Salem's Lot
SO MANY BILLS SO LITTLE TIME

KITZHABER'S LEAP OF FAITH
In medieval times, feudal lords beset with headaches of high office would make a pilgrimage to Rome to invoke the intercession of the pope. This week, Gov. John Kitzhaber set off for the nation's capital Tuesday to enlist the aid of Tommy I, supreme pontiff of the Department of Health and Human Services, to rescue the Oregon Health Plan.

Launched in 1994, the plan has provided insurance to more than 1 million low-income Oregonians. Its core principle--to expand coverage to the working poor by limiting the kinds of services provided--is both sensible and humane.

But seven years later, the plan is in trouble. The original cost-saving mechanism--a prioritized list of services--has proven a doubtful remedy against rampant medical inflation. It's fair to say that the future of the plan is at stake. "A lot of people are pinning a lot of hopes on Tommy Thompson," says lobbyist Jim Carlson, who represents nursing homes.

The biggest challenge facing the plan is the crippling surge in prescription drug costs, which jumped from $549 million in 1999-2000 to a projected $885 million in 2001-2002. "These trends are just exploding," says Dr. John Santa, of the Office of Oregon Health Plan Policy and Research. "There's no health-care plan in the country, given current conditions, that can bank on stability."

In the past, state officials have grumbled that cranky federal regulators have refused to let Oregon "move the line" of covered procedures to save money. Now, however, even greater flexibility wouldn't be enough. Currently, the plan covers 574 procedures, ranked in terms of cost-effectiveness. Knocking 10 procedures off the list would save only 75 cents out of a total cost of $300 per member per month.

So, instead of focusing on the line, Kitzhaber hopes Thompson will give his blessing to another idea: amending the plan to restructure benefits, institute co-payments and set up a "formulary" or bulk-purchasing system to save on drug costs.

--Chris Lydgate

gossip
* Just how much is a Big Dog's bark worth? To SAIF Corp., a cool $96,000 a year. The semi-public state workers-compensation insurance company has had Neil Goldschmidt on retainer since 1996 to provide "insight and strategic analysis." If Goldschmidt helps the company fend off this session's attack from Liberty Northwest Insurance and lobbyist Paul Phillips, SAIF will consider that money well spent. Backing up Goldschmidt is former Speaker of the House Larry Campbell. Apparently a former governor is worth more than a former speaker: Campbell's reimbursement is half of Goldschmidt's.

* Outing people has gone out of vogue, but we can't resist this one. Lars Larson, the loudest man in Portland, is threatening to run for governor on the Republican ticket. Until five years ago, however, he wouldn't have been qualified because he was a registered Democrat. Larson switched his party ID in February 1996. Fellow conservative and ex-lawmaker Kevin Mannix, who's also considering a run for Mahonia Hall, followed suit and became a Republican 11 months later.

what are you working on?
It's Dorchester time, and there will be a lot of happy elephants at the annual Republican beach party in Seaside. Not only is their boy in the White House, they've got a solid lineup for the 2002 governor's race. Expect to see announced candidates Ron Saxton and Jack Roberts working the crowd while Craig Berkman, Lynn Snodgrass and Kevin Mannix test the waters to see if they should run, too. Heck, they've even invited Lars Larson to come make a pitch.

The red, white and blue Dorchester exhibit hall is a good indicator of the political battles of the future. Last year, a popular booth showed a video of state Fish and Wildlife employees bashing hatchery fish. Now, the debate between hatchery and wild fish is environmental issue No. 1 in Salem.

Nancy Glerum, a longtime party stalwart, hopes to have a similar impact in Seaside. She and her husband, Rolf, recently learned of a newly formed national group called the Republican Pro-Choice Coalition and invited its national director, Lynn Grefe, to speechify to the Dorchester crowd.

Willamette Week: Is pro-choice Republican an oxymoron?

Nancy Glerum: I hope not. Social bedroom issues belong in the bedroom and not in politics.

But Oregon Republicans are notorious for going into people's bedrooms.

Yes, with other issues too, like gay rights. But there are Republicans who believe that people have a right to choice. Government should participate only in government things like health and welfare and education. Pro-choice is a woman's issue.

What do you mean by that?

Well, it takes two, but the women bear the brunt of the "exercise," so this issue matters to women. I've known women who have voted against a Republican candidate that they liked on everything else, just because they weren't pro-choice.

It'll be hard to convince Oregon Republicans it's OK to be pro-choice, given that Right-to-Life gave more than $300,000 to candidates last election.

I know. But there is national money available for them. We just have to tell them about it.

--Patty Wentz

quotable
"At this stage, survival, not fun, is the goal."

--Gregory Chaimov, head of legislative counsel (in charge of drafting 4,000 bills), in a Saturday email responding to the statement, "Hope you have some fun this weekend."

give a damn
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ENVIRONMENT: We admit it. Lobbying in Salem isn't as fun as tree-sitting. Flipping off a cop is a bigger rush than kissing up to a legislator. But grow up--if you're not part of the solution, you're part of the problem, and one Oregon's biggest problems is that people don't demand more environmental accountability from state lawmakers. Environmental lobby day is Tuesday, March 13. Email Katy Daily at ocn@olcv.org or call her at (503) 227-8073 to sign up for the Salem field trip and a firsthand look at how things get done under the dome. Cutoff for registration is March 5.

GAMBLING ADDICTION: Since its inception, the goal of the Oregon State Lottery has been to maximize profits. That means more games, more video-poker machines and more addicts. Gov. John Kitzhaber is proposing a bill that would fundamentally shift the purpose of the Lottery Commission "to control gambling in a manner that minimizes the addictive impact of lottery products while fulfilling its constitutional obligations." This is more than a semantic tweak--the debate could flush out just how addicted to gambling revenues the state is. The second House hearing for the bill, HB2292, is Wednesday, Feb. 28.

POVERTY: Thursday, March 1, is D-Day in Salem. That's when the Department of Revenue will update its forecasts on how much money the Legislature can spend. The probable answer: "Not as much as you thought." The same day, the House School Funding and Tax Fairness/Revenue Committee begins another round of hearings on a series of tax-credit bills that would ease the burden for Oregon's poor.