GAO Agrees to Investigate State-Based PPACA Exchanges

The Government Accountability Office has accepted a request from Republican members of Congress to probe state-based health insurance exchanges that have been performing poorly, according to an NPR report.

The GAO will launch an investigation into the use of $304 million in federal grants that funded Oregon's exchange site, Cover Oregon, which has floundered and been unable to enroll anyone. Members of the House Energy and Commerce Committee sent a letter to the GAO last month requesting an investigation.

In response to similar requests from several members of Congress and congressional committees, the GAO has said it will broaden its investigation beyond Oregon, although the other states have not yet been determined, according to the report. Overall, 14 states and the District of Columbia opted to run their own exchanges under the Patient Protection and Affordable Care Act.

Maryland's exchange has also come under fire: Reps. Andy Harris (R-Md.) and Jack Kingston (R-Ga.) have written to HHS Inspector General Daniel Levinson requesting an investigation into the "the flagrant waste and abuse of taxpayer monies" that funded Maryland's health insurance exchange. According to the letter, the site has "serious IT defects," and state officials are considering scrapping it once the initial open enrollment period ends on March 31. Because of the technical issues, Mr. Harris and Mr. Kingston write the overall cost of Maryland's online insurance marketplace is expected to reach $261 million this year, with all but $47 million of that amount coming from the federal government.

Earlier this week, HHS announced it is expanding access to tax credits and subsidies to help cover health insurance premiums for people in states where the online exchanges have encountered significant technical problems. These states include Massachusetts and Hawaii, in addition to Oregon and Maryland.

More Articles on Health Insurance Exchanges:
HHS Expands Access to Tax Credits in States With Failed PPACA Exchanges
Republicans Investigate State-Based Exchange Sites
The Long Road to Universal Coverage: Observations on Early PPACA Enrollment Numbers 

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