Transportation Cabinet; Senator Tom Buford; Sharon Burton, Division of Consumer Protection and Education, Office of Insurance; Senator Julian Carroll; Bill Cooper, Director, Division of Aging Services, Cabinet for Health and Family Services; Brian Crall, Deputy Secretary, Governor's Executive Cabinet; Nici Gaines, Division Director for Kentucky Children's Health Insurance Program, Cabinet for Health and Family Services; Representative Derrick Graham; Marilyn Grove, Director, Scott County Senior Citizen Center; Jill Horner, Director, Jessamine County Senior Citizen Center; Todd Leatherman, Assistant Attorney General and Director of the Consumer Protection Division, Office of Attorney General; Representative Jimmie Lee; Representative Stan Lee; Bernice Miracle, Director, Laurel County Senior Citizen Center; Ray Perry, Division of Consumer Protection and Education, Office of Insurance; and Senator Elizabeth Tori.

 

LRC Staff: Katie Carney, Eric Clark, Janice Clark, Gerard Donovan, Gilmore Dutton, Matt Ellis, Sally Everman, Rhonda Franklin, Jamie Griffin, Linda Hughes, Bud Kraft, JoAnn Paulin, Charlotte Quarles, Jim Roberts, and Cindy Smith.

 

Chairman Sisk welcomed everyone to the Commission's second semiannual meeting for 2005, the 28th year of the founding of the Special Advisory Commission of Senior Citizens. Chairman Sisk expressed his hope that everyone had a safe and pleasant trip from their home to Frankfort. Chairman Sisk then introduced those seated at the head table.

 

Chairman Sisk informed members that the Legislative Research Commission has begun a Hurricane Relief Fund. The LRC requests that at all meetings under its jurisdiction have a collection box available to receive donations that will be equally divided among the American Red Cross Disaster Relief Fund, Habitat for Humanity Operation Home Delivery, and the Bush-Clinton Katrina Fund.

 

Chairman Sisk announced that one member had passed away since the last meeting. Mr. Frederic Ogden passed away on July 3, 2005. Chairman Sisk informed members that a resolution in memory of Mr. Ogden was in their folders, and asked them to review the resolution. Chairman Sisk called for a motion to adopt the resolution. Mr. Kenneth Overhults made a motion to adopt the resolution and Ms. Bertha Daniels seconded the motion. The resolution was adopted. Chairman Sisk announced that a copy would be forwarded to Mrs. Ogden.

 

Chairman Sisk introduced the new members of the Commission. He stated that the following members had been appointed to the Commission since the May 2005 meeting:

 

Mr. Russ Callahan, nominated by the Northern Kentucky Area Development District;

Mr. Jack Eversole, nominated by the Barren River Area Development District;

Mr. Verlin Flaherty, nominated by the KIPDA Area Development District;

Mr. James Frazier, nominated by the FIVCO Area Development District;

Mrs. Barbara Germain, nominated by the Lake Cumberland Area Development District;

Ms. Dell Hall, nominated by the Barren River Area Development District;

Ms. Gloria Hall, nominated by the Big Sandy Area Development District; and

Mr. Joe Wahlen, nominated by the National Association of Retired Federal Employees.

 

Chairman Sisk asked Mr. Laurel True, Commission Vice Chair, to introduce the afternoon's program. Mr. True informed members of the progress he and Chairman Sisk have made with promoting the Commission's primary recommendation. He stated that he has a meeting arranged with Senate leadership on December 7. He then informed members that he and Chairman Sisk had met with Secretary Holsinger of the Cabinet for Health and Human Services. Secretary Holsinger informed them that he would be asking for a 23% increase in funding for Area Agencies on Aging and Senior Citizen Centers, instead of the 20% proposed increase by the Commission. Mr. True informed members that he and Chairman Sisk had also met with House Leadership and Governor's office staff. He stated that House Leadership is committed to supporting the Commission's recommendation and that Mr. Crall with the Governor's Office stated that he thinks that the recommendation is possible. Mr. True added that a meeting has been scheduled to discuss the Commission's recommendation with Senate leadership and the Appropriations and Revenue Committee leadership.

