Tuesday, March 6, 2012

Minnesota- Health Exchange Debate Takes Shape

The terms of debate over health exchanges in Minnesota became a little clearer Monday as Republicans in the state Legislature announced a bill to develop what they described as a free-market alternative to plans from the administration of Democratic Gov. Mark Dayton.

The bill would give individuals access to personal health premium accounts where they could amass funds from a variety of sources to buy health care coverage.

As such, the legislation might help spread insurance coverage to more people with part-time jobs - one of the key groups in the state that currently lacks access to coverage, said Rep. Steve Gottwalt, a Republican from St. Cloud who is sponsoring the bill in the House.

But it's unclear how the idea will be received by Dayton or if it would be sufficient to win certification by the federal government, which by year's end will evaluate the state's planning for a health exchange in Minnesota.

...

"This is not a health exchange," said Sen. David Hann, a Republican from Eden Prairie who is sponsoring the bill in the Senate. "We're just creating a financial instrument...by which people who currently are not insured can be insured."


http://www.twincities.com/allheadlines/ci_20105454
Hat Tip: Pioneer Press

Monday, March 5, 2012

Ohio- Obama Official Puzzled by Ohio's Inaction On Exchange

Count the region’s U.S. Health and Human Services director among those wondering when Ohio will make a decision on whether it’s going to operate its own health insurance exchange under federal health reform.

Kenneth Munson, HHS Region V director over six states including Ohio, was in town this week for speaking engagements including the Columbus nonprofit Health Policy Institute of Ohio and Ohio Hospital Association and stopped atColumbus Business First, sister paper to the Dayton Business Journal.

The state’s employers, insurers and brokers have been getting antsy about whether Ohio will set up its own exchange where individuals and small businesses can compare coverage and premiums. The shopping sites go live in 2014, but if a state has not made substantial progress toward setting one up by next January, it will get subsumed into the federally run mega-exchange.

Democrats in the General Assembly have unsuccessfully tried to goose the processbut Ohio Lt. Gov. Mary Taylor, also the Department of Insurance director, said the state is still mulling its options.


http://www.bizjournals.com/dayton/news/2012/03/02/obama-official-puzzled-by-ohios.html
Hat Tip: BizJournals.com

New Mexico- Health Insurance Exchanges Nearing Launch Point

The New Mexico Human Services Department has issued a $24 million bid to build its computerized health insurance exchange.

The bid, or RFP, was issued Feb. 3. Responses from bidders are due March 8.


http://www.bizjournals.com/albuquerque/print-edition/2012/03/02/health-insurance-exchanges-nearing.html
Hat Tip: BizJournals.com

Oregon- Insurance Exchange Bill Moves Toward Floor Vote

After weeks of being stuck in the Legislature’s Budget Committee, the bill allowing Oregon’s health insurance exchange to proceed toward implementation is moving toward a House and Senate vote —along with a little baggage in the form of a completely unrelated amendment supported by Republicans.

The legislation is expected to easily pass both chambers.

The Ways and Means Subcommittee on Capital Construction passed House Bill 4164 unanimously yesterday afternoon. The bill gives legislative approval of the Oregon health insurance exchange’s business plan, which provides financial projections and maps out how it will be ready to provide health insurance to individuals and small businesses (50 employees and under) starting in January 2014. It’s expected be a one-stop shopping place for as many as 700,000 uninsured individuals and small businesses to purchase affordable health insurance.


http://www.thelundreport.org/resource/insurance_exchange_bill_moves_toward_floor_vote_with_amendment_relating_to_oebb_opt_out
Hat Tip: The Lund Report

Pennsylvania- Gov. Tom Corbett Wants Health Insurance On His Terms

Recently, there have been negative comments on Gov. Tom Corbett’s decision to establish a Health Insurance Exchange and on legislators who intend to introduce enabling legislation.

It is suggested that the administration and General Assembly are endorsing the Patient Protection Affordable Care Act (PPACA, also known as Obamacare).

To suggest that conservative Republicans in Pennsylvania have suddenly decided to help President Obama shows a lack of understanding of this issue.

Pennsylvania is not legitimizing PPACA by establishing a Health Insurance Exchange.

