St. Paul, MN - Representative Terry Morrow joined the House of Representatives to pass a landmark Health Care Reform Bill to transform Minnesota’s health care system. The bill proposes changes designed to make health care more affordable for Minnesotans. The Minnesota Medical Association (doctors’ group), the Minnesota Nurses Association, the Children’s Defense Fund, the American Cancer Society, The American Diabetes Association, the American Lung Association, AARP, the Minnesota Consortium for Citizens with Disabilities, the Local Public Health Association of America, Seniors and Workers for Quality, and others support this bill.

“Health care is one of the most common issues I hear about from folks in our area. My family and I share the concerns of families, farmers, and businesses who are concerned about rising health care costs, especially in troubling economic times,” said Morrow.

One in five Minnesotans — which means almost 1 million people– pay more than 10% of their income for health care. Having health insurance does not reduce this cost for many Minnesotans. Almost 250,000 Minnesotans with insurance pay over 25% of their income for health care.

The Health Care Reform Bill focuses upon cutting administrative costs, improving the delivery of health care, and reducing smoking, obesity, diabetes, and other health care problems. Coverage for uninsured Minnesotans is expanded under the bill. When coupled with the 2007 health care reforms that the House passed, the Health Care Reform Bill provides coverage to 100,000 Minnesotans who were not covered.

“Restoring MinnesotaCare eligibility for families, especially our farmers who were especially hurt by previous rule changes, and expanding health care access for children were major goals when I entered the legislature. Today, we make excellent progress on these goals,” said Morrow.

A fundamental change in how Minnesotans interact with our health care system is a promising transformation in the Reform Bill. Traditionally, health care primarily focused upon helping sick people become better, which can involve expensive treatments and procedures. Care for chronic medical conditions such as diabetes accounts for more than 80% of health care spending.

The Health Care Reform Bill focuses upon keeping Minnesotans healthy. “Our doctors, nurses, and other health care professionals will now be encouraged and compensated more fairly for helping us stay healthy, which produces dramatic health care cost savings for everyone in the long term,” said Morrow.

Helping our nursing homes has been another priority for Representative Morrow. “I hear often from folks working in our nursing homes that their employers offer health insurance coverage, but they cannot afford the coverage,” Representative Morrow stated. Across Minnesota, 81 percent of long-term care workers have access, but only 36% are covered. This bill directs the state to study this problem and propose solutions.

The House Health Care Reform plan uses funds in the Health Care Access Fund (HCAF). The HCAF supports the MinnesotaCare program, which offers low-cost health care to qualifying Minnesotans. The HCAF receives its revenues from provider taxes (including hospitals, surgical centers and other health care providers), premiums on behalf of MinnesotaCare enrollees, a 1% gross premiums tax, and federal matching funds.

Press release, April 10, 2008