ARIZONA STATE LEGISLATURE

 

HEALTHCARE GROUP STUDY COMMITTEE

 

Minutes of the Meeting

Tuesday, November 27, 2007

1:30 P.M., House Hearing Room 3

 

 

Members Present:

Senator Barbara Leff, Co-Chair

Representative Kirk Adams, Co-Chair

Senator Carolyn Allen

Representative Rich Crandall

Senator Meg Burton Cahill

Representative Steve Farley

Senator Ken Cheuvront

Kathleen Oestreich

Senator Pamela Gorman

Chad Snow

Sandra Gibson

Christina Urias

Thomas Kelly

 

Kevin Nolan

 

 

Members Excused:

Representative Phil Lopes

Representative Andrew Tobin

 

Staff:

Dan Brown, House Health Committee Analyst

 

Chairman Adams called the meeting to order at 1:36 p.m. and attendance was noted.

 

Chairman Adams announced that Representative Tobin and Representative Lopes were excused.

 

Chairman Adams asked each member of the committee to introduce themselves:

 

            Kevin Nolan, Deputy Director of Healthcare Group of Arizona

            Thomas Kelly, President, Schaller-Anderson

            Sandra Gibson, Executive Vice President, Internal Operations, Blue Cross/Blue                          Shield

            Senator Meg Burton Cahill, Tempe and South Scottsdale

            Senator Ken Cheuvront, Small Business Owner, Central Phoenix

            Senator Carolyn Allen, Health Committee Chairman

            Senator Barbara Leff, District 11

            Representative Kirk Adams, District 19

            Representative Rich Crandall, Mesa

            Representative Steve Farley, Small Business Owner, Central Tucson

            Kathleen Oestreich, CEO, University Physicians Health Plan

            Chad Snow, Small Business Owner

            Christina Urias, Director, Arizona Department of Insurance

 

Charge of the Committee

 

Dan Brown, House Health Committee Analyst, distributed “The Charge of the Committee” (Attachment A) and explained the setup and purpose of the committee.

 

Healthcare Group Presentation

 

Kevin Nolan, Deputy Director, Healthcare Group of Arizona, distributed “Healthcare Group” PowerPoint presentation (Attachment B) and explained the status of Healthcare Group and steps being taken to improve the financial situation.

 

The Committee discussed the Healthcare Group’s financial picture and how it came to be in the position it is in. They discussed the possibility of it becoming a risk pool and how to protect the clients. 

 

Arizona Department of Insurance Presentation

 

Christina Urias, Director, Arizona Department of Insurance, explained the status of the audit her department is completing on Healthcare Group of Arizona.  She explained how the program works and some of the problems that exist.  Ms. Urias stated that the preliminary report on the audit is due this week and she would provide the committee with a copy of that report.

 

The Committee compared Healthcare Group of Arizona with commercial insurers and discussed the restrictions placed on Healthcare Group of Arizona.

 

Chairman Adams, with the agreement of Co-Chairman Leff stated that further discussion and decisions will take place at the next meeting of this committee.

 

 

There being no further business, the meeting was adjourned at 3:47 p.m.

 

                                                                                    Respectfully submitted,

 

 

 

                                                                                    Shelley Ponce

                                                                                    Committee Secretary

 

(Tapes and attachments on file in the Secretary of the Senate’s Office/Resource Center, Room 115.)

 

 

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HEALTHCARE GROUP STUDY COMMITTEE

November 27, 2007

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