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Minnesota Legislature

Office of the Revisor of Statutes

SF 3573

2nd Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

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

Current Version - 2nd Engrossment

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A bill for an act
relating to health; authorizing a computer-based model to assess the impact of
health care reform proposals; requiring a study of changes to state budgeting
approaches.

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

Section 1. new text beginGLOBAL MODELING OF HEALTH CARE REFORMS.
new text end

new text begin To the extent of available appropriations, the commissioner of health shall award
a grant to the University of Minnesota School of Public Health, health policy and
management division, to develop a model that will assess the impact of proposed health
care reforms or major health care-related legislation on all sectors of the health care
system, including access to the full range of health care, public health, public and private
health insurance coverage, long-term and continuing care, programs for persons with
disabilities, social services and other sectors related to Minnesotans' health. The model
must be made available to state agencies and the legislature. The model must be:
new text end

new text begin (1) developed with safeguards to make sure that the model and its assumptions and
formulas are based on valid and objective data, research, and expert opinions;
new text end

new text begin (2) designed to enable policy makers and state agencies to enter into the model and
study each component of health care reform, including access to all aspects of health care
services, health care homes, payment reforms, population-wide prevention, health status
of Minnesotans, and incidence of chronic disease;
new text end

new text begin (3) capable of assessing the interaction of different legislative and policy changes
to determine the net effect on costs, access, and health status within sectors of the health
care system, and the net overall impact across all sectors;
new text end

new text begin (4) designed to identify risks of unpredictable or unintended consequences, cost
shifting between or within sectors of the health care system, and opportunities to make
changes in one sector that will produce a benefit to other sectors; and
new text end

new text begin (5) capable of being adjusted based on both the proposed changes and the resulting
impact in the following areas:
new text end

new text begin (i) access to all aspects of health care services;
new text end

new text begin (ii) health status of Minnesotans, including the incidence of chronic disease, health
disparities, and risk factors such as obesity and smoking;
new text end

new text begin (iii) utilization of preventive care services such as screenings, immunizations, and
physical examinations; and
new text end

new text begin (iv) costs and cost distribution, including costs to individuals and families,
businesses, and government, including for total cost of health care, health-related services,
and social services.
new text end

Sec. 2. new text beginECONOMIC ANALYSIS OF HEALTH CARE REFORM PLANS.
new text end

new text begin (a) To the extent of available appropriations, the commissioner of health shall
award a grant to the University of Minnesota School of Public Health, health policy and
management division, to conduct a study and economic analysis of costs and benefits
of various health care reform proposals, including an analysis of the recommendations
of the Legislative Health Care Access Commission, the governor's transformation task
force, and a single statewide plan.
new text end

new text begin (b) The analysis of each proposal should measure the impact on total public and
private health care spending in Minnesota that would result from each proposal, including
whether there are savings or additional costs due to:
new text end

new text begin (1) increased or reduced insurance, billing, underwriting, marketing, and other
administrative functions;
new text end

new text begin (2) timely and appropriate use of medical care;
new text end

new text begin (3) market-driven or negotiated prices on medical services and products, including
pharmaceuticals;
new text end

new text begin (4) a shortage or excess capacity of medical facilities and equipment;
new text end

new text begin (5) increased utilization, better health outcomes, increased wellness due to
prevention, early intervention, and health-promoting activities;
new text end

new text begin (6) increases or decreases in administrative expenses and health care expenses
due to payment reforms;
new text end

new text begin (7) increases or decreases in administrative expenses and health care expenses due
to coordination of care;
new text end

new text begin (8) increases or decreases in up-front and long-term utilization due to access to
comprehensive medically necessary benefits, including dental care, mental health care,
prescription drugs, and other health care; and
new text end

new text begin (9) nonhealth care impacts on state and local expenditures such as reduced
out-of-home placement or crime costs due to mental health or chemical dependency
coverage.
new text end

new text begin (c) The study should also analyze for each proposal the number of Minnesotans
without access to health care, including those lacking access to certain types of medical
care, such as dental care, mental health care, and prescription drugs.
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