Legislature Report
For the Week Ending February 19, 2010
The big news in the Vermont State House last week was the announcement of the Senate’s plan to hold a vote this week on the future of the state’s only nuclear generating facility, Vermont Yankee. The power plant’s safety troubles and its parent corporation’s credibility issues with legislators have been the talk of the State House this session and the subject of much media attention as well.
The biggest media splash on a health care issue developed over the Douglas administration proposal to use federal ARRA monies to shut down the state mental hospital and develop alternative treatment facilities. Health policy committees have been planning to use those funds to address shortfalls in the Medicaid program.
Planning the next steps in health care reform and developing a response to the state’s budget crunch remained the focus of health policy committees in both legislative chambers. The Senate Health and Welfare Committee received comments last week from hospitals, single-payer, and universal health care advocates last week about the committee’s cost containment proposals distributed the week before. And the House Health Care Committee heard the results of a study of Catamount Health’s administrative cost and efficiency prepared by outside consultants.
The Center for Health Policy, Planning and Research at the University of New England conducted the Catamount administrative cost study with the assistance of local consultant and former legislative analyst Steve Kappel. The report analyzed the administrative costs of Blue Cross and Blue Shield of Vermont and MVP Healthcare-- the two private insurers who administer the uninsured benefit plans for the state-- and the cost for the state to determine income eligibility for enrollees seeking state subsidies under the plan. The study proposed several options for the state to reduce its costs, including elimination or reduction of carrier contributions to reserves, putting the administration of the plan out to bid as an administrative services only basis, or for the state to retain the risk. The report also suggested the state could save approximately one million dollars a year by having its Medicaid program administer Catamount rather than private carriers. The committee will continue taking comments about the report from interested parties this week. BCBSVT commented last week, while MVP and the Douglas administration are scheduled this week.
The House committee also heard an explanation of the administration’s proposal to reduce general fund spending by eliminating certain boards and commissions. BISHCA Commissioner Paulette Thabault explained the reasoning behind the inclusion of the Public Oversight Commission (POC) and the Vermont Program for Quality in Health Care (VPQHC) on the list of commissions slated for termination.
The Senate Health and Welfare Committee also last week heard testimony on a bill regarding the chemical bisphenol A (S.247) and a bill addressing nutritional labeling (S.171).
The House Health Care Committee this week will hear a report on the status of BCBSVT from President and CEO Don George, receive more testimony regarding the recommended dissolution of the POC and VPQHC, and open discussion on H.591, a bill to increase transparency of contracts between pharmacy benefit managers and private health plans. The Senate Finance Committee has scheduled an autism mandate bill, S.262, for discussion Thursday afternoon.
If you are interested in this week’s Legislative Committee Meeting schedules, agendas, and a listing of other meetings and activities, please visit the Vermont Legislature’s website at http://www.leg.state.vt.us/schedule/schedule2.cfm
Committee meetings are normally updated daily, and are subject to change without notice. If you plan on attending, you may want to call ahead to verify the agenda.
For more information on legislative proposals, visit the Blue Cross and Blue Shield of