This week in the House of
Representatives
June 22 – 26, 2015
Representative Carl Ford – District 76
Twenty-Second Week of the 2015 Long Session
It was a slower week in Raleigh, as the House received the Senate’s budget proposal, voted not-to-concur, and began the conference committee process. We heard five bills and voted to concur on a local Senate bill. It is likely that the budget conference committee will be appointed at the beginning of next week, which will likely slow further business at the legislature and begin a slow release of hostage bills.
During this slow-down, I thought that I would provide some greater detail on the House and Senate’s differing Medicaid reforms and explain why I voted against the House plan.
BILL UPDATES
“2015 Medicaid Modernization” – House Bill 372
As discussed in an earlier newsletter, the primary function of the bill is to shift Medicaid from a fee-for-service program to a provider-led care program in which provider-led entities (PLE) will be reimbursed a full-risk, capitated fee to manage and coordinate the care for at least 90% of Medicaid recipients. PLEs will be responsible for all Medicaid administrative functions, including case management. To qualify as a PLE, a healthcare provider must enroll at least 30,000 Medicaid recipients and meet solvency requirements set by the Department of Insurance. The bill makes some other changes to decrease ER visits, revise overall Medicaid performance goals, and provides DHHS 5 years to make the changes.
The Senate wrote their proposal into the budget we received earlier this year. They would create a new, cabinet-level state department called the Health Benefits Authority to manage the entirety of the Medicaid program. This would effectively move Medicaid out of DHHS and isolate its funding and administration in a single entity. The Authority would enter into contracts with managed care organizations and PLEs, similar to the House plan. I think that it is clear that this larger move would increase accountability and transparency while accomplishing the goals set forth in the House plan. It’s a more significant, better proposal.
Members in both chambers argue that Medicaid is in need of serious reforms. However, I feel that the House plan leaves too much undone. We can do a lot more in 2015 to get the reform process rolling, therefore I voted against HB 372. We’re still early in the budget compromise process, and I imagine both proposals will see substantial changes. I’m eager to see how the House and Senate plan begin to work out their differences. I hope we can all look forward to some major, cost-effective, efficient reforms in the coming weeks.
Thank you for taking the time to read about the work I was able to accomplish this week for Cabarrus and Rowan. Expect to hear big news as the 152nd resumes its legislative session and budget process.
Please share this newsletter with your friends and family in the district. Also, please remember to tune into the Houses’ Weekly Republican Address on YouTube and Town Hall Thursdays on Twitter. If you have any questions or concerns, please don’t hesitate to contact me.
God Bless,
Carl
Legislative Office: (919) 733-5881
District Office: (704) 305-3541
carl.ford@ncleg.net
