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j_hce_2017a_2017-03-03t13:32:03z0 Hearing Summary

Date: 03/03/2017

Location: LSB B

Final

Committee Discussion with Connect for Health CO Board Members and Staff



COMMITTEE ON COLORADO HEALTH INSURANCE EXCHANGE OVERSIGHT COMMITTEE


Votes: View--> Action Taken:
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01:32 PM -- Committee Discussion with Connect for Health CO Board Members and Staff



Senator Lundberg called the meeting of the Colorado Health Insurance Exchange Oversight Committee (committee) to order. An agenda was distributed to the members (Attachment A). Senator Lundberg explained the committee's responsibilities, which include reviewing grants for implementation of Connect for Health Colorado (exchange), reviewing the financial and operational plans of the exchange, and approving the appointment of the executive director of the exchange. Handouts were distributed to the committee (Attachments B, C, D, and E).



170303 AttachA.pdf170303 AttachA.pdf170303 AttachB.pdf170303 AttachB.pdf170303 AttachC.pdf170303 AttachC.pdf170303 AttachD.pdf170303 AttachD.pdf170303 AttachE.pdf170303 AttachE.pdf



01:35 PM



Kevin Patterson, Chief Executive Officer, Connect for Health Colorado, presented to the committee. Mr. Patterson proceeded to respond to the list of questions included in Attachment B. He explained that open enrollment on the exchange for the 2017 plan year has concluded, and 180,000 individuals have signed up, with 63 percent receiving a federal tax subsidy and approximately 50 percent utilizing a broker. In response to a question, Mr. Patterson discussed 2016 plan year exchange enrollment numbers and plan selection. He commented on life change events that would affect individual's health insurance coverage and noted that enrollment on the exchange increases throughout the year.



01:42 PM



Mr. Patterson discussed the difficulties in gathering data around disenrollment from the exchange, and mentioned a new survey for those that disenroll. In response to a question, Mr. Patterson explained how churn from Medicaid to the exchange is tracked. He explained that the exchange is not able to track where individuals obtain insurance if they choose not to utilize the exchange.



01:53 PM



The committee discussed the number of individuals eligible for Medicaid or subsidies on the exchange. Senator Lundberg asked a question about determination of eligibility for both the exchange and for Medicaid.



01:59 PM



Kate Harris, Policy Director, Connect for Health Colorado, provided data on eligibility determinations and income to the committee. Marivel Klueckman, Department of Health Care Policy and Financing (HCPF), came to the table to explain that HCPF has data on the individuals that are directed to apply to Medicaid after visiting the exchange website. She noted that HCPF also has information on eligibility questions for self-employed individuals.



02:08 PM



Mr. Patterson described the FY 2017 budget and discussed possible investments in the next year. Mr. Patterson referred to Attachment C, which shows projected revenues and expenditures for the exchange. He described the grants, donations, and special fees that will affect the exchange's budget throughout the year. Mr. Patterson explained that the exchange currently has reserves of approximately $15 million.



02:14 PM



In response to a question, Mr. Patterson described how the exchange benefits Coloradans. He provided data on the average tax subsidy that households receive through the exchange, and noted that the exchange is the only place for consumers to obtain such tax subsidies. Mr. Patterson explained that the exchange has helped to reduce the uninsured percentage in Colorado and has facilitated a connection between customers and insurance carriers. Adela Flores-Brennan, Chair, Connect for Health Colorado Board of Directors, responded to a question regarding the number of underinsured Coloradans.



02:22 PM



Mr. Patterson commented on the possible repeal of the federal Affordable Care Act. He noted that the idea for a Colorado based insurance marketplace was formulated before the federal policy, and could continue even with a federal repeal. Mr. Patterson noted that the infrastructure for the exchange is valuable. Senator Lundberg inquired about federal reimbursement requirements due to a federal audit of the exchange. Mr. Patterson described the reimbursement amount and the findings of the audit. He noted that a letter from the Centers for Medicare and Medicaid Services (CMS) regarding resolution of the audit findings is included as Attachment D.



02:31 PM



In response to a question, Mr. Patterson explained that there are CMS protocols to decommission state exchanges. He noted that multiple contingencies are being considered by the exchange. Senator Kefalas inquired about a multi-state exchange system. Mr. Patterson responded to a question regarding a possible successor high-risk pool if the exchange is repealed. In response to a question, Ms. Flores-Brennan noted that the board is adjusting the exchange's strategic plan, but has not discussed redistribution of funds in the case of a repeal. She described possible scenarios for decommissioning the exchange. Senator Lundberg noted that the committee may propose legislation regarding the exchange.



02:43 PM



Mr. Patterson responded to additional questions regarding increased 2017 enrollment. Ms. Flores-Brennan discussed House Bill 15-1148 implementation. Senator Tate requested additional information from the exchange regarding historical reserve levels, financial information, and eligibility requirements from the federal government.



02:52 PM



Senator Lundberg adjourned the meeting.








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