SENATE CONCURRENT RESOLUTION NO. 62
(By Senators Prezioso, Fanning, Plymale, Oliverio, McCabe, Redd,
Unger, Bowman, Bailey, Anderson, Helmick, Edgell, Kessler,
Minard, Sharpe, Ross, Love, Rowe, Caldwell, Hunter, Mitchell and
Minear)
Requesting the Joint Committee on Government and Finance create a
Health Care Delivery Study Commission dedicated to the
preservation of and regulatory relief for health care
providers.
Whereas, The health care delivery system, especially in rural
areas, is extremely fragile and jeopardizes the essential services
needed by our citizens; and
Whereas, The financial condition of health providers in this
state over the past several years has, at best, been marginal and
consistently deteriorating; and
Whereas, Rural hospitals provide the economic backbone of
health care in rural communities; and
Whereas, Health care providers allow communities access to a
range of primary, obstetric, emergency and other health care
services, as well as employment for over 6,000 West Virginia
citizens; and
Whereas, The state has the oldest median age in the nation;
and as the population continues to age, the prevalence of chronic disease and demand for health care services increases; and
Whereas, Present state Medicaid and managed care reimbursement
policies provide substantial financial disincentives to discourage
the continuation of obstetric and other needed health care services
in communities; and
Whereas, Recent independent studies indicate that some small
and rural not-for-profit hospitals are operating with severe
financial losses, are in a position of probable financial default
and face an increasing risk of closure within the next several
years; and
Whereas, Projected changes in reimbursement due to enactment
of the federal Balanced Budget Act of 1997 may result in decreasing
availability of federal health care dollars; and
Whereas, Additional projected changes in financing and
delivery of health care services by state government may act to
disproportionately exacerbate the financial instability of the
hospitals and other health care providers, increasing the
possibility of closure or the reduction of services and employees
and hindering future economic development; and
Whereas, An immediate need exists to develop consistent public
fiscal and regulatory policy which fosters access to health care
services for the direct benefit of the citizens of West Virginia;
and
Whereas, The critical concern facing our communities is the need to secure adequate, affordable, high-quality health care; and
Whereas, Access to critically needed health care services,
especially in rural areas, will be enhanced by development of
public policy by this state which:
(1) Encourages stability and adequacy of payments to health
care providers;
(2) Maintains access to essential services in rural
communities, including emergency and obstetric services;
(3) Recognizes that Medicaid disproportionate share payments
are vital to the financial survival of not-for-profit small and
rural hospitals;
(4) Recognizes the potentially severe net effect that
Medicare, Medicaid and other payor reductions have on the
providers; and
(5) Identifies and eliminates competing or conflicting policy
decisions made by various state agencies affecting all health care
providers; therefore, be it
Resolved by the Legislature of West Virginia:
That the Joint Committee on Government and Finance is hereby
requested to create a Health Care Delivery Study Commission
dedicated to the preservation of and regulatory relief for health
care providers; and, be it
Further Resolved, That the Commission shall be composed of
twelve members of the House and Senate, with six members of the Senate appointed by the President of the Senate and six members of
the House of Delegates appointed by the Speaker of the House of
Delegates. An additional two members will be the chairs of the
House and Senate Committees on Health and Human Resources. No more
than four members appointed by the President of the Senate and
Speaker of the House of Delegates, respectively, may be members of
the same political party. Additionally, the President of the
Senate and the Speaker of the House of Delegates shall be ex
officio nonvoting members of the Commission; and, be it
Further Resolved, That due to the present or projected dire
financial condition of certain health care providers, the
Commission shall meet at any time both during sessions of the
Legislature and in the interim as often as necessary; and, be it
Further Resolved, That the powers and duties of the Commission
shall be to:
(1) Develop a strategic approach to addressing health care
access and provide measurable outcomes that support ongoing
refinement of a comprehensive health care strategy;
(2) Make an expedited investigation, study and review of the
practices, policies and procedures of the state Medicaid agency and
Public Employees Insurance Agency relating to the payment policies
and methodologies affecting health care providers and the financial
effect of such policies and methodologies;
(3) Make an expedited investigation, study and review of statutory and regulatory requirements of state agencies, including,
but not limited to, the Department of Health and Human Resources
and the Health Care Authority which unnecessarily add to the cost
of or impede access to health care within this state, and those
statutory and regulatory requirements which foster and encourage
the provision of rural health services and other safety net
services;
(4) Recommend action to encourage and provide regulatory and
other incentives to locally reconfigure the manner of delivering
health care services. In instances in which acute care capacity is
reduced, develop proposed statutory or other authority which will
allow hospitals to utilize excess capacity in a timely manner,
omitting bureaucratic overkill, to deliver new or modified health
care services which meet community needs while preserving local
employment;
(5) Explore the development of financial incentives to
encourage providers to form viable links to improve access to
health care service delivery; and
(6) Develop other specific legislative initiatives to create
public policy which preserves access to needed health services in
rural areas, prevents closure and encourages preservation of rural
providers and maintains an employment base for local communities;
and, be it
Further Resolved, That members of the Commission shall receive compensation and expenses as provided in article two-a, chapter
four of the code of West Virginia. These expenses and all other
expenses, including those incurred in the employment of legal,
technical, investigative, clerical, stenographic, advisory and
other personnel, shall be paid from an appropriation to be made
expressly for this Commission: Provided, That if no such
appropriation is made under "Fund No. 0175 for Joint Expenses"
created pursuant to the provisions of article two-a, chapter four
of the code of West Virginia, then no expenses of any kind payable
under the account for joint expenses shall be incurred unless first
approved by the Joint Committee on Government and Finance; and, be
it
Further Resolved, That the Commission report on its findings
and recommendations, if any, to the Legislature on the first day of
the 2003 Regular Session.