LEGISLATIVE UPDATE Prepared for OAFP April 5, 2015 SB 757 – Health Workforce Data Collection & Analysis This bill would allocate funding ($450,000) to the Oregon Healthcare Workforce Institute and the Oregon Center for Nursing to collect and analyze data on the health care incentive programs. Proponents say that the only way for the legislature to make informed decisions about how to adjust or continue implementation of these programs is with sufficient data. There is widespread support from the health care community, including the Oregon Medical Association, Oregon Academy of Family Physicians, Oregon Rural Health Association, Oregon Nurses Association, and the Oregon Association of Hospitals and Health Systems. Sen. Jeff Kruse (R-Roseburg) voiced his support as well. The committee passed the bill with a referral to Ways and Means. HB 3245 – Rural Health Tax Credit Underserved Expansion This bill, introduced by Rep. Nancy Nathanson (D-Eugene), would add medically underserved areas to the eligibility requirements for the Rural Health Tax Credit. Scott Ekblad, Director of the Office of Rural Health, testified that the interim workgroup on incentive programs had many ideas on how to adjust the Rural Health Tax Credit, but that the consensus was they did not have enough data to make informed decisions on how to do so. He estimates that this change would increase the number of eligible recipients for the tax credit from 2,192 to 7,281. Doug Barber, representing the Rural Health Association, testified that the goal of administrative simplification is laudable. The problem is that it expands the tax credit significantly, which is expensive. HB 3396 – Combines Loan Repayment and Loan Forgiveness Rep. Nancy Nathanson (D-Eugene) says Oregon allocates almost $30 million to attracting and retaining health care providers in underserved communities. HB 3396 takes three of these incentive programs (loan forgiveness, loan repayment and Scholars for a Healthy Oregon Initiative) that are closely related and puts them together in a “Health Care Provider Incentive Fund. The bill would also create an advisory committee to decide how the funding is spent.” Nathanson told the House Health Committee, “We spend a lot of money, but we don’t know which of these programs is moving the dial. It is unclear how effective these are compared to each other or even on their own.” She also noted that because each program is individually funded, there is no flexibility in addressing the needs of students. For these reasons, she wants to pool the funding and administration of these programs. Scott Ekblad, Director of the Office Of Rural Health, testified that OHSU’s Scholars for a Healthy Oregon is an admissions program and does not really fit with the other 2 two. He suggests that it be removed from the bill. He also noted that there is currently no funding for loan repayment in the Governor and Co-Chairs’ budgets. HB 3300 – OHP Linked to OEBB/PEBB There is a large inconsistency between reimbursement rates paid by government contracts. And while Public Employees' Benefit Board (PEBB) and Oregon Educators Benefit Board (OEBB) pay at commercial rates, Medicaid reimburses only about 70 cents on the dollar. This bill would prevent providers from “cherry picking” by requiring primary care physicians to accept a certain percentage of Medicaid patients if they want to contract with OEBB and PEBB to provide medical care. Rep. John Lively (D-Springfield) introduced the bill in order to combat a lack of access to health care providers in Lane County. Debbie Farr, representing Trillium, said, “We want to make sure that we have true access for Oregon Health Plan members.” Alan Yordy, the President and Chief Mission Officer for PeaceHealth, testified in support of the bill. “We have experienced in health care the idea of cost shifting for many years. And while under community benefit we have seen charity care and bad debt declining, we have seen the decline of Medicare and Medicaid payments as well… HB 3300 is not a requirement that providers take charity or Medicaid. It’s not a stick. It’s a carrot, saying that if you want one part of the government’s business, you have to do this other part as well.” Rep. Cedric Hayden (R-Cottage Grove) seemed to think the opposite. He said that he hopes people will keep their minds open to other ways of tackling the same issue. Rep. Knute Buehler (R-Bend) said repeatedly that we should be addressing the root of the problem, which is Medicaid underpayment. HB 2300 – “Right To Try” Rep. Knute Buehler (R-Bend) led a workgroup on this bill since it was last heard. The House Health Committee added amendments that: Limit the law to persons 15 years of age or older Define “terminal” as having 12 months to live Require the drugs must have passed Phase 1 FDA testing Includes mandatory insurance notification Waives liability of insurers and providers The committee passed the bill unanimously. It now goes to the floor for debate. SB 661 – Abuse Deterrent Opiod Rx Mandate This bill would require insurers to reimburse “abuse deterrent opioid analgesic drug products” at no additional cost from other opioid analgesic drugs. These drugs are crush-resistant and/or become inactive when diverted into a different form. Dr. David Russo, a pain management specialist, said, “More Oregonians die from abuse of prescription drugs than heroin or cocaine combined.” He thinks these drugs could help deter the abuse of prescription opiates. Dr. Matthew Mcgaughey, a physical therapist, said, “Abuse deterrent medications make it more difficult for patients to abuse or misuse them. Hydrocodone is the number one prescribed medicine in the United States, and the number one most diverted.” Tom Holt, Cambia, testified