Office of Management and Budget Blog

Game-changers are appropriately on people’s minds as the work on health care continues on Capitol Hill. By now, close readers of the blog know that the Administration wants to make health care reform deficit neutral and bend the health care cost growth curve down in years to come. Both are critical to our fiscal future, and the latter is especially important in order to put the country on a more sustainable fiscal path.

I have written before about the economic and social imperative of expanding access to education and improving the quality of health care while slowing cost growth. Today, a new report, “America’s Children: Key National Indicators of Well-Being, 2009” was issued by the Federal Interagency Forum on Child and Family Statistics. Unfortunately, this report makes clear that more work remains to be done when it comes to children’s well-being in the areas of health care, economic circumstances, and family and social environment.

Yesterday, the federal "IT Dashboard" went online — a new, one-stop clearinghouse of information that allows anyone with a web browser to track federal IT initiatives and hold the government accountable for progress and results.

The OMB team gained another important member today as the Senate confirmed Jeff Zients to be the Deputy Director for Management (DDM). The President’s also asked Jeff to serve as the Administration’s Chief Performance Officer (CPO). I’ve blogged about Jeff before, so I won’t go through his resume again. But suffice it to say, he’s a proven leader who has an impressive record of success everywhere he’s worked. And now, with the Senate’s approval, he’s ready to get to bring his talents to public service.

Reforms that meet long-term objectives but are not scored as delivering immediate savings are often viewed with an understandable amount of uncertainty and even suspicion. That’s why it was very helpful for CBO to release a letter yesterday afternoon walking through not only some of the challenges of financing major health legislation but also the pathways to a higher-quality, lower-cost health care system over time — the proposals that could help to "bend the curve" on cost growth over the long term. In a section entitled "Policy Options that Could Produce Budgetary Savings in the Long Run," the CBO letter highlights a number of options, nearly all of which were included in the President’s Budget or have been subsequently included as part of his health reform package, that hold promise for reducing costs over the long term.

If you’re not outside enjoying the nice summer weekend and, like me, you are a health care policy wonk, there are a few important developments to be following.

One of the principles motivating the President’s Budget is that, as a nation, we haven’t been making the right investments to build a new foundation for economic prosperity — and we need smarter investments in education, health care, and social services.

Transportation Secretary Ray LaHood has organized an Administration team to run in this Saturday’s Global Race for the Cure. I’m joining with Ray and others from the Obama Administration – not only to run with friends and colleagues, but more importantly to remind all of us of the ultimate purpose of health reform: to help people enjoy better health and better lives.

As the debate about health care reform takes center stage this summer, more and more commentators will be focusing – rightly – on the impact of reform on the federal budget.

As I have written and talked about before, one of the biggest signals of inefficiency in American health care is the massive regional variation in cost and health outcomes. As the Dartmouth Health Atlas has made clear, medicine is practiced differently in different regions across the country, different cities, and even among different hospitals in the same city. And yet the higher cost areas and hospitals don’t generate better outcomes than the lower-cost ones.

This morning I was very pleased to speak at the "Best Places to Work in the Federal Government" awards breakfast—an event sponsored by the Partnership for Public Service and American University's Institute for the Study of Public Policy Implementation to honor agencies that have distinguished themselves by excelling at employee engagement and satisfaction. And, I’m happy to report that OMB placed third – tied with CBO.

I have an op-ed in the Wall Street Journal today on a topic of great personal interest and central to the nation’s future: the immense fiscal challenge of rising health care costs, and the opportunity embedded within that challenge to reduce costs in the health care system without sacrificing quality.

Media reports today are suggesting that OMB has found fault with EPA’s proposed finding that emissions of greenhouse gases from motor vehicles contribute to air pollution that endangers public health and welfare. Any reports suggesting that OMB was opposed to the finding are unfounded.

As I have said more than a few times before (even on this blog) reducing health care costs is the key to the country’s fiscal future and also to providing relief to American families from rising health care bills.