Grassley presses CMS for clarity on State Based Marketplaces

Grassley-090507-18363- 0032From Press Release


Senate Finance Committee Chairman Orrin Hatch (R-Utah) and Senate Judiciary Committee Chairman Chuck Grassley (R-Iowa) sent a letter to Centers for Medicare & Medicaid Services Acting Administrator Andrew Slavitt pressing the agency to further clarify guidance for how federal funds may be used to implement the Patient Protection and Affordable Care Act within state based marketplaces.  A recent OIG report found that SBMs might have used, and may continue to be using, federal establishment grant funds for operating expenses, contrary to the law.

“SBMs cannot be allowed to use hard-earned taxpayer dollars for expenses that are statutorily prohibited.  Moreover, given the operational challenges of SBMs nationwide, the use of grant funds to support operations is not only a prohibited use of such funds but a short term fix that delays the time before structural defects have to be addressed,” the Chairmen wrote.

The full text of the letter may be ready by clicking here.