Debate over Gov. Kevin Stitt's power renewed after governor removes health officials [The Oklahoman, Oklahoma City]

Sep. 19—With the quick flick of a pen two years ago, Gov. Kevin Stitt became the most powerful governor in Oklahoma's history.

Early in his governorship, the GOP-led Oklahoma Legislature gave Stitt the power to hire and fire the leaders of five major state agencies and make a majority of appointments to their governing boards.

Whether Stitt has used that power appropriately has come into question after the governor abruptly removed two members of the Oklahoma Health Care Authority board this month.

Stitt's removal of the only two doctors on the board has legislative Democrats crying foul and some Republican lawmakers quietly second-guessing their support for a 2019 package of bills that gave the governor direct control over more state agencies.

Former Gov. Mary Fallin sought similar expanded powers toward the tail end of her second term, but her strained relationship with the Legislature meant lawmakers were reluctant to give her more influence.

Lawmakers were more open to the idea when Stitt, a former CEO who campaigned on building a stronger executive branch, entered office.

"There's something about the charisma of Kevin Stitt, he's very charismatic," said Rep. Marcus McEntire, R-Duncan. "I think people believed, 'oh, my gosh, this is a new kind of leader.' Everybody was excited to have a governor that was a strong leader. I think that they gave him the keys to the kingdom of those five agencies because of that."

'Accountable to the people'

In hindsight, Oklahoma's Legislature is largely divided on party lines about whether giving Stitt more control of five major state agencies was a good move.

However, McEntire said he's also heard some rumblings of regret and frustration about the governor's newfound powers among Republican legislators at the Capitol.

"Looking back, I might have reservations about doing it the way it was done," Rep. Mark McBride, R-Moore, said about the package of bills to increase the governor's power.

McBride did not specify what he would have changed, but added that he does support Stitt and his executive decisions.

McBride and McEntire were among the more than 50 Republican lawmakers to co-author the legislation that changed the structure of the Health Care Authority board and allowed the governor to pick the agency's director.

McEntire and Stitt have clashed this year over the governor's attempts to overhaul the state's Medicaid program by outsourcing care management of most Medicaid recipients to private health insurance companies that would be paid by the state.

On party-line votes in 2019, the Legislature gave Stitt the power to hire and fire the heads of the following agencies:

— Oklahoma Health Care Authority

— Department of Transportation

— Department of Corrections

— Office of Juvenile Affairs

— Department of Mental Health and Substance Abuse Services

Before the government reforms, directors at those five agencies were traditionally hired by the agency's governing board, to which they then reported.

The five agency heads that were in place prior to the government reforms of 2019 are all gone. Some directors retired. Some resigned.

With the reforms, Stitt also got five appointments to each agency's governing board. The House Speaker and Senate Pro Tem each get to make two appointments per board.

All appointees can be removed and replaced at any time without cause.

In a statement, House Speaker Charles McCall, R-Atoka, clarified the role of the boards.

"The Legislature, not boards, sets the policies of the state," he said.

With some agency heads now reporting directly to the governor, there is some confusion about the role of certain agency boards. Some members of the Health Care Authority board members have expressed confusion about whether their role is solely advisory or if they can take meaningful action.

Senate Pro Tem Greg Treat, R-Oklahoma City, who co-authored the agency reform bills with McCall, said he stands by expanding the governor's authority.

"While I'm open to charting a path that clarifies the role of the various boards and commissions, we don't need to regress to the old way of doing things," Treat said in a statement. "The governor is accountable to the people and is elected largely based on the vision he or she casts for state government. I stand by the government modernization reforms that allow a governor to put together a team to carry out their vision."

The new process still has legislative checks, he said, noting the agency heads are subject to confirmation by the state Senate and can be removed by a two-thirds majority vote in both chambers of the Legislature.

In the wake of a financial scandal at the Oklahoma Health Department, the Legislature in 2018 gave the governor the power to hire and fire the state health commissioner. That's how Stitt came to appoint Health Commissioner Dr. Lance Frye to lead the state through much of the COVID-19 pandemic.

