Author: john_velis

Hello Everyone, 

I hope you have all been enjoying the summer weather this week.  Just a reminder that should you need help finding a cooling center near you, my office is ready and happy to assist.   

We’ve had a busy schedule here in the Senate as we approach the end of the legislative session.  My team and I have been hard at work this week as we review the legislature’s recent healthcare reform package.  The affordability and accessibility of healthcare is one of the most pressing issues facing the Commonwealth and this bill takes aim at expanding both.  I was proud to have worked on this alongside my fellow legislators and look forward to continuing this work throughout the rest of session.     

Outside of my work on Beacon Hill, my team and I were busy throughout this week attending some fantastic community events.  Monday afternoon, I had the honor of presenting a citation to Rose O’Brien of West Springfield at the Council on Aging in recognition of her “Gold Cane” award.  This honor is bestowed upon the citizen of West Side who has lived in the town the longest and embodies best what it means to be a member of the community.  Congratulations Rose!  

Tuesday morning, my staff accompanied Secretary Ed Augustus of the Executive Office of Housing and Livable Communities for a tour of the Treehouse Intergenerational community in Easthampton as well as a tour of the Easthampton Housing Authority.  Treehouse is such a wonderful neighborhood that brings together older adults and youth in the foster care system for a truly special and supportive community. Thank you to Secretary Augustus for coming all the way out to Western Mass for these tours.   

Wednesday evening, I was joined by Governor Healey, Secretary of the Executive Office of Energy and Environmental Affairs Rebecca Tepper, and DCR Commissioner Brian Arrigo to play some basketball at the Holyoke Boys and Girls Club as a part of the DCR’s Summer Nights program.  This program aims at to provide our urban youth with opportunities to organize and play sports in the evening outside of normal DCR program hours.  Summer Nights provides such an essential service to kids here in the Valley and I was lucky to have been invited to play.   

This week my team hosted office hours at the Easthampton COA on Tuesday and at the Holyoke COA.  Next week, we will be at the Westfield COA on Monday from 12:30pm to 1:30pm and at the Russell COA on Tuesday from 11:30am to 12:30pm.  If you can’t make office hours, I can always be reached by email, john.velis@masenate.gov, by phone, (413) 572-3920, and you can find me online at senatorjohnvelis.com.  

Sincerely,  

John Velis 

Bill strengthens health care market oversight and imposes guardrails on private equity investments

(BOSTON—7/18/2024) Today the Massachusetts Senate passed urgent reforms to the Commonwealth’s health care system to boost oversight and transparency in the market and improve patient access to prescribed medication and treatment.

Following debate, the Senate approved the legislation by a vote of 38-2.

The reforms in S.2871 come as Massachusetts continues to manage challenges related to private equity’s mismanagement in health care, which has created uncertainties for patients receiving care and the communities that the healthcare facilities serve. The legislation passed by the Senate would create strong systemic safeguards around private equity in healthcare, a significant step towards preempting future mismanagement.

“Massachusetts is the health care capital of the world because we take seriously our responsibility to invest in and protect our systems, providers, and patients,” said Senate President Karen E. Spilka (D-Ashland). “As we stare down a health care market plagued by high costs and the fallout from private equity mismanagement, the Senate has doubled down on our responsibility to our residents, making us a national leader in safeguarding patients, expanding access to care, and holding private equity accountable. I’m grateful to the unmatched work of Senator Friedman, the work of my colleagues, and the countless advocates who have contributed their voices to this legislation.”

“I’m pleased that the Senate has taken an expansive overhaul of the Commonwealth’s struggling health care system with this regulatory redress bill,” said Senator Michael J. Rodrigues (D-Westport), Chair of the Senate Committee on Ways and Means. “The collapse of Steward Health Care shows us that it’s now time to reform the system and make transparent the process of costs in relation to services rendered to patients. While Massachusetts is known throughout the world as providing the very best in health care, this

legislation will make that care more affordable and accessible. I thank Senator Freidman for her work in bringing this cost containment bill to the full Senate for its consideration.”

