Public Policy Update: June 17, 2010
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June 17, 2010
The Senate on Wednesday voted 52-45 against a package of changes to H.R. 4213 that included a six-month extension of enhanced federal Medicaid assistance (known as FMAP). 12 Democrats joined all the Republicans in voting against the changes, due in large part to their wariness about adding to the federal deficit in an election year. The Senate moved quickly to pare back the cost of the bill, and a vote on the modified provisions will likely take place today.
Although the FMAP extension survived the first round of cuts and will be included in the next vote, it is unclear whether a bill that includes the $24 billion FMAP provision can win support from a supermajority (60) in the Senate. Faced with similar cost concerns when considering this bill last month, the House voted to strip the FMAP extension from the bill. As the Senate decides what to cut and what to keep, your Senators need to hear from you about how important the FMAP extension is for your state! Demand for Medicaid services remains high as the recession continues. The additional federal aid will provide crucial assistance to states, preventing the need for provider reimbursement cuts or reductions in benefits. Moreover, most states have already written the FMAP extension into their FY 2011 budgets and could face crippling shortfalls if Congress does not approve the extension. If you have not already done so, please contact your Senators today and urge their support for this critical Medicaid funding!
We are especially targeting the following Senators: Russ Feingold (WI), Evan Bayh (IN), Olympia Snowe (ME), Susan Collins (ME), George Voinovich (OH), and Scott Brown (MA). If you live in one of these states, your advocacy can play a crucial role in tipping the balance in favor of the FMAP extension.
Facing opposition to the recently issued parity regulations by a coalition of insurance industry groups, Congressman Paul Tonko (D-NY) has drafted a “Dear Colleague” letter encouraging Members of Congress to support strong parity regulations. The letter calls on the Departments of Labor, HHS, and the Treasury to preserve the strong parity regulations issued earlier this year, which are scheduled to go into effect on July 1, 2010. A group of insurance industry organizations has filed a lawsuit seeking to block the regulations; although their motion to immediately block the law from going into effect was denied, the lawsuit will still move forward. Stay tuned to the Public Policy Update for future alerts about how you can get involved to encourage your legislators to sign on to Rep. Tonko’s letter!
Obama Administration Issues Regulations on Employer-Sponsored Health Insurance Under Healthcare Reform
The Obama Administration this week released an Interim Final Rule providing guidance on how insurance plans may obtain “grandfathered” status under healthcare reform. The Patient Protection and Affordable Care Act (PPACA) contains a number of new requirements with which insurance plans must comply; however, it also includes certain exemptions for grandfathered plans. The new regulations lay out in detail a series of restrictions on how much a plan may change and still fall under the grandfathered exemptions. Under the IFR, plans would lose their grandfathered status if they:
- Significantly cut or reduce benefits
- Significantly raise copayments or deductibles (For co-pays, “significantly” means the greater of $5 or a medical inflation rate plus 15%. For deductibles, it is the medical inflation rate plus 15%. Medical inflation in recent years has averaged 4-5%, meaning that plans could potentially raise deductibles by 20% and still maintain their grandfathered status.)
- Significantly lower the portion of the health coverage premium paid for by the employer
These regulations are effective as of June 14, 2010. The Departments of Labor, Treasury, and HHS will be accepting comments through Aug. 16, 2010. For instructions on how to submit comments, see the full text of the IFR.
Whether you’re new to Hill Day or a frequent attendee, we bet you didn’t know these top 5 best-kept secrets about Hill Day 2010!
5. Hill Day offers unrivaled opportunities for networking with your colleagues. This year, over 450 people from 41 states will be attending Hill Day. This is our biggest Hill Day event ever – with attendees ranging from CEOs to board members, peer counselors, consumers, and more!
4. In our Federal Grants breakout session, you’ll learn tips on successfully applying for grant funding. New this year at Hill Day, we will be offering a breakout session led by representatives from SAMHSA and HUD to help you learn successful strategies for winning federal grant funding. Sign up today by logging into your registration profile and clicking “RSVP” under your name.
3. Take advantage of the chance to connect with key Administration & Congressional staff. Our Public Policy Institute on June 29th will feature presentations by Obama Administration officials, Congressional committee staff, and other Washington insiders, including: Barbara Edwards (CMS); Andy Schneider (House Committee on Energy and Commerce); Charlie Cook (The Cook Political Report); and more!
2. In-person visits from constituents have more influence on Congress than any other type of communication. A study by the Congressional Management Foundation found that visits from constituents were the #1 most influential type of communication – well above phone calls, form emails, and even visits from lobbyists. Leverage your influence by scheduling meetings with all your elected officials on June 30th.
1. By participating in our Letter-Writing Campaign, you can amplify your message at Hill Day! Personal stories from consumers, providers, advocates, and family members are one of the most powerful ways to influence elected officials. To participate in the Letter-Writing Campaign, simply download our letter form, fill in your personal story, and encourage as many people as possible to do the same! The state and the individual organization that generate the most letters will win an award at the Member Reception during Hill Day.










