- About PS&F
- Industry Focus
- Client Tools
- Education & Events
- Case Studies
October 18, 2011
The Secretary of Health and Human Services, Kathleen Sebelius, released a report to Congress October 14th regarding its analysis of the CLASS Act-the long-term care program passed as part of the Affordable Care Act (ACA). In a letter sent with the report, Sebelius announced the Administration has decided not to move forward with the implementation of the CLASS program.
In the letter, Sebelius states, “In 2009, the actuary at [CMS] released a report to Congress…that raised concerns about the (CLASS) program’s viability. Because of such concerns, the law passed by Congress required me to design a plan that would be actuarially sound and financially solvent for at least 75 years.” HHS has concluded that it cannot certify the plan’s long-term financial viability as currently structured. As a result of this decision, for all practical purposes, the CLASS Act is dead.
The Secretary’s letter can be read in its entirety at http://www.hhs.gov/secretary/letter10142011.html
The views and opinions expressed within are those of the author(s) and do not necessarily reflect the official policy or position of Parker, Smith & Feek. While every effort has been taken in compiling this information to ensure that its contents are totally accurate, neither the publisher nor the author can accept liability for any inaccuracies or changed circumstances of any information herein or for the consequences of any reliance placed upon it.