Fiscal impact
reports (FIRs) are prepared by the Legislative Finance Committee (LFC) for
standing finance committees of the NM Legislature. The LFC does not assume
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in
SPONSOR |
Cordova |
DATE TYPED |
|
HB |
HJM-38 |
||
SHORT
TITLE |
Require Early Intervention Services Insurance |
SB |
|
||||
|
ANALYST |
Chabot |
|||||
APPROPRIATION
Appropriation
Contained |
Estimated
Additional Impact |
Recurring or
Non-Rec |
Fund Affected |
||
FY04 |
FY05 |
FY04 |
FY05 |
||
|
|
|
See
Narrative |
|
|
(Parenthesis
( ) Indicate Expenditure Decreases)
LFC Files
Responses
Received From
Children,
Youth and Families Department (CYFD)
Department
of Health (DOH)
Public
Regulatory Commission (PRC)
SUMMARY
Synopsis of Bill
House Joint Memorial 38 requests DOH convene a
task force to study ways to require insurers to cover early intervention
services for infants and toddlers with developmental delays or disabilities. DOH is to report on the findings of the task
force to the interim legislative health and human services committee and the
legislative finance committee by the October 2004 meetings.
Significant Issues
According to HPC, based upon a report found at
FirstSigns.org, with proper intervention, a child can overcome a wide range of
developmental problems. Intensive,
well-designed and timely intervention can improve the prospects—and quality of
life—for many children who are considered at risk for cognitive, social, or
emotional impairment….Opportunities for early intervention…may lead to more
productive lives for these people, and may also lead to reductions in treatment
costs of those same individuals in their later years.”
DOH states the Legislature should explore
additional revenue sources for providing early intervention services for two
reasons:
DOH estimates approximately $1.5 million in
additional funding is needed to provide rate increases to service providers.
Insurance coverage for these services would help
defray costs to families of individuals needing services. Other states have passed legislation limiting
exposure for private health insurance companies to a defined amount (ranging
from $2,500 to $4,500 per year).
DOH adds “A taskforce that includes health
insurance providers, the New Mexico Insurance Commission and the early
intervention community at the table has the potential to creating recommendations
for legislation that could work for all parties.”
PRC Insurance Division would use existing staff
to serve on the task force.
FISCAL IMPLICATIONS
Task force expenses would have to be paid from
agency operating budgets.
TECHNICAL ISSUES
DOH recommends changing “1997” on Page 2, Line
20 to “2000”. The agency states
increases in reimbursements for some services were made in 1999-2000.
OTHER SUBSTANTIVE ISSUES
While CYFD was not
identified in the memorial as a participant on the taskforce, the agency will
be available to provide information and assistance to the task force as needed.
POSSIBLE QUESTIONS
GAC/lg