against the bill, saying this is an attempt by Pfizer to force insurers to pay for their new, expensive drug. He said, “There is no strong peer- 3 reviewed evidence that these drugs are any safer. According to the Prescription Drug Monitoring Program, in one month there were 485 opioid prescriptions for every 1000 Oregonians.” He also noted that, “These abuse deterrent opioids cost between $300 and $500, three to five times as expensive as generic opioids.” And to mandate their use is counterproductive to our efforts to lower the cost of health care. Sen. Laurie Monnes-Anderson (D-Gresham) says she has no plans of working the bill this session unless significant new evidence comes forward. HB 2875 – Strengthen PBM law Community pharmacists were back at the legislature saying the bill they passed in an effort to control Pharmacy Benefit Manager (PBM) abuses needs more teeth. One pharmacist said his chain of ten small pharmacies “had 15,357 claims reimbursed (by the PBM) below his cost.” Another pharmacist told of a drug that cost her $688 but the PBM would only pay $442. They said the PBM law needs clear enforcement and that changes need to be made to the Maximum Allowable Cost (MAC) that controls how much they get paid. SB 415 – Bans the sale of Flavored E-Cigarettes and Smokeless tobacco There was no discussion as the Senate Health Committee passed the bill with a referral to the Revenue Committee to discuss the potential impact on revenue for the state. SB 833 – CCO 30-day Contract Notice Change This bill would require the Oregon Health Authority to give coordinated care organizations (CCOs) at least 30 days' advance notice of proposed contract amendments. Bill Guest, Executive Director of Willamette Valley Community Health, testified that they received their proposed contract from OHA on Christmas Eve. They had less than seven days to review the complicated proposal and, he said, there was no one at OHA to respond to questions and concerns — they were on vacation. OHA did not oppose the bill which was passed by the Senate Health Committee. SB 7 – OHA IT Procurement This bill would require the Oregon Health Authority to go through the Department of Administrative Services (DAS) to procure IT projects. Sen. Peter Courtney introduced this bill as a direct result of the problems with Cover Oregon. The Senate Health Committee passed the bill. SB 916 – Lyme disease Treatment Brought forward by a number of citizens afflicted with chronic symptoms from Lyme Disease who claim they were inadequately treated, Senate Bill 916 would require the Oregon Medical Board and State Board of Nursing to adopt rules regarding the diagnosis and treatment of Lyme disease that are consistent with guidelines developed by the International Lyme and Associated Diseases Society. According to the Oregon Health Authority, “The guidelines developed by the International Lyme and Associated Diseases Society are not endorsed by the CDC and conflict with the evidence-based, scientifically supported guidelines developed by the Infectious Diseases Society of America (IDSA). The IDSA guidelines currently represent the best available synthesis of the medical literature on the diagnosis and treatment of 4 Lyme disease. The IDSA, with input from CDC experts and other doctors, has developed and published Lyme disease treatment guidelines.“ The Oregon Medical Association opposes the bill. They say using the Oregon Medical Board to set standards of care is not an appropriate use of the board. The Oregon Medical Board thinks that setting the standard for care in statute sets a dangerous precedent for other diseases that have no universal standard of care. The Oregon Nurses Association opposes the bill for the same reasons. Sen. Laurie Monnes-Anderson (D-Portland) stated that we need to look at standards of care in Washington and California but she is hesitant to put standards of care in statute. She says they won’t move this bill but will look into the issue to better understand the differences in treatment from state to state. HB 3347 – Defining person with mental illness for civil commitments Rep. Val Hoyle (D-Eugene) said this bill would allow someone to be civilly committed when they are a danger to themselves and others and when they are unable to provide for personal needs. She and others gave the example of a psychotic homeless woman who was living in a urine and feces-covered tent, hoarding spoiled food with rats that she called her friends. Two people spoke in opposition. One said, “I don’t think this bill is going to solve the problem. The mental health system, unfortunately, is not a good system.” The other, Greg Eubank from Eugene, said the bill would result in trying to force people into treatment that they don’t necessarily want. HB 3132 – Bonding for behavioral health facilities Tax-exempt conduit bonds are used to fund the construction of hospitals and longterm care facilities. This bill would add behavioral treatment facilities and battered women’s shelters to that list. Rep. Ken Helm (D-Beaverton) told the House Health Committee that 12,000 requests for shelter from domestic violence went unmet last year. He said this bill would make it more affordable to build needed facilities. First Deadline This Friday Committees have until Friday, April 10 to post work sessions for bills that are still in their committee of origin. So there will be a mad scramble this week to keep bills alive. Committees have until Tuesday, April 21 to complete those work sessions. Then the focus will shift to bills that have already passed the other chamber. Bills not scheduled by the 10th are considered dead. There are always exceptions but that is the rule. ### 5
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