Alaska Department of Administration
Administration >  Health Care Authority Feasibility Study

Health Care Authority

What’s next for the health care authority studies?

The studies demonstrated that a health care authority is a feasible concept and could lead to significant cost containment. The next step is to identify what conditions are necessary and sufficient for a successful implementation of a health care authority. This will include additional actuarial analyses and extensive stakeholder engagement. The departments of Administration, Health and Social Services and Commerce, Community and Economic Development are collaborating with consultants to determine whether a health care authority is the best way to deliver value to public employers and employees and enable health care system reform in Alaska.

Why do we need another analysis?

The State of Alaska spends more than a billion dollars each year to directly or indirectly fund health coverage for more than 340,000 individuals. A comprehensive review and feedback process is necessary before making changes to such a critical element of Alaskans’ lives and livelihoods. The Administration does not have a preconceived vision for a health care authority and plans to rely heavily on stakeholder input and lessons learned from the experiences of other states that have pursued public sector health care cost containment.

Is this going to increase the role of government in health care?

No, government (including the federal government) already funds well over half of all health care in Alaska. A health care authority would ideally be empowered to find efficiencies and use its collective purchasing power to drive comprehensive system reform that benefits both public and private payers. A health care authority can be a catalyst for change in Alaska’s health care market, and by orienting the system on value, aligning consumer incentives and fostering competition and innovation, it can improve access to affordable health care for all Alaskans.

How can I stay informed?

Check this website for updates, and email AlaskaHCA@alaska.gov to be added to our contact list.