News

This morning, Tennessee’s Republican governor announced that the state had submitted a plan to convert their Medicaid program into block grants, all at the behest of the Trump administration. Block granting Medicaid is a blatant attempt to gut coverage and kick people off the rolls, and health care experts and advocates were quick to say how damaging and reckless this proposal could be for Tennesseans who rely on Medicaid.

Michele Johnson, Executive Director Of The Tennessee Justice Center, Said That The Proposal Would Be “Devastating For Our Health Care Infrastructure, For The Tennessee Economy, And For Our Communities.” “Michele Johnson, executive director of the Tennessee Justice Center, a group representing vulnerable residents needing health care and other assistance, said the proposed changes to TennCare would be ‘devastating for our health infrastructure, for the Tennessee economy, and for our communities.” [Washington Post, 9/17/19] 

More Than Two Dozen Health Advocacy Groups Warned CMS That Block Grants “Will Reduce Access To Quality And Affordable Healthcare For Patients With Serious And Chronic Health Conditions.” “Moving to a block grant or per capita cap would also have widespread negative impacts on state economies. Cuts to Medicaid will not only impact those enrolled, but the entire healthcare system, as many critical healthcare entities, such as children’s hospitals, rely on Medicaid financing for their financial stability. The Affordable Care Act’s Medicaid expansion has led to significant reductions in uncompensated care costs and reduced the likelihood of hospital closures, especially in rural areas – progress that could be lost under block grant and per capita cap policies. Our organizations are concerned that CMS has not adequately considered these negative impacts. Finally, our organizations believe that the Administration does not have the authority to allow states to implement block grants or per capita caps through the 1115 waiver process. The Secretary is not permitted to waive Sections 1903 and 1905, where the financing structure of the Medicaid program is located, through these types of waivers. Such a change would require congressional authority, yet Congress has repeatedly declined to pass legislation on this issue, most recently during the debate over repealing and replacing the Affordable Care Act in 2017. Simply put, block grants and per capita caps will reduce access to quality and affordable healthcare for patients with serious and chronic health conditions and are therefore unacceptable to our organizations.” [American Lung Association et. al. letter to CMS Administrator Seema Verma, 7/18/19] 

Nashville Tennessean: Governor’s Plan To Implement Block Grant Proposal Would “Almost Certainly” Change Medicaid Coverage. “The whole point of the block grant proposal is that Tennessee officials think they can run their state Medicaid program better than the federal government. If the block grant proposal is enacted, the state government would likely gain control over who is eligible for TennCare and which medications and treatment are covered. State officials could potentially decide to stop paying for a medication that is now covered or start covering a procedure that is currently outside the scope of TennCare.”  [Nashville Tennessean, 8/25/19] 

University Of Michigan Economist Nicholas Bagley Said Tennessee’s Block Grant Proposal Has “Dubious Policy Merits” And Isn’t “Close” To Being Legal.  “Earlier today, Tennessee released a draft proposal to introduce block grants into its Medicaid program. Setting aside the dubious policy merits of block grants, however, I don’t think the proposal is legal. I don’t even think it’s close.” [The Incidental Economist, 9/17/19] 

Robin Rudowitz, A Medicaid Analyst At The Kaiser Family Foundation, Said Block Grants Run Counter To “Core Principles” Of Medicaid. “’There are two foundational things in Medicaid—an entitlement for all individuals eligible for coverage, and a guarantee to states of federal matching dollars,’ said Robin Rudowitz, a Medicaid analyst at the Kaiser Family Foundation. ‘Block grants run counter to both of those core principles.’”  [Modern Healthcare, 5/7/19] 

Two Major Tennessee Hospital Groups Expressed Concern That Block Grant Proposal Would Weaken Health Insurance For Families. “Two major Tennessee hospital companies say a plan to convert billions of federal Medicaid funding to a block grant may weaken health insurance for poor families or cause TennCare to run out of money during an economic recession. […] For this story, The Tennessean contacted about a dozen Tennessee hospital companies seeking comment from their executives about the block grant proposal. Interviews were conducted with experts at Saint Thomas Health in Nashville and Baptist Memorial Health Care in Memphis, both of whom expressed concerns, and with the CEO of Ballad Health in East Tennessee, which was supportive.” [Nashville Tennessean, 9/12/19] 

Republican State Senator And Cardiothoracic Surgeon Richard Briggs Said “A Straight Block Grant Could Be Very Dangerous.” “’A straight block grant could be very dangerous,’ said Briggs, who for the past few years has unsuccessfully pushed for Medicaid expansion under the Affordable Care Act. ‘If we go into a recession—and we’re due for one—there will be more people going into Medicaid, and the state would have to make up revenues to cover them.’” [Modern Healthcare, 5/7/19] 

