Health Insurance Reform, What Does It Mean for Maine

Health care legislation passed by the U.S. House of Representatives will make health care affordable for the middle class, provide security for seniors, and guarantee access to health insurance for the uninsured – while reducing the federal deficit by over $100 billion over the next 10 years and $1.2 trillion in the second 10 years. This analysis examines the benefits of the legislation in Maine.

In Maine, the health care reform bill will:

• Improve coverage for 771,000 residents with health insurance.
• Give tax credits and other assistance to up to 359,000 families and 38,900 small businesses to help them afford coverage.
• Improve Medicare for 255,000 beneficiaries, including closing the donut hole.
• Extend coverage to 63,000 uninsured residents.
• Guarantee that 17,800 residents with pre-existing conditions can obtain coverage.
• Protect 1,400 families from bankruptcy due to unaffordable health care costs.
• Allow 90,000 young adults to obtain coverage on their parents’ insurance plans.
• Provide millions of dollars in new funding for 133 community health centers.
• Reduce the cost of uncompensated care for hospitals and other health care providers by $139 million annually.

Changes that would occur this year include:

• Dependent children could remain on their parents’ health insurance plans until age 26.
• Some senior citizens would get more help paying for drugs in Medicare.
• People with health problems that left them uninsurable could qualify for coverage through a federal program.
• Other first-year items include a ban on lifetime limits on medical coverage, more oversight of premium increases and tax credits for some small businesses.

New help for some uninsured: People with a medical condition that has left them uninsurable may be able to enroll in a new federally subsidized insurance program that is to be established within 90 days. The legislation appropriates $5 billion for this, although that may not be enough to cover all who apply; it’s not clear how much consumers would pay as their share of the cost. About 200,000 people are covered in similar state programs currently, at an estimated cost of $1 billion a year, says Karen Pollitz, a research professor at Georgetown University.

Discounts and free care in Medicare: The approximately 4 million Medicare beneficiaries who hit the so-called “doughnut hole” in the program’s drug plan will get a $250 rebate this year. Next year, their cost of drugs in the coverage gap will go down by 50 percent. Preventive care, such as some types of cancer screening, will be free of co-payments or deductibles starting this year.

Coverage of kids: Parents will be allowed to keep their children on their health insurance plan until age 26, unless the child is eligible for coverage through a job. Insurance plans cannot exclude pre-existing medical conditions from coverage for children under age 19, although insurers could still reject those children outright for coverage in the individual market until 2014.

Tax credits for businesses: Businesses with fewer than 25 employees and average wages of less than $50,000 could qualify for a tax credit of up to 35 percent of the cost of their premiums.

Changes to insurance: All existing insurance plans will be barred from imposing lifetime caps on coverage. Restrictions will also be placed on annual limits on coverage. Insurers can no longer cancel insurance retroactively for things other than outright fraud.

Government oversight: Insurers must report how much they spend on medical care versus administrative costs, a step that later will be followed by tighter government review of premium increases.

The big changes in the law – the ones that could affect tens of millions of people – don’t kick in until at least 2014. Those include insurance marketplaces called “exchanges”; rules requiring insurers to accept all applicants, even those with health problems, and an expansion of state Medicaid programs.
Sources:  House Committee on Energy and Commerce & US Congress

Rep. Flaherty: Free tax preparation services available in local area

AUGUSTA – State Rep. Sean Flaherty, D-Scarborough, is encouraging constituents to take advantage of free tax preparation services provided by the local area AARP Tax-Aide program.

“This is a great program that can get people the help they need in filing their taxes and getting their refund,” said Flaherty. “I encourage anyone who is eligible to take advantage of the program.”

AARP Tax-Aide is the nation’s largest free, volunteer-run tax assistance and preparation service. It is available to taxpayers with low- and moderate-incomes and gives special attention to people age 60 and older. Consultations are available by appointment during limited times at AARP’s Main office at 685 Congress Street in Portland.

