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The state of Oregon won’t be able to use a steep spike in the cigarette tax for children’s health care, but politicians on both sides of the political aisle agree that something must be done about the way health care is managed.
“Clearly, health care is going to be an issue for all Oregonians, not just kids,” Sen. Floyd Prozanski, D-Eugene, said in an interview Friday.
Measure 50, which was rejected in Tuesday’s election, would have raised the tobacco tax 84 1/2 cents to $2.025, the third-highest in the country, to potentially provide health care to about 90,000 Oregon children with the Healthy Kids Program.
“Measure 50 failing was expected,” said State Sen. Jeff Kruse, R-Roseburg. “I think people are tired of more and more taxes. I’m hoping it will lead us into a discussion on real health care reform.”
The measure was tossed by a margin of 60 to 40 percent in Oregon, but lost in Douglas County by a more than 3-to-1 margin.
“The Healthy Kids Plan was just a further intrusion of government into private health care,” Kruse said. “I’m hoping this will lead us to solutions outside of government.”
Kruse has been appointed to the seven-member Special Senate Committee on Health Care Reform. He also vice-chairs the Senate Health and Human Services Committee and sits on the Health Policy and Public Affairs committee.
Linda Mullins, the director of the Umpqua Community Health Clinic in Roseburg, said without the Healthy Kids Program, the status quo will continue, with kids ending up at the emergency room for ailments that could be treated at her clinic.
“We won’t be able to afford to be open to more patients like we hoped to,” Mullins said.
It is unknown at this point whether the Legislature will have time to take up the health care issue at all in its special session in February. More likely, the topic will have to wait until the next delegation takes office in 2009.
“I would say it would be back on the table in January ’09 with some other taxes,” Kruse said. “(The Democrats’) game plan for ’09 depends on how they do in November of ’08.”
The Democrats control the state Senate by an 18-11 margin, with one independent, and they control the lower House by a 31-29 margin. The election a year from now could alter the makeup of the 2009-10 legislative assembly.
Prozanski, who serves North County, said the Legislature will have to identify a different, more comprehensive revenue source to fund any expanded health care programs, but the Democrats would probably seek to restore the cigarette tax to $1.28 a pack.
The Oregon tobacco tax went down 10 cents after Measure 30 failed in 2004 to its present level of $1.18, the 18th-highest in the nation.
“I think you will see an effort to get that back into place,” Prozanski said. He said if that money could be used for tobacco prevention, it would keep health care costs down by persuading people to not take up smoking in the first place.
Kruse would like to see Oregon push health savings accounts, a benefit already offered by some employers.
In health savings accounts, individual employees choose to defer a certain amount of money each paycheck into an account that could be dipped into tax-free to cover medical expenses when needed.
“With a health savings account, there’s an incentive to do preventive things and make lifestyle changes,” Kruse said.
Kruse said, over time, if employees don’t get sick, they could even come out ahead with these accounts. The money would cover critical health problems while giving employees a vested interest in staying healthy.
Prozanski was less confident the accounts would do enough to protect Oregonians.
“It puts a lot of pressure on families to anticipate the unexpected,” Prozanski said.
He said he is skeptical at this point how health savings accounts could pencil out for families facing a sudden, traumatic situation like a car accident or major disease.
Mullins said the accounts are self-limiting and individuals can only afford to put so much money into the accounts. One hospitalization can wipe out the entire fund until it can be replenished.
“They’re a good solution for young, healthy people,” she said. “For older people who have a lot of health problems, probably not.”
• You can reach reporter Chris Gray at 957-4218 or by e-mail at cgray@newsreview.info.
“Clearly, health care is going to be an issue for all Oregonians, not just kids,” Sen. Floyd Prozanski, D-Eugene, said in an interview Friday.
Measure 50, which was rejected in Tuesday’s election, would have raised the tobacco tax 84 1/2 cents to $2.025, the third-highest in the country, to potentially provide health care to about 90,000 Oregon children with the Healthy Kids Program.
“Measure 50 failing was expected,” said State Sen. Jeff Kruse, R-Roseburg. “I think people are tired of more and more taxes. I’m hoping it will lead us into a discussion on real health care reform.”
The measure was tossed by a margin of 60 to 40 percent in Oregon, but lost in Douglas County by a more than 3-to-1 margin.
“The Healthy Kids Plan was just a further intrusion of government into private health care,” Kruse said. “I’m hoping this will lead us to solutions outside of government.”
Kruse has been appointed to the seven-member Special Senate Committee on Health Care Reform. He also vice-chairs the Senate Health and Human Services Committee and sits on the Health Policy and Public Affairs committee.
Linda Mullins, the director of the Umpqua Community Health Clinic in Roseburg, said without the Healthy Kids Program, the status quo will continue, with kids ending up at the emergency room for ailments that could be treated at her clinic.
“We won’t be able to afford to be open to more patients like we hoped to,” Mullins said.
It is unknown at this point whether the Legislature will have time to take up the health care issue at all in its special session in February. More likely, the topic will have to wait until the next delegation takes office in 2009.
“I would say it would be back on the table in January ’09 with some other taxes,” Kruse said. “(The Democrats’) game plan for ’09 depends on how they do in November of ’08.”
The Democrats control the state Senate by an 18-11 margin, with one independent, and they control the lower House by a 31-29 margin. The election a year from now could alter the makeup of the 2009-10 legislative assembly.
Prozanski, who serves North County, said the Legislature will have to identify a different, more comprehensive revenue source to fund any expanded health care programs, but the Democrats would probably seek to restore the cigarette tax to $1.28 a pack.
The Oregon tobacco tax went down 10 cents after Measure 30 failed in 2004 to its present level of $1.18, the 18th-highest in the nation.
“I think you will see an effort to get that back into place,” Prozanski said. He said if that money could be used for tobacco prevention, it would keep health care costs down by persuading people to not take up smoking in the first place.
Kruse would like to see Oregon push health savings accounts, a benefit already offered by some employers.
In health savings accounts, individual employees choose to defer a certain amount of money each paycheck into an account that could be dipped into tax-free to cover medical expenses when needed.
“With a health savings account, there’s an incentive to do preventive things and make lifestyle changes,” Kruse said.
Kruse said, over time, if employees don’t get sick, they could even come out ahead with these accounts. The money would cover critical health problems while giving employees a vested interest in staying healthy.
Prozanski was less confident the accounts would do enough to protect Oregonians.
“It puts a lot of pressure on families to anticipate the unexpected,” Prozanski said.
He said he is skeptical at this point how health savings accounts could pencil out for families facing a sudden, traumatic situation like a car accident or major disease.
Mullins said the accounts are self-limiting and individuals can only afford to put so much money into the accounts. One hospitalization can wipe out the entire fund until it can be replenished.
“They’re a good solution for young, healthy people,” she said. “For older people who have a lot of health problems, probably not.”
• You can reach reporter Chris Gray at 957-4218 or by e-mail at cgray@newsreview.info.
