ASSEMBLY SEEKS TO IMPROVE DELIVERY OF HEALTH-CARE SERVICES

Presents "Health Care Reform Act 2000"

A comprehensive proposal addressing many of the health-care concerns of working families and the health-care industry was presented today by Assembly leaders at a Capitol news conference.

According to Assembly Speaker Sheldon Silver, the multi-faceted "Health Care Reform Act 2000" initiative would make health-care services more available, more affordable and more accessible.

"Access to affordable health-care services is a fundamental need among New Yorkers," said Silver. "Our effort will ensure that people living in communities throughout this state have access to quality health-care services."

The Assembly Health Care Reform Act 2000 seeks to protect local hospitals and clinics by increasing the indigent care pool for hospitals and clinics. Silver noted that all hospitals would receive some benefit from the increase, while additional funds would be targeted at struggling and rural hospitals.

In addition, the Assembly plan would keep New York a leader in medical education and bio-medical research, protect jobs for the next century and establish sound financing for the state's health-care system.

"In addition to providing essential services to our residents, the health-care industry provides necessary jobs throughout the state," said Silver. "Not only do these jobs need to be secured, but we also need to invest in emerging technologies, like biomedical research, that play a significant role in our state's economy -- generating more than $43 billion in economic activity statewide and employing more than 450,000 residents."

Assemblyman Richard Gottfried, chair of the Assembly Health Committee, stressed that the Assembly plan is necessary to ensure that reliable health services remain available in all parts of the state. "The Health Care Reform Act is designed to protect hospitals and other community-based providers that all New Yorkers depend on," he said.

Building on the success of the Child Health Plus program, the Assembly plan also calls for the establishment of the "Family Health Plus" program, which would provide affordable health insurance coverage for more than 300,000 adults in New York State.

"Our 'Family Health Plus' proposal would be the largest single expansion of coverage for the uninsured in a generation," said Gottfried.

Recognizing the significant role of the small-business community in New York, the Assembly proposal also triples funding for the state's small-business insurance program. This effort helps eligible employers purchase small group health insurance policies for their full-time employees and their dependents.

Another key component of the plan is the Assembly's ongoing effort to hold insurance companies accountable for their actions. Recent cases of failed health maintenance organizations (HMOs) and poor management and payment practices have resulted in severe hardships on hospitals, their employees and patients.

The Assembly plan seeks to establish a guaranty fund for unpaid claims, force insurers to improve their payment practices and reduce health-care decision-making by HMOs.

"This legislation would enhance health plan accountability in several significant ways," said Assembly Insurance Committee chair, Alexander "Pete" Grannis.

"First, we propose tough new penalties for health plans which routinely violate payment standards. Second, a guaranty fund would be established -- like those in effect to protect auto, life, homeowners' and workers' comp policyholders -- to ensure that claims are paid in the event of HMO insolvency. Finally, utilization review agents would be held to stricter standards in terms of claims, denials and accessibility," said Grannis.

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