The tax preparation program offers one-on-one counseling, as well as assistance on the telephone and internet to help individuals prepare basic tax forms. It is available through April 15.

Last year, AARP Tax-Aide and similar statewide programs helped Maine residents get back more than $13.9 million in federal and state refunds, including $3.62 million in Earned Income Tax Credits.

“The tax code has seen considerable changes in recent years and taxpayers may not be getting the full refund they are entitled to,” said Flaherty. “This service will make sure folks get good information so they can get the full refund they are due.”

For more information visit AARP Tax-aide; or call toll free 1-888-OUR-AARP, locally 776-6316 or the Maine state services line at 211.

Contact:
Rep. Sean Flaherty, 450-4188

Friends,

It is hard to believe, but it’s now been 2 years since I first announced my intent to represent our community in the State Legislature.  Two years ago, no one in the State could have predicted that a young political new-comer could unseat a well respected incumbent here in Scarborough.  But with your help and support, we were able to garner a sizable 12 point margin of victory.  Now, it’s time to campaign again, and the first step is qualifying for Clean Election financing.

For more info and to donate a $5 contribution here: www.maine.gov/cleanelections

Over the past two years, I’ve dedicated myself to my job in Augusta.  I’ve worked side-by-side with Legislators, residents, and businesses from across the State, on both sides of the aisle, and on a variety of issues.  Perhaps no issue has been more important to me than working aggressively to build a Greener Maine Economy.

Serving on the Utilities and Energy Committee has enabled me to shape laws encouraging business and home owners to weatherize their homes, support community renewable power generation, and create NEW jobs for Maine workers.  We were also able to support direct economic development in Scarborough by passing a State-wide Pine Tree Zone Business Tax Exemption status that will finally enable Scarborough and other communities in Cumberland County to attract new or growing businesses to the Greater Portland Area.

We lowered the State’s income tax, across the board, by roughly 20% (that issue will be up for a Statewide vote in June), to encourage small business owners to reinvest in their companies by having more disposable income each week.  And we balanced our State budget, twice already, with a third time coming, without raising taxes.

We have much to be proud of, but much more work is to be done.  And I’ll need your support to be able to continue the work we’ve started and expand on the victories we’ve earned.

The first step is to qualify for Clean Election financing of my campaign.  In the next couple of weeks, I need to collect enough $5 contributions.

Please go to www.maine.gov/cleanelections the Clean Election fund to help me qualify.

Or, if you prefer not to donate online, please shoot me an e-mail SeanFlahertyforScarborough@gmail.com and I’d be happy to stop by your home, or meet you for coffee.  Either way, I truly appreciate your support and thank you for the honor of representing you in Augusta.

Yours truly,

Sean

Sean Flaherty, State Representative
Maine House District 127 - Scarborough

PO Box #6998
Scarborough, ME 04070

207.450.4188 (c)
RepSean.Flaherty@legislature.maine.gov

www.SeanFlaherty.org
www.twitter.com/SeanFlahertyME

House passes Rep. Flaherty’s consumer protection legislation
Bill provides transparency, protocols for mandatory binding arbitration

AUGUSTA – The Maine House of Representatives gave initial passage Wednesday to legislation sponsored by Rep. Sean Flaherty, D-Scarborough, that would protect consumers involved in mandatory arbitration contracts.

The bill requires arbitrators to disclose information about past arbitrations and the arbitration process on their Web sites. Mandatory arbitration clauses are often found in the fine print of many contracts for credit cards, cellular phone, and car purchases. They require consumers to settle disputes outside of court through an arbitrator.

“Most consumers are not even aware that they are bound by mandatory arbitration agreements,” said Flaherty.  “The passage of this bill will help protect consumers by giving them more information about arbitration and particular arbitrators, should they enter the process.”

