A project of the Galen Institute

Issue: "States"

Hawaii’s health care collapse a bad omen for state Obamacare exchanges

Watchdog
Thu, 2015-05-21
The collapse of Hawaii’s state-run health exchange has observers wondering which of the other beleaguered exchanges could be next to fail. Hawaii dumped its Obamacare exchange last week after state lawmakers refused to pump an additional $28 million into what they saw as a failed experiment. Despite using up $135 million of an appropriated $205 million, Hawaii Health Connector fell well short of goals, enrolling just 37,000 Hawaiians since 2013. The program ceased taking new enrollees on Friday, and health officials will end outreach services at the end of the month. The exchange’s 70-plus employees, temps and contractors will go home for good on Feb. 28, 2016. The decision by lawmakers to abandon the exchange came after the federal Centers for Medicare and Medicaid Services restricted the state’s grant money. Earlier this year, the group warned Hawaii Health Connector would lose funding for not integrating with Medicaid or reaching target enrollment goals.
Tags:

Guy Benson: Obamacare Updates: Tale of Fail from Coast to Coast

Town Hall
Thu, 2015-05-21
It's time now for your monthly reminder that Obamacare neither "working in the real world," "proving its critics wrong," nor "blowing away expectations:" Colorado (higher taxes): "The Connect for Health Colorado board of directors voted unanimously Thursday to raise the fees it charges on health insurance policies to bolster its finances as federal grants run out later this year. The state health insurance exchange raised the fee on 2016 plans purchased through its marketplace from the current 1.4 percent of premiums to 3.5 percent, the same rate charged on the federal exchange...Although insurance carriers pay the fees to the exchange, they acknowledge fees are passed on to consumers in one form or another...The fee increases are projected to help bring revenues to about $40 million in fiscal year 2015-16. It would cover operational expenses, but not capital costs, such as improving the computer system…"
Tags:

Sally Pipes: State-Run Obamacare Exchanges Careening Toward Disaster

Forbes
Tue, 2015-05-19
This year was supposed to be the first wherein Obamacare’s state-based insurance exchanges would be self-sufficient. By now, the law’s architects assured, the exchanges would be thriving, competitive marketplaces, where all Americans could secure affordable coverage. It hasn’t worked out that way. Two of the original 17 state exchanges have failed. Half of those that remain are struggling financially. After getting $5 billion in federal grants, most of the state exchanges have turned out to be a disastrous mix of runaway spending on technology, lower-than-expected enrollment, huge overhead costs, and looming bankruptcy.
Tags:

Anthony Brino: More state exchanges on verge of implosion

HealthCare Payer News
Thu, 2015-05-14
If nothing else, the collapse of multi-million dollar state-based exchanges has created a PR problem for health reform, but that’s only part of the issue. In Massachusetts, there is a stew of simmering revelations about apparent mismanagement of the Health Connector, a once working exchange created in 2006 that upon an update for the Affordable Care Act ceased functioning while consuming $1 billion. Massachusetts health officials knew the Connector was in trouble for a year before its Oct.
Tags:

Alexander Hendrie: Hawaii’s $205 Million Obamacare Exchange Implodes

Americans for Tax Reform
Wed, 2015-05-13
Despite over $205 million in federal taxpayer funding, Hawaii’s Obamacare exchange website will soon shut down. Since its implementation, the exchange has somehow failed to become financially viable because of lower than expected Obamacare enrollment figures. With the state legislature rejecting a $28 million bailout, the website will now be unable to operate past this year. According to the Honolulu Star-Advertiser the Hawaii Health Connector will stop taking new enrollees on Friday and plans to begin migrating to the federally run Healthcare.gov. Outreach services will end by May 31, all technology will be transferred to the state by September 30, and its workforce will be eliminated by February 28. While the exchange has struggled since its creation, it is not for lack of funding. Since 2011 Hawaii has received a total of $205,342,270 in federal grant money from the Department of Health and Human Services (HHS).
Tags:

