Legislature(2023 - 2024)ADAMS 519

04/20/2023 01:30 PM House FINANCE

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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 58 ADULT HOME CARE; MED ASSISTANCE TELECONFERENCED
Heard & Held
-- Public Testimony --
+= HB 59 MEDICAID ELIGIBILITY: POSTPARTUM MOTHERS TELECONFERENCED
Heard & Held
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
HOUSE BILL NO. 59                                                                                                             
                                                                                                                                
     "An  Act relating  to  Medicaid eligibility;  expanding                                                                    
     eligibility  for postpartum  mothers; conditioning  the                                                                    
     expansion  of eligibility  on  approval  by the  United                                                                    
     States  Department of  Health and  Human Services;  and                                                                    
     providing for an effective date."                                                                                          
                                                                                                                                
1:50:46 PM                                                                                                                    
                                                                                                                                
Co-Chair   Foster  requested   a   brief   summary  of   the                                                                    
legislation and a review of the fiscal notes.                                                                                   
                                                                                                                                
EMILY  RICCI,  DEPUTY  COMMISSIONER, DEPARTMENT  OF  HEALTH,                                                                    
explained  that the  bill would  extend postpartum  coverage                                                                    
from  60  days to  12  months.  The department  provided  an                                                                    
overview and presentation  of the bill to  the committee the                                                                    
previous week.  She reviewed the  fiscal note  OMB component                                                                    
number 3234, control  code IgvwY. The fiscal  note was based                                                                    
on  an  FY  25  starting   date,  which  would  provide  the                                                                    
Department  of Health  (DOH) sufficient  time  to enact  the                                                                    
regulatory   and  federal   state  plan   amendment  changes                                                                    
necessary to extend coverage from  60 days to 12 months. She                                                                    
remarked that  the department  would do  the work  faster if                                                                    
possible. The total estimated funds  were around $9 million,                                                                    
which  included anticipated  claims costs  contained on  the                                                                    
Medicaid  Services line  with a  combined funding  source of                                                                    
$6.4 million  in federal  receipts and  $2.6 million  in UGF                                                                    
annually. She added the costs  could change depending on the                                                                    
actual  experience incurred  by  individuals  over the  next                                                                    
year   to   five   years.  The   funding   ratio   reflected                                                                    
approximately  28 percent  UGF match  to 72  percent federal                                                                    
receipt authority. There were  no positions requested in the                                                                    
fiscal note.                                                                                                                    
                                                                                                                                
Ms.  Ricci reviewed  an analysis  of  underlying the  claims                                                                    
assumptions created  by DOH. She  relayed that  the Division                                                                    
of Health Care Services looked  back at 2018 through 2020 to                                                                    
identify the  number of women who  had a gap in  coverage or                                                                    
lost coverage between  the 60-day mark and  the proposed 12-                                                                    
month  period.  There  were  a  total  of  just  over  3,600                                                                    
beneficiaries  who lost  or experienced  a  gap in  coverage                                                                    
during the time  period. She detailed that  just under 1,600                                                                    
of  the  total lost  coverage  completely  after the  60-day                                                                    
period and did not reenroll  in the Medicaid program through                                                                    
another  eligibility   category.  She  explained   that  the                                                                    
individuals   may   have   had  other   coverage,   remained                                                                    
uninsured,  or  could  have   participated  in  the  federal                                                                    
exchange.  About 2,000  of the  total experienced  a gap  in                                                                    
coverage between the 60-day period  and 12-month period. She                                                                    
elaborated that  perhaps individuals were  disenrolled after                                                                    
that 60-day  period but were reenrolled  in another Medicaid                                                                    
eligibility  category two  to  five  months later  (sometime                                                                    
between the 60 days and 12 months).                                                                                             
                                                                                                                                
Ms. Ricci  continued to explain  the methodology  behind the                                                                    
numbers in  the fiscal  note. The  department looked  at the                                                                    
number of beneficiaries  who had lost coverage or  had a gap                                                                    
in coverage  and had calculated  what the  estimated monthly                                                                    
cost would be  without a gap or  discontinuation of coverage                                                                    
for individuals during the time  period [between 60 days and                                                                    
12  months]. The  cost was  calculated  to be  approximately                                                                    
$566 per beneficiary per month.  The department then applied                                                                    
the  different   federal  match  that  would   be  available                                                                    
depending on the category of  eligibility the individual may                                                                    
be  covered under.  For example,  the typical  match was  50                                                                    
percent  federal/50 percent  state;  however, tribal  health                                                                    
members  or  beneficiaries   received  100  percent  federal                                                                    
match. Based  on the information, the  division estimated $9                                                                    
million in  additional claims with approximately  28 percent                                                                    
state match to 78 percent federal match.                                                                                        
                                                                                                                                
1:55:51 PM                                                                                                                    
                                                                                                                                
Representative  Josephson considered  a  scenario where  the                                                                    
program  coverage time  could be  extended more  rapidly. He                                                                    
used a January 15 [2024] start  date as an example. He asked                                                                    
if   the  department   would  bring   it  online   and  seek                                                                    
supplemental  funding.  He  communicated  eagerness  to  get                                                                    
going.                                                                                                                          
                                                                                                                                
Ms. Ricci answered  that the department did  not ever intend                                                                    
to seek to  ask for supplemental funding; DOH  tried to make                                                                    
sure  its  budget  aligned with  its  estimated  costs.  She                                                                    
believed in the  event the department was able  to bring the                                                                    
extended coverage  online earlier,  DOH would work  with its                                                                    
team managing  federal receipt  authority and  general funds                                                                    
to  ensure  the  additional  costs  could  be  covered.  She                                                                    
highlighted the  importance of  estimating claims  costs and                                                                    
building them  into the  foundational budget  when extending                                                                    
coverage long-term.                                                                                                             
                                                                                                                                
