Health Insurance Update from Capitol Hill as of May 14, 2010

News from the Blues for Prroducers - Blue Cross and Blue Shield of Texas



May 19, 2010

Capitol Update

Read about what is happening on the federal legislative front (as of May 14, 2010).

Group Unveils Bipartisan Anti-Obesity Legislation
Recently authored bipartisan legislation, the Healthy CHOICES Act (Healthy Communities through Helping to Offer Incentives and Choices to Everyone in Society Act), H.R. 5209, was unveiled during an event on Capitol Hill. Sponsored by Representative Ron Kind (D-WI), the legislation takes a comprehensive approach to combating obesity.

The Act includes provisions to address factors that contribute to unhealthy lifestyles, such as:

* Increasing access to the tools and education to make healthy choices
* Updating nutrition guidelines for child and adult care food programs
* Increasing access to nutritional information and healthy, affordable foods in rural and low-income urban areas
* Improving access to and opportunity for physical activity for adults and children
* Providing more opportunities to participate in outdoor physical activities, including as a means of transportation

The bill’s original co-sponsors include Representatives Mary Bono Mack (R-CA), Earl Blumenauer (D-OR) and Marcia Fudge (D-OH). Due to the expansive nature of this legislation, it has been referred to numerous committees: House Education and Labor, House Energy and Commerce, House Natural Resources, House Transportation and Infrastructure, and the House Ways and Means.

“Making the healthy choice the easy choice for our families is essential to ensuring our quality of life,” said Representative Kind. “Easier access to the tools and education to prevent and treat obesity; affordable, nutritious food to promote a balanced diet; and an increased emphasis on physical activity to maintain our overall health is critical to achieving a healthy lifestyle. I am pleased to work on legislation that helps provide the opportunities that meet the needs of busy American families.”

The Act’s table of contents is:

1. Improving prevention and treatment of obesity in adults and children
2. Improving childhood nutrition
3. Improving access to and opportunity for physical activity for adults and children
4. Improving access to nutritional information and healthy foods
5. Realigning transportation policy to help promote healthy lifestyles
6. Research and assessment tools

“Rising obesity in our country is threatening the health and quality of life of far too many Americans and is costing our health care system billions of dollars,” said Representative Bono Mack. “It is time we take a stand that will help educate our young people and their families and make it easier to make informed, healthy choices, which will reduce health care costs in the future. I am proud to join my colleagues Congressman Kind, Congressman Blumenauer and Congresswoman Fudge in this important effort that will promote wellness education and encourage physical activity that will help Americans of all ages be more productive in school and in the work place and live healthier, happier lives.”

According to the Centers for Disease Control and Prevention, 73 percent of adults and 43 percent of children in this country are overweight, obese or severely obese. And in 2008, 32 states reported obesity rates of 25 percent or more. The Healthy CHOICES Act’s authors state that it is the first legislation of its kind that brings together the grocery industry, the health care industry and government to comprehensively fight the obesity epidemic.

This legislation comes at a time when First Lady Michelle Obama has unveiled her Let’s Move campaign’s action plan. The campaign’s goal is to end the epidemic of childhood obesity in a generation.

Read more about the Let’s Move campaign.
Read more about the Healthy CHOICE Act.

CBO Adds Billions of Dollars for Discretionary Spending Cost Estimate
On May 11, the Congressional Budget Office (CBO) released a report with additional information about the potential effects of the new health reform law, the Patient Protection and Affordable Care Act (PPACA), on discretionary spending that the CBO initially provided on March 13, prior to the legislation being passed.

The updated analysis adds a minimum of $115 billion over 10 years – more than twice the initial estimate released before President Barack Obama signed the bill into law. This new estimate brings the cost of the new law to well over $1 trillion.

CBO Director Douglas Elmendorf stated that while the CBO does not have a comprehensive estimate of all the potential discretionary costs, they provided information on the major components broken down into three general categories:

1. Costs incurred by federal agencies to implement the new policies
2. Explicit authorizations for grant and program spending for one or more years
3. Explicit authorizations for grant and program spending for which no specific funding levels are specified

Minority Leader John Boehner (R-OH) immediately released a statement admonishing the Administration, saying that the new estimate “provides ample cause for alarm,” and nearly wipes out “the purported deficit reduction in the law.”

A Senate Finance Committee Democratic aide said, “The bulk of discretionary spending referenced in the report is for programs – like the Indian Health Service, the National Health Service Corps and Federally Qualified Health Centers – that were not created under health care reform and would have been funded through the appropriations process, like they have for decades, with or without health care reform.”

Read the CBO’s full report.

Tax Extenders Bill Still in Play in the House
The House is expected to take up the American Workers, State and Business Relief Act of 2010, H.R. 4213, more commonly referred to as the “tax extenders” legislation, the week of May 17. House leaders want to bring legislation to the floor that will extend long-term unemployment insurance and the 65 percent COBRA health insurance subsidies for unemployed Americans, as well as dozens of tax credits for individuals and businesses that both the House and Senate supported in previous months, through the end of 2010. Currently, the legislation extends these benefits through May 31, 2010.

The bill would also delay a scheduled 21 percent payment reduction for physicians who treat Medicare patients – more commonly known as the “doc fix” – as mandated by the sustainable growth rate formula.




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