Instead, Corbett and leaders of the General Assembly are looking at the range of choices and deciding that whatever we design will be better suited than whatever the U.S. Department of Health and Human Services imposes on us if Pennsylvania does not pass enabling legislation by Jan. 1, 2013.


http://www.pennlive.com/editorials/index.ssf/2012/03/gov_tom_corbett_wants_health_i.html
Hat Tip: PennLive.Com

Oklahoma- State Faces Health Exchange Deadline

Gov. Mary Fallin says she doesn't want a federal health-insurance exchange imposed on the state.

"The governor wants to avoid, at all costs, a federal Obama-care exchange being forced on the state of Oklahoma," Fallin spokesman Alex Weintz said in an email Friday.
...
Last year, the Oklahoma Republican Party split on whether and how to deal with those mandates. 

Under pressure from tea party Republicans, three GOP bills to establish exchanges foundered, and Fallin had to tell federal officials to keep a $54 million grant to build an exchange after previously saying the state would accept the money.

After studying the controversy for months, a legislative task force has proposed repurposing the state's Insure Oklahoma program as an exchange.

The proposal would connect eligible Oklahomans to Medicaid and act as a place for businesses to buy insurance for workers, but it would not offer insurance to individuals. So Oklahomans who earn too much to get Medicaid but don't get insurance through their jobs would not have access to the federal subsidies.


http://www.tulsaworld.com/news/article.aspx?subjectid=336&articleid=20120304_11_A8_GovMar449188&r=3096
Hat Tip: Tulsa World

Thursday, March 1, 2012

Washington- Senate passes health exchange bill

Despite Republican objections that it was moving too fast, and reported threats of political reprisals, the Senate approved changes to a system of shopping for medical insurance care that supporters liken to internet sites like Travelocity.
By a 27-22 vote, senators set new rules for the state’s fledgling health care exchange, which is being set up in conjunction with the federal Affordable Care Act.

...

The Senate bill goes back to the House, where Rep. Eileen Cody, chairwoman of the Health Care and Wellness Committee, said she expected the new version to pass. Work on the exchange starts this month, but the final system isn’t scheduled to be up and running before fall of 2013.

...

Some revisions likely will be needed next year, Keiser said: “Every piece of heavy lifting takes refinement. This is akin to trying to build Social Security on a state level.”


http://www.spokesman.com/blogs/spincontrol/2012/mar/01/senate-passes-health-exchange-bill/
Hat Tip: The Spokesman-Review

California- Study Looks at Language Barriers to Exchange Coverage

Communities of color are expected to make up a large portion of the California Health Benefit Exchange population. Many potential enrollees have limited English skills, which could get in the way of obtaining coverage.

That's according to a report due to be released today as a joint project of the UCLA Center for Health Policy Research, the California Pan-Ethnic Health Network and the UC Berkeley Center for Labor Research and Education.

"We estimate that about 2.65 million nonelderly adults will be eligible for the exchange. Of that 2.65 million, about 67% of them are people of color," UCLA researcher Daphna Gans said. "That's mostly Latino, followed by African American, then Asian."

That adds up to a minority population of about 1.8 million adults who will be exchange-eligible. But the bigger statistic, she said, deals with language.

"About 40% of that 2.6 million are LEP -- limited English proficiency," Gans said. "This is a sizable proportion of the individuals. That's more than one million people."

Language skills could be a significant hurdle for those potential exchange applicants, she said.


National- GOP Governors Stall Health Insurance Exchange Plans

It's hard to find a governor who doesn’t agree that creating an organized marketplace to help consumers and small businesses shop for health insurance is a good idea. But when it comes to implementing the state-run exchanges called for in the controversial 2010 federal health law, many GOP governors are balking.

If they opt out of building their own exchanges, they would have to hand over control of the project to the federal government — something no governor wants to do. So instead of taking a hard line on the issue, a handful of governors have recently carved out a middle ground. They’re putting off a decision until June when the U.S. Supreme Court is expected to decide whether the health law is constitutional.

...

Waiting with Nebraska are Alabama, Florida, Georgia, Indiana, Kansas, Missouri, Michigan, South Dakota, Texas, Virginia and Wisconsin, according to news reports compiled by the Center for Budget and Policy Priorities.

