[Congressional Record Volume 161, Number 79 (Thursday, May 21, 2015)]
[Senate]
[Pages S3217-S3219]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
AFFORDABLE CARE ACT
Mr. MURPHY. Mr. President, shown in this picture I have in the
Chamber is Christina from Stratford, CT. She is a small business owner,
and she has a story that is becoming pretty familiar all across the
country. She left a job a couple of years ago that provided for
employer-based health care, and she wanted to start her own business in
Bridgeport, CT, right next to Stratford. So she stayed insured through
COBRA for a period of time until it expired, and then she had to go out
into the individual market. She recalls having to fill out a 15-page
questionnaire when she was applying for individual coverage. She said
it asked about ``anything that I had even remotely discussed with my
doctor.'' Unfortunately
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for her, some of those things--preexisting conditions--meant that she
was denied health care coverage.
So she had to go into Connecticut's high-risk pool, which meant she
was paying $1,200 per month. Anybody who has started up a small
business from scratch knows that can be pretty prohibitive. Her
salvation came through the Affordable Care Act. When it went into
effect and Connecticut's exchange was established, she was able to find
a plan that cost her $430 per month, which is frankly on the high end
of plans but it was much more affordable than the one she had.
She said: ``I'm thankful that there was a solution for me to be able
to keep my business [and] have affordable health insurance'' that can't
be taken away.
Similar stories can be told all over the country, but it is not just
anecdotes that we have to rely on any longer to talk about the success
of the Affordable Care Act.
I know that we are obsessed this week, appropriately so, with the
PATRIOT Act, the transportation reauthorization, and the free-trade
agreement, or the fast-track agreement. But the Supreme Court is likely
upon our return after the Memorial Day recess to rule on one of the
most important cases that it has heard during most of our tenures, and
that is the King v. Burwell case. It is important to spend some time
before we break talking about the subject of that case, the Affordable
Care Act. Christina's story is miraculous--somebody who was able to
start a business and keep that business open because of the Affordable
Care Act. But she is one of 16.4 million people all across this country
who now have health care because of the Affordable Care Act--most
through Federal and State exchanges but some because they were able to
stay on their parents' plan until age 26 or are able to access
Medicaid.
Last month's Gallup poll showed that the uninsured rate in this
country has declined by 35 percent over the course of the last year and
a half, or since 2013. That is a remarkable number. We shouldn't
hesitate from noting that it is just absolutely exceptional in the
history of this country to have a one-third reduction in the number of
people who don't have insurance in such a short period of time. The
good news is that most of the folks who have insurance are satisfied,
just as is Christina. Opponent after opponent of the ACA tells us this
is going to be terrible health care and that there is no way the
government could have anything to do with a health care plan that
people want. Of course, it is not government-run health care. It is
subsidized by tax credits from the government, but it is private health
care insurance, with the exception of those Medicaid plans.
J.D. Power surveyed thousands of ACA enrollees and found that they
like their exchange plans more than people like their nonexchange
plans. So health care on this exchange is more popular than health care
off of the exchange.
The good news isn't just about the number of people who have
coverage; it is that costs are coming down. For the accountable care
organizations, which are an innovation in the Affordable Care Act to
try to build big integrated systems of care, the pilot program just
came in with their savings numbers, and $384 million were saved just on
this one innovation alone. That is $300 per patient. That is a big deal
because it speaks to a larger trend line in which we are for the first
time in a very long time able to control health care costs. On an
annual basis, last year we saw the lowest increase in medical costs,
the lowest medical inflation number in a generation.
But costs are coming down in part because of things that we put into
place through the Affordable Care Act. My colleague Senator Barrasso
was down here yesterday with a wonderful chart about Connecticut. I
appreciate his giving Connecticut a little bit of extra publicity, but
his speech really was a wonderful advertisement for the Affordable Care
Act. He noted that several insurers in Connecticut just came out with
rate increase requests, and he had the numbers up there. They were 8
percent and 10 percent. They were substantial increases. They were not
unfamiliar, because prior to the Affordable Care Act, that is what
individuals and businesses were facing every single year. They were
double-digit increases.
The rate increases that Senator Barrasso was referring to were
completely in line with what those same insurance plans requested last
year in Connecticut. Last year Anthem Blue Cross Blue Shield requested
a 12-percent rate increase. ConnectiCare requested 12 percent. Because
of the Affordable Care Act, which allows States to do reviews and
amendments to those rate increases, Anthem's request last year went
from 12 percent to 0 percent, and ConnectiCare's request went from 12
percent to 3 percent. We had in Connecticut one of the lowest increases
in health care premiums on record because of the Affordable Care Act.
So it is right that these health insurers are requesting big rate
increases. But now, because of the law we passed, they don't get those
rate increases in States such as Connecticut. They actually have their
numbers vetted. They have their actuarial analysis reviewed, and they
get a better number to the benefit of my constituents.
