By Sam Baker - 09/20/11 11:49 PM EDT
Among states’ objections: They were told that a partnership might technically have to be considered a federally run exchange. Although HHS clearly wants states to handle as much of their own exchanges as possible, a partnership would legally be considered a federal exchange. And that’s not how conservative governors want to describe the exchange to their constituents.
States also raised concerns about the merits of their options for a partnership model. They wanted a broader menu of options on the table, but HHS officials said they feared that would make the undertaking impossible.
“I just don’t know how they got it so wrong,” the attendee said of the HHS proposals.