“The Senate’s comprehensive health care market legislation passed today puts patients and providers back into the focus of the delivery of healthcare, rather than profits,” said Senator Cindy F. Friedman (D-Arlington). “To ensure that a crisis similar to that surrounding Steward Health Care does not infiltrate our state’s health care system ever again, this bill modernizes and strengthens the health care oversight and transparency tools we have in the Commonwealth. This bill also provides protections for patients and providers, affords our health care regulatory agencies the needed flexibility and scope to oversee the industry as it evolves, and increases the financial transparency of major market players. I thank Senate President Spilka, Chair Rodrigues, and my Senate colleagues for their attention to these issues. Residents of Massachusetts deserve health care that is accessible, affordable, and high quality, and this bill continues the Senate’s goal to deliver just that.”

Provisions of An Act enhancing the health care market review process include:

Expanding oversight of Private Equity. Leading nationwide efforts, the bill expands oversight of private equity firms, real estate investment trusts (REITs), and management services organizations (MSOs) involved with Massachusetts health care providers and provider organizations. In conjunction with the Senate’s efforts to rein in the costs of prescription drugs through the PACT Act, the bill expands oversight of pharmaceutical manufacturing companies and pharmacy benefit managers (PBMs) and creates a licensing structure for PBMs.

In addition to PBMs, the bill establishes licensing structures for certain health care providers currently not licensed, and therefore not subject to Department of Public Health (DPH) oversight, including office-based surgical centers, urgent care centers, and health care practices.

Improving Access to Primary Care. Access to primary care is proven to reduce health care costs, yet there is an extreme shortage of primary care providers in Massachusetts and across the country. To understand how to best build a sustainable primary care system, the bill establishes a task force to study and make recommendations to stabilize the system and workforce, increase financial investment in primary care, and improve patient access to primary care.

The bill moves state health planning to the Health Policy Commission (HPC) and the health care resources inventory to the Center for Health Information and Analysis (CHIA) to better align with the work of these agencies. In developing the state health plan, HPC is directed to consider health equity goals. The bill also directs HPC and CHIA to set and measure health care affordability goals for the Commonwealth.

Keeping Health Insurance Affordable. The bill establishes a health insurance bureau within the Division of Insurance (DOI) to conduct rate reviews of premium rates for health benefit plans, oversee the small group and individual health insurance market and affordable health plans—including coverage for young adults—and disseminate information to consumers about health insurance coverage.

Cutting Red Tape for Prescription Access. In response to an increased number of consumer reports of delays accessing medications due to the need for prior authorizations, the bill requires a new insurance carrier to honor any prior authorizations approved by a previous carrier for at least 90 days following a patient’s enrollment in the new health plan. The bill also requires that a prior authorization approval for medication and treatment prescribed for chronic disease management must be valid for the length of the prescription, up to 12 months.

Strengthening the Health Policy Commission (HPC). To strengthen the HPC’s work to advance a transparent and equitable health system, the bill adds members with expertise in hospital administration and in the development and pricing of pharmaceuticals, biotechnology, or medical devices to its Board of Commissioners.

The bill adjusts the HPC’s setting of the health care cost growth benchmark—the limit of how much the HPC believes health care costs should grow over time—from one year to two years, to better account for irregularities in costs.

Boosting Transparency at the Center for Health Information and Analysis (CHIA). To increase transparency, the bill authorizes CHIA to collect information from additional health care entities such as pharmaceutical companies and pharmacy benefit managers. The bill strengthens HPC’s and CHIA’s ability to ensure compliance with data reporting requirements by health care entities by enhancing the penalties for non-compliance.

Protecting Practitioner Autonomy. This bill prevents businesses, such as MSOs and corporate employers of health care practitioners, from encroaching on the clinical autonomy of practitioners. While MSOs were created to provide practices with administrative and business support, in recent years, private equity firms and other corporations have started using MSOs to increase profits by controlling practices, and by extension, the practitioners who work in them. Patients deserve safe and appropriate care that is based on a practitioner’s best professional judgment without the influence of business interests.

Managing Costs and Improving Quality of Care. The bill updates several programs aimed at constraining health care costs and improving care quality, including the Determination of Need (DoN), Performance Improvement Plan (PIP), and Material Change Notice (MCN), and programs.

