Gov. Jack Markell’s (D) attempts to reign in a projected deficit in future health care costs are falling flat among state lawmakers.
State projections have deficits climbing to $484 million by fiscal year 2022, according to budget documents presented in January.
A new report presented by Office of Management and Budget officials Thursday show a small surplus next fiscal year, though it doesn't fill up a $79 million reserve account drained by unforeseen claims filed last year.
OMB director Ann Visalli says the positive uptick is not an excuse to move toward comprehensive insurance reform.
But a majority of the budget writing Joint Finance Committee is hesitant to cut off new employees from existing health insurance plans and lump them into a new, high deductible plan if they're hired after Jan. 1, 2017.
The ‘Health Savings Account’ would also push people toward finding the cheapest options for diagnostic services and surgeries.
Rep. Joe Miro (R-Pike Creek Valley), a Cuban defector, says that option is “meandering and gravitating towards social medicine” – something he’d strongly oppose.
Others, like Sen. Brian Bushweller (D-Dover), didn't take it that far, but he noted that corralling people into choosing certain doctors or clinics is giving government and private companies too much power over someone's individual choices.
"They use the word incentivising. You could say [they are] coercing people into limiting their own personal liberties and their own personal freedoms," Bushweller said.
Visalli disputed those characterizations, saying it's an attempt to most efficiently use taxpayer money.
Still, the retort had little effect on one of the most powerful committees in Delaware government.
Rep. Debra Heffernan (D-Bellefonte) said she don’t support shifting all new workers to a separate plan because of concerns over recruiting talented workers who will generally earn less money in the public sector.
A single person enrolled in the 'Health Savings Account' would get $1,000 from the state towards their $2,000 deductible. Families receive a $2,000 stipend contributing towards a $4,000 deductible.
JFC members, including Bushweller, say something will need to be done long term, but he doesn't see 2016 being that year.
Markell is also proposing changes to the three existing health insurance plans offered to public workers. Those details will surface next Friday during a different state committee meeting.
