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Minnesota Legislature

Office of the Revisor of Statutes

SF 2128

as introduced - 91st Legislature (2019 - 2020) Posted on 03/27/2019 09:13am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - as introduced

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A bill for an act
relating to health; conducting an analysis of the benefits and costs of a universal
health care system to assist the legislature in comparing it to the current health
care financing system; requiring a report; appropriating money.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text beginBENEFIT AND COST ANALYSIS OF A UNIVERSAL HEALTH
REFORM PROPOSAL.
new text end

new text begin Subdivision 1. new text end

new text begin Contract for analysis of proposal. new text end

new text begin The commissioner of health shall
contract with the University of Minnesota School of Public Health and the Carlson School
of Management to conduct an analysis of the benefits and costs of a legislative proposal for
a universal health care financing system and a similar analysis of the current health care
financing system to assist the state in comparing the proposal to the current system.
new text end

new text begin Subd. 2. new text end

new text begin Proposal. new text end

new text begin The commissioner of health, with input from the commissioners of
human services and commerce, shall submit to the University of Minnesota for analysis a
legislative proposal known as the Minnesota Health Plan that would offer a universal health
care plan designed to meet the following principles:
new text end

new text begin (1) ensure all Minnesotans are covered;
new text end

new text begin (2) cover all necessary care, including dental, vision and hearing, mental health, chemical
dependency treatment, prescription drugs, medical equipment and supplies, long-term care,
and home care; and
new text end

new text begin (3) allow patients to choose their doctors, hospitals, and other providers.
new text end

new text begin Subd. 3. new text end

new text begin Proposal analysis. new text end

new text begin (a) The analysis must measure the performance of both the
Minnesota Health Plan and the current health care financing system over a ten-year period
to contrast the impact on:
new text end

new text begin (1) the number of people covered versus the number of people who continue to lack
access to health care because of financial or other barriers, if any;
new text end

new text begin (2) the completeness of the coverage and the number of people lacking coverage for
dental, long-term care, medical equipment or supplies, vision and hearing, or other health
services that are not covered, if any;
new text end

new text begin (3) the adequacy of the coverage, the level of underinsured in the state, and whether
people with coverage can afford the care they need or whether cost prevents them from
accessing care;
new text end

new text begin (4) the timeliness and appropriateness of the care received and whether people turn to
inappropriate care such as emergency rooms because of a lack of proper care in accordance
with clinical guidelines; and
new text end

new text begin (5) total public and private health care spending in Minnesota under the current system
versus under the legislative proposal, including all spending by individuals, businesses, and
government. "Total public and private health care spending" means spending on all medical
care including but not limited to dental, vision and hearing, mental health, chemical
dependency treatment, prescription drugs, medical equipment and supplies, long-term care,
and home care, whether paid through premiums, co-pays and deductibles, other out-of-pocket
payments, or other funding from government, employers, or other sources. Total public and
private health care spending also includes the costs associated with administering, delivering,
and paying for the care. The costs of administering, delivering, and paying for the care
includes all expenses by insurers, providers, employers, individuals, and government to
select, negotiate, purchase, and administer insurance and care including but not limited to
coverage for health care, dental, long-term care, prescription drugs, medical expense portions
of workers compensation and automobile insurance, and the cost of administering and
paying for all health care products and services that are not covered by insurance. The
analysis of total health care spending shall examine whether there are savings or additional
costs under the legislative proposal compared to the existing system due to:
new text end

new text begin (i) reduced insurance, billing, underwriting, marketing, evaluation, and other
administrative functions including savings from global budgeting for hospitals and
institutional care instead of billing for individual services provided;
new text end

new text begin (ii) reduced prices on medical services and products including pharmaceuticals due to
price negotiations, if applicable under the proposal;
new text end

new text begin (iii) the extent possible given available data and resources, shortages or excess capacity
of medical facilities and equipment under either the current system or the proposal;
new text end

new text begin (iv) changes in utilization, better health outcomes, and reduced time away from work
due to prevention, early intervention, and health-promoting activities; and
new text end

new text begin (v) the extent possible given available data and resources, the impact on state, local, and
federal government non-health-care expenditures such as reduced crime and out-of-home
placement costs due to mental health or chemical dependency coverage.
new text end

new text begin (b) To the extent possible given available data and resources, the analysis must also
estimate for the proposal job losses or gains in health care delivery, health billing and
insurance administration, and elsewhere in the economy due to implementation of the
reforms and the resulting reduction of insurance and administrative burdens on businesses.
new text end

new text begin (c) The analysts may consult with authors of the legislative proposal to gain understanding
or clarification of the specifics of the proposal. The analysis shall assume that the provisions
in the proposal are not preempted by federal law or that the federal government gives a
waiver to the preemptions.
new text end

new text begin (d) The commissioner shall issue a final report by January 15, 2021, and may provide
interim reports and status updates to the governor and the chairs and ranking minority
members of the legislative committees with jurisdiction over health and human services
policy and finance.
new text end

Sec. 2. new text beginAPPROPRIATION.
new text end

new text begin $500,000 in fiscal year 2020 is appropriated from the general fund to the commissioner
of health to contract with the University of Minnesota to conduct an economic analysis of
benefits and costs of the health care system proposal specified in section 1.
new text end

Sec. 3. new text beginEFFECTIVE DATE.
new text end

new text begin Sections 1 and 2 are effective the day following final enactment.
new text end