BILL NUMBER:  S5249

 TITLE OF BILL :  An act to amend the public health law, in relation
to determining eligibility for the child health plus program, the
medical assistance program and the family health plus program

 PURPOSE : This bill allows the consolidation of the three call
centers to take place, while at the same time ensuring that only
trained and qualified public employees are used when making continuing
and initial eligibility for CHP, FHP, and Medicaid.

 SUMMARY OF PROVISIONS : This bill would ensure that only qualified
and well-trained public employees are making eligibility
determinations for these public health insurance programs.

 JUSTIFICATION : The Department of Health (DOH) currently has three
separate call centers that disseminate information regarding Family
Health Plus (FHP), Child Health Plus (CHP), and Medicaid. The
call-centers for FHP and Medicaid are staffed by DOH employees and are
located within New York State. The call center for CRP has been
contracted out to a third-party that uses private employees and is
located in Pittsburgh, Pennsylvania.

The 2008-09 State budget gave DOH authorization to issue a request for
proposals (RFP) which would require the winning bidder to consolidate
the three call centers into one, develop a statewide telephone and
              

mail-in renewal system for the programs, manage web-based renewals,
and in the future process new applications for CHP, FHP, and Medicaid.
Call centers currently do not perform any enrollment functions. To
become enrolled in one of these programs, currently, you must go
through a local social service district. This would privatize the jobs
of public employees who perform this work in local social service
districts.

This bill would ensure that only qualified and well-trained public
employees are making eligibility determinations for these public
health insurance programs. Public employees have in-depth knowledge of
these programs. Private call-centers, on the other hand are known for
having staff turnover rates nearing 40%. Allowing a company with such
an unstable workforce to be responsible for critical health care
eligibility determinations for our state's most vulnerable populations
is bad public policy. Private call centers would be unable to provide
the level of expertise needed to enroll, renew, and disseminate
valuable information to applicants. Public employees are less likely
to leave their jobs, which allows them to develop more in depth
knowledge of their subject area and better serve applicants and
callers regarding these programs.

This legislation seeks to ensure that New York avoids the pitfalls
experienced by other states. Recently, Texas and Indiana have
privatized social service jobs. Both states have seen a sharp increase
in applicants wrongly being denied benefits, loss of critical
paperwork and computer data, and an overall decline in enrollment into
programs.

This bill allows the consolidation of the three call centers to take
place, while at the same time ensuring that only trained and qualified
public employees are used when making continuing and initial
eligibility for CHP, FHP, and Medicaid. Allowing private contractors
to perform this work, as other states have shown us, would be a
disservice to all New Yorkers who utilize these vital services.

 LEGISLATIVE HISTORY :  New Bill.

 FISCAL IMPLICATIONS : None.

 EFFECTIVE DATE : This act shall take effect immediately.