Obama Officially Announces Daschle as HHS Secretary Nominee MORE
Save the Date for Hill Day 2009: June 9-10 MORE
Recently Released Resources from the National Council MORE
Rep. Dave Camp Named Ranking Republican Member on House Ways and Means Committee
Representative Dave Camp (R-MI) was named the ranking Republican on the House Ways and Means Committee, which is a key committee in any healthcare reform efforts. Camp’s focus will likely be on tax exemptions and market based approaches according to
CQ online. In the past, he has argued that increasing federal funds to Medicaid is not the best way to overhaul the system. He believes that funding is the most critical aspect of any healthcare reform effort and plans to focus on sustainability of any healthcare reform. Previously, Rep. Camp was the ranking Republican on the Ways and Means Health Subcommittee.
Democratic Appointments to Ways and Means, Energy and Commerce and Appropriations Committees
Speaker of the House Nancy Pelosi has announced new democratic members of several committees important to health legislation. For the Ways and Means Committee she announced the appointment of Rep. Danny Davis (IL), Rep. Bob Etheridge (NC), Rep. Brian Higgins (NY), Rep. John Yarmuth (KY), and Rep. Raul Grijalva (AZ). However, Rep. Grijalva has said that he will not accept the appointment as he prefers to stay on Committee on Natural Resources. The Ways and Means Committee is an exclusive committee so members cannot serve on any other House committees at the same time they are serving on it without a waiver from their party’s congressional leadership. Democrat Rep. Xavier Becerra (CA) also made the news recently when he stated that he was taking himself out of consideration for a position in the Obama Administration and will instead stay in the House on the Ways and Means Committee. Rep. Charles Rangel (NY) remains the committee chair and Rep. Stark remains the sub-committee chair on Health.
Pelosi also made appointments to the Energy and Commerce Committee including Rep. Donna Christensen (Virgin Islands), Rep. Kathy Castor (FL), Rep. John Sarbanes (MD), Rep. Chris Murphy (CT), Rep. Zack Space (OH), Rep. Jerry McNerney (CA), Rep. Betty Sutton (OH), Rep. Bruce Braley (IA). Rep. Henry Waxman was appointed the new chair of the committee.
Pelosi appointed two new members to the Appropriations Committee: Rep. Lincoln Davis (TN) and Rep. John Salazar (CO).
Changes in Medicaid and Medicare Necessary for Healthcare Reform?
Some healthcare reformer advocates argue that it is impossible to reform healthcare or control rising health insurance costs without reforming Medicaid and Medicare. A recent
study found that every year Medicaid and Medicare underpay hospitals and physicians who then turn around and charge higher prices to private insurance companies. These higher prices are then passed on to the consumer resulting in higher premiums and co-pays. The study conducted by Milliman, an independent analysis company, determined that underpayment increased private premiums on average by 10.6% or $1512 for a family of four. With soaring healthcare costs some argue that the government must eliminate or at least decrease the disparity between what is paid by private and public insurance. At a minimum, advocates want the Obama administration to take in the hidden costs imposed by underfunding public health insurance when they consider healthcare reform in the spring.
Others argue that the rising cost in health insurance result not as much from the funding disparity between the private and public sectors as from the questionable practices of health insurance companies and others involved in the health care system. From this standpoint, instead of having the government spend more money on healthcare, the government needs to format a plan where medical outcomes are linked to payment with good practices and efficiency being rewarded. While everyone agrees healthcare reform is necessary, no agreement has been reached about how to reform healthcare but this remains a key issue for the Obama administration next year.
Federal Government Allowing States to Think Creatively When it Comes to Healthcare
Most states are cutting spending to meet requirements for a balanced budget this year. States are being forced to cut between $380 million and $689 million from programs that are paid through general funds. With Medicaid being responsible for on average 17% of state general fund spending, many states are considering cuts to this program. The Medicaid program is coming under additional pressure with increasing enrollment numbers due to employment layoffs and commensurate loss of health insurance. Many state leaders continue to argue that the only way states can provide services to all those in need is if the federal government increases its Federal Medical Assistance Percentage (FMAP). The assistance could come in the form of
H.R. 7110, which was passed by the House and has been read for the second time in the Senate. H. R. 7110 would include an increase in the FMAP from 1% to 4%. However, with President Bush threatening to veto the legislation if it makes it to his desk, any increase in the FMAP will most likely have to wait until next year and the inauguration of President-elect Barack Obama. If no economic stimulus package is passed this session, it becomes possible, that FMAP may not be included in any economic stimulus package next year. While most states are requesting assistance with an increase in the FMAP, some states do not plan to rely solely on federal assistance and are thinking of new ways to use their Medicaid dollars.
For example, Rhode Island is working with the federal government on a global Medicaid waiver. The waiver would provide Rhode Island with five years of Medicaid funding in one lump sum. In return, the state has to cap funding but is given a great deal more leeway in deciding how to use the funds and to reorganize their state Medicaid plan. The funding cap has been agreed upon but the details of what Rhode Island can change without federal approval has yet to be agreed upon. It is also unclear whether or not the Obama administration would have to stick to any agreement made in the current administration.
Connecticut is also looking at a dramatic change in its healthcare policy. State leaders want to expand the category of who can enroll in the state’s employee’s health plan so in six years everyone in the state would be eligible to enroll. Those who choose to participate would pay premiums on a sliding scale based on income. The goal is to be able to provide health insurance to the states over 300,000 uninsured. The plan also calls for advancement in the use of health technology such as electronic records and focus on preventative care and chronic care management.
