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Increases In Suicides And Murders Linked To Economic Crisis
An article published Online First and in a future edition of The Lancet reports that the rising rates of suicide and murders in the population are directly associated to the growing unemployment rates originated by the economic downturn. Another effect is the decline in road-traffic accidents. Active labor market programs aiming to maintain and reintegrate workers in jobs could tone down some of these unfavorable effects. The article is the work of Dr David Stuckler, of the University of Oxford, UK, and Professor Martin McKee, of the London School of Hygiene and Tropical Medicine, UK, and their team.
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Oregon House Passes Preemptive Health Reform Bills
The Oregon House of Representatives passed two health reform bills that a leading Democratic lawmakers says will help Oregon "fit into whatever happens on the national scale," the Portland Oregonian reports. One bill would tax insurers and hospitals more than $300 million over two years to provide coverage to an additional 115,000 Oregonians. These funds would "leverage nearly $1 billion in federal Medicaid matching money." The second measure would create an Oregon Health Authority to replace an existing Department of Human Services, but with a broader mandate to track health care claims data and harness consolidated purchasing power to "pressure insurers and hospitals to use evidence based care." State officials say the measure "would create an estimated 3,600 high-paying jobs in hospitals, medical clinics and other areas" (Graves, 6/8).
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House Committee Approves Reform Bill; Full House Debate Scheduled For After August Recess
The House Energy and Commerce Committee on July 31 approved its health care reform bill (HR 3200) by a 31-28 vote that was mostly along party lines, the AP/Seattle Times reports. Among the many amendments considered during the markup, the committee rejected an amendment offered by Reps. Joe Pitts (R-Pa) and Bart Stupak (D-MI) to prohibit government subsidies to any insurance plans that offers abortion coverage, effectively prohibiting abortion coverage for customers eligible for public premium assistance. The amendment was rejected by a 27-31 vote. Another provision approved on July 30 would neither require nor prohibit insurance companies from providing coverage for abortion services.The approved bill includes provisions limiting how much insurers can increase premiums and gives the federal government the power to negotiate with drug companies for lower prices under Medicaid. The provisions were part of an effort by Democrats on the committee to reconcile the demands of liberals and conservatives, the AP/Times reports. The bill also would require insurance companies to sell coverage to anyone seeking it, regardless of pre-existing conditions. The government would provide subsidies to lower-income families to help them afford policies. In addition, the legislation would establish health insurance exchanges offering a variety of insurance plans, where consumers with or without subsidies could purchase health insurance (Espo/Werner, AP/Seattle Times, 8/1).Five of the committee"s Democrats joined all 23 Republicans in opposing the measure, the Washington Post"s "Capitol Briefing" reports. The five Democrats who voted against the bill were Reps. John Barrow (Ga.), Rick Boucher (Va.), Jim Matheson (Utah), Charlie Melancon (La.) and Bart Stupak (Mich.) (Kane, "Capitol Briefing," Washington Post, 7/31).The committee was the last of three House panels to take action on the legislation, although the vote comes several weeks after the White House and Democratic leaders originally wanted, the AP/Times reports. The full House is expected to vote on the bill after policymakers return from their August recess.Although the House"s agenda has moved slower than party leaders had hoped, it still was faster than the action in the Senate, according to the AP/Times (AP/Seattle Times, 8/1). Senate Finance Committee Chair Max Baucus (D-Mont.) on July 30 announced that the panel will not mark up a health care reform bill this week after Republican negotiators urged that the speed of discussion in the Senate be slowed, the Post"s "44" reports. The announcement means that health care reform legislation will not be out of committee in both chambers before the summer recess (Pershing, "44," Washington Post, 7/31).Catholic Bishops Say That House Bill Could Expand Abortion Coverage In related news, the U.S. Conference of Catholic Bishops in a letter to members of the House Energy and Commerce Committee voiced its opposition to the reform bill, arguing that it could be used to require private health insurance plans to cover abortion services, the Post reports. The bill has been opposed by conservative Christian groups for weeks, with the groups arguing that it could be used to expand abortion rights, the Post reports.In the letter, Cardinal Justin Rigali -- chair of the Committee on Pro-Life Activities -- said the bill could increase federal funding for abortion services because some government funding would not be covered by the Hyde Amendment, which currently bans the use of federal Medicaid funds for abortion services. Rigali also said the bill could overturn state laws that restrict access to abortion services, such as parental notification laws. In addition, Rigali said the bill should continue to ensure provider conscience rights to protect Catholic health care workers who refuse to provide abortion services based on their religious or moral beliefs (Washington Post, 8/1).
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GM, UAW Nearing Deal To Use Company Stock For Half Of VEBA Obligation, s Say

General Motors and the United Auto Workers are close to finalizing a deal that would reduce the automaker"s cash obligation to a retiree health care trust fund, according to people with knowledge of the matter, the Wall Street Journal reports. UAW in 2007 agreed to establish the voluntary employees" beneficiary association, totaling $35 billion, that would cover health care costs of retired GM workers and their spouses starting in 2010. GM has paid about $15 billion into the fund, but under the deal now being discussed, the remaining $20 billion obligation could be paid using about $10 billion in cash and a 39% equity stake in the restructured GM that will be formed under the Treasury Department"s "controlled bankruptcy" plan for the firm. The deal would be subject to approval by UAW"s 60,000 GM members, who likely would face "steep cuts" in pay and benefits as a result, as well as 20,000 additional layoffs, according to the Journal. Union officials also have expressed concern that the GM stock making up the equity stake is "illiquid and hard to value, posing a big risk for UAW members," the Journal reports. GM and UAW could agree to a final version of the deal "as early as next week," according to the Journal (Stoll, Wall Street Journal, 5/15). Chrysler A federal bankruptcy judge on Thursday denied a request from a group representing Chrysler"s retired salary workers to have an official retiree committee participate in the firm"s bankruptcy proceedings in an effort to protect the group"s health care benefits. U.S. Judge Arthur Gonzales said decisions related to the benefits will be made by Chrysler"s new owners, which could include a large stake for Italian automaker Fiat. Lawyers for the National Chrysler Retirement Organization stated that because responsibility for the group"s health care benefits might not be transferred to the Chrysler that will emerge from bankruptcy, the group had a right to negotiate with the firm during the bankruptcy process.Chrysler provides benefits to about 19,000 salaried retirees and spouses, estimated to cost about $7.3 million monthly. Retirees younger than 65 receive medical and dental benefits similar to those of active Chrysler workers, while those older than 65 receive contributions to health care savings accounts that they can use for costs not covered by Medicare. NCRO noted that while these benefits currently are planned to be maintained under the new firm, with increased costs for higher-income retirees, the final decision will be made by the new firm. Chrysler attorney Pedro Jimenez said the automaker reserves the right to change the benefits as it sees necessary. Gonzales said that NCRO can present its motion again if conditions change during bankruptcy proceedings, and that it can oppose the sale if and when it comes up for court approval (Fowler, AP/Kansas City Star, 5/14). Reprinted with kind permission from http://www.kaisernetwork.org. You can view the entire Kaiser Daily Health Policy Report, search the archives, or sign up for email delivery at http://www.kaisernetwork.org/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork.org, a free service of The Henry J. Kaiser Family Foundation. © 2009 Advisory Board Company and Kaiser Family Foundation. All rights reserved.


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