The 1st meeting of the Special Advisory Commission of Senior Citizens was held on Thursday, May 7, 2009, at 1:00 PM, at the Capital Plaza Hotel in Frankfort. Lillian Rice, Chair, called the meeting to order.
Present were:
Members: Lillian Rice, Chair; Frances Baccus, Rebecca Baird, Mary Barlow, Cluster Belcher, J. T. Boling, Ruth Bryant, Aaron Cardwell, Douglas Cole, Maxine Cummins, Bertha Daniels, Norietta Dickerson, Leon Dodge, Joe Doebler, Marsha Dufeck, Carole Dunn, Bob Elliott, Rowena Emerson, Carol Fausz, Verlin Flaherty, Ed Flanagan, Jane Fugate, Rufus Fugate, Larry Gatewood, Barbara Germain, Margaret Gilland, Dell Hall, Gloria Hall, Helen Hansford, Bill Harned, Edna Hawkins, Bobby Hazen, Don Helton, Faye Hensley, Jim Heth, Eleanor Holbrook, Carolyn Horn, James Huff, Argene Jones, Gayle King, Lee King, Ray Kremer, Gina Loxley, Pete McNeill, Denver Moore, Larry Morrow, Jerry Moser, Jack Niece, Vivian Niece, Elmer Olson, Kenneth Overhults, Norman Pallarito, Joy Payne, Mary Lou Perry, Jean Phelps, Opal Phillips, Nancy Purvis, Clarence Richardson, John Schreiber, Clayton Shannon, Dennis Shaw, Martha Shircliffe, Berton Sisk, Fred Smith, Martha Smith, Ted Smith, Donald Stethen, Pat Sutton, Ernest Taylor, Claude Tiller, Mary Trimble, Laurel True, Joan Veazey, Joe Wahlen, Joe Westerfield, Alban Wheeler, Lillian Wheeler, and Ken Willis.
Guests: Senator Charles Borders, Co-Chair, Interim Joint Committee on Appropriations and Revenue; Representative John Will Stacy; Senator Julie Denton, Co-Chair, Interim Joint Committee on Health and Welfare; Representative Sannie Overly; Representative Derrick Graham; Representative Fred Nesler; Representative Mike Denham; Mary Lassiter, State Budget Director; Debbie Anderson, Commissioner, Department for Aging and Independent Living, Cabinet for Health and Family Services; Todd Leatherman, Kentucky Attorney General’s Office; Bill Cooper, Deputy Commissioner, Department for Aging and Independent Living, Cabinet for Health and Family Services; Ann Marie Regan, Kentucky Equal Justice Center; Karen Hinkel; Patrick Jeffreys, Kentucky Voices for Health; Bill Nold, Director, Health Division, Department of Insurance, Public Protection Cabinet; D.J. Wasson, Department of Insurance, Public Protection Cabinet; David Sowder, Kentucky River Foothills Development Council; Captain Tim Lucas, Kentucky State Police; Barbara Gordon, KIPDA Area Development District; Nancy Addington, Lincoln Trail Area Development District; and Ms. Betty Overly.
LRC Staff: Sheila Mason, Kenny Bishop, Katie Carney, Adanna Hydes, Miriam Fordham, Rhonda Franklin, Charlotte Quarles, Brandon White, Betsy Bailey, Cindy Smith, Jamie Griffin, Sheri Mahan, Linda Hughes, Janice Clark, Sally Everman, Rick Devers, Bruce Phillips, Karen Lile, and Richard Rigney.
Chairwoman Rice welcomed everyone to the Advisory Commission’s first semiannual meeting for 2009 and introduced the head table. Chairwoman Rice informed members that the minutes from the Advisory Commission’s November 6-7, 2008, meeting had been mailed earlier and were in their folders. She asked for any proposed additions or deletions. Chairwoman Rice asked for a motion to adopt the minutes as presented. A motion was made and seconded, and the minutes were adopted.
Chairwoman Rice informed the members of the passing of Commission member Gayle Lawson, and asked the members to review a resolution honoring Ms. Lawson’s public service and accomplishments. Ms. Bertha Daniels moved to adopt the resolution. A second was made, and the motion was passed. Chairwoman Rice then asked the members to observe a moment of silence in Ms. Lawson’s memory and advised that Ms. Lawson’s son would be presented with a formal copy of the resolution at the evening dinner session.
