Recent and Pending Health Care Legislation

Maine People’s Alliance, along with our partners and allies, works on a variety of health care legislation every session. We hope to make a variety of improvements to the Maine health care system that will mitigate the health care crisis and lead to quality, affordable care. Our ultimate goal is the creation of a single-payer health care system in Maine that will provide universal coverage.

Universal Single-Payer Health Care

LD 1365: An Act To Establish a Single-payer Health Care System, introduced by Representative Charlie Priest

This bill to institute a universal single-payer health care system in Maine was held over until the second half of the 124th Legislature. MPA believes that a universal single-payer health care system is the ultimate solution to Maine’s health care crisis and is working with the Maine State Nurses Association, the Maine AFL-CIO, and Maine State Employees Association to support this bill. If enacted, this legislation will establish the Maine Health Care Plan to provide Mainers with high-quality health care. The plan will be paid for by the Maine Health Care Trust Fund, a dedicated fund receiving payments from employers, individuals and plan members. The bill creates the Maine Health Care Agency, which will be responsible for ensuring quality, affordability, and efficiency of care in the system. This agency would oversee a global budgeting system to reimburse hospitals and health care providers, which will remain privately-run. The bill prohibits the sale of any insurance policy that duplicates the services of the Maine Health Care Plan in the state. It also provides for employment retraining for displaced insurance and administrative workers.

A Health Care Bill of Rights

LD 1205, An Act To Establish a Health Care Bill of Rights, introduced by Representative Sharon Treat

LD 1205 passed in June of 2009. This is one of two bills that MPA worked on in partnership with the Maine Voices for Coverage coalition to bring greater transparency to the health care and health insurance market. Rep. Treat’s bill expands on the Patient Bill of Rights and requires that insurance companies provide their certificates of coverage to all consumers, not just people who have already bought a plan, as well as open up their books so we can see how much of their money goes to profit, administrative costs, and other things in a more accessible way. (Currently, their tax filings are public, but impossible to understand). It also extends the notice period for carriers to notify policyholders of proposed rate increases.

Increased Transparency

LD 1444: An Act to Protect and Consumers and Business Owners from Rising Health Care Costs, introduced by Senator Phil Bartlett

This is another bill that MPA worked on with the Maine Voices for Coverage coalition to bring greater transparency to the healthcare and health insurance market. Sen. Bartlett’s bill will mandate that hospitals share information about the costs and effectiveness of their procedures, beyond the “top ten” list that they are currently required to share.

Secure Funding for Dirigo Health

LD 1005: An Act To Continue Access to Dirigo Choice Health Insurance by Reducing Administrative Costs and Replacing the Savings Offset Payment, introduced by Representative Sharon Treat

This bill was passed by the Maine legislature in June of 2009. This legislation amended the funding mechanism for the state’s Dirigo Health program. The current funding mechanism, the “savings offset payment” or SOP, is an assessment that insurance companies pay the state as reimbursement for the significant cost savings that are generated annually by the Dirigo law. Unfortunately, insurance companies can wait up to two years to pay it to the state, and the insurance companies challenge the state’s assessment of how much they owe every year, which further delays the payment and is a great expense to the state. This bill repeals the savings offset payment and eliminates the administrative costs associated with the annual adjudicatory hearings. In place of the savings offset payment, the bill establishes a health access surcharge of 2.14% on all paid claims to be paid monthly as a source of funding for Dirigo Health Program subsidies. The bill also prohibits insurance carriers from including the costs of the health access surcharge used to support the Dirigo Health Program in health insurance premium rates.

Maine People’s Alliance—Organizing for a Better Maine!

565 Congress St., Suite 200, Portland, Maine 04101; (207) 797-0967; mpa@mainepeoplesalliance.org
27 State Street, Suite 44, Bangor, Maine 04401; (207) 990-0672; jesse@mainepeoples alliance.org
145 Lisbon Street, Suite 200, Lewiston, Maine 04240; (207) 782-7876; kate@mainepeoplesalliance.org