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State Representative Kim Norton
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-9249
For more information contact: Matt Swenson 651-297-8406
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HOUSE PASSES BILL TO PROTECT HOSPITALS AND VULNERABLE THROUGH DEFICIT
ST. PAUL, MN - The Minnesota House of Representatives passed its Health and Human Services Omnibus Finance Bill (HF1362) today; legislation that contributes $400 million in cuts to resolving the state’s worst ever budget crisis. Through months of public testimony and careful work on the Health and Human Services Committee, the House crafted a meticulous piece of health care legislation that minimizes cuts to hospitals, protects health care for 113,000 working Minnesotans, provides coverage for an additional 50,000 uninsured children, maintains funding for nursing homes, and reduces cuts for mental health services and programs for people with disabilities. The bill passed Monday night by a vote of 85 to 49.
“There is so much at stake in this area of the budget," said Rep. Kim Norton (DFL - Rochester) who voted in favor of the bill and serves on the Health Care Policy Committee. “We are dealing directly with the health and well being of Minnesota’s most vulnerable citizens. With thoughtful, responsible policy and disciplined compassion, we have crafted a plan that meets the demands of a difficult budget situation without sacrificing critical access to quality health care for Minnesotans. In this budget environment, that was no easy task.”
Rep. Norton drew a strong distinction between the House health care plan and that proposed by Governor Tim Pawlenty. The governor’s plan would use the entire Health Care Access Fund, over $1 billion paid for by health care providers, to help balance the $6.4 billion budget shortfall. Such an action would eliminate health care coverage for an estimated 113,000 working Minnesotans. The House plan preserves the fund and adds 50,000 children to the rolls through targeted efficiencies and strategic use of federal recovery dollars.
Additionally, Rep. Norton points to the differences between the House and Governor Pawlenty on funding hospitals throughout the state. Potential budget cuts under Governor Tim Pawlenty’s Health Care proposal would eliminate $764 million in state funding for hospitals over the next two years. Those cuts would be devastating to hospitals and Minnesota communities - eliminating critical care options for patients, shedding thousands of jobs, and potentially forcing some Minnesota hospitals to close. Should the governor’s plan become law, Rochester area hospitals would stand to lose $28.2 million in state funding over the next two years, including:
• $1.1 million in cuts for Mayo Psychiatry and Psychology (5.0 percent of gross revenue)
• $19.4 million in cuts for St. Mary’s Hospital (3.0 percent of gross revenue)
• $6.4 million in cuts for Rochester Methodist Hospital (1.6 percent of gross revenue)
• $1.3 million in cuts for Olmsted Medical Center (1.1% of gross revenue)
“These hospitals employ nearly 11,500 people,” said Rep. Norton. “Our hospitals are already facing serious challenges brought on by the economic recession. Rochester’s economy depends on the quality health care provided by the nation-leading hospitals that call our community home. The loss of jobs that would result from these cuts and the impact on services, are simply unacceptable. We have to do better.”
Under the budget plan offered by House DFLers Minnesota hospitals would face significantly lower cuts totaling $76 million - $688 million less than what Governor Pawlenty has proposed. Should the House plan pass, losses to Rochester area hospitals would drop more than $25.5 million to just $3.4 million over the next two years. Specifically, Rochester hospitals would see the following cuts under the House proposal:
• $163 thousand in cuts for Mayo Psychiatry and Psychology ( 0.7 percent of gross revenue)
• $2.1 million in cuts for St. Mary’s Hospital (0.3 percent of gross revenue)
• $843 thousand in cuts for Rochester Methodist Hospital (0.2 percent of gross revenue)
• $265 thousand in cuts for Olmsted Medical Center (0.2 percent of gross revenue)
“The House budget proposal provides for a reasonable level of cuts that our hospitals can better endure through these difficult times,” said Norton. “When we talk about passing measures to raise new, progressive revenue, this is why we’re doing it - to protect our hospitals, save jobs, and prevent our most vulnerable citizens from bearing the brunt of balancing this deficit.”
Finally, a provision authored by Rep. Norton was included as an amendment during the House floor debate Monday requiring insurance companies to cover children with autism. Currently state law does not require insurers to cover services for autistic children in Minnesota. According to Norton this provision will not only help families of children with autism, it will save the state more than $1.8 million over the next two years, and even more in the next biennium.
“When insurers don’t cover the cost of critical, essential services for children with autism, Minnesota taxpayers pick up the tab,” said Norton. “But this is more than just an effort of efficiency; it is an issue of basic fairness and responsible health care policy. By passing this important measure we are ensuring every Minnesota child with autism receives the care and services they need to live a healthy, productive life. That’s something we can all be proud of.”
HF1362 must now be reconciled in conference committee with another version of the bill passed earlier today in the Minnesota Senate. The Senate bill (SF695) cuts approximately $600 million in funding for health care and human service programs. Rep. Norton encourages all residents of District 29B to contact her in the coming weeks with questions, concerns, and suggestions. The legislative session is scheduled to adjourn May 18, 2009.
News Items
- Rep. Norton Selected as Vice Chair of House Health and Human Services Finance Committee - (Posted: 2012-12-14 00:00:00)
- It’s Time for Legislature to Get Back to Basics, Balance the Budget Honestly - (Posted: 2012-12-11 00:00:00)
- Second Saturday Coffee Meeting Date Changed to December 9 - (Posted: 2012-12-03 00:00:00)
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