Chairwoman Rice advised that two new members had been appointed to the Advisory Commission since the November 2008 meeting. They are Ms. Helen Hansford, a legislative appointee from Somerset, and Opal Phillips a Bluegrass Area Development District appointee from Lawrenceburg.
Chairwoman Rice introduced Kentucky State Budget Director Mary Lassiter to discuss Kentucky’s fiscal outlook in light of recent budget cuts, tax increases and anticipated federal stimulus dollars. Ms. Lassiter thanked the Advisory Commission for the opportunity to speak on the current economic condition of the state. She reviewed state revenue and spending patterns as they relate to the state’s General Fund and Road Fund. She explained that transportation related expenses are paid out of the state’s Road Fund which gets its revenue from taxes and fees separate from the General Fund.
In discussing Kentucky’s economic outlook, Ms. Lassiter compared the state’s economy with economic indicators nationally. She stated that Kentucky’s economy is directly affected by the national economy, and current national high unemployment rates and budget deficits are being mirrored on the state level. She also noted that some national budget shortfall projections for the 2010 fiscal year rank Kentucky among the states expected to experience a higher than 10% shortfall. (The office of the state budget director maintains a web site that provides detailed information on the state’s budget and receipts at www.osbd.ky.gov.)
Ms. Lassiter also briefly discussed the American Recovery and Reinvestment Act (ARRA) of 2009 that was enacted by Congress this year. She explained that the federal stimulus package is an attempt to invigorate the states’ economies. She advised that Kentucky is anticipating approximately $3 billion of the approximately $246 billion in federal stimulus money going to states and that most of the funds are earmarked for specific uses. Among the areas expected to receive ARRA funding that impact Senior Citizens are one-time payments of $250 to certain retirees, disabled individuals and SSI recipients; one-time refundable tax credits of $250 to certain government retirees; and funding for nutrition programs, community service employment and supplemental nutrition assistance program.
Chairwoman Rice recognized Ms. Sheila Mason for a few announcements. After the announcements Chairwoman Rice made a few concluding remarks and adjourned the opening general session to allow the Advisory Commission subcommittees to convene.
Chairwoman Rice convened the dinner session and welcomed everyone and their guests. She recognized Mr. Pete McNeill to give the invocation. Following the invocation, Chairwoman Rice introduced those seated at the head table.
After dinner, Chairwoman Rice recognized Ms. Mason for introduction of the legislative hosts for the evening. Ms. Mason recognized Representative John Will Stacy, Representative Derrick Graham, Representative Sannie Overly, Representative Mike Denham, and Representative Fred Nesler. Chairwoman Rice then recognized Senator Charles Borders, Co-Chair of the Interim Joint Committee on Appropriations and Revenue, to present the resolution honoring deceased member Gayle Lawson to her son, Bill Lawson.
Chairwoman Rice presented Senator Borders as the guest speaker for the evening and introduced his wife, Carol, to the members. Senator Borders explained how his early childhood, education, and professional life had prepared him for service as a state legislator and talked of some of the changes and opportunities he has experienced in his public service career. He stated that although Kentucky is rich in natural resources, it is facing the same challenges of insufficient funding for programs as the rest of the nation. He stated that the federal stimulus package will provide only a one-time infusion of funds into the state.
Chairwoman Rice thanked Senator Borders for his remarks and adjourned the dinner session with a few remarks and announcements.
Following the conclusion of the subcommittee meetings on Friday, May 8, 2009, Chairwoman Rice convened the closing general session at 10:30 a.m. Chairwoman Rice welcomed members and guests and introduced those seated at the head table. She then introduced Commissioner Debbie Anderson to provide an update on the Department for Aging and Independent Living.
Commissioner Anderson thanked the Advisory Commission for the opportunity to speak and explained how the Department is dealing with the required reductions in funding and how anticipated federal stimulus funds may affect its services. She stated that the Department has instituted a variety of campaigns and initiatives to educate Kentuckians on issues related to the elderly. After her presentation, Commissioner Anderson took questions from the audience.
Chairwoman Rice thanked Commissioner Anderson for her remarks then introduced each of the subcommittee Chairs to present their subcommittee’s report for adoption by the full membership. The Advisory Commission adopted the following subcommittee reports.
Subcommittee on Consumer Affairs
(Reported by Claude Tiller, Subcommittee Chair)
The Subcommittee on Consumer Affairs adopted the following recommendations:
(1) Urge the 2010 Kentucky General Assembly to provide adequate funding in the 2010-2012 biennial budgets to restore the budget cuts in the 2008, 2009, and 2010 fiscal years; and in addition increase the appropriations to AAA by at least 10% per year in the 2010-2012 biennial budgets.
