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April 2002

April

Oregon Health Plan waiver likely to reach E-Board

A compromise is in the works to expand the Oregon Health Plan. As Oregon Health Forum went to press, it learned Governor Kitzhaber was meeting with Republican leadership to discuss their alternative plan. “Both sides are starting to talk, and the governor is willing to consider a compromise,” said State Rep. Alan Bates, who’s intimately involved. “It could fall apart any moment. We’re trying our best to keep the process going.”

Everyone’s shooting for an April 18th deadline. That’s when the Legislative Emergency Board meets. The expansion needs E-Board approval to lift off.

Insurers feel no pain

Health insurers aren’t hurting in Oregon. The net worth of the state’s largest HMOs escalated by 16 percent, reaching $430 million at year’s end, despite poor performance in the stock market and a sluggish economy. Their net income showed a significant gain over last year as well, growing by more than $31 million. Also, Oregon Health Forum has exclusive information on their advertising spending on page 11.

Drug plan moves forward

As the state struggles to launch a practitioner-managed prescription drug plan, the pharmaceutical industry is watching hawk-like for any chance to slow down the process. “Their strategy is stall, stall, stall and support candidates who’ll repeal it,” said Kurt Furst, the ex-industry lobbyist turned Oregon Health Plan Policy and Research executive advisor for prescription drugs.

On July 1, Medicaid hopes to implement the drug plan for all Oregon Health Plan fee-for-service patients, sharing with practitioners the most cost-effective drugs. However, no one will be bound to follow those recommendations. And, physicians won’t have to plead with state officials for prior authorization for drugs not on the list.

CNA rates rise

The price of doctoring in Oregon just went up again after CNA raised malpractice insurance rates by 50 to 57 percent. The latest in a flurry of increases, the hike deepens the burden for doctors who say they’re already swamped with insurance costs. “You know that sucking sound when people take a real deep breath? That’s what it’s going to be like when doctors see the increase,” said Bob Dernedde, the Oregon Medical Association’s executive director.

PEBB considers self-insurance

State employees may be covered by a new insurer — themselves — if the Public Employees’ Benefit Board (PEBB) moves ahead with a self-insurance pilot project next year.

The pilot project won’t be all or nothing, said Rocky King, PEBB member. It could be a self-insurance carve-out for a particular county or a particular benefit like dental or vision, he said. With California and Washington partially self-insured, PEBB wouldn’t treading new ground.

A&D budget axed

Getting by during the recession is enough to drive a person to drink, but after taking a nearly $2.7 million broadside cut at the hands of the Emergency Board, county alcohol and drug service providers are announcing last call for many Oregonians needing services.

The $2.7 million provided treatment for the uninsured and those whose policies don’t included A and D services. For Rep. Kurt Schrader, the cuts are long overdue. He said what the system needs isn’t more funds, but a better method of proving its effectiveness. “If they want funding, they need to do a little better job,” he said. He insists their 40 percent success rates are inflated. “It’s all based on self-reporting. There’s very little urinalysis going on.”

Roberts blasted on drugs

Prescription drugs are shaping up to be a major campaign issue in the fall. It’s also one of the few health policy issues that Republican gubernatorial candidate Jack Roberts has actually addressed. Speaking on a panel sponsored by the AFL-CIO, Roberts sounded resigned to the power of the drug companies. “I’m not sure that at the state level there’s a lot we can do,” he said, adding there’s a great deal of misunderstanding about the high price of drugs. “For us to say that we’re going to go and try to squeeze down the pharmaceutical companies to hold down costs, I think is going to have an impact on the availability, accessibility and the quality of the health care that we have available.”

Khan labels consumers

The three most commonly mouthed words during public meetings on the Multnomah County mental health system redesign are surely “dignity,” “competency” and “respect.” But after catching stolen glimpses of the day-to-day workings of the system, mental health advocates say it’s as undignified, incompetent and disrespectful as ever.

In a recent county embarrassment, advocates learned that Shawin Khan, county court commitment supervisor, was compiling a list of inpatient high utilizers. Written on a white board in her office was a list of names under the derogatory heading “system abusers.”

Also in this issue...

  • Multnomah County musical chairs
  • People watching
  • Annual insurance numbers
  • Insurance executive salaries
  • Happenings
  • Health insurance advertising dollars
  • Health spending takes the podium
  • Central city submits proposal
  • Mercy lawsuit dismissed
  • Wyden calls for reform

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