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Legislature Passes GO HELP
Legislation
Most Reform Measures Die
On the final night of the session, the legislature passed
Senate Bill 414, which establishes the Governor's Office of Health Enhancement
and Lifestyle Planning, or GO HELP. GO HELP will coordinate health care
initiatives across state agencies, plan for future health care reform efforts,
take over some of the duties of the Pharmaceutical Cost Management Council, and
develop pilot projects for medical homes. The details of GO HELP are spelled out
below.
Virtually,
all of the other health care reforms recommended by Select Committee D and Ken
Thorpe, a health care economist from Emory
University and consultant
to the legislature, were rejected or ignored by the legislature. These measures
include:
* Neither
Finance Committee considered increasing the cigarette tax to the national
average. Currently, West Virginia
taxes cigarettes at 55¢ per pack, while the national average is $1.20 per pack.
Raising the tax to the national average would generate over $100 million in
badly needed state revenues, keep 30,000 kids from ever beginning to smoke,
convince almost 20,000 current smokers to quit, and save more than $700 million
in future health care expenditures.
Imagine 50,000 fewer smokers in West Virginia. No public policy would produce greater benefits in
the health status of West Virginians than increasing
our cigarette tax to the national average. The failure of the cigarette tax
means that West Virginia
will continue to have the second highest smoking rate in the country. Even Kentucky, the state with the highest smoking rate,
increased their cigarette tax to 60¢ a pack, which is higher than West Virginia's current
rate.
* Despite
the tireless efforts of Senator Dan Foster, the Senate first weakened and then
the House killed the menu labeling bill. SB 419 would have required fast food
restaurants and other chain restaurants to post on their menu and menu board
the calorie content of the food they sell.
Since
1990, the number of obese West Virginians has
doubled, going from less than 15 percent to more than 30 percent of the
population. And like smoking rates, West
Virginia has the second highest rate of both
childhood obesity and adults who are overweight or obese.
The
Senate first rejected the menu labeling bill, then reconsidered the bill and
added an amendment to exempt the restaurants owned by former Senator Oshel
Craigo. When SB 419 got to the House of Delegates, the bill was referred to the
Health Committee and then Government Organization Committee. The House Health
Committee quickly stripped out the Craigo amendment, and passed a very good
menu labeling bill.
However,
in the House Government Organization Committee the bill was in trouble.
Delegate Jim Morgan, Chair of the committee, offered a very decent compromise.
Fast food chain restaurants could provide caloric information in any manner
they preferred - through the Internet, on wrappers of the food, etc. However,
by 2012 these restaurants would be required to post the calorie information on
their menus and menu boards, where it has the greatest impact on behavior.
While
members of the committee ate donuts and Tudor's biscuits, this compromise was
rejected by a majority of committee members, and the bill was dead. Those to be
applauded for voting for the compromise menu labeling approach were:
Sam
Cann (D-Harrison)
Bobby
Hatfield (D-Kanawha)
Jim
Morgan (D-Cabell)
Danny
Polling (D-Wood)
Margaret
Staggers (D-Fayette)
Doug
Skaff (D-Kanawha)
Those who voted to kill the
compromise menu labeling bill included:
Sam
Argento (D-Nicholas)
Tom
Azinger (R-Wood)
Greg
Butcher (D- Logan)
Daryl
Cowles (R-Morgan)
Roy
Givens (D-Brooke)
Daniel
Hall (D-Wyoming)
Bill
Hartman (D-Randolph)
Dale
Martin (D-Putnam)
Pat
McGeehan (R-Hancock)
Carol
Miller (R-Cabell)
Jonathan
Miller (R-Berkeley)
Mike
Potter (R-Mercer)
Mike
Ross (D-Randolph)
Ruth
Rowan (R-Hampshire)
Randy
Swartzmiller (D-Hancock)
Joe
Talbott (D-Webster)
It
is interesting to note that every Republican on the Senate floor and in the
House Government Organization Committee voted against the menu labeling bill,
as did every legislator from the northern panhandle regardless of whether they
were Republicans or Democrats.
* In
his State of the State address, Governor Manchin directed Medicaid to seek a
waiver to cover adults up to 50% of federal poverty level. "This is such an
important step toward addressing our state's growing healthcare concerns...that,
if necessary in the future, I will propose an increase in our state's cigarette
tax to pay for its continuation." When the tobacco tax failed, there was no
additional money for Medicaid, and Governor Manchin's proposal to expand
Medicaid died.
