HEALTH CARE REFORM: The Senate is about to derail two House-cherished bills, one blocking the state from implementing a health insurance exchange and another to join a multi-state compact to take over federal health-care programs. Senate committees have voted to send the bills to interim study — a polite death.

Both bills have been championed by House Speaker William O'Brien in his unrelenting attack on the federal health-care reform law over the two years he has led the House.

O'Brien is a co-sponsor of House Bill 1297, which would block the state and state agencies from implementing the health-insurance exchange. House Majority Leader D.J. Bettencourt is the prime sponsor of HB 1560, which would establish the interstate health-care compact.

The health-insurance exchange bill stalled as the U.S. Supreme Court heard oral arguments on the federal law. Senate Commerce Committee Chairman Russell Prescott said the proper course of action is no action with the Supreme Court's decision pending.

Bill supporters tried unsuccessfully to bring it back to life with an amendment crafted by an Insurance Department attorney; the bill's prime sponsor, Rep. Andrew Manuse, R-Derry; and committee member Sen. Raymond White, R-Bedford, an insurance broker.

The amendment would allow the state Insurance Department to retain much of its regulatory authority over state insurance companies and to work with federal agencies to develop a federal health exchange for the state, as mandated by federal health-care reform legislation.

Under the amendment, the department of Health and Human Services would continue to set eligibility standards for the Medicaid program, and a new advisory board would be established to oversee state agency work on a federal health insurance exchange.

The proposed changes caught the industry, which opposes the bill, off guard. It also ran into opposition from conservative groups such as Americans for Prosperity and Cornerstone Action, which want the exchanges blocked altogether as a way to pressure Congress to either repeal or change the law.

The exchanges under the Affordable Care Act are intended to allow individuals and small businesses to compare health insurance options and to create greater competition between carriers.

But as the committee debated what to do, members kept returning to the fact that whatever it did could be irrelevant, depending on how the Supreme Court rules, and eventually decided to send the bill to interim study.

The bill to establish the multi-state compacts ran into a different problem: seniors worried about their Medicare benefits and the disabled community worried about their Medicaid services.

Representatives of the two groups packed the committee room to overflowing at the public hearing.

But supporters of the bill, which is nearly identical to what has been passed in six states: Utah, Texas, Oklahoma, Indiana, Missouri and Georgia, said it would allow the state to craft a specific health-care system for the state instead of one-size-fits-all programs like Medicaid and Medicare.

Under the compact proposal, New Hampshire stands to receive about $2.9 billion in federal money, which had some committee members concerned there is too little detail at this point to put that much money at risk.

However, supporters have continued to pressure the committee.

“HB 1560 is about health care governance and does not propose any cuts to benefits for Medicare or Medicaid recipients,” said Matthew Murphy, N.H. director of the Health Care Compact Alliance. “We are proud so many grassroots organizations are supporting this bill and hope the New Hampshire Senate will pass it promptly.”

Expressing their support were Corey R. Lewandowski, state director of Americans for Prosperity-NH; Wendy Warcholik, executive director of Cornerstone Action; Carolyn McKinney, director of the Republican Liberty Caucus-NH; and Jennifer Horn, president of We The People.

The Senate Health and Human Services Committee decided the bill was premature and voted 5-0 to send the bill to interim study.

The Senate will act on both bills Wednesday, and if the members follow the committees' recommendations, another couple of gallons of gasoline will be poured on the fire consuming what's left of any good will between the House and Senate.

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HOLES IN THE SENATE: Another Senator announced unexpectedly he would not seek re-election.

Sen. Fenton Groen, R-Rochester, said last week he needed to turn his full attention to his construction business and would not run again for his District 6 seat.

Groen is the seventh senator to announce he would not seek re-election, and an eighth senator will not run for his current seat. Sen. Andy Sanborn of Henniker, will move to Bedford and seek the District 9 seat.

Five of the seven leaving the Senate are freshman and six are Republicans. The lone Democrat is Matthew Houde of Meriden.

The new Senate districts make the political landscape very interesting.

Groen's district until now always included Somersworth and Barrington, but no longer. Those communities are in a new district with Dover and Rollinsford.

The district was changed to make it easier for Groen to win re-election by adding more Republican communities north of Rochester.

The district stretches to Alton, a heavily Republican community.

