Date Requested:March 20, 2009
Time Requested:03:49 PM
Agency: Public Employees Insurance Agency (PEIA)
CBD Number: Version: Bill Number: Resolution Number:
2009R2733 Introduced HB3159
CBD Subject: STATE FUNDING OF ABORTIONS UNDER MEDICAID
FUND(S)
2180
Sources of Revenue
Special Fund
Legislation creates:
Neither Program nor Fund

Fiscal Note Summary

Effect this measure will have on costs and revenues of state government.

    The purpose of this bill is to prohibit moneys from any state fund or funding source to be expended for any abortion unless the abortion qualifies for federal funding under Medicaid.
    
    While this section of the WV code does not affect the Public Employees Insurance Agency (PEIA), the PEIA does not presently allow for the coverage of elective medical or surgical abortion. However, medically necessary abortion procedures are provided to its members due to rape, incest or life threatening to the mother.
    
    Preventing its members medically necessary procedures that may very well put the life of the member at risk would expose PEIA to increased costs by it being required to then provide continuing and more complex medical care to the member. PEIA also sees itself being exposed to litigation for failing to provide a medically necessary procedure to its member that may result in a permanent disability or death.
    
    Last year PEIA covered a total of 13 members requiring medically necessary abortion procedures for a total cost of $2,915.00. A single member failing to receive the medically necessary abortion and undergoing extreme medical treatment to sustain her life would require many times the present annual cost. Possible litigation resulting from denying member a medically necessary procedure would also significantly exceed present annual cost. Based upon these concerns, PEIA has determined that its exposure for continuing care and legal consequences could be in excess of $200,000.00 per denied request for the medically necessary abortion, or approximately $2,600,000.00 annually. While the actual cost for denial of these procedures could well be different, the exposure for PEIA’s failure to provide this coverage would still be significant.
    

Fiscal Note Detail
Over-all effect
Effect of Proposal Fiscal Year
2009
Increase/Decrease
(use"-")
2010
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 0 0
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0
3. Explanation of above estimates (including long-range effect):
    


Memorandum
Person submitting Fiscal Note:
Chip Myers
Email Address:
CLIFFORD.M.MYERS@WV.GOV