House Prepares to Vote on Independent Payment Advisory Board Repeal
June 16, 2015 10:15 AM
The U.S. House of Representatives is set to vote this week on legislation to repeal the Independent Payment Advisory Board (IPAB), as well as a bill repealing the medical device tax and other health care legislation.
As previously reported, the House Ways and Means Committee approved the IPAB repeal bill along with several other health care bills earlier this month. All the Republican members of the Committee as well as seven of the Democrats voted in support.
While the IPAB repeal bill has bipartisan support in the House, it still needs to pass the Senate. Later this week, the House may also consider multiple Medicare Advantage bills approved by the Ways and Means Committee earlier this month.
The National Association for Home Care & Hospice (NAHC) strongly supports the IPAB repeal legislation. In May, NAHC joined over 500 other health care organizations in sending a letter to federal lawmakers urging them to repeal IPAB.
In the letter, NAHC and the other organizations stated: “The potential impact of this board causes deep concern among our organizations and the millions of Americans we represent. IPAB proponents suggest that the board will be an asset in developing needed healthcare delivery reforms. That goal, however, is not realistically achievable. The law requires IPAB to achieve scoreable savings within a one-year time period. Thus, instead of pursuing long-term reforms that may not achieve immediate savings, IPAB is more likely to consider short-term savings in the form of payment cuts for healthcare providers. This was, in fact, the conclusion of the Congressional Budget Office, which stated that IPAB is most likely to focus on payment rates or methodologies for services provided by non-exempt providers.”
On Friday the Congressional Budget Office released a summary estimating that the IPAB repeal legislation would not affect spending between 2015 and 2021. However, CBO estimated that the legislation would increase direct spending by $7.1 billion over the 2022-2025 period. NAHC has received information that House Leadership is planning to use a small portion of the Prevention and Public Health Fund (PPHF) from FY2017-FY2025 to offset the cost of the legislation.
NAHC Reportwill continue to provide updates regarding the status of the IPAB repeal legislation.