Washington, DC — Today, the Washington Post reported that Tennessee will be the first state to submit a plan to convert Medicaid into a block grant — a blatant attempt to gut coverage and kick people off the rolls  and done at the direction of the state’s Republican governor and at the urging of the Trump administration. Under Tennessee’s proposal “medical services for children, pregnant women, parents and other core groups of people such as those who are blind and disabled” could be gutted. In response, Protect Our Care executive director Brad Woodhouse issued the following statement:

“The multi-pronged attack on Medicaid by Republican governors and the Trump administration should tell you everything about the motives behind this latest plan: kick people off the rolls, tear apart the foundations of the program, and watch Americans who rely on coverage through Medicaid suffer. This push to turn Medicaid into block grants — along with promoting junk plans, working to repeal the ACA, and the reckless Texas lawsuit — is just another front in the Trump-Republican war on health care. Initiating block grants isn’t about improving or reforming health care; it’s about ripping coverage away from more Americans, plain and simple.”

(Yes, Again)

This past weekend, Republican Leader Kevin McCarthy gave Americans a preview of the GOPs top 2020 priority: repealing health care. Despite suffering a whopping defeat and losing their majority in 2018 running on the same repeal and sabotage agenda, the GOP seems determined to repeat their mistakes and once again attempt to strip health care from millions of Americans.

Washington Post: “House Republicans, Seeking Path Back To Majority, Vow To Try Again On Scrapping Health-Care Law, Curbing Deficits.”“If Trump is reelected, the GOP recaptures the House and holds the Senate, the president and Republicans said they would try again to scrap the 2010 law that has provided coverage for tens of millions of Americans and ensured health care for those with preexisting medical conditions.” [Washington Post, 9/13/19] 

MSNBC: “Looking Ahead, House GOP Leader Eyes ACA Repeal (Yes, Again).”“Republican leaders are turning their attention to … another health care crusade.This strikes me as a flawed plan. The Affordable Care Act is rather popular, and after nearly a decade, much of the country has grown to support and rely on the reform law’s benefits. Republican alternatives to “Obamacare” have been regressive, unpopular, and unable to match the party’s bold promises about better coverage at a lower price, which is why Democrats used the issue as a cudgel to bludgeon GOP candidates in the most recent elections. The more the 2020 cycle is focused on health care, the happier Democrats will be.” [MSNBC, 9/16/19] 

Newsweek: “House Republicans Reveal 2020 Strategy: Attack Obamacare (Again).” “This weekend, House Republicans held their annual legislative retreat in Baltimore, Maryland, where they outlined their plans for the upcoming year and beyond. High on the agenda: getting rid of the Affordable Care Act for good, something they failed at before losing their majority last year. [Newsweek, 9/16/19]  

Bloomberg: Leader Mccarthy Seeks To Repeal Obamacare “Once And For All.” “House Republicans plan to run on tried-and-true issues in 2020: repealing Obamacare and reducing the national debt, even though the GOP fell short of both goals the last time the party had full control of Washington…in 2017, “no” votes by GOP Senators John McCain, Susan Collins and Lisa Murkowski blocked Republicans’ attempt to repeal the Affordable Care Act. ‘We were one vote short of entitlement reform. We will have the opportunity with a Republican Senate and President Trump to change it once and for all and make America stronger,’ McCarthy said Friday.” [Bloomberg, 9/13/19] 

 

Washington, DC — On Friday, House Minority Leader Kevin McCarthy reaffirmed that health care repeal would be a top priority for Republicans headed into 2020. Despite McCarthy crediting the GOPs failed repeal efforts for his Party’s devastating 2018 losses less than a year ago, he seems determined to once again run on the same sabotage agenda that cost Republicans their majority. In response to this news, Protect Our Care executive director Brad Woodhouse released the following statement: 

“The Republican plan is, and has always been, repeal and sabotage, no matter the consequences at the ballot box or the American lives hurt along the way. Thankfully for the American public, Kevin McCarthy said the quiet part out loud this weekend and made clear to all that Republicans remain dead-set on repealing health care – raising costs and gutting protections for people with pre-existing conditions.”  

Washington, DC — As President Trump heads to Albuquerque, New Mexico, for a rally today, his visit is overshadowed by reports detailing the Republicans’ plan to run on repealing health care in 2020 and a looming decision by the Fifth Circuit Court of Appeals on Texas v. United States, the lawsuit that would wipe away the Affordable Care Act. Ahead of Trump’s rally, Protect Our Care executive director Brad Woodhouse released the following statement:

“President Trump’s nonstop lies won’t change the fact that he went to court to strip away health care from more than 200,000 New Mexicans and that his party plans to run on repealing health care for the fifth straight election. The Trump-Texas lawsuit would raise prescription drug costs, terminate protections for millions with pre-existing conditions, and end Medicaid expansion in New Mexico. After ten years of sabotage, voters in New Mexico are sick and tired of the GOP playing politics with their health care and know better than to trust the hollow words of Donald Trump and the Republican Party.”

