Walker Sends Mixed Signals about Wisconsin Implementation
With a deadline just a week away for states to submit plans for a key part of health care reform implementation, Secretary Sebelius informed Governors today that the Dept. of Health and Human Services (HHS) is giving states some more time to develop their plans for the new health insurance marketplaces known as “exchanges.”
The Obama administration had initially established a November 16 deadline for states to decide whether they would run an exchange, defer that responsibility to the federal government, or establish a “partnership” exchange. Although states must still submit a letter by Nov. 16 stating their intentions, Sebelius told Governors today that they can take until Dec. 14 to submit “blueprints” that explain their plans for a state-based exchange system that complies with the federal law.I think that’s a welcome development for Wisconsin, where Governor Walker refused to do any work on health care reform implementation before the November elections were behind us. Many Republican governors did the same, which meant that they were going to be hard pressed to submit adequate plans by the November 16 deadline, if they wanted to design their own system. The HHS letter gives state officials more time to evaluate their options and involve stakeholders in the process of making a decision.
According to the Sebelius letter, states that don’t want to go it alone on the exchange, but would rather partner with the federal government, now have until Feb. 15 to make that decision. For states that decide not to play any role in the process, no notice to the federal government is necessary.
The exchanges, which are are a cornerstone of the Massachusetts health care reform law (aka“Romney Care”), will make it easier for consumers to compare plans and find one that is affordable, and will help people in the small group and individual insurance markets determine if they qualify for new federal subsidies. They are expected to be the vehicle for an estimated 12 million Americans to get coverage, after the exchanges and the federal subsidies begin in January 2014.
Governor Walker has provided mixed signals regarding his recommendation for an exchange in Wisconsin. According to WTAQ, the Governor told reporters in La Crosse on Thursday that he
“might let Wisconsin use a standard federal health insurance purchasing exchange, and not adopt a plan that’s tailored to the Badger State.” Yet, an article in the Nov. 8th Milwaukee Business Journal suggests that Walker will establish a state-designed plan because that is the preference of Wisconsin Manufacturers and Commerce and the National Federation of Independent Business.
WCCF and other consumer advocates generally agree that a state designed and run exchange is the best way to go – provided it meets all the federal standards for ensuring the quality and affordability of the coverage. We hope that the additional time states have now been given will allow Wisconsin officials to develop a state plan and to give interested parties in the state an opportunity to review the blueprint and provide input before it is submitted.
Jon Peacock