Starting Jan. 1, 2011, those who conduct consumer arbitrations will be required to have a Web site, which will provide consumers with information including: the cost and fees of arbitration, types of disputes they have been involved in, if the consumer was the prevailing party, if attorneys were involved and the amount of an award given, if any.

“This bill protects both the consumer and businesses alike, by placing the burden on the arbitrators to provide Maine consumers with this information.” said Flaherty.

The bill underwent significant negotiations during the past year resulting in strong bipartisan support for the legislation.

The bill, L.D. 1256, faces further votes in the Senate. More information can be found at http://www.mainelegislature.org/LawMakerWeb/summary.asp?ID=280035549 .

Maine’s School Funding Formula Doesn’t Add Up!

• Our kids are paying the price
• Teachers are loosing their jobs
• We MUST re-examine how we fund education in Maine, so this doesn’t happen to us again.

At the March 4th Scarborough School Board Meeting, while working with the Scarborough School Board on the budget crisis, Representative Flaherty specifically requested that Scarborough residents e-mail him thoughts and concerns around the State’s funding formula for education.

“I will turn in a packet of responses to members of the Education Committee,” Flaherty said.  “I think it is important for those members to understand how the outdated and unfair School Funding Formula affects the every day lives of taxpayers, students, and parents.

Scarborough stood to loose more than $2,000,000 of State aid from the original 2010 budget.  Although recent revenue re-projections may restore about $500,000, Representative Flaherty has said that it is not enough.

“We get hit harder than almost any other district in the State,” Flaherty added, “There is something wrong with the equation, and the Education Committee must work fast to address these issues.”

Representative Flaherty has asked that Scarborough citizens e-mail him at RepSean.Flaherty@legislature.maine.gov or fill out the form below so that he can compile, organize, and submit your concerns.

To submit your thoughts or concerns about the School Budget crisis and how it is affecting your family, please complete the form below:

SAMPLE LETTER:
Dear Legislator,

I know you do not represent my town, but the work you do affects all Maine residents.

- Scarborough lost nearly 30% of its State Aid as a result of State the budget cuts over the last year and ½.
- Our district has some of lowest administrative costs in the State, so cuts to our district are disproportionately harming our kids.
- It may be too late to affect this year’s budget, but we can’t afford to face these types of cuts in future years.

I respectfully urge you, as a member of the Education and Cultural Affairs Committee, to not only “tinker” with this formula, but seriously look at overhauling the way the State allocates much needed school funding.

Thank you for your attention to this important matter,

cforms contact form by delicious:days

STORM SWIM TEAM COACH LOOKS BACK
From the March 5th Scarborough Leader
Written by Martha Williams, Special Contributor

With a strong showing in the state meets and a win in the South Western Conference Championship, Red Storm swimming has reason to be proud.

Coached by Sean Flaherty, class of 2003, and current State Representative from Scarborough, the team continues a proud tradition dating back to 1939, in an era that saw the beginning of interscholastic competition in several sports. Ken Dolloff, class of 1940, swam for Scarborough that year, adding to his accomplishments in track and basketball. He recalled the Triple-C meets held in the Portland YMCA pool and the rivalries among neighboring towns.

Flaherty shared his thoughts on the conclusion of his first season as coach of both the boys and girls swim teams.

“After my first season as coach of the swim team, I certainly had a lot of memories come back.

“I remember the great sportsmanship that our program was so well know for. During the course of four seasons, Scarborough won the state’s sportsmanship award two of those years, both boys and girls. In 2003 Southwestern Swim League officials were so impressed with our great sportsmanship, they awarded us a special sportsmanship banner after the season.  “We had our own goofy inside jokes, like Perry Como, the crooners CD, was exchanged in one of the annual Yankee swap holiday parties, and it became one of the swim team’s unofficial mascots and running jokes. To this day, the Scarborough boys swim team can be heard chanting “P-E-R-R-Y-C-O-M-O, Perry Como!” at any given meet.

