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Maine.gov > PFR Home > Insurance Regulation > Hearing Decision Index > Document 201 : INS 99-14 : Hearing Decision

 

STATE OF MAINE

DEPARTMENT OF PROFESSIONAL AND FINANCIAL REGULATION

BUREAU OF INSURANCE

 

IN RE: APPLICATION OF ASSOCIATED )
HOSPITAL SERVICE OF MAINE, )
d/b/a BLUE CROSS AND BLUE SHIELD )
OF MAINE, TO CONVERT TO A STOCK )
INSURER AND VOLUNTARILY )
LIQUIDATE AND DISSOLVE )
)
)
IN RE: APPLICATION OF ANTHEM ) POSITION STATEMENT
HEALTH PLAN OF MAINE, INC., ) REGARDING APPLICATION OF
TO ACQUIRE THE ASSETS OF ) PROTECTIVE ORDERS TO
ASSOCIATED HOSPITAL SERVICE ) DISCOVERY REQUESTS
OF MAINE, d/b/a BLUE CROSS AND )
BLUE SHIELD OF MAINE, AND )
RELATED TRANSACTIONS )
)
Docket No. INS 99-14 )

 

Central Maine Partners Health Plan, Inc. ("CMPHP") and Central Maine Healthcare Corporation ("CMHC"), through their attorneys, Ropes & Gray, submit this Position Statement Regarding Application of Protective Orders to Discovery Requests. On January 14, 2000, Ropes & Gray received from Blue Cross and Blue Shield of Maine ("BCBSME") its Supplemental Memorandum in Support of Motion for Supplemental Protective Order and the Supporting Affidavit of Edward J. Kane. In BCBSME's Supplemental Memorandum in Support of Motion for Supplemental Protective Order, BCBSME asserts that certain discovery responses should not be provided to one or more of the private intervenors until a showing is made that the requesting party needs such information in order to present its case in the current proceeding. Among other statements, BCBSME stated that, absent a showing, (i) the private intervenors should not have access to the financial terms of BCBSME's pharmaceutical contracts or its form contracts with providers, and (ii) CMPHP and Maine Partners Health Plan, Inc. ("MPHP") should not have access to each other's respective business plans and non-public financial statements. In addition, in his Supporting Affidavit, Mr. Kane noted that Ropes & Gray, as counsel to CMHC and CMPHP, has requested copies of BCBSME's responses to the Superintendent's Second Discovery Request, paragraph 44 (the BCBSME contract with Blue Cross Blue Shield of Minnesota), paragraph 55 (the most current copy of BCBSME's provider contracts), paragraph 56 (the most current copy of BCBSME's pharmaceutical contracts), and paragraph 49 (documentation regarding Anthem's anticipated operation of MPHP, CMPHP and HMO Maine). Mr. Kane further stated that CMHC and CMPHP have not demonstrated that they need to have access to the information submitted in response to paragraphs 44, 55 and 56, and reiterated that CMHC and CMPHP should not have access to MPHP's business plans and non-public financial statements.

CMHC and CMPHP are submitting this Position Statement Regarding Application of Protective Orders to Discovery Requests in order to clarify CMHC's and CMPHP's position on these matters. As an initial matter, the requests for copies of BCBSME's responses to paragraphs 44, 55, 56 and 49 of the Superintendent's Second Discovery Request (the "Responses") were made so as to be informed as to the information and documentation that would be reviewed by the Superintendent and the Attorney General and would be available for review by the other parties to the proceeding. Such requests were made with the understanding that certain information contained in the Responses was the subject of pending motions for supplemental protection and would not be available pending an order of the Superintendent. However, as parties as of right to the proceeding, CMPHP and CMHC are entitled (or, with respect to information determined to be confidential, their counsel of record is entitled) to have access to a copy of all Responses (without making a particular showing of need) to the extent that they are not protected by a supplemental protective order.

CMHC and CMPHP have communicated to BCBSME's counsel, and state herein for the record, that CMHC and CMPHP do not oppose BCBSME's Motion for Supplemental Protective Order to the extent that it requests that certain listed pieces of information or documentation will be available for review only by the Superintendent and the Attorney General, unless a showing is made by a particular party that access to such information is necessary to present its case in the current proceeding. Specifically, CMHC and CMPHP agree with and support BCBSME's position that no intervenor in the proceeding should have access to CMPHP's or MPHP's business plans and non-public financial statements provided in response to paragraph 49 of the Superintendent's Second Discovery Request, absent a showing by a particular party that access to such information is necessary to present its case in the current proceeding. However, CMPHP and CMHC are entitled to know what information and documents of CMPHP have been provided to the Superintendent in response to any of the discovery requests, including paragraph 49 of the Superintendent's Second Discovery Request, and CMPHP and CMHC expect that a copy of all such information and documents will be provided to CMPHP's and CMHC's counsel.

