Sandoval joins governor group proposing Obamacare alternative
COLUMBUS, Ohio — Nevada’s Brian Sandoval is part of a bipartisan group of governors urging Congress to retain the federal health care law’s individual mandate while seeking to stabilize individual insurance markets as legislators continue work on a long-term replacement law.
The recommendation spearheaded by Ohio Gov. John Kasich, a Republican, and Colorado Gov. John Hickenlooper, a Democrat, is part of a compromise plan that’s designed to be palatable to both parties. It was endorsed by eight governors who shared their plan in a letter to congressional leaders Thursday.
“Since the beginning of the recent healthcare debate I have said that I will fight for the Nevadans who now have access to healthcare as a result of the Medicaid expansion and Silver State Health Insurance Exchange,” Sandoval said in a statement to the Review-Journal. “I have also stated that I will fight against any plan that places an increased financial burden on Nevada. Holding states harmless should be a priority as Congress continues to debate federal healthcare policies.”
Sandoval added that the letter is “aligned with these two priorities” and that the bipartisan coalition is “working to bring forward solutions that will help stabilize our healthcare market so more Americans can live healthier, happier lives.”
Nevada Sen. Dean Heller joined fellow Republican Sens. Lindsey Graham of South Carolina and Bill Cassidy of Louisiana to craft an amendment to repeal Obamacare that would give states more flexibility in health care laws.
Tough sell
Alaska Gov, Bill Walker, an independent, and Democrats John Bel Edwards of Louisiana, Steve Bullock of Montana, Terry McAuliffe of Virginia and Tom Wolf of Pennsylvania also have signed onto the plan.
The governors acknowledge retaining the mandate may be a difficult sell for Congress, which has failed in its efforts to pass a replacement health care bill.
“The current mandate is unpopular, but for the time being it is perhaps the most important incentive for healthy people to enroll in coverage,” they wrote to House and Senate leaders of both parties. Experts concur that keeping younger, healthier people in the insurance pool protects against costs ballooning out of control.
The group also recommends that President Donald Trump commit to cost-sharing reduction payments to insurers and that Congress fund those offsets at least through 2019. Those payments reimburse insurers for providing low-income people with legally required reductions on co-pays and deductibles. If Trump follows through on threats to pull the plug, premiums would jump about 20 percent.
The governors note that the National Governors Association, U.S. Chamber of Commerce and National Association of Insurance Commissioners all have identified the payments as “an urgent necessity.” Sandoval is chairman of the National Governors Association.
Stability sought
The governors support creating a temporary stability fund that states could tap to reduce premiums and limit losses; continuing to fund educational outreach and enrollment efforts under the Affordable Care Act; exempting insurers that agree to cover underserved counties from the federal health insurance tax; and supporting states’ efforts to find creative solutions for covering the uninsured.
“Is this going to fix all that is broken with our health care system? No,” Hickenlooper said. “If we can demonstrate success at stabilizing the individual markets, then we can move to the other parts of health care as well.”
The governors said states can pursue many options without federal assistance, but in some cases they are “constrained by federal law and regulation from being truly innovative.”
Kasich said the proposal satisfies the concerns of all parties studying the health care law.
“If you want to keep what you have, you can,” the Ohio governor said Thursday. “We’ve stabilized everything up front, but then over time, we open up the doors to innovation and individual plans, within guardrails.”
The governors support creating a temporary stability fund that states could tap to reduce premiums and limit losses; continuing to fund educational outreach and enrollment efforts under the Affordable Care Act; exempting insurers that agree to cover underserved counties from the federal health insurance tax; and supporting states’ efforts to find creative solutions for covering the uninsured.
The governors said states can pursue lots of options without federal assistance, but in some cases they are “constrained by federal law and regulation from being truly innovative.”
Kasich and Hickenlooper are expected to be in Washington next week to testify on their proposal. But congressional action on even a modest compromise is expected to be difficult following years of harsh partisan battling over the Republican drive to dismantle the health care law.
The Review Journal’s Ben Botkin contributed to this report.
