By Daniel Barlow
The Barre Montpelier Times Argus
Vermont Press Bureau
January 10, 2008
MONTPELIER — Doctors, nurses and other health professionals led a rally of more than 150 people at the Statehouse on Wednesday in support of a once under-the-radar bill that would create a “single-payer” system for covering hospital care in Vermont.
Support for the Vermont Hospital Security Plan was clearly felt during the second day of the new legislative session as advocates for a single-payer system packed rooms for rambunctious rallies and pressured their local lawmakers to support the bill.
Wearing white stickers reading “I support H.304,” activists described the bill sponsored by Rep. Francis “Topper” McFaun, R-Barre Town, as surgery for the health care industry, as opposed to what they see as a series of band-aids sponsored by other Statehouse lawmakers.
Dr. Deb Richter, the lead organizer of Wednesday’s rally, told a standing-room-only crowd that high premium costs for health insurance is bankrupting Vermonters and hurting businesses.
“This has become a huge problem for everyone,” Richter said. “It’s costing us all at this point. We are paying more and more and every year getting less and less.”
Under the plan, Vermont would establish a state budget for its network of hospitals that would fund all inpatient and outpatient trips for state residents to these facilities. Vermonters would still need insurance for their primary care and medications, but all visits to the hospital would be free.
Vermont now spends about $776 million annually on hospital care, according to Richter, and this shift to a single-payer system would cost $66 million less and cut insurance premiums by 40 percent.
“I’m not from planet Mars and I know this will not be free,” Richter said, explaining that there would be a cost shift for Vermonters away from insurance premiums and to a new state tax. “We have to raise the money to put it in a fund for hospital care.”
Wednesday’s rally focused heavily on health insurance horror stories.
Kate Youngdahl of Granville, who said she is self-employed, said that her health insurance is so inefficient that three medical procedures for family members three years ago resulted in $13,000 in out-of-pocket medical costs.
“We’re not wealthy people and that is a significant portion of our annual income,” she said. “It has pushed us into debt that we are only now coming out of.”
Despite the outpouring of support Wednesday, the single-payer hospital legislation faces an uphill battle. The House Health Care Committee has agreed to discuss the proposal this year, although the Democratic leaders of the Vermont House and Senate are putting their efforts instead toward an expansion of Catamount Health for small businesses.
McFaun said the strong support from Vermonters for the bill has led to the committee agreeing to “take a look at the principles” of the proposal. If enacted, Vermonters could rest up and heal after a hospital visit instead of worrying out to pay the bills, he said.
Rep. Hilda Ojbiway, D-Hartford, who along with Rep. Michael Obuchowski, D-Rockingham are also sponsoring McFaun’s bill, told supporters to keep the pressure on their lawmakers throughout the year.
“Letters and e-mails are nice, but face-to-face works better. Find a page and then rage and engage,” she said, referring to the Statehouse’s system of legislative pages who track down lawmakers during the session.
As Gov. James Douglas gave his weekly press conference in his ceremonial office at the Statehouse, the crowd gathering in support of the single-payer hospital plan could clearly be heard just around the corner.
Douglas said he is interested in lowering premium costs for Vermonters and would listen to any idea, although he said he is “skeptical of capping hospital costs.” He added that he has serious concerns about the funding mechanism for the single-payer hospital plan.
“We can’t continue going to the well,” Douglas said, referring to the burden Vermonters are feeling from state taxes.
The Vermont Hospital Security Plan does not come with a suggested funding source. Richter said that detail would be worked on in committee, but she suggested one way would be a $225 annual fee on all Vermonters and a 5.5 percent payroll tax.
Paul Millman, the CEO of Rockingham’s Chroma Technology, said he supports the bill because he is already paying about $11,000 per employee each year in health care costs. Under the payroll tax funding scenario, that cost would drop down to less than $3,000.
The health care system now in place is a “drag on business development,” he added. He said Douglas should keep that in mind as he considers the proposal.
“If this governor really wants to build up business in the state, he should stop thinking ideologically and start thinking practically,” Millman said.
Supporters of the single-payer hospital system will return to the Statehouse on Feb. 7 to again lobby lawmakers to support the proposal, Richter said. Another rally is also planned for March to keep the pressure going.
Contact Daniel Barlow at Daniel.Barlow@rutlandherald.com.