 

Mr. True recognized Mr. Bill Harned, Coordinator of the KIPDA Regional Coordinating Committee for a report. Mr. Harned stated that Representative Mary Harper had visited the Bullitt County Senior Citizen Center and commented that she was surprised that the waiting list for services was so long and that staff salaries were so low. The Sheperdsville Senior Citizen Center's director explained that with additional funding she would be able to provide meals on wheels to as many as 300 more people in Bullitt County. He added that many people are discouraged to find out that the waiting list is so long, that they don't even sign up for services.

 

Mr. Harned recognized Mr. Norman Pallarito a Commission member and also the Chairman of the Tri-County Board representing Senior Citizen Centers in Oldham, Henry, and Trimble Counties. Mr. Pallarito commented that Representatives David Osborne and Rick Rand and Senator Ernie Harris each visited at least one Senior Citizen Center in the tri-county area. Mr. Pallarito announced that the Trimble County Senior Citizen Center would be hosting a visit by the Governor in two weeks. Mr. Pallarito stressed to members the importance of getting their legislators involved prior to the first of the year.

 

Mr. True stated that contact should be made with the legislators representing Jefferson County to invite them to senior centers and to ask for their support in the funding increase.

 

Mr. True recognized Ms. Edna Hawkins, Coordinator of the Barren River Regional Coordinating Committee for a report. Ms. Hawkins informed members that seven out of ten legislators representing her area had lunch in the senior centers of the Barren River region. Prior to the end of November, the remaining three legislators for the area will also be participating in a lunch. Ms. Hawkins stated that media was present at some of the locations. She added that all legislators received the brochure, "There's No Place Like My Home." Ms. Hawkins concluded her report by stating that Representative Steve Nunn was having lunch that day at a Senior Citizen Center in her region.

 

Mr. True recognized Ms. Lillian Wheeler, Coordinator of the Big Sandy Regional Coordinating Committee for a report. Ms. Wheeler stated that legislators have been invited to visit her areas' Senior Citizen Centers. She added that in the invitation to the legislators they requested the legislator's support for the additional funding and were informed by each legislator contacted that they supported the proposal for additional funding.

 

Mr. True recognized Ms. Lillian Rice, Coordinator of the Buffalo Trace Regional Coordinating Committee for a report. Ms. Rice stated that the local newspaper has been very cooperative with publishing articles requesting support for an increase in funding for Senior Citizen Centers. Ms. Rice added that she had recently hosted a few legislators at her house and spoke of the need for the additional funding with them.

 

Mr. True recognized Ms. Jean Phelps, Coordinator of the Cumberland Valley Regional Coordinating Committee for a report. Ms. Phelps informed members that in her region there are eight counties with ten Senior Citizen Centers. Ms. Phelps read to members part of a letter that had been mailed to the legislators in her area and to the Governor. Ms. Phelps added that center directors have distributed copies of the brochure, "There's No Place Like My Home." Legislators have assured center directors of their support for the funding and indicate that they are aware of the need for the funding. Ms. Phelps commented that a picture of Representative Jim Stewart was recently in the Corbin newspaper, showing him helping serve and deliver meals.

 

Mr. True recognized Mr. Stanley Ramey, Coordinator of the FIVCO Regional Coordinating Committee for a report. Mr. Ramey recognized Mrs. Sherry McDavid, Aging Coordinator for the FIVCO Area Development District. Ms. McDavid informed members that the FIVCO area periodically puts on a legislative breakfast. She added that in addition to the breakfast, legislators are given a laminated card that has key constituent contact information on it. Ms. McDavid also stated that a meeting has been scheduled with the Governor.

 

Mr. True recognized Mr. Finnell Fields, a Commission member on the Gateway Regional Coordinating Committee for a report. Mr. Fields informed members that Representative Adrian Arnold has participated in a meal delivery run. He added that the Mount Sterling/Montgomery County Senior Citizen Center currently does not have a waiting list for delivered meals, thanks to the County Judge and Mayor.

