Health Care: 2009-10 Session Summary

In 2008 I supported Minnesota’s historic health care reform act.  This was a bipartisan set of reforms with the support of business, labor, conservatives, progressives and moderates alike.  The cost-savings from those reforms are just now beginning to kick in, and should continue to pay off for families, small businesses and the government as we move forward.

With the historic deficits we faced in 2009 and 2010, I worked to prioritize nursing homes, minimize the impact of health care costs on families, preserve the health care access fund for its intended purpose and maximize the impact of federal dollars coming to our state.

This final goal was probably the greatest possible success in the 2010 session.  Minnesota was given an opportunity to expand access to Medicaid for people previously covered with state funds—originally a Republican proposal.  Our participation in this expansion of Medicaid will bring more than $1 billion of our own taxes back to Minnesota to help reimburse hospitals for the care they are already providing.  This will save approximately 20,000 jobs and keep health care premiums low.

The Governor has not agreed to take advantage of this yet.  I hope he will.  However, our next Governor will have the opportunity to enroll by executive order by January 15, 2011.  Since Fairview Ridges is the largest private employer in our community it is very important that we support a Governor who will take advantage of this opportunity and save jobs in our community.

 

Health Care: 2008 Session Summary

A recent report from Families USA states that more than 1 million Minnesotans are paying more than 10% of their income before taxes on health care.  400,000 of those million are paying more than 25% of their income on health care.  The skyrocketing costs of health care have been hurting middle class working families and businesses—especially small business owners—for too long now.  The status quo is not working.  We know we need to do something to reform our system.

In 2008 I helped pass the most significant health care reform package in recent history.  This bi-partisan reform package (to see a list of Senators and House members who voted for it, check the ad purchased by AARP in the July 9, 2008 Star Tribune) took a dramatic step in the right direction to help more Minnesotans get access to quality care, and to reduce the growth in the cost of providing that care.

The reform package was threefold.  First it expanded access to health care for working families.  Currently, approximately 93% of Minnesotans have health coverage.  This number will grow to an estimated 96% by 2011 as the result of this year’s reforms and the work we did in 2007.  By expanding access we reduce the number of people who must seek health care the most expensive and inefficient way possible—by going to the emergency room.  We all pay for the trips to the emergency room made by the uninsured.

Second, the reforms will institute an affordability standard for Minnesotans who make under 300% of the poverty level.  Qualified individuals and families will not have to spend more than 8% of their income on health care.  This amounts to a $5,100 maximum for a family of four.

Finally, we will reduce the growth in the cost of health care by reforming the way we pay for health care, focusing on transparency of costs and patient outcomes as well as health maintenance and wellness programs.  We know that 80% of the costs in our health care systems are the result of treating the 20% of the people with chronic illnesses like coronary artery disease, diabetes and obesity.  No effort at health care reform is a serious one unless it takes steps to change the way we prevent, diagnose and treat these chronic illnesses.

In addition, we made sure that small business owners and employees were not left out.  We provided tax credits for the cost of health care of new employees as well as Section 125 plans for qualified small business owners.  We also required insurance companies to market special plans that previous legislatures had made available to small businesses.  Hopefully these measures will help small businesses compete for the best employees and enable them to grow more jobs.

This year’s health care reform package had broad bi-partisan support as well as the support of groups as disparate as the Chamber of Commerce and labor unions.  It begins to move us in the right direction.  We still have more work to do, and I hope to continue to build on this year’s efforts.

 

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