The HHS Budget and What it Says about Reform

At a news briefing today, Health and Human Services Secretary Kathleen Sebelius talked about funding for her agency contained within President Obama’s proposed 2011 budget. She talked about more money for community health centers, information technology, and drug and cancer research, among other priorities. But toward the end of the news conference, the AP’s Ricardo Alonso-Zaldivar asked Sebelius to clarify what was obvious already – that the 2011 HHS budget doesn’t make any real headway toward solving the country’s health care crisis. The President’s budget “in no way replicates the efforts in the health reform legislation to reach out to the 30 some million Americans who have no health insurance at all and those who are woefully underinsured,” said Sebelius. “This budget – absent health reform – will still leave a major gap.” Without major reform of some kind, the cost curve will continue to go up unabated, millions will continue to go without insurance and, Sebelius pointed out, insurance companies will still deny coverage too often.

The point here is not that the HHS budget doesn’t do what massive health reform legislation was supposed to do. If that was as easy as a few budget items, things would certainly have been a lot easier for Democrats. The point is that Sebelius seemed eager to stress the continuing need for reform – a message that’s coming directly from the Administration. There is no shortage of skeptics who think this is Democratic bluster meant to distract from the lack of any progress since Scott Brown’s victory in Massachusetts. As Karen just noted, the GOP already has a procedural strategy for how to block Democratic attempts to pass health care reform via reconciliation. And what are we to discern from Peter Orszag’s blog post introducing the 2011 budget? Health care reform was touted as “the key to our long-term fiscal future,” but it was not mentioned until the second to the last paragraph of Orszag’s post – hardly prominent placement for what was until recently the President’s signature domestic priority.

I’d be remiss, however, if I didn’t highlight one major way and several small ways that the proposed 2011 Obama budget echoes Democratic health reform efforts. First, there’s about $25 billion to extend increased federal funding for Medicaid that’s called for in the stimulus bill. As Karen and I pointed out, states were terrified of new Medicaid burdens they would face under reform. Even without it, though, they can’t afford their programs. The $25 billion will help. There is also money in the HHS budget for comparative effectiveness research, health information technology, preventive care, and more primary care providers, efforts that would be heavily funded by the Democratic health care reform bills.

Related Topics: 2011 budget, Democratic Party, gop, Health Care, health reform, omb, peter orszag, Uncategorized
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  • http://randomkirk.wordpress.com randomkirk

    Has it not occurred to you that the reason health care as “the key to our long-term fiscal future” is given only passing mention is because the proponents never really believed it?

  • tanboontee

    Of the $3.8 tn, some $800 bn would be spent on military agenda, and that converts to one-fifth of the colossal 2011 budget, at the expense of other more desirable programs.

    What an imprudent and superfluous move?

  • stuartzechman

    Thanks so much for this reporting, Kate Pickert, it’s very important.

  • textee

    Time magazine (aka Democrat party press release) asserts: “The 2011 HHS budget doesn’t make any real headway toward solving the country’s health care crisis.”

    “The country’s health care crisis”? Notwithstanding the hysterical allegations of Time magazine and the rest of the Democrat party, there ain’t no “health care crisis” in the country.

  • artraveler

    Go and look at any emergency room. Talk to any hospital administrator. There is a real issue in this country when 30% of the country (40% in Mike Ross’ district) don’t have coverage. If we don’t get a control on medical costs, it will eventually exceed the Defense budget. It is garbage like this that just keep the issue from being discussed. And tort reform and inter-state health insurance won’t fix it and that is the Republican big plan? When you fix the 5% or less that represents, what do you do with the real problem-more people going bankrupt due to medical bills than any other issue, rural hospitals closing because they can’t survive on Medicare reimbursement rates, and an insurance industry that is run for the rich, not their policy holders.

    Mutualize the healthcare industry. Makle the policy holders the stockholders and let them vote on management retention, salaries, and bonuses every year..

  • jrmttx

    Without a commitment to open systems and open data standards, true reform will not be possible, no matter how much money is thrown at the problem.

    Can open source save US health care?

    It certainly is part of the solution.

    More at this Q&A with Red Hat:

    http://opensource.com/life/10/1/can-open-source-save-us-health-care

    -Matt Mattox
    CTO
    Axial Exchange

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