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Volume 2 Issue 26 Spring 2002

California Health Care Options Project
by Don McCanne, M.D., President, Physicians for a National Health Program

"An estimated 22 percent of Californians do not have health care coverage. The Health Care Options Project (HCOP), led by the California Health and Human Services Agency (CHHS), is designed to examine various reform options for extending health care coverage in California. The project is consistent with the objectives of Senate Bill 480 signed by the Governor in 1999.

"Nine reform option papers have been developed for HCOP. They include public program expansions, individual and employer tax credits, employer and individual mandates, single payer models, and combination approaches. Two-page summaries and drafts of these proposals are available in the document library of the web site (Please see page 6). The reform options will be analyzed and compared using a micro-simulation model developed by The Lewin Group under a contract with HCOP. This model is also available in the document library for your review and comment."
(California Department of Health and Human Services)

Comment: You can be a part of this landmark study designed to examine various reform options for extending health care coverage for California, and for the entire nation, since the results of this study will establish a rational basis for reform in all states.

If you are pleased with the status of health care in this nation, then ignore this message and go watch "John Q." If you believe that efforts must be made to improve our system, then you should participate in this process. It will require some work on your part. But this is finally an answer to the question heard at all health care reform meetings: "What can we do?" What we can do is make this effort to understand various alternatives for reform and then provide an informed input to the process. The various proposals are still being refined. The authors will consider all input during this process. The remaining comments in this message may reflect my personal bias as a contributor to one of the options, the single payer proposal of James G. Kahn, et al., of the University of California at San Francisco (Kahn, Bodenheimer, Grumbach, Lingappa, Farey and McCanne).

Two single payer proposals (James Kahn, et al., and Judy Spelman) and a health service proposal (Ellen Shaffer) are unique in that they would provide comprehensive health services for everyone. The remaining proposals are best labeled "other proposals," although some might wish to call them "incremental." They are a mix of current concepts for expanding coverage, using a variety of mechanisms, resulting in very significant differences in the degree to which they accomplish expanded coverage. Of the "other" proposals, one that I would single out, is the proposal of E. Richard Brown and Richard Kronick. Of the proposals that build on our current system, theirs is the most effective and most comprehensive of the choices. It introduces policies that would provide significant improvements in our dysfunctional system. It should appeal to many of those who insist that reform must be incremental, even though some might classify this as more than simply incremental. But look at some of the reasons that the single payer and health service options should receive very serious consideration:

  • They cover everyone.
  • They include virtually all beneficial health care services.
  • They effectively remove financial barriers to care, an increasing threat to access today.
  • They establish equity in health care: equity in funding, equity in access, and equity in allocation of our health care resources.
  • And for those that always want to know what the bottom line is in costs, the tentative analysis by John Sheils of The Lewin Group, presented at the symposium in Manhattan Beach on February 8, has demonstrated that all of the "other proposals" will increase health care costs, whereas the three universal proposals will decrease health care costs for California by billions of dollars.

Although the project is not completed, one conclusion is already clearly evident. These proposals that reduce health care costs attain virtually all of the goals of an ethically-based health care system, whereas all of the proposals that fall short of these goals will increase health care costs.

The proponents of universal coverage should no longer tolerate being left out of the symposia, forums, press conferences, negotiating processes, foundation health care reform projects, or any other arena in which the future of our health care system is being debated. We should let the exclusive club of incrementalists know that we will accept invitations to join the process. But, in the absence of such civility, we should consider breaking down their doors. On behalf of all patients, present and future, our voice must be heard.

Two-page summaries and drafts of these nine proposals are available in the document library of this web site:
http://www.healthcareoptions.ca.gov

The State Health and Welfare Agency states:
"We encourage readers to review these materials and send comments to HCOP at SB480@library.ca.gov. For your convenience, we have added a one-page comment sheet to the document library that you can use to provide feedback on the paper(s) of your choice. These sheets can be returned by e-mail or mailed to Peg Gerould, California Research Bureau, 900 N Street, Suite 300, P.O. Box 942837, Sacramento, CA 94237-0001. Comments will be forwarded to the appropriate authors for their consideration as they continue to develop their reform options."

For brief summaries of each proposal:
http://www.healthcareoptions.ca.gov/summaries_112601.pdf

For comment sheet for providing feedback:
http://www.healthcareoptions.ca.gov/webcomments.pdf

For the index to the entire HCOP document library, including
preliminary full drafts of each proposal:
http://www.healthcareoptions.ca.gov/doclib.asp

Editor's Note:

President Dennis Clark and staff of the Health Care Council, as well as several other members of the Council, participated in the Manhattan Beach symposium. It was heartening to see the many concerned and committed individuals, representing many Orange County organizations who attended the symposium. It was evident, if only from the enthusiastic applause which followed the "single payer" presentations, that a majority of those present were strongly in favor of a comprehensive, universal health insurance program for all Californians, with equitable and fair distribution of health care resources for the benefit of all residents and providers.

The Health Care Council looks forward to continuing to participate in the "SB 480" process, and invites all interested parties to access the web sites listed above, to study these proposals and provide input to the planners, and eventually, to the legislature. The finding by an evidently unbiased and highly respected research group, that "single payer" plans are more economical as well as fairer than other approaches is a new wake-up call. The time has come for saving billions of dollars and improving access to health care at the same time.


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