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Minutes for HB2591 - Committee on Health and Human Services

Short Title

Revised program for the administration and provision of state medical services under the Kansas medical assistance program.

Minutes Content for Thu, Feb 8, 2018

Vice-Chairperson Representative Concannon opened the hearing on HB2591.

Norm Furse, Revisor Emeritus, Office of the Revisor of Statutes, briefed the Committee concerning the main objectives of the bill.  Mr. Furse said this bill directs planning for the new medical assistance program and provides that the medical delivery system currently in existence is to be continued until January 1, 2022. This system is to be continued without the imposition of any new eligibility requirements or limitations (unless otherwise required by state or federal law) until the new delivery system is approved by an act of the legislature and by the US centers for medicare and medicaid services (Attachment 2).

Proponents:

Dan Hawkins, Representative, 100th District, Kansas Legislature, appeared before the committee as a proponent for HB2591, and said our current KanCare 1115 waiver had a three-year demonstration period with two one-year options, and last session an extension to the 5-year waiver was requested from CMS, and this waiver extension will expire on December 31, 2018. He reported that the administration has been working on KanCare 2.0, and during this legislative session, the legislature was informed of the increased cost of Kancare 2.0, as well as many additions to the new waiver; therefore, a bill was introduced in the Senate and House to extend the waiver for one additional year at which time, it become clear a one-year extension and a new RFP in one year was not workable (Attachment 3).

Sean Gatewood, Care Administrator, KanCare Advocacy Network said he supports delaying KanCare 2.0 because trying to meet arbitrary deadlines without a well-developed plan that is adequately funded and staffed is a recipe for failure (Attachment 4).

Amanda Gress, Director, Government Relations, Kansas Action for Children supports the bill because the Legislature should confirm that KanCare's ongoing challenges are resolved before further administrative complexity is added to the program, because she said, KanCare currently faces well-documented problems regarding eligibility systems and processes. She said requiring legislative approval changes to eligibility requirements, can ensure the state addresses these issues before seeking to administer complex, burdensome, and costly new policies (Attachment 5).

Audrey Dunkel, Vice President Financial Advocacy, Kansas Hospital Association, supports delaying KanCare 2.0 because, in general, the Kansas Hospital Association believes there are still a number of underlying issues and concerns with the current KanCare program (Attachment 6).

Opponents:

Marc Reese, Director, State Government Affairs, Aetna Medicaid, testified that Aetna opposes HB2591 and asked the House Health and Human Services Committee reject the bill, because it unnecessarily stifles innovation in the Kansas Medical Assistance Program (KanCare) and prevents the state from exploring viable program improvement opportunities (Attachment 7).

Neutral:

Sarah Shipman, Secretary, Kansas Department of Administration, appeared as a neutral conferee and said she appreciates the assistance of the legislature in allowing for extensions and she requests consideration to the open records implications and the impact on procurements, especially in the current process where there is competition for the requested services (Attachment 8).

Jon Hamdorf, Director, Medicaid and Division of Health Care Finance, spoke neutrally and said that he feels this bill can be successfully implemented as written with the three-year continuation of the KanCare program as of January 1, 2018, and it will allow adequate time to work collaboratively with legislators and stakeholders for proper development (Attachment 9).

Proponent written:

The following submitted proponent written testimony:

Jim Ward, House Democratic Leader, Kansas Legislature (Attachment 10);

Rachelle Colombo, Director, Government Affairs, Kansas Medical Society (Attachment 11);

Rabbi Moti Rieber, Executive Director, Kansas Interfaith Action (Attachment 12).

Opponent written:

Opponent written testimony was submitted by:

Carol Steckel, Senior Director, Alliance Department, WellCare Health Plans (Attachment 13).

Neutral written:

Neutral written testimony was submitted by:

Mitzi McFatrich, Executive Director, Kansas Advocates for Better Care (Attachment 14).

After all aspects of delaying KanCare 2.0 authorized in HB2591 was discussed and all questions were answered, the Chairperson closed the hearing on HB2591.