 

Mr. True recognized Mr. J.T. Boling, Coordinator of the Green River Regional Coordinating Committee for a report. Mr. Boling informed members of the activities in his area for the month of October. Currently three legislators have participated in a meal delivery program and another legislator is scheduled to participate. In addition to the legislator participation his area has received a lot of support from local government officials. Mr. Boling also mentioned that there have been a few newspaper articles about the participation of the meal delivery program in the area's papers.

 

Mr. True recognized Mr. Rufus Fugate, a Commission member on the Kentucky River Regional Coordinating Committee for a report. Mr. Fugate informed members that the brochure, "There's No Place Like My Home" has been distributed. Legislators have also been invited to the area's senior games to pass out ribbons and trophies.

 

Mr. True recognized Mr. Claude Tiller, a Commission member on the Lake Cumberland Regional Coordinating Committee for a report. Mr. Tiller stated that at least four legislators have visited Senior Citizen Centers in the area. He stated that his region has a problem with structure and communication. They are working on communication between agencies responsible to notify them on activities.

 

Mr. True recognized Mr. Fred Smith, Coordinator of the Lincoln Trail Regional Coordinating Committee for a report. Mr. Smith informed members that he believes the strongest advocate for senior citizens is State Representative Jimmie Lee. He added that he would ask Ms. Nancy Addington, Aging Coordinator for the Lincoln Trail Area Development District, for a complete report to submit to the Commission by the end of the month.

 

Mr. True recognized Ms. Mabel Ballinger, Coordinator for the Northern Kentucky Regional Coordinating Committee for a report. Ms. Ballinger informed members that her area has hosted Medicare and prescription drug workshops. She suggested other areas to look into the possibility of hosting similar workshops.

 

Mr. True recognized Mr. W.D. Kelley, Coordinator for the Pennyrile Regional Coordinating Committee for a report. Mr. Kelley in turn recognized Ms. Jill Collins, Aging Coordinator for the Pennyrile Area Development District, to give the report. Ms. Collins stated that seven counties have hosted programs for legislators. She added that at most of the programs media coverage has been provided by a combination of newspaper and radio. Ms. Collins stated that letters have been mailed to all 13 legislators in their area. A response has been received from eight legislators. In addition, she stated, three legislators are scheduled to meet with them for a lunch in November.

 

Mr. True recognized Ms. Betty Huff, Coordinator for the Purchase Regional Coordinating Committee for a report. Ms. Huff stated that she would be recommending the idea of the breakfast with the legislators to her Senior Citizen Centers. She added that the brochure, "There's No Place Like My Home" has been distributed to legislators. Ms. Huff mentioned that information has been provided to local senior citizens on ways to contact their legislators. She concluded her report, informing members that legislators have been invited to attend a meeting at the Area Development District later in November.

 

Mr. True thanked all Regional Coordinating Committees for their reports. He added that he and Chairman Sisk are working on a letter to be mailed in a few weeks to the Commission membership on information about the Appropriations and Revenue Committee membership.

 

Chairman Sisk thanked Mr. True for moderating the Committee reports. Chairman Sisk then announced that Mr. Irving Lipetz would be retiring from the Commission after this meeting. He thanked Mr. Lipetz for his dedication to the Commission and wished him well in the future. Chairman Sisk recognized Mr. Gilmore Dutton for some announcements.

 

Mr. Dutton called the members' attention to some housekeeping items. Mr. Dutton highlighted a new addition to the member's folders. The document entitled, "Active Charity Promotions in Kentucky" is compiled by the Office of the Attorney General.

 

After Mr. Dutton's remarks, Chairman Sisk recognized Ms. Gayle Lawson. Ms. Lawson informed members that she had recently spoken with Senator Daniel Mongiardo and that he suggested that she write a letter encouraging the additional funding. She added that the Cumberland Valley area is requesting a 25% increase in funding for aging services. After Ms. Lawson's comments, Chairman Sisk adjourned the opening general session to allow the subcommittee's to convene.

