Senate Study Bill 1207 



                                       SENATE FILE       
                                       BY  (PROPOSED COMMITTEE ON
                                            COMMERCE BILL BY
                                            CHAIRPERSON WARNSTADT)


    Passed Senate, Date               Passed House,  Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act creating an interim commission on affordable health care
  2    plans for small businesses and families and a health care data
  3    research advisory council, and making an appropriation.
  4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  5 TLSB 2475SC 82
  6 av/gg/14

PAG LIN



  1  1    Section 1.  INTERIM COMMISSION ON AFFORDABLE HEALTH CARE
  1  2 PLANS FOR SMALL BUSINESSES AND FAMILIES.
  1  3    1.  An interim commission on affordable health care plans
  1  4 for small businesses and families is created consisting of 16
  1  5 members.  The legislative services agency shall provide
  1  6 staffing assistance to the commission.
  1  7    a.  The commission shall include 10 members of the general
  1  8 assembly, three appointed by the majority leader of the
  1  9 senate, two appointed by the minority leader of the senate,
  1 10 three appointed by the speaker of the house of
  1 11 representatives, and two appointed by the minority leader of
  1 12 the house of representatives.
  1 13    b.  The commission shall include two members representing
  1 14 the interests of consumers of health care services, appointed
  1 15 by the governor.
  1 16    c.  The commission shall also include four additional
  1 17 members:  two of whom represent the insurance industry, with
  1 18 one member appointed by the majority leader of the senate and
  1 19 one member appointed by the speaker of the house of
  1 20 representatives; and two of whom represent small business
  1 21 associations, with one member appointed by the majority leader
  1 22 of the senate and one member appointed by the speaker of the
  1 23 house of representatives.
  1 24    d.  The commission shall also include the following
  1 25 additional members who shall serve as nonvoting, ex officio
  1 26 members of the commission:
  1 27    (1)  The commissioner of insurance or the commissioner's
  1 28 designee.
  1 29    (2)  The director of public health or the director's
  1 30 designee.
  1 31    (3)  The director of human services or the director's
  1 32 designee.
  1 33    (4)  A representative of the independent insurance agents
  1 34 of Iowa.
  1 35    (5)  A representative of the national federation of
  2  1 independent business.
  2  2    (6)  A representative of the federation of Iowa insurers.
  2  3    (7)  A representative of the health insurer with the
  2  4 largest enrollment of covered lives in the state.
  2  5    (8)  A representative of the Iowa collaborative safety net
  2  6 providers network.
  2  7    (9)  A representative of the university of Iowa hospitals
  2  8 and clinics.
  2  9    (10)  A representative of Broadlawns medical center.
  2 10    (11)  A representative of the Iowa hospital association.
  2 11    (12)  A representative of the Iowa medical society.
  2 12    (13)  A representative of the Iowa chiropractic society.
  2 13    (14)  A representative of the Iowa osteopathic medical
  2 14 association.
  2 15    (15)  A representative of the Iowa dental association.
  2 16    (16)  A representative of the Iowa nurses association.
  2 17    (17)  A representative of the service employees
  2 18 international union.
  2 19    (18)  A representative of the Iowa public health
  2 20 association.
  2 21    2.  The chairpersons of the commission shall be those
  2 22 members of the general assembly so appointed by the majority
  2 23 leader of the senate and the speaker of the house of
  2 24 representatives.  Legislative members of the commission are
  2 25 eligible for per diem and reimbursement of actual expenses as
  2 26 provided in section 2.10.  Other members of the commission
  2 27 shall be reimbursed for their travel and other necessary
  2 28 expenses incurred in performing their official duties.  Travel
  2 29 expenses are reimbursable at the rate specified in section
  2 30 8A.363.
  2 31    3.  The commission shall review and analyze possible
  2 32 reforms to make health insurance more affordable for small
  2 33 businesses and families in this state including but not
  2 34 limited to:
  2 35    a.  Reducing health insurance premium costs by reducing
  3  1 administrative costs for submitting and processing claims and
  3  2 by recomputing actuarial tables.
  3  3    b.  Establishing an Iowa small business insurance authority
  3  4 in the insurance division of the department of commerce for
  3  5 the purpose of assisting small businesses and families in
  3  6 obtaining affordable health insurance coverage.
  3  7    c.  Establishing an office of insurance consumer advocate
  3  8 as a division of the department of justice for the purpose of
  3  9 investigating the legality of all rates, charges, rules,
  3 10 regulations, and practices of all persons under the
  3 11 jurisdiction of the commissioner of insurance; collecting
  3 12 comparative cost information concerning the provision of
  3 13 health care services and available health insurance in the
  3 14 state and disseminating such information to the public; and
  3 15 representing all consumers generally in all proceedings before
  3 16 the commissioner of insurance or by independently instituting
  3 17 civil proceedings on behalf of consumers.
  3 18    d.  Allowing the issuance of association group health care
  3 19 plans that provide group health insurance coverage to
  3 20 employees of members of a bona fide association and to the
  3 21 spouses and dependents of such employees.
