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The Week Ahead: CR or Not to CR… this is the Question

Welcome from Washington DC, where a few inches of snow canceled schools and closed the federal government leaving parents gazing into the horizon for relief and confirmation schools will open in the next day or so. As we stare into the legislative horizon, we wonder if Republicans and Democrats can come together to fund the government to avoid a shutdown. During the Martin Luther King, Jr. holiday weekend a deal was struck on a stopgap measure to extend spending authority until March 1 and March 8, keeping intact Speaker Johnson’s laddered approach. However, with time being of the essence, can Congress act quickly (not its best trait) to pass the measure through both bodies in time? Welcome to the Week Ahead – where the 118th Congress continues to struggle to meet the most basic legislative tasks.

The Administration

The Border. Negotiations on border security continue but seem to be stuck at the same time. As we reported earlier, border security is being tied into any additional funding for Ukraine, Taiwan, and Israel by Speaker Johnson and other Republicans. The issue at hand appears to be the ability for the administration to continue to use parole authority. This power allows the government to grant the ability for migrants to have temporary permission to live and work in the United States even though a path to citizenship may not exist. Parole authority is a must have for the Biden administration, but Republicans see this tool as a way for immigrants to get around Congress when they otherwise cannot gain access into the country. It remains a sticking point and could tie up foreign aid to America’s allies.

Healthcare 

Medicare Advantage. A MedPAC presentation and report Friday states the federal government will pay $88 billion more than it should this year because they attract healthier lower-cost beneficiaries thus driving sicker beneficiaries into traditional Medicare. The report also mentions complicated upcoding procedures used to drive up payments to plans.

The Senate

The Continuing Resolution. The Senate is scheduled to hold a vote on the legislative vehicle short-term continuing resolution to extend the government funding deadlines to March 1 and March 8. Despite the snow, the vote is on! Senators who wish to oppose the CR can do so until Sunday, but the Senate really needs to move on this to avoid a shutdown. Both Leader Schumer and Senator McConnell will work to address any concerns members have to prevent this from happening. The CR does not address major issues like funding for our allies or the border security issue, but it does give more time for appropriators to pass their bills before automatic spending cuts come to fruition in mid-April.

Healthcare

The Senate Health, Education, Labor and Pensions Committee will hold a hearing addressing long COVID on January 18th at 10am.

The House 

On the Clock. The House is scheduled to hold votes tonight to encourage members to be back in town despite the weather. It is thought Speaker Johnson may have to work this week to get the proposed CR to pass via suspension which requires a two-third majority, Democrats appear to be united behind passing the CR and helping get this across the finish line. However, it will not come without asks from the Democrats – so let the negotiating begin! (https://jensen-jensen.com)

Healthcare 

The House returns after the Martin Luther King, Jr. holiday with a slate of bills and resolutions to consider, but the most pressing question as the House reconvenes will be whether enough House Republicans will vote to join Democrats later in the week and avert a partial government shutdown before the first funding deadline under the “laddered” continuing resolution (H.R. 6363) that Congress passed late last year hits on January 19.

While an agreement has been reached between Speaker of the House Mike Johnson (R-LA) and House Majority Leader Charles Schumer (D-NY) on topline spending numbers, much remains to be determined—not only on final appropriations for the rest of the fiscal year but on health policy priorities as well. Under the “laddered” agreement agreed to by Speaker Johnson and Leader Schumer reached late last week, a final agreement on significant health legislation is now not expected until at least March as multiple health extender deadlines that were previously set for either January 19 or 20 will now be extended to either March 8 or 9. Expiring provisions pending to be renewed include payments under the Medicaid Disproportionate Share Hospitals (DSH) Program, the Work Geographic Practice Cost Index (GPCI) Floor, and funding for Teaching Health Center Graduate Medical Education (THC GME), Community Health Centers (CHCs), and the National Health Service Corps (NHSC).