 

Chairman Sisk convened the dinner session, and welcomed the members and their guests. Chairman Sisk recognized Dr. Phil Hulsman to give the invocation. Following the invocation, Chairman Sisk introduced those seated at the head table. After dinner Chairman Sisk recognized Mr. Dutton for the introduction of the legislative hosts for the evening. Representing the legislature were Senator Tom Buford, Senator Julian Carroll, and Representative Derrick Graham.

 

Chairman Sisk introduced Mr. Brian Crall, one of the speakers for the evening. Mr. Crall is the Deputy Secretary of the Governor's Executive Cabinet and a former state legislator.

 

Mr. Crall shared with members his opinion, about the upcoming session relative to the current budget situation. He stated "... that there are literally 6, 7, or 8 issues that all by themselves could consume all of the new revenue generated in the upcoming years." Mr. Crall listed the programs that will have a significant impact on the budget: Medicaid, education, state employee retirement, state employee health insurance, and prisons. Mr. Crall stressed that Medicaid is the primary issue, and raised the questions, "How do we continue to provide as many key services to as many legitimally eligible people as possible? And, how do we do that in a way that is cost sustainable in the future?"

 

Following Mr. Crall's comments there was a short question and answer period. In response to one of the questions asked, Mr. Crall commented that the most effective way to enhance revenue is to build the economy and improve the ability of Kentuckians to earn income. He added that an economy needs to be constructed that allows for more rapid and robust income growth. He stressed that if Kentucky does not out-pace its surrounding states in jobs and income, then anything Kentucky does will be self-defeating. Mr. Crall added that whatever the solution to increasing revenue is, it needs to be sustainable.

 

Chairman Sisk thanked Mr. Crall for participating in the Commission's program. Chairman Sisk introduced Senator Elizabeth Tori, the other speaker for the evening. Senator Tori is Co-Chair of the Interim Joint Committee on Seniors, Veterans, Military Affairs, and Public Protection.

 

Senator Tori talked about the threat of bio-terrorism and natural disasters in Kentucky. She gave some examples of industries that could be targets of terrorism. Senator Tori said Homeland Security should be thought of as an all hazard program, encompassing weather and chemical spills, as well as terrorist acts. She stressed the need for individual responsibility, with citizens planning for the eventuality of a disaster. Senator Tori asked members to think about what it would take for them to survive a week or more in the event of a disaster. Senator Tori stated that Kentuckians should have kits prepared that include first aid materials, water stored in plastic bottles, glasses, medicine, a flashlight, a radio, anything that needs to be used on a daily basis, and a food supply that does not have to be heated.

 

Chairman Sisk thanked Senator Tori for participating in the Commission's program. After a few announcements, Chairman Sisk adjourned the dinner session until the next morning, November 4, 2005.

 

Following the conclusion of the subcommittee meetings on Friday, November 4, 2005, Chairman Sisk convened the closing general session at 10:15 a.m.

 

Chairman Sisk introduced those seated at the head table, and then introduced Ms. Nici Gaines, the speaker for the morning. Ms. Gaines is the Division Director for K-CHIP, Kentucky's Children Health Insurance Program, Department for Medicaid Services, Cabinet for Health and Family Services.

 

Ms. Gaines discussed proposals for Medicaid reform slated in the 2006 session of the General Assembly. She informed members of a prescription drug bill that will change authorization methods for new prescription drugs. The legislation will require that all new prescription drugs be reviewed by the Pharmacy and Therapeutics Committee to determine if the drug merits authorization. Ms. Gaines stated that Medicaid should be the payer of last resort, and that all other applicable insurance methods should be exhausted prior to billing Medicaid. The Department for Medicaid Services plans to require insurance companies to send the Department all information on all of their clients. Currently, insurance companies only send information to the Department on pre-determined Medicaid eligible clients.

