Sunday, January 28, 2018

January 26, 2018 Legislative Update

We don’t get the “fake news” that plagues social media, when it comes to our local news outlets, but that doesn’t mean we don’t get our news twisted up. The word-of-mouth floating around about Governor Scott’s proposal for a privately-run prison and mental health facility that adds 925 new beds is a good example.
Virtually every word in the sentence above is inaccurate, but has shown up in someone’s version in describing the plan. My committee heard the full overview directly last week.
-        There is no proposal for a privately-run facility. The suggestion was that it might be constructed through a private company and then rented to the state to avoid having the state carry the $125 million construction price on its books. But it would be run by the state.
-        There is no plan to add 925 beds to our prison capacity. The facility would replace two existing prisons that are more expensive to run and maintain because they are outdated. It would also bring back the prisoners that we currently send to out-of-state prisons.
-        There is no plan to address mental health needs by creating a new “prison and mental health facility” on the same site. The mental health part of the plan is for providing services to inmates in corrections, not for co-mingling prison and mental health needs.
There are many reasons that I’m not sure the plan makes sense, but if I oppose it, I want it to be for the right reasons!
The pros include the fact that I really believe it is wrong for us to send Vermonters to prison in other states – or if we do, that we should be giving those inmates a shortened sentence. It is not equal justice for one person to be send hundreds of miles away, while the other can maintain connections with local family and support systems.
There is also an urgent need to provide mental health care within corrections. We are required to provide appropriate medical care to the people we hold in prison, and many are not receiving it when it comes to mental health.
The cons include the challenges of recruiting enough staff for a large, consolidated prison in a rural, northwest corner of the state. The mental health plans include a 20-bed forensic hospital, which means recruiting psychiatrists and other medical personnel to serve there, an even more difficult task. This is a healthcare specialty that already has shortages, and the state has been unable to fill staff positions at the psychiatric hospital it runs in Berlin. Staff there frequently are forced to work mandatory overtime shifts, creating dangerous conditions.
I’m also very concerned about the way the whole proposal has blended and mixed up what Vermonters need. The proposal arose from a legislative directive to review the state’s needs in a number of different areas. One high priority for our state is, in fact, mental health care – a whole separate subject from corrections. The two subjects are being tied together in a way that feeds on stigma and discrimination against those who have mental health needs.
There are people with mental illnesses that commit crimes. There are men who commit crimes. The vast majority of people with a mental illness do not commit crimes. The vast majority of men do not commit crimes. Let’s not confuse things just because two categories have an overlap.
Anyone following the news in the past year knows that we have a health system crisis in Vermont, resulting in people spending days, and sometimes weeks, waiting in emergency rooms for a hospital bed, because of a lack of access to mental health care.
There are no direct proposals in the new plan that address that lack of access.
The indirect proposal is the suggestion that because there are some current hospital patients who are also within our criminal justice system – those who overlap the two systems – if we open a hospital wing in a prison it will free up some current hospital beds for people who are waiting in emergency rooms.
It’s a hypothesis that some experts are questioning. Many of those waiting, for example, are children; the plan creates no new space for their needs.
Speaking of children: another part of the mega-prison plan is to potentially also have one building on the campus for juvenile offenders. It’s a back-up plan, if we can’t get federal funding to run a new facility that would replace the current one, Woodside, in Essex. That’s a proposal enough to send chills up the spine of any professionals who address the needs of children.
