Sen. Flake Asks Administration for Indefinite Extension of Obamacare Relief Policy

WASHINGTON, Feb. 16 -- The office of Sen. Jeff Flake, R-Ariz., issued the following news release:

U.S. Sen. Jeff Flake (R-Ariz.) joined 22 of his Senate colleagues in sending a letter to Secretary of Health and Human Services Tom Price requesting the indefinite extension of a policy providing relief from certain requirements under the Affordable Care Act (ACA). Extending what is known as the "transitional relief policy" would allow individuals and small groups in Arizona and 34 other states to keep certain "grandfathered" insurance plans that are not compliant with the ACA, also known as Obamacare.

"Arizona has been ground zero for the structural failings that are plaguing insurance markets around the country," said Flake. "I look forward to working with the administration to provide relief to Arizonans as we craft a replacement that actually works."

View a signed copy of the letter here (http://www.flake.senate.gov/public/_cache/files/1441b2da-eb84-4960-b3b8-c386bf70be96/02132017-senate-letter-to-sec.-price-on-aca-transitional-relief-grandmothered-plans.pdf).

Text of the letter can be view below.

Background:

* Flake reintroduced the Removing Limitations on Insurance Effectiveness and Flexibility (ReLIEF) Act (https://www.congress.gov/114/bills/s531/BILLS-114s531is.pdf) during the 114th Congress. The bill would make access to affordable catastrophic insurance plans available to everyone, and permanently deem these plans as compliant with the essential coverage requirements of the Affordable Care Act (ACA). Read more about the bill here (http://www.flake.senate.gov/public/index.cfm/press-releases?ID=BBBD9553-4309-4A3C-BCC9-3308632DA718). You can also read about Flake's original introduction of the ReLIEF Act during the 113th Congress here (http://www.flake.senate.gov/public/index.cfm/press-releases?ID=BC26B870-E314-4FD1-A04B-8C41EA2CAEED).

* On Jan. 4, 2017, Flake and U.S. Rep. Dave Brat (R-VA) reintroduced the Health Savings Account (HSA) Expansion Act. The bill would provide for more universal participation in HSAs to combat the rising cost of health care. Read more about the bill here (http://www.flake.senate.gov/public/index.cfm/press-releases?ID=496C0D27-1BFB-4EDC-8297-A61A168029EB).

* On Jan. 4, 2017, Flake cast his first vote (https://www.senate.gov/legislative/LIS/roll_call_lists/roll_call_vote_cfm.cfm?congress=115&session=1&vote=00001) of the 115th Congress to begin the process of repealing and ultimately replacing Obamacare with something that actually works.

* On Jan. 20, 2017, President Donald Trump signed an executive order instructing federal agencies to reduce the burdens of the Affordable Care Act to the maximum extent possible. Read the order here (https://www.whitehouse.gov/the-press-office/2017/01/2/executive-order-minimizing-economic-burden-patient-protection-and).

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Dear Secretary Price,

Congratulations on your confirmation as Secretary of Health and Human Services. We look forward to working with you to ensure access to quality, affordable health care for all Americans. We commend your commitment to repealing the Affordable Care Act (ACA) and working with Congress to enact market-driven approaches that put Americans back in control of their health care.

We appreciate President Trump's determination to ease the burden of the ACA through his Administration. The President's January 20, 2017, Executive Order instructing agencies to minimize the harmful impacts of the law and provide states additional flexibility is an admirable first step. As Secretary of HHS, we know that much of this responsibility will fall on your shoulders. One way HHS can protect Americans from the crippling effects of the law is to extend the transitional relief policy for individual and group plans in 35 states. HHS Guidance is needed by mid-February to give states and health plans time to act.

Since the enactment of the ACA, millions of Americans have either lost their health insurance or have seen their premiums skyrocket. We are committed to working with you to ensure this does not continue to happen. In 2013, HHS created a transitional relief policy that would allow individuals and small groups to maintain certain "Grandmothered" insurance plans. In states that opted for transitional relief, Grandmothered plans are individual and small group plans purchased after enactment of the ACA and before October 1, 2013, that were not required to comply with certain ACA reforms. President Obama's Administration permitted transitional relief for these plans to protect millions of Americans from feeling the worst pains of the law.

The transitional relief policy was extended in March 2014 and again in February 2016. The current extension is set to expire at the end of 2017, causing millions of Americans to lose their Grandmothered plans in 2018. HHS should extend the current transitional relief policy indefinitely, which would give states the opportunity to allow individuals and small groups to maintain plans. This would provide stability, especially as plans to repeal and replace the ACA evolve.

We eagerly anticipate working with you to repeal the Affordable Care Act and replace it with sensible solutions that give states more flexibility and Americans more options. However, we recognize that this process will take time, and we implore you to do everything in your power to ensure that these millions of Americans who have been protected from Obamacare do not lose their insurance now. We respectfully request that HHS issue guidance by February 21, 2017, to extend indefinitely the transitional relief policy until Congress and the President are able to repeal and replace the ACA completely.

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