Funding issues affecting health exchanges, community health centers

Oct 7 2011

News outlets examine why some states are not pursuing funding to aid in the creation of health exchanges, and how community health centers -; targeted for expansion by the health law in order to build the health system's capacity -; are now facing cuts.

Politico Pro: States Find Exchange Funding A Tough Sell
An upcoming deadline to grab potentially tens of millions of dollars in federal funds is shaping up as the next health insurance exchange battlefield before state lawmakers wrestle with exchange legislation again next year. States have more than a year to get their exchanges ready for HHS approval, but the next three months may shed some light on how realistic that may be for some states. If states don't create an exchange, the federal government can run one for them. The states have until the end of this year to apply for a Level One establishment grant, which gives them a year of funding to plan an exchange, but doesn't obligate them to actually establish and run one. Sixteen states and D.C. have already received these grants, with California taking in the most at $39.4 million. But in a number of other states, opponents of the Affordable Care Act are stepping up their calls to reject this funding, worth millions (Millman, 10/5).

Kaiser Health News: Community Health Centers Hit Hard By Washington Deficit Cuts
Kaiser Health News staff writer Phil Galewitz, working in collaboration with The Washington Post, reports: "The applications poured in, spurred by millions of dollars in new funding included in the health law to expand primary care to the poor. A record 810 groups sought federal grants to staff and equip hundreds of new and existing community health centers" (Galewitz, 10/6).