ALEC Watch: HB126

Print More

Rep. Nora Espinoza’s (R-Roswell) HB 126, “Discount Medical Plan Organization Model Act” is straight out of the ALEC handbook undermining the Affordable Care Act.

HB126 follows its ALEC model in creating a new regulatory bureaucracy for persons and businesses serving to provide discounted drug and medical programs to patients.

Why would anti-regulation legislators push for the creation of a new government-regulatory program to intervene in the free-market health care economy they promote?  Maybe because the big pharmaceutical and insurance companies behind this ALEC bill want to ensure that their competition has to disclose their business plans, and lets them set the maximum discount rate these third-party health care programs can give to patients.  Basically, big pharmaceutical and insurance companies want to regulate their competition to avoid having to compete with those who provide the same services at a cheaper cost.

Here’s just one example of the ALEC DNA from ALEC Model Legislation: “Discount Medical Plan Organization Model Act
http://www.alec.org/model-legislation/discount-medical-plan-organization-model-act/

Section 5. Registration Requirements.  A discount medical plan organization may not market, promote, sell, or distribute a discount medical plan in this state unless the organization holds a certificate of registration as issued by the commissioner.

And here’s Rep. Espinoza’s ‘new’ bill, HB126:
http://www.nmlegis.gov/Sessions/14%20Regular/bills/house/HB0126.html

    A. A person shall not act as or hold oneself out as a pharmacy benefit manager unless the person holds a current license issued by the office of the superintendent.

New Mexico ALEC members including Rep. Nate Gentry, Rep. Alonzo Baldonado and Rep. Yvette Herrell, serve on New Mexico’s House Health, Government and Indian Affairs Committee which is slated to hear the bill Tuesday February 3 at 8:30 am.

You can contact the committee chair, Chairman James Roger Madalena (D-Jemez Pueblo), and ask him to stop this bill and ask it’s sponsor, Rep. Nora Espinoza, about it’s ALEC connections.