 

Ms. Gaines explained that the Department will seek a 1115 Medicaid Waiver, which will permit new benefit packages. She added that the benefit packages require cost sharing, but within limits. The Department's goal with all of the benefit packages is to provide continuous care and to provide flexibility with the various options. She added that the Department is creating an intermediate level of care to allow people to stay in their homes longer.

 

Following Ms. Gaine's comments there was a question and answer period. In response to one of the questions asked, Ms. Gaines stated that the Department would be conducting consumer education programs. She commented that the Department's website explains the 1115 Waiver, has a question and answer section, together with other helpful information. For people without Internet access, the Department has created pamphlets that have been distributed to various groups and organizations. Ms. Gaines added that in the future there would also be disease management programs featuring an incentive program called "Get Healthy Accounts".

 

Chairman Sisk thanked Ms. Gaines for her valuable information and for participating in the Commission's program.

 

Chairman Sisk recognized Mr. Fred Smith for a report from the Nominating Committee for the Commission Chairman and Vice Chairman. Mr. Smith announced the following members to be nominated for the position of Commission Chairman:

 

Mr. Laurel True,

Mr. Bill Harned, and

Ms. Jean Phelps.

 

Mr. Smith announced the following members to be nominated for the position of Commission Vice Chairman:

 

Ms. Lillian Rice,

Ms. Bertha Daniels, and

Mr. Norman Pallarito.

 

A motion was made and seconded to accept the Nominating Committee report. The report was adopted by the Commission.

 

Chairman Sisk introduced each of the Subcommittee spokesmen who, in turn, presented their subcommittee's report for adoption by the full membership. The Commission adopted the following subcommittee reports.

 

Subcommittee on Consumer Affairs

(Reported by Mr. Frank Hatfield, Subcommittee Chair)

 

The Consumer Affairs Subcommittee on Thursday afternoon received a presentation from Representative Stan Lee and Todd Leatherman, Director, Consumer Protection Division, Office of the Attorney General, on identity theft protection. Representative Lee addressed his prefiled bill, BR 124 on identity theft. Mr. Leatherman addressed the Office of Attorney General's draft bill on identity theft. Mr. Leatherman noted that the draft legislation is based on North Carolina's law.

 

Mr. Hatfield announced that the Subcommittee had adopted the following recommendations:

 

1)                 Enact legislation incorporating the Kentucky Identity Theft Protection Act Task Force Recommendations;

2)                 Enact legislation limiting businesses' access to an individual's Social Security number;

3)                 Enact legislation to empower a Kentucky consumer to implement a "security freeze" on his or her credit report;

4)                 Enact legislation to require local law enforcement agencies to make a formal police report of a suspected case of identity theft, without regard to jurisdiction. Where information identifies the jurisdiction of the reported crime, local law enforcement should also be required to notify the proper authorities for prosecution;

5)                 Enact legislation giving District Courts jurisdiction in identity theft cases crossing state lines;

6)                 Enact legislation to require basic training for police to include identity theft; and

7)                 Enact legislation to amend the Kentucky High Cost Loan Act to allow a debtor to seek attorney's fees whether they elect to pursue a remedy under Kentucky's usury law or the Kentucky Consumer Protection Act. Section 3 (3)(c) of the Act should be amended to add the following language after the word "both". "In the case of any successful action to enforce the provisions of this section, in addition to damages available under KRS Chapter 767, the person seeking damages or penalties shall be entitled to a reasonable attorney's fee as determined by the court".

 

A motion to adopt the Subcommittee's recommendations was made and seconded, and passed on a voice vote.

 

Subcommittee on Health and Human Services

(Reported by Dr. Phil Hulsman, Subcommittee Chair)

 

The Health and Human Services Subcommittee heard testimony from Representative Jimmie Lee on health issues facing the 2006 Kentucky General Assembly. Representative Lee emphasized that funding is critical in all human support services. Such funding will be a major factor in the 2006 Kentucky General Assembly. Representative Lee highlighted the expected Medicaid deficit and the 1115 Medicaid Waiver.