But this Supreme Court case that is going to come up is important
because it puts millions of Americans at risk for losing many of the
protections that I just talked about. It basically says that the
Affordable Care Act was designed in a way to only provide these
subsidies to help people get insurance on State-based exchanges, and if
they were on a Federal exchange, they, by design, weren't supposed to
get these subsidies.
Well, a lot of people talk about what the intent of the law is, but
you don't even have to get into the intent of the law. On its face the
text of the Affordable Care Act is absolutely clear, because, yes,
there is a reference--one line to the fact that subsidies will flow to
the State exchanges. But the plaintiffs' case completely ignores
another section of the Affordable Care Act which gives the Secretary
the power to establish exchanges in States that don't do it themselves.
That is what has happened by the substitution of Federal exchanges for
State exchanges. And, of course, the text of the bill just does not
work if you believe the plaintiffs' analysis. The plaintiffs say this
is supposed to be a penalty. If you didn't set up a State exchange, we
are penalizing your constituents by withholding subsidies. Well, there
is not a single line in the Affordable Care Act that suggests that this
is a penalty. And there is the fact that the Supreme Court has said
that if you want to do that, you have to make it explicit and you can't
have guesswork involved as to the carrot-and-stick approach afforded to
a State.
Doug Elmendorf, who was the head of CBO at the time said:
I could remember no occasion on which anybody asked why we
were expecting subsidies to be paid in all states regardless
of whether they established their exchanges or not. And if
people had not had this common understanding about what the
law was going to do at the time, I'm sure we would have had a
lot of questions about that aspect of our estimates.
Finally, the bill doesn't work on its face if you believe the
plaintiffs' argument. Why? Because the insurance reforms are national.
And yet the subsidies, according to the plaintiffs, are only for States
that established their own exchanges. Well, the insurance reforms don't
work if everybody doesn't have insurance in those States. You can't say
that folks who have preexisting conditions can't be discriminated
against if people in those States don't all have insurance. That
actuarially doesn't work. So the whole bill falls apart if you believe
the plaintiffs' case.
I am, frankly, totally confident that the Supreme Court is going to
find in favor of the government because there is no other way to read
the Affordable Care Act other than to believe that subsidies go to both
State and Federal exchanges. It is plain on the face of the statute,
but certainly you have to get to it in the intent as well.
We are starting to see that Republicans are thinking they are going
to need to have an answer if--in the unlikely case, as I believe--the
Supreme Court decides in favor of the plaintiffs.
But this is a pretty good summary of what the Republicans' plan is to
respond to King v. Burwell. The Republicans' plan, if King v. Burwell
goes in favor of the plaintiffs, is essentially a shrug of the
shoulders.
The predominant bill on the Republican side is offered by my friend
Senator Johnson from Wisconsin. He
[[Page S3219]]
claims that this bill is going to fix the problems in the Affordable
Care Act if the King v. Burwell decision is decided in favor of the
plaintiffs. But it is nothing except for just another attempt to repeal
the Affordable Care Act. It is disguised as a way to address King v.
Burwell, but it is simply an effort to repeal the law. You don't have
to read too deeply in the bill to figure that out. It preserves the
subsidies for about a year and a half, but after that period of time it
ends subsidies in the Federal exchanges and then it also ends subsidies
in the State exchanges.
Let me say that again. The Johnson bill doesn't just end the
subsidies that the Court might rule unconstitutional; it also ends the
subsidies in the exchanges that the Court won't rule as
unconstitutional if King v. Burwell is decided in favor of the
plaintiffs. Thus, it is a repeal of the bill. It goes well above and
beyond what would be necessary to address an adverse decision.
It then goes even further. The Johnson bill then repeals the
individual mandate. It repeals the employer mandate, and when you do
that, the insurance reforms fall apart. Even Senator Cruz on the floor
during his filibuster conceded that you can't protect people with
preexisting conditions unless you also require people to get insurance.
Lastly, the Johnson bill ends the essential-benefits packages. So
this guarantee, that if you buy insurance you are going to get a basic
floor of services, is no longer. The Republican response to King v.
Burwell is simply to repeal the Affordable Care Act, and I hope we
never get to the point where we have to debate how we address an
adverse decision in the King v. Burwell decision, but this is a
nonstarter. Everyone inside and outside of this building should
understand that. I don't think it is coincidence at all that over 30
cosponsors of the Johnson bill also support repealing the Affordable
Care Act.
One cannot deny that it is working. From the New York Times to the
Washington Post to the Wall Street Journal, people understand that the
Affordable Care Act is changing people's lives--16 million people with
insurance, health care costs stabilized for the first time in many of
our lifetimes, and quality getting better. The Affordable Care Act
works, and I hope that our colleagues will come together, no matter the
decision in King v. Burwell, to make sure that it continues to work for
Americans all over this country.
I yield the floor.
The PRESIDING OFFICER. The Senator from Arizona.
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