  3 22    e.  Requiring health insurance plans to provide coverage
  3 23 and incentives for participation in wellness programs and
  3 24 chronic disease management programs.
  3 25    f.  Requiring health insurance plans to offer coverage to a
  3 26 member's children up to the age of 25 years or when the child
  3 27 marries, whichever comes first.
  3 28    g.  Requiring all residents of the state to have health
  3 29 insurance coverage and subsidizing participation in government
  3 30 health insurance programs or private health insurance plans
  3 31 for low=income Iowans.
  3 32    h.  Requiring all employers to provide, at a minimum, a
  3 33 basic health benefit plan for all employees.
  3 34    i.  Establishing a statewide prescription drug program for
  3 35 seniors to address problems with Medicare Part D.
  4  1    j.  Enhancing efforts to promote public health initiatives,
  4  2 including but not limited to tobacco use cessation, nutrition
  4  3 education, physical fitness, and general health education for
  4  4 disease prevention and identification.
  4  5    k.  Reducing health insurance premium costs by encouraging
  4  6 the use of health savings accounts as defined in section
  4  7 223(d) of the Internal Revenue Code.
  4  8    4.  The commission shall utilize the expertise of the
  4  9 health care data research advisory council in carrying out the
  4 10 commission's duties.
  4 11    5.  The commission may hold public hearings to allow
  4 12 persons and organizations to be heard and to gather
  4 13 information.
  4 14    6.  The commission may request from any state agency or
  4 15 official information and assistance as needed to perform the
  4 16 review and analysis required in subsection 3.  A state agency
  4 17 or official shall furnish the information or assistance
  4 18 requested within the authority and resources of the state
  4 19 agency or official.  This subsection does not allow the
  4 20 examination or copying of any public record required by law to
  4 21 be kept confidential.
  4 22    7.  The commission may employ staff and consultants as
  4 23 necessary to assist the commission in carrying out its duties
  4 24 as set forth in this division.
  4 25    8.  The commission shall submit a final report to the
  4 26 general assembly no later than December 1, 2007, summarizing
  4 27 the commission's activities, analyzing issues studied, making
  4 28 recommendations for legislative reforms that will make health
  4 29 insurance coverage more affordable for small businesses and
  4 30 families in this state, and including any other information
  4 31 that the commission deems relevant and necessary.
  4 32    Sec. 2.  HEALTH CARE DATA RESEARCH ADVISORY COUNCIL.
  4 33    1.  A health care data research advisory council is created
  4 34 for the purpose of assisting the commission on affordable
  4 35 health care plans for small businesses and families in
  5  1 carrying out the commission's duties by conducting research,
  5  2 providing research data and analysis, and performing other
  5  3 functions within the expertise of the members of the council
  5  4 at the direction of the commission.
  5  5    2.  The commission shall include the following members:
  5  6    a.  A representative of the university of Iowa college of
  5  7 medicine.
  5  8    b.  A representative of the university of Iowa college of
  5  9 dentistry.
  5 10    c.  A representative of the university of Iowa college of
  5 11 pharmacy.
  5 12    d.  A representative of the university of Iowa college of
  5 13 nursing.
  5 14    e.  A representative of the university of Iowa college of
  5 15 public health.
  5 16    f.  A representative of Des Moines university ==
  5 17 osteopathic medical center.
  5 18    g.  A representative of the Drake university college of
  5 19 pharmacy.
  5 20    h.  A representative of the Mercy college of health
  5 21 sciences.
  5 22    3.  The members of the council shall be reimbursed for
  5 23 their expenses incurred in carrying out the functions of the
  5 24 council and their travel and other necessary expenses incurred
  5 25 in performing their official duties.  Travel expenses are
  5 26 reimbursable at the rate specified in section 8A.363.
  5 27    Sec. 3.  INTERIM COMMISSION ON AFFORDABLE HEALTH CARE PLANS
  5 28 FOR SMALL BUSINESSES AND FAMILIES APPROPRIATION.  There is
  5 29 appropriated from the health care trust fund created in
  5 30 section 453A.35A or similar fund, if enacted by the
  5 31 Eighty=second General Assembly, 2007 Session, to the interim
  5 32 commission on affordable health care plans for small
  5 33 businesses and families for the fiscal year beginning July 1,
  5 34 2007, and ending June 30, 2008, the following amount, or so
  5 35 much thereof as is necessary, for the purpose designated:
  6  1    For carrying out the duties of the commission and the
  6  2 health care data research advisory council as set forth in
  6  3 this division:
  6  4 .................................................. $    500,000
  6  5                           EXPLANATION
  6  6    This bill creates an interim commission on affordable
  6  7 health care plans for small businesses and families to review
  6  8 and analyze possible health insurance reforms to make health
  6  9 care coverage more affordable for small businesses and
  6 10 families in this state.
  6 11    The commission consists of 16 members including 10 members
  6 12 of the general assembly with three appointed by the majority
  6 13 leader of the senate, two appointed by the minority leader of
  6 14 the senate, three appointed by the speaker of the house of
  6 15 representatives, and two appointed by the minority leader of
  6 16 the house of representatives.  The commission includes two
  6 17 members representing the interests of consumers of health care
  6 18 services appointed by the governor.  The commission also
  6 19 includes four additional members with two representing the
  6 20 insurance industry, with one appointed by the majority leader
  6 21 of the senate and the speaker of the house of representatives,
  6 22 and two representing small business associations, appointed in
  6 23 the same manner.
