Moore, Strong, Palmer Vote “Yes” as House Passes GOP Health Bill
GAO Finds billions in ACA Fraud, new legislation would curb fraud, lower premiums
The U.S. House of Representatives passed the Lower Health Care Premiums for All Americans Act Wednesday in a closely contested 216-211 vote, moving ahead with a GOP-led effort to address rising health costs and weaknesses in the Affordable Care Act (ACA).
The vote comes amid heightened scrutiny after a Government Accountability Office (GAO) report revealed widespread fraud and improper payments in the ACA marketplace. According to GOP leaders citing the report, as much as $27 billion in federal funds may be improperly paid each year to insurers, brokers and enrollees due to lax safeguards. At least $94 million in taxpayer subsidies were sent on behalf of people who were deceased, and hundreds of thousands of unauthorized enrollment changes occurred, the GAO found.
“Weak verification procedures have allowed fake identities, duplicate Social Security numbers and deceased individuals to receive federal health subsidies,” said lawmakers referencing the audit.
The GAO’s work also showed that investigators could enroll fictitious applicants with invalid documentation, pointing to gaps in the system that advocates for reform say demand change.
Members of Alabama’s Congressional delegation were among those voting in favor of the Act.
Rep. Barry Moore (R-AL1) said:
“All Americans deserve a health care system that puts patients first and offers more choices for affordable, quality care. The Affordable Care Act has failed to deliver on its promises, causing costs to skyrocket, limiting options, and weakening quality of care while becoming a magnet for fraud. House Republicans' plan restores integrity to our health care system with commonsense solutions to lower premiums, expand access, increase transparency, and protect small businesses while ensuring no taxpayer money funds abortions. I am proud to support this plan that will deliver real relief for American families.”
Rep. Dale Strong (R-AL5) stated:
“For over 14 years, the Unaffordable Care Act has failed to put people and patients first. It has been proven that subsidies that line the pockets of insurance companies have done nothing to bring down health care costs for hardworking Americans.
“The Lower Health Care Premiums for All Americans Act advances common sense provisions that put patients first, promote competition, and make health care more affordable for families across North Alabama by expanding coverage options for employers and individuals, lowering premium costs through cost-sharing reduction payments, and holding prescription drug market middlemen accountable.”
Rep. Gary Palmer (R-AL6) said:
“As discovered in a recent GAO report, the Democrats' Unaffordable Care Act is riddled with waste, fraud, and abuse. The Biden administration’s COVID-19 credits only made it worse. Real reforms must be made to our broken health care system to expand choice, restore integrity, and lower premium costs for Americans. The Lower Health Care Premiums for All Americans Act is a great start to accomplishing these goals, and I look forward to passing more legislation to further reform our health care system when Congress returns in the new year.”
Supporters of the Lower Health Care Premiums for All Americans Act say it takes a practical approach to slow rising costs and improve transparency without expanding current ACA subsidies. The bill’s key provisions include:
- Cost-Sharing Reduction Payments: Appropriating funds to help lower premiums and stabilize the individual market, with sponsors saying it could reduce benchmark premiums by roughly 11 percent.
- Association Health Plans: Expanding access for small business owners and independent workers to band together for more affordable coverage.
- Pharmacy Benefit Manager Transparency: Requiring detailed reporting on drug spending, rebates and pricing to give employers and employees clearer cost information.
- Employer Choice Options: Strengthening rules that allow employers to offer tax-free contributions for employees to purchase plans that suit their needs.
Republican backers argue these changes will expand choice and control costs without extending enhanced ACA subsidies that are set to expire at year’s end.
Opponents of the bill have warned that letting enhanced ACA subsidies lapse could leave some Americans facing higher premiums or loss of coverage next year. A separate bipartisan effort to extend those tax credits remains under negotiation.
The Act now goes to the Senate for consideration.
For more information on the Act, see https://www.congress.gov/bill/119th-congress/house-bill/6703/text