Health and Human Services Interim Committee

between 1993 and 1996, the Davis Mental Health director personally gained by at least $80,000 by taking advantage of the organization's deficiencies outlined in this report and, has unnecessarily received an additional $29,500 in the form of excessive salary. Correction of the organization's administrative problems cannot be achieved by just altering organizational policies and procedures. The causes of the organization's administrative problems are pervasive and deeply embedded within its structure and may need to be addressed by organizations beyond Davis management and the Davis Board. Davis client services, beyond its recreational programs, were not reviewed in the course of this audit.

    Robin Arnold Williams, Director, Department of Human Services (DHS), commented regarding DHS involvement in the audit. After receiving complaints about the management of Davis Mental Health and Substance Abuse and allegations of misuse of public funds a year ago, Ms. Arnold-Williams requested a joint audit between DHS and the Legislative Auditor General. She said DHS concurs with the findings and recommendations in the audit report and will monitor the actions taken to address all recommendations.

    Staff from DHS and the Legislative Auditor General's office responded to questions from committee members regarding the material in the audit. Sen. Montgomery asked about recommendations for changes in the statute by the Legislature. Mr. Welsh responded that the law could improve oversight responsibility. Rep. Carlson asked about the fiduciary responsibility of the Davis Mental Health Center Board of Trustees and the Davis County Commission. Mr. Schaff noted that 17 of the recommendations were made to the board and the commission. Sen. Suazo asked about criminal charges against Dr. Russell Williams. Ms. Arnold-Williams has requested the Attorney General's Office provide further investigation and any warranted legal action.

    Read Hellewell, Board of Trustees of Davis Mental Health Center, distributed a document containing the board's response to the audit. He then reviewed Appendix C of that document which outlined the actions already taken by the Board to implement the recommendations made in the Legislative Auditor's report. The Center will no longer pay a corporate credit card bill, but instead will only reimburse employees for actual costs incurred and supported with adequate documentation. He noted that the board has resolved to amend its by- laws to provide greater participation by the Davis County Commissioners in the selection of board members. Hereafter, all nominations will be submitted to and approved by the Davis County Commission. Mr. Hellewell said the director has been placed on paid administrative leave status. He requested that in the future, the board be made aware of allegations concerning the Center immediately. Chair Tanner asked about the Center's policy regarding signatures on checks. He was informed that checks are not countersigned, but can be approved and signed with the sole signature of the director.

    Dannie McConkie, Chair, Davis County Commission, responded to questions from the committee regarding the commission's role in controlling agencies under contract. Committee members expressed concern over the lack of oversight on the part of the commission. Commissioner McConkie said a third party management audit requested by the Mental Health Board will provide further direction to all parties.

    Meredith Alden , Director, Division of Mental Health, said the services provided by Davis County Mental Health were not compromised by the improper conduct of the director. She reviewed changes that will be made to strengthen the division's oversight. For example, all financial and program audits will now be sent directly to board members, county commissioners, and to the directors of mental health centers. Chair Tanner asked about documentation regarding the Western Wilderness program. Brian Miller, Program Coordinator, Division of Mental Health, said the program audit uses a random sample poll, which did not select any cases from the Western Wilderness program because the program was primarily a substance abuse program. Alan Sherwood, Assistant Director, Division of Substance Abuse, explained that the division does not conduct financial audits.

     MOTION: Sen. Peterson moved that the Department of Human Services and the Department of Health be directed to review the law in this area and recommend to the Health and Human Services Interim Committee, as soon as possible, legislative remedies to eliminate these problems in the future. Chair Tanner spoke in favor of the motion. Ms. Arnold-Williams said the director of the Department of Health has agreed to cooperate with DHS. Ms. Hancock said she has begun research on possible revisions. The motion passed unanimously. Reps. Baca, Killpack, and Short were absent for the vote.

     MOTION: Sen. Suazo moved that the Health and Human Services Interim Committee send a letter to the Attorney General's Office requesting that it take appropriate action relative to the audit and the disclosures therein. Sen. Peterson declared a conflict of interest. The motion passed unanimously. Reps. Baca, Killpack, and Short were absent for the vote.

    Rep. Davis said that the audits for both Timpanogos Mental Health and Davis Mental Health have shown a lack of commission oversight.

     MOTION: Rep. Davis moved that a copy of the Audit of the Davis Mental Health Center Non-Client Activities and a cover letter from the Health and Human Services Interim Committee be sent to every county commissioner in the state stating their responsibility for the programs they have authority over.

     SUBSTITUTE MOTION: Sen. Montgomery moved that a copy of the Audit of the Davis Mental Health Center Non-Client Activities and a cover letter be sent to every county

commission in the state rather than to each commissioner. The motion passed unanimously. Reps. Baca, and Short were absent for the vote.

