The mid-term election brings an historic changing of the guard in the health care leadership in Congress.  Republicans will take control of the Senate in January and gain key chairmanships.  Senior Democrats like Senators Harkin and Rockefeller, and Representatives Dingell and Waxman, who have been leaders on health policy issues for decades, are retiring.  Congress is losing a deep well of institutional and health care policy expertise, but new leadership may open up opportunities that did not exist previously.

Republicans’ top health care goal is to repeal the Affordable Care Act (ACA), but given Senate rules, the Presidential veto power, and internal divisions within the Republican party, these efforts may produce relatively modest results. 

Soon-to-be Senate Majority Leader McConnell said the day after the election that he would prefer to repeal the “deeply unpopular” law, but that he does not have the 60 votes necessary to do so.  An estimated ten million previously uninsured individuals have gained health care coverage over the past year, and the health care industry, seems to be faring fairly well under the law.  Some Republicans are wary of full repeal because of the challenge of how to “replace” that coverage. 

In response to pressure from the conservative wing of the Republican Party, Senator McConnell will likely schedule a symbolic vote for full repeal early in the session.  President Obama made it clear the day after the election that he would veto a repeal bill in the unlikely event that Congress sent him one. 

Republicans could have greater success changing the ACA with a piecemeal approach pursued through budget reconciliation or by including amendments in must-pass appropriations bills.  Reconciliation requires only a majority vote, but even reconciliation will be complicated by the need to comply with the Byrd rule, which requires provisions to have a meaningful budgetary impact.  Likely ACA amendments include: 

  • A repeal of the 2.3% medical device tax;
  • Limiting the employer mandate by changing the definition of full-time employment from 30 to 40 hours a week; and
  • Creating additional exemptions from the individual mandate.

Some of these changes will be expensive.  The Congressional Budget Office estimates that the 40 hour workweek change would cost $46 billion over 10 years and eliminating the medical device tax would cost about $29 billion.  Republicans will have to decide whether and how to pay for these changes.

Look for health care to be a focus in the Senate next year. The critical question is whether anything significant will result, or whether there will be lots of wheel spinning that will divert the world’s greatest deliberative body from other pressing matters.

Photo of Holly Fechner Holly Fechner

Holly Fechner advises clients on complex public policy matters that combine legal and political opportunities and risks. She leads teams that represent companies, entities, and organizations in significant policy and regulatory matters before Congress and the Executive Branch.

She is a co-chair of…

Holly Fechner advises clients on complex public policy matters that combine legal and political opportunities and risks. She leads teams that represent companies, entities, and organizations in significant policy and regulatory matters before Congress and the Executive Branch.

She is a co-chair of the Covington’s Technology Industry Group and a member of the Covington Political Action Committee board of directors.

Holly works with clients to:

  • Develop compelling public policy strategies
  • Research law and draft legislation and policy
  • Draft testimony, comments, fact sheets, letters and other documents
  • Advocate before Congress and the Executive Branch
  • Form and manage coalitions
  • Develop communications strategies

She is the Executive Director of Invent Together and a visiting lecturer at the Harvard Kennedy School of Government. She serves on the board of directors of the American Constitution Society.

Holly served as Policy Director for Senator Edward M. Kennedy (D-MA) and Chief Labor and Pensions Counsel for the Senate Health, Education, Labor & Pensions Committee.

She received The American Lawyer, “Dealmaker of the Year” award in 2019. The Hill named her a “Top Lobbyist” from 2013 to the present, and she has been ranked by Chambers USAAmerica’s Leading Business Lawyers from 2012 to the present. One client noted to Chambers: “Holly is an exceptional attorney who excels in government relations and policy discussions. She has an incisive analytical skill set which gives her the capability of understanding extremely complex legal and institutional matters.” According to another client surveyed by Chambers, “Holly is incredibly intelligent, effective and responsive. She also leads the team in a way that brings out everyone’s best work.”