“That was one of the best parts about being part of the Scarborough team. Not only were we perennial contenders for state championships during those four years, but we probably had more fun than any other team. At least, it always felt that way.

“We also took three of four conference titles. The only one we lost was by four points and were outscored by 30- plus points in diving, because this was before Scarborough even had a diving team. “I’ll never forget my freshman year, we finished a very strong second place at the state meet after winning a conference title. We had great senior leadership in Tom Hendrix and Jason Schellkopf (who went on to be Scarborough’s assistant coach for five years).

“One of the best races, which parents, kids, coaches and officials still talk about, was the girls 500-yard freestyle in 2003 at the Class B state championship. My younger sister, Jenn, was up against the defending champion in the event, McAuley junior Kary Goodman.   My sister was only a sophomore and both were gunning for the meet record. Goodman had great turns, and powerful underwater speed and started every length of the pool with a good lead. But Jenn would fight back through the water, nearly catching her on each length.

“By the last 100 yards, Jenn was losing less and less on each 25, and by the very last 25, she was dead even after 475 yards. The two girls turned for the final lap and grinded out everything they had left.

“I had never heard a pool so loud. I had the privilege of watching my little sis, attack that last length, and beat the McAuley star to the wall. Both swimmers broke the Class B meet record, but at the end of the day, it was this little sophomore from Scarborough who went on to win the meet. It was amazing and something I will always tell my swimmers about for years to come.

“Coming back to the program as a coach has been so much fun. I had the privilege of coaching one of the top athletes in the state, Robby Gravel, a senior at Scarborough, who because of conflicts with his club team, swam for Scarborough for his first time this season. At the Class A State championship meet, the 200 individual medley was hailed as the “race to watch.” The race didn’t disappoint.  Gravel pulled ahead of Wells after the breaststroke and held off Wells in the freestyle to break the state record I held for eight years.

“I don’t remember a time when two swimmers simultaneously swam faster than a state record, never mind have the current record holder standing on the deck, coaching one of them.

“It was one of the most amazing races to be a part of, and I am so excited that it will stay a Scarborough record.”

Efficiency Maine Awards $635,000 for New Energy Efficiency Projects
Town of Scarborough Secures $33,000 for Infrared Heaters & Lighting Retrofits

Augusta, Maine— The Maine Public Utilities Commission’s Efficiency Maine program announced the award of $635,000 for energy efficiency projects at 19 commercial, municipal and non-profit facilities across Maine.    The funding is provided by the federal American Recovery and Reinvestment Act of 2009 (ARRA) for commercial energy-related programs in the state.

“Last year, when we established the Efficiency Maine Trust, this is exactly what we had in mind,” said Representative Sean Flaherty (District 127, Scarborough), who serves on the Legislature’s Utilities and Energy Committee.  “I couldn’t be more proud that Scarborough was able to secure part of the grant for some much needed upgrades.”

PUC Chair Sharon Reishus explained, “After a competitive bidding process, we are pleased to have identified 19 projects to receive these valuable funds. The projects all promise significant energy savings, carbon emission reductions and state economic stimulus–which are goals of our state energy policy and the federal program.”

The Commission’s Efficiency Maine worked with the Office of the Governor and the Legislature to set aside $2 million for commercial grants out of the approximately $40 million provided by ARRA  for energy-related projects.  Efficiency Maine also manages separate energy efficiency grants and incentive programs for the residential and industrial sectors.

Efficiency Maine’s Commercial Grant Program–which administers the grants announced today—allowed participants to apply for grants of up to $50,000. Applicants were required to demonstrate the ability to provide matching funds at least equal to the amount of grant funding requested.   Importantly, the funding provided through these grants will leverage $1.28 million in additional private investment. Grant applications were scored on their technical viability, economic impact, energy savings, budget and on the qualifications of the delivery team.  Winning proposals included boiler upgrades, solar thermal systems, and heat recovery projects.

