EXECUTIVE ORDER NUMBER 17, AMENDMENT 2

Under and by virtue of the authority vested in me by law and pursuant thereto, I do hereby amend Executive Order Number 17, executed June 2, 2011, as amended September 15, 2011, by deleting the same in its entirety and inserting in lieu thereof the following:

WHEREAS, creation of a Health Insurance Exchange (the “Exchange”) for Alabama citizens is a paramount priority of this administration;

WHEREAS, upon its creation, the Exchange will facilitate the purchase and sale of health plans in the individual markets and the small employer market; and,

WHEREAS, the Exchange will present consumers with broader choices and more individualized options for fulfilling their health care needs by fostering a consumer-centric health insurance market in the State of Alabama.

NOW, THEREFORE, based upon these considerations, and for other good and valid reasons related thereto, I Robert Bentley, Governor of the State of Alabama, by virtue of the authority vested in me by the Constitution and laws of the State of Alabama, do hereby establish the Alabama Health Insurance Exchange Study Commission (the “Commission”). The Commission shall be an advisory group to the Governor created to make recommendations during the Exchange planning period.

The commission shall consist of:

1.    The Chairs of the House and Senate Health Committees, or their designees, who shall serve as Co-Chairs for the Commission;
2.    The Commissioner of Medicaid, or his or her designee;
3.    The Commissioner of Insurance, or his or her designee;
4.    The Finance Director, or his or her designee;
5.    One member representing physician providers appointed by the Medical Association of the State of Alabama;
6.    One member representing for-profit insurers appointed by the Governor;
7.    One member representing not-for-profit insurers appointed by the Speaker of the House;
8.    One member representing the business community appointed by the Speaker of the House;
9.    One member representing the small business community appointed by the President Pro Tempore;
10.  One member recommended by the Independent Insurance Agents of Alabama and appointed by the President Pro Tempore;
11.  One member appointed by the Alabama Nursing Home Association;
12.  One member appointed by the Alabama Hospital Association; and,
13.  Additional members appointed by and to serve at the pleasure of the Governor.

BE IT ORDERED that if a Commission member is unable to attend a meeting, the appointing authority or office, with written notification to the co-chairmen prior to 5pm the evening before the Commission meeting, may send a substitute member with full voting privileges.

BE IT FURTHER ORDERED that the Commission may create advisory committees to the board consisting of stakeholders related to the development of the Exchange.

BE IT FURTHER ORDERED that the Commission shall adopt rules governing times and places for meetings and the manner of conducting its business.  The Commission shall not meet less frequently than once each month and at such other times as determined to be necessary.  The Commission may meet via teleconference.

BE IT FURTHER ORDERED that the commission shall study the establishment of the Alabama Health Benefits Exchange and shall make recommendations to the Governor and Legislature by December 1, 2011.  The recommendations shall address, at a minimum, the following: (i) whether to create the Alabama Exchange within an existing governmental agency, as a new governmental agency, or as a not-for-profit private entity; (ii) the make-up of a governing board for the Alabama Exchange; (iii) an analysis of resource needs for operating and sustaining the Alabama Exchange; (iv) a delineation of specific functions to be conducted by the Alabama Exchange; and (v) an analysis of the potential effects of the interactions between the Alabama Exchange and relevant insurance markets or existing health programs and agencies including Medicaid and Public Health.  These recommendations shall be presented to the Governor and to the Alabama Legislature by December 1, 2011, in order that any required legislation is prepared for consideration during the 2012 Regular Session of the Alabama Legislature as to the creation, governance and implementation of an Alabama Exchange.

BE IT FURTHER ORDERED that this Executive Order become effective immediately upon signing and shall remain in force until such time as it is modified or rescinded by the Governor.

DONE AND ORDERED this 31st day of October, 2011.

Robert Bentley

Governor

Attested

Beth Chapman

Secretary of State