 

The Subcommittee heard testimony from Mr. Brian Bishop, Executive Director, Kentucky Board of Emergency Medical Services on Kentucky's preparedness and response to the long-term care community in the event of a natural disaster. Mr. Bishop informed members that the biggest natural disaster threat in Kentucky is an earthquake. He mentioned that while dealing with a disaster, nothing happens according to plan, regardless of how prepared and thought out a plan may seem. Mr. Bishop noted that long-term care facilities are particularly difficult for EMS professionals due to the level of care required in an evacuation and the availability of appropriate facilities to shelter such residents. He added that rural counties can be overwhelmed much quicker in natural disasters because those counties are limited in supplies and personnel. Mr. Bishop emphasized that preparedness for natural disasters starts at home.

 

Subcommittee Chair Dr. Hulsman provided members with an update on the Medicare Part D Prescription Drug Program. He informed members of the importance of exploring and analyzing their options before committing to a certain drug program. Dr. Hulsman noted that the new Medicare Part D program is not an entitlement program, but rather an insurance policy. He stated that it is important for seniors to obtain a plan that has the flexibility to obtain the drugs they need, while at the same time focusing on the coverage and costs of such drugs.

 

Dr. Hulsman announced that the Subcommittee had adopted the following recommendations:

 

1)        Create minimum quality staffing standards for front-line caregivers in all nursing homes in Kentucky; and

2)        Recommend that the Department for Medicaid Services be given increased flexibility to administer Medicaid benefits available through the 1115 Waiver, allowing more availability to in-home and community-based services.

 

A motion to adopt the Subcommittee's recommendations was made and seconded, and passed on a voice vote.

 

Subcommittee on Insurance

(Reported by Ms. Carolyn Horn, Subcommittee Vice Chair)

 

The Insurance Subcommittee heard testimony from Mr. Ray Perry, Acting Director, Consumer Protection Division, Office of Insurance; Rodney Hugle, Branch Manager, Enforcement Branch, Office of Insurance; Debbie Stamper, Branch Manager, Consumer Education Branch and Ombudsman's Office, Office of Insurance; and Sharron Burton, Branch Manager, Market Conduct Branch, Office of Insurance. Mr. Perry gave a brief history and overview of the Consumer Protection Division. The Subcommittee received packets of information including instructions on filing a complaint with the Division and consumer guides on annuities, viaticals, auto and home insurance, long-term care insurance, and Medicare supplement insurance.

 

Mr. Hugle gave an overview of the complaint process. In addition to providing the members with some statistics on the number of complaints received, he informed them that a formal complaint has to be received in writing and the complaint will be answered no later than 15 days after it is received.

 

Ms. Stamper stated that the Office has over 80 educational publications regarding insurance. She added that the Education Branch has participated in Medicare Part D Forums as well as other senior citizen events held across the state.

 

Ms. Burton informed members that from 2004-2005 her branch initiated approximately 45 exams and investigations, which resulted in approximately $1 million in restitution to policyholders.

 

Ms. Horn announced that the Subcommittee had adopted the following recommendations:

 

1)        The General Assembly and the Office of Insurance should continue efforts to increase the availability of health insurance to senior citizens in Kentucky at affordable and justifiable premiums, require coordination between the Office of Insurance and the Attorney General regarding rate increases, and urge the 2006 Session of the General Assembly to encourage Congress to increase Medicare benefits for senior citizens;

2)        The General Assembly should address the issue of medical malpractice insurance premium increases, assuring that the life expectancy of senior citizens not be a justifiable reason to reduce compensation for noneconomic damages, such as pain and suffering;

3)        The General Assembly should enact legislation:

(a)       To require long-term care insurance carriers to submit rate increases to the Attorney General, as well as the Office of Insurance, and to allow intervention by the Attorney General as needed; and

(b)       To require, if a long-term care insurance policy is amended, or a rate increase is requested by a carrier, that the requested change meet the same requirements as a new policy; and

4)        The General Assembly should enact legislation to require life insurers to refund any unearned premiums upon termination of the policy or notification of the death of the insured.