So legislators will need to see a lot more data before coming to any conclusions about whether this plan moves us any closer to solutions – or to decide upon alternatives.
***
Last week we heard the governor’s annual budget address. I’ve heard enough budget addresses by now to know how much they are all the same: full of ideas that sound great, but impossible to judge until we see the actual numbers.
It is certainly vital to protect against increases in taxes and fees that grow faster than the economy – and our paychecks – and I applaud the governor’s commitment to that. His desire to invest in economic growth is also important if we are going to keep our ship afloat.
But every budget is about where and how priorities are juggled: what moves to the front of the line, and what gets pushed back. That’s what will need legislative scrutiny.
It is hard to figure out how the schools’ budget gap will be filled to prevent a major property tax increase. Last year, in the compromise that ended the stalemate between the governor and the legislature over teachers’ health care, rates were artificially lowered by taking money from savings that would have helped out this year. In that way, the legislature could say it kept tax rates down without giving in to the governor on the health insurance plan.
Now, some people seemed surprised that we have a shortfall. It’s going to bite us this year, and every year, if we can’t figure out how to slow down the growth in costs.
***
My health care committee held an evening public hearing last week on access to health care, with a particular focus on access to primary care. It was a depressing hearing, since most of the 50 or so citizens who testified are people having real challenges in getting affordable care. Most were pressing for the legislature to go back to work on creating a universal, single (state)-payer health system, or at least to start on that path by creating a universal primary care system.
What people did not seem to realize is that we cannot control a decision like that, unless we want to try to run a system with less than half the money it currently runs on. We live off the federal system and federal money, whether it be through Medicare, Medicaid, or tax benefits. If they don’t give permission, we lose the money.
The so-called “All Payer” model that we are beginning to test in Vermont right now is based on following the structure that the federal system allows for. The federal Medicare system established the “Accountable Care Organization” model that funnels the money to an organization that is in charge of coordinating care with a goal of more efficiency and better outcomes.
Vermont is trying to piggy-back on that, by having the state Medicaid program and private insurance companies use that same organization (“all payers”), hoping for even greater efficiencies and reduced administrative costs, with more time for doctors to care for patients.
Based on the testimony we’ve been hearing in committee, the new approach is still in its infancy, and most Vermonters do not yet have their care being coordinated by “One Care,” the ACO that is in place here. You will know if you are brought under its umbrella through a letter; whether that happens depends on which insurance you have and who your primary care doctor is.
At best, however, all this reorganizing will only make price increases a bit less steep. We still have a health care system that gives great protection to the very poorest, and excellent coverage to those with employers who can afford to offer good benefits. But despite the subsidies for lower income families, health insurance and out-of-pocket costs continue to take a bigger and bigger chunk out of the paychecks of the majority of Vermonters.
When we talk about affordability, it can’t just be about taxes. It has to be about all of our essential needs. We must just keep plugging away at whatever gains we can make.
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Please stay in touch as you hear about issues affecting you and to keep me informed about your views. You can reach me at adonahue@leg.state.vt.us. Thank you for the honor of representing you.