“My number one goal during this legislative session was to ensure that Maine took advantage of tremendous opportunities around energy efficiency and renewable energy,” noted Flaherty, “this is proof that what we are doing is working; and Mainers and Maine small businesses will start seeing immediate benefits.”

Efficiency Maine will conduct a second round of grant applications for the Commercial Grant Program within the coming months.

###

Partisan showdown undermines needs of Maine workers

Contributed by Rep. Flaherty to the Augusta Insider March 1st, 2010

Let me preface this, my first contribution to the Augusta Insider, by saying that I honestly believe most folks who are elected to go to Augusta believe that they can work in a bipartisan fashion. I serve on the Utilities and Energy Committee, which last session had the highest percentage of unanimous committee reports. I can count on one hand, the number of bills that we didn’t come to a consensus on. And, if my memory serves me correctly, only one of those unresolved issues was a result of partisan disagreements.

So I can say with certainty that most of us up here really want to find a way to come together and help the people of Maine.

However, a debate last week on the House floor devolved into a partisan showdown, and Maine workers nearly paid the price.

Under current Maine law, laid off workers have to wait until their unused vacation pay is used up before they can receive unemployment benefits. The legislation in question allows for laid off workers to begin collecting unemployment immediately, regardless of how much vacation pay they have earned.

The rationale behind the bill is simple. Vacation days aren’t salary; they are earned benefits that all workers are entitled to receive should they get laid off. And the fact that a worker saved up some vacation time should not stand in the way his or her access to one of the most important safety nets that our country offers; unemployment.

The issue was one of fairness, and it’s an issue many other states have already addressed. Maine is just now, join them.

Yet despite what should have been a bi-partisan vote in favor of the legislation, what ensued was a nearly completely partisan debate and vote on the bill. Nearly 90 percent of dissenters were Republicans.

Why would Republicans take issue with workers receiving both their unemployment benefits and their unused vacation pay? Because corporate lobbyists suggested that this would result in a .08 percent increase in unemployment insurance. Let me repeat that statistic – .08 percent increase! This equates to those workers being able to potentially receive unemployment benefits a little sooner, when they need it the most.

The bill did not increase unemployment benefits. The bill did not extend the length of time people could receive unemployment benefits. The bill simply stated that a worker doesn’t have to wait to collect their unemployment just because they saved up some of their vacation days.

It’s a matter of equal treatment, in my mind. How is vacation pay any different than the “golden parachutes” that top executives get when they get laid off? It’s not. And the laid off executive doesn’t deserve to collect unemployment any faster than the construction worker who worked hard and saved his vacation time.

I support businesses in Maine and I believe my voting record would prove that. I am also a member of the Bipartisan Moderate Caucus which focuses exclusively on small business issues and attempts to work on a bi-partisan basis to improve (or defeat) legislation that affects Maine businesses.

But today’s vote should not have been framed as anti-business or pro-worker. It was just common sense.

I don’t understand how an elected official could go back home, look their constituents in the eye, and say to workers, “you don’t deserve to receive your unemployment until your old vacation time runs up because it may result in a .08% increase to the unemployment insurance that the people who laid you off may have to pay.”

Too often, we forget that it’s real people, not just statistics, who work these jobs. And it’s working families who suffer the most during hard times.

If there was ever a doubt as to which party is fighting for working families in our State, and which one supports the corporate lobbyists, there shouldn’t be now!

Bill to stimulate, not mandate, energy savings

BY ETHAN WILENSKY-LANFORD, Staff Writer
From the February 23rd, Kennebec Journal

A bill some believe could spark a new industry based on creating efficiencies in the state’s electricity market has garnered the unanimous support of the Legislature’s Utilities and Energy Committee.

L.D. 1647 would require the Public Utilities Commission, which regulates the state’s electricity market, to request contracts for efficiency projects in the same vein it now requests and handles contracts for energy production.

