Health Care Reform Update - Week of September 16, 2013
Tuesday, September 17, 2013

Leading the News

Obama Administration Threatens Veto for No Subsidies Without Verification Act

On September 11th, the House of Representatives passed H.R. 2775, the No Subsidies Without Verification Act, in a partisan vote of 228 to 195. The bill would require the Department of Health and Human Services (HHS) to verify an individual’s reported income before providing them tax credits or subsidies under the Affordable Care Act (ACA). The White House announced that President Obama would veto H.R. 2775, saying the aim of the bill was already being accomplished as part of the ACA and the bill itself would only create more delays. The day before the legislation passed the House, the Congressional Budget Office (CBO) released a report that was uncertain of the effects of the legislation as HHS is already implementing a program to verify household income, and since it should be operational by January 1, 2014, tax credits and subsidies should be made available on schedule.

SGR Bill Will Increase Spending by $175 Billion

On September 13th, the CBO released a report stating that H.R. 2810, the House Energy and Commerce Committee bill to repeal and replace the Medicare Sustainable Growth Rate (SGR), would increase federal spending by $175 billion between 2014 and 2023.

Implementation of the Affordable Care Act

On September 9th, Rite Aid announced that they will be taking an active role in consumer outreach and education on the ACA. Beginning October 1st, independent, licensed insurance agents will be onsite in nearly 2,000 Rite Aid stores.

On September 9th, HHS sent a letter to Chairman of the House Energy and Commerce Committee Fred Upton (R-MI) on behalf of Navigator groups to answer the committee’s questions regarding the Navigator program.

On September 9th, Senator John Thune (R-SD) introduced a bill to prevent the Obama administration from providing insurance subsidies to union-offered multi-employer health plans, known as “Taft-Hartley” plans.

On September 10th, Representative Phil Gingrey (R-GA) introduced H.R. 3071, the “No Special Treatment for Congress Act.” The bill would reverse a rule issued by the Office of Personnel Management that allows the federal government to subsidize the employee health plans of staffers and lawmakers enrolled in the health insurance exchanges.

On September 10th, the House Energy and Commerce Subcommittee on Health held a hearing titled “PPACA Pulse Check: Part 2” to examine readiness and implementation issues in the ACA.

On September 10th, the SEIU announced that its members will be undertaking a major outreach initiative in order to reach out to consumers and educate them about the benefits of the ACA.

On September 11th, HHS Assistant Inspector General for Audit Services Kay Daly testified before the House Committee on Homeland Security on the Health Exchange Data Hub. CMS also released a released a fact sheet stating that the Data Services Hub completed its independent Security Controls Assessment on August 23rd and received an authorization to operate on September 6th.

On September 11th, delegates to the AFL-CIO Convention passed a resolution supporting the goals of the ACA. However, the resolution also called for changes in how the ACA treats multi-employer health care plans and expressed concerns that employers will cut work hours below the 30-hour week threshold to avoid providing health care coverage.

On September 12th, Representative Tom Graves (R-GA) introduced the “Stability, Security, and Fairness Resolution,” which will fund the government through Fiscal Year 2014 and fully delay and defund the ACA until 2015.

On September 12th, HHS released a report which found that 6.8 million consumers saved an estimated $1.2 billion on their health insurance premiums in 2012 as a result of the ACA’s “rate review” provision.

On September 13th, HHS announced $67 million in awards to support new health care delivery sites and expand access to health care. The ACA provided $19 million to establish 32 new delivery sites, while the remaining $48 million was awarded to support ongoing operations at 1,200 existing delivery sites.

On September 13th, CMS released a finalized ACA rule regarding the methodology to implement aggregate reductions to state Medicaid Disproportionate Share Hospital (DSH) allotments between 2014 and 2020. The final rule disregards whether or not states have chosen to accept the Medicaid expansion when calculating the reduction in DSH allotments.

Other HHS and Federal Regulatory Initiatives

On September 10th, the Food and Drug Administration announced that it will be making safety labeling changes and postmarket study requirements for extended-release and long-acting opioid analgesics intended to treat pain.

On September 11th, CMS awarded a $10 million contract to Arch Systems to investigate gaps, data errors, and inconsistences in program data in the Physician Quality Reporting System and the Electronic Prescribing Incentive System.

On September 12th, the Federal Commission on Long-Term Care voted to approve a package of recommendations to be included in its final report on long-term care services by a vote of 9 to 6. The report will be published September 30th.

Other Health Care News

On September 10th, President Obama nominated Dr. Richard Frank to be the Assistant Secretary for Planning and Evaluation in HHS. Dr. Frank is currently the Margaret T. Morris Professor of Health Economics in the Department of Health Care Policy at Harvard Medical School.

On September 10th, the Patient Centered Outcomes Research Institute (PCORI) approved 71 awards to support research into patient-centered clinical effectiveness.

On September 12th, First Lady Michelle Obama joined the Partnership for a Healthier America (PHA) to announce a new effort to encourage everyone to drink more water. The initiative, part of the First lady’s Let’s Move campaign, promotes drinking a glass or more of water per day by adding a “Drink Up” logo to bottled water and other products.

Hearings and Mark-Ups Scheduled

Senate

On September 18th, the Senate Special Aging Committee will hold a hearing titled “Older Americans: The Changing Face of HIV/AIDS in America.”

House

On September 17th, the House Veterans’ Affairs Subcommittee on Health will hold a hearing titled “Making a Difference: Shattering Barriers to Effective Mental Health Care for Veterans.”

On September 18th, the House Oversight and Government Reform Subcommittee on Economic Growth, Job Creation, and Regulatory Affairs will hold ahearing titled “Federal Implementation of Obamacare: Concerns of State Governments.”

On September 19th, the House Energy and Commerce Oversight and Investigations Subcommittee will hold a hearing titled “Two Weeks Until Enrollment: Questions for CCIIO.”

On September 19th, the House Judiciary Subcommittee on Regulatory Reform, Commercial, and Antitrust Law will hold a hearing titled “The Patient Protection and Affordable Care Act, Consolidation, and the Consequent Impact on Competition in Healthcare.”

 

NLR Logo

We collaborate with the world's leading lawyers to deliver news tailored for you. Sign Up to receive our free e-Newsbulletins

 

Sign Up for e-NewsBulletins