Dear friend:
Reforming and improving health care is a good thing to do—cutting Medicare, raising taxes, and creating a government-run health care program are not the way to do it. That’s exactly what the massive health bill released in the House earlier today does.
The government’s recent track record in implementing programs doesn’t give me a lot of faith in its ability to deliver quality, affordable health care. Cash for clunkers, the economic stimulus package, and the H1N1 vaccine distribution program are examples of how expensive and inefficient programs can become when the government is in charge of them.
Unfortunately, the bill introduced today is not the product of bipartisan work. It is 1,990 pages long, and was created by the Democratic leadership behind closed doors with no input except for those in the room, even from members of their own party. There are viable, bipartisan health care reform alternatives that have not seen the light of day. This is a disappointing day for our democratic system.
Below I have outlined a preliminary summary of this latest health plan to give you a sense of what is included in the nearly 2,000 pages. I will post more details on my website at http://www.thornberry.house.gov/ in a few days. Just click on the “Health Care” button on the left side of the home page for a more in-depth analysis. I also have provided links to my health care proposals, Republican alternatives, and the bill released earlier.
This latest health reform bill is troubling. The good news is the fight for common-sense health care reform is not yet over. The American people are engaged, they know what’s at stake. Let’s hope all of their elected representatives are listening.
Sincerely,
Mac Thornberry
Member of Congress
Increased Government Regulation and Bureaucracy:
• This new bill includes a government-run health insurance plan that many believe could eventually replace private health insurance.
• Establishes the “Health Choices Administration” that will be run by "Health Choices Commissioner" appointed by the President.
o This agency will mainly be charged with determining care standards for insurance plans and establishing and operating the new national insurance exchange.
o The "Health Choices Commissioner" will be able to collect any data necessary to carry out his or her duties and share this information with the U.S. Department of Health and Human Services.
New Taxes:
• A new 5.4% surcharge will be placed on individuals making more than $500,000 a year.
• A new 2.5 % tax on medical devices like heart pacemakers, hearing aids, powered wheelchairs, and even artificial hips and hearts. This tax will first be placed on manufacturers who sell the medical devices and passed on to consumers.
• Employers who do not offer government-mandated coverage will have to pay a new 8% tax penalty.
o Exempted “small employers” only includes those with an annual payroll below $500,000.
• A new 2.5% tax penalty on certain individuals who do not acquire newly-mandated coverage.
Changes in Medicare and Medicaid:
• This bill cuts Medicare and Medicaid, including reductions in Medicare Advantage and Medicaid disproportionate share hospital (DSH) payments that go to hospitals that treat large numbers of low-income and Medicaid patients. Nearly every hospital in Texas will be affected.
• At the same time, the House bill will expand the number of people covered by Medicaid to include those making up to 150 percent of the federal poverty level, or about $33,000 for a family of four, increasing the number of eligible beneficiaries.
The Next Step:
• The Democratic Majority has announced this health care bill could be voted on as early as the first Friday in November.
• The Senate has yet to introduce its final version of a health care reform bill. If a separate bill does make it through the House and Senate, they will still have to meld these two versions into a single piece of legislation.
• A more detailed summary will be posted at http://www.thornberry.house.gov/ in a few days.
Read the Bills:
• Click here to read Mac’s health care bills.
• Click here to read about Republican alternatives to health care reform.
• Click here to read the text of the Democrats’ latest health care bill.
