In Brief: Sebelius Stands Firm On Medicaid Expansion; RLH Equity Invests In Chartis Group
Sebelius Stands Firm Against Partial Medicaid Expansion Under ACA
Health and Human Services Secretary Kathleen Sebelius has declined a request from governors of 11 states to allow them only partial expansions of the Medicaid program under the Patient Protection and Affordable Care Act.
The request, which included Gov. Terry Branstad of Iowa and Ohio Gov. John Kasich, was made primarily on the basis that the states could not afford the Medicaid expansion, even though the federal government would pay for all of the expansion for the first three years starting in 2014 and 90% beyond 2017. However, all of the governors are Republicans, and the GOP has been staunchly opposed to the ACA.
Several governors whose signature is on the letter, such as Louisiana Gov. Bobby Jindal, have already said they would not expand Medicaid under ACA, although some observers say this could constitute political posturing.
“The law does not provide for a phased-in or partial expansion,” HHS said in guidance accompanying Sebelius' letter to the governors.
That Sebelius has not budged from her position received support from the nation's public hospitals, which would rely heavily on the plan to expand Medicaid eligibility to 138% of the Federal Poverty Level.
“We are greatly encouraged by the Centers for Medicare & Medicaid Services' decision...to pursue an expansion of Medicaid consistent with the scope of the Affordable Care Act. The agency's guidance follows the letter and spirit of the law and takes an important step toward significantly reducing the ranks of the uninsured,” said Bruce Siegel, M.D., the chief executive officer of the National Association of Public Hospitals and Health Systems.
RLH Equity Partners Makes Investment In Chartis Group
The Chicago-based Chartis Group has received an investment from Los Angeles-based RLH Equity Partners.
The sum, which a Chartis Group spokesman declined to disclose, will be used to expand the firm's consulting business. Chartis, which was founded in 2001, has offices in Boston, New York and San Francisco in addition to the Windy City. Its clients include academic medical centers and children's hospitals, physician groups and medical schools.
“In this time of unprecedented change in U.S. healthcare, The Chartis Group is committed to expanding its services and offerings to the nation's leading healthcare providers," said Chartis co-founder Ken Graboys. “As our clients continue to lead the transformation of healthcare delivery in their communities and across the country, The Chartis Group is dedicated to continuing to grow and deepen its expertise to support them.”
RLH are the initials for Riordan, Lewis and Haden, the private equity firm whose one-time principals included former L.A. Mayor Richard Riordan and former NFL quarterback Pat Haden.