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Kathleen Sebelius

Jane Richey / May 16, 2013

Where Is All The Money Going?

Health and Human Services Secretary Kathleen Sebelius announced Wednesday the second round of about $1 billion in “Health Care Innovation Awards,” as part of the ongoing implementation of the Affordable Care Act, or Obamacare.

“We’re going to announce the latest steps we’re taking to spur innovation in our health care system by supporting some of the most promising ideas from around the country from lowering cost by improving the quality of care,” Sebelius said.

“Bringing down health care cost is our top priority,” Sebelius said.

But Richard Gilfillan, director of the Center for Medicare and Medicaid Innovation at the Centers for Medicare and Medicaid Services, who took questions from reporters on the conference call, could not tell reporters how much the $900 million awards given out last year has saved taxpayers in health care costs.

A reporter asked Gilfillan about the $1.9 billion savings over three years that HHS officials had predicted from the first round of awards and whether he could report any savings over the first year.

“All of our round-one proposals, our applicants, have put in operating plans,” Gilfillan said. “They’ve begun operations, but we do not have any estimates to share with you at this time.”

Another reporter asked a more pointed question:

“Has CMS’s actuaries found or confirmed savings by any innovation center project at this point, and are you guys preparing yet to expand any of them to become a permanent nationwide program as you’re authorized under the health law?” the reporter asked.

“We are still in relatively early stages of the roll out of some of the models that we have,” Gilfillan said. “We’re working closely with our colleagues in our evaluations group and our colleagues in the actuarial group to monitor performance.

“We do not have any results that we would use to pursue the path you describe,” Gilfillan said.

Read more.

Jane Richey / May 12, 2013

Fundraising to Promote Obamacare

Health and Human Services (HHS) Secretary Kathleen Sebelius might have broken the law by asking insurance companies to donate to outside groups promoting President Obama’s healthcare law, Sen. Lamar Alexander (R-Tenn.) said Saturday.

Alexander compared the fundraising to the Iran-Contra scandal.

“Secretary Sebelius’s fundraising for and coordinating with private entities helping to implement the new health care law may be illegal, should cease immediately and should be fully investigated by Congress,” Alexander said in a statement.

The Washington Post reported Friday that Sebelius has asked insurance executives and community groups to contribute to Enroll America, a non-profit group created to promote the healthcare law and encourage people to enroll in its new coverage options.

Sebelius has undertaken the fundraising push because HHS has very little money to promote the healthcare law and Congress has refused to boost the implementation budget.Read more.

Jane Richey / May 22, 2012

Administration’s Message to Grads: Don’t Worry About Health Care

Education Secretary Arne Duncan and Health and Human Services Secretary Kathleen Sebelius sent a letter to university presidents and student associations, urging them to spread the word: “The new health care law makes it possible for young adults under age 26 to remain on their parents’ health care plan if the policy covers dependent children.”

Duncan and Sebelius are using the reminder to plug Obamacare, whose fate now rests with the U.S. Supreme Court.

Their letter notes that because of Obamacare, graduating students are now “free to make career choices based on what they want to do, not where they can get health insurance. That is why we are encouraging you to ensure that your graduating students are aware of this new option to get health care coverage.”

Read more.

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