    MOTION: Rep. Davis moved that the committee accept the Legislative Auditor General's report and return it to the Audit Committee with recommendations that the legislative auditors report back to the Health and Human Services Interim Committee with a subsequent review of the actions that have been recommended . The motion passed unanimously. Reps. Baca, and Short were absent for the vote.

    MOTION: Sen. Taylor moved that Legislative Auditor provide the Health and Human Services Interim Committee with an accounting of the time and the cost of the Davis County Mental Center audit and of the follow up report. Reps. Carlson and Davis spoke against the motion. The motion failed. Chair Tanner, Sens. Peterson and Suazo, and Reps. Carlson and Davis voted in opposition to the motion. Reps. Baca, Holladay, and Short were absent for the vote.

3.     Penalties for Sale of Tobacco to Youth _ Senator Robert F. Montgomery presented the draft legislation Penalties for Sale of Tobacco to Youth to the committee. He stated that under current Utah law, only the individual who actually makes the illegal sale to an underage youth is cited for a violation. This bill creates a civil violation for licencees whose outlets sell tobacco products to underage youth. The bill would also change the requirement from a one-time license to an annual licensing requirement.

    Reed Richards, Attorney General's Office, explained the penalties for violations and said this law has been effective in other states. Chris Chalkley, Attorney General's Office, also spoke in favor of the bill and noted that annual licensing would provide the state with a current and accurate listing of outlets selling tobacco products. Craig Bunker, DHS, explained the Synar Amendment to the committee. The amendment is a recent measure enacted by the U.S. Congress
that requires the states to demonstrate success in reducing the availability of tobacco to underage youth as a condition of receiving federal substance abuse funds. Of the $10 million in federal funds Utah currently receives, $4 million could be lost through failure to comply with the provisions of the amendment.

    Jim Olson, President, Utah Food Industry Association, spoke against the legislation. He said many retailers have taken steps to reduce tobacco access to minors. He feels that the proposed legislation would put some stores out of business. Kevin Condra, Coalition for a Tobacco Free Utah, spoke in favor of the bill and said it targets repeat offenders.

    MOTION: Sen. Montgomery moved that the proposed legislation Penalties for Sale of Tobacco to Youth be adopted as a committee bill.

    SUBSTITUTE MOTION: Rep. Stephens moved that the committee move to next item of business. Rep. Carlson asked about the designation of a bill as a committee bill. Mr. Andrews explained that if the committee passes a bill out of an interim committee favorably, it becomes a committee bill. The motion failed. Sens. Montgomery and Peterson, and Reps. Dayton, Holladay, and Saunders voted in opposition to the motion. Sen. Taylor and Reps. Baca, Davis, and Short were absent for the vote.

    The committee voted on the original motion as moved by Sen. Montgomery. The motion failed. Chair Tanner, Sens. Peterson and Suazo, and Reps. Stephens, and Carlson voted in opposition to the motion. Sen. Taylor and Reps. Baca, Davis, and Short were absent for the vote.
    
          4.    Medical Examiner Authority _ Senator Robert F. Montgomery reviewed for the committee the draft legislation Medical Examiner Authority. He said the bill removes the clause from Utah law that excludes highway deaths from the medical examiner's jurisdiction. Dr. Todd Grey, Medical Examiner, distributed a handout titled Involving the State Medical Examiner in Highway Deaths - Bringing Utah in Step with the Nation. He said that current law excludes the Office of the Medical Examiner (OME) from routinely investigating highway death, which accounts for almost 300 of the state's annual injury deaths. Utah is the only state in the nation with such an exclusion. Chair Tanner asked what additional funding would be needed by the OME. Dr. Grey said there will be a $220,000 fiscal note on the bill.

    MOTION: Rep. Stephens moved that proposed legislation Medical Examiner Authority be passed out favorably. The motion passed unanimously. Sen. Taylor, Reps. Baca, Davis, Holladay, Killpack, and Short were absent for the vote.

5.    Juvenile Justice Task Force Report _ Senator Lyle W. Hillyard made available to the committee a report titled Juvenile Justice Task Force 1997 Recommendations. Chair Tanner recommended the committee review this report.

6.    Kinship Care _ This item was not discussed.

7.    Other Business -- Chair Tanner reminded the committee that December 1, 1997, is the deadline for the following: (1) last day for legislators to designate up to three bills as priority bills and (2) last day for governmental entities to make requests for legislation.

8.    Adjournment--

     MOTION: Rep. Dayton moved to adjourn the meeting at 12:05 p.m. The motion passed unanimously.