Senate passes State Health Plan after several changes.
Deleted the Maintenance Medication Retail Pharmacy Network
Amendment to make up for losses.
Increased employer contribution for each employee for medicare.
Weight and smokers issues addressed and sent to House.
Frustration due to timing with short and long term solutions discussed with no concensus.
Questions as to the Governor’s authority to use “rainy day” fund to keep it solvent.
After several days of removing Senate Bill 287 State Health Plan from the Senate calendar, the Senate passed it on Wednesday. They only did so after an amendment that made several changes. The significant changes included:
*Deletes the Maintenance Medication Retail Pharmacy Network (This is the part that small independent pharmacies objected to). It also eliminated a projected $90M savings.
*To make up for the loss the amendment increased the state appropriations and also increased the proposed increase for dependent premiums from 7.8% to 8.6%. ($40 per month.)
*Increased to annual employer contribution for each employee and retiree to $3,418 for Medicare eligible and $4,515 for Non Medicare eligible.
*Exempts members from smoking requirements if a physician certifies in writing that the member is participation in a smoking cessation program.
*Exempts members from weight management program if medical condition prevents attainment of a specified weight range or is a member actively participating in an approval weight management program.
The Senate passed the bill and sent it to the House. It was sent to the House Insurance Committee and discussed there on Thursday. There was much frustration by the members. There was also anger that such a short time is left to come to some agreement. Several amendments were tried, but none adopted. Lots of discussion about long and short term solutions. No action taken, but it is clear there is no consensus. The Director of the plan has said there will be no money to pay claims come April 1. There are questions as to the Governor’s authority to allocate the $250M from the rainy day fund to keep it solvent until July 1. Next week will be interesting to say the least.