Determination of Need. This bill increases coordination between state agencies involved in health care market review by clarifying that DPH should not act on a DoN application until HPC, CHIA, the Attorney General, or other relevant agencies have been given reasonable opportunity to supply required information. This change will ensure that DPH has all the information it needs to more fully assess a proposal’s potential impact on the provision of health care in the Commonwealth.

Performance Improvement Plan. The PIP is a process by which HPC can require entities that have exceeded the cost growth benchmark to reduce their spending. The bill provides more flexibility for CHIA to refer health care entities with excessive spending to HPC, which can require the referred entity to file and implement a PIP. In addition, the HPC is given new authority to assess a civil penalty instead of requiring a PIP.

Material Change Notice . A MCN is a requirement for providers and provider organizations to notify HPC of a proposed change to their operations or governance structure at least 60 days before the change is to go into effect. The bill adds new types of transactions that require a MCN, including significant new for-profit investment and acquisitions by for-profit entities, such as large for-profit physician organizations and private equity firms, as well as the sale of assets for the purposes of a lease-back arrangement.

Crucially, the bill gives HPC new authority to require providers to address concerns that their proposed change will significantly increase consumer costs, reduce the quality of care, or reduce access to services.

A previous version of this bill having passed the House of Representatives, the two branches will now reconcile the differences between the bills, before sending it to the Governor’s desk.

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Economic development bond authorizations set to enhance state as national leader

(BOSTON—7/11/2024) Today the Massachusetts Senate unanimously passed a comprehensive economic development bill that makes bold investments in life sciences, climate tech, and small businesses, building on Massachusetts’ national leadership and creating an environment where businesses and workers thrive.

The $2.86 billion in bonds authorized in An Act Relative to strengthening Massachusetts’ economic leadership will stimulate new and proven industries, support workforce development and talent retention, and modernize economic growth strategies.

The support in S.2586 extends to small businesses, communities, and cultural development, ensuring that main street businesses across the Commonwealth benefit from the economic boost.

“Life sciences and climate technology are synonymous with Massachusetts because of the past decade of strong investment,” said Senate President Karen E. Spilka (D-Ashland). “The Senate’s action today ensures that we build on that leadership in the coming decade, amplifying the diverse and thriving economic ecosystem that enables people to stay in our state to build careers and families. I am grateful for Chair Finegold’s leadership on this bill, to Chair Rodrigues, and to each of my Senate colleagues for their input and action to strengthen our economy.”

“I’m excited the Senate has created long-term investments in key sectors of our state’s economy by passing this economic development bond bill,” said Senator Michael J. Rodrigues (D-Westport), Chair of the Senate Committee on Ways and Means. “With ambitious initiatives in life sciences, robotics, artificial intelligence, and other cutting-edge disciplines, we lay a strong foundation for the new and global economy for generations to come. While we look to the future, the bill also reinforces the traditional economic drivers of the Commonwealth, notably small business, education, and advanced manufacturing. This comprehensive legislation also reaffirms the Senate’s commitment to regional equity.”

“Massachusetts is home to great talent, industry, and education, but we must act now to remain competitive in a changing global and national economy,” said Senator Barry R. Finegold (D-Andover), Senate Chair of the Joint Committee on Economic Development and Emerging Technologies. “This economic development bill bolsters our state’s competitiveness by strengthening sectors we already excel in and creating pathways to secure the lead in emerging fields. I want to thank my colleagues for their helpful input, especially Senate President Spilka, Senate Ways and Means Chair Rodrigues, my House counterpart, Representative Parisella, as well as the Healey-Driscoll administration for leading the charge on behalf of Team Massachusetts.”

The combination of investments, tax credits, and policy changes will position Massachusetts industries as global leaders at a moment when breakthroughs in science and technology are more important than ever.

Provisions of the legislation include:

Maintaining Massachusetts’ Life Sciences Leadership

While 18 of the top 20 biopharma companies now have ties to Massachusetts, the national ecosystem remains competitive.

The Senate’s economic development bill authorizes $225 million over five years for the Life Sciences Breakthrough Fund to reauthorize the Life Sciences Initiative, totaling $45 million annually. Known as “Life Sciences 3.0”, the reauthorization adds health equity, biosecurity, digital health, and artificial intelligence (AI) to the mission of the Life Sciences Center.