The Republican senators who are leaving certainly make it easier for Democrats to either reclaim the seats or make significant inroads into the Republicans' 19-5 majority.

Democrats will have a very good chance to reclaim the District 13 seat in Nashua, and a better-than-even chance of reclaiming the District 18 seat, which includes the southern wards of Manchester and Litchfield.

District 4 was a Republican stronghold for many years with George Freeze, Leo Fraser and Robert Boyce, until Democrat Kathleen Sgambatiwon two terms. Republican James Forsythe took the seat over in 2010.

But now, District 4 encompasses heavily Democratic Dover and Somersworth.

District 1, which Republican Sen. John Gallus has held for a decade, leans Democratic and could well change parties in the upcoming general election. It was a safe Republican seat as long as Gallus was running.

An event honoring Gallus will be held May 22 at the Grappone Center in Concord.

The District 9 seat has been solidly Republican for a lifetime with former Sen. Sheila Roberge in it for 26 years, but the new arrangement stretches the district from Bedford to near Keene, which makes it less Republican and certainly more moderate.

District 5 has not always been Democratic as it has been the past decade, but the district changes this time make it a solid Democratic seat, so Houde's retirement isn't likely to change the partisan mix.

The 2011-2012 Senate has a large number of freshman members, much larger than most.

Many freshmen find the workload daunting and ideology less than important than they envisioned.

Some like it and some don't. Some find they really can't afford to spend the time required, and others become disenchanted when they don't get exactly what they want and cannot affect the change they promised.

However, the large turnover this year has to have Democrats chomping at the bit.

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LOOKING FOR CANDIDATES: The Granite State Home Health Association is looking for candidates to run for the House.

The group will host a free, non-partisan instruction seminar Thursday in Concord.

The seminar includes Deputy Secretary of State David Scanlan and several House members.

“We agreed to co-sponsor this seminar because health-care issues are among the most important issues that come before the Legislature,” said Gina Balkus, CEO of the Granite State Home Health Association.

“For that reason, it's equally important that we have interested, informed and engaged citizens seeking office, and the event is open to members of every political party who want to know more about the process of running for election.”

Other sponsors of the event include the New Hampshire Home Health Care Association, the New Hampshire Hospice & Palliative Care Organization, the New Hampshire Hospital Association and the New Hampshire Medical Society.

If the group had to have an incentive, all they needed was last week's discussion before the Senate Finance Committee when the issue of uncompensated care to hospitals came up.

Currently the state is only helping the smaller critical access hospitals through the federal Disproportionate Share program and not the larger hospitals who provide far more free care.

Senate Finance Committee Chairman Chuck Morse, R-Salem, said the Medicaid Enhancement Tax and Disproportionate Share programs are two of the most important problems lawmakers need to work out before the next budget is adopted.

“What we have isn't working and we've created ill-will between everybody,” Morse said.

While the medical folks are looking for people of either party sympathetic to their side, others invitations are more partisan.

Republican National Committeewoman Phyllis Woods will host an event May 12 at Saint Anselm College for Republican women who want to run for office.

Nashua Mayor and former Deputy House Speaker Donnalee Lozeau will be the featured speaker.

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INCOME TAX AMENDMENT: The Senate Internal Affairs Committee Friday decided a proposed constitutional amendment prohibiting any new taxes on income should go forward, but was unsure just what it should say.

The wording will come later in a floor amendment when the Senate votes May 16.

“Waiting until the 11th hour for new wording risks compounding the problems posed by this legislation by not providing enough time for a thorough review,” said Jeff McLynch, executive director of the New Hampshire Fiscal Policy Institute.

CACR 13 has drawn praise from many as solidifying the New Hampshire Advantage, but criticism from others who fear it will tie the state's hands in the future and could lead to business tax increases.

The amendment has been languishing in the committee for some time although the House voted overwhelmingly for the amendment earlier this year.

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BURT'S HOT DOG DAY: The big day for Freshman Rep. John Burt, R-Goffstown, and his wiener roast was postponed last week because the House was not in session.

Now the big day is scheduled for May 16 when both the House and Senate meet the day before the final deadline to act on bills.

Given the ill-will festering between the House and Senate, a little break from the action is bound to be a welcome relief and a little food should help as well.

Garry Rayno writes State House Dome for New Hampshire Sunday News. E-mail him at grayno@unionleader.com