BACKGROUND:

If Trump Gets His Way, 226,000 New Mexicans Would Lose Their Coverage 

• 226,000 New Mexicans could lose coverage. According to the Urban Institute, 226,000 New Mexicans would lose coverage by repealing the Affordable Care Act, leading to a 109 percent increase in the uninsured rate. 
• 15,000 New Mexico young adults with their parents’ coverage could lose care. Because of the Affordable Care Act, millions of young adults are able to stay on their parents’ care until age 26. 
• New Mexicans would lose important federal health care funding — an estimated reduction of $2.2 billion in the first year. The Urban Institute estimates that a full repeal of the ACA would reduce federal spending on New Mexicans’ Medicaid/CHIP care and Marketplace subsidies by $2.2 billion, or 41.2 percent in the first year. 
• 843,500 New Mexicans have a pre-existing condition, including 118,900 New Mexico children, 425,000 New Mexico women, and 203,000 New Mexicans between ages 55 and 64. 

If the Affordable Care Act is struck down:

• GONE: Protections for 130 million Americans with pre-existing conditions. The uninsured rate will increase by 65 percent. 
• GONE: Medicaid expansion, which covers 17 million people. 
• GONE: Nearly 12 million seniors will have to pay more for prescription drugs because the Medicare ‘donut hole’ will be reopened.
• GONE: 2.3 million adult children will no longer be able to stay on their parents’ insurance. 
• GONE: Insurance companies will be able to charge women 50 percent more than men.
• GONE: Financial assistance that helps 9 million people purchase health care in the marketplace.
• GONE: Key support for rural hospitals. As Americans lose coverage, already struggling hospitals will be hit even harder as their costs increase.
• GONE: Ban on insurance companies having lifetime caps on coverage.
• GONE: Requirements that insurance companies cover prescription drugs and maternity care.

 

 

In a late Friday afternoon blog post, Seema Verma doubled down on her lies – playing politics ahead of President Trump’s re-election at a time when the public overwhelmingly opposes their repeal and sabotage agenda. Despite a resounding consensus from health care experts, the CMS administrator once again refused to accept blame for the administration’s role in driving up the number of uninsured Americans by almost 2 million. 

Former CMS Administrator Andy Slavitt: “BREAKING: Sorry I won’t retweet it, but the Trump Administration just put out a release blaming the ACA for the rise in Trump’s uninsured rate.The ACA has done more to reduce the uninsured rate than any in history…but that’s just data.” [Andy Slavitt Twitter, 9/13/19]

Georgetown CCF Executive Director Joan Alker: “Census data was clear – it’s the loss of Medicaid/CHIP that’s driving the increase for kids. CMS hasn’t even acknowledged that this is happening — much less tried to fix it.” [Joan Alker Twitter, 9/12/19]

Health Care Analyst Charles Gaba: “What she DOESN’T tell you is that the main REASON for the “double digit premium increase” in 2018 was the Trump Administration cutting off CSR reimbursement payments, and 2019 premiums would’ve been ~8 points *lower* if Trump & the GOP hadn’t zeroed out the Individual Mandate penalty.” [Charles Gaba Twitter, 9/12/19]

Center for American Progress Health Economist Emily Gee: “To recap, the ACA lead to the lowest health insurance rates in history. The Census (CPS) showed that the national uninsured rate ticked up in 2018, with 1.9 million more people uninsured than in 2017.” [Emily Gee Twitter, 9/13/19]

The Hill Health Care Reporter Jessie Hellmann: “This does not explain why Medicaid enrollment is dropping, which is the primary reason the Census gave for the increasing uninsured rate.” [Jessie Hellmann Twitter, 9/12/19]

Democratic presidential candidates will take the stage in Houston tonight as multiple recent polls confirm that health care is the #1 issue for the American people. With the Trump-Texas lawsuit threatening to overturn our health care laws and the White House lacking any plan to clean up the mess they created, tonight is the perfect opportunity for Democrats to explain how they’d lower costs, provide better care, and reverse the damage done by President Trump and the GOP’s reckless war on health care.

1.CNN POLL: Health care is the top issue with 82% saying it’s extremely/very important. 

2. PPP POLL: Health care is a key issue for the majority (69%) of voters in 2020 battleground states (AZ, FL, PA, MI, WI & TX).

