OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http: //www.cga.ct.gov/ofa

sHB-5450

AN ACT ESTABLISHING A BASIC HEALTH PROGRAM.

AMENDMENT

LCO No.: 4921

File Copy No.: 315

House Calendar No.: 256

OFA Fiscal Note

State Impact: See Below

Municipal Impact: None

Explanation

The amendment strikes the underlying bill and its associated fiscal impact. The amendment requires the special advisor to the Governor on Healthcare Reform to establish a working group whose purpose is to recommend the feasibility of implementing a Basic Health Program (BHP) , within available federal subsidies. The amendment requires the Department of Social Services to implement any approved recommendations for implementation and enrollment in the BHP beginning January 1, 2014. As the amendment requires the program to be fully supported by federal subsidies, if the BHP program is established there will be no cost to the state.

If a BHP is implemented and the benefits are the same as those under Medicaid then under the provisions of the amendment there will be an annual savings to the state Medicaid program of approximately $72 million. The savings are contingent on HUSKY parents over 133% of the federal poverty level moving into the Basic Health Program. If the BHP is implemented with different benefit levels than the Medicaid program this population will remain in Medicaid and no savings will result.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.