Although the Legislature has expanded some of the governor's powers, lawmakers haven't given in to all of Stitt's requests.

A legislative proposal to consolidate some state health agencies, at Stitt's request, didn't advance after the COVID-19 pandemic derailed Oklahoma's legislative session last year.

Similarly, Stitt's attempt to reduce the qualifications required to lead several state agencies stalled in the Legislature last year.

Stitt also talked with some lawmakers about making the Superintendent of Public Instruction position appointed, not elected. Although there is some support for that among Republican leadership, no legislation to that end has advanced to the governor's desk. Such a change also would require a statewide vote of the people.

House Democrats want a do-over

House Democrats are already making a longshot attempt to undo the expansion of gubernatorial power.

Rep. Monroe Nichols, D-Tulsa, pre-filed legislation for the 2022 legislative session to roll back the governor's power at the Oklahoma Health Care Authority.

House Bill 2971 would require the governor to appoint to the board at least one licensed physician, two Medicaid recipients and several people who have experience in health care fields.

Also under HB 2971, Stitt would be able to pick appointees only from a set of three candidates nominated by the board, appointees would have set term limits and the governor would not be able to remove them without cause.

Nichols called Stitt's decision to remove the only two doctors from the Health Care Authority board an "indefensible abuse of power." Stitt has not said why he removed Drs. Jean Hausheer and Laura Shamblin from the board.

"If we've learned anything during this pandemic, it's that the health of Oklahomans should never be tied to the political aspirations of our governor or any politician, for that matter," Nichols said. "The future of Oklahoma's health care system is far better off in the hands of professionals making decisions with health outcomes in mind, not polling data, ideology or talking points."

Stitt removed two of his five appointees to the Health Care Authority board about a week after the two members, along with a majority of the board, voted to table emergency agency rules related to third-party managed care.

Agency CEO Kevin Corbett previously said the Health Care Authority was not voting on whether to implement Medicaid managed care, but rather voting on rules the agency was required to implement due to legislation passed this session.

"We are disappointed several board members chose to disregard the public advice of the agency and board's legal counsel, causing the agency to be out of compliance with current law and (a) recent Oklahoma Supreme Court decision," a spokeswoman for the agency said in a statement.

There has been debate as to whether the rules are necessary in light of an Oklahoma Supreme Court ruling that said the agency doesn't have the authority to implement third-party managed care.

Critics feared the Health Care Authority's emergency rules, if enacted, would open the door to the Stitt administration again trying to implement Medicaid managed care.

Although Nichols' bill only seeks changes to the Health Care Authority's structure, House Minority Leader Emily Virgin, D-Norman, said her caucus will try next session to undo the governor's expanded powers across several state agencies. The move is likely to be opposed by Republican supermajorities in the House and Senate.

A spokeswoman for the governor called Democrats' attempts to undo the agency reforms "an out-of-touch political stunt."

"Governor Stitt's agency reforms, which were overwhelmingly passed by the Legislature in 2019, continue delivering positive outcomes for Oklahomans while holding state agencies accountable," said Stitt spokeswoman Carly Atchison.

The situation with the Health Care Authority board is reminiscent of when, last year, Stitt abruptly replaced one of his six appointees to the State Board of Education without giving any reason for the dismissal.

In 2011, the Legislature updated state law to say State Board of Education members serve at the pleasure of the governor. Although board members are typically appointed for four-year terms, the change gave governors more authority to remove their appointees at any time.

The 2019 agency reforms resulted in Stitt building out a network of people in state government that are largely unwilling to challenge him, said Rep. Andy Fugate, D-Del City.

They know if they go against Stitt's wishes, the governor will fire them and put someone else in their position, he said.

"A classic sign of an immature leader is someone who demands strict obedience," he said. "On the other hand, mature leaders know how to build a compelling vision that engages the very best and brightest."

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