Trump administration slashes funds for health care sign-ups

Associated Press

WASHINGTON — Affirming its disdain for “Obamacare,” the Trump administration on Thursday announced sharp cuts in programs promoting health care enrollment under the Affordable Care Act for next year.

Advertising will be cut from $100 million spent on 2017 sign-ups to $10 million, said Health and Human Services officials.

Funding for consumer helpers called “navigators” will also be cut about 40 percent, from $62.5 million for 2017, to $36.8 million for next year. That change reflects a new performance-based ethic that penalizes navigator programs failing to meet their sign-up targets, administration officials said.

About 12.2 million people signed up for subsidized private health insurance under Barack Obama’s signature law this year, many in states that President Donald Trump carried in November. Current enrollment is estimated to be around 10 million, due to attrition also seen in prior years.

Democrats quickly cried foul. “Instead of helping, the Trump administration is pulling the rug out from under Americans at every opportunity,” said Sen. Ron Wyden, D-Ore.

Trump and congressional Republicans have been unable to deliver on their vow to “repeal and replace” the 2010 health care law. The president has repeatedly pronounced the program on the verge of collapse, and has threatened via Twitter to cut off payments to insurers that help reduce consumers’ copays and deductibles.

Independent observers say the ACA’s insurance markets have problems, but are not on the verge of collapse. For next year all U.S. counties will have at least one participating insurer, although consumers in close to half of counties will only have a single carrier to pick from. Some major insurers have left the program after taking deep financial losses.

HHS officials announced the promotional cutbacks in a conference call. None of the three officials who described the details of the cuts wanted to be identified by name.

The administration says the government hasn’t gotten much bang for its buck as far as ACA advertising and the navigator program, with some enrollment centers signing up very few customers.

By comparison, HHS said the combined advertising budget for Medicare Advantage and Medicaid prescription drug plans is $9.7 million.

HHS officials said the 98 navigator programs funded by the ACA enrolled fewer than 82,000 people, or less than 1 percent of the total. Navigator staffers are supposed to guide consumers through the sometimes complicated enrollment process, which involves estimating income for the coming year, proving citizenship or legal residence, and sorting through various health plan options.

For next year, officials said navigator funding will reflect each sign-up center’s prior performance. For example, if a navigator program met 70 percent of its enrollment target, it will get 70 percent of its previous funding. If it only enrolled 30 percent, its funding will be cut to 30 percent. However, every center will get some money from the government, even if it’s only a few thousand dollars.

“Judging effectiveness by the amount of money spent, and not the results achieved, is irresponsible and unhelpful to the American people,” said HHS spokeswoman Caitlin Oakley. “Obamacare’s navigator program has been ineffective. During the upcoming enrollment period, navigators will be funded in proportion to their performance.”

HHS said only 1 in 5 navigators met their own performance goals. Officials said 17 programs enrolled fewer than 100 people each, although they did not identify whether those programs were in urban areas or less populated rural zones. One program got $200,000 and signed up one person, HHS said.

Adding to sign-up challenges, the ACA enrollment season will be considerably shorter for 2018, running from Nov. 1-Dec. 15.

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Business

A closing sign hangs above the entrance of the Big Lots at Evergreen and Madison on Monday, July 22, 2024, in Everett, Washington. (Ryan Berry / The Herald)
Big Lots announces it will shutter Everett and Lynnwood stores

The Marysville store will remain open for now. The retailer reported declining sales in the first quarter of the year.

George Montemor poses for a photo in front of his office in Lynnwood, Washington on Tuesday, July 30, 2024.  (Annie Barker / The Herald)
Despite high mortgage rates, Snohomish County home market still competitive

Snohomish County homes priced from $550K to $850K are pulling in multiple offers and selling quickly.

Henry M. Jackson High School’s robotic team, Jack in the Bot, shake hands at the 2024 Indiana Robotics Invitational.(Henry M. Jackson High School)
Mill Creek robotics team — Jack in the Bot — wins big

Henry M. Jackson High School students took first place at the Indiana Robotic Invitational for the second year in a row.

