AFFORDABLE CHOICES FOR SMALL BUSINESS
The Healthy Washington Coalition supports the development of programs to expand access by small businesses to quality, affordable health care. A majority of the working-uninsured in Washington are in the small business sector.
With coalition support, the 2007 Legislature enacted a Health Insurance Partnership (HIP) designed to help small businesses purchase quality health care and to subsidize premiums for low-wage employees. However, this legislation limited the program to small businesses with low-wage employees only and no funds were appropriated for premium subsidies. Consequently, the Partnership can serve a fragment of Washington’s small businesses and, without premium subsidies, little can be offered to those it is authorized to serve.
A Board to oversee the HIP program was appointed by Governor Gregoire in the summer of 2007. This Board has concluded that the Partnership will not succeed unless changes are made to the authorizing statute and funds are appropriated to provide the premium subsidies anticipated in the original legislation. The HIP Board also has recommended that the program contract with a third party administrator to oversee day-to-day operations.
The 2008 Supplemental Budget recommended by Governor Gregoire includes funding for Partnership administration and for contracting with a third party administrator, but nothing for low-wage worker premium subsidies.
The Healthy Washington Coalition supports efforts to expedite the implementation of the Health Insurance Partnership, including legislation to clarify technical issues and to expand the eligibility for the program to all small businesses. In addition to the administrative funds included in the Governor’s Budget, the Coalition recommends that the 2008 Legislature appropriate dollars to begin implementation of the low-wage employee premium subsidies during the 2008 Fiscal Year, the susidy amount is $3,960,000.