"Whether you have insurance or not, health care is taking a bigger chunk out of the average family's budget," said Peterson. "This bill will not only expand coverage to more people, it will also reduce the cost of health care coverage for Minnesotans who are already covered."

According to Peterson, 93 percent of Minnesotans with health insurance have seen their costs increase by an average of 12.54 percent each year, between the years of 2000 and 2005. During that same time period, per capita income rose by 3.1 percent.

"Do the math," said Peterson. "Unless something changes, we can't keep up with our rising health care costs."

The centerpiece of the bill is a provision that provides better access and uniformity to health cost information and lower costs through a medical home model, physician-directed care coordination and payment system reforms.

The other major component of the bill is the Cover All Kids provision, which was one of the House DFL's priority bills introduced during the first week of the session.

"Minnesotans understand that every child deserves to get their immunizations so they don't get sick, and when they are sick, to see a doctor," said Peterson. "This is the right thing to do."

The Cover-All-Kids Initiative will provide coverage for the 70,000 Minnesota children currently without health care coverage. It also extends coverage to dependent young adults up to age 25. The cost is $99 million in 2008-2009 and $373 million in 2010-2011 when the initiative is fully phased in.

Other highlights of the bill include:

· $393 million for rate increases for long term care providers

· $116 million in Mental Health Initiatives

· $101 million to reduce Medicaid asset limits for elderly and disabled Minnesotans

· $28 million to reduce copays for Medicaid coverage of Medicare Part D

· $3 million to provide access to MinnesotaCare for farmers