HB638 (2015) Detail

Reestablishing the catastrophic illness program and making an appropriation therefor.


HB 638-FN-A - AS INTRODUCED

2015 SESSION

15-0404

01/04

HOUSE BILL 638-FN-A

AN ACT reestablishing the catastrophic illness program and making an appropriation therefor.

SPONSORS: Rep. Barry, Hills 21; Rep. Phillips, Ches 16; Sen. Woodburn, Dist 1

COMMITTEE: Finance

ANALYSIS

This bill reestablishes the catastrophic illness program which was repealed in 2011. The bill makes an appropriation for the purposes of the bill.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

15-0404

01/04

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Fifteen

AN ACT reestablishing the catastrophic illness program and making an appropriation therefor.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 New Chapter; Catastrophic Illness Program. Amend RSA by inserting after chapter 137-L the following new chapter:

CHAPTER 137-M

CATASTROPHIC ILLNESS PROGRAM

137-M:1 Purpose. The purpose of this program is to assist residents of the state suffering from catastrophic illnesses in gaining access to needed diagnostic, curative, and rehabilitative health services when these individuals are unable to pay the entire cost of the medical care and treatment required on a continuing basis, despite the existence of various types of hospital and medical insurance, Medicare, Medicaid and other governmental assistance programs and private charitable assistance programs.

137-M:2 Definitions. In this chapter:

I. “Commissioner” means the commissioner of the department of health and human services.

II. “Catastrophic illness” means cancer, hemophilia, end-stage renal disease, spinal cord injury, cystic fibrosis, or multiple sclerosis, the treatment of which requires extensive medical care such as hospitalization, medication, diagnostic evaluation, surgery, dialysis, therapy, or other associated medical expenses such as transportation to and from medical facilities.

III. “Eligible individual” means any resident of the state of New Hampshire suffering from a catastrophic illness.

IV. “Authorized services” means services eligible for payment under the catastrophic illness program fund.

137-M:3 Catastrophic Illness Program. There is hereby established the catastrophic illness program within the department of health and human services, to carry out the purposes of this chapter.

137-M:4 Catastrophic Illness Program Fund. There is hereby established the catastrophic illness program fund within the department of health and human services, which shall be under the control of the commissioner. The fund shall be nonlapsing and continually appropriated to the department for the purposes of this chapter.

137-M:5 Duties of the Commissioner.

I. The commissioner shall make payments from the catastrophic illness program fund for authorized services provided to eligible individuals who qualify for assistance under this chapter; provided that no payment shall be made to eligible individuals who are able to pay, in whole, for authorized services though hospital or medical insurance, Medicare, Medicaid or other government assistance programs or private charitable assistance programs.

II. The commissioner shall issue and deliver a report to the governor and council and to the general court on or before January 15 of each odd numbered year as to the types of assistance granted under the catastrophic illness program fund and as to the necessity to continue or expand the catastrophic illness program; provided, however, that the names of individuals who receive assistance under the catastrophic illness program shall not be made public.

137-M:6 Payments From Patient. In administering the catastrophic illness program, the commissioner shall require that an eligible individual suffering from a catastrophic illness or the person liable for the debts of that individual make payments as may be commensurate with their financial capacity; provided that no payment shall be required if the commissioner determines that the eligible individual is indigent.

2 New Subparagraph; Application of Receipts; Catastrophic Illness Program Fund. Amend RSA 6:12, I(b) by inserting after subparagraph (326) the following new subparagraph:

(327) Moneys deposited in the catastrophic illness program fund, established in RSA 137-M:4.

3 Appropriation. The sum of $1 is hereby appropriated to the department of health and human services for the biennium ending June 30, 2017 for the purposes of reestablishing the catastrophic illness program set forth in section 1 of this act. The governor is authorized to draw a warrant for said sum out of any money in the treasury not otherwise appropriated.

4 Effective Date. This act shall take effect 60 days after its passage.

LBAO

15-0404

Revised 01/29/15

HB 638-FN-A FISCAL NOTE

AN ACT reestablishing the catastrophic illness program and making an appropriation therefor.

FISCAL IMPACT:

    The Department of Health and Human Services states this bill, as introduced, will increase state expenditures by an indeterminable amount in FY 2016 and each year thereafter. There will be no fiscal impact on state, county and local revenue, or county and local expenditures.

    This bill appropriates $1 from the state general fund to the Department of Health and Human Services for the biennium year ending June 30, 2017 for the purpose of this act.

METHODOLOGY:

    The Department states this bill would re-establish the catastrophic illness program, a program that assists individuals suffering from a catastrophic illness including cancer, hemophilia, end stage renal disease, spinal cord injury, cystic fibrosis and multiple sclerosis. The bill requires the commissioner to produce a bi-annual report on the program. The Department states the catastrophic illness program ended after FY 2011. During the final two years of operation, program expenditures were $107,066 in FY 2010, and $122,291 in FY 2011. The Department has no data on the number of individuals who would currently be eligible for the program. The Department assumes it would need to hire a Business Administrator I and projects the costs of the position as follows –

?

FY 2016

FY 2017

FY 2018

FY 2019

Salary (LG21)

$40,170

$41,808

$43,602

$45,377

Benefits

$24,801

?$26,200

?$27,702

?$29,273

Total Salary and Benefits

$64,971

$68,008

$71,304

$74,650

Other Expenses

?

?

?

?

Current Expenses

$250

$250

$250

$250

Equipment

$2,000

$0

$0

$0

Office Space

$0

$0

$0

$0

Travel

$100

$100

$100

$100

Total Other Expenses:

$2,350

$350

$350

$350

TOTAL COST

$67,321

$68,358

$71,654

$75,000