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News in brief - Aug. 23, 2010


Arizona group sues to bar health reform law - More rebate checks go out to Part D beneficiaries - New federal primary care grants announced


Arizona group sues to bar health reform law

The Goldwater Institute, a conservative watchdog group, has sued to block the national health system reform law on behalf of a small-business man and more than 30 state and federal lawmakers from Arizona.

The Aug. 12 lawsuit is the latest attempt to prevent Americans from being required to have health insurance or pay a tax penalty, a provision of the health reform law taking effect in 2014. "This is the most overbearing and intrusive way possible to try to address America's rising health care costs," Clint Bolick, litigation director for the Goldwater Institute, said in a statement.

The lawsuit's lead plaintiff, Nick Coons of Tempe, Ariz., owns a computer consulting and servicing company and is the Libertarian candidate for Arizona's 5th congressional district. He said he wants to continue to pay for health care out of his own pocket.

"Is a stranger who works for the government in some other part of the country really going to know what I need?" Coons asked.

The lawsuit was filed in the U.S. District Court of Arizona and names President Obama, Treasury Dept. Secretary Tim Geithner, Attorney General Eric Holder, and Health and Human Services Secretary Kathleen Sebelius as defendants.

Coons is joined in the lawsuit by Arizona Republican Reps. Jeff Flake, Trent Franks, and John Shadegg and 29 state legislators. At least 21 states have filed or joined other lawsuits against the health reform law. Information about the latest lawsuit is online (www.goldwaterinstitute.org/coonsvgeithner).

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More rebate checks go out to Part D beneficiaries

A third round of tax-free $250 rebate checks has been mailed to eligible Medicare Part D beneficiaries whose drug costs had built up to a point that they hit the drug coverage gap known as the "doughnut hole."

More than a quarter of Medicare drug plan enrollees hit the doughnut hole, causing many to stop following their drug regimens, according to the Dept. of Health and Human Services. Officials said the rebate checks will help seniors avoid having to make difficult decisions about their expenses.

"Often, seniors reach the doughnut hole because they are on costly medications to help them manage their chronic conditions, such as high blood pressure or diabetes," Kathy Greenlee, HHS assistant secretary for aging, said in an Aug. 10 statement. "These checks will help America's seniors afford the medications they need to manage those illnesses, keeping them healthy and improving their quality of life."

The rebate checks are the first step in a phasing out of the Part D coverage gap. In 2011, beneficiaries who hit the gap will receive a 50% discount on their brand-name medications, officials said.

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New federal primary care grants announced

Up to $250 million in grants to boost primary care services are now available as part of a federal program to help set up "new access points," or sites that provide comprehensive primary and preventive care.

The funds will be awarded by the Health Resources and Services Administration, officials announced Aug. 9. New access points will improve health status and decrease health disparities of medically underserved populations, officials said.

Organizations eligible to compete for the money include community-based groups that meet health center funding requirements. "Competitive applications will demonstrate a high level of need in the community, present a sound proposal to meet this need and show that the organization is ready to quickly put their proposal to work," said HRSA Administrator Mary Wakefield, PhD, RN.

This content was published online only.

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