Jason Hart: Attempt to force Obamacare expansion on states backfires

Florida Watchdog
Mon, 2015-05-11
Trying to force Obamacare expansion onto Florida by cutting funding for an existing Medicaid program has backfired on President Obama. Florida Gov. Rick Scott, a Republican, is suing Obama’s Department of Health and Human Services over plans to stop funding the state’s Low Income Pool program, which compensates hospitals for seeing uninsured patients. Almost immediately, Republican Texas Gov. Greg Abbott and Republican Kansas Gov. Sam Brownback announced they would join the suit against HHS. Christie Herrera, senior fellow at Florida’s free-market Foundation for Government Accountability, told Watchdog.org the Obama administration has “awakened a sleeping giant.” “They’ve raised the ire of all these other states that are in Florida’s exact position, and that’s why you’ve seen Kansas and Texas filing amicus briefs in the lawsuit,” Herrera said during a phone interview.
Tags:

Jed Graham :New York Takes Money, Runs From ObamaCare Exchange

Investor's Business Daily
Wed, 2015-05-06
If ObamaCare were working as well as supporters claim, would New York state have just decided to steer more than half of its subsidized exchange enrollees to a public managed-care plan? New York is the second state after Minnesota to adopt a Basic Health Program for households up to 200% of the poverty level. It's a government-managed health care option included in the 2010 reform law. Following Minnesota is a curious move. Minnesota has signed up just 22% of those eligible for exchange coverage, 48th among all states and barely half the U.S. average of 42%, according to the Kaiser Family Foundation. The MNsure exchange also ranks near the bottom in its share of young-adult enrollees (24.2%) and near the top in its share of adults age 55 and up (33%). To top it off, PreferredOne quit the Minnesota exchange despite being its dominant insurer in 2014, hardly a vote of confidence.
Tags:

Doug Badger: Let States Exchange Obamacare For Something Better

a Brief Case
Mon, 2015-05-04
In the 34 states that did not establish Obamacare exchanges, Governors nervously await a Supreme Court ruling that could throw their health insurance markets into chaos. Meanwhile, many of the Governors who did establish exchanges are regretting their decision. More than five years after its enactment, Obamacare has proven a bitter brew for many states. Nowhere is this more evident than in health care exchanges. Exchanges began as a figment of Washington’s imagination.
Tags:

Michigan’s Obamacare Medicaid Expansion Exceeds Projections by 22 Percent

Michigan Capitol Confidential
Fri, 2015-05-01
The Foundation for Government Accountability has just published a report on state enrollments under the Obamacare Medicaid expansion. Here’s what the authors say about Michigan: When Republican Governor Rick Snyder lobbied the Michigan legislature to adopt his Obamacare Medicaid expansion plan, he too sold it on the promise of low and predictable enrollment. His office predicted no more than 477,000 able-bodied adults would ever sign up, with 323,000 signing up in the first year. But more able-bodied adults enrolled in ObamaCare expansion in the first three months than the state thought would sign up during the entire year. Despite the fact that Michigan did not expand Medicaid eligibility until April, nearly 508,000 adults signed up by the end of 2014, far more than the state thought would ever enroll. Enrollment continues to climb, with nearly 582,000 able-bodied adults signing up by April 2015.
Tags:

Jason Hart: Ohio Obamacare expansion costs $3 billion in first 15 months

Ohio Watchdog
Fri, 2015-05-01
Americans’ tax burden is already $3 billion heavier because of Ohio Gov. John Kasich’s expansion of Medicaid under Obamacare. By putting more able-bodied, working-age childless adults on Medicaid than Kasich projected, Obamacare expansion is reducing incentives to work and threatening traditional Medicaid recipients’ access to care faster and at greater cost than anticipated. After Kasich expanded Medicaid unilaterally, a state panel approved $2.56 billion in Obamacare spending for the expansion’s first 18 months. The money was meant to last until July, but it ran out in February. Kasich’s Obamacare expansion cost $323 million in March — 84 percent greater than estimates revised just six months earlier.
Tags:

ObamaCare Watch Weekly

* indicates required

View previous campaigns.

Check out Jim Capretta's new book.

ObamaCare Primer