Oregon

Status of reform effort: The Oregon Health Trust Board has been charged with creating a comprehensive health care plan by February 1, 2008. The Governor’s Healthy Kids Plan was approved, but the funding was contingent upon a 2007 ballot initiative to increase the tobacco tax. This measure was not approved by the voters.

On June 28, 2007, Governor Ted Kulongoski (D) signed the Healthy Oregon Act, which provides a detailed timeline for developing a full-scale health reform plan to be passed by the 2009 legislature.  The bill established the Oregon Health Trust Board, which is responsible for gathering public input and creating a comprehensive health care plan.  In September 2007, the Governor appointed members to the Oregon Health Trust Board.

The legislation mandates that by February 1, 2008, the Oregon Health Trust Board must present a plan to the legislative assembly on the potential design and implementation of a Health Insurance Exchange.  This Exchange would serve as a central forum for uninsured individuals and businesses to purchase affordable health insurance.  The bill also requires the Board to report to the legislative assembly no later than February 29, 2008 on the progress toward developing a comprehensive health care plan.  Public meetings will be held between February 2007 and October 2008.  A comprehensive plan is due to the Governor, Speaker of the House and President of the Senate on October 1, 2008, and is scheduled to be submitted to the Legislative Assembly during the 2009 legislative session.

Simultaneously, Governor Kulongoski has sought to expand coverage for children.  In September 2006, he proposed the Healthy Kids Plan, which includes the following components:

• Expand Medicaid and SCHIP eligibility for children with family incomes up to 200 percent of the federal poverty level;
• Create a separate private insurance option for children in families with higher incomes;
• Provide premium subsidies to children in families with incomes between 200 percent of the federal poverty level and three hundred percent of the federal poverty level;
• Allow children in families with higher incomes to buy-in to the program at full cost. 

On August 9, 2007, Governor Kulongoski signed the Healthy Kids Plan, which authorizes the children’s eligibility expansion, but made the program funding contingent upon the passage of the Measure 50 ballot initiative.  The ballot initiative, which proposed an 84-cent increase in the state tobacco tax, was not approved by voters on the November 2007 ballot.  The plan will not be implemented unless another financing mechanism is agreed upon.*