The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care...

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The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013

Transcript of The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care...

Page 1: The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013.

The Improbable Path to SuccessHB1219 | SB1020

Ray HanleyAFMC | 2013

The Arkansas Health Care

Independence Act of 2013

Page 2: The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013.

1874ARKANSAS • Democrats could not vote until citizenship

was restored• Republicans control legislature

Page 6: The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013.

• At least 150,000 adults below poverty would have no coverage option

• Arkansas hospitals would continue to suffer from uncompensated care while taking deep Medicare cuts, regardless

• Employers would be at risk for an estimated $35M in penalties

Consequences of Failure (do nothing) were enormous

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The ObstaclesMajority vote for the enabling legislation

BUT…We had to have a “super majority” vote for the necessary appropriation 75 of 100 votes in the House 27 of 35 votes in the Senate

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A Governor with a lifetime of political skill who could both work with the other Party’s ideas but who also could sell the Democratic HHS Secretary on the innovative private option plan no state has done before

On getting a “super majority” of 75 votes in House and 27 in Senate:

“It is almost impossible to get a 3/4 vote for motherhood and apple

pie… to do so is the equivalent of scaling Mt. Everest.”

Governor Mike Beebe

Page 10: The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013.

A talented, articulate, GOP Legislative leadership team who could have easily said

“NO, it’s still ObamaCare,” F BUT instead they said “we have a better idea.”

Sen. Jonathan DismangRep. John Burris Sen. David Sanders

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Senate and House Leaders who understood all that was at stake and who delivered the

votes at crunch time

Rep. Davy CarterSpeaker of the House

Sen. Michael LamoureuxPresident Pro Tempore

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A dedicated, stalwart Democrat legislative team who reached across the aisle in the best

interests of the people of our State

Rep. Darrin Williams Sen. Larry TeagueSen. Paul BookoutRep. Reginald Murdock

Page 13: The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013.

An HHS Secretary willing to work with Arkansas on a never-before-seen, innovative approach to further expand access to health insurance coverage through the Arkansas health insurance exchange.

Secretary Kathleen SebeliusUS Department of Health and Human Services

“Recognizing the decisions facing your General Assembly and the impact on your health insurance marketplace, let me assure you that we will work with you on this innovative approach for Arkansas.”

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A DHS Democratic Administration, leadership team who won the respect of GOP Legislators and who had the ability to put the complex, never done before “Private Option” into language that should win Federal approval

John Selig Andy Allison

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A dedicated group of public policy relations folks to help guide our public outreach…

Clint ReedChase Dugger

Richard Bearden

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A drafted AR Health, AR Jobs Coalition Leader

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We worked the phone, email, text… ran TV and radio spots, organized tele-town halls, lined the hallways and even the marble steps…

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What the Private Option would do…

Allow DHS to purchase a private “silver” insurance plan within the State’s Health

Insurance Exchange for any uninsured adult below 138%* of the poverty level

*(approximately $15,000 for one; $32,000 for a family of four)

Page 22: The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013.

This accomplishes several things a regular Medicaid expansion

could not…

Page 23: The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013.

• Avoids “churn” – flipping on and off Medicaid as income goes over and under 138% of poverty

• Allows Exchange Commercial Plans to pay higher provider rates needed to assure access to care

• Protects businesses from penalties where the newly covered may work

• Stabilizes the State’s health care system for ending most uncompensated care

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Other states openly discussing following Arkansas’ lead on the

Private Option

OklahomaFloridaOhioIdaho

PennsylvaniaLouisianaIowaTexas

Page 25: The Improbable Path to Success HB1219 | SB1020 Ray Hanley AFMC | 2013 The Arkansas Health Care Independence Act of 2013.

What’s next• DHS will write and submit to

CMS for approval the necessary 1115 “Research & Demonstration” Waiver

• AID will be accepting proposals from private insurance plans to serve the expanded population within the exchange

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AR Insurance ExchangeHow much competition???

• Arkansas Blue Cross Blue Shield of Little Rock

• National Blue Cross Blue Shield Multi-state Plan

• QCA Health Plan of Little Rock (dba QualChoice of Arkansas Inc.)

• Celtic Insurance Co. of Chicago, through its subsidiary NovaSys… parent is Centene, a Medicaid managed care firm HQ in St. Louis

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The REAL Winners…• 250,000 low income, hard-working Arkansans• The State of Arkansas who showed the

nation how leaders come together to solve the most complex issues