| Press Release |
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| November 25, 2008 |
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Governor to Expand Health Care Coverage, Fund Initial Steps in Health Care Reform Plan
(Salem) – Governor Ted Kulongoski, along with members of the Legislature, received the final report from the Oregon Health Fund Board that calls for the expansion of health care coverage to children and low-income adults, and provides the state with a step-by-step plan to reform Oregon’s health care system.
“I am optimistic that the board’s report will help change the fundamental problem with our health care system: It costs too much and covers too few,” Governor Kulongoski said. “Initial investments in this plan, combined with my effort to cover all kids and expand coverage to low-income adults, will move Oregon toward its goal to ensure greater access to affordable care and contain costs for all Oregonians.”
To expand health care coverage to all children and low-income adults, the Governor will recommend in his budget the continuation of what is known as the provider tax. Oregon, like other states, taxes health care providers to help cover those without health insurance through Medicaid. The tax is subject to federal laws and regulations and allows the state to receive federal matching dollars to help fund the Oregon Health Plan.
Recent changes in federal law force Oregon to discontinue or restructure the provider tax. If Oregon does not restructure the tax, it will no longer qualify for federal matching funds, bringing an end to the Oregon Health Plan.
“Oregon decided long ago that providing health care to our most vulnerable citizens was a priority, and I intend to see this commitment continue,” the Governor said. “My budget will recommend that we meet the most urgent and compelling needs for expanding coverage by ensuring affordable health care for all of our children and continuing the enrollment of low-income adults in the Oregon Health Plan.”
The Governor also committed to include $5.0 million in his recommended budget to support other recommendations from the board that improve the quality and consistency of care, provide greater accountability to the public for resources spent in the health care system statewide and begin serious steps to transform Oregon’s health care system.
The $5.0 million in state general funds will generate $2.6 million in federal matching funds for a total investment of $7.6 million.
To improve the quality of care, the Governor’s budget will increase the state’s capacity to collect and publish health care costs and outcomes on claims filed statewide. The effort will include the collection of administrative costs of insurance companies.
The data will provide the state the information needed to monitor costs, assess the effectiveness of care and identify disparities. The data also will arm patients with more information about the care they are receiving and will provide health care providers with a tool to compare their treatment practices and costs with their peers.
“The state will continue its efforts to increase transparency and hold health care providers and insurance companies accountable,” the Governor said. “Through the identification and use of the best treatments available, I believe patients will see the health care they receive improve and will save money by avoiding ineffective, unnecessary treatments.”
The Governor also will fund the board’s effort to define and set standards for “integrated health homes,” an approach that focuses on the coordinated, comprehensive delivery of health care. Integrated health homes reward preventive care and ensure continuity of care for chronic conditions in an effort to improve care outcomes.
Other recommendations receiving initial funding will be the development of a bulk purchasing program to accelerate the adoption of electronic health records in smaller medical practices, a database to guide investments and strategies to recruit and retain a qualified health care workforce and a statewide POLST registry (Physician Orders for Life Sustaining Treatment) to house patient end-of-life care preferences to avoid unwanted care.
The Board was created by the 2007 Legislature and began meeting last September. The action plan, called “Aim High: Building a Healthy Oregon,” reflects the work of scores of volunteer committee members, input from hundreds of Oregonians, review of health care research and policy initiatives under consideration or adopted by other states, and advice from local and regional policy experts.
To read the full report, click here.
Contact:
Anna Richter Taylor, 503-378-6169
Rem Nivens, 503-378-6496
Jillian Schoene, 503-378-5040
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