House passes debt ceiling bill: “The House of Representatives passed, 269 to 161, a deal to lift the federal government’s borrowing authority by about $2.1 trillion and to cut federal spending by a similar amount over the next 10 years.” The Senate will take up the bill today. [Modern Healthcare]
More health cuts on the way: “The White House is emphasizing that Medicaid for the poor and benefits guaranteed to seniors under traditional Medicare would not be touched if automatic reductions become necessary as a backstop. But the new congressional “supercommittee” created under the deal is under no such restrictions. It can shape its own menu of cuts to Medicare, Medicaid and Obama’s health care law, assuming the panel could get the votes to pass a package through Congress and buy-in from the White House.” [Ricardo Alonso-Zaldivar]
Health industry criticizes deal: “The morning after the deal was struck, health industry groups began focusing their attention on ducking the Medicare cuts likely to result from the legislation. The American Hospital Association (AHA) blasted the bill, while Pharmaceutical Research and Manufacturers of America (PhRMA) hinted that they would continue lobbying Congress against extending Medicaid drug rebates into the Part D low-income population.” [Sahil Kapur]
Exchange governance: Patient advocates are “worried about the insurance industry influencing governance boards overseeing the health exchanges. That’s because the governance boards could be tapped to handle a lot of the heavy lifting on key policy questions, such as which health plans can sell on the exchanges and how to finance the online insurance marketplace and prevent conflicts of interest. [Jason Millman]
Insurers unhappy with free contraception rule: From AHIP’s Karen Ignagni: “The IOM’s recommendations would broaden the scope of mandated preventive services beyond existing evidence-based guidelines, suspend current cost-sharing arrangements for certain services, and encourage consumers to obtain a prescription for routine supplies that are currently purchased over-the-counter.” The Council for Affordable Health Insurance estimates that coverage of contraceptives adds 1 to 3 percent to the cost of group health plans. [AHIP]
Federal court says ACA doesn’t cover abortions: “Whether it is possible, under contingent circumstances, that at some point in the future, upon the execution of x, y, and z, that the [Patient Protection and Affordable Care Act] would not prevent taxpayer funded abortion is entirely different from providing for ‘tax-payer funded abortion,’” a federal court concluded in a lawsuit between former Rep. Steve Driehaus (D-OH) and the Susan B. Anthony List. “The express language of the PPACA does not provide for tax-payer funded abortion. That is a fact, and it is clear on its face.” [Sam Baker]
Indiana still fighting to defund Planned Parenthood: “Indiana asked a federal appeals court Monday to lift a judge’s order blocking parts of a new abortion law that cuts some public Planned Parenthood funding, saying the issue should be decided by Medicaid officials and not the courts.” [Stamford Advocate]
Employers see enrollment increases: “In all, 40% of employers said expanding their plans to comply with the age-26 adult-child coverage mandate boosted plan enrollment by between 1% and 2%, while just under a quarter said enrollment rose by at least 3%, and 21% said enrollment increased by less than 1%. Fifteen percent said they were in compliance with the requirement prior to 2011.” [Business Insurance]
Florida submits Medicaid privatization plan to feds: Florida’s Agency for Health Care Administration has submitted its plan to turn the state’s entire Medicaid program over to private managed care to the Centers for Medicare and Medicaid Services. CMS will evaluate it “make tweaks and possibly demand revisions. Such negotiations can easily take six months to a year.” [St Petersburg Times]
Hospital-based doctors increasing health costs: A new report finds that “hospitalized Medicare patients checked out sooner when they were cared for by a hospital doctor than when their primary care physician followed them. Yet they were also more likely to bounce back into the hospital over the next month.” [Reuters]
Medicare tweaks hospital readmission rules: “Medicare today scaled back its proposal to hold hospitals accountable for the cost of patient care in the 90 days after discharge. Medicare announced in its final rule that hospital payment would be reduced if the hospital’s average patient had a higher than normal cost to Medicare during their stay until 30 days after discharge — two months less than it had originally proposed.” [Kaiser Health News]
More states apply for MLR adjustments: “Michigan and Texas have both requested that HHS adjust the medical loss ratio (MLR) requirements for their states, with Texas’ application making it the largest state to request such an adjustment.” [Rachana Dixit]
Health spending gap between Latinos and Whites: “Latinos, including both the native-born and foreign-born populations, were 68 percent more likely than whites to have no health care spending at all and were 6 percent more likely than whites to pay out-of-pocket if they did spend. They also found that Latino health expenditures were, on average, only 57 percent of white expenditures.” [Medical News Today]