June 13, 2008

Pennsylvania Senate Republican News Brief

Preview

On Tuesday, the Senate Public Health and Welfare Committee, chaired by Sen. Ted Erickson (R-Delaware), will hold a second public hearing on reauthorization of the Pennsylvania Health Care Cost Containment Council. The Senate Urban Affairs and Housing Committee, chaired by Sen. John Pippy (R-Allegheny), will hold a public hearing on the proposed Neighborhood Blight Reclamation and Revitalization Act, sponsored by Sen. James Rhoades (R-Schuylkill).

On Wednesday, the Senate Banking and Insurance Committee, chaired by Sen. Don White (R-Indiana), will hold a public hearing on health care, and the Senate Communications and Technology Committee, chaired by Sen. Rob Wonderling (R-Montgomery), will hold a hearing on Pennsylvania’s response to the Real ID federal mandate requiring the establishment of a national identification card. 

Review

SENATE REPUBLICANS OUTLINE PLAN TO IMPROVE HEALTH CARE ACCESS, AFFORDABILITY

Senate Republicans on Tuesday outlined a comprehensive health care package designed to improve health care access and affordability by building on approaches that are working and doing it in a fiscally responsible way. 

HealthNET PA is a $100 million blueprint that expands access to health care and medicine to 507,000 uninsured and low-income working Pennsylvanians. It utilizes information technology to control costs and reduce health care-associated infections, and provides expanded insurance options for employers and families. 

Announcing the HealthNET PA initiatives were: Senate Public Health and Welfare Committee Chairman Ted Erickson (R-Delaware), Senate Banking and Insurance Committee Chairman Don White (R-Indiana), Sen. Jake Corman (R-Centre), Sen. Rob Wonderling (R-Montgomery), Senate Majority Leader Dominic Pileggi (R-Delaware), Sen. Pat Vance (R-Cumberland), Sen. Mike Folmer (R-Lebanon), Sen. Pat Browne (R-Lehigh) and Sen. John Eichelberger (R-Blair). 

The 507,000 Pennsylvanians served by the $100 million plan is more than double the number projected to be covered after five years under Gov. Rendell's $1.4 billion health care proposal, and almost four times the number projected to be covered in the second year. 

For highlights of the HealthNET PA plan and Pennsylvania health care spending, please see In the Spotlight and Fast Facts, below.
 Sen. Erickson
 Sen. Corman
 Sen. D. White
 Sen. Wonderling
 Sen. Eichelberger
 Sen. Folmer
           Sen. Pileggi
 News Conference

The Senate unanimously approved a plan Wednesday to provide $800 million in funding for critical water and sewer projects and other infrastructure needs.

The H2O PA plan, introduced by Sen. Jane Earll (R-Erie), Senate Majority Leader Dominic Pileggi (R-Delaware) and Sen. Mike Folmer (R-Lebanon), would also provide funding for storm water projects, flood control projects, and high-hazard dam repairs. 

As amended in the Senate Appropriations Committee, the H2O PA bond issue would total $800 million. Funding will be available for projects throughout Pennsylvania, with priority given to projects which are subject to a court order, agency order, or consent decree. Priority will also be given to projects involving consolidation and other regional projects. The bond would be paid with revenue from the Pennsylvania Gaming Economic Development and Tourism Fund. 

To be eligible for funding, a project must be owned by a municipality or authority, and must include local matching funds. The Commonwealth Financing Authority will evaluate applications, with the Department of Environmental Protection and the Pennsylvania Infrastructure Investment Authority providing technical review and assistance. 

Senate Bill 2 was sent to the House of Representatives for consideration.

SENATE ACTS TO BOOST VOLUNTEER FIRE, EMS RECRUITMENT

The Senate approved legislation June 9 providing tax credits to Pennsylvania’s emergency first responders and their employers to help volunteer fire companies and emergency medical services companies recruit and retain members. 

The package of bills would provide nearly $23 million in tax credits and tuition reimbursements by fiscal year 2009-10 for fire and emergency medical services volunteers and employers. Initiatives include: 

Senate Bill 1314, sponsored by Senate Veterans Affairs and Emergency Preparedness Committee Chair Lisa Baker (R-Luzerne), providing a $500 personal tax credit for active members of volunteer firefighting and emergency medical services organizations.
Senate Bill 1316, sponsored by Senator Baker, providing a $1,000 tax credit against an employer’s personal income tax for each volunteer fire and emergency services member employed, up to $5,000 per year. 
Senate Bill 1315, sponsored by Sen. Mike Waugh (R-York), providing a tuition reimbursement credit of 50 percent of tuition for each course credit. The credit would be paid directly to the college or university.  

The bills were sent to the House of Representatives for consideration.
 News Conference (prior to Senate passage – 16 min.)
 Sen. Baker
 Sen. Waugh
 Sen. Jane Orie

PANEL APPROVES BILL AUTHORIZING PUBLIC-PRIVATE TRANSPORTATION PARTNERSHIPS

The Senate Transportation Committee, chaired by Sen. Roger Madigan (R-Bradford), approved legislation Tuesday that would enable the Commonwealth to use alternative funding mechanisms to fund transportation projects.  

Senate Bill 1158, sponsored by Senator Madigan, would allow the Commonwealth and regional transportation authorities to enter into agreements with the private sector to design, construct, manage or maintain new or expanded transportation options through Public Private Partnerships (P3s).   

The proposal is focused on creating new capacity for traffic and specifically restricts the leasing of the Pennsylvania Turnpike from consideration. Senator Madigan said the Turnpike lease is an issue for a separate piece of legislation.

In the Spotlight

Features of the 15-bill HealthNET PA package include the following:

Improving Access to Health Care and Medicines

• Establishing the Community-Based Healthcare Program for the expansion and site development of health care clinics across Pennsylvania to provide "medical homes" for 175,000 working poor clients and ease pressure on hospital emergency rooms.
• Implementing a physician/health care facility volunteer program through which an additional 159,000 uninsured patients would be assigned to a primary or specialty care physician, with access to free specialty care, labs and inpatient hospital care.
• Creating a registry of free prescription drugs and allowing retail establishment pharmacies to sell prescription drugs at a minimal cost, such as $4.

Making Health Care More Affordable

• Helping hospitals and doctors' offices convert to Electronic Medical Records, boosting evidence-based diagnosis and treatment protocols, and encouraging Telemedicine expansion.
• Permitting health insurers to withhold payment to providers in the event of a medical error, and allowing employers to establish "Healthy Living Committees" qualifying for insurance discounts.
• Providing funding of a critical cost-saver – the reduction of health care-associated infections.

Expanding Insurance Coverage

• Providing "Mini-Cobra" coverage for small business employers, creating a high-risk pool for individuals who cannot access other coverage, and extending the option of dependent coverage to age 30. (Nearly half of uninsured Pennsylvanians are age 18-34.)
• Provide $5 million in state tax credits for the use of Health Savings Accounts.

HealthNET PA will be funded through existing sources. Approximately $225 million is annually deposited into the Health Care Provider Retention Account from the current cigarette tax and the CAT Fund surcharge. An estimated $125 million a year is needed to fully fund the current MCARE abatement, which makes the remaining $100 million available for HealthNET PA. As of June 30, 2008, approximately $500 million exists in the Health Care Provider Retention Account, which can be used to eliminate the MCARE unfunded liability when it comes due.

Fast Facts

Questions or Comments?

Contact the Senate Republican Communications Office or call 717-787-6725.

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