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House Journal: Page 310: Tuesday, February 12, 2002

the legislature would be creating an additional layer of bureaucracy, and an additional
layer of cost to process the monthly reports. This new bureaucratic requirement is
particularly unnecessary, considering the Department of Human Services already
requires Iowans in need who receive medical assistance to report changes in such
factors. This is an example of an area where the projected savings are overstated.

While I am not recommending a veto of the section relating to restrictions on dental
services that would be available to medical assistance recipients, as now passed, most
of the projected savings have been eliminated. Savings under this proposal are much
less than the amount indicated by the Legislature of $1.6 million for four months.

I am unable to approve the item designated as Section 7, subsection 3 in its
entirety. The provision would increase the cost of prescription drugs for Iowans most
in need. This, in effect, is a tax on a group-aged, blind, disabled, children, caretakers
with very little or no income. Additionally, if the individuals do not have the funds, the
pharmacist is required to dispense the drug anyway. This requires pharmacists to
subsidize the costs and creates an additional reluctance on the part of pharmacists to
handle Medicaid patients.

I am unable to approve the item designated as Section 9 in its entirety. The
provision would require nursing facilities to be certified for Medicaid and Medicare-
even if the nursing facility does not take Medicare patients. Therefore, I have directed
the Department of Human Services to immediately prepare administrative rules to
address dual certification for all applicable nursing facilities, thus requiring
certification of a nursing facility for both Medicare and Medicaid when they are, in fact,
providing services for clients of each program. The directive avoids unnecessary
additional administrative cost for dual certification that would be borne by the state,
over 62 nursing facilities (which do not need the dual certification, nor will they in the
future serve Medicare clients), and Iowans who receive nursing home services.

For the above reasons, I respectfully disapprove these items in accordance with
Amendment IV of the Amendments of 1968 to the Constitution of the State of Iowa.
All other items in House File 2245 are hereby approved as of this date.

Sincerely,
Thomas J. Vilsack
Governor

COMMUNICATION RECEIVED

The following communication was received and filed in the office of
the Chief Clerk:

DEPARTMENT OF JUSTICE

A report concerning receipts and expenditures from the enhanced court collections
fund and the court technology fund, pursuant to Chapter 179.1(9), 2001 Acts of the
Seventy-ninth General Assembly.



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