Arrington outlines plan for lower health care costs through budget reconciliation

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Jodey Arrington - Chairman of the House Budget Committee | Official U.S. House headshot

Arrington outlines plan for lower health care costs through budget reconciliation

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In a recent op-ed published by RealClearHealth, House Budget Committee Chairman Jodey Arrington (R-Texas) outlined his plan to address rising health care costs through the budget reconciliation process. Arrington criticized Democratic approaches and advocated for reforms focused on competition, transparency, and personal responsibility.

Arrington highlighted the passage of the "One Big Beautiful Bill" last year, stating that it resulted in tax cuts for families and more than $1 trillion in health care savings. He emphasized that this legislation reduced premiums for the first time since the Affordable Care Act was enacted.

"That success was not an endpoint. It was a down payment on a more solvent future," Arrington wrote. He argued that current Democratic policies have failed to deliver affordability and instead led to higher premiums and deductibles.

Arrington referenced former President Trump's proposed "The Great Healthcare" plan, which he said is based on four main goals: lowering drug prices, reducing insurance premiums, holding insurance companies accountable, and increasing price transparency. According to Arrington, these principles enjoy bipartisan support but require legislative action if cooperation cannot be achieved across party lines.

"With reconciliation, we can rise above the Washington dysfunction and make health care truly affordable for the American people," he stated.

Arrington called for increased competition in the health care sector by addressing monopolistic practices among insurers and hospitals. He suggested requiring insurers and providers to publicly post their prices so patients can compare costs before receiving services. He also advocated for site-neutral payment reform to equalize Medicare rates regardless of service location—a change he said could save taxpayers $150 billion.

"Hospitals routinely buy up physician practices and jack up rates for routine services that can be safely and effectively provided outside a hospital setting. Site-neutral payment reform would terminate that scam by equalizing Medicare payment rates regardless of where the service is provided—saving taxpayers $150 billion," Arrington wrote.

He also promoted expanding Health Savings Accounts (HSAs) as a way to give families greater control over their health care spending: "We've already expanded HSA eligibility in the One Big Beautiful Bill, so its benefits are within the reach of more Americans. Now we should go further, making HSAs the foundation of a patient-centered system, not an afterthought."

Arrington concluded by stating: "Through reconciliation 2.0, we can save our health care system and our nation’s balance sheet before we bankrupt the American people and our children’s future."

The House Budget Committee plays a key role in federal fiscal policy oversight by managing federal spending guidelines and promoting fiscal responsibility through long-term planning (official website). The committee is part of the U.S. House of Representatives and includes members from other major committees such as Ways and Means and Appropriations (official website). It has influenced budget management using processes like reconciliation (official website) since its establishment in 1974 (official website).

Arrington currently serves as chairman of this committee (official website), which operates out of Washington, D.C., prepares annual budget resolutions, sets spending targets (official website), collaborates with agencies such as the Congressional Budget Office (official website), and maintains oversight within government fiscal policy (official website).

Republicans on the committee intend to continue pursuing reforms aimed at protecting taxpayer dollars while seeking ways to reduce federal health spending.

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