(2) Urge the 2010 Kentucky General Assembly to direct the establishment of an early voting option for senior citizens and persons with disabilities.
(3) Urge the Kentucky General Assembly to enhance consumer protection measures in the current “pay day lending” statutes KRS Chapter 286 to include the following provisions:
· Substitute the term “short-term” loan for deferred deposit transactions;
· Limit interest on short-term loans to 36 annual percentage rate;
· Limit borrowers to one short-term loan at a time, up to $500;
· Extend the minimum term of a short-term loan to 30 days;
· Prohibit licensees from making short-term loans by telephone, mail, or internet; and prohibit licensees from accessing borrowers banking accounts electronically;
· Provide for enforcement by the Office of Financial Institutions or Attorney General, and allow borrowers to take legal action if loans violate the statute.
A motion to adopt the subcommittee’s report and recommendations was made, seconded, and passed on a voice vote.
Subcommittee on Health and Human Services
(Reported by Ms. Edna Hawkins, Subcommittee Chair)
The Subcommittee on Health and Human Services adopted the following recommendations:
(1) Urge the 2010 General Assembly to increase funding by 20% to the Department for Aging and Independent Living to provide services to seniors and continue to look for additional revenue sources.
(2) Urge support of the Area Agencies on Aging and Independent Living in the development of non-traditional service delivery systems for meals and other services.
(3) Urge the 2010 General Assembly to support legislation to establish an adult abuse registry.
(4) Urge expansion of the Western Kentucky Veterans Nursing Home in Hanson, KY.
A motion to adopt the subcommittee’s report and recommendations was made, seconded, and passed on a voice vote.
Subcommittee on Insurance
(Reported by Barbara Germain, Subcommittee Chair)
The Subcommittee on Insurance adopted the following recommendations:
(1) Use the General Assembly to provide continuation funding at the current level for Area Agencies on Aging to support Senior Programs due to the current economic climate, but urge the General Assembly to increase much needed funding to at least 5% when the economy improves.
(2) To require long-term care insurance carriers to submit rate increases to the Attorney General, as well as the Office of Insurance, to allow intervention by the Attorney General as needed.
(3) Urge the General Assembly to continue to address the state employee and other state supported retirement system funding including insurance benefits.
(4) Urge the General Assembly to address necessary assistance for seniors when enrolling in Medicare Part D, including appropriating federal stimulus money for technology to the Senior Centers for access to Medicare.gov and staffing to assist seniors in selecting a prescription plan.
A motion to adopt the subcommittee’s report and recommendations was made, seconded, and passed on a voice vote.
Subcommittee on Taxation
(Reported by James Huff, Subcommittee Chair)
The Subcommittee on Taxation adopted the following recommendations:
(1) That the General Assembly increase state funding for Area Agencies on Aging to support senior programs at least 20% by looking for new funding sources. For the upcoming November meeting, the subcommittee would like to determine the actual amount of funding needed to serve those persons who are currently being served and the amount of additional funding needed to serve those on waiting lists for fiscal years 2010-2011 and 2011-2012.
(2) That the General Assembly enact legislation to provide tax credits to an individual caregiver who cares for a chronically ill person in that person’s home, or in the caregiver’s home.
(3) That if the General Assembly imposes a sales tax on services or increases the general sales and use tax rate, a percentage of the increased tax receipts be earmarked for senior services.
A motion to adopt the subcommittee’s report and recommendations was made, seconded, and passed on a voice vote.
Subcommittee on Transportation
(Reported by Fred Smith, Subcommittee Chair)
The Subcommittee on Transportation adopted the following recommendations:
(1) Strongly endorses the future statement from the full commission opposing any reductions in state funding for Area Agencies on Aging that supports Senior Programs.
(2) Strongly encourages the General Assembly to increase state funding for Area Agencies on Aging to support Senior Programs for each year of the 2008-10 biennium and beyond.
(3) Prohibit the use of hand-held communication devices with the exclusion of emergency personnel.
(4) Recommend that the General Assembly appropriate sufficient funds to ensure available federal matching funds for use in the state’s public transportation programs.
A motion to adopt the subcommittee’s report and recommendations was made, seconded, and passed on a voice vote.
Chairwoman Rice made a few announcements and thanked all for taking the time to attend the May meeting. She announced that the next semiannual meeting was tentatively scheduled for November 5-6, 2009. There being no further business, the meeting was adjourned.