Legislative updates for Feb. 25, 2016

legislative-building

TennCare Opt Out program gains Senate support

NASHVILLE — The Tennessee Senate passed a resolution Monday sponsored by Sen. Mark Green, M.D., that encourages Governor Bill Haslam to seek an “appropriate waiver in order to implement the TennCare Opt Out program as a pilot program” based on consumer control and choice of healthcare spending within the Medicaid-eligible patient population.

The pilot program would enroll volunteer participants whose income qualifies them for temporary assistance for needy families (TANF) in the TennCare flexible savings account initiative.

Enrollees would receive an electronic benefits transfer (EBT) card funded by premiums paid by TennCare to purchase primary care services and medications on an annual basis. Electronic payment is made immediately to treating physicians, which reduces administrative costs and encourages provider participation. Patients in the demonstration program with funds remaining in the health savings account at the year’s end keep those dollars as a reward for their healthier choices that have maintained wellness and their effective budgeting of spending.

“The TennCare Opt Out pilot will align the goals of patients, providers and taxpayers who know the best way to reduce the cost of something is by putting the consumer in charge,” concluded Senator Green, a practicing physician who serves as Vice Chairman of the Senate Commerce and Labor Committee.

In 2011 a study done on similar programs found a decrease in the consumption of healthcare by 11 percent.

Education issues highlighted for Capitol Hill Week

Education moved front and center last week as the Focus on College and University Success (FOCUS) Act passed its first legislative test with approval by the Senate Government Operations Committee Wednesday.

The Government Operations Committee also joined the Senate Education Committee to hear testimony regarding a widespread network failure in Tennessee’s new online TNReady test.

The FOCUS Act, sponsored by Senate Majority Leader Mark Norris (R-Collierville) and which is part of Governor Bill Haslam’s legislative priorities, includes:

  • A sharpened focus by Tennessee Board of Regents (TBR) on the state’s 13 community and 27 technical colleges;
  • Creation of local boards for Austin Peay State University, East Tennessee State University, Middle Tennessee State University, Tennessee State University, Tennessee Technological University and the University of Memphis;
  • An enhanced role of Tennessee Higher Education Commission (THEC) to provide greater coordination across the state, to include capital project management, institutional mission approval and higher education finance strategy; and,
  • Creation of a transition task force consisting of higher education, business and community leaders from around the state that will serve as the administrative and advisory body throughout the transition.

“The purpose of the FOCUS Act is to ensure that colleges and universities are better organized, supported and empowered in efforts to increase the number of Tennesseans with a postsecondary credential to 55 percent by 2025,” Norris said.

TBR would continue to provide key administrative support to the six state universities under the plan. The Tennessee Higher Education Commission would assume an enhanced coordinating role in higher education, ensuring progress on a cohesive, statewide master plan; maintaining academic program quality; and formulating a strategic finance plan for state higher education.

Senate Bill 2569 now moves to the Senate Education Committee for consideration.

In K-12 education, the Senate Government Operations and Education Committees heard testimony from Commissioner of Education Candice McQueen regarding the failure of the state’s vendor, Measurement Inc., to support statewide testing of Tennessee’s new online TNReady Test. Lawmakers have heard from many parents and teachers who were upset about the failure of the test to launch after months of work went into preparing students for online testing.

“The vendor experienced a failure we have not seen before during any of our stress tests or work to date,” McQueen said.

The Department of Education ordered that school districts will now take the paper and pencil version of the TNReady test. McQueen said the vendor has been working with the department to get the test printed and delivered to school districts across the state. School districts can then choose a 10-day testing period between Feb. 22 and March 18 for the exam.

Those 20,000 students who completed part I of the English and language arts, math or social studies test before the online system experienced outages will not need to retake it. The state will not be responsible for the extra costs for the paper tests.

McQueen also announced that Haslam is seeking additional flexibility for teachers as the state continues its transition to the TNReady student assessment. Under the proposal, teachers would have the choice to include or not include student results from the 2015-2016 TNReady assessment in their evaluation scores.

Legislation urges AG to sue over refugee program

Legislation urging Tennessee’s Attorney General to commence legal action in response to the federal government forcing Tennessee to spend state dollars for the Refugee Resettlement Program was approved by the Senate Finance Committee last week.

Senate Joint Resolution 467, which is sponsored by Lt. Governor Ron Ramsey and Senate Majority Leader Mark Norris (R-Collierville), addresses a program in which Tennessee no longer participates.

Reports indicate that Tennessee will likely receive some of the Syrian refugees for resettlement under President Obama’s admissions plans.

In 2007, Governor Phil Bredesen withdrew the state from the program. The federal government then selected a non-governmental volunteer organization to resettle refugees in Tennessee. The resolution aims to clarify the expenditure of state money on the program and other state-operated social service programs.

The federal government fully funded the program when it began, but now the state must bear some of the costs. If the state refuses to pay the portion for refugees, the federal government would withhold the remainder of funds that Tennessee receives. The resolution maintains that this coercion by the federal government violates both the United States and Tennessee constitutions.