Chapter 503

2004 -- H 8517

Enacted 07/07/04

A N A C T

RELATING TO HUMAN SERVICES -- THE RHODE ISLAND HEALTH CARE REFORM

ACT OF 2004 -- RESTRUCTURING STATE GOVERNMENT REGULATION OF HEALTH

INSURANCE

Introduced By: Representatives Costantino, Corvese, Kennedy, Menard, and Lima

Date Introduced: May 11, 2004

It is enacted by the General Assembly as follows:

     SECTION 1. Section 40-8.4-14 of the General Laws in Chapter 40-8.4 entitled "Health

Care For Families" is hereby amended to read as follows:

40-8.4-14. Permanent joint committee on health care oversight. -- (a) The legislature

hereby finds and declares that: (1) access to affordable, quality health and long-term care is of

concern for all Rhode Islanders, (2) the complexities of the health insurance and health care

delivery systems result in inefficiencies, confusion and additional costs for consumers and other

participants in the health care system, (3) reform to the health insurance and health care delivery

systems is achievable only through an ongoing, focused, directed, and informed effort, and (4)

steps taken to reduce the numbers of uninsured Rhode Islanders, enhance the quality of care,

contain costs, assure accessibility to services, and promote healthy lifestyles should be monitored,

adjusted or expanded as needed. Therefore, there is hereby created a permanent legislative

committee to monitor, study, report and make recommendations on all areas of health care

provision, insurance, liability, licensing, cost and delivery of services, and the adequacy, efficacy

and efficiency of statutes, rules, regulations, guidelines, practices, and programs related to health

care, long-term care, or health insurance coverage in Rhode Island.

      (b) The committee consists of twelve (12) members of the general assembly: six (6) of

whom shall be members of the house of representatives, to include the chair or vice chair of the

committee on finance, the chair or vice chair of the committee on corporations, the chair or vice

chair of the committee on health, education and welfare; and one of whom shall be from the

minority party, to be appointed by, and to serve at the discretion of, the speaker of the house of

representatives; and six (6) of whom shall be from the senate, to include the chair or vice chair of

the committee on finance, the chair or vice chair of the committee on corporations, the chair or

vice chair of the committee on health, education and welfare; and one of whom from the minority

party, to be appointed by, and to serve at the discretion of, the president of the senate.

      (c) The committee shall have co-chairpersons, one appointed by the speaker of the house

of representatives and one by the president of the senate.

      (d) The committee may review or study any matter related to the provision of health care

services and long-term care that it considers of significance to the citizens of Rhode Island,

including the availability of health care, the quality of health care, the effectiveness and efficiency

of managed care systems, the efficiency and the operation of state health care programs, and the

availability of improved processes or new technologies to achieve more effective and timely

resolution of disputes, better communication, speedier, more reliable and less costly

administrative processes, claims, payments, and other matters involving the interaction among

any or all of government, employers, consumers of health care, providers, health care facilities,

insurers and others. The committee may request information from any health care provider, health

care facility, insurer or others. The committee may request and shall receive from any

instrumentality of the state, including the department of human services, the department of

business regulation, the department of health, the department of mental health, retardation, and

hospitals, the department of elderly affairs, and the long-term care coordinating council, or any

other governmental advisory body or commission, including, but not limited to, the governor's

advisory council on health, such information and assistance as it deems necessary for the proper

execution of its powers and duties under this section, including the annual report of the governor's

advisory council on health. The committee will undertake a comprehensive study of the state’s

regulatory structure for health insurance including the roles, relevance, impact and coordination

of current state laws and agencies involved in insurance oversight. This study will include any

necessary recommendations for the restructuring of the state’s laws and regulatory bodies. Said

recommendations will be made to the speaker of the house and the president of the senate on or

before March 1, 2005.

      (e) In addition to the notification regarding regulations required under section 40-8.4-

10(b), the department of human services shall file with the permanent joint committee on health

care oversight a detailed plan for the implementation of the programs created under this chapter

by August 1, 2000.

      (f) The committee shall have the power to hold hearings, shall meet at least quarterly,

may make recommendations to the general assembly, state agencies, private industry or any other

entity, and shall report to the general assembly on its findings and recommendations as it

determines appropriate.

     SECTION 2. This act shall take effect upon passage.

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LC03371

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