CHA News Article

House Passes Legislation to Repeal IPAB

The U.S. House of Representatives voted to repeal the Independent Payment Advisory Board (IPAB) last week on a vote of 222-181. To offset the $3.1 billion cost of the bill, the House passed accompanying medical liability reforms. The inclusion of medical liability provisions reduces the bill’s chances of passing in the Democratic-controlled Senate. In addition, President Obama has issued a veto threat if the bill makes it to his desk. IPAB was created by the Affordable Care Act as the primary mechanism for reducing growth in Medicare spending. If Medicare spending exceeds a certain growth rate, the yet-to-be-appointed 15-member IPAB would be required to develop recommendations to reduce spending, which would be implemented with little oversight by Congress. CHA has consistently opposed IPAB and supported medical liability reforms.