Blue Cross warns governor/legislature board picks would set precedent for Vermont nonprofits

Courtney Harnett, representing Blue Cross and Blue Shield of Vermont, told the Health Care Committee that proposed language allowing governor or legislative appointees to the insurer's board would be unprecedented and could affect other nonprofit organizations across the state.

"It is in fact unique and is setting precedent, for the 6,000 plus other nonprofits that exist in the state of Vermont," Harnett said, urging the committee to consider the broader nonprofit implications before changing appointment authorities. She said Blue Cross already has a technical recruitment and vetting process and offered to present the organization's current practices to committee members.

Harnett said a nominating committee would be the fairest method for selecting public board members but cautioned it would likely require state support. "Our understanding is the Green Mountain Care Board nominating committee gets a per diem and a stipend," she said, noting that adding similar costs could undercut affordability goals the bill aims to achieve.

Other witnesses expressed mixed views. Lake Kisher of Carey Advocate said adding public members felt largely symbolic and suggested a simple split — one member appointed by the governor and one by the legislature — rather than creating an elaborate nominating body. "I support the concept of putting public members on there," Kisher said, "I am not going to put a lot of weight into that distinction."

Committee members asked for more detail on how nominees would be selected and who would fund any nominating process. The hearing record shows no formal vote on appointment language during this session; one separate bill (5‑77) was indicated as being tabled for the day. The committee invited Blue Cross to supply written testimony and documentation of its current recruitment, compensation and vetting procedures for further review.