Value Based Purchasing and Health Care Reform

Senate Finance Legislation Update

Last week, the Senate Finance Committee released the Legislative Language of S. 1796, the America’s Healthy Future Act, and an accompanying Committee Report regarding the bill.  These documents are available on the Senate Finance website and can be accessed at the links below.

S. 1796 Legislative Language

Committee Report (S. 1796)

First Draft of Health Reform Legislation Expected Soon

Senate Health, Education, Labor and Pensions (HELP) Committee Democrats are planning to release the first draft of their health reform bill some time next week.  The bill will likely promote preventive medicine and the adoption of health information technology, while offering a public insurance plan in addition to private insurance alternatives.  The inclusion of a federally run public insurance plan in health reform legislation has been a cause for debate between Senate Democrats and Republicans.  Republican members of the HELP Committee should see the Democrats’ bill in the next couple of days.  The bill is scheduled to be marked up and completed by the end of the summer.

 

On Tuesday, in a letter to Senators Edward Kennedy (D-Mass.) and Max Baucus (D-Mont.), President Obama expressed his support for including a public health insurance option in the upcoming legislation.  The letter states that a public option, in addition to private plans, would promote a more competitive health care market and keep insurance companies honest.  The President states that his goal is to make affordable health plans (public and private) available to all Americans through a health insurance exchange that will allow individuals to compare prices and benefits when selecting a plan.  Further, Mr. Obama believes such plans should be required to offer minimum coverage benefits and prohibited from denying coverage on the basis of pre-existing conditions.       

 

The President’s letter also addresses the responsibilities of Americans to obtain health insurance and employers to support their employees' coverage plans, acknowledging the need for exemptions for small business and waivers for individuals who cannot afford insurance.  In an effort to fund reform without increasing the national deficit, the administration intends to cut unnecessary spending and strengthen the Medicare and Medicaid programs by reducing waste and preventing fraud and abuse.

 

Read TheHill.com article discussing the HELP Committee legislation here:  The Hill.

 

The complete text of President Obama’s letter may be viewed here: Obama's Letter.