Wednesday, July 30, 2014

Governor Calvo Vetoes GovGuam Health Insurance Bill #81 Calling It "Meddlesome and Political Legislation"

Guam News - Guam News

Guam - Governor Eddie Calvo has vetoed Bill #81, an "Act to Provide Health Insurance to Government of Guam Employees and Retirees for Fiscal Year 2014."

The measure was sponsored by Finance Chairman Senator Ben Pangelinan and Majority Leader Rory Respicio.

In his veto message to Speaker Judi Won Pat the Governor asked "How much money must taxpayers lose and how much time must pass before the finance chairman ends his political with hunt?"

READ the Governor's veto message to Speaker Won Pat HERE 

Instead of  a bidding process that settles on one provider, Bill #81 would authorize multiple providers and provide GovGuam employees with a choice of  various health plans offered by different, pre-qualified, health insurance companies. The authors stated aim is to lower health insurance costs by stimulating competition.

READ Bill #81 HERE 

However, the Governor said the proposal would not lower costs and accused Senator Pangelinan of authoring  "meddlesome and political legislation" that "will end up costing government of Guam employees and the taxpayers of Guam even more money."

"By removing negotiations and simply awarding a contract to everyone who qualifies, the government loses the ability to negotiate the best rates,"  argues the Governor.

 

He concludes that Bill #81 is "fiscally irresponsible" and "mathematically and actuarially impossible."

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