Texas rejects key provisions of Obama's health law

AUSTIN, Texas (Reuters) - Governor Rick Perry said on Monday Texas will not implement an expansion of the Medicaid program or create a health insurance exchange, placing the state with the highest percentage of people without insurance outside key parts of President Barack Obama's signature law.

The announcement makes Texas the most populous state that has rejected the provisions. Some 6.2 million people are without health insurance in Texas, or 24.6 percent of the state population, the highest percentage in the nation. California has more people without insurance but a lower percentage.

Perry joined fellow Republican governors of Florida, South Carolina, Wisconsin, Mississippi and Louisiana in rejecting the two provisions of the law, according to americanhealthline.com. They hope that November elections will result in Republicans winning the White House and enough seats in Congress to repeal the law.

"I will not be party to socializing healthcare and bankrupting my state in direct contradiction to our Constitution and our founding principles of limited government," Perry said in a statement.

He sent a letter on Monday to U.S. Health and Human Services Secretary Kathleen Sebelius asking her to relay the message to Obama that Perry opposes the provisions "because both represent brazen intrusions into the sovereignty of our state."

"I stand proudly with the growing chorus of governors who reject the Obamacare power grab. Neither a 'state' exchange nor the expansion of Medicaid under this program would result in better 'patient protection' or in more 'affordable care,'" said Perry, who dropped out of the Republican presidential race in January. "They would only make Texas a mere appendage of the federal government when it comes to health care."

Sebelius spokesman Keith Maley said the department "will continue to work with states to ensure they have the flexibility and resources they need to implement" the law known formally as the Patient Protection and Affordable Care Act.

Perry, the longest-serving governor in Texas history, is a frequent critic of the Obama administration and the author of a book on states' rights called "Fed Up! Our Fight to Save America From Washington." Perry in 2009 rejected federal funding for unemployment benefits because accepting it would have required Texas to expand the number of people entitled to draw the benefits.

CALLS MEDICAID A FAILURE

Texas was one of 26 states that challenged in court the 2010 health law.

If any states resisting the healthcare plan do not create insurance exchanges, the federal government plans to set them up. The exchanges are intended to extend health coverage to an additional 16 million people, while the Medicaid expansion would broaden eligibility requirements to cover another 16 million people.

The U.S. Supreme Court last month upheld the law's individual mandate, which demands everyone who can afford to buy health insurance does so or face a fine, as constitutional.

But the court said Congress went too far in the part of the law that requires states to expand Medicaid, the federal-state health insurance program for low-income people. The court said the federal government may not take away Medicaid dollars from states that do not comply with the expansion.

On Fox News on Monday, Perry said Medicaid is a failure.

"To expand this program is like adding a thousand people to the Titanic," Perry said. "You don't expand a program that is not working already. If the federal government were serious about finding solutions, what they would do is block-grant those dollars back to the states, so states could find more efficient ways to deliver healthcare."

Anne Dunkelberg, associate director of the Center for Public Policy Priorities, an Austin group that advocates for low- and middle-income Texans, said the Medicaid expansion would extend health coverage to as many as 2 million uninsured Texans.

"Failing to expand Medicaid would squander the opportunity to pump tens of billions of dollars into our state economy and leave as many as 1.5 to 2 million of struggling Texans out in the cold without insurance coverage," she said in a statement.

Texas Democratic Party spokeswoman Rebecca Acuna called Perry's decision on Medicaid "cruel and negligent."

"Rick Perry's Texas solution is to let Texans stay ill and uninsured," Acuna said in a statement.

(Additional reporting by Jim Forsyth and Jeff Mason; editing by Bill Trott and Mohammad Zargham)

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Fed agency ranks Texas at bottom for health care

AUSTIN, Texas (AP) — Texas ranks worst in the nation in health care services and delivery, according to an annual scorecard issued by the federal Agency for Health Care Research and Quality.

In nine out of 12 categories, Texas rated weak or very weak. The only area where Texas earned the above average ranking of "strong" was in maternal and child health care measures. Out of a possible 100 points, Texas earned 31.61, while Minnesota, the highest ranking state, scored 67.31.

The agency identified 155 areas where it could compare the quality of health services across the country, such as infant mortality and obesity rates. Researchers used that data to generate both national and regional averages for each area, and they then compared each state to the national and regional averages to generate a score.

The report is designed to help politicians, policy makers, private insurers and state and federal agencies identify strengths and weaknesses in state health care programs.

Stephanie Goodman, spokeswoman for the Texas Health and Human Services Commission, said Thursday that the report goes far beyond what state agencies control, but she said it demonstrates the need to improve access to preventive health care.

"Late last year Texas received approval for a new effort that will help fund innovative local projects," she said. "Hospitals and other health care providers have come together to form regional partnerships, and they'll soon be sending the state their plans for making better use of Medicaid funds to expand access to preventive services and reduce the need for expensive emergency room care."

