The Commercial Appeal

Haslam delays health plan

May decide on state-run exchange

- By Richard Locker

NASHVILLE — Gov. Bill Haslam on Friday delayed a decision on whether the state will create an online market for people to compare and buy health insurance.

The deadline for notifying the federal government on whether states will create their own health insurance “exchanges” or defer to a federally run exchange was originally set for Friday. But acting on a request by the Republican Governors Associatio­n, U. S. Health & Human Services Secretary Kathleen Sebelius extended the deadline to Dec. 14.

The governors, including Haslam, had complained that HHS was not providing enough details about the exchanges, which are a provision of the federal Affordable Care Act, or “Obamacare,” designed to make it easier for people to shop for health insurance. Haslam indicated Tuesday he was leaning toward a state-run exchange, unlike several of his GOP colleagues in other states.

Citing the HHS extension, Haslam said Friday that no decision has been made. “We are hopeful in the coming weeks we will receive answers from Washington to the many questions we’ve asked in our effort to have a full picture of the future of exchanges in Tennessee,” he said.

“Let me be clear: I oppose the Affordable Care Act. I joined with other Republican governors earlier this year to fight the law. Unfortunat­ely, the Supreme Court upheld a majority of it this summer, including the provision that states are required to either participat­e in a federal exchange or establish their own,” the governor’s statement said.

“I understand there is a lot of passion and uncertaint­y about the health care law, and I share that frustratio­n. As governor, I believe it is my job to put emotions aside and to make the tough decisions on the serious issues that impact Tennessean­s. That is what I’m working hard to do.”

On Tuesday, TennCare Director Darin Gordon said there are pros and cons for Tennessee under both scenarios, including state control of Medicaid and Children’s Health Insurance Program eligibilit­y determinat­ions and potentiall­y lower costs. The costs of operating a state exchange are federally funded if the state opts to create a state run exchange initially.

Despite the extension, Democratic leaders in the state House of Representa­tives called on the governor to go ahead and announce a decision.

“The governor has had ample time to decide whether or not he wants to establish a Tennessee plan for a health insurance exchange,” Democratic Minority Leader Craig Fitzhugh of Ripley said. “Now is not the time for more delays. Now is the time to create an open process that brings all interested parties to the table — Democrats, Republican­s, consumer advocates, insurance companies, small businesses and others — to start deciding what this Tennessee health insurance exchange will look like.”

The Democrats, citing a report by the well-regarded Kaiser Family Foundation, said Tennessee has already accepted $9.1 million in federal money grants to study and design an exchange.

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