In addition, although CMHC and CMPHP have requested copies of the responses to paragraphs 44, 55 and 56 of the Superintendent's Second Discovery request, they do not object to BCBSME's request that the intervenors not have access to (i) the financial terms of BCBSME's pharmaceutical contracts, (ii) the financial terms of BCBSME's contract with Blue Cross Blue Shield of Minnesota, or (iii) copies of its form contracts with providers, absent a showing by a particular party that access to such information is necessary to present its case in the current proceeding. However, as noted above, CMPHP and CMHC are entitled (or their counsel of record is entitled) to have access to a copy of the Responses (without making a particular showing of need) to the extent that they are not protected by a supplemental protective order.

To the extent that BCBSME's Motion for Supplemental Protective Order may seek to treat CMPHP and CMHC differently than other intervenors, CMPHP and CMHC do not support the Motion. Given CMPHP's and CMHC's substantial and direct interest in the proceeding, CMPHP and CMHC would object to any procedure that would place CMPHP or CMHC at a disadvantage in comparison to information available to the other intervenors, for instance by allowing other intervenors (but not CMPHP or CMHC) to have access to certain information without a particularized showing of need.

Finally, although CMHC and CMPHP to date have not affirmatively stated an interest in presenting evidence concerning the valuation of BCBSME or the financial terms of the transaction, CMHC and CMPHP reserve the right to do so given the impact that Anthem's financial viability will have on the operations of CMPHP if Anthem's acquisition of BCBSME is approved and completed, and to make a showing at a later date in the event that they need to have access to information or documentation which is protected by a Supplemental Protective Order of the Superintendent and is necessary to present their case in the current proceeding.

 

Dated: January 20, 2000

                                         Respectfully Submitted,

CENTRAL MAINE PARTNERS HEALTH PLAN, INC.

CENTRAL MAINE HEALTHCARE CORPORATION

 

By:_______________________________

John C. Kane, Jr., Esq.

Attorney for Central Maine Partners Health Plan, Inc.

and Central Maine Healthcare Corporation

ROPES & GRAY

One International Place

Boston, MA 02110

 

CERTIFICATE OF SERVICE

 

The undersigned hereby certifies that on January 20, 2000, a copy of the Position Statement Regarding Application of Protective Orders to Discovery Requests was served by United States mail, first class postage prepaid, on each of the persons listed below.

 

Robert S. Frank, Esq.

Harvey & Frank

Two City Center

P.O. Box 126

Portland, Maine 04112

(Blue Cross/Blue Shield of Maine)

Joseph P. Ditre, Esq.

Consumer Health Law Program

One Weston Court, Level One

P.O. Box 2490

Augusta, Maine 04338-2490

(Consumers for Affordable Health Care Coalition)

Judith Chamberlain, Esq.

State of Maine

Department of the Attorney General

6 State House Station

Augusta, Maine 04333-0006

(Office of the Attorney General)

James B. Zimpritch, Esq.

Pierce Atwood

One Monument Square

Portland, Maine 04101

(Anthem Insurance Companies, Inc.)

William H. Laubenstein, Esq.

State of Maine

Department of the Attorney General

6 State House Station

Augusta, Maine 04333-0006

(Office of the Attorney General)

Robert I. Goldman

Maine Council of Senior Citizens

27 Bowery Beach Road

Cape Elizabeth, Maine 04107

(Maine Council of Senior Citizens)

Gregory A. Brodek, Esq.

Duane, Morris & Heckscher, LLP

15 Columbia Street, 4th Floor

Bangor, Maine 04401-6355

(Maine Health Alliance)

Bonnie Post

Executive Director,

Maine Ambulatory Care Coalition

P.O. Box 390

Manchester, Maine 04351

(Sacopee Valley Health Center, Regional Medical Center at Lubec, Eastport Health Care, Inc., and the Maine Ambulatory Care Coalition)

Gordon H. Smith, Esq.

Maine Medical Association

Frank O. Stred Building

P.O. Box 190

Manchester, Maine 04351

(Thomas D. Hayward, M.D.,

Maroulla S. Gleaton, M.D., and

the Maine Medical Association)

John Dieffenbacher-Krall

Executive Director

Maine People's Alliance

192 State Street

Portland, Maine 04101

(Maine People's Alliance)

Donald E. Quigley, Esq.

General Counsel

465 Congress Street, Suite 600

Portland, Maine 04101-3537

(Maine Medical Center)

Sandra L. Parker, Esq.

MHA, Inc.

150 Capitol Street

Augusta, Maine 04330

(MHA, Inc.)

Kellie P. Miller, M.S.

Executive Director

Maine Osteopathic Association

693 Western Avenue

Manchester, Maine 04351

(Maine Osteopathic Association)

Edward F. Miller

Executive Director

American Lung Association of Maine

122 State Street

Augusta, Maine 04330

 

DATED: January 20, 2000

__________________________________________

John C. Kane, Jr., Esq.

Attorney for Central Maine Partners Health Plan, Inc.

and Central Maine Healthcare Corporation

 

ROPES & GRAY

One International Place

Boston, MA 02110-2624

(617) 951-7000

 

 

Last Updated: August 22, 2012