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California Education Coalition for Health Care Reform. INTRODUCTION TO CECHCR. Who is CECHCR?. Association of California School Administrators California Association of School Business Officials California County Superintendents Educational Services Association
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California Education Coalition for Health Care Reform INTRODUCTION TO CECHCR
Who is CECHCR? Association of California School Administrators California Association of School Business Officials California County Superintendents Educational Services Association California Federation of Teachers California School Boards Association California School Employees Association California Teachers Association Community College League of California School Employers Association of California 2
Stronger Together • Management and labor working together • Of the education community • By the education community • For the education community
CECHCR Strategies • Share policy information • Develop and share “Best Practices” • Coordinate legislative initiatives, such as: • Study of a “School Pool” • Transparency • Health Families • National health care reform
Three Education Programs Module I “Joint Labor–Management Health Benefits Training” Module II “Health Benefits: Making Informed Choices” Module III “Health Benefits: Current Issues and Trends” www.cechcr.org
Follow-up Services • Module IV • Additional Training • Follow-up consultations • Assistance in engaging health benefits plans Advice? More Training? Help with your Bargaining Team?
Cost Trends Trends are Unsustainable for Districts, Employees, and the Population We Serve
Note: Health insurance premiums projected for 2010-2019 assuming (1) that the average growth in premiums between 1999 and 2009 (8.7%) continues or (2) that the average growth in premiums between 2004 and 2009 (6.1%) continues. Source: Kaiser Family Foundations projections based on data from Kaiser/HRET Survey of Employer-Sponsored Health Benefits, 1999-2009.
The Industry’s Explanation for Higher Costs I didn’t do it! • “80% of all claims are lifestyle related” – a quote from a Blue Cross of California representative • Excess utilization • New technology • Aging population
What the Research Shows • Waste, inefficiency, high administrative costs • Poor quality • Inappropriate care • Huge variation in costs
Welcome to the Health Care Industrial Complex Industry Growth Since 1970 Source: US Bureau of Labor Statistics; Himmelstein, Woolhandler, Lewontin analysis of CPS data 11
Significant Cost Variations • The Dartmouth Atlas of Health Care – research on Medicare costs • McAllen, TX has one of the highest cost per Medicare enrollee • Why?
Comparing Cost Trends Cost Trends Have Been Contained in Other Countries
EFFICIENCY 15 Source: Commonwealth Fund National Scorecard on U.S. Health System Performance, 2008 International Comparison of Spending on Health, 1980–2005 Average spending on healthper capita ($US PPP*) Average spending on healthper capita ($US PPP*) Total expenditures on healthas percent of GDP Total expenditures on healthas percent of GDP * PPP=Purchasing Power Parity. Data: OECD Health Data 2007, Version 10/2007. * PPP=Purchasing Power Parity. Data: OECD Health Data 2007, Version 10/2007. 15
Health Care in the U.S. • Utilization is lower in the U.S. than it is in other countries
The U.S. spends more per capita than other countries, and yet is ranked last by all these indicators. http://www.commonwealthfund.org/usr_doc/site_docs/slideshows/MirrorMirror/MirrorMirror.html
CECHCR’s Role • To train local districts to be more informed purchasers of health care • To educate and coordinate the education community about various reform proposals and how they impact school districts / unions • To facilitate dialogue and collaboration among school-based purchasers statewide
How You Can Stay Informed @ Good sources of information: • Health Care For All www.healthcareforall.org • The Commonwealth Fund www.commonwealthfund.org • Kaiser Family Foundation www.kff.org • California HealthCare Foundation www.chcf.org • The California Endowment www.calendow.org • Physicians for a National Health Program www.pnhp.org • For additional information and links to various • health care websites:www.cechcr.org