Just as Washington is finally thawing out from under all the snow, it seems that health reform was dug out too with the release today of President Obama’s health reform proposal.  The President’s plan sets the stage for the bipartisan health reform summit that the White House is convening on Thursday. In an effort to add more transparency to the legislative process, the meeting will be streamed live.  For those of you unable to watch, we’ll fill you in via this blog.

In his proposal, the President lays out a clear roadmap of policies that he wants included in a comprehensive health reform bill. The basic framework is the same as leading bills developed in Congress over the past year of debate: insurance market reforms, new health insurance Exchanges and subsidies for those who need help purchasing coverage, an individual mandate to obtain coverage (with exceptions for those at lower incomes and those paying too much in premiums), and a number of health care delivery and access initiatives.

But, the new proposal adds improvements aimed at addressing concerns with the earlier congressional proposals, including provisions to strengthen the affordability of coverage, changes to the structure of the excise tax on high-cost plans, and new authority for the Secretary of HHS to monitor and, if appropriate, address sharp increases in health insurance premiums.

The President’s proposal does not include legislative language so we don’t have all the “nitty-gritty” details that some of us are eager for.  But, here is a quick read on where it lands on the key issues affecting children and families (CCF has also released a fact sheet on the proposal):

• Expands Medicaid up to 133% FPL and addresses some of the controversy over the financing of this coverage. The so-called “Cornhusker” fix, which gave Nebraska special help in coping with the new Medicaid costs, was eliminated. Instead, borrowing from both the House and Senate bills, all states would be eligible for a Medicaid matching rate (for those newly-eligible) of 100% for 2014 through 2017, 95% for 2018 and 2019, and 90% in subsequent years.
• States that have already expanded Medicaid to adults (up to 100% FPL) would receive a matching rate increase of eight percentage points “on certain health care services”.
• CHIP would be continued through fiscal year (FY) 2019, with funding through FY 2015. States would receive a 23-percentage point increase in their CHIP match beginning in FY 2016.
• Stronger affordability protections (relative to the Senate bill) would be in place so that individuals and families purchasing coverage through the Exchange at 100% FPL would pay no more than 2% of their income and those at 300% up to 400% FPL would pay no more than 9.5%. Cost-sharing assistance would also be provided to families up to 250% of the FPL.
• Simplification measures for Medicaid, CHIP, and subsidies including using modified adjusted gross income (as in the House bill), a 5% income disregard for Medicaid eligibility to ensure coordination between the programs, and “seamless enrollment”. Medicaid and CHIP individuals would enroll through “streamlined, easy to use, State-by-State websites”.

With the release of the President’s proposal, health care reform once again takes center stage. Stay tuned as we explore the implications for children and families.