Governor Bill Haslam worked nearly two years to put together a program to expand access and make healthcare coverage attainable for more low-income Tennesseans ... it took the Tennessee Senate a matter of minutes to kill it in committee. 

A special session of the General Assembly was called on Monday, Feb. 2 to discuss the pilot program, which had the support of the Centers for Medicare and Medicaid Services and major healthcare associations in Tennessee. By Wednesday, however, the plan was effectively dead when it didn't make it out of the Senate Health Committee. In the aftermath, Gov. Haslam stated he isn't sure what the next steps will be but reiterated the problem hasn't gone away for those caught in the gap left between traditional Medicaid and the income level where subsidies are avaialble on the federal marketplace. He also challenged lawmakers to come up with a solution to help the approximately 280,000 Tennesseans affected by the issue.

The program would have been covered by federal funds for the first two years. At the point where federal funding would have stepped down to 90 percent, which is a far greater match rate than the state receives for traditional TennCare enrollees, the Tennessee Hospital Association (THA) had agreed to cover the 10 percent difference. 

In the wake of the defeat, the THA offered the following statement by President & CEO Craig Becker:

“THA and its members are extremely disappointed by the action today of the Senate Health Committee. For more than two years, hospitals in this state have advocated and worked hard to find a way to provide healthcare coverage for the uninsured of Tennessee. 

“I commend Gov. Haslam for bringing forward this proposal. It offered a practical, commonsense solution that worked for our state. THA is also grateful to Sen. Doug Overbey and Rep. Gerald McCormick for their support in carrying this proposal.

“Hospitals, along with community and business partners, have fought tirelessly in recent months to urge support for Insure Tennessee by state lawmakers and I am proud of our efforts.

“Unfortunately, seven members of the Senate Health Committee decided that this plan did not benefit the public health of our state. This decision was made after two days of compelling testimony that reinforced how Insure Tennessee would improve the lives of hardworking Tennesseans and how the plan would strengthen communities, support hospitals and make Tennessee a better place to live. Ultimately, seven legislators made a decision that prevented the full General Assembly from having the opportunity to debate this extremely important issue.

“We are hopeful that members of the General Assembly will continue to consider ways for Tennessee to provide coverage to the hundreds of thousands of uninsured in our state who have no option for coverage. Hospitals believe this is right for our state and will continue to work with the Haslam administration and General Assembly to find coverage solutions for Tennessee’s uninsured.”

The leadership of the Tennessee Medical Association also had a similar reaction, releasing a statement by Kingsport gastroenterologist Doulas J. Springer, MD, FACP, FACG, president of the TMA.

"We are disappointed at today’s outcome of the debate regarding Insure Tennessee in the General Assembly. TMA supported Gov. Haslam’s plan because it offered a viable alternative to traditional Medicaid expansion and had potential to help improve our public health and contain costs.

"We have now missed an opportunity to help hundreds of thousands of Tennesseans who need access to quality, affordable medical care. Tennessee’s doctors will continue taking care of our patients, and do our part to help find solutions to improve access, increase quality and reduce the cost of healthcare in Tennessee."