Representative  Josephson stated  that the  presentation had                                                                    
made  a real  impression  on the  committee,  which was  the                                                                    
reason for his question.                                                                                                        
                                                                                                                                
Representative Galvin  requested follow up  information from                                                                    
the    department   depicting    the   timeline    for   the                                                                    
implementation process. She offered to help in any way.                                                                         
                                                                                                                                
1:58:01 PM                                                                                                                    
                                                                                                                                
Co-Chair Foster OPENED public testimony.                                                                                        
                                                                                                                                
BROOKE  IVY, VICE  PRESIDENT,  POLICY  AND ADVOCACY,  ALASKA                                                                    
CHILDREN'S  TRUST  (ACT),  ANCHORAGE  (via  teleconference),                                                                    
relayed  that  ACT was  the  statewide  lead agency  on  the                                                                    
prevention of child abuse and  neglect in Alaska. The agency                                                                    
fully supported extending postpartum  coverage to 12 months.                                                                    
She stated  it was a  perfect example of  primary prevention                                                                    
and  it  could  not  align  more  with  ACT's  mission.  She                                                                    
elaborated that  extending the coverage would  give new moms                                                                    
more time to deal with  any post-birth health issues such as                                                                    
postpartum depression,  which often did not  occur until six                                                                    
months or  more after a  baby was  born. She stated  that 41                                                                    
percent  of  the  child  abuse   cases  in  Alaska  involved                                                                    
children  from birth  to four  years of  age, with  children                                                                    
from  birth   to  one  as   the  highest   risk.  Postpartum                                                                    
depression  was   associated  with  an  array   of  negative                                                                    
outcomes   including  decreased   child  safety   practices,                                                                    
decreased  child checkups,  and  bonding difficulty  between                                                                    
mother and  child. The bill would  reduce maternal mortality                                                                    
rates and  would protect  new parents  from medical  debt in                                                                    
the  first year  of  their child's  life.  She relayed  that                                                                    
                 th                                                                                                             
Alaska ranked  44  in the  nation in health. The  agency was                                                                    
excited to see Alaska join over  35 other states to make the                                                                    
extension  permanent.   She  urged  swift  passage   of  the                                                                    
legislation.                                                                                                                    
                                                                                                                                
Co-Chair  Foster stated  the committee  would return  to Ms.                                                                    
Ivy after the next testifier.                                                                                                   
                                                                                                                                
Co-Chair Foster  noted that Representative Ortiz  had joined                                                                    
the meeting.                                                                                                                    
                                                                                                                                
2:00:56 PM                                                                                                                    
                                                                                                                                
JAMIE MORGAN,  GOVERNMENT RELATIONS REGIONAL  LEAD, AMERICAN                                                                    
HEART   ASSOCIATION  (AHA),   SACRAMENTO,  CALIFORNIA   (via                                                                    
teleconference), testified in favor  of the legislation. She                                                                    
relayed that maternal mortality  rates had more than doubled                                                                    
in  the  United  States.  She  detailed  that  instances  in                                                                    
maternal  morbidity  had  lasting  health  consequences  and                                                                    
resulted in  avoidable medical  expenses. She  stated action                                                                    
was  needed  to  improve  health outcomes  for  mothers  and                                                                    
babies. The  AHA recently released a  policy statement call-                                                                    
to-action  on  maternal  health   and  saving  mothers.  The                                                                    
statement  set  a  new  policy   agenda  to  ensure  healthy                                                                    
pregnancies, healthy  births, and healthy moms.  She relayed                                                                    
that  extending  postpartum  Medicaid  coverage  was  a  key                                                                    
recommendation.  The bill  would ensure  parents would  have                                                                    
access to care  during pregnancy and in the  first full year                                                                    
after  birth, providing  parents and  their babies  the best                                                                    
possible start. The agency supported  the bill and urged the                                                                    
committee's support.                                                                                                            
                                                                                                                                
2:02:51 PM                                                                                                                    
                                                                                                                                
Ms. Ivy  continued her previous testimony.  She relayed that                                                                    
postpartum  depression  was  associated  with  an  array  of                                                                    
negative outcomes  and the resulting bonding  difficulty was                                                                    
a  primary  predictor  of child  abuse.  The  agency  looked                                                                    
forward  to seeing  Alaska join  more than  35 other  states                                                                    
that had made the  postpartum extension permanent. She urged                                                                    
swift passage  of the  bill due  to the  long implementation                                                                    
timeline.  She thanked  the governor  for bringing  the bill                                                                    
forward, the Senate for passing the bill to the House, and                                                                      
the committee for providing the opportunity to testify.                                                                         
                                                                                                                                
Co-Chair Foster CLOSED public testimony. He reviewed the                                                                        
email address for public testimony.                                                                                             
                                                                                                                                
HB 59 was HEARD and HELD in committee for further                                                                               
consideration.                                                                                                                  
                                                                                                                                
Co-Chair Foster relayed the committee would await the                                                                           
Senate bills the following week. He reviewed the schedule                                                                       
for the following day.                                                                                                          
                                                                                                                                

Document Name Date/Time Subjects
HB 59 Public Testimony Rec'd by 4-17-23.pdf HFIN 4/20/2023 1:30:00 PM
HB 59
HB 59 HFIN Response questions 041823.pdf HFIN 4/20/2023 1:30:00 PM
HB 59