Prior to adjourning in December, the House passed both the Support for Patients and Communities Reauthorization Act and the Lower Costs, More Transparency Act with broad bipartisan support, and House leaders are pushing for inclusion of many of the bills’ provisions including measures on price transparency, pharmacy benefit manager reform, and hospital payments in a final government funding package for 2024.

The largest health policy casualty of Congress failing to reach an agreement on government funding and larger health hit physicians and other clinicians under Medicare. When Congress adjourned in December, momentum appeared to be building for Congress to provide at least partial relief from the 3.37% cut in Medicare physician payments that took effect on January 1, but Congress failed to reach an agreement on additional relief from Medicare payment cuts in 2024. As a result, Medicare payment rates resulting from the 3.37 percent cut are expected to remain throughout 2024.

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Not Just Another Election Year Blog Series: The ACA and the 2024 Election

Not Just Another Election Year Blog Series: The ACA and the 2024 Election

This blog post kicks off a series on health care policy and the 2024 election. Unless you are living under a rock, or in a state of denial, you probably realize there will be an election in 2024.  When many people think of election season, they think about endless campaign ads, an increase in contentious social media posts, and debates that seem more like cage matches than thoughtful discourse. This blog series will cut through the noise of partisan bickering and give you real insights into how health care policy is shaping, and being shaped by, this year’s election.

This blog series starts on the eve of the Iowa Caucuses and the same week the open enrollment period for the Affordable Care Act (ACA) ends for most Americans. This blog post focuses on the ACA and the 2024 election. Specifically, this blog post looks at how the law is being talked about, or not talked about, on the campaign trail and what this all means for the status of the law now and in the future.

Repeal Talks Persist

Even though the ACA became law almost 15 years ago, efforts to repeal the law persist. Republicans initially enjoyed success in campaigning against the law but failed to repeal and replace it once they had control of Congress and the White House. Although we saw the repeal and replace conversation pop up a few times in the last year, it never really broken through as a major talking point among the Republicans who want to move into the White House in 2024.

If Only Because of Trump

Recently the ACA and the 2024 election intersected because of comments made by former President Trump. In November 2023, the former president put the debate over the law back in the headlines by saying he would get rid of the ACA and replace it with “much better health care” if he were to be re-elected in 2024. But restarting the repeal and replace efforts is not as popular as it once was among congressional Republicans. Senate Republican Whip John Thune (R-SD) said, “I’m for lowering costs and making our health care system more efficient, but I’m not sure, speaking in response to Trump’s comments, I’d want to know what the proposal is.” Texas Republican Senator John Cornyn stated, “whether we can build a political consensus for something else or not remains to be seen. (Ambien) ” Senator Bill Cassidy (R-LA), ranking member of the Senate Health, Education, Labor, and Pensions (HELP) Committee, also expressed a skeptical view on the prospects of repeal saying, “it’s a narrowly divided Congress. It’s unlikely to happen.” We expect the former President to continue speaking out against the law unless he starts to see negative impacts on his poll numbers.

Biden Bets Big

In sharp contrast to calls to repeal and replace the ACA, President Biden is touting his record of protecting and expanding it. The Biden administration eagerly points to the fact that more than 20 million individuals are enrolled in a plan ahead of the January 16 deadline for open enrollment. Additionally, the Biden campaign argues that the ACA would be threatened if former President Trump were to win the election in 2024.

It is not surprising that President Biden talks so much about the ACA given the policies his administration has pursued to help people sign up for coverage and to expand eligibility under the law. Almost immediately upon taking office, President Biden signed an executive order allowing the Secretary of Health and Human Services (HHS) to create a special enrollment period so people would have more time to sign up for coverage because of the COVID-19 pandemic. The order also directed federal agencies to review existing regulations and rules to ensure alignment with administration goals to protect and expand the law. The order also repealed two executive orders from the Trump administration which the Biden administration argued undermined the law. President Biden has also tried to use executive action to end what has been referred to as the ACA’s “Family Glitch.” This refers to the fact that the ACA measures eligibility for premium subsidies on an individual basis and not based on the affordability of plans for family members. On the legislative front, President Biden saw the Inflation Reduction Act (IRA) pass Congress and he signed it into law in August of 2022. This legislation extended subsidies, created under the American Rescue Plan Act, to help individuals pay for ACA coverage through 2025. President Biden is calling for these subsidies to be made permanent. We expect President Biden to continue to look for ways to protect and expand the ACA and for opportunities to promote that work to voters.

