HHSS completes merger that started 10 years ago

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By NANCY HICKS / Lincoln Journal Star

Controversy surrounded the merger of four state agencies and part of a fifth 10 years ago into what was called the Health and Human Services System.

“It was a major change and there was lots of concern and objection,” said Kim Robak, who was the lieutenant governor and in charge of the merger plan a decade ago.

Senators created a system with three separate divisions and a five-member committee at the helm.

But this year’s plan to streamline that merged system, by forming a single giant agency with a chief executive officer, has created little controversy and no organized opposition.

A few people did suggest that the state should make sure services improve with the reorganization during a hearing Thursday before the Legislature’s Health and Human Services Committee on the reorganization plan (LB296).

The law creating the new agency should also specifically spell out the goals, for meeting human and social needs of residents and for making sure there is coordination between the six new departments, suggested Kathy Bigsby Moore, with a statewide advocacy agency for children.

The structural changes themselves will not lead to a different way of doing business, said Moore, executive director of Voices for Children.

 “There is nothing (in the bill) that will ensure the creation of a different culture, which most consumers and professionals feel is necessary,” she said.

Most people testifying at the hearing praised the plan by Gov. Dave Heineman to create a single agency, with one CEO and six departments that correspond to specific services.

The new structure “brings greater accountability, accessibility, clarity and transparency to one-third of state government,” said Chris Peterson, the new CEO, referring to the fact that one-third of all state employees work for HHSS and the agency spends one-third of the state’s general funds.

That’s more than 6,000 employees and  a budget of about $2.5 billion in state, federal and cash funds.

This (a single agency) was where we wanted to be 10 years ago,” said former Sen. Don Wesely who chaired the Legislature’s Health and Human Services Committee for 14 years.

“But we thought it would scare people away if too much power was put in one person’s hands,” Wesely said about the decision then to create three agencies and a five-member leadership group and call it a system.

One criticism of Heineman’s single CEO plan during the hearing was reminiscent of the problems state leaders encountered 10 years ago in merging the five state agencies.

The Nebraska Medical Association representative said his group is concerned because the state’s chief medical officer would not have direct access to the governor.

When there were separate agencies, the chief medical officer headed the Department of Health and reported directly to the governor.

Under the merged system, the chief medical officer is part of the policy cabinet, the committee that oversees the system. But under the reorganization, the chief medical officer may head the Department of Public Health but will report to the CEO, not the governor.

The reorganization retains the chief medical officer but that doctor no longer has direct input into other departments and does not have direct access  to the governor, said Dr. Rowen Zetterman, president of the association.

Reach Nancy Hicks at 473-7250 or nhicks@journalstar.com.