The computer science and robotics and artificial intelligence department faculty includes (left to right) faculty department head Allison Obourn; Dean Carey Schroyer; Ishaani Priyadarshini; ROBAI department head Sirine Maalej and Charlene Lugli. PHOTO: Arutyun Sargsyan / Edmonds College.
Edmonds College to offer 2 new four-year degree programs

The college is accepting applications for bachelor programs in computer science as well as robotics and artificial intelligence.

FILE — Boeing 737 MAX8 airplanes on the assembly line at the Boeing plant in Renton, Wash., on March 27, 2019. Boeing said on Wednesday, Feb. 21, 2024, that it was shaking up the leadership in its commercial airplanes unit after a harrowing incident last month during which a piece fell off a 737 Max 9 jet in flight. (Ruth Fremson/The New York Times)
Federal judge rejects Boeing’s guilty plea related to 737 Max crashes

The plea agreement included a fine of up to $487 million and three years of probation.

Neetha Hsu practices a command with Marley, left, and Andie Holsten practices with Oshie, right, during a puppy training class at The Everett Zoom Room in Everett, Washington on Wednesday, July 3, 2024. (Annie Barker / The Herald)
Tricks of the trade: New Everett dog training gym is a people-pleaser

Everett Zoom Room offers training for puppies, dogs and their owners: “We don’t train dogs, we train the people who love them.”

Andy Bronson/ The Herald 

Everett mayor Ray Stephenson looks over the city on Tuesday, Jan. 5, 2015 in Everett, Wa. Stephanson sees  Utah’s “housing first” model – dealing with homelessness first before tackling related issues – is one Everett and Snohomish County should adopt.

Local:issuesStephanson

Shot on: 1/5/16
Economic Alliance taps former Everett mayor as CEO

Ray Stephanson will serve as the interim leader of the Snohomish County group.

Molbak's Garden + Home in Woodinville, Washington will close on Jan. 28. (Photo courtesy of Molbak's)
After tumultuous year, Molbak’s is being demolished in Woodinville

The beloved garden store closed in January. And a fundraising initiative to revitalize the space fell short.

Everett Mayor Cassie Franklin, Advanced Manufacturing Skills Center executive director Larry Cluphf, Boeing Director of manufacturing and safety Cameron Myers, Edmonds College President Amit Singh, U.S. Rep. Rick Larsen, and Snohomish County Executive Dave Somers participate in a ribbon-cutting ceremony on Tuesday, July 2 celebrating the opening of a new fuselage training lab at Paine Field. Credit: Arutyun Sargsyan / Edmonds College
‘Magic happens’: Paine Field aerospace center dedicates new hands-on lab

Last month, Edmonds College officials cut the ribbon on a new training lab — a section of a 12-ton Boeing 767 tanker.

Gov. Jay Inslee presents CEO Fredrik Hellstrom with the Swedish flag during a grand opening ceremony for Sweden-based Echandia on Tuesday, July 30, 2024, in Marysville, Washington. (Ryan Berry / The Herald)
Swedish battery maker opens first U.S. facility in Marysville

Echandia’s marine battery systems power everything from tug boats to passenger and car ferries.

Helion Energy CEO and co-founder David Kirtley talks to Governor Jay Inslee about Trenta, Helion’s 6th fusion prototype, during a tour of their facility on Tuesday, July 9, 2024 in Everett, Washington. (Olivia Vanni / The Herald)
State grants Everett-based Helion a fusion energy license

The permit allows Helion to use radioactive materials to operate the company’s fusion generator.

People walk past the new J.sweets storefront in Alderwood Mall on Thursday, July 25, 2024, in Lynnwood, Washington. (Olivia Vanni / The Herald)
New Japanese-style sweets shop to open in Lynnwood

J. Sweets, offering traditional Japanese and western style treats opens, could open by early August at the Alderwood mall.

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.