Welcome to Friday’s Overnight Health Care, where it has been an exhausting week in health policy. Today, we have a new Utah Medicaid approval, a grant to anti-abortion clinics, and Democratic calls for an investigation into the Centers for Medicare and Medicaid Services hiring GOP communications consultants.
We’ll start with the big news for Utah…
Trump officials approve controversial Utah Medicaid plan
The controversial Medicaid changes from the Trump administration march on, despite suffering a blow in court earlier this week.
The administration approved Utah’s limited Medicaid expansion plan, allowing the state to offer Medicaid only to people earning up to the federal poverty line.
The partial Medicaid expansion will provide coverage for up to 90,000 people. But the plan, which was approved by the Centers for Medicare and Medicaid Services (CMS), will cover far fewer people and cost more money than what voters approved in November.
New feature: In an unprecedented move, the plan will also allow Utah to cap enrollment in the program if state spending exceeds budget expectations.
Context: The approval comes just days after similar work requirements in Arkansas and Kentucky were struck down by a federal court, in part because of the number of people who would lose coverage.
From last night: Federal judge strikes down Trump rule on group health plans
In addition to losing on Medicaid work requirements, the administration also lost on expanding group health plans outside ObamaCare, known as Association Health Plans.
“The final rule is clearly an end-run around the ACA,” Judge John Bates, a George W. Bush appointee, wrote in the ruling.
The politics: Democrats have long denounced these plans as “junk” and part of Trump’s effort to “sabotage” the ACA, so the ruling is a win for them. Republicans had defended the laws as an effort to provide consumers with cheaper plans.
Speaking of losing lawsuits…Trump hits obstacles in effort to reshape Medicaid
The effort to overhaul Medicaid so that many enrollees have to work is hitting a lot of speed bumps.
The future of the administration’s push is uncertain after a federal judge ruled Wednesday against work requirements in Kentucky and Arkansas, raising questions for other states looking to implement similar programs.
“The judge’s ruling should be a wake-up call, both for any state considering work requirements, as well for Secretary Azar and Administrator Verma,” said Joan Alker, executive director of Georgetown University Center for Children and Families.
“They can’t just continue business as usual.”
Background: HHS has approved nine states’ work requirement requests, and an additional seven are seeking approval. Arkansas, Indiana and New Hampshire are the only states that have implemented their work requirements so far.
But… HHS has now lost every time it had to defend work requirements in court: twice in the Kentucky case and once for Arkansas.
Trump administration awards $1.7 million family planning grant to anti-abortion clinics
The Trump administration announced Friday it would award a $1.7 million family planning grant to a chain of crisis pregnancy centers that oppose abortion and don’t offer contraceptives, while at the same time cutting funds to some Planned Parenthood affiliates.
The Obria group, which considers itself the “pro-life” version of Planned Parenthood, says it will receive a grant to provide family planning services in California.
The big picture: The administration’s decision to fund Obria is a signal of its desire to shift family planning funds toward faith-based groups that oppose abortion and away from groups like Planned Parenthood.
What it means: Obria will oversee the work of seven clinic partners, including three of its affiliates that don’t provide contraceptives or perform abortions, in four California counties, the group said in a statement.
Of the other four clinics under Obria’s oversight, two will provide contraceptives, but won’t be allowed to use Title X funds to pay for it, a spokesperson said.
“None of the funds under this grant going to the subrecipients can be used for contraceptive drugs and devices,” the spokesperson added.
The group says it offers pregnancy testing and counseling, prenatal care, HIV/AIDS testing, ultrasounds, cancer testing, well-woman care, pap smears, STD testing and treatment, adoption referral and post-abortion support.
House chairman calls for probe into Trump official’s spending on GOP consultants
Politico reported Friday that CMS Administrator Seema Verma spent millions in taxpayer dollars on GOP communications consultants, whose duties included helping bolster her image.
Now, House Energy and Commerce Committee Chairman Frank Pallone (D-N.J.) is calling for the HHS inspector general to investigate.
“These contracts are a highly questionable use of taxpayer dollars,” Pallone said in a statement Friday. “Given that this agency should be spending tax dollars to ensure Americans can access quality health care, it is particularly egregious that it is using millions to ensure its Administrator has access to outside public relations and image building services.”
Verma has already drawn fire from Democrats: Verma has faced opposition from Democrats for moves like cutting funding for outreach to sign people up for ObamaCare and for approving work requirements in Medicaid in several states.
What we’re reading
The scrambled logic of Trump’s new attempt to kill ObamaCare (The New Yorker)
Leading ObamaCare opponent trashes suit seeking to kill it (Washington Examiner)
State by state
Arkansas Gov. Asa Hutchinson on Medicaid work requirement (NPR)
Montana lawmaker’s bill seeks transparency in prescription drug prices (KTVH)