Last Updated on Monday, 01 October 2012 18:38 Written by Kevin Kerrigan Monday, 01 October 2012 11:15
Guam News - Guam News
Guam - On a straight party line vote of? 9-6 Guam lawmakers passed a measure that offers GovGuam employees the opportunity to select their health insurance plan from a number of different pre-qualified providers.
All 6 republican Senators voted against the bill. Senator Mana Silva-Taijeron called on her colleagues to decides whether she should excuse herself from voting because of a conflict of interest due to relatives working on the Insurance Commission and for a private insurer. Only 4 felt she should abstain, thus forcing her to cast a vote.
Bill #513 was introduced by Senator Ben Pangelinan. It had a hearing last week Tuesday and was the only Bill debated today [Monday] in a hastily called Session that was announced only yesterday.
During its Public Hearing, last week, SelectCare was the only provider to testify in opposition to Bill #513. Staywell, TakeCare, and NetCare all submitted? testimony in favor of? it.
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The bill's preamble calls it: "An Act provide health insurance to Government of Guam employees and retirees for fiscal year 2013"?
If the Governor signs it into law it would override this year's flawed? RFP process which was suspended in August after 3 of 4 insurers filed protests.
READ Bill #513 HERE
Monday's Session was called Sunday without advance notice of? what would be on the Session agenda, although Senator Pangelinan sent an email to his supporters Sunday indicating that his Bill #513 would be discussed and he called on his supporters to contact lawmakers and asked them to vote for his bill.
This morning on the floor of the Legislature Senator Pangelinan urged passage of his measure saying it would open the process up to more competition and lower costs. He repeatedly argued that GovGuam has "over paid" for its current Calvo SelectCare plan, only to have its over payment returned this year, thanks to the new Affordable Health Care Act,? "but we're getting our money back without interest,' he said.However, Republican Senator Frank Blas Jr. rose to speak against the bill, pointing out that the current RFP process is under protest and maybe "subject to legal challenge." He questioned whether the measure would "take us into areas we shouldn't be going in."
"Is this prudent or wise?" asked Blas, saying GovGuam risks another lawsuit if they tinker with the process "in the middle of the game."
Senator Pangelinan offered an amendment aimed at preventing such a challenge by barring the re-issuance of a new RFP. He argued that "the game is over. We're starting a new game."
Republican Senator Chris Duenas spoke against the amendment saying it could expose GovGuam to legal challenge as well/
Republican Senators Aline Yamashita and Sam Mabini, who had originally signed on as co-sponsors of Pangelinan's bill, rose to express reservations about the bill and asked that their names be withdrawn as co-sponsors.??
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In recent years, a single provider has been chosen, and that provider has been Calvo's SelectCare. The process had allowed for various providers to compete for selection as the sole provider of health plans to GovGuam employees, but,? until this year after the process was adjusted, there were no competing bids to challenge SelectCare's lock on the contract.
But as a result of the changes made in the bidding process for this year, all 4 island health insurers submitted bids. Then,? 3 of? them ended up filing protests. DOA admitted errors were made and cancelled the procurement process. As a result, the Calvo SelectCare plan has been extended until the protests are resolved and a new RFP can be issued.
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