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Other business-related issues facing Virginia legislators
in 2005
Virginia Business
January
2005
Health
benefits
A showdown looms between health plans and some physician
groups and medical specialists. At issue is the way
reimbursement is made to doctors for medical services.
The Medical Society of Virginia champions a bill that
would force health plans to submit payment directly
to doctors, even if they are not participants in the
plan. Doctors say the current system confuses patients,
who fail to relay the money. Large insurance carriers
claim this change would remove incentives for doctors
to join their networks and ultimately raise premium
rates for companies.
Medical
malpractice
Doctors are lobbying for an overhaul of Virginia’s
medical malpractice laws, and they’re expected
to show up in droves. Rising insurance premiums, they
claim, are driving some doctors out of business. Currently,
Virginia limits malpractice awards at $1.7 million,
with the cap scheduled to rise to $2 million by 2008.
The Medical Society of Virginia wants a $250,000 cap.
Charters
for higher education
The College of William and Mary, Virginia Tech and the
University of Virginia have asked for special commonwealth
charters that would enable them to set their own tuition
rates and execute construction contracts without prior
state approval. In exchange, the schools would agree
to accept fewer state funds. Other universities reportedly
are opposed, and some legislators wonder if state goals
for an educated work force will be met if the flagship
schools are given more freedom.
Economic
development
Ways of reviving Virginia’s struggling rural communities,
especially those hit by devastating textile and furniture
losses in recent years, figure to get attention. Warner
wants to invest $21 million to create jobs, provide
better support to existing industries and allocate funds
to industries concentrated in rural areas.
Restoring
business exemptions
Some business owners would like to see debate renewed
over a broad swath of business-tax exemptions that were
eliminated last year, adding about $520 million to state
coffers.
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Business - January 2005 |
