FEINGOLD, GRAHAM INTRODUCE STATE-BASED HEALTH CARE APPROACH Bipartisan Legislation Would Help States Expand Health Care Coverage to the Uninsured April 25, 2007 WASHINGTON D.C. – U.S. Senators Russ Feingold (D-WI) and Lindsey Graham (R-SC) want states to be the ‘proving grounds’ for the best method to cover the millions of Americans who currently lack health insurance. The State-Based Health Care Reform Act would launch pilot programs in several states to achieve coverage in the best way they see fit. States could use health savings accounts, single payer systems, expansion of current programs, or adopt completely new ideas in their efforts to cover the uninsured. States will only have to meet minimum baseline requirements. The bill is designed to break the political stalemate in Congress over health care reform through a state-based approach. “Our legislation provides the states flexibility to best extend health care coverage to all their residents. By helping states to try different approaches, we can figure out the best way to ensure all Americans receive the health care they need,” said Feingold and Graham. Among the key features of the legislation: Participating states would not be required to adopt a certain prescribed program. States would be given maximum flexibility to achieve coverage and must meet only certain basic standards. The pilot program would last for five years and is funded through a grant application program overseen by a Health Care Coverage Task Force. The Task Force would evaluate state applications, select projects for Congressional approval, oversee implementation and review progress. The Task Force would be authorized to select as many states as can be funded. They would make recommendations to Congress at the end of the grant period on which programs should be enacted into law. Congress would then take up the recommendations through an expedited procedure. The multi-state pilot program could cost up to $40 billion over ten years and is fully paid for through offsets. Feingold and Graham worked with representatives from the Heritage Foundation and Brookings Institution in drafting the innovative legislation. “The problem of the uninsured is growing in the United States,” said Graham. “It’s time for the federal government to unleash a competition of ideas over how to solve the problem. I believe the private sector model will offer the best approach in the long-run. Senator Feingold and others may have different ideas. Under our legislation, they will all compete head-to-head in the effort to cover uninsured Americans and we will be able to measure the results to see what works and what doesn’t.” “In my 14 years of holding listening sessions across Wisconsin, people have mentioned health care more than any other issue,” Feingold said. “With an American-style approach to reform, that gives flexibility to the states and fuels innovation, real health care reform is within reach. I support guaranteed health care coverage for all Americans and this bill moves us toward that goal.” ### Feingold-Graham State-Based Health Care Reform Act Fact Sheet Overview The bill is designed to provide more uninsured Americans with health care coverage. The legislation seeks to accomplish this goal by establishing a pilot grant program to enable states or localities to propose and administer health insurance expansion projects. These state-based reforms will provide the country with the evidence and experience necessary to address nationwide health care reform. Pilot Project This bill will provide grants for states to participate in a five-year pilot project. States with approved proposals will be required to provide some matching funds. States are expected to provide some limited financial protections for low-income individuals, meet a baseline of coverage, and expand coverage within the five-year period. States are also expected to improve the efficiency of health care spending and lower administrative health care costs. Health Care Coverage Task Force The legislation creates a Health Care Coverage Task Force. The Task Force will approve grant proposals, oversee the implementation of the demonstration projects, and review the progress toward achieving established goals. The Task Force will be comprised of both political and non-political appointees. The Secretary of the Department of Health and Human Services will be responsible for housing the Task Force and will be a member as well. Congressional Approval Because the states can propose amendments to federal law, the proposals will need to be passed by Congress. In order to hasten passage, the state plans will be sent from the Task Force en bloc and under expedited procedure. No amendments to the plans will be allowed. Once the plans are passed by Congress, the states will receive the authority and funding needed to implement their plans for reform. Meaningful Health Care Coverage Participating states will be required to submit an annual report to the Task Force detailing their progress. The Task Force will then be responsible for submitting an evaluation of all demonstration projects to Congress at the end of the five-year period. The Task Force will provide recommendations for further reform based on the states’ experiences, and the bill will require congressional debate of these recommendations and findings. This will help ensure that meaningful reform for the entire country will be considered by Congress. Video of Senators Feingold and Graham introducing the legislation Download: Quicktime | Windows Media | Flash

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