LEG-REG REVIEW
by Phillips Associates

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LEG REG REVIEW
2004, Thirteenth Issue
 
LEG REG REVIEW is a periodic newsletter produced by PHILLIPS ASSOCIATES, a professional lobbying and consultant firm based near the State Capitol.  It contains news on the Legislative and Regulatory scene in Pennsylvania that may be of use to insurance producers, companies, and interested parties.  It is a free Member Service if you are a member of the Pennsylvania Association of Health Underwriters (PAHU) or the PA Surplus Lines Association (PSLA).  Subscription information may be obtained by contacting PHILLIPS ASSOCIATES at 717/728-1217, Fax 717/728-1164 or E-mail to xenobun@aol.com.
 
IMPORTANT NOTICE re subscription change to E-mail
Please email jtrout2792@aol.com supplying both your fax number and your desired email address.  If you do not wish to receive this publication, please let us know.
 
SENATE RETURNS TO HARRISBURG
The PA Senate returns to the Capitol this week.  Next week, both House and Senate will be in session.  No insurance bills are on the Senate agenda.  There is one Senate Resolution with health impact.  SR 207 (Orie-R-Allegheny) would ask the US Congress to designate Pennsylvania’s PACE program as the official recipient of drug benefits under the 2003 Medicare reform.
 
Legislative committee work includes:
·        House Labor Relations Committee May 4 on HB 1014 (Barrar-R-Lehigh).  This bill amends the Worker Compensation Act to expedite payments to WC claimants.
·        On May 4, Senate Finance Committee hearing on PA’s business tax structure.
·        On May 11, the Senate Banking and Insurance Committee informational meeting on SB 495 (Tomlinson-R-Bucks) mandating health coverage for colorectal screening.
·        This week marks the House deadline for amendments to the Budget Bill (HB 2579) that embodies Governor Rendell’s Budget for 2004-05.  The bill may see House action the week of May 10.
·        On April 29, the House State Government Committee held another hearing on the Governor’s strategic Sourcing Initiative to consolidate state procurements.  Unlike previous hearings where witnesses described economic hardship to PA businesses from the SSI, this hearing focused on a favorable reaction from women and minority interests that like the SSI women/minority firm requirement for the contract.
 
MED MAL CHARGES FLY
Public Citizen and the House Democratic Caucus attacked PA’s medical interests for allegedly misrepresenting figures on doctor flight because of Medical Malpractice awards.  Based on news reports suggesting that PA has seen a net increase in doctors, Minority Chairman Bill DeWeese (D-Greene) called on the medical community to stop “using misleading figures in their quest for the silver bullet of lawsuit caps.” 
 
Public Citizen’s April 30 news conference was more specific, claiming that the number of physicians has grown 1,859 from1994-2002, that the number of Mcare/Medcat claims dropped from 706 in 1999 to 699 in 2003, that overall claims only rose one percent from 1999-2003, and that jury verdicts are falling as are the $ one million awards (44 in 2000 versus 22 in 2002 and from $415 million in 2000 to $93 million in 2002).
 
PRIMARY SEES MINIMAL GENERAL ASSEMBLY CHANGE
The April 27 primary produced little change in the makeup of the General Assembly.   There may be only twenty or so truly contested races in the fall.  Only one incumbent, Michael Horsey (D-Phila.), was toppled by son of former congressman Lucien Blackwell Tom Blackwell.  There were close calls by Democratic Rep. William Reiger (Phila) who survived by fewer than 200 votes and by Republican Senator John Gordner (Columbia) who beat a challenge 46-43% from local physician Wayne Miller in the GOP primary.
 
Results with insurance significance include:
-         Licensed insurance producer Ross Schriftman, a licensed insurance producer who served for years as the legislative chairman for the Pennsylvania Association of Health Underwriters was unopposed in the Montgomery County/Phila. Democratic primary.  He is poised for a rematch against Sue Cornell who beat him in a special election in March to fill her father’s term.
-         Insurance Committee member Rep. Linda Bebko-Jones (D-Erie) won her primary with 60% of the vote and is unopposed in the fall.
-         Sharon Cole, a House staff person with Insurance Committee experience lost in the Republican primary to succeed Allan Egolf in the Perry County seat.  The winner is county commissioner Mark Keller.  He is unopposed in the fall.
-         House Insurance Committee Steve Nickol (R-York) defeated Will Taylor in the GOP primary 66-34%.  Nickol is unopposed in the fall.
-         Races of interest at the congressional level include long-term care insurance advocate John Peterson (R) winning his primary (uncontested in the fall); Melissa Brown defeating Rep. Ellen Bard in the Republican primary for the 13th congressional district (Mont. County) to square off against state senator Allyson Schwartz; state senator Charles Dent is the GOP nominee against Democrat Joe Driscoll in the 15th district (Pat Toomey’s seat); and finally, in the 17th district, Scott Patterno traded on JoPa’s name to win a six-way Republican primary with only 27% of the vote.  The incumbent is Democrat. Tim Holden in the fall.  Holden holds an insurance license.
 
GOVERNOR ESTABLISHES FINANCIAL EDUCATION EFFORT
On April 30, Governor Rendell announced the formation of the Task Force for Working Families and the Office of Financial Education.  Hilary Hunt heads the new office. Rep. Dwight Evans (D-Phila.), Democratic Appropriations Chairman and William Schenck, Secretary of Banking are co-chairs of the Task Force.  The focus of the Office of Financial Education is to coordinate greater cooperation between Comm9onwealth agencies addressing financial education and literacy.  The Task Force consists of sixty individuals from both public and private sectors although it is unclear yet as to how many financial planners or insurance producers are included.

 

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