While the work of the Interim legislative committees winds down, the "pre-filing" season has begun. Starting yesterday and going through January 14, 2012, NM legislators are getting a head start on bill introduction. The first day's contributions focused on HSC issues:
HB 16 HOSPITAL CHARGES TO UNINSURED RESIDENTS
Eleanor Chavez
FOR THE LEGISLATIVE HEALTH AND HUMAN SERVICES COMMITTEE
AN ACT RELATING TO HEALTH CARE; REQUIRING HOSPITALS TO LIMIT CHARGES TO UNINSURED RESIDENTS OF THE STATE; PROVIDING FOR A SLIDING SCALE OF CHARGES A HOSPITAL MAY CHARGE UNINSURED RESIDENTS OF THE STATE WHOSE GROSS HOUSEHOLD INCOMES ARE LESS THAN FIVE HUNDRED PERCENT OF THE FEDERAL POVERTY LEVEL.
HB 17 LEGISLATIVE APPROVAL FOR MEDICAID CHANGES
Eleanor Chavez
FOR THE LEGISLATIVE HEALTH AND HUMAN SERVICES COMMITTEE
AN ACT RELATING TO MEDICAL ASSISTANCE; ENACTING A NEW SECTION OF THE PUBLIC ASSISTANCE ACT TO REQUIRE THE SECRETARY OF HUMAN SERVICES TO OBTAIN PRIOR LEGISLATIVE APPROVAL BEFORE SUBMITTING CERTAIN CHANGES TO THE STATE'S MEDICAID PROGRAM THROUGH STATE PLAN AMENDMENTS OR WAIVER APPLICATIONS TO FEDERAL AUTHORITIES.
*SB 6 NEW MEXICO HEALTH INSURANCE EXCHANGE ACT
Dede Feldman
FOR THE LEGISLATIVE HEALTH AND HUMAN SERVICES COMMITTEE
AN ACT RELATING TO HEALTH INSURANCE; ENACTING THE NEW MEXICO HEALTH INSURANCE EXCHANGE ACT; CREATING THE NEW MEXICO HEALTH INSURANCE EXCHANGE; PROVIDING FOR THE APPOINTMENT, POWERS AND DUTIES OF A BOARD OF DIRECTORS FOR THE EXCHANGE; PROVIDING THE SUPERINTENDENT OF INSURANCE OF THE PUBLIC REGULATION COMMISSION WITH RULEMAKING POWERS RELATING TO THE EXCHANGE; PROVIDING FOR POWERS AND DUTIES OF THE EXCHANGE; PROVIDING FOR TRANSPARENCY OF EXCHANGE FUNDING AND OPERATIONS; ESTABLISHING A NEW MEXICO HEALTH INSURANCE EXCHANGE FUND; REPEALING THE HEALTH INSURANCE ALLIANCE ACT AND TRANSFERRING PROPERTY, PERSONNEL, CONTRACTS AND REFERENCES IN LAW TO THE NEW MEXICO HEALTH INSURANCE EXCHANGE; AMENDING, REPEALING AND ENACTING SECTIONS OF THE NMSA 1978; RECONCILING MULTIPLE AMENDMENTS TO THE SAME SECTION OF LAW IN LAWS 2009; MAKING AN APPROPRIATION; DECLARING AN EMERGENCY.
SB 7 ESTABLISH BASIC HEALTH PROGRAM
Dede Feldman
FOR THE LEGISLATIVE HEALTH AND HUMAN SERVICES COMMITTEE
AN ACT RELATING TO HEALTH COVERAGE; AMENDING THE PUBLIC ASSISTANCE ACT TO DIRECT THE HUMAN SERVICES DEPARTMENT TO ESTABLISH A BASIC HEALTH PROGRAM FOR CERTAIN INDIVIDUALS WHO ARE NOT ELIGIBLE FOR MEDICAID; PROVIDING FOR RULEMAKING; MAKING AN APPROPRIATION.
SB 8 PRIMARY CARE PHYSICIAN CONDITIONAL TUITION
Dede Feldman
FOR THE LEGISLATIVE HEALTH AND HUMAN SERVICES COMMITTEE
AN ACT MAKING AN APPROPRIATION TO THE HIGHER EDUCATION DEPARTMENT TO FUND THE PRIMARY CARE PHYSICIAN CONDITIONAL TUITION WAIVER PROGRAM.
Three hundred thousand dollars ($300,000) is appropriated from the general fund to the higher education department for expenditure in fiscal year 2013 to fund the primary care physician conditional tuition waiver program. Any unexpended or unencumbered balance remaining at the end of fiscal year 2013 shall revert to the general fund.
Watch for periodic briefings on pre-filed legislation and other legislative news until the session begins January 17. At that point, you'll be hearing from us daily.
Susan McKinsey
Legislative Education Study Committee
Yesterday, Education Retirement Board director Jan Goodwin pitched proposed changes to the education retirement program to the LESC. Her main message was that federal standards call for unfunded liabilities to be paid off in 30 years. The ERB fund has a current funding ratio of 63% and will not be able to pull out of the decline without either more money or cuts in benefits. You'll recall the ERB is proposing a minimum age of 55 and a cut in the average COLA payment that kicks in at age 65 from the current 2% to 1.75%. Goodwin says the proposed changes, which impact current and future retirees, call for shared responsibility and intergenerational equity.
The committee listened to testimony from Gloria Birkholz of the UNM Retiree Association, who explained the association's position that calls for no change in the COLA because of the lost purchasing power over time already experienced by retirees who will be further impacted by cuts in the COLA. The association also recommends a higher minimum retirement age as a way to secure solvency and provide for more realistic retirement scenarios for current employees. The American Federation of Teachers NM voiced support for the UNM Retirees' position on COLAS. They remained neutral on the minimum age question.
Committee members had few questions, save for Rep. Mimi Stewart who is a retired public school teacher. Rep. Stewart stated the fund is in trouble and needs to be revised, but she is not willing to change the ERB without changes in PERA, which is the public employees retirement fund. She also does not want to see the two funds grow farther apart when it comes to benefits.
Rep. Stewart shared a scenario that had an ERB employee and PERA employee both retiring at the same age and at the same salary. Because of differences in the multiplier and the number of final years counted to retirement, the PERA retiree will get $36,000 while the ERB retiree earns $27,000. I can't recall what the retirement age was in the Stewart scenario, but come age 65, the ERB retiree will still be getting $27,000 while the PERA retiree will be making $51,000 because PERA gets an immediate 3% COLA annually. Stewart says the disparity of the two retirement plans is inherently unfair and she hopes the unions and fund managers can come together for an equitable solution. She does not yet know what that might be.
We'll be watching for more pre-filed bills before the holiday break. Contact me with questions or comments at mckinsey@unm.edu
Susan