Community Catalyst Celebrates Senate Passage of the Reconciliation Package; Urges for Swift Adoption in the House
“This is a step in the right direction to address health inequity. People are looking to the House to act with similar urgency.” – Emily Stewart of Community Catalyst
FOR IMMEDIATE RELEASE
August 7, 2022
CONTACT: Gena Madow, 802-345-1191, gmadow@communitycatalyst.org
(BOSTON, MA) – Community Catalyst released the following statement celebrating the Senate passage of the reconciliation package, which makes progress towards health justice, and urging for swift adoption in the House. Specifically, the Inflation Reduction Act of 2022 brings down prescription drug prices and extends tax credits for insurance premiums, which will have a large impact on health care affordability for millions across all races and ethnicities.
Statement of Community Catalyst Executive Director Emily Stewart on the Inflation Reduction Act of 2022:
“We celebrate the Senate passage of the reconciliation package, which will make health care and prescription drugs more affordable for millions. This is a step in the right direction to address health inequity in America and people are looking for the members of the House to act with similar urgency to ensure families can get immediate relief.”
Additional Background:
- Extension of Health Insurance Subsidies: Originally set to expire this year, the American Rescue Plan Act (ARPA)’s enhanced premium tax credit subsidies, which have led to record enrollment, will be extended for three years through 2025. These enhanced Affordable Care Act subsidies have helped eliminate or reduce health insurance premiums for millions of people – making no-cost health insurance coverage available to people with incomes up to 150% of the federal poverty level and significantly reducing the cost of coverage for all people who get their coverage through ACA’s health insurance marketplaces. While people with low-incomes have seen the biggest coverage gains of any income group, they still have highest uninsured rate and comprise the largest share of uninsured people. This is especially true for Black and brown people, who face discrimination in employment and education. As a result, they are more likely to work in low-wage jobs without good benefits like health coverage. The extension of the ARPA premium subsidies is essential to ensuring access to affordable health coverage and reducing some inequities at a time when people across the country face uncertainty about being able to pay for the care they need. Along with the Biden administration’s proposal to fix the “Family Glitch,” this provision will help make affordable health coverage available to millions of children and families.
- Prescription Drug Reform & Vaccine Access: The prescription drug reforms in this bill are estimated to save $288 billion over ten years and reduce the cost of life saving drugs for millions of people. Among the bill’s most popular provisions is the requirement that the federal government to negotiate prices on some of the most expensive drugs covered by Medicare, which is widely supported by people across the political spectrum. The bill would also limit annual price increases on prescription drugs for Medicare and private insurance, imposing rebates on drug companies whose prices outpace inflation. In addition, the bill would reduce out-of-pocket costs for Medicare’s prescription drug program (Part D), expand subsidies for low-income beneficiaries, eliminate coinsurance above Medicare Part D’s catastrophic spending threshold starting in 2024, and cap out-of-pocket spending for Part D at $2,000 annually starting in 2025.
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About Community Catalyst: Community Catalyst is a leading non-profit national health advocacy organization dedicated to advancing a movement for health equity and justice. We partner with local, state and national advocates to leverage and build power so all people can influence decisions that affect their health. Health systems will not be accountable to people without a fully engaged and organized community voice. That’s why we work every day to ensure people’s interests are represented wherever important decisions about health and health care are made: in communities, state houses and on Capitol Hill. For more information, visit http://www.communitycatalyst.org. Follow us on Twitter @CommCatHealth.