AARP Utah 2007 Legislative Outcomes
By: Source: AARP.org Date Posted: 2007-03-22 13:52:00-05:00
AARP Utah had success with Medicaid issues in the 2007 session but still have a tough fight ahead on consumer issues, particularly concerning payday lending. The media has covered the abuses associated with this type of loan very well, so we did make progress in raising awareness and hope that we see private and public solutions ahead. Specifically, here's how the key legislation that we worked on fared this year.
Bills AARP Utah Supported that Passed
By far the biggest victory of the session for AARP was the creation of a preferred drug list (PDL) in Medicaid, which will save the state several million dollars with just six drug classes on the initial PDL. SB 42 gave the Department of Health the authority to create a list based on evidence-based research with a "dispense as written" provision that allows a doctor to override the list for drugs he or she feels are medically necessary. AARP will still work to expand the number of drug classes on the list and require "prior approval" for deviation from the list, a standard that does not compromise patient care but ensures more savings from the PDL. SB 42 was sponsored by Senator Allen Christensen.
The Utah Commission on Aging was extended by another two years by another bill sponsored by Sen. Allen Christensen. AARP Utah is a member of the Commission, which brings leaders in the aging community together from private and public entities to formulate policy around health care, long-term care, transportation, financial protection, and other issues affecting the quality of life for Utah's burgeoning older population. The Commission will now be in housed in the Center on Aging with the University of Utah, moving from the Department of Human Services. We hope to work with the Commission to advance the goals of Divided We Fail and make health care reform and financial security major issues in the 2008 election.
Another measure to find savings in Medicaid was HB 242, the Medicaid False Claims Act Amendments sponsored by Rep. Brad Last. This bill passed the legislature and will give the Attorney General's office much more ability to investigate and prosecute Medicaid fraud, generally committed by providers over-billing the system or billing for services not delivered. This will not only help Medicaid patients receive more appropriate care through this oversight but will save the program significant amounts of money that can be used toward services.
Bills AARP Utah Opposed that were Defeated
Rep. Brad Last also sponsored bill, HB 338, that would have raised the burden of proof on a patient injured in an emergency room from "preponderance of evidence" to "clear and convincing evidence," a standard that is very difficult to prove. The motivation for the bill was to provide an incentive for more doctors to work in the ER if they received partial immunity from liability. AARP strongly believes any medical malpractice reform should focus on protecting the patient and ensuring that the process if fair: raising the burden of proof does neither. The bill passed the House but never came to a vote in the Senate. This bill comes up repeatedly in the legislature, and we will continue to oppose it so that patients maintain fair access to redress for medical malpractice claims.
Another bill that AARP Utah opposed would have undercut the ability the state to prosecute securities fraud. Sponsored by Rep. Bird, HB 153 would have required the Advisory Board for the Division of Securities to screen cases and participate in hearings before enforcement actions could be taken by the Department. This would create an impossible burden on the Board and stymie the ability of Division staff to prosecute fraud. AARP Utah is a member of the Advisory Board, which only meets quarterly for an hour and therefore would not have the time or background required to screen cases for prosecution. The bill was not voted upon in the Senate so died on the last day of the session.
Bills AARP Utah Supported that Failed
Rep. Lou Shurtliff sponsored HB 329, a bill that addressed the most abusive aspects of payday lending by limiting the number of loans that could be made to a person at a single outlet, capping the loan amount, and prohibiting unconscionable practices. It did not include an interest rate cap or a ban on multiple loans from multiple outlets. It failed to get out of committee. Currently, Utah has no usury law and so loans in excess of 1000% APR are legal. SB 16, a bill sponsored by Sen. Ed Mayne, did pass, and will allow the Department of Financial Institutions to fine payday lenders for failure to register and other violations.
Legislation supported by AARP Utah and the Utah Retired School Employees Association (URSEA) a member of the NRTA also failed again this year. HB 12, a bill sponsored by Rep. Lou Shurtliff to help decrease the inequity in the retirement benefit paid to teachers with service before 1975 did not progress. The bill would have helped narrow the gap between the 1.25% of the average salary some teachers receive and the 2% benefit of this amount other teachers receive who retired later, even though the retirement fund was created by teachers with earlier years of service with the expectation that their benefits would grow as the fund grew. Even though the UTA agreed to pay most of this benefit out of their own funds, the bill failed to reach the Senate for a vote. URSEA has tried to pass this bill for nearly two decades.
Other Bills of Interest that Passed
AARP Utah provided support to bills that would help address ID theft. These bills included legislation that will give the Attorney General's office more funding to support its ID theft website, a bill that will require the removal of Social Security numbers from death certificates, and legislation that will require the Department of Workforce Services to alert people if their Social Security numbers were being used by others. All of these bills passed unanimously.
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