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Copyright 2000 Federal News Service, Inc.  
Federal News Service

May 18, 2000, Thursday

SECTION: PREPARED TESTIMONY

LENGTH: 518 words

HEADLINE: PREPARED STATEMENT OF CHAIRMAN JAMES M. JEFFORDS (R-VT)
 
BEFORE THE SENATE HEALTH, EDUCATION, LABOR AND PENSIONS COMMITTEE
 
SUBJECT - HEARING ON "MENTAL HEALTH PARITY"

BODY:
 Today, we are drawn together because we share a common interest in ensuring that Americans have access to quality insurance coverage for physical as well as mental health care.

Research shows that early recognition of mental illness often times reduces the onset of more serious mental illness and more expensive interventions down the road. And, recent scientific advances in the development of new psychotropic drugs allows for the effective treatment of mental illness. It was information like this that led Congress to pass the Mental Health Parity Act of 1996, which I supported. Although far from requiring full parity, this landmark measure puts health insurance coverage for mental illness on an equal footing with coverage for other physical illnesses. However, absent Congressional action, these requirements are due to expire September 30, 2001.

Since the passage of the federal law, there has been a rapid increase in the number of states that have passed laws providing some level of parity for mental health care. Thirty states can now claim to have taken full or partial steps toward mental health parity. I am proud that my own state of Vermont led the effort early on with its legislation granting full parity for both mental health services and substance abuse treatment services.

In order to understand the federal law's impact, I have asked the GAO to report on the implementation of the Mental Health Parity Act and its effects on health plans. The report is being released today. It is entitled, The Mental Health Parity Act: Despite New Federal Standards, Mental Health Benefits Remain Limited. In the report, I asked the GAO to address the following questions: 1) to what extent have employers complied with the law and how have they revised their plans, 2) what are the laws effects on claims costs, and 3) what steps have federal agencies taken to ensure compliance with the law?Dr. Hyman, the Director of the National Institute on Mental Health, has also been invited today to share with us the scientific promise of treatment for mental illness. The National Mental Health Advisory Council will soon release its new report on how state and federal parity laws have effected the cost and quality of care. Dr. Hyman is Chairman of that group, so I'm sure he will be able to share some of the report's findings with us.

However, as this Committee examines the details of federal policy, we must not lose sight of the a fundamental goal to reduce the stigma associated with mental illness. Anyone who feels they might need treatment must be encouraged to seek it, and must feel comfortable seeking it.

The Mental Health Parity Act has a great impact on the everyday lives of those living with mental illness. I look forward to this hearing because this Committee has demonstrated a clear interest in increasing access to quality mental health care for all Americans.

I would like to thank all our witnesses for being here, especially Senator Domenici and Senator Wellstone. They have become national leaders on these issues, and we are lucky to have them here.

END

LOAD-DATE: May 19, 2000




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