Looking Beyond November

How do the efforts of President Biden, former President Trump, and others on the campaign trail impact the ACA’s status. As mentioned above, Congressional Republicans have generally not responded to former President Trump’s call to action on the ACA. But of course, that could change, especially if the former president wins re-election. There are no signs that Democratic members of Congress will back down from their support of the law. So, where does that leave us? As is often the case in Washington, especially during an election year, we will need to wait and see. But you can be sure that how the ACA and the 2024 election interact will be something to watch as we start the new year.

If you would like to connect with Chamber Hill Strategies, please do not hesitate to contact us.

Not Just Another Election Year Blog Series: The ACA and the 2024 Election

House Committee on Education and the Workforce Examines the Quality and Affordability of Employer-Sponsored Health Care

On January 11, 2024, the Committee on Education and the Workforce held a hearing on lowering costs of and increasing access to employer-sponsored health plans. There were bipartisan calls for increasing transparency in health care data and pricing, and a robust discussion around the rising costs of employer-sponsored insurance due to consolidation and anti-competition in health care

Topline Budget Number Reached – funding to be or not to be?

Good morning from Washington where a Sunday bipartisan deal was announced of $1.7 trillion to fund the government through September 30th with $886 billion to defense and $773 to non-defense amounts. Both parties are spinning wins to their members. We remember the good old days when billions were enough to fund the government.  We also remember the Fiscal Responsibility Act, last year’s deal between President Biden and then Speaker McCarthy which angered Freedom Caucus members and others and helped propel McCarthy out of his leadership post.  The deal announced yesterday adheres largely to the Fiscal Responsibility Act with minor revisions. Will Republicans in the House make Speaker Johnson pay for this agreement?  We know with the small two vote margin the Speaker currently enjoys; it is likely bipartisanship (Dem support) will be needed to get this through the House. With the difficulties presented by the right on this deal, coupled with impeachment season – can Majority Leader Schumer and Speaker Johnson navigate this topline budget number through their respective legislative bodies?  Or will partisanship rear its ugly head once more in this incredibly unproductive 118th Congress?  In this Week Ahead, we tackle both houses together as we examine the ramifications of the upcoming funding deadlines.

The Administration

The President and his negotiators continue to push for a war supplemental for Ukraine and Israel, and as previously reported, the request is being tied into border security reforms. The bipartisan group working on a border security deal, including Secretary of Homeland Security Mayorkas, said they made progress over the weekend and hope to have language later this week.  Of course, Secretary Mayorkas is going to be impeached shortly by House Republicans, and it appears the impeachment will be successful in the House, and he will be acquitted in the Senate. Any border negotiation language comes at a time with congressional elections around the corner, and some vulnerable House Democrats may be interested in supporting any reform language.

Congress

The House is back this week after recess. As mentioned, yesterday evening Speaker Johnson, Leader Schumer, and the White House struck a deal for the 2024 Budget topline numbers. Speaker Johnson worked an additional $16 billion worth of cuts beyond the initial McCarthy / Biden 2023 deal, but it will not be enough to appease the far right of his party. The Budget is just the framework for the overall government spending. Speaker Johnson has a narrow majority, and the House Freedom Caucus is surely going to oppose this measure leading the Speaker to rely on Democrat support to get across the finish line.

When members return, they are going to have to work quickly to ensure the departments of Agriculture, Transportation, Energy, Veterans Affairs, and more are funded by January 19th. Then on February 2nd, Department of State and other important agencies will also need to be funded before they run out of money. With the MLK holiday and less than eleven days before the first deadline, a shutdown could still happen. Rumors are swirling from short-term extensions to a longer funding mechanism that ensures both parties do not have to vote on these measures respectively over the next several months. At this point it is only a guessing game of what the government funding solution will be. The Senate wants the House to work with Senate passed appropriations bills, but it is unlikely the House will concur.

