Congress and Health Reform Update: Will Jobs Bill Help Address Urgent Issues Such as Doc Fix?

Congress is reportedly still weighing health reform options, including reconciliation based on reports this week. While health care reform legislation has clearly stalled since State Senator Brown (R-MA) won the special U.S. Senate race in Massachusetts last month, congressional leaders are, reportedly, continuing to ponder options for passing comprehensive reform legislation. House leaders said this week they will take their cues from the Senate before determining their strategy for advancing comprehensive reform legislation.

After a budget hearing this week, Senate Finance Committee Chair Max Baucus (D-MT) reportedly told Congressional Quarterly that the Senate is continuing to consider moving health care reform through the reconciliation process. Under that scenario, the Senate reform bill would be approved by the House and simultaneously amended via "sidecar reconciliation bill" introduced in the Senate. Congressional leaders in both chambers, since the special MA election, continue to say reconciliation is the best chance for passing a comprehensive reform bill. This approach has the support of the White House, but it does not have broad support from members of Congress.

Given the current stalemate on moving comprehensive reform legislation, House and Senate leaders are preparing to move forward with stand-alone votes for smaller-scale reform provisions. The House is preparing to advance a repeal of anti-trust exemption for health insurers, medical loss ratio rules and banning health plan rescissions. The Senate is considering a six-month extension of increased federal funding for Medicaid (FMAP) as part of its jobs creation bill. The White House continues to push for enactment of comprehensive healthcare reform this year despite the President's economic agenda having taken first priority. The President's FY 2011 Budget Proposal, released February 1, assumes $150 billion deficit reduction resulting from passage of health care reform.

So what's next?? Indeed it is not clear what, when or how health reform might move forward. We all recognize that there are issues that must be addressed quickly including the Medicare SGR Physician Reimbursement issue (or "Doc Fix"). Rumors today are that Congress might address this issue (for at least a year or perhaps as a 5-year fix) as part of a jobs-related bill.