It redefines “life sciences” to include preventative medicine, biosecurity, life sciences AI, and medical technology. It also allows for awards and grants to public higher education institutions or public private partnerships.

Keeping Climate Tech Companies in Massachusetts

Massachusetts is first in the nation for per-capita climate tech startups—despite being outpaced in investment by New York and California—with 49 businesses per one million residents.

To incentivize these startups to stay in Massachusetts and continue to build their companies, the legislation provides $200 million for the Clean Energy Investment Fund to facilitate research and development, commercialization, and deployment of climate technologies. It adds a further $200 million for the Massachusetts Offshore Wind Industry Investment Trust Fund to support the growth of the offshore wind industry.

Additional incentives include a climate tech tax credit, a climate tech jobs credit, and a climate tech research credit.

Regional Equity

The legislation reflects the different needs of different communities and ensures none of the Commonwealth’s 351 cities and towns are left behind.

This will partly be accomplished through statewide targeted infrastructure improvements, with the bill authorizing $400 million for MassWorks public infrastructure projects that spur economic development and help support job creation, $100 million for the Rural Development Fund to provide financial assistance for infrastructure and community planning efforts in rural communities, $100 million for local economic development grants for economic development in cities and towns, $90 million to support the redevelopment of underutilized, blighted, or abandoned buildings, and $10 million for the Broadband Incentive Fund for the capital maintenance of the MassBroadband 123 middle mile network.

In addition to infrastructure, the legislation recognizes the importance of local cultural and economic sites, providing $150 million for capital grants for public libraries, $50 million for the Cultural Facilities Fund, $40 million for Destination Development grants to support capital improvements of tourism assets, $15 million for a capital grant program to support the Commonwealth’s agriculture, commercial fishing, and cranberry growing industries, and $8 million for historical preservation grants through the Massachusetts Historical Commission.

Accelerating AI & Advanced Manufacturing Development

To position Massachusetts as a leader of the future economy, the bill includes provisions to further develop the rapidly growing AI industry as well as high-tech advanced manufacturing jobs.

It contains $115 million for the Massachusetts Tech Hub to establish key industry consortia across the Commonwealth, $100 million for the Applied AI Hub program to facilitate the application of AI, $99 million for flexible grants to support advanced manufacturing initiatives, and $25 million for capital grants to advance research, commercialization, and training in robotics.

Retaining Talented College Graduates

Outmigration is notably prevalent among students who graduate from Massachusetts colleges. To keep them and their talent in the state, the legislation includes $85 million for the Massachusetts Education Financing Authority (MEFA) to improve access to affordable higher education opportunities.

Additional talent-retention provisions promote internships for students and recent graduates through the employer internship tax credit and allow foreign-licensed physicians to apply for a limited license to practice medicine in the Commonwealth with a pathway to a full unrestricted license. The program would enable their talents to be used to fill the state’s physician shortage.

Supporting Small Businesses

With nearly 50 per cent of Massachusetts workers employed by companies with less than 500 employees, small businesses are a key part of the Commonwealth’s economy. The Senate’s legislation recognizes this, providing $25 million through MassVentures for small business technology grants to help early-stage companies commercialize new technologies, $35 million for grants to Community Development Financial Institutions (CDFIs) to help disadvantaged and underserved businesses, and $10 million for Biz-M-Power matching grants to small businesses with capital needs.

To assist small businesses in rural areas and areas impacted by pollution, the bill authorizes $3 million for grants to improve the readiness of sites for economic development projects and $30 million for the Brownfields Redevelopment Fund to support the remediation of land impacted by environmental contamination.

Everett Zoning Changes

The legislation would remove a parcel of land in Everett from its status as a designated port area, enabling a process to move forward that could create a public sports and entertainment venue. The change is anticipated to have significant positive environmental and economic impacts in the community surrounding the area.

During debate, the Senate adopted several amendments, notably:

· An amendment to allow local communities to opt-in and allow bars and restaurants in the community to responsibly offer happy-hour drink discounts.

· An amendment to admit Massachusetts in the national nurse licensure compact, helping to address the critical workforce challenge facing the health care sector.

· An amendment enhancing local public health infrastructure and service delivery.

