Capitol Hill Week

State Senator Paul Bailey

(Jan. 26, 2021) -  The Tennessee General Assembly is off to a very productive start.  The first week of legislative action saw approval of a historic Tennessee Medicaid block grant waiver amendment agreement with the federal government that will improve quality and access to health care in the state.   In the second week, the General Assembly passed major legislation to address literacy in Tennessee and the unprecedented student learning losses suffered as a result of COVID-19 related school closures. 

Ultimately, Tennessee sought a block grant for one basic reason – to improve the TennCare program by enhancing the benefits and services provided to TennCare members and improving the health of Tennesseans.  Tennessee is the first state in the nation to receive a Medicaid block grant waiver agreement.

In 2019, the General Assembly passed legislation, which I sponsored calling for TennCare to negotiate with the federal Centers for Medicare and Medicaid Services (CMS) for a TennCare block grant waiver amendment giving the state more flexibility in how it serves Tennesseans.   Since that time, the state has been in negotiations with CMS on the agreement which was finalized by federal authorities recently. Senate Joint Resolution 25 seals that agreement by authorizing immediate implementation of the ten-year agreement.  The previous five-year TennCare waiver agreement was set to expire June 30.

It is crucial that we allow TennCare the flexibility to manage its cost without the federal government involved every step of the way.  The framework was laid out in the original legislation.  TennCare has proven that they are a nationwide leader in cost savings while providing the necessary essential TennCare services.  It is time that we allow TennCare, instead of the federal government, to lead and allow them to structure the best program for this state. 

Building on Tennessee’s record of prudent financial stewardship and innovation in delivering high quality, cost-effective services in its Medicaid program, the waiver agreement creates a real opportunity for Tennessee’s success to be rewarded by achieving additional federal funding through shared savings.  The negotiated flexibilities will allow the state to add new TennCare recipients, structure benefit packages, better control fraud, and more effectively manage pharmacy programs.   Some of the priorities for program innovation include maternal health coverage enhancements, serving additional needy populations, clearing the wait list for individuals with intellectual and developmental disabilities, and addressing state-specific health crises.

General Assembly passes major legislation to improve education -  In other action, the legislature passed major legislation to improve education in Tennessee which has been severely affected by COVID-19 related obstacles.  This includes approval of a new law to help recover learning losses, a measure to boost foundational reading skills; a bill ensuring students, teachers, schools, and districts are held harmless from any negative consequences associated with 2020-2021 student assessments; and legislation providing funds to Local Education Agencies (LEAs) to increase teacher pay.

Research data estimates a 50% decrease in proficiency rates in 3rd grade reading and a 65% decrease in proficiency rates in math due to the effects of COVID-19 on student learning.  Senate Bill 7002 helps struggling students by providing after-school learning mini-camps, learning loss bridge camps and summer learning camps beginning this summer.  It also creates the Tennessee Accelerated Literacy and Learning Corps to provide high-quality tutoring throughout the school year.

The bill also strengthens the state’s 3rd grade reading retention policy by ensuring that students are on grade-level before being promoted to the 4th grade.  It provides rigorous, and well-funded interventions for students who are behind to ensure they are caught up before beginning 4th grade.

A second bill specifically targets literacy skills to get students on track in the early grades so they can become proficient readers by 3rd grade.  Lack of early literacy intervention can lead students to drop out of high school and increases the likelihood that they will become incarcerated or experience difficulty and poverty as adults.  

The education legislative package also focuses on teachers.  Teachers, schools, and school districts will be held harmless from any negative consequences associated with student assessments for the 2020-21 school year under a bill passed by the General Assembly during the special session on education.  Senate Bill 7001 only allows for assessments to be used in evaluations if it results in a higher final score for the educator. 

In addition, key legislation was approved providing funds to Local Boards of Education to increase teacher pay. Senate Bill 7009 commits over $42.8 million to increase the salary component of the Basic Education Program (BEP) by 2%. These funds would provide an immediate pay increase for teachers and would be retroactive to January 1st. Legislative leaders and the governor have expressed the intention to appropriate funds to the instructional component to the BEP in the 2021-2022 fiscal year on a recurring basis in order for Tennessee teachers to see a more substantial raise. Those funds would be included in the appropriations bill for the regular session which will begin February 8.

I will continue to keep you informed regarding key actions taken during the 2021 legislative session.  I hope you will feel free to contact me regarding your views on the issues we face.  I can be reached at sen.paul.bailey@capitol.tn.gov or call me at (615) 741-3978.  I look forward to hearing from you.