Vermont House Gives Preliminary Approval To Bill Creating State-Funded Health Program For Uninsured

Main Category: Health Insurance / Medical Insurance
Article Date: 09 Mar 2006 - 23:00 PDT

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The Vermont House on Thursday voted 81-56 to approve a bill that would create a new state-funded health program for the uninsured and change how care is provided to Vermont residents with chronic diseases, the Burlington Free Press reports. Funding for the new Catamount Health program and the disease management initiative would come from the federal government, a 60-cent-per-pack increase in the state's cigarette tax and payments that tobacco manufacturers will make to the state beginning in 2008. State Rep. Harry Chen (D) said that reducing the number of uninsured in the state and improving care for those with chronic conditions would decrease overall health care costs. He said, "Doing nothing is not an option," adding, "This recognizes what is working and builds on that. It doesn't turn the system upside down." State Rep. Malcolm Severance (R), a bill co-author, said that the results of the reforms would not be quick but noted that when the bill is coupled with a package of health care reforms passed by the Senate, it would have a positive effect on the cost of care. He added, "This is a step in the right direction." However, state Rep. Tom Koch (R) said, "The fact that [the cigarette tax] is a declining source of revenue makes this very complicated. This bill is not adequately funded. It is bound to collapse." State Rep. Richard Westman (R) said that the money raised by increasing the cigarette tax should be used to address Medicaid funding shortfalls (Remsen, Burlington Free Press, 3/3).

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