Senator Mae Beavers

March 23, 2011

Capitol Hill Weekly

Governor Signs Health Freedom Act

Legislation to protect the freedom of Tennessee patients to make their own health care choices, regardless of the federal health care action taken in Washington last year, has been signed into law. Called the “Tennessee Health Freedom Act,” Senate Bill 79 sponsored by Representative Terri Lynn Weaver and myself, would protect a citizen’s right to participate, or not participate, in any healthcare system, and would prohibit the federal government from imposing fines or penalties on that person’s decision. The legislation does not seek to “nullify” the federal law, as it would still allow individuals the option to participate in the program. However, it acknowledges the right of Tennesseans to choose not to participate in a government-run health insurance program.

Financial experts predict that the federal healthcare plan will consume any anticipated growth in Tennessee’s revenues once the economy recovers, crippling the state’s ability to make future improvements in critical needs like education, job investment and public safety.  The federal health care law will also penalize citizens beginning in 2014 if they do not buy insurance.  Those penalties are expected to be approximately 2.5 percent of a citizen’s taxable income by 2016 if citizens do not purchase health care insurance under the federal health care law requirements.

Health Care Compact Approved in Committee

The Health Care Compact (Senate Bill 326) was also approved this past week in the Senate General Welfare Committee calling for Tennessee to join an interstate compact with the express purpose of returning the responsibility and authority for regulating health care to the states. It essentially provides a permanent waiver to each member state to create whatever healthcare regulations the legislature deems best for the citizens of that state.

There are also plans to file the “Health Care Compact” in a number of state legislatures during their 2011 sessions. The Health Care Compact provides a legal framework in which states can create their own healthcare systems. The structure protects Medicare and Medicaid funding by allowing member states to access federal tax revenues directly and without strings attached.

An interstate health care compact is a powerful vehicle for states to confront the federal health care law mandated by Washington directly. The federal health care law is one of the biggest oversteps of federal authority in our nation’s history. It forces states into a ‘one size fits all’ approach to public policy, and is in direct contradiction to state’s rights and the personal liberties guaranteed by our federal Constitution.

One size does not fit all. States have different needs which are not recognized in the federal mandates passed by Congress last year. The Health Care Compact does not mandate how each state will handle health care within their boundaries. It leaves them to decide how to create a system that fits their needs, providing greater accountability and more flexibility in delivering citizens a more efficient and effective system.”

Tennessee State Budget

Governor Bill Haslam presented his State of the State / Budget Address to the General Assembly this past week outlining his proposals to deal with the state’s current budget crunch, while working towards reforming education and making our economy stronger to welcome new jobs to Tennessee. The $30.2 billion balanced budget is almost $2 billion less than the current 2010-11 budget of $32 billion. I am very pleased that it contains no new taxes. Instead, the budget plan maintains essential government services by focusing reductions in administrative areas to minimize any impact felt by Tennessee taxpayers.

The Governor said the budget calls for the state to spend less money but work harder to stretch public dollars, including making state government more “customer friendly” for Tennesseans. At the same time, the Governor asked lawmakers to assist in transforming how government works to reflect current economic conditions.

“I want to emphasize that our current financial constraints are not a temporary condition,” said Governor Haslam. “I think what we are seeing in government today really is the ‘new normal.’ Every government, ours included, will be forced to transform how it sets priorities and makes choices.”

Tennessee is in better economic condition than most states, many of whom are struggling to stay afloat amid huge budget deficits. Over the last three years, Tennessee has reduced discretionary spending by 21 percent.

DUI Enforcement

Finally, the Senate Judiciary Committee which I chair has approved Senate Bill 343 which increases from three to five years, the minimum time period a driver’s license may be revoked for a third DUI offense. The legislation increases, from six to eight years, the minimum time period a driver license may be revoked for a fourth or subsequent offense. Alcohol-related fatalities represent 31 percent of the state’s traffic fatalities.

###