SENATE COMMITTEE ON HEALTH POLICY

March 18, 2003 Hearing Room B

1:00 p.m. Tapes 37 - 38

MEMBERS PRESENT: Sen. Bill Morrisette, Chair

Sen. Bill Fisher, Vice-Chair

Sen. John Minnis

Sen. Frank Shields

Sen. Charles Starr

MEMBER EXCUSED: Sen. Vicki Walker

STAFF PRESENT: Marjorie Taylor, Administrator

Saranelle Allen, Committee Assistant

MEASURE/ISSUES HEARD: SB 392 – Public Hearing and Work Session

HB 2487 – Public Hearing and Work Session

Informational Meeting – Oregon Health Plan Workgroup Informational Meeting- Oregon Insurance Division

These minutes are in compliance with Senate and House Rules. Only text enclosed in quotation marks reports a speaker’s exact words. For complete contents, please refer to the tapes.

TAPE/#	Speaker	Comments
Tape 37, A
004	Chair Morrisette	Opens meeting at 1:10 p.m. and opens a public hearing on SB 392.
SB 392 – PUBLIC HEARING
010	Marjorie Taylor	Administrator. Explains SB 392 and the SB 392-1 amendment and the hand engrossed amendment (EXHIBIT A).
	Art Kiel	Association of Naturopathic Physicians. Testifies in favor of these amendments that were agreed to at the last hearing.
	Taylor	Advises that a fiscal impact statement has not been prepared for the -1 amendment and states most likely no fiscal impact would occur. However a warning is noted concerning the possibility of multiple task force requirements on other bills, which might require an additional individual to staff these committees.
	Chair Morrisette	Questions how many task force groups could there be.
	Taylor	Gives explanation and possible estimate of work load.
	Chair Morrisette	Closes public hearing and opens a work session on SB 392.
SB 392 - WORK SESSION
089	Sen. Minnis	MOTION: Moves to ADOPT SB 392-1 amendments dated 03/06/03.
102		VOTE: 5-0 EXCUSED: 1 – Sen. Walker The motion CARRIES.
104	Sen. Shields	MOTION: Moves SB 392 to the floor with a DO PASS AS AMENDED recommendation.
106		VOTE: 5-0 AYE: In a roll call vote, all members present vote Aye. EXCUSED: 1 - Sen. Walker
107	Chair Morrisette	The motion CARRIES. SEN. SHIELDS will lead discussion on the floor.
	Sen. Fisher	States he supports bill, but has reservations on the task force issue.
	Sen. Shields	Asks if there’s any way to know how many task forces at this point we might have.
	Taylor	States we could do a search, but bills still have to make it through the process before you could get a definite number.
	Sen. Minnis	Explains the intent of a task force and feels it would be a good investment.
110	Chair Morrisette	Concurs with Minnis on comments.
	Chair Morrisette	Closes work session on SB 392 and opens a public hearing on HB 2487.
HB 2487 – PUBLIC HEARING
	Marjorie Taylor	Administrator. Explains HB 2487.
	Sarah Reeder	Oregon Association for Home Care. Testifies in favor of HB 2487.
	Gail Shibley	Administrator. Office of Public Health Systems. Gives written testimony on HB 2487 (EXHIBIT B).
	Chair Morrisette	Closes public hearing and opens a work session on HB 2487.
HB 2487 – WORK SESSION
178	Sen. Fisher	MOTION: Moves HB 2487 to the floor with a DO PASS recommendation.
		VOTE: 5-0 AYE: In a roll call vote, all members present vote Aye. EXCUSED: 1 - Walker
	Chair Morrisette	The motion CARRIES. SEN. FISHER will lead discussion on the floor.
INFORMATIONAL MEETING – Overview of Oregon Health Plan Workgroup Discussions
200	Barney Speight	Kaiser Permanente. Explains his role as the facilitator of a Stakeholder group.
		Gives information on make-up of this committee put together by Rep. Westlund and others (EXHIBIT C). Goes into explanation on the purpose of the group, and what funds were available to the Oregon Health Plan.
280		Reviews details on medicaid program and goes into review of the second part of the handout on cost containment actions and issues.
		Explains where savings could be obtained and any rebates possible, which would allow the state to lower rates.
Tape 38, A
044	Sen. Minnis	Raises several questions on last session’s passing of SB 819 and how it applies.
065	Speight	Discusses the Fee for Service drug program.
	Sen. Minnis	Questions back and forth on points in the draft with Speight.
204	Chair Morrisette	States that more information is required, and asks what would be recommended to pass on to Ways and Means.
	Speight	Explains that the hope is to have hearings on recommendations and that some may be forwarded on to Ways and Means for approval.
	Sen. Minnis	States that the issues have to do with policy. Also states concerns that the governor is taking some actions, when the policy has not been finalized.
315	Sen. Shields	Asks for clarification on mental health drugs, and if that is being discussed in this draft.
	Speight	States, yes, talking in two areas, anti-depressant and anti-psychotic drugs.
430	Sen. Minnis	Expresses the concern about medical care for youth.
Tape 37, B
048	Sen. Jackie Winters	District 10. In attendance to review action and intent of the Ways and Means committee.
	Chair Morrisette	Asks what the process would be to get action moving.
078	Sen. Winters	Clarifies that the audit committee has been assembled to work with the Health Policy and Human Resource committee to implement some of these policies.
	Chair Morrisette	States he thinks questions need to be put to some of the House Committee on what the process should be.
	Speight	Continues review.
184	Sen. Minnis	Asks how Kaiser handles the generic drug issue.
	Speight	Advises they have a formulary.
	Speight	States they were trying to balance the budget and the next level would be reviewed, but were working on the mandatory portion.
	Sen. Winters	Expresses the difficulty in trying to balance the budget and still handle the basics of the health plan.
390	Sen. Shields	Asks if Speight has numbers of costs to add back in for CHP, FHIAP, and several other programs.
492	Joel Ario	Oregon Insurance Division. Gives testimony on Health Insurance Mandates done in nationwide surveys (Exhibit D).
Tape 38, B
053	Ario	Reviews the information in the exhibit, covering costs for mandates in Virginia, Maryland, Texas, Maine and a 1991 study of Oregon.
160	Ario	Reviews the old Oregon study. Explains that mental health, chemical dependency and then maternity are the highest costs.
	Sen. Shields	Asks about the social aspect, and if there was any measurement on that area.
320	Ario	Advises there wasn’t any way to measure the philosophical, so no data is available.
396	Sen. Minnis	Reviews the self-insured area that covers some of those non-mandated areas.
462	Chair Morrisette	Adjourns meeting at 3:02 p.m.

EXHIBIT SUMMARY

A – SB 392, -1 hand engrossed and proposed amendment, staff, 4 pp.

B – HB 2487, written testimony, Gail Shibley, 2 pp.

C – Informational – Oregon Health Plan Workgroup, written testimony,

Barney Speight, 11 pp.

D – Informational – Overview of Mandates, written testimony, Joel Ario,

22 pp.