Next week is our second legislative deadline of the year, pushing us to focus on getting bills received from the House of Representatives through subcommittee and committee this week. This rule is an important part of the legislative process as we work through bills and find policy with the necessary support to continue advancing through the legislative process.
Senate File 2381 passed this week. It is known as the Patient’s Right to Save Act. This bill has three key elements. First, it requires all healthcare providers to establish and disclose a discounted cash price they will accept for specific healthcare services. This price would be available to both insured and uninsured individuals and posted on their website. Second, it permits an individual to apply the cash payment towards their deductible as a credit. Third, the bill establishes a savings incentive program for covered individuals who met their deductible to receive cash back in an amount up to half the difference between the discounted cash price and the average insurance rate for that covered health care service. By incentivizing cost-sharing with cash payment options that are cheaper than the insurance negotiated prices, it will reduce unnecessary, expensive treatments that have no guarantee of high-quality care. This bill is one way we can help patients, especially those with chronic conditions, have more dollars in their pockets and not tied up in rising healthcare bills.
Readers may recall a recent poll of Iowans conducted for Iowans for Tax Relief showing broad and strong public support for an amendment to the Iowa Constitution requiring a supermajority to raise taxes or pass a new tax on Iowans. The poll also showed support for putting into the Constitution a requirement for a single income tax rate, commonly referred to as a flat tax. This week the Senate Ways and Means Committee advanced those policies as amendments to the Iowa Constitution.
It is no small or inconsequential thing for the government to demand a portion of the income of working families. Too often the debate over tax rates describes taxes in terms of money available for the government to spend, the impact of tax rates on government, or how the government will be able to afford a reduction in income or property taxes.
