Sep. 29, 2020

HARRISBURG – With Pennsylvania facing billions of dollars in lost revenue due to the governor’s response to COVID-19, a bill by Rep. Dawn Keefer (R-Dillsburg) to save the state tens of millions of dollars was advanced by the House Health Committee today.

“Even in times when we aren’t facing lost revenue, it is vitally important to find ways to save taxpayers’ money and improve government services,” Keefer said. “My House Bill 2587 accomplishes both tasks by simply creating an annual enrollment period for recipients to choose their Medicaid plan.”

An estimated $36 million in annual savings would be realized by providing lock-in, managed care plans, which reduce the actuarial risk by ensuring a more stable consumer base.

Specifically, House Bill 2587 would require participants to choose their Medical Assistance managed care organization (MA MCO) during an open enrollment period, which they’ll remain with for a year unless a major life event would necessitate a change of plans. The measure would allow Medicaid enrollees flexibility while reducing the number of duplicative claims the Commonwealth pays.

As the program works now, recipients can change plans at any point, causing the Commonwealth to payout millions of dollars for duplicative or redundant claims.

“By instituting a set yearly enrollment period, duplicative claims will be greatly reduced, services would be improved through streamlined practices and money would be saved,” Keefer said. “Most, if not all, private and public health care systems have an annual enrollment period. MA MCO should not be any different.”

The bill now goes to the full House for consideration.

Representative Dawn Keefer
92nd Legislative District
Pennsylvania House of Representatives

Media Contact: Greg Gross
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