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MichiganVotes: New Bill Starts Discussion Of Medicaid Expansion Alternatives

Senator introduces 'free market alternative' to Medicaid expansion

Sen. Patrick Colbeck, R-Canton, has introduced the first of two bills aimed at finding a free-market alternative to Medicaid expansion.

The stated goal of the legislation is to increase access to quality care without expanding government.

In the press release announcing the measure, the legislation, Senate Bill 459 and a yet to be introduced companion bill, is described as a "patient-centered solution" offered in place of Medicaid expansion.

On Thursday, Sen. Colbeck presented his plan to a Senate workgroup that's seeking a solution to Michigan's Medicaid expansion issue. This workgroup was set up by Senate Majority Leader Randy Richardville, R-Monroe, after he refused to immediately take up House Bill 4714, the Medicaid expansion bill that passed the House with Democrats providing most of the "yes" votes along with 28 Republicans.

Gov. Rick Snyder wanted the Senate to pass the bill quickly, but Sen. Richardville didn't bring it up for a vote because a majority of Senate Republicans didn't support it.

The administration of President Barack Obama wants states to expand Medicaid to accommodate the implementation of Obamacare. It is using billions in up front federal dollars as an enticement for states that do so.

Sen. Colbeck's measure would not expand Medicaid. Michigan would not qualify for the money being offered by the Obama administration if his bill was enacted.

Gov. Snyder is holding town hall meetings around the state in an attempt to stir up support for some form of Medicaid expansion. However, Gov. Snyder isn't calling it "Medicaid expansion." He's calling it, "Healthy Michigan," and more recently, "Medicaid reform."

Taking his cue from Gov. Snyder’s choice of words, Sen. Colbeck had Senate Bill 459 drafted. It would be Medicaid reform without expansion.

"We made a case for this," Sen. Colbeck told Capitol Confidential, referring to his presentation to the Senate work group. "Now it will be up to them. But this was just the first step. I think the next step will be to have the Senate Fiscal Agency look it over and I'd like to have a national policy research center have input on it as well. We want to get this in juxtaposition next to the other plans."

Jack McHugh, senior legislative analyst with the Mackinac Center for Public Policy, said the legislation, as currently drafted, injects some free market ideas into Michigan’s ongoing health care debate.

"The underlying cause of medical inflation is third-party payment systems that mean consumers don't have skin in the game, because it's always someone else paying the bills," McHugh said. "The bill looks like an effort to break that dynamic by removing regulatory obstacles to direct, contractual relationships between doctors and families via service plans with low monthly costs. Plus, it would use high-deductible insurance policies to cover non-routine, catastrophic expenses.

“It's ambitious to try this at the state level — perhaps too ambitious — and it's probably not possible under an Obamacare regulatory regime," McHugh continued. "Obviously this is bigger than just the Obamacare Medicaid expansion and, if nothing else, may stimulate some interesting and constructive conversations."

Sen. Colbeck explained the companion bill that goes along with Senate Bill 459.

"That bill takes the existing Medicaid enrollees and puts them in a primary care plan," he said. "A Health Savings Account (HSA) part is wrapped in with this. The hope is to use state money to provide better care and prime the pump for a very robust primary care market in Michigan."

According to a Sen. Colbeck news release, the bill would provide a "regulatory infrastructure that would enable a low cost, high quality care, free market environment within the confines of the Affordable Care Act (ACA) [Obamacare]."

"We need to stop talking about expanding a government program that doesn't work and start talking about ways to expand affordable care to all of our citizens," Sen. Colbeck said. "We can use this as an opportunity to put in place a free market based system that will not only accomplish the stated objectives of Obamacare but will also establish Michigan as a destination state for employers seeking quality, affordable health care for their employees."

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.

News Story

Civil Rights or Double Standard?

Michigan Department of Civil Rights inconsistent in its criticism

The Michigan Civil Rights Commission is expected this month to interview director candidates for the Michigan Department of Civil Rights and one topic the commissioners might consider discussing during the interviews is consistency.

In the early stages of Michigan's 2012 U.S. Senate race, many believed incumbent U.S. Sen. Debbie Stabenow, D-Lansing, was vulnerable. Former congressman Pete Hoekstra was a leading Republican candidate in the field of those who challenged Sen. Stabenow. But right out of the starting blocks, Hoekstra stumbled over his "China ad," which aired in Michigan during the Super Bowl.

The ad was widely criticized and characterized by the mainstream news media as being racist, insensitive and offensive.

However, the Hoekstra campaign was not the first in Michigan to use campaign against an opponent for "sending jobs to China." In 2006, the re-election campaign of former Gov. Jennifer Granholm attacked Republican challenger Dick DeVos, claiming that as the head of a company, he had chosen to hire employees in China while laying off Michigan workers.

What might not be generally known is that in 2012, the Michigan Civil Rights Commission, which sets policy for the department, took a position on the issue. However, the Civil Rights Commission did not take a position on the issue of China being used in politics when Democrat Jennifer Granholm was governor. Most of the appointees on the commission are still from her tenure as governor.

The Civil Rights Commission publicly labeled the Hoekstra ad as "offensive." Michael Zelley, who was then-Chair of the Michigan Civil Rights Commission, released this statement at the time:

The Michigan Civil Rights Commission was deeply disappointed by the offensive content in Mr. Pete Hoekstra's ad that appeared during last weekend's Super Bowl. Michigan has a proud tradition of welcoming people of all races and nationalities to our state. We applaud Mr. Hoekstra's more recent decision to remove the ad from his website and television media rotation and are hopeful he will refrain from such disturbing messages in the future.

John Truscott, of the Truscott Rossman Group in Lansing, who worked on the 2006 DeVos campaign and the Hoekstra gubernatorial campaign in 2010, maintains that the Civil Rights Commission shouldn't have criticized the Hoekstra ad after ignoring Granholm's use of the same issue.

"Of course the civil rights department didn't weigh in when Granholm attacked Dick Devos on China, and the Granholm people attacked on multiple fronts," Truscott said. "I guess it wasn't as personal because Granholm's ads didn't feature a person like the one in the Hoekstra ad, but if you listen to what they said in 2006 you still got the same sort of feeling."

So, is this an example of a double standard employed by the Civil Rights Commission?

"I think you would find a lot of people who would say so," Truscott said. "It was not only an over reach, it was political advocacy.

"Now, was it smart politically for Pete Hoekstra to use that ad? No, not in my opinion," Truscott added. "It got a lot of criticism. But then to have the department of civil rights pipe in with its comments, I mean really, that seemed to be totally political."

MDCR Communications Director Vicki Levengood defended the department's decisions wihtout addressing the inconsistency in targeting Hoekstra but not Granholm.

"The Michigan Civil Rights Commission did not weigh in on the political arguments raised in any campaign, only the specific offensive and stereotypical characterization of Asians and Asian cultures in the Hoekstra ads," Levengood said.

"The members of (the) MCRC felt strongly that the characterizations of Asians and Asian cultures in the Hoekstra ads were demeaning and offensive, and not in the best interests of Michigan citizens or the Michigan economy," she added. "The commission was not alone in its condemnation of the ads. Leaders from a variety of organizations and both political parties voiced their disappointment with Rep. Hoekstra and his decision to create and air these ads."

When asked if it was the job of the Department of Civil Rights or the Civil Rights Commission to review political ads and publicly interpret their content, she said the commission is responsible for protecting "civil rights without discrimination."

"It is up to each member and the commission as a whole to determine how best to meet that obligation."

Two Michigan Civil Rights Commission meetings have been scheduled for this month, on July 22 and July 29. It is believed the commission will likely choose a new department director on July 29.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.