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Vermont Public Radio reports that he Public Oversight Commission, the commission that reviews Vermont hospital budgets, "wants the state to take aggressive action to control health care costs" and is "calling for fundamental change in how the state regulates health care." In a "strongly worded letter," the Commission has said that "all hospitals should get the same rate increase - inflation plus 2 percent" and government should "fully fund its own health care programs." Currently, "Medicaid and Medicare reimbursements don't cover the full cost of care, and those costs are shifted onto those who have health insurance." In addition, "the state recently allowed hospitals to raise rates by an average of nine-and-a-half percent" which the Commission believes is unsustainable. "The commission's letter puts the problem bluntly. It says - quote - the 'cost shift is killing Vermont competitiveness and deflating the real value of Vermonters' wages through excessively high, and escalating, commercial insurance premiums.'' In response, "Vermont hospitals agree that the cost shift is a hidden tax that reverberates through the economy" but notes that "if hospitals are forced to reduce rates, they will also have to cut health care services." The Douglas Administration is "also not eager to endorse the commission's prescription to reform health care regulation."
"The legislature decided to help pay for the computerized network through public funds and a tax on health insurers operating in Vermont. The tax is designed to raise about $32 million dollars over seven years." According to Susan Besio who directs health care reform efforts in the state, "With so much money involved, the state needs to keep a close watch on how it's spent." Recently, "the Douglas Administration and several lawmakers have asked the board of the organization to resign. State officials want to review new board members. And they want changes made in the corporate structure before a new state grant is approved."
In response, Dr. Larry Ramunno, a VITL board member and chief quality officer with Northeast Health Care Quality Foundation, has "question[ed] what the state is trying to accomplish" by asking the VITL board to resign. Ramunno noted that "VITL is meeting its goals either on schedule or ahead of time." He concluded, "I assume that someone would come to the conclusion that the organization wasn't effective, based on some objective benchmarks, none of which I could find." Notably, "the VITL board meets later this week to consider some of the changes to its structure."
]]>On Tuesday, Stone met with the St. Johnsbury Development Review Board to request a permit for a facility on St. Johnsbury's Railroad Street. "A treatment facility on Railroad Street, however, may be an uphill battle. The town review board tabled Stone's request for lack of information, and questions about its proposed location. He was also "instructed to provide written documents including program dynamics, need in the area, treatment steps, patient expectations, and the range of medication stored on site. He was encouraged to look for office space in the town health-services zone, around Northeastern Vermont Regional Hospital, and review St. Johnsbury zoning regulations."
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