News in brief - March 3, 2008

Opponents take San Francisco employer mandate to U.S. high court

The debate over the validity of an employer health coverage mandate may be headed to the U.S. Supreme Court. The Golden Gate Restaurant Assn. on Feb. 8 asked justices to overturn a 9th U.S. Circuit Court of Appeals decision allowing San Francisco's universal health initiative to remain in place temporarily.

The program, which took effect Jan. 1, helps the uninsured and underinsured get access to care. It is funded, in part, by a requirement that employers with 20 or more workers spend a certain amount on health coverage or put the money into a city fund for "Healthy San Francisco," as the program is known. A trial court in December 2007 said the mandate violated the federal Employee Retirement Income Security Act. The 9th Circuit disagreed in January and issued an emergency order upholding the provision while city officials appeal the trial court ruling.

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Calif. speaker says health reform dead for the year

Calif. Assembly Speaker Fabian Nuņez last month backed away from his prediction that lawmakers still would adopt a health system reform bill this year even though the Senate Health Committee in January rejected a carefully negotiated health reform package. Nuņez cited the projected $14.5 billion state budget deficit as the reason for his reversal. "Health care reform in 2008, for all intents and purposes, in my view is not going to happen. ... The fiscal concerns take precedent over any type of health care reform this year."

Nuņez is the second of the bill's three key supporters to say budget problems will derail reform this year. Senate President Pro Tem Don Perata said he no longer could support the bill after a independent state analysis released in January concluded that the package could cost billions more than the amount estimated by Gov. Arnold Schwarzenegger's budget advisers. But Schwarzenegger, the third key supporter, refused to give up on reform this year. "There are setbacks. Everyone in this state and in this country can relate to setbacks. One step back to make two in front." The governor said he doesn't support adopting the bill in stages.

Nuņez said he expects lawmakers to return to health care eventually. "Somebody's going to have to pick up the ball where we left off in 2009 and in 2010. I think it would be a travesty not to. My hope is that happens."

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N.M. Legislature will have extra session for health care

New Mexico Gov. Bill Richardson said he would call lawmakers back for a special session to continue work on health system reform and other priorities they failed to adopt in their one-month session that ended Feb. 14. Richardson proposed a bill, the Health Solutions New Mexico Act, that would require insurers to spend 85% of premiums on health care, individuals to have health insurance, and employers to contribute an amount to be determined to a state fund for health care. The bill also would create an authority to oversee state health programs and recommend ways to increase access to private health insurance, among other provisions. The House adopted the measure after removing the individual and employer mandates, but the Senate did not hold a hearing on the bill.

Richardson said the 400,000 uninsured in New Mexico deserve help. "Let's face it, the people of New Mexico expect more from us -- more than a budget to pay for state government and more than a package of pork projects. They expect us, as their elected leaders, to solve problems and remove obstacles that prevent them from enjoying access to quality health care," he said. It's not yet known when the special session will begin, a Richardson spokeswoman said.

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