Statement: Gov. Reynolds Provides Only Excuses On Health Care

Today, 4:29 PM
Matt Sinovic (press@progressiowa.org)
You forwarded this message on 10/23/2017 7:33 PM
For Immediate Release: October 23, 2017
Contact: Matt Sinovic, (515) 423-0133

Statement: Gov. Reynolds Provides Only Excuses On Health Care

Des Moines — Progress Iowa Executive Director Matt Sinovic issued the following statement in response to the announcement made by Governor Reynolds earlier today, about Iowa’s stopgap measure being removed from consideration:

"This is inexcusable. Iowans are suffering, and the Governor's first response is to attack? We deserve better. If the Governor cared half as much about the families of this state who need their health coverage as she does about giving away irresponsible tax breaks, we'd have the best health care in the country."

"The Governor and President have failed. The Republican-controlled legislature and Congress have failed. But instead of taking responsibility, they pass the buck and go on the offensive. That's a neat political trick, but it's no way to govern, and it leaves thousands of Iowans wondering how they'll afford to go to the doctor next year."

Progress Iowa is a multi-issue progressive advocacy organization with a network of nearly 70,000 progressives. Year-round, Progress Iowa advocates for a stronger middle class, first-class public education, and fairness for all Iowans under the law.

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Governor Reynolds’ original release included below:



OFFICE OF THE GOVERNOR
Governor Kim Reynolds « Lt. Governor Adam Gregg

FOR IMMEDIATE RELEASE: Monday, October 23, 2017
CONTACT: Brenna Smith, (515) 281-5211

IID commissioner: Iowa to withdraw stopgap measure from federal consideration

(DES MOINES) – Iowa Insurance Division (IID) Commissioner Doug Ommen announced Monday afternoon that Iowa is withdrawing its Section 1332 Waiver, also known as the Iowa Stopgap Measure, from federal consideration. The Stopgap Measure was a conservative and innovative approach to relieve Iowans suffering under Obamacare. Congress must repeal Obamacare, returning power to states, so states like Iowa can implement innovative solutions that fit their needs. Healthcare reform must be affordable for everyday Iowans and empower consumers to have high quality healthcare.

“Premiums under Obamacare have increased 110% for Iowans since 2013, and thousands of Iowans can no longer afford health insurance,” Governor Kim Reynolds and the Centers for Medicare & Medicaid Services (CMS) Administrator Seema Verma said in a joint statement. “Iowa pursued state flexibility through the Stopgap Measure, but ultimately, Obamacare is an inflexible law that Congress must repeal and replace. Obamacare is unaffordable, unsustainable and unworkable.”

“Obamacare is an unworkable law,” IID Commissioner Ommen said. “The Stopgap Measure was an innovative solution to help thousands of Iowans. Unfortunately, Obamacare’s waiver rules are so inflexible that the Stopgap cannot be approved under terms that would be workable for Iowa. This is evidenced by the fact that a bipartisan group of senators recently announced a bill to fix some of the inflexibilities on Obamacare’s waiver provision that Iowa has run into.”

Iowa appreciates President Donald Trump and his administration’s commitment to state flexibility, including CMS Administrator Seema Verma’s hard work and commitment to innovation so states can administer healthcare systems that fit their needs. But, Obamacare was written in an inflexible way, and Iowa could not receive the terms it needed to move forward with the Stopgap Measure. Obamacare’s Section 1332 says that states can file for an innovative waiver, but if those states are facing a failing market, and if they are successful in stabilizing the market and bringing people back in, the waiver will not work. In other words, the title of Section 1332—“state innovation waivers”—is an oxymoron.

Recently, President Trump signed an executive order promoting healthcare choice and competition. We are hopeful that expansion of short-term health plans and association plans for individuals will provide much needed relief in the near future. Additionally, Iowans eligible for Obamacare subsidies or who can afford the high cost of Obamacare will be able to sign up for health insurance on healthcare.gov, starting November 1, 2017, with Medica.

Iowa’s Section 1332 Waiver – Stopgap Measure Timeline


Last spring, Iowa faced no health carriers in all 99 counties for the individual health insurance market. Iowa developed the Stopgap Measure as a short-term solution as Congress acted to stabilize the health insurance market with a long-term solution.

The Stopgap Measure was a conservative and innovative solution to cover more Iowans and keep premiums lower. Below is a timeline of the Stopgap Measure. Section 1332 Waivers in Obamacare are unworkable as they are not designed to fix collapsing individual health insurance markets created by Obamacare. Congress must take action to fix this.

Date
Milestone

April
All Iowa’s health carriers either withdraw or signal they are going to withdraw. Iowans will have no health insurance options in the individual market in 2018.

May 4
House of Representatives passes the American Health Care Act that included the State Stabilization Fund for collapsing individual health insurance markets.

Late May
Governor Reynolds takes the oath of office and directs Iowa’s Insurance Commissioner Doug Ommen to come up with a solution.

June 12
Iowa releases the Stopgap Measure to relieve suffering Iowans from Obamacare and begins the state public comment on the Stopgap Measure.

June 19
Medica files to be in the Obamacare market. They later amend their filing to show a 57% rate increase.

June - August
State comment period, with four public hearings. Iowa hears overwhelmingly that Iowans support the Stopgap Measure.

August 21
With overwhelming support from Iowans, business groups, medical professionals and other stakeholders, Iowa submits the Stopgap Measure Waiver request for federal consideration.

September 19
CMS sends Iowa the completeness letter, which starts the 30-day federal comment period.

September 20 & October 6
Iowa amends the Stopgap to cover certain levels of out-of-pocket cost for low-income Iowans. As Iowa made those adjustments, the Stopgap Measure becomes more expensive and looks less and less like state flexibility and more like Obamacare.

October 19
Federal 30-day public comment period ends.

October 20
Iowa receives letter from CMS outlining how federal funding will be calculated for the waiver.


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