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Senate committees working remotely Wednesday began reviewing an emergency package of legislation passed by the House last week aimed at addressing the COVID-19 pandemic.
The COVID-19 bill, H.742, is wide ranging, and it’s still unclear how much it would require in state revenue.
The legislation would loosen medical regulations to bolster the state’s health care workforce, provide financial assistance to medical providers, expand the use of telemedicine, and boost nutrition assistance for elderly Vermonters and children.
There are several provisions in the package that would provide financial assistance to medical providers who are expected to see a sharp drop in revenue as a result of the coronavirus pandemic.
As the outbreak continues, state officials expect health care providers will face cash flow woes, and the legislation aims to ensure they will be able to remain open during and after the pandemic.
In an effort to free up beds for coronavirus patients, Vermont hospitals are no longer performing non-urgent elective surgeries, for example.
“Our hospitals are already indicating very grave concern around their cash flow because they’re having to discontinue non-emergency surgical procedures,” Sen. Jane Kitchel, D-Caledonia, chair of the Senate Appropriations Committee, said during a Wednesday afternoon hearing.
“We’ve been hearing from hospitals around the state. The loss of that elective surgery revenue is going to hit them hard within just the next few days,” she said.
During a call with state senators Wednesday morning, Sen. Corey Parent, R-St. Albans, said officials at his local hospital, Northwestern Medical Center, told him that they are now projecting losses of $1 million per week.
The legislation would give the Agency of Human Services the authority to waive, postpone or modify what doctors and hospitals owe in provider taxes.
The state wouldn’t be allowed to waive provider taxes completely for hospitals, which pay an average of $12.5 million per month. But it would be able to reduce or postpone their tax burden.
It would also allow the agency to provide payments to health care providers, long-term care services and child care services that have seen a reduction in patient or client demand due to the pandemic.
In addition, if federally qualified health centers and rural health centers see Medicaid revenues fall to less than 98% of what they were last year, the Department of Vermont Health Access would ensure they receive at least that level in funding.
The legislation would temporarily limit regulations so that licensed out-of-state medical providers could practice in Vermont, as well as licensed medical professionals who have retired.
Secretary of State Jim Condos announced Wednesday that the Office of Professional Regulation is issuing temporary Vermont licenses to health care workers licensed in other states to help address workforce shortages during the pandemic.
The legislation would also give the Agency of Human Services the authority to expand its nutrition assistance program to include more children and elderly Vermonters.
Officials with the Joint Fiscal Office said they were unsure how much the provisions in the COVID-19 package would cost because it would be up to the administration to make spending decisions down the line.
“Part of the problem is that it gives the administration the authority to do the stuff but we don’t know if there would be a cost until they actually do it,” said Nolan Langweil, a senior fiscal analyst with the office, said of the bill.
Last week, the House Appropriations Committee floated an idea to fund the state’s response to the COVID-19 crisis that involved holding approximately $18 million-$20 million in one-time money aside in fiscal year 2021 until Oct. 1.
In this scenario, the state’s emergency board, the body that sets official revenue forecasts, or another administrative group would decide how that money would be spent.
Fiscal analysts delivered lawmakers some good news Wednesday, noting that the COVID-19 legislation that passed the U.S. Senate Wednesday afternoon and now heads to President Donald Trump’s desk increases federal Medicaid funding.
If the federal legislation is enacted, the state could see $38 million in additional Medicaid dollars that could help offset revenue losses that the state will face in the coming months, fiscal analysts said.
It’s unclear whether Senate lawmakers will be taking immediate action on the House-passed COVID-19 bill.
Lawmakers said Wednesday that they wanted more input from the governor and state agencies about what actions the administration could take without legislative action, and what if anything lawmakers should do right away.
“It would be helpful if they could specifically tell us if they have admin authority to move forward on any of the provisions and what their plans are to do so,” said Sen. Ginny Lyons, D-Chittenden, the chair of the Senate Health and Welfare Committee.
On Wednesday morning, Senate President Pro Tem Tim Ashe D/P Chittenden said that he was seeking more information from administration officials and would make a decision by Thursday on whether the Senate would briefly reconvene next week to take essential votes related to COVID-19.
“We could come back for quick strike action early next week,” Ashe said.
“But we’ll only do that if we’re told that without it people will not be able to have their needs met.”