Massachusetts is trying to help its citizens make better informed decisions regarding cost and quality of hospital care with a new website. The
website includes information on how much insurance companies pay for procedures at a hospital, how different hospitals rank safety wise and includes a patient rating system. Leaders in MA hope this newly available information will allow their citizens to make better informed decisions. It is yet unknown how much the website will be utilized by consumers and what effect it will have on the healthcare system in MA.
The wide variety in the systems states are trying should provide a great deal of evidence for the national government when they begin to look at healthcare reform and changes to Medicaid and Medicare.
Avalere Released Comparison of Baucus’s and Obama’s Healthcare Plans
Avalere released a comparison of Senator Max Baucus’s (D-MT), Chairman of the Senate Finance Committee and President-elect Barack Obama’s healthcare plans. Sen. Baucus released an 80 page white paper earlier this year with suggestions for healthcare reform and Obama made healthcare reform a central element of his campaign. Sen. Baucus plan would make universal healthcare coverage mandatory, would expand Medicaid, Medicare and SCHIP, and reform of both private and public insurance. President-elect Obama’s plan focuses around cost containment, quality improvement and coverage expansion although he has opposed making the purchase of health insurance mandatory.
You can find the side-by-side Avalere comparison
here, Baucus's plan
online, and Obama’s plan
online.
Obama Officially Announces Daschle as HHS Secretary Nominee
President-elect Obama officially announced former Senator Tom Daschle as him nominee for Secretary of the Health and Human Services last Thursday. Obama stated that Daschle would be responsible for not only implementing policy but also forming policy. To help form policy Daschle has been named the director of a new White House Office of Health Reform. Jeanne Lambrew, who co-authored a book about healthcare reform with Daschle, will be the deputy director of the new White House office. There have been many suggestions on how to reform healthcare; Obama has suggested a Federal Health Board similar to the Federal Reserve that would determine what medications and treatments federal health policies should cover.
A new public policy update newsletter will not be published again until January 1, 2009.
Save the Date for Hill Day 2009: June 9-10
Every day, the National Council places a high priority on helping you do your job as a leader in the field of community behavioral healthcare by supporting you with new communications tools, increased emphasis on involving you in ongoing liaison with national decision-makers, and policy and research support for your efforts.
The National Council's Fifth Annual Hill Day is scheduled for June 9-10, 2009 - please save the date and plan to join your fellow National Council members in Washington for two days of events, designed to provide Hill Day participants with in-depth information on key issues:
On Tuesday, June 9, all Hill Day participants are invited to attend the National Council’s Public Policy Committee meeting for a detailed overview of the National Council’s Hill Day policy priorities. One-on-one Hill visit coaching will also be available for interested participants.
On Wednesday, June 10, Hill Day kicks off with an issue briefing before participants head to Capitol Hill to advocate for behavioral healthcare. The day concludes with a Capitol Hill reception honoring champions of mental health and addiction treatment services.
Make your Hill Day 2009 hotel reservations today!
Most Hill Day 2009 events will take place at the Washington Court Hotel, located on Capitol Hill. There are two ways to make your reservations at the Washington Court Hotel:
1. By phone: 202-628-2100
2. Online: www.washingtoncourthotel.com
Be sure to ask for the National Council for Community Behavioral Healthcare room block to get our special group rate of $269 per night.
Bookmark the National Council’s Hill Day 2009 web page for the latest Hill Day information – be on the lookout online Hill Day registration, including online appointment scheduling, in the coming months!
We look forward to seeing you in Washington for Hill Day 2009!
Recently Released Resources from the National Council
The National Council's website is frequently updated with issue briefs, letters, and other materials of interest to members. Please take notice of these recent updates:
NEW The Nationl Council recently released a fact sheet on the Final Rule for the Federal Cost Sharing Rules. The rule gives states broader authority to charge premiums and higher co-payments for Medicaid.
The National Council recently created a power point presentation on
the Mental Health Parity and Addiction Equity Act of 2008. The presentation covers the 1996 Parity Law, the history of the 2008 Act and the main
points of the Act.
The National Council recently released a resource guide, “Veterans on the Road Home”, which equips you to reach out and to effectively serve Iraq and Afghanistan veterans and their families. The book describes the physical, mental, economic, and social effects of the wars in Iraq and Afghanistan. It presents detailed case studies of treatment organizations and associations with special expertise in and commitment to serving veterans and their families.
At the end of October, the National Council released a series of fact sheets on the Deficit Reduction Act of 2005:
-Overview of the DRA
-Expanded Medicaid Coverage Under the DRA
-Medicaid Services for Children Under the DRA
-State Implementation of the DRA
Meaningful Employment for Individuals with Mental Illness, a backgrounder from the National Council, provides information on the current employment status of individuals with mental illness, opportunities for career development, and federal initiatives to improve the chances of individuals with mental illness obtaining and keeping jobs.
The National Council recently released a fact sheet on the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 which provides a detailed explanation of the impact of this bill.
Please contact Chuck Ingoglia, Vice President, Public Policy, with federal policy questions at Chuck Ingoglia.
The Public Policy Update is a weekly e-newsletter published by the National Council for Community Behavioral Healthcare. Managing Editor – Christina Hammond. Vice President, Public Policy - Chuck Ingolia. Director of State Policy - Chris Loftis. Director of Public Policy - Alexa Eggleston. Director of Policy and Advocacy – Laura Galbreath.
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