3. KAISER HEALTH TRACKING: Approval of the Affordable Care Act is at a record high of +12 (53-41%).

The landmark drug pricing plan Speaker Nancy Pelosi is set to unveil responds to concerns of American families, takes on big pharma and drastically lowers the cost of prescription drugs. Headlines confirm the historic nature of this plan that adds “new urgency” to solving the ongoing crisis of skyrocketing costs of prescription drugs that’s impacting millions of American families. 

New York Times: Pelosi Energizes Battle To Lower Drug Prices. “A draft proposal by Speaker Nancy Pelosi would empower the federal government to negotiate lower prices for hundreds of prescription drugs, not only for Medicare but for the private market as well, injecting new urgency into Washington’s efforts to control the soaring price of pharmaceuticals.” [New York Times, 9/10/19]

CNBC: Pharma Stocks Fall As Draft Of House Democratic Drug Price Plan Surfaces On Capitol Hill. “Pharmaceutical stocks fell Tuesday after an early draft of House Speaker Nancy Pelosi’s long-anticipated plan to reduce U.S. drug prices surfaced on Capitol Hill. The main thrust of the plan, which is still in flux, would allow Medicare to negotiate lower prices on the 250 most expensive drugs and apply those discounts to private health plans across the U.S…shares of drugmakers fell on the news. Eli Lilly was down by about 1% in afternoon trading. Merck and GlaxoSmithKline both fell by more than 2%.” [CNBC, 9/10/19]

Forbes: House Speaker Pelosi Seizes An Opening On Prescription Drug Prices. “Under Pelosi’s plan there would be direct negotiations between Medicare – as a collective unit representing all beneficiaries – and drug manufacturers. Here, Medicare would negotiate prices of 250 costly medicines. The list of drugs has not been disclosed, but the plan indicates it will include both outpatient and physician-administered drugs. In its negotiations with drug manufacturers, Medicare would use as benchmarks the average prices of the 250 drugs in a set of developed countries. The resulting negotiated prices would then apply to the commercial sector in the the U.S. Also, substantial fines would be levied on drug companies that refuse to participate in the negotiations.” [Forbes, 9/11/19]

Modern Healthcare: Democrats’ Draft Drug Pricing Plan Could Shift Legislative Debate. “An ambitious draft plan from House Speaker Nancy Pelosi (D-Calif.) to allow government price negotiation on a swath of expensive drugs has shifted Washington’s contentious policy debate leftward at a critical point for Democratic negotiations with Senate Republicans and the White House…progressive Democrats and reform-minded advocates were optimistic for where the legislation is headed, particularly since it would allow the HHS secretary to negotiate prices directly with manufacturers instead of opting for arbitration.” [Modern Healthcare, 9/10/11]

New Census data released today makes clear that actions taken by the Trump administration have directly contributed to nearly two million more Americans being uninsured. News outlets cited Trump’s “hostile” policies that injected chaos into the health care system as the main cause.

CNBC: Rate Of Insured Americans Decreases For The First Time Since Obamacare Started In 2014. “In response to the recent report, experts are saying the increase in the number of people lacking health insurance is the result of the Trump administration’s efforts to undermine the ACA.” [CNBC, 9/10/19] 

The Washington Post: As Census Data Reveals Uptick In Uninsured, Health Care Experts Point To “Chilling Effect” From The Trump Administration’s Efforts To Restrict Medicaid Access. “Health policy experts interpreted those patterns as evidence of a chilling effect from the Trump administration’s efforts to restrict several forms of public assistance, including Medicaid for immigrants seeking to remain in the United States. In addition, the number of low-income Americans on Medicaid tends to decline when the economy expands, as it did last year, while some states have been clamping down on eligibility and following the administration’s urging to impose work requirements in the program.” [The Washington Post, 9/10/19] 

The New York Times: Policy Changes Under The Trump Administration “Made A Difference” In Rising Uninsured Rate. “… policy changes under the Trump administration, which has been hostile to the health law, have made a difference. The administration also cut back on advertising and enrollment assistance, programs that helped low income people learn about the new insurance programs, among other changes that may have depressed Obamacare enrollments. [The New York Times, 9/10/19] 

CNN: Rise In Uninsured Rate “Marks The First Coverage Setback Since The Affordable Care Act Was Passed In 2010.” “The drop in the 2018 uninsured rate marks the first coverage setback since the Affordable Care Act was passed in 2010. TSince taking office, Trump and the GOP have sought to dismantle the Affordable Care Act. The President cut the open enrollment period for the exchanges and slashed funding for advertising and enrollment assistance. Also, the Republican-led Congress effectively eliminated the mandate that Americans obtain insurance or pay a penalty, starting this year.” [CNN, 9/10/19]