SENATE COMMITTEE ON COMMERCE

 

 

April 05, 2005                                                                                                         Hearing Room C

3:10 P.M.                                                                                                                     Tapes  49 - 50

 

MEMBERS PRESENT:         Sen. Floyd Prozanski, Chair

Sen. Roger Beyer, Vice-Chair

Sen. Ginny Burdick

Sen. Charlie Ringo

Sen. Doug Whitsett

 

STAFF PRESENT:                 Anna Braun, Committee Administrator

Karen Scoffield, Committee Assistant

 

MEASURES/ISSUES HEARD:        

                                                SB 644 – Public Hearing

                                                SB 670 – Public Hearing

                                                SB 1001 – Public Hearing

                                                SB 311 – Work Session

                                                SB 321 – Work Session

 

These minutes are in compliance with Senate and House Rules.  Only text enclosed in quotation marks reports a speaker’s exact words.  For complete contents, please refer to the tapes.

 

TAPE/#

Speaker

Comments

TAPE 49, A

005

Chair Prozanski

Calls the meeting to order at 3:18 p.m.  Notes that the committee is meeting as a subcommittee. Opens public hearing on SB 644. 

SB 644 – PUBLIC HEARING

010

Rep. Diane Rosenbaum

House District 42.  Discusses and submits written testimony in support of SB 644 (EXHIBIT A).  States that SB 644 is co-sponsored by herself and Sen. Vicki Walker.

041

Rep. Rosenbaum

Summarizes and concludes testimony.

090

Chair Prozanski

Notes the presence of a quorum.

100

Joe Schaeffer

Service Employees International Union (SEIU), Local 503.  Discusses and submits written testimony in support of SB 644 (EXHIBIT B).

115

Annette Talbott

Deputy Labor Commissioner, Bureau of Labor and Industries (BOLI).  Submits written testimony on behalf of Dan Gardner, Commissioner, BOLI, in support of SB 644 (EXHIBIT C)

145

Sen. Beyer

Asks Talbott for an accurate reflection of the anecdotes that were provided.

153

Talbott

Responds. 

161

Sen. Beyer

Comments on Talbott’s response.

163

Talbott

Responds.

166

Sen. Beyer

Verifies that BOLI has not received complaints from employees.

168

Talbott

States that they would not take a complaint from an employee in this instance because it is not currently unlawful.

170

Sen. Beyer

Asks if BOLI has received calls from employees stating that this has happened to them.

174

Talbott

Responds.

178

Sen. Beyer

Clarifies that Talbott does not have a number of the calls they receive.

180

Talbott

Responds.

182

Sen. Beyer

Provides an example and asks if it would count as family leave.

185

Talbott

Responds that the Oregon Family Leave Act (OFLA) requires a serious health condition.

190

Sen. Beyer

Asks if the leave can be used for the worker or for a family member. 

192

Talbott

Responds that it includes a serious health condition for the individual and a family member.

194

Schaeffer

Remarks that OFLA only applies once an employee has been gone for a certain number of days.

200

Chair Prozanski

Clarifies that individuals who use OFLA have to have their health care provider sign off on their return to work.

205

Schaeffer

Responds that he does not know.

207

Talbott

Remarks that employers can ask for medical certification to make sure that an employee is able to return to work.

219

Lisa Trussell

Associated Oregon Industries (AOI).  Testifies in opposition to SB 644.

260

J.L. Wilson

National Federation of Independent Business (NFIB).  Testifies in opposition to SB 644.

285

Sen. Whitsett

Comments on the restrictions to employers.

292

Chair Prozanski

Asks witnesses if they are aware of situations described by Rep. Rosenbaum.

300

Wilson

Responds.

302

Trussell

Responds. 

304

Chair Prozanski

Asks Sen. Vicki Walker if she has any comments on SB 644.

306

Sen. Vicki Walker

Senate District 7.  States that she does not need to comment as Rep. Rosenbaum represented her.

308

Chair Prozanski

Closes public hearing on SB 644 and opens public hearing on SB 670.

SB 670 – PUBLIC HEARING

319

Sen. Vicki Walker

Senate District 7.  Testifies in support of SB 670.  Discusses and submits an informational packet in support of SB 670 (EXHIBIT D)

TAPE 50, A

010

Sen. Walker

Concludes testimony.

020

Sen. Whitsett

Relates concern with change in the law allowing the Director of DCBS to prescribe treatment standards.

