Keep an eye on Maine on this issue.  The sticking point from what I’ve read is when it is to go into effect.  Dirigo, the state motto, is latin for “I lead”.  Maine has a long history of leadership, from Ed Muskie,  Margaret Chase Smith, George Mitchell and current Senators Snowe and Collins.  This legislation is similar to that in California, Minnesota, Rhode Island and Vermont, home of two other independents, Jeffries and Dean.  Some real progress will be made this year, I suspect, and some will fall into the Campaign 2004 rhetoric.  - KWC

 

Maine Health Plan Falls Short of Approval

By THE ASSOCIATED PRESS, June 13, 2003, Filed at 12:47 p.m. ET  @ http://www.nytimes.com/aponline/national/AP-Maine-Health.html

 

AUGUSTA, Maine (AP) -- Maine lawmakers came just shy of immediately enacting one of the nation's most far-reaching health insurance plans, but the universal health care proposal still had strong support Friday. For lawmakers, it was less a matter of it would go into effect than when.

 

The Senate voted 20-14 Friday, falling short of the two-thirds majority needed for the legislation to go into effect without delay. The House voted 95-46 Thursday, also short of the two-thirds vote.  However, both votes showed strong support for the plan.  Lawmakers could try to vote again. They also have the option of altering the legislation to require only a simple majority vote for the plan to pass. If that happens and the plan wins approval, it would go into effect 90 days after lawmakers adjourn.  First-year Democratic Gov. John Baldacci has already endorsed the plan, which would create a quasi-public agency to help people secure medical coverage through private insurers.

 

Under it, all 180,000 people in Maine who cannot otherwise afford health care coverage would have access to it by the year 2009.  Participants would be charged subsidized premiums that would vary according to their ability to pay and the amount of coverage purchased.  Funding would come from a patchwork of sources, including a tax on insurance companies and $80 million the state expects to save each year by eliminating unreimbursed medical costs run up by uninsured people.

 

Although the proposal enjoyed bipartisan support, critics portrayed the program as untried and doomed to failure.  ``This bill is illusion and promise not fulfilled,'' Assistant House Minority Leader David Bowles, a Republican. ``This bill is not the right thing.''  Arthur Levin, director of the New York-based Center for Medical Consumers, said Maine was ahead of other states in its efforts to reform health care.  ``In the absence of the feds not moving in the right direction, it falls to the states to pick up the pieces,'' he said.

 

Maine's move toward universal coverage is unusual in a year when most states are simply trying to hold onto the coverage they have, said Donna Folkemer of the National Conference of State Legislatures.  The legislation aims to hold down the runaway costs of medical care with voluntary price caps for providers, hospitals and insurers, and a limit on non-hospital outpatient procedures.

 

Maine also has a program called Maine Rx to use its buying power to force drug companies to offer bulk discounts on prescription drugs for the elderly, the working poor and others who have trouble paying for their medicine. Maine Rx was upheld by the U.S. Supreme Court last month.

 

The U.S. Senate has scheduled debate next week on legislation providing prescription drug coverage for millions of Medicare recipients, and House Republicans have proposed a similar bill. If approved, the changes would be the most far-reaching to the program since it was created in 1965.

 

Governors' Effort to Revise Medicaid Stalls
GOP Group Looks to the White House

By Ceci Connolly, Washington Post Staff Writer, Friday, June 13, 2003; Page A04

Five Republican governors working with their Democratic counterparts on a plan to revamp Medicaid conceded yesterday the bipartisan effort has failed and said they instead hope to strike a deal with the Bush administration.

Just 10 days ago, governors and their aides optimistically declared they were on the verge of an agreement to refashion the health insurance program for 44 million low-income Americans. The compromise unraveled, both sides say, after aggressive lobbying by Democratic senators who oppose the changes.

The breakdown could complicate efforts by the administration to rein in Medicaid spending -- by moving recipients into managed-care programs, charging higher co-payments and putting a cap on federal payments. Administration officials had hoped that if governors of both parties crafted the legislation, Congress would be more inclined to adopt it.

Thomas A. Scully, who oversees the Medicaid and Medicare programs for the administration, said bipartisan support from the governors was critical. "If they don't want to do it," he said recently, "it's not going to happen."  Now it appears that any Medicaid bill is destined for sharp partisan debate -- or indefinite postponement.

Hours after the GOP governors sent a three-and-a-half page letter to Health and Human Services Secretary Tommy G. Thompson outlining their principles, Democrats countered with their own statement. Both documents, cloaked in the diplomacy of legislative language, nevertheless revealed the bitter frustration on both sides.  "It is unfortunate that with health coverage for millions at risk -- with virtually every state making wholesale cuts in Medicaid benefits and populations -- that some would choose to forfeit an opportunity to protect health care for our neediest populations," the Republicans wrote.

"We offered to continue working with our Republican colleagues," the five Democrats said. "Unfortunately, their higher priority was to write to" Thompson "recommending enactment of a one-size-fits-all federal block grant."

Medicaid, the nation's largest public insurance program, is run jointly by states and the federal government. Rising health care costs, coupled with the sluggish economy, have made it increasingly difficult for states to cover their share of the bill.

The two sides split over whether the Medicaid financing system should be changed from the current entitlement program, which guarantees money to cover everyone eligible for care, to a block grant approach that would limit the federal payments.

Republicans, led by Florida Gov. Jeb Bush, told Thompson they support the administration's desire to switch to a block grant, which the White House has dubbed an "allotment."

Democrats, led by Sen. Edward M. Kennedy (Mass.), waged an attack on the White House approach and persuaded Iowa Gov. Tom Vilsack (D) to back away from the negotiations. At a meeting last week, Kennedy urged colleagues to telephone their governors to oppose a block grant; he called a half-dozen himself, his spokesman Jim Manley confirmed.

In an interview, Vilsack said Democrats quit the talks when it became clear Republican governors "could not deliver a promise from Congress or the administration" that the federal government would pick up the costs of caring for individuals who are eligible for both Medicaid and Medicare.

Ron Pollack, executive director of Families USA, a liberal consumer group that opposes the GOP plan, predicted Medicaid legislation will not progress this year. "This is a huge victory that prevents the largest Medicaid cutback in history, offering a welcome reprieve" for millions of low-income people, he said.

HHS spokesman Bill Pierce, however, said Thompson is not ready to give up. "With the actions many states are taking, include cutting spending on Medicaid, this is just more evidence of why we need to continue try to come to agreement," he said.

http://www.washingtonpost.com/wp-dyn/articles/A52415-2003Jun12.html

 

 

 

 

 

 

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