Medicaid Reform Act of 2006

House Bill 2842 passed both the House and the Senate on Thursday (May 25) and now is waiting for the governor to make a final decision about signing it. (Update 6/13/2006 , the Governor has signed the bill) It's purpose is to provide Medicaid consumers younger than 65 and considered "insurable" more options in the selection of a health plan, and introduce competition as a factor to lower costs.

Pending the governor's signature, Phase One implementation is to begin July 1, 2008 within a contiguous area with rural and urban characteristics. If after evaluation it is found that this system provides improved access to health care, improved health care outcomes, and improved cost effectiveness, the components of the act shall be phased in statewide by 2013.

Some of the reforms include:

• Development of a system by the Oklahoma Health Care Authority (OHCA) to enable insurable Medicaid consumers to access commercial health insurance policies.

• Development by OHCA of an employee choice option whereby consumers would be allowed to purchase coverage through an employer-sponsored plan rather then a qualified plan.

• Development of a plan by OHCA to implement a personal health account system as an enhanced benefit. Monies deposited into said accounts shall only be used to defray costs including co-pays, non-coverage benefits and wellness benefits.

• Development of Electronic Medical Records

• Development of Electronic Prescribing capabilities

• Disease Management

• Incentive Reimbursement Plan for Nursing Facilities

• Alternatives for long-term care

• Appropriate Utilization of the Emergency Room

• Reduction in billing, payment and eligibility errors to 5% by 2009

• Extends benefits to full-time college students through age 23

• Directs OHCA to expand the Premium Assistance Program to cover parents of children eligible for Medicaid, and to employers with up to 50 employees.

• Appropriates $93 million for hospital and physician reimbursement rates.

• Directs hospitals to establish discount programs for self-pay patients with household incomes up to 300% of the federal poverty level.
  

Legislative Update:

Gov. Henry calls special session to finish budget.

On Thursday May 25th, 2006 Gov. Henry called a special session of the Oklahoma Legislature to ensure that lawmakers complete state appropriations work before the new fiscal year begins in July.

The governor's special session call limits lawmakers' agenda to unsettled budget issues, including tax relief, agency appropriations and investment initiatives.

In an effort to reduce the cost of an emergency meeting, Gov. Henry asked that the special session run concurrently with the final two days of session. The session officially ended Friday May 26th at 5 p.m. This set the stage for a very brief meeting in June to pass remaining budget bills. Under Oklahoma Constitution, it takes five days to pass a bill into law.

Lawmakers have been locked in a budget stalemate since April. Agency budgets must be renewed before the new fiscal year begins on July 1.

Next Steps:

All bills containing budget requests for state agencies are now dead. That includes the budget request contained in HB2232 from the Oklahoma Health Care Authority for "OB High Risk Care." A whole new set of appropriations bills will be introduced in the special session. We will keep you posted on the new numbers and any actions that need to take place from advocates. It is important that child advocates stay active and work very hard during this special session to ensure the populations they care about are not lost in the shuffle.

Who We Are:
The Oklahoma Healthy Mothers Healthy Babies Coalition is an informal association of local and state professional organizations as well as voluntary and government entitites who share a common interest in maternal and child health.

Our Mission:
To improve the health and safety of mothers, babies and their families through public education, advocacy, and collaboration.

Fast Facts:

In Oklahoma-

• 8% of babies are born low birth weight
• 15% of babies are born to teens
• 35% of women deliverying babies are not married
• 23% of women delivering babies have less then a 12th grade education
• 8% Infant Mortality Rate in Oklahoma
• 7% Infant Mortality Rate in U.S.

Source: 2003 Vital Record Statistics Oklahoma State Department of Health