Congress will be also examining the border, Ukraine, Israel, and Taiwan funding, which are thorny political issues with both parties. Who says a Presidential election cycle is quiet? There will not be a shortage of fireworks as we kick off this Presidential election year with what Congress needs to accomplish.

Health

Even though much attention will be paid to the progress of deliberations to fund the government and address certain health policy issues, there will be other work on Capitol Hill as well. On Thursday, the House Committee on Veterans Affairs’ will hold a hearing titled: “Rural Access: Is VA Meeting All Veterans Where They Live?”

While an agreement was reached on topline spending numbers over the weekend, uncertainty around what Congress will agree on funding measures extends to health care as well. Multiple health extender deadlines are coming on either January 19 or 20, and questions remain as to what agreement can be reached on any of these expiring programs. Expiring provisions include payments under the Medicaid Disproportionate Share Hospitals (DSH) Program, the Work Geographic Practice Cost Index (GPCI) Floor, and funding for Teaching Health Center Graduate Medical Education (THC GME), Community Health Centers (CHCs), and the National Health Service Corps (NHSC). In addition, authorization for the Pandemic and All Hazards Preparedness Act (PAHPA) also expires, and the House and Senate still seem to be a way off from reconciling their differences, which includes opposing views on whether to include measure to address drug shortages.

In addition, while the House acted on both the Support for Patients and Communities Reauthorization Act and the Lower Costs, More Transparency Act before adjourning in December, it also remains to be determined if these measures might be in play for inclusion in one of the funding bills that Congress must pass in the coming weeks.  The Senate remains content to work on its own health care package this year more focused on primary care.

Before Congress adjourned in December, there was momentum building for Congress to provide some relief from the 3.37% cut in Medicare payments that hit physicians and other clinicians on January 1. While full relief is not expected, if provided, the partial relief is expected to be retroactive to January 1, and to closely align with 1.25% offset of 3.37% cut that was passed by the Senate Finance Committee and by the House Energy and Commerce Committee and in separate measures late last year.

Create a great week!

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Jen Holland: Leading with Purpose

Join us for an insightful conversation with Jen Holland, Chief of Staff at Chamber Hill Strategies, as she reflects on leadership philosophies and her unique journey to the dynamic world of politics and advocacy. 

What drew you to Chamber Hill Strategies?  

I was attracted to the firm by its founding partner Jennifer Bell, her vision, and the award-winning advocacy services that Chamber Hill Strategies provides for our clients. Jennifer embodies the qualities I value in a leader – integrity, passion and a deep commitment to excellence.  

The prospect of working for a woman-owned firm particularly appealed to me. As the firm expands into new service offerings, I am excited to play a central role in the firm’s continued growth and client success. 

What leadership styles do you value the most and how have they impacted you?  

Throughout my career, I’ve been fortunate to hold diverse positions that have provided me with an up-close perspective on senior leadership in various organizations. A valuable lesson I’ve gained is that the traits of a strong leader transcend industries. Excellence resides in the attention to detail and effective communication. Successful leaders articulate their vision with clarity and kindness. When combined, these qualities not only empower teams but also serve as powerful motivators. 

What’s some of the best career advice that you’ve received?  

Always recognize the significance of relationships. The most fulfilling aspects of my professional journey have revolved around connections—some developing into long-standing professional relationships, and some being brief and seemingly inconsequential, yet profoundly memorable. The world is teeming with fascinating individuals, and by taking the time to understand their stories, your life will be enriched. 

What do you like to do in your free time? 

I love kicking back with a good book in my free time—whether it’s a lazy weekend or a chill evening. It’s my go-to way to unwind and escape into different worlds, bringing a bit of joy and relaxation to my days. I especially like biographies which permit me to learn in detail about accomplished people. I also love to travel and recently traveled to Portugal, a lovely country with amazing food, centuries of history, and friendly people. (Canada Pharmacy)  

 

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