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Jun 21 2013

Senators Request GAO Probe CO-OP Projects Under Health Reform Law

Yesterday, five Senators of key health care and oversight committees asked the GAO to explore funded CO-OP projects under the Affordable Care Act. Senators Coburn, Hatch, Alexander, Enzi, and Burr wrote a letter asking the GAO to examine the effectiveness of CO-OPs in covering the uninsured, providing lower-cost plans, and repaying loans from the U.S. Department of Health and Human Services. The Senators noted the Congressional Budget Office projected CO-OPs would have, as they summarized, “no meaningful impact on reducing the number of the uninsured,” and expressed skepticism regarding the overall value of CO-OPs under the law. They asked for an update on HHS oversight of funded projects and asked GAO to specific the “preferential market, funding, regulatory, or other governmental advantages” CO-OPs may receive compared with commercial plans.

Dr. Coburn has previously outlined his concerns with CO-OPs under the law in a report, available here (see page 30).

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