Health insurance premium assistance bill heads to House Floor

It took 15 minutes for the power to go out Wednesday night on the House Ways and Means Committee as legislators prepared to hear the Republican proposal aimed at reducing spiking insurance premium costs. But it only took a few short minutes afterward for sparks to fly in a debate over how to carry out help for some 125,000 Minnesotans.

Following a two-hour discussion that included a power outage and passionate discourse from both sides of the aisle, HF1 was approved on a split voice vote. It is being sent to the House Floor.

“It’s been an unusual evening,” said Rep. Joe Hoppe (R-Chaska), the bill’s sponsor. “The power went out, we’ve had a spirited discussion… but it’s an unusual circumstance.”

Under the proposal, Minnesota Management and Budget would establish and administer an application system for nearly all residents seeking relief. The state would dole out $300 million to qualifying residents, plus an additional $15 million to insurance providers for patients with certain illnesses.

The bill would also allow for-profit health maintenance organizations to enter Minnesota’s individual marketplace, a provision many DFLers scoffed at. They were unsuccessful in gutting the Republican plan via amendments and replacing it with Gov. Mark Dayton’s proposal.

“I wish you could have seen it, the frustration, and really the depth of questions that our members had about the provisions inside House File 1, and understand why they’re there and what they mean, because they have been moving so quickly through the process,” said Rep. Erin Murphy (DFL-St. Paul). “I want to be like Charlie Brown and I want to kick the football and believe I’m going to hit it and believe it’s going to go someplace. But I am doubtful about where we’re headed, despite the good intentions of the author of the bill.”

After the Republicans unveiled their plan last week, House Speaker Kurt Daudt (R-Crown) said lawmakers would “move very quickly” on the legislative package and send it to the Senate, which is working on its own premium relief package.

The bill’s companion, SF1, received its second reading Wednesday. Sen. Michelle Benson (R-Ham Lake) sponsors the Senate version.

Rep. Greg Davids (R-Preston) said his party’s insurance fix was because of previous health care laws that have jammed up his constituents.

“It’s just amazing,” he said. “Obamacare and MNsure have been the biggest failures of all time… they missed the mark by over 80 percent. And that’s success? Not where I come from.”

The Dayton administration and DFL legislators have raised a number of objections. Calling it too expensive and too time-consuming, along with having questions over tax impacts, DFLers warned time and again the bill didn’t receive proper vetting.

For the second straight day, Minnesota Management and Budget Commissioner Myron Frans warned lawmakers that compared to the administration’s plan, the Republican plan would create a headache for his agency and, through it, relief wouldn’t be available until 2018.