· An amendment allowing local breweries and distilleries to sell their products alongside local wineries at farmers markets.

· An amendment increasing opportunities for a more diverse public sector teaching force.

· An amendment to provide consumers more rights to seek repair of their cell phones without having to seek service from the original manufacturer.

A previous version of this bill having passed the House of Representatives, the two branches will now reconcile the differences between the bills before sending it to the Governor’s desk.

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Happy Fourth of July Everyone, 

I hope that everyone was able to get out and safely enjoy the Fourth of July on Thursday. I was lucky enough to have been able to spend the day alongside my family at both the Hampton Ponds and Wyben Fourth of July Parades. We are so luck to have dedicated community members who each year organize these events that showcase local musicians, classic cars, and most of all, our community’s patriotism! It was great getting to see so many familiar faces along these parade routes and I am already looking forward to next year. 

I would also like to congratulate Captain Denise DuGuay’s on her retirement from the Holyoke Police Department. Throughout her three-decade career, Captain DuGuay moved up the ranks due to dedication to serving the people of Holyoke and in 2011 she became Holyoke Police Department’s first woman Captain. Thank you for your service to the Holyoke community and Congratulations on your hard-earned retirement! 

I would also like do a special shout to the Center for Human Development and Amelia Park for hosting an adaptive curling event at the end of June over at the park.  Movement and athletics are such a crucial and empowering part of life.  Making them accessible to those of all abilities is so important in ensuring our friends and neighbors are included.  What an amazing event, I hope I can make the next one! 

This week my team hosted office hours on Monday at the Agawam COA on Monday.  Next week, we will be at the Chicopee COA on Tuesday July 9^th from 10:00am to 11:00am and at the West Springfield COA on Wednesday July 10^th from 11:00am to 12:00pm.  If you can’t make office hours, I can always be reached by email, john.velis@masenate.gov, by phone, (413) 572-3920, and you can find me online at senatorjohnvelis.com.  

Sincerely,  

John Velis 

Hello everyone,

I hope everyone is getting a much-needed relief from the heat this past week.  This was our first heatwave of the year and just as a reminder, if you or any loved ones are in need of somewhere to get relief from the temperatures, my office is readily available to connect you with our local cooling centers. 

I’m very proud to announce that this week Massachusetts joined 48 other states in banning the non-consensual sharing of explicit images without the subjects’ consent, also known as “revenge porn”. I was proud to file legislation earlier this year that was included in the final bill signed by the Governor on Friday which will finally make this abhorrent practice a criminal offense and provide victims with an avenue to pursue justice.

This week my team and I joined a few different celebrations across the district. Earlier in the week, Team Velis joined the grand-opening celebrations for Rooster’s Fried Chicken in Westfield and New American Funding in Agawam. On Thursday evening I joined the West Springfield community in celebrating the retirement of Chief Paul Connor after over 29 years of dedicated public service. Thank you Chief, and congratulations on a well-deserved retirement!

Before concluding the week, I made my way over to Dean Technical High School in Holyoke to surprise Principal Rosanne (Rosie) Caracciolo. Earlier this year I was proud to nominate Rosie for the Commonwealth Heroine award which she received last week. While I was unable to join her for the celebration out in Boston, thanks to the staff at Dean Tech, we put together a local celebration before the school year ended. Rosie Caracciolo truly makes our Commonwealth a better place. From being a foster parent to her many years in the Holyoke Public Schools, Rosie has impacted the lives of so many children in our region. The Commonwealth Heroine Award is awarded to dedicated community partners that are doing remarkable work to protect vulnerable populations and I am grateful to the Massachusetts Commission on Women for selecting her for this award.

This week my team hosted office hours at the Easthampton COA on Tuesday and at the Holyoke COA on Thursday.  Next week, we have a triple header of office hours lined up.  On Monday June 24th, we will be at the Westfield COA from 12:30pm to 1:30pm.  On Tuesday, we will be at the Russell COA from 11:30 am to 12:30pm.  Wednesday, we will be at the Southampton COA from 9:30am to 10:30am.  If you can’t make office hours, I can always be reached by email, john.velis@masenate.gov, by phone, (413) 572-3920, and you can find me online at senatorjohnvelis.com.

Sincerely,

John Velis