Auditor Recommends Executive Oversight of State
Health Plan
05/05/2009 | 07:11 PM
Agrees with Republican Proposal for Accountability
Raleigh, N.C. -- The Office of the State Auditor released its audit of the State Health Plan this past week. The plan insures 667,000 teachers, state employees and retirees. Among several good recommendations in the Auditor’s report is one that demands immediate implementation.
The State Auditor recommends the General Assembly consider placing the State Health Plan under the authority of the executive branch to ensure proper operational and financial oversight. This is a sound proposal and one that can and should be enacted without delay. During recent House consideration of “The State Health Plan”, S 287, Rep. John Blust (R-Guilford) offered an amendment to do just that. Unfortunately, it failed on a party-line vote with all Republican Members voting in favor.
“It is clear that such a change would bring necessary accountability to the State Health Plan,” said Rep. Paul Stam (R-Wake). “Unfortunately Democrats wanted to continue the failed policy that brought us to this situation rather than support this obviously need change.”
“The Legislative Branch is not set up to perform this executive function. Legislators serve part time and then go home. The executive branch can provide necessary oversight full time, every day,” said Rep. John Blust (R-Guilford).
The audit confirmed the dire financial condition of the plan noting a loss of nearly $80 million last year. A recent $250 million infusion of funding by the Legislature was necessary to ensure it can meet obligations for the current fiscal year.
The State Employees Association of North Carolina (SEANC) has called for increased accountability of the health plan for some time. They point to lack of adequate legislative oversight and failed projections for the plan’s current financial troubles.
Acknowledging the efforts of House Republicans during consideration of the state health plan bill, Dana Cope, Executive Director of SEANC said, “I’d like to thank Republican House Members for standing firm with us against SB 287.”
To view comments made by Rep. Stam, Rep. Blust and Dana Cope during press conference, please visit this link.
Raleigh, N.C. -- The Office of the State Auditor released its audit of the State Health Plan this past week. The plan insures 667,000 teachers, state employees and retirees. Among several good recommendations in the Auditor’s report is one that demands immediate implementation.
The State Auditor recommends the General Assembly consider placing the State Health Plan under the authority of the executive branch to ensure proper operational and financial oversight. This is a sound proposal and one that can and should be enacted without delay. During recent House consideration of “The State Health Plan”, S 287, Rep. John Blust (R-Guilford) offered an amendment to do just that. Unfortunately, it failed on a party-line vote with all Republican Members voting in favor.
“It is clear that such a change would bring necessary accountability to the State Health Plan,” said Rep. Paul Stam (R-Wake). “Unfortunately Democrats wanted to continue the failed policy that brought us to this situation rather than support this obviously need change.”
“The Legislative Branch is not set up to perform this executive function. Legislators serve part time and then go home. The executive branch can provide necessary oversight full time, every day,” said Rep. John Blust (R-Guilford).
The audit confirmed the dire financial condition of the plan noting a loss of nearly $80 million last year. A recent $250 million infusion of funding by the Legislature was necessary to ensure it can meet obligations for the current fiscal year.
The State Employees Association of North Carolina (SEANC) has called for increased accountability of the health plan for some time. They point to lack of adequate legislative oversight and failed projections for the plan’s current financial troubles.
Acknowledging the efforts of House Republicans during consideration of the state health plan bill, Dana Cope, Executive Director of SEANC said, “I’d like to thank Republican House Members for standing firm with us against SB 287.”
To view comments made by Rep. Stam, Rep. Blust and Dana Cope during press conference, please visit this link.