 


Sunday, January 14, 2018

January 12, 2018 Legislative Update

New year, new legislative session, new email, new address, new phone!
You may note that you are now receiving this from my legislative email, rather than my home account. That’s partly because I’ve changed my primary account – the old “counterp” account is being phased out – so this is the best one to use for legislative business. My new home email is annedonahuew1@gmail.com. I’ve also moved “downtown,” off Turkey Hill to 633 North Main Street, Northfield; phone number 802-249-4071.

As we begin this new session, please make sure to let me know if you do not want to continue to receive these updates so that I can remove you from this list.

We’ve jumped quickly into business this January. Since it is the midpoint of a biennium, we eliminate the learning curve time for new members, and many bills are still in motion from last year.
So in fairness – contrary to some media reports – the House did not take up the marijuana bill the first week because it was deemed a highest priority bill. It was because it was on our calendar already after having been sent over by the Senate last year. More on that bill, later.
In my Health Care Committee, we are facing a heavy lift with addressing the impacts of a number of federal changes. Some of them are highly technical health insurance provisions, but they could affect our insurance market in some very negative ways.
One of those is the loss of the pass-through subsidy of the purchase price of plans for lower income folks. The money went to insurers to pay the difference of the reduced cost plans they were required to offer.
The money is gone, but the requirement to offer those plans is not. Without the subsidy, the cost to continue to offer them would have to be spread out to other health care insurance plans (the rest of us.)
There is still a different subsidy available, directly to lower income families. If the cost of the insurance premium increases, that subsidy increases. So one solution is for insurers to increase those premiums, which means families get increased subsidies, and end up paying the same.
That’s the easy part. Then it gets complicated.
Raising those premiums would mean that persons who do not get subsidies would be paying a far higher price to buy those same health care exchange plans.
To prevent that impact, we need to allow insurers to offer plans that are almost exactly the same as the ones on the exchange, but at a lower cost, so that the people affected in that way can continue to purchase those plans at their previous, non-subsidized cost, instead of at an inflated cost.
They will need to know to look for those plans directly from insurers, rather than on the health care exchange – a critical point, as otherwise they will get stuck with a very high price tag.
We are rushing that legislation through right now, because the insurance rate-setting process for next fall gets underway in just a few weeks.
The irony of all of this contorted accounting is that the federal government will actually end up sending more money to Vermonters under this system then they would have.
The federal change reduces health care dollars coming to Vermont by about $12 million. Under the revisions, we will be bringing in about $16 million – a gain of about $8 million.
The point of our legislation is solely to protect Vermonters from the federal change, but the effect will be to actually lower costs a bit for some people.
So what happens when the federal government discovers it is losing money through its changes? (Vermont is one of some 37 states who are adopting this fix.)
Everything may change again. It’s a pretty frustrating picture.
***
One of the most unpopular parts of the Affordable Care Act has been the “individual mandate” that requires everyone to buy a health plan or face a penalty. The recent federal action to eliminate that penalty has been welcomed by many.
One of the most popular parts of the ACA has been the requirement that insurance covers “pre-existing” conditions: just because you already had diabetes when you bought the plan, they can’t deny coverage for the care you need.
What most people don’t recognize is that those two pieces are linked in a critical way.
Homeowners’ insurance wouldn’t sell you a policy if your house was already on fire. If you could wait until then to buy coverage, why would you ever pay for coverage before you needed it, in other words, unless and until your house was on fire?
If we aren’t required to buy health insurance, but when we choose to buy it, any conditions we already have are covered, why not wait and buy insurance only when we “need” it because we develop a serious and costly illness?
Insurance as a concept is premised on everyone paying into the pool of money that is used to cover unpredicted expenses. If pre-existing conditions are covered, and the only people who buy it are those who are already in a need of a lot of care, the “insurance” is going to end up costing as much as the care itself. In other words, the whole concept of insurance falls apart.
That is why Vermont is going to have to take a serious look at whether we need to create a state requirement for coverage – much as Massachusetts had prior to Obamacare – in order to maintain a reasonably stable health insurance market.
A bill to do that will be getting review in my committee in the next several weeks, and will require a lot of consideration.
There may be a good amount of pushback on this. It is our human nature to want it all – in this case, maximum access to the health care we want, without the government forcing us to pay for it.
Part of increasing costs is our increasing use of health care. It costs real money. We do have to pay for what we want.
***
At the same time as struggling with health care costs, we – the big “we,” as both state and nation – are continuing down the path of legalizing the use of marijuana.
I won’t repeat all the pro and con arguments here, and there are many of them on both sides. I find it hard to object to the concept that adults who are doing things that do not harm anyone else should be allowed to do those things legally.
But we do prohibit a lot of things under that category. Riding a motorcycle without a helmet comes to mind.
The real question is whether there will be an increase over existing harms (the risks to younger folks if they access it more; the risks created on our highways if there is an increase in impaired driving) through legalization, and the extent to which we will work to minimize the increased risks that do occur.
I was disappointed with the very mild compromises that emerged in the final bill that the governor agreed to sign. The bill does include penalties for use of pot in a car (including by non-drivers), which was an amendment I first brought to the House floor last year. The penalties are increased if a child is in the car.
But both last year and this, I also pushed for penalties for using pot in any enclosed space with a child. The negative picture I can’t get out of my mind is of a group of folks at home, enjoying some casual marijuana (OK, fine), in a room in front of their kids (not OK.)
Some news media reported that I offered an amendment to increase penalties for use of marijuana in enclosed spaces when children are present. That is inaccurate. There are no penalties in the bill; my amendment would have created some.
It failed, and I voted against the bill. To me, the sad reflection was those only a handful of those who supported the bill were willing to support my amendment to it.
The member of the House who is also a practicing MD (and who opposed the bill as a whole) was more than just saddened. Rep. George Till said in a written comment on the vote: “this is the low point of my 10 years in the legislature, to see so many people I respect not vote to protect our children.”
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Please stay in touch as you hear about issues affecting you and to keep me informed about your views. You can reach me at adonahue@leg.state.vt.us. Thank you for the honor of representing you.