Committee hears wide support for primary‑care payment reform, debates design and timing
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Testimony on S.197 focused on establishing a primary‑care payment model and spending target: business and provider groups supported investment, payers urged clearer quality metrics and data sharing, and the Health Care Advocate proposed near‑term levers such as Medicaid, QHP design, and state employee plan changes.
The Senate Health & Welfare committee received extensive testimony on S.197, a bill to create a primary‑care payment reform program and increase investment in primary care across Vermont.
Supporters argued that expanding primary care would improve health outcomes and reduce downstream costs. ‘‘At current staffing rates, Vermont will be short approximately 370 primary care providers by 2030,’’ Johanna DeGrath Reid of Vermont Businesses for Social Responsibility told the committee, urging the legislature to assess funding needs and to include a universal primary‑care report to guide 2028 recommendations.
Payers emphasized that design details will determine success. Courtney Harness of Blue Cross and Blue Shield of Vermont said data sharing, clear quality measures and a ‘‘modernized blueprint’’ are essential, and recommended a slightly elongated timeline to ensure the model reliably improves access and outcomes. Jordan Estee of MVP Healthcare urged a broad definition of primary care that counts team‑based services, telehealth and non‑claims investments such as health coaching and remote monitoring; he warned that a strictly claims‑based 15% spending benchmark could favor billable visits over prevention and risk anchoring reform to overall cost growth.
Cigna’s representative urged flexibility for value‑based contracts and asked the committee to consider last year’s Act 68 changes when designing new requirements. The Office of the Health Care Advocate described practical levers the legislature could use now: increase Medicaid reimbursement for primary care, expand qualified medical beneficiary (QMB) income limits (already increased to 150% of the federal poverty level on Jan. 1), require QHPs to provide first‑dollar ($0) primary care coverage for plan year 2027, or condition QHP premium approvals on demonstrated primary‑care investments.
Witnesses repeatedly called for: clearer statutory definitions of what counts as primary care, robust ways to count non‑claims investments, outcome‑based accountability metrics (for example, measuring improvements in A1c or blood pressure control rather than documentation only), and modeling to show how policy choices would affect premiums and different payer markets. Committee members asked for written testimony and signaled they will review the bill language, hear additional witnesses and move to markup in the coming days.
What happens next: staff and counsel will consolidate decision points and return with final testimony before the committee conducts formal markup.
