2012 August Health Care News

In a result that surprised both the left and the right, the U.S. Supreme Court ruled the individual mandate at the heart of President Barack Obama’s health care law is constitutional, not on the basis of the Commerce Clause, but as a tax--an argument the White House itself had not advanced before the Supreme Court. The August issue of Health Care News summarizes the decision and reports initial reactions.

Also in this issue:

• Rep. Dave Camp, chairman of the House Committee on Ways and Means, is asking whether the White House has used Obama’s health care law to direct hundreds of millions of dollars in support to political allies ineligible to receive it.

• Despite Virginia Gov. Bob McDonnell’s commitment to halt the insurance exchange mandated under Obama’s law, his administration is laying groundwork for implementation.

• Paying cash for services at hospitals in California brings significant discounts.

• The New Hampshire state legislature has sent the governor a bill blocking attempts to implement Obama’s law.

• Consumer-directed health care plans are among the most popular insurance products on the market, acquiring increasing market share despite being hamstrung by federal policies.

• The Illinois legislature passed a Medicaid reform and tax package that raises cigarette taxes by $1 per pack to help address a $2.7 billion shortfall.