Update: GOP Congressman Grills MNsure Leader

By Don Davis

An Arizona congressman went on the offensive against Minnesota’s health insurance exchange during a U.S. House hearing Thursday in Washington.

Republican U.S. Rep. Paul Gosar shot his first question to MNsure interim CEO Scott Leitz, asking why the state would pay nearly $27,000 in bonuses to people responsible “for a blotched Website?”

“Those bonuses were approved by the previous director,” Leitz replied.

“Have you done anything to claw back those bonuses?” Gosar fired back, wondering if the former staff members were required to pay back any of the money.

“Not to this point, no, sir,” Leitz said.

Gosar responded: “Interesting.”

The exchange came after testimony by Leitz and leaders of other state-run exchanges, which were established as a mostly online method of selling health insurance.

MNsure launched in October with numerous website and other problems, including wait times at the telephone call center of up to an hour, after which customers were disconnected. The website would not allow thousands of potential customers to sign up for insurance, problems Leitz said mostly have been resolved.

“Today, I am proud to say MNsure is stable, secure and successful,” Leitz testified, adding that nearly 170,000 people have signed up for insurance.

When he took over after the first MNsure director left, Leitz said, “I took immediate action.”

“Working in close partnership with our vendors we were able to stabilize our system,” Leitz said. “Our eligibility software is now operating with an over 99 percent success rate, compared to 70 percent in mid-December. And our online marketplace has been stable enough to process more than 2,000 enrollments a day.”

Gosar asked if people have been fired because of the problems, to which Leitz said “individuals are no longer” with MNsure. To another Gosar question, Leitz said they no longer work for state government.

The hearing in the Republican-controlled House was called “Examining Obamacare’s problem-filled state exchanges.” Republicans joined Gasar in being critical of the federal health care law, while Democrats praised witnesses who are charged with implementing the law.

“Thank you for your outstanding testimony …” said Rep. Jackie Speier, D-Calif. “You turned lemons into lemonade.”

Vice Chairman Ron DeSantis, R-Fla., said that while exchange officials say people pay less for insurance now, that is not what he hears from constituents. “People are paying much more than they used to. … Who are you going to believe?”

U.S. Rep. Michele Bachmann, R-Minn., disagreed with Leitz’s comment that MNsure is working well.

She issued a statement saying that an independent assessment indicated MNsure was in “crisis mode.”

“Even after the $155 million in funding from the federal government, MNsure is riddled with an insecure website and woefully underperformed its enrollment goals,” Bachmann said. “With thousands of pages of federal regulations and a complicated design contrary to free market principles, it is no wonder that Minnesota and other states are having difficulty implementing Obamacare.”

Leitz began his testimony talking about Corey and Kate Needleman of Minneapolis, who after the birth of their third child “had to choose between paying their mortgage or paying their health bills.” Now, he said, they have affordable insurance bought through MNsure.

He said federal law that led to MNsure’s formation is more than a website.

“It’s about getting real people and families into affordable, comprehensive health coverage,” Leitz said. “This is something we are doing well in Minnesota.”