025

Sen. Walker

Responds.

035

Sen. Whitsett

Remarks that he does not agree with the current statute.

037

Chair Prozanski

Asks Sen. Walker if page 1, line 28 of SB 670 does result in a rule process.

040

Sen. Walker

Remarks that it is directing the Director to do this because they are not doing it currently.  

045

Chair Prozanski

Clarifies his question.

047

Sen. Walker

Responds.

050

Chair Prozanski

States understanding.

051

Sen. Walker

Responds.

060

Drew Hagedorn

Oregon Health Systems. Defers to Ramona St. George.

065

Ramona St. George

President & CEO, Oregon Health Systems.  States that Oregon Health Systems is the only MCO that is certified on a statewide basis to provide services to insurers and injured workers. Testifies in opposition to SB 670.

120

St. George

Continues testimony.

145

Sen. Whitsett

Asks the percentage of the Oregon Health Systems’ patients that are paid through workers’ compensation.   

149

St. George

Answers that 100% of their patients are workers’ compensation patients.

151

Chair Prozanski

Asks how long the previous rule discussed by St. George was in effect before it was addressed.

155

St. George

Responds.

168

Chair Prozanski

Clarifies St. George’s position.

171

St. George

Responds. 

180

Chair Prozanski

Asks who information is given to to decide on disability benefits.  

190

St. George

Answers that the information is shared between the employer and the insurer.

200

Chair Prozanski

Asks the type of position of those providing the analysis.

204

St. George

Answers that they are primarily a claims adjuster for the insurance company.

208

Chair Prozanski

Asks if the patient has access to their contract.

215

St. George

Remarks that patients do not have access to their entire contract because they contain trade secrets.   

223

Chair Prozanski

Asks if patients have to go through DCBS to obtain a copy of the contract.

225

St. George

Responds.

230

Chris Davie

State Accident Insurance Fund (SAIF) Corporation .  Testifies regarding SB 670.  States that ORS 656.260 discusses the confidentiality of MCO contracts.

273

Sen. Whitsett

Asks if the restriction includes a prescription for physical therapy.

275

Davie

Responds that it speaks generally to advocacy for the worker.

280

Sen. Whitsett

Clarifies that it would not restrict a physician from prescribing physical therapy to finish rehabilitation.

282

Davie

Answers, no.

284

Chair Prozanski

Asks SAIF’s opinion of page 1 of SB 670 requiring the Director of DCBS to prescribe by rule the different components that were discussed.

290

Davie

Responds that they do not have a problem with it.

294

Chair Prozanski

Clarifies that the proposed change on page 3, line 7 of SB 670 is something that SAIF is in support of.

302

Davie

Answers, yes.  

320

Chair Prozanski

Asks Shilts DCBS’ ability to carry out what is proposed in SB 670.

333

John Shilts

Administrator, Workers Compensation Division – Department of Consumer and Business Services (DCBS).  Responds to Chair Prozanski’s question.

413

Chair Prozanski

Asks Sen. Walker if she has any questions for DCBS.

415

Sen. Walker

Comments that she has called Legislative Counsel to come and explain line 28 of SB 670 because she thinks there has been some misunderstanding of what it does.  

417

Shilts

Agrees that there is need for clarification.

420

Walker

Discusses understanding of the language.

425

Chair Prozanski

Discusses interpretation.

440

Walker

Responds.

445

Shilts

Discusses the interpretation of SB 670 by DCBS.

TAPE 49, B

025

Chair Prozanski

States understanding of Sen. Walker’s intent.

030

Walker

Responds.

034

Sen. Beyer

Asks if MLAC has reviewed SB 670.

035

Shilts

Answers that MLAC has not yet reviewed SB 670.

037

Sen. Beyer

Asks if MLAC is going to review SB 670.

039

Shilts

States understanding that MLAC plans to review SB 670 on April 14, 2005.

040

Sen. Whitsett

Asks the qualifications of the Director of DCBS to be able to prescribe treatment standards.

042

Shilts

Responds.

060

Charlie Cheek

Attorney, Legislative Counsel.  Asks that the items in question be articulated.

065

Chair Prozanski

Refers to line 28, page 1 of SB 670 and discusses items in question.

075

Cheek

Responds.

080

Chair Prozanski

Clarifies Cheek’s response and the intent of SB 670.

085

Cheek

Responds.