Texas scored particularly poorly in the home health care category, with the study finding that the state provided little support to the elderly and disabled who chose to live at home. Texas also ranked weak or very weak in preventive, acute and chronic care delivery.

The state's scores slipped from last year in treating cancer and diabetes patients.

The Texas Medicaid law for the disabled and poor offers one of the most limited health care programs in the nation, and more than 25 percent of Texans do not have health insurance of any kind, which is the highest uninsured rate in the nation.

The poor state of the Texas health care system has particular relevance as state lawmakers begin to consider how to respond now that President Barack Obama's federal health care overhaul has been upheld by the U.S. Supreme Court.

Republicans, who control every statewide office and represent a majority in the Legislature, have rejected the new federal law, which calls for almost every eligible U.S. citizen to get health insurance. Some have pledged to block any effort to expand Texas Medicaid, which is a joint state and federal program, in order to get more people insured.

Last year, Texas lawmakers underfunded Medicaid by more than $4 billion and that bill will come due when they meet again next year. Top officials have estimated that the Legislature will need to find at least $10 billion in new funding for Medicaid at a time when Gov. Rick Perry has pledged not to increase state spending.

Democrats have called on the state to close tax loopholes to raise more money for both health care and education programs.

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Rally in support of Texas Women's Health Program at Planned Parenthood in McAllen

A rally was held early Monday evening in support of the Texas Women's Health Program offered at Planned Parenthood clinics.

Julisa McCoy was a 23-year-old UTPA student who participated in the rally outside the McAllen clinic off Hackberry Street.

She's also 1 of about 6,500 women in Hidalgo County who relies on health services and contraception provided at Planned Parenthood.

"It's allowed me to seek the preventive and reproductive care that I need as a woman... as a young woman, without having to take on an additional load or responsibility which is a second job," she said.

Texas law bans Planned Parenthood from participating in the Texas Women's Health Program, federal-state Medicaid program for the poor, because the organization provides abortions.

A federal judge temporarily blocked the new Texas rule on Monday, citing it as unconstitutional.

Planned Parenthood's Hidalgo County CEO, Patricio Gonzales, says none of the clinics in the Rio Grande Valley offer abortions and calls the move to exclude the organization from funding, a political ploy.

"It does not subsidize in anyway...for that service... We can't even council on abortion with this program," he said.

"The injunction likely buys Planned Parenthood and the women they serve about 3 to 4 months before a judge rules again in the case.

The Texas Governor's Office has indicated the State will aggressively fight to keep that ban in place.

Catherine Frazier, Governor Rick Perry's Press Secretary sent this statement to Action 4 News: "Texas has a long history of protecting life, and we are confident in Attorney General Abbott's appeal to defend the will of Texans and our state law, which prohibits taxpayer funds from supporting abortion providers and affiliates in the Women's Health Program. We will continue to work with the Attorney General to pursue all available legal options."

There are fears an outright ban will burden an already fragile healthcare system and leave many of the 130,000 women enrolled in the program statewide with no basic health care and contraception.

"They would be displaced, they would not have a provider to go to," Patricio said.

Julisa has been using Planned Parenthood for the last four years.

"I don't know what I would do," she said in response to a possible ban. "I'd have to wait until the end of the month to see I have enough money... Or save enough money... Or just go without it... And it seems that more than likely it would be the latter."

The Texas Women's Health Program began in 2007 with the ban in place.

Texas only notified the federal government last year of its intent to begin enforcing the ban.

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Texas Health Resources and Healthways Announce Ten-Year Commitment to Improve Well-Being and Reduce Health-Related ...

Wed, Apr 18, 2012, 7:51 AM EDT - U.S. Markets open in 1 hr 39 mins

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Feds to stop funding Texas women's health program

HOUSTON (AP) — The federal government will stop funding a Texas health program that serves 130,000 low-income women because of a state law that bars abortion-affiliated clinics from getting public money, a top U.S. health official said Friday.

The federal money, which covers 90 percent of the state's $40 million program, will be phased out between May and September because the law violates federal regulations requiring that women have a choice in medical care, Health and Human Services Secretary Kathleen Sebelius said during a trip to Houston. That means the Women's Health Program will join a long list of programs nationwide on the chopping block because of their affiliations with Planned Parenthood or other groups that offer abortions.

The announcement came a day after Texas Gov. Rick Perry pledged to find state money to keep the program afloat, though details remain scarce about where the money would come from. Texas suffered massive spending cuts last year due to a $15 billion deficit, though a state health services official said Friday that Texas would prefer to increase its deficit than completely eliminate the program.

Perry blasted Sebelius' announcement, insisting Medicaid rules give states the right to determine which clinics are qualified to provide women's health care.

"The fact that the Obama administration would announce its decision to deny care for more than 100,000 low-income women during a press event before giving official notice to the state is a clear demonstration of the political motivation behind this decision," he said in a written statement, adding that Texas officials are still waiting for official word on the decision.

