Recent overpayments to hospitals by the state health plan are more evidence of the need to put the plan under new management, said the State Employees Association of North Carolina.

A preliminary audit last week showed six hospitals owe the state $2.5 million for overcharges.

"Overpayments in those amounts are noticeable to state employees, teachers and retirees who saw their out-of-pocket costs increase by $600 with the passage of (legislation this year) that required zero cost concessions from" Blue Cross Blue Shield of North Carolina, which administers the plan, wrote Dana Cope, SEANC's executive director, in a recent letter to House Speaker Joe Hackney. (Click below to see the whole letter.)

SEANC wants the plan moved from under the legislature's control to the executive branch of government, arguing that the legislators tasked with keeping an eye on the plan have failed to protect the interests of the state employees who use it.

The association also blamed Blue Cross Blue Shield, saying their contract gives them no incentive to cut their own costs.

State Rep. Hugh Holliman didn't have to resort to National Guard troops to defuse a protest at a recent fundraiser.

Holliman's event at a Raleigh restaurant was to come under withering protest from members of the State Employees Association of N.C. who are unhappy with Holliman's support for financial fixes to the State Health Plan that shift some costs to employees.

Four to five protesters actually showed on the cold and rainy Friday night, said Holliman, a Lexington Democrat. Holliman sent them food.

"We put a tray together and sent it out," he said.

Six hospitals owe the state more than $2.5 million as the result of overcharges to the State Health Plan, according to preliminary audit results the plan released today.

The six hospitals include Johnston Memorial Hospital which owes $229,675, a health plan release said. Wayne Memorial Hospital in Goldsboro owes the most, at just over $1 million, Dan Kane reports.

The audit may find more overcharges at other hospitals. Health plan officials say that 55 hospitals remain under review for possible overcharges, including the state's psychiatric hospitals in Raleigh, Butner, Morganton and Goldsboro.

Thirty hospitals have been found to have properly charged the health plan, which serves roughly 670,000 state employees, teachers and retirees.

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The health insurance plan for North Carolina state employees is still paying out more claims than budgeted for the first three months of the fiscal year.

Lawmakers received State Health Plan data Thursday showing paid medical claims are 4 percent higher than expected through Sept. 30. That's better compared to an 8 percent increase through August.

Plan leaders attribute higher payouts to patients going to the doctor before higher payment schedules took effect July 1. Chief financial officer Mona Moon said she's waiting for more figures to determine whether expense levels will come down. (AP)

Members of the State Employees Association of N.C. plan to protest a fundraiser for state House majority leader Rep. Hugh Holliman.

The protest, scheduled for 5:15 p.m. this evening outside Caffe Luna in downtown Raleigh, continues the association's reaction to Holliman's support of legislation meant to shore up the State Health Plan.

The legislation shifted some costs to employees and instituted wellness programs that require smokers and the obese to pay more. SEANC had previously launched a radio ad attacking Holliman, a Lexington Democrat.

The State Employees Association of N.C. has launched a Web site and mail campaign intended to counter Blue Cross and Blue Shield of N.C.'s efforts on health care.

SEANC's campaign is a reaction to a mailer by Blue Cross, which urged people to lobby U.S. Sen. Kay Hagan to oppose the public option for health insurance included in Democratic health reform bills. The flyer followed a premium increase by the company, which didn't exactly help their message.

SEANC says, "Stop," with its Web site, stopbcbs.com.

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A national survey found that only 30 percent of Americans support forcing overweight government workers to pay more for health insurance.

The Rasmussen Reports telephone survey of 1,000 adults nationwide conducted Oct. 11-12 found that 63 percent opposed North Carolina's plan to charge overweight employees more for the state employee's health plan. The survey found 30 percent supported the plan and 7 percent were unsure.

The survey didn't provide any specifics of the plan, such as only those with extraordinarily high body mass indexes would be charged more, so a grain of salt may be in order with the survey results.

The survey also asked whether Americans favored the state's plan to charge smoker's on the plan more for insurance. Half of the respondents favored the plan, while 43 percent were opposed and 8 percent were unsure.

The survey had a margin of error of 3 percentage points.

BY THE POUND: The State Health Plan sent information to its 660,000-plus members giving details on its plans to hike rates for smokers and obese people. The mailing probably prompted a series of early New Year's resolutions.

BAD WATER=GOOD POLITICS: U.S. Sens. Kay Hagan, a Democrat, and Richard Burr, a Republican, have been pushing for benefits for Marines and their families who were exposed to toxic tap water at Camp Lejeune in the 1980s. Before long U.S. Rep. Brad Miller, a Democrat, was ready to introduce a House version of the bill.

NOT NOW: Gov. Beverly Perdue was one of six Democratic governors who did not sign a letter urging health care reform. Turns out there wasn't an ideological reason. Perdue was too busy on a business recruiting trip to give the letter a read.

IN OTHER NEWS: A conservative advocacy group is copying the Amway business model. U.S. Rep. Larry Kissell gets a fundraising boost from Vice President Joe Biden. John Edwards' name causes an awkward moment at the U2 concert in Raleigh.

Dana Cope, president of the State Employees Association of N.C., got bumped.

Now we're not saying he was bumped by the dog who can read. But the dog was on the Today Show this morning and Cope was not. Just sayin'.

Cope was invited so he could decry the State Health Plan's initiative to charge smokers and obese people more for benefits. SEANC sent a message to members, encouraging them to tape the appearance (since they'd all be at work and not watching TV, of course).

So, like any self-respecting blogger, Dome got up early to watch and post.

Dome, who rarely catches the Today Show, did see a segment about Willow the dog who does tricks on cue card command, coverage of Harry Connick Jr.'s outrage over a blackface performance on an Australian variety show and a story about Michelle Obama's genealogy.

Cope's appearance has been rescheduled for Friday. Woof!

HOLD THE FRIES: North Carolina is about to become the second state in the nation to "tax" its state workers for being really overweight. State-provided health insurance will be more expensive for smokers and the obese. (Char-O)

HONEYMOON IN FEDERAL PRISON: Fort Bragg soldiers and central Asian women staged marriages to reap the benefits of getting hitched — citizenship for the women, better pay for the soldiers. (N&O)

HALF AND HALF: A new AP-GfK poll found that Americans are split 40-40 on health care legislation. That's great news for Democrats who believe the numbers mean opposition has dropped sharply. (AP)