087

Chair Prozanski

Closes public hearing on SB 670 and opens public hearing on SB 1001.

SB 1001 – PUBLIC HEARING

100

Marshall Coba

Oregon Society of Physician Assistants.   Submits letters in support of SB 1001 (EXHIBIT E) and submits a fact sheet entitled “Oregon Physician Assistant Facts” regarding SB 1001 (EXHIBIT F). Testifies with a neutral position on SB 1001.

110

Ted Ruback

Past President, Oregon Society of Physician Assistants.  Discusses and submits written testimony in support of SB 1001 (EXHIBIT G).

128

Pat Kennedy – Moore

Immediate Past President, Oregon Society of Physician Assistants.  Testifies in support of SB 1001.

160

Ben Johnson

Board Member, Oregon Society of Physicians Assistants.  Testifies in support of SB 1001.

180

John Shilts

Administrator, Workers Compensation Division, Department of Consumer and Business Services (DCBS).  Discusses and submits written testimony regarding SB 1001 (EXHIBIT H).

240

Shilts

Concludes testimony.

265

Lisa Trussell

Associated Oregon Industries (AOI).  Testifies in opposition to SB 1001.  States that the Management Labor Advisory Committee (MLAC) does not support SB 1001.

275

Chair Prozanski

Closes public hearing on SB 1001 and opens work session on SB 311.

SB 311 – WORK SESSION

280

Anna Braun

Committee Administrator.  Provides an overview of SB 311.  Introduces the -5 amendments to SB 311 (EXHIBIT I).

295

Sen. Beyer

MOTION:  Moves to ADOPT SB 311-5 amendments dated 4/4/05.

298

Chair Prozanski

Clarifies that the -5 amendments to SB 311 represent the parties that were part of the workgroup.  Recognizes the nods from the members of the workgroup in the audience.

 

 

VOTE:  5-0-0

 

Chair Prozanski

Hearing no objection, declares the motion CARRIED.

305

Sen. Beyer

MOTION:  Moves SB 311 to the floor with a DO PASS AS AMENDED recommendation.

 

 

VOTE:  5-0-0

 

Chair Prozanski

Hearing no objection, declares the motion CARRIED.

SEN. RINGO will lead discussion on the floor.

310

Sen. Ringo

Comments that this is a significant issue and that it needs more work.

The following is submitted for the record without public testimony:

 

John Shilts

Administrator, Workers Compensation Division, Department of Consumer and Business Services (DCBS).  Submits written testimony regarding SB 311 and the -5 amendments (EXHIBIT J).

330

Chair Prozanski

Closes work session on SB 311 and opens work session on SB 321.

SB 321 – WORK SESSION

331

Anna Braun

Committee Administrator.  Provides an overview of SB 321.  Discusses the fiscal and revenue impacts of SB 321.

345

Sen. Burdick

MOTION:  Moves SB 321 to the floor with a DO PASS recommendation.

349

Sen. Beyer

Clarifies that ballot measure 30 was the local mandate ballot.

350

Braun

Answers, yes.

352

Sen. Beyer

States that he will not support SB 321.

370

Sen. Whitsett

States that he will not support SB 321.

 

 

VOTE:  3-2-0

AYE:               3 - Burdick, Ringo, Prozanski

NAY:               2 - Beyer, Whitsett

 

Chair Prozanski

The motion CARRIES.

SEN. PROZANSKI will lead discussion on the floor.

380

Chair Prozanski

Closes work session on SB 321. Discusses the agenda for the next committee meeting.  States that the carrier on SB 311 has been changed to Sen. Ringo.  Adjourns the meeting at 4:40 p.m.

 

 

EXHIBIT SUMMARY

 

  1. SB 644, written testimony, Rep. Diane Rosenbaum, 2 pp
  2. SB 644, written testimony, Joe Schaeffer, 1 p
  3. SB 644, written testimony of Dan Gardner, Annette Talbott, 2 pp
  4. SB 670, informational packet, Sen. Vicki Walker, 7 pp
  5. SB 1001, letters, Marshall Coba, 17 pp
  6. SB 1001, fact sheet, Marshall Coba, 1 p
  7. SB 1001, written testimony, Ted Ruback, 4 pp
  8. SB 1001, written testimony, John Shilts, 2 pp
  9. SB 311, -5 amendments, staff, 6 pp
  10. SB 311, written testimony, John Shilts, 2 pp