Vermont 2010 Legislative Wrap-Up

American Cancer Society Legislative Wrap-up 2010

Access to Health Care – Health Care Reform

Catamount Health Plan

As part of a host of cost saving measures to close the gap in the FY 2011 budget, three changes were made to the Catamount Health plan.  While still a significant cost shift to consumers, these changes are fairly minor compared to what was originally proposed in the Governor’s budget.

• Prescription co-payments for preferred drugs increase to $35 from $30 and to $55 from $50 for non-preferred drugs.  The generic drug co-payment stays the same at $10.
• Office co-pays will not be increased
• Catamount Health’s annual deductible will increase from $250 to $500 in network and from $500 to $1000 out of network.
• The annual in network out of pocket maximum increases from $800 to $1050 and from $1500 to $2100 for out of network

Health Care Financing & Universal Access to Health Care in Vermont, S.88

• Provides funding for a consultant to design three options for providing universal health care in Vermont. One of the designs must be a single-payer plan financed by government, and another must include a government-run insurance option. Many believe that Harvard professor Dr. William Hsiao, who is credited with designing Taiwan’s recently established universal health care system, will be retained by the legislature to design the three options. The designs and implementation plans are due to lawmakers at the beginning of the next session which begins in January 2011.
• Statewide expansion of the Blueprint for Health -- an initiative to refocus medical care on prevention and chronic-care management to help patients avoid, as much as possible, the expensive and debilitating consequences of chronic illnesses

S.88  is now with the Governor and he has indicated that he may veto it because of the drug sample disclosure provisions and the health care design study. If the Governor vetoes S.88, legislators will be back for a veto override session on June 9th.

Prevention -- Tobacco Control

• Tobacco Control Program funding:  the tobacco control program was reduced by $300,000 for a total program funding level of approximately $4.5 million.  Though it is a cut we advocated to prevent, we can consider this a victory given the economic climate and the fact that the Governor proposed a much larger cut of $1.5 million.
• Tobacco Cessation Coverage was increased – but more work needs to be done: we decided not to actively support a cessation bill that was introduced at the beginning of the session (H.736), choosing instead to continue to work with insurers to improve coverage as opposed to mandating this action, we did weigh in on the issue ultimately in the last weeks of the session as cessation language was included in a broader healthcare reform bill ( S.88).   We worked to eliminate possible barriers in the bill and expressed concern over a prescription requirement we thought might adversely affect coverage of over-the-counter NRT.  Though we feel more work needs to be done to remove barriers to cessation coverage in Vermont, the final language increases cessation coverage by requiring insurers to cover the cost of a three-month supply of tobacco cessation medication per year if prescribed by a physician. 
• Increased taxes on Other Tobacco Products: lawmakers made a few changes in the way other tobacco products are taxed that will help to prevent kids from purchasing these products.  The final version of the Miscellaneous Tax Bill included the following (effective July 1, 2010):

(1)    Change in the rate of tax on Roll-Your-Own: are now taxed at 0.0325 oz which is equivalent to one cigarette for tax purposes.  This is a positive change because it more accurately reflects the amount of tobacco in a RYO cigarette and equalizes the tax, making RYO less attractive to kids.

(2)    Raised the tax on “snuff” (which is defined as the tins of chewing tobacco) and “new smokeless tobacco” (which includes snus and the new tobacco-candy products) to the equivalent of a pack of cigarettes.  The tax goes up from $1.66 to $1.87 per ounce (standard tin is 1.2 oz.) --  or, if it’s packaged for sale to consumers in a pack that weighs less than 1.2 oz., the tax is $2.24 per package.  Another positive change to deter kids from buying these products.

(3)    Added a new definition of “cigar” and changed the tax on large cigars.  As of July 1, cigars will be taxed at $2 per cigar for cigars whose wholesale price is between $1.08 and $10; and $4 per cigar for cigars whose wholesale price is $10 or more.  

Prevention – Nutrition

Nutritional Labeling: ACS supported efforts this session to provide consumers with the nutritional information they need to make informed decisions when they are eating out.  We supported legislation requiring chain restaurants of 20 or more to provide caloric information on their menu boards and menus. The science linking excess weight, physical inactivity and poor nutrition to cancer is now well established, one-third of all cancer deaths are attributable to poor diet, physical inactivity, overweight and obesity. Fostering healthy behaviors to prevent obesity and maintain a healthy weight may be among the most critical actions we can take to promote wellness and reduce the burden of cancer.  The menu labeling provision was included in the Health Care bill S.88 and if signed by the Governor will go into affect January 1, 2011.

Early Detection – Breast Cancer

The Ladies First Program did not face budget cuts this fiscal year.  ACS continues our effort to raise awareness around the importance of sustaining a safety net program for Vermont women. 

Other Public Health Legislation

Volunteer Drivers: are an essential part of Vermont’s care system and they provide rides for hundreds of Vermonters each year, particularly in the most rural parts of the state.  ACS’s Road to Recovery Program depends upon volunteer drivers to donate their time to drive patients to and from treatment using their personal vehicle.  Since the Road to Recovery Program began we have provided over 600 cancer patients with rides, representing 4600 life-saving roundtrip rides to and from treatment. This session, ACS supported legislation to make sure volunteer drivers are not treated unfairly by auto insurance companies. 

THANK YOU to all of the ACS volunteers and advocates who kept the pressure on our political leaders to make sure that cancer patients and their families do not suffer more in these difficult economic times.