July 12, 2007
Democrats’ HealthFirst Connecticut Health Care Programs Become Law
Senate President Williams lauds success of Democrats’ top legislative priority
Senate President Donald E. Williams, Jr. (D-Brooklyn) today hailed as "historic" the signing into law of the Democrats' comprehensive health care initiative known as "HealthFirst Connecticut," a $470 million collection of new health care programs that will increase access to quality, affordable health care in Connecticut and help manage health care costs and crises well into the future.
Senate Bill 1484, "An Act Concerning the HealthFirst Connecticut and HealthyKids Initiatives," was the Democrats' top priority for the 2007 legislative session, and it was signed into law Tuesday by Gov. M. Jodi Rell.
"This has been our number one goal all session, getting HealthFirst passed and working for the people of Connecticut," Sen. Williams said. "It is entirely proper to use the term 'historic' to describe these new initiatives, because I believe they will allow us to turn the corner on health care access here in Connecticut and set the stage for significant improvements in both health care delivery and controlling health care costs in the years to come."
"This is real reform. These programs have real impact. I am so proud of the work our party has done this session to take on one of the most difficult and intractable issues facing Connecticut and our country today," he added.
Sen. Williams was the main architect of this multi-faceted health care plan, which was the focus of a series of public forums held across the state over the past several months. It was almost exactly one year ago to the day--July 13, 2006--that Sen. Williams and his Democratic colleagues announced that increasing access to quality, affordable health care and stabilizing the skyrocketing costs of health care would be their top priorities for the 2007 legislative session (see: http://www.senatedems.state.ct.us/pr/leaders-060713.html).
Highlights of the new law include:
- $318.6 million in new money over the next two years for increased Medicaid reimbursements and HUSKY spending. Specifically, the new law spends $93.3 million in FY 2008 and $120.7 million in FY 2009 ($214 million total) in rate increases for fee-for-service Medicaid services. Raising these Medicaid reimbursement rates is essential to get more Medicaid recipients access to care and to end cost-shifting to hospitals and the state's uncompensated care pool. The law dictates the following increases for fee-for-service Medicaid: Hospitals: 9% in 2008, and an additional 9% in 2009; physicians, 50%; clinics, 40%; dental, 40%; vision, 40%; personal care assistant, 2%; chronic disease hospitals (i.e. Gaylord), 4%. The new law provides rate increases of $20 million in FY 2008 and $20 million in FY 2009 for dental services under HUSKY. Raising these rates is crucial to expanding access to dental care for this population. The new law also provides $24.5 million in FY 2008 and $40.1 million in FY 2009 for rate increases for HUSKY managed care. Higher rates paid to these providers will improve access to care.
- $60.1 million total in expanded HUSKY coverage for low-income families, pregnant women, and newborns. The new law spends $17 million in FY 2008 and $22.7 million in FY 2009 for expanded coverage for parents and caretakers on HUSKY A from 150% of the Federal Poverty Level (FPL) to 185% of FPL. This will get as many as 10,000 low-income parents enrolled, which also helps get more children enrolled. The new law spends $3.5 million in FY 2008 and $3.5 million in FY 2009 to expand coverage for pregnant women on HUSKY A from 185% of the FPL to 250% of the FPL. Expanding the number of low-income women with access to prenatal care will help their health and the health of their unborn babies. The new law also creates a 'presumptive eligibility' for uninsured newborns and payment of premiums by state ($4.6 million in FY 2008, $8.8 million in FY 2009) for four months. Providing health coverage for babies right away will ensure that they get proper medical care in the critical first months of life. And once enrolled, these newborns may be more likely to stay enrolled.
- Expanded health insurance coverage for young adults until age 26. Many young adults do not have access to health insurance through employment, and this initiative will help young adults just starting out in the job market to maintain health insurance, and may help bring down costs for everyone.
Also of note:
- Creation of the HealthFirst Connecticut Authority and a primary care access authority. Both groups will research ways to help move Connecticut toward universal health coverage.
- $4.7 million for foreign language interpretation services under Medicaid. There are an estimated 22,000 Medicaid recipients in Connecticut with limited or no English proficiency who cannot access basic health services because they have trouble communicating with their health care providers; this limited proficiency contributes to racial and ethnic health disparities.
- HUSKY A & B will now be marketed and enrolled as one program, which will result in more children being enrolled. A centralized unit for processing these applications will also be formed.
- $1.6 million in FY 2008 and $170,000 in FY 2009 for the online licensure of physicians and nurses. This will help the state keep track of its health care workforce needs. By having an online system for licensure and renewal, the state Department of Public Health can also keep track of geographical and specialty needs in the health care workforce.
- $13 million over two years for the establishment of Gov. Rell's Charter Oak Health Plan, under which Connecticut would contract through the private market and provide subsidies to low-income, uninsured adults.