  6 24    The commission also includes the following nonvoting, ex
  6 25 officio members:  the commissioner of insurance or the
  6 26 commissioner's designee, the director of public health or the
  6 27 director's designee, the director of human services or the
  6 28 director's designee, a representative of the independent
  6 29 insurance agents of Iowa, a representative of the national
  6 30 federation of independent business, a representative of the
  6 31 federation of Iowa insurers, a representative of the health
  6 32 insurer with the largest enrollment of covered lives in the
  6 33 state, a representative of the Iowa collaborative safety net
  6 34 providers network, a representative of the university of Iowa
  6 35 hospitals and clinics, a representative of Broadlawns medical
  7  1 center, a representative of the Iowa hospital association, a
  7  2 representative of the Iowa medical society, a representative
  7  3 of the Iowa chiropractic society, a representative of the Iowa
  7  4 osteopathic medical association, a representative of the Iowa
  7  5 dental association, a representative of the Iowa nurses
  7  6 association, a representative of the service employees
  7  7 international union, and a representative of the Iowa public
  7  8 health association.
  7  9    Legislative members of the commission are eligible for per
  7 10 diem and reimbursement of actual expenses as provided in Code
  7 11 section 2.10.  Other members of the commission are eligible
  7 12 for reimbursement for their travel and other necessary
  7 13 expenses incurred in performing their official duties.
  7 14    The commission is required to review and analyze possible
  7 15 reforms to make health insurance more affordable for small
  7 16 businesses and families including but not limited to reducing
  7 17 health insurance premium costs by reducing administrative
  7 18 costs for submitting and processing claims and by recomputing
  7 19 actuarial tables; establishing an Iowa small business
  7 20 insurance authority; establishing an office of insurance
  7 21 consumer advocate to assist and represent consumers; allowing
  7 22 the issuance of association group health care plans that
  7 23 provide health insurance plans to members of bona fide
  7 24 associations; requiring health insurance plans to provide
  7 25 coverage and incentives for participation in wellness and
  7 26 chronic disease management programs; requiring health
  7 27 insurance plans to offer coverage to the children of a member
  7 28 up to the age of 25 or when the child marries, whichever
  7 29 occurs first; requiring all residents of the state to have
  7 30 health insurance coverage and subsidizing participation in
  7 31 government health insurance programs or private health
  7 32 insurance plans for low=income Iowans; requiring all employers
  7 33 to provide, at a minimum, a basic health benefit plan for all
  7 34 employees; establishing a statewide prescription drug program
  7 35 for seniors to address problems with Medicare Part D;
  8  1 enhancing efforts to promote public health initiatives such as
  8  2 tobacco use cessation, nutrition education, physical fitness,
  8  3 and general health education for disease prevention and
  8  4 identification; and reducing health insurance premium costs by
  8  5 encouraging the use of health savings accounts, as defined in
  8  6 section 223(d) of the Internal Revenue Code.
  8  7    The commission is authorized to hold public hearings and
  8  8 request information from state agencies and officers and to
  8  9 employ staff and consultants as necessary to assist it in
  8 10 performing its charge.
  8 11    The commission is required to submit a final report to the
  8 12 general assembly no later than December 1, 2007, summarizing
  8 13 the commission's activities, analyzing the issues studied,
  8 14 making recommendations for legislative reforms that will make
  8 15 health insurance more affordable for small businesses and
  8 16 families, and including any other information that the
  8 17 commission deems relevant and necessary.
  8 18    The bill creates a health care data research advisory
  8 19 council for the purpose of assisting the commission in
  8 20 carrying out the commission's duties by conducting research,
  8 21 providing research data and analysis, and performing other
  8 22 functions within the expertise of members of the council at
  8 23 the direction of the commission.
  8 24    The bill specifies that the health care data research
  8 25 advisory council shall include the following members:  a
  8 26 representative of the university of Iowa college of medicine,
  8 27 a representative of the university of Iowa college of
  8 28 dentistry, a representative of the university of Iowa college
  8 29 of pharmacy, a representative of the university of Iowa
  8 30 college of nursing, a representative of the university of Iowa
  8 31 college of public health, a representative of Des Moines
  8 32 university == osteopathic medical center, a representative of
  8 33 Drake university college of pharmacy, and a representative of
  8 34 Mercy college of health sciences.
  8 35    The bill provides that members of the council shall be
  9  1 reimbursed for their expenses incurred in carrying out the
  9  2 duties of the council and their travel and other necessary
  9  3 expenses incurred in performing their official duties.
  9  4    The bill appropriates $500,000 to the commission for the
  9  5 2007=2008 fiscal year to carry out its duties and the duties
  9  6 of the health care data research advisory council as set forth
  9  7 in the bill.
  9  8 LSB 2475SC 82
  9  9 av:rj/gg/14