The big question is whether states that wait for the high court’s decision will be able to build an online insurance marketplace in time to meet federal deadlines. “It’s hard to tell,” says Joy Johnson Wilson, health policy director for the National Conference of State Legislatures. “There’s a lot going on behind the scenes.”

Wilson and others report that even in states where governors are holding off, a lot of work already has been done using federal grant money. Every state has received a $1 million planning grant, and 34 states and the District of Columbia have received a total of more than $600 million from the U.S. Department of Health and Human Services to build the state exchanges.


http://www.stateline.org/live/details/story?contentId=635661
Hat tip: Stateline.org

National- The Future Role for Health Insurance Exchanges, Part 3

In an article in the February issue of Health Affairs journal, William Kramer, executive director for national health policy at the Pacific Business Group on Health in San Francisco, discusses the potential long-term role the public health insurance exchanges could play in helping larger companies manage their health care benefits.

Near-term Opportunities for 2014-2016

In the near term, companies could use the public exchanges to help pre-age-65 retirees who are not yet eligible for Medicare to obtain affordable health coverage. Companies that provide these retirees with only access to purchasing coverage at group health plan rates could easily move these individuals to the private marketplace once the exchanges are up and running.

Similarly, employers that provide some level of subsidized health insurance for pre-Medicare-eligible retirees could convert those subsidies into a defined contribution to a health reimbursement account that retirees could use to purchase coverage through an exchange. Part-time employees who do not usually receive access to employers’ group health plans could also find coverage through the exchanges immediately.


http://businessfinancemag.com/article/future-role-health-insurance-exchanges-part-3-0229
Hat Tip: Business Finance Magazine

Missouri- May Put Exchange Implementation on Ballot

Missouri’s Senate recently decided to send implementation of the health insurance exchange program mandated by President Obama’s health care law to the voters, taking the first step toward turning the exchange into a ballot issue which could be sent to the voters in November.

Democratic Gov. Jay Nixon supports implementation, but the Republican-led legislative branch has pushed back against the implementation of this key element of the president’s health care agenda, which would create a government-run marketplace for purchasing insurance.

Senate Bill 464 prohibits the establishment of an exchange in the state via executive order, requiring either approval from the General Assembly or at the ballot box. Missouri’s Senate passed the bill by a 25-8 vote—it must now pass the House before going to voters.

This would not be the first ballot issue in the state to reject a mandate from the federal government. In 2010 Missouri voted overwhelmingly in favor of Proposition C, which prohibited any mandatory purchase of insurance. If Missouri voters supported an exchange, officials would be required to implement a state-produced program by 2014 or turn over control to the federal government.


http://news.heartland.org/newspaper-article/2012/03/01/missouri-may-put-exchange-implementation-ballot
Hat Tip: Heartland.org

Texas- Struggles With Task of Setting Up Insurance Exchange

Comparison shopping is often confusing because most health insurance companies offer a smorgasbord of plans with annual premiums that can fluctuate depending on the costs of their medical services each year, frequency of use and other variables. One plan, for example, may be cheaper than another but cover fewer services and prescriptions. An exchange like the one operating in Massachusetts, on the other hand, would make it “easier to understand your options, understand the differences between them and make a choice,” Schwartz said.

Under the new health care legislation, each state would determine the level of services and benefits insurance carriers must provide to consumers. But a basic health coverage package, known as essential health benefits, is designed to assure consumers that at least minimum benefits are provided by every insurance company participating in their state’s exchange.

...

Consultants for the exchange planners in Texas estimate that 1.7 million people would purchase insurance through the exchange. That creates a huge market for Aetna and other insurance companies that want to offer new health insurance plans through the exchange.

...

Tom Banning, CEO of the Texas Academy of Physicians, is among those doctors and Texas hospitals that expect patients and caregivers to benefit from the creation of health exchanges.

“Ideally, the individuals with insurance will become more sophisticated users of health care and health insurance and focus on preventive measures so those more acute problems are addressed early and at less cost,” Banning said.

...

Proponents say exchanges will create more competitive pricing.