“The wonderful thing about efficiency is that it is cheaper than supply, it is cleaner than supply, and it also creates jobs that cannot be exported,” said House Majority Whip Seth Berry, D-Bowdoinham, who sponsored the bill.

The 2009 annual report from Efficiency Maine — the state agency for for efficiency programs that will be spun off from the PUC this summer — said it costs 4.1 cents to save a kilowatt-hour of electricity. The electricity cost for most customers in the state is at least 9 cents per kwh.

If the bill is implemented, Berry said a percentage of ratepayers’ electricity bills would be channeled to the Efficiency Maine Trust, which would implement programs to encourage homeowners and businesses to use less energy.

Berry said 15 percent of a homeowners electricity bill might go to the trust, which then, for example, could help provide new energy-efficient dryers to people with old inefficient models.

Businesses would be able to save even more electricity than homeowners, Berry said, by retrofitting wasteful energy hogs such as old lighting systems with new, more efficient fluorescent lamps. Any industrial system that uses a motor or compressor also could be upgraded.

“Drives and compressors in manufacturing processes often have two speeds — on or off,” Berry said. “If you install today’s technologies, which essentially ramp them up slowly, and only apply the energy when it’s needed, there are tremendous savings that result.”

The bill would allow large industries to contract directly with Efficiency Maine or contractors to act as middlemen to “harvest megawatts” from the grid.

Industrial energy consumers worked with Berry to craft an amendment to allow the PUC to buy renewable energy certificates, or RECs , which are issued when a power generator produces energy by renewable means, such as burning wood chips.

Statute requires a growing percentage of Maine’s and other state’s energy output to be renewable; this gives these certificates a market value. With this bill, the PUC could allow ratepayers to essentially invest in renewable energy through this mechanism.

Central Maine Power Company had opposed the bill but its spokesman, John Carroll, said the company supported it after the committee made several changes.

“We actually think that the process has been constructive, and we’re satisfied that the committee has been able to satisfy many of our concerns with the bill,” Carroll said.

One change Carroll said he liked — made Thursday, shortly before the committee voted to support the bill — gives the PUC discretion, instead of a mandate, on whether to enter into efficiency contracts.

“It makes it a lot better bill,” said Rep. Ken Fletcher, R-Winslow. “We can’t just put this thing on automatic pilot. We think that this is such a critical area that we need to let the PUC, through their deliberations, exercise their discretion.”

The PUC already has the power to require utilities to enter into these types of contracts, and has made efficiency a “top priority” for bid acceptance, PUC spokeswoman Evelyn deFrees said. It has not, however, entered into any contracts requiring utilities to provide efficiencies to ratepayers, so far.

Dear Editor:

Last week’s article in the Scarborough Leader (“Groups seek to ensure play open to all”) made some very strong points regarding High School sports in Scarborough.  However, it failed to mention that at least two teams at the Varsity level already have significant financial burdens.

Scarborough obviously doesn’t have the facilities to support this program, yet the school offers to pick up only half of the very expensive pool time.  As a result, the 71 member team (which has only just 2 coaches) is split up daily and bussed off to separate facilities in Portland.

What does this mean for our athletes?  Each swimmer or diver is expected to pay or fundraise $150 dollars just to be part of our team.  Additionally, our athletes are expected to purchase their own equipment and team gear.

So while other athletes and families are now facing fees and fundraising, let’s not forget that there are already programs at Scarborough High School who face these financial burdens and have been doing so since the program’s inception 14 years ago.

As Scarborough’s the largest sport with more than 70 athletes, and arguably one of the most successful (both the Boy’s and Girls’ team finished Runners Up at this years’ Class A Swimming Championship), I hope that members of the school board and our community understand that pushing the burden on our swim team any further would spell even greater hardship to a program that has had already faced tremendous obstacles and yet always finds a way to be successful.

State Rep. Sean Flaherty
District 127 (Scarborough)
Head Varsity Swimming and Diving Coach