* The
Senate Finance Committee refused to take up HB 3022, which would allow
uninsured individuals and employers who don't currently provide health
insurance coverage to their employees to purchase primary care-only coverage.
HB 3022 would pay providers a set fee per person per month (called a capitated rate).
This is an innovative approach that moves away from paying doctors on a per
procedure basis, where the more procedures they perform the more they get paid,
to a system where physicians are paid a fix rate. A capitated rate also allows
payers to begin to pay doctors based on performance, rather than on the number
of procedures they perform. Ironically, the legislature passed a bill allowing
PEIA to pay a capitated rated for PEIA-insured individuals, but denied the
opportunity for uninsured individuals to participate in a capitated program.
Details of the GO HELP Bill
The
two basic functions of GO HELP are to coordinate the various health care
efforts of state government and to plan for future health care reform. It will
take a special director of GO HELP to get the leaders of the Department of
Health and Human Resources, PEIA, the Health Care Authority, Medicaid, and
other state health care agencies to work together.
It
will also be challenging to develop a 5-year strategic plan for health care
reform by December 31, 2009. Initiatives to be included in the strategic plan
include: focusing on select chronic illnesses; encouraging recess and other
physical activities in public schools; promoting bicycle and pedestrian trails
and sidewalks; promoting universal wellness and health promotion benefits;
support for efforts to decrease tobacco use; and promotion of health
information technology, such as electronic health records.
In
addition to these activities, GO HELP will take over the functions of the
Pharmaceutical Cost Management Council. These functions include collecting and
publishing information on the amount of money that drug manufacturers spend on
trying to influence doctors (and other prescribers) to write prescriptions for
brand name drugs. This is referred to detailing expenses. GO HELP will also
collect and publish the amount of money that drug manufacturers spend on direct
to consumer advertising, which is all the ads on TV and the full page ads in
magazines that promote brand name drugs.
GO
HELP will only be able to publish aggregate data - not individual physician
level data -- on detailing expenditures. So, consumers
will not be provided information on whether their physician accepts free meals
or other freebies from drug companies.
GO
HELP will also oversee the development of four different pilot projects for
patient-centered medical homes (PCMHs). PCMHs are a team approach to treating
patients, particularly those with chronic illnesses. Community health centers and private physician
offices would be paid to provide improved patient education in a face-to-face,
personal manner. Additionally, our health care system is highly fragmented, and
the PCMH is designed so that a primary care physician is paid to coordinate a
patient's care with various specialists.
The potential in adopting medical homes is to improve the
health status of West Virginians, while
decreasing cost. There are mixed reviews of PCMHs in the literature. For example, the
Commonwealth Fund projects significant reductions in cost with the adoption of PCMHs, while
the Congressional Budget Office has projected modest increases in cost for adopting
PCMH for Medicare patients. Adopting different pilot projects to see what works
best in West Virginia
is an appropriate strategy given this uncertainty.
SB 414 also establishes an advisory council for GO HELP.
The advisory council is composed of agencies (DHHR, PEIA, the Health Care
Authority and CHIP); as well as provider associations (Hospital Association,
the State Medical Association, the
Nurses Association, etc.) and consumers and purchasers of health care (AFL-CIO,
AARP, the Chamber of Commerce and a consumer public interest organization).
While the advisory committee has limited authority (the right to offer advice
on contracts, legislative rules, etc.), and despite the fact that the advisory
council is only required to meet once a year, which has lead some observers to
conclude that the advisory council is likely to be more ceremonial than
substantive, the composition of the advisory council was the most fought over
provision of SB 414.
GO HELP is not health care reform. It is an opportunity
for future health care reform.
Throughout
the year-long process that Select Committee D undertook to study health care
reform and develop proposals, they made repeated efforts to engage the Governor
and get his support for the process and recommendations. They failed. If
Governor Manchin signs SB 414, he will own the process and the results. If the
Governor signs SB 414, who he appoints as the director of GO HELP will send a
clear message of how serious he is in achieving meaningful health care reform.
Stay tuned.
While this legislative session did not live up to expectations, there are some legislators who worked extremely hard to reform health care and deserve special recognition. The two chairs of the Health Committees, in particular, were outstanding. Senator Roman Prezioso (D-Marion) and Delegate Don Perdue (D-Wayne) provided outstanding leadership and determination in their efforts to achieve health care reform. Please drop each a note of thanks at roman.prezioso@wvsenate.gov and DPerduerx@aol.com. Thanks.
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