“Better competition will help drive down insurance premiums, and that’s exactly what exchanges do,” said Blake Hutson, an Austin organizer of Consumers Union, a consumer advocacy group. “We need a new way to help families and workers, small businesses get health insurance and to help people who already have insurance but struggle with high rates. [A] health insurance exchange in Texas is the way to do that.”

Yet despite some of the advantages of a statewide exchange, Texas has not made any significant progress in establishing one. In the last legislative session, House Bill 636 — a bill to create the exchange — was held up in committee. Gov. Rick Perry made it clear he would veto bills creating the exchange.

The governor believes federal health insurance reform is “a misguided, unconstitutional and unsustainable government takeover of our health care,” said Lucy Nashed, his deputy press secretary.

...

The new system is unsustainable, according to Harris, of the Texas Public Policy Foundation.

“All of these new taxes passed down to customers in addition to new insurance regulations are going to raise the cost of health care,” he said.

The cost of creating an insurance exchange is a concern to officials. The model specified by HB 636 would have cost $12 million annually in 2013 and 2014. Almost $4 million would have come from the state’s general revenue fund, and the rest would be funded by the federal government. Rep. John Zerwas, R-Simonton, author of the bill, says the model proposed by the bill has broad stakeholder approval and support.


http://www.dentonrc.com/local-news/local-news-headlines/20120301-texas-struggles-with-task-of-setting-up-insurance-exchange.ece
Hat Tip: Denton Record-Chronicle

Iowa- Senate to Hold a Public Forum on Health Care Exchange Today

The Iowa senate will today hold a public forum on a national directive some say Iowa is ignoring to create a health care exchange.

...

Gov. Terry Branstad , who has signed on to litigation questioning the constitutionality of the reform, has indicated that the exchange could wait a year before its enacted by lawmakers. Sen. Jack Hatch, D-Des Moines, has said the wait would make it difficult for Iowa to move ahead because of the time involved in creating such programs.


http://www.desmoinesregister.com/article/20120301/NEWS09/120301005/1007/news05
Hat Tip: Des Moines Register

Ohio- Must Set Up Federally Mandated Health Exchanges

Deadlines loom for Ohio and other states to set up federally mandated health exchanges, intensifying debate over whether taking action or waiting for information carries the higher price tag.

...

Setting up a federal-based exchange would cost Ohio an estimated $20 million, while creating a state-based exchange would cost $63 million, Lt. Gov. Mary Taylor said.

An estimated 685,000 Ohioans will pick their health plan and receive premium and cost-sharing subsidies through the exchanges, which must be in place by the beginning of 2014. States have some latitude in how they set up their own exchanges, and the federal government will step in and create exchanges in those states that don’t create their own. A hybrid exchange jointly run by the federal and state government is another possibility.

...

Taylor, who doubles as director of the state Department of Insurance, said it has been difficult thus far to make a decision on which way Ohio should go in the absence of more information from the federal government of what a federal health exchange might look like.

“Setting up and operating an exchange, whether it’s a federal-based exchange or a state-based exchange, is expensive,” Taylor told a crowd of a few hundred gathered Wednesday at a forum on health-care exchanges organized by the nonpartisan Health Policy Institute of Ohio.

Taylor cited a study that estimated Ohio’s annual operating costs for an exchange — excluding information technology costs — would be $19 million to $34 million annually. Information technology costs are estimated to be $1.6 million for a federally run exchange, and up to $9 million for a state-based or state-run exchange.


Hat tip: Middletown Journal

National- Wait-and-See Approach to Health Exchanges May Haunt States

However, delaying a decision on whether to establish a state exchange until the summer could effectively be a decision to let the federal government set up the exchange.

...

It’s hard to imagine how a state could take all the necessary legislative, policy, operational, and IT system development steps needed to meet this compressed timeline if it doesn’t start work until the summer.

A number of other states have forged ahead with development of their exchanges, and it’s fortunate that the ACA ensures that residents of all states will have access to affordable, decent-quality coverage options through an exchange, whether or not their state establishes one. But it would be unfortunate if some states lose the ability to set up their own exchange when their leaders decide to “wait and see.”



http://www.offthechartsblog.org/wait-and-see-approach-to-health-exchanges-may-haunt-states/
Hat Tip: Center on Budget and Policy Resources/ Off the Charts/ Dave Chandra