As is the case with other programs now in the national spotlight, the Women's Health Program provides cancer screenings, family planning and other women's health services. About 44 percent of women in the Texas program go to Planned Parenthood clinics, although none that accept funding from the program may perform abortions, and no federal funds are used to terminate pregnancies.

The problem in Texas is being caused by lawmakers' desire to prevent state funds from going to Planned Parenthood. The state is implementing a law that bars public funds from going to any programs, organizations or groups that are affiliated with abortions, even if they don't perform them.

After touring a hospital in Houston, Sebelius said the state law violates federal Medicaid regulations that require women be allowed to choose where they go for health care. Federal funds flowed to Texas under a waiver, but "we plan to let Texas know that that waiver will not be extended," Sebelius said.

The money will be phased out so women have time to find alternative care, she said.

The state was warned that implementing the law would jeopardize federal funding, and Texas chose not to immediately enforce it when it was passed, Sebelius added.

"They knew ... they are not allowed to deny women the right to choose," Sebelius said. "Women would be losing their doctor, their medical home, their choice."

Stephanie Goodman, spokeswoman for the Texas Department of Health and Human Services, said money to pay for the program would be diverted from others that are under budget — though she didn't offer specifics. If that doesn't cover the costs, she said, the state would increase its deficit to pay for the services because officials believe that if low-income women don't have access to birth control, the birth rate would rise and cost the state another $57 million in maternity bills.

Last year, Texas lawmakers slashed state funding for women's health and family planning programs by $73.6 million — cutting services to 160,000 women. They also took $10 million from a separate family planning budget line and shifted those responsibilities to organizations that administer Medicaid in Texas.

Now, with the expected cut in federal funds, "there's a huge gap in family planning" in Texas, Sebelius said.

State Rep. Sheila Jackson-Lee, D-Houston, said she and members of Congress are negotiating with Sebelius and federal officials to find a way to ensure that the funds don't stop flowing.

And while Sebelius said her department has been trying to work with the state to provide a solution, she didn't indicate that would happen before March 14, when the state plans to begin enforcing the law.

"We have been working with Texas. We're eager to work with Texas to find a solution," Sebelius said. "But if Texas chooses to go down a road that violates the law, we really have no choice."

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Plushnick-Masti can be followed on Twitter at https://twitter.com//RamitMastiAP.

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Associated Press writers Chris Tomlinson in Austin and Angela K. Brown in Fort Worth contributed to this story.

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Community Health Systems Announces Affiliation with Longview, Texas Multi-Specialty Clinic

FRANKLIN, Tenn.--(BUSINESS WIRE)--

Community Health Systems, Inc. (NYSE: CYH - News) announced today that a subsidiary of the Company has merged operations with Diagnostic Clinic of Longview, P.A., a large multi-specialty clinic serving residents of Longview, Texas, and surrounding East Texas communities. More than 100 physicians, 30 mid-level providers and 500 other employees of the practice provide quality care at 18 area locations. In accordance with Texas law, the physicians of Diagnostic Clinic of Longview are employed by a separate entity.

This transaction creates the foundation for a new integrated healthcare delivery system with Longview Regional Medical Center, which is owned by a separate subsidiary of Community Health Systems, Inc.

Commenting on today’s announcement, Wayne T. Smith, chairman, president and chief executive officer of Community Health Systems, Inc., said, “As we continue to build strong networks across the communities that we serve, we reinforce our commitment to provide quality, accessible healthcare services and efficient, coordinated patient care. These networks support clinical excellence through collaboration among providers and enhance our operating strategies to help position our affiliates for long-term success and growth.”

Located in the Nashville, Tennessee, suburb of Franklin, Community Health Systems, Inc. is one of the largest publicly-traded hospital companies in the United States and a leading operator of general acute care hospitals in non-urban and mid-size markets throughout the country. Through its subsidiaries, the Company currently owns, leases or operates 134 hospitals in 29 states with an aggregate of approximately 20,000 licensed beds. Its hospitals offer a broad range of inpatient and surgical services, outpatient treatment and skilled nursing care. In addition, through its subsidiary, Quorum Health Resources, LLC, the Company provides management and consulting services to non-affiliated general acute care hospitals located throughout the United States. Shares in Community Health Systems, Inc. are traded on the New York Stock Exchange under the symbol “CYH.”

Forward-Looking Statements

Statements contained in this news release regarding expected operating results, acquisition transactions or divestitures and other events are forward-looking statements that involve risk and uncertainties. Actual future events or results may differ materially from these statements. Readers are referred to the documents filed by Community Health Systems, Inc. with the Securities and Exchange Commission, including the Company’s annual report on Form 10-K, current reports on Form 8-K and quarterly reports on Form 10-Q. These filings identify important risk factors and other uncertainties that could cause actual results to differ from those contained in the forward-looking statements. The Company undertakes no obligation to revise or update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.

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Battle Over Women's Health in Texas

During the recent controversy involving Komen for the Cure and Planned Parenthood, all roads led back to Texas. The Texas Tribune's Thanh Tan reports on why the state is essentially ground zero in the battle over women's health.

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