 

A motion to adopt the Subcommittee's recommendations was made and seconded, and passed on a voice vote.

 

Subcommittee on Taxation

(Reported by Mr. Pete McNeill, Subcommittee Chair)

 

The Taxation Subcommittee held a discussion with Representative Carolyn Belcher regarding an elder care income tax credit for persons who care for the elderly in their home of in the elder person's home. Representative Belcher informed the Subcommittee that she plans to prefile the bill so that it may be given a hearing in early January.

 

The Subcommittee heard testimony from Mr. Bill Cooper, Director, Division of Aging, Cabinet for Health and Family Services. Mr. Cooper presented Kentucky's State Plan on Aging and it's effects. He stressed that every effort must be made to make every dollar count. He stated that all programs are being evaluated for effectiveness and improvement. Mr. Cooper announced that Kentucky has been awarded a three-year federal grant for $800,000 for the first Aging and Disability Resource Center to be created in Northern Kentucky.

 

Mr. McNeill announced that the Subcommittee had adopted the following recommendation:

 

1)        The General Assembly should enact legislation providing an individual income tax credit to those who care for the elderly in the elder person’s home or in the caregiver’s home.

 

A motion to adopt the Subcommittee's recommendations was made and seconded, and passed on a voice vote.

 

Subcommittee on Transportation

(Reported by Ms. Jean Phelps, Subcommittee Chair)

 

The Subcommittee heard testimony on transportation's role in service provided by Senior Citizen's Centers. Representatives from the Cumberland Valley Area Agency on Aging, the Aging Services for Bluegrass Community Action Partnership, the Scott County Senior Citizens Center, Harlan County Senior Citizens Center, and the Franklin County Senior Citizen Center spoke to the Subcommittee. All representatives agreed, due to the lack of funds, they were at a point where they were starting to look at cutting back on either services or people. And it was the consensus that services would be cut back before people. Also, all agreed that:

 

1) Rapid growth in the older population will accelerate when the first wave of boomers begins to turn 60 in 2006;

2) That the older (85+) will become a larger percentage of Kentucky's elderly population and will require a more intense level of services;

3) That Federal funding has remained level, which means annual cuts when inflation is considered; and

4) There have been only minor increases in state funding for programs in the last 15 years. Most senior centers have resorted to fundraising to assist with meeting their operating expenses.

 

The Subcommittee also heard testimony from representatives from the Transportation Cabinet who discussed the changes in contracts for the Human Service Transportation Delivery Program. Ms. Vickie Bourne, Director of that program said that the statewide transit ridership logs 24 million rides annually, of which 3 million rides are provided to the general public in rural areas, the elderly, and persons with disabilities. She said one of LRC’s recommendations was to consolidate regions. In FY 2004 there were 15 regions, in 2006 there will be 10 regions. Another LRC recommendation was to compare the state’s system to other states’ systems. Mr. Bourne said that when this was done, Kentucky found its program was one of the best in the nation.

 

Ms. Phelps announced that the Subcommittee had adopted the following recommendations:

 

1)        Enact legislation adopting a primary seat belt law;

2)        Appropriate sufficient funds to ensure available federal matching funds for use in the state’s public transportation programs; and

3)        Enact legislation adopting the graduated driver's licensing program set out in the companion prefiled bills, BR 10 and BR 189.

 

A motion to adopt the Subcommittee's recommendations was made and seconded, and passed on a voice vote.

 

Chairman Sisk recognized Mr. True. Mr. True acknowledged Commission member Irene Vertrees for her many years of service to the Commission.

 

Chairman Sisk announced that he and Mr. True would be testifying at the upcoming Interim Joint Committee on Health and Human Services on November 16, 2005 at 1:00 p.m. Chairman Sisk announced that the next semiannual meeting would be held on May 11-12, 2006, and stated that there being no further business, the meeting was adjourned.