Posts Tagged ‘Congressional Budget Office’

Congress’s Secret Plan to Pass Obamacare

Thursday, October 1st, 2009

Congress’s Secret Plan to Pass Obamacare

by Brian Darling

Brian Darling is director of U.S. Senate Relations at The Heritage Foundation.

President Obama and liberals in Congress seem intent on passing comprehensive health care reform, even though polls suggest it is unpopular with the American people. And despite the potential political risks to moderate Democrats, the President and left-wing leadership in Congress are determined to pass the measure using a rare parliamentary procedure.

The Senate plans to attach Obamacare to a House-passed non-healthcare bill. Ironically, nobody knows what that legislation looks like, because it has not yet been written. Yet many members plan to rubber-stamp Obamacare without reading or understanding the bill.

The Senate Finance Committee worked furiously last week to mark up a “conceptual framework” of health care reform. The committee actually rejected an amendment by Sen. Jim Bunning (R.-Ky.) to mandate that the bill text and a final cost analysis by the Congressional Budget Office (CBO) be publicly available at least 72 hours before the Finance Committee votes on final passage.

The following four-step scenario describes one way liberals plan to work the rules in their favor to get Obamacare through the Senate:

Step 1: The Senate Finance Committee must first approve the marked-up version of Sen. Max Baucus’ (D.-Mont.) conceptual framework. Then Senate Majority Leader Harry Reid (D.-Nev.) can say that two Senate Committees have passed a health care bill, which will allow him to take extraordinary steps to get the bill on the Senate floor.

During the mark-up last week, members had difficulty offering amendments and trying to make constructive changed because they lacked actual legislative text and Baucus made unilateral last minute changes. For example, the AP reported that “under pressure from fellow Democrats, the chairman of the Senate Finance Committee decided to commit an additional $50 billion over a decade toward making insurance more affordable for working-class families.”

Step 2:  Sen. Reid will take the final product of the Senate Finance Committee and merge it with the product of the Senate Health, Education, Labor and Pensions (HELP) Committee, which passed on a party-line vote in July.

Usually, a bill is voted out of committee, and then the Senate takes up the final product of the committee so that all 100 senators can have a hand in the process. With some help from the Obama administration, Reid will decide what aspects of the HELP and Finance Committee bills to keep.

Step 3:  Now, Obamacare will be ready to hitch a ride on an unrelated bill from the House. Sen. Reid will move to proceed to H.R. 1586, a bill to impose a tax on bonuses received by certain TARP recipients. This bill was passed by the House in the wake of the AIG bonus controversy and is currently sitting on the Senate Legislative Calendar.

The move to proceed needs 60 votes to start debate. After the motion is approved, Sen. Reid will offer Obamacare as a complete substitute to the unrelated House-passed bill. This means that the entire healthcare reform effort will be included as an amendment to a TARP bill that has been collecting dust in the Senate for months.

Step 4: For this strategy to work, the proponents would need to hold together the liberal caucus of 58 Democrats (including Paul Kirk who was named last Thursday to replace Sen. Kennedy), and the two Independent senators (Joe Lieberman of Connecticut and Bernie Sanders of Vermont).  These members will have to all hold hands and vote against any filibuster. Once the Senate takes up the bill, only a simple majority of members will be needed for passage. It’s possible one of the endangered moderate Democrats, such as Sen. Blanche Lincoln (Ark.), could vote to stop a filibuster then vote against Obamacare so as not to offend angry constituents.

Once the Senate passes a bill and sends it to the House, all the House would have to do is pass the bill without changes and President Obama will be presented with his health care reform measure. If this plan does not work, the Senate and House leadership may go back to considering using reconciliation to pass the legislation.

Adopting this secret plan will not strike most Americans as a transparent, bipartisan, effective way to change how millions of Americans get their health care.


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Perils of Obamacare: The Three Big Lies

Saturday, August 15th, 2009

This is from Cato.org

In making his case for a government takeover of the US health-care system, President Obama is going far beyond the usual Washington truth-stretching.

Take a look at just a few of the most common claims:

“If you like your current health-care plan, you can keep it.” Even White House spokesmen have said that Obama’s oft-repeated pledge that you can keep your current insurance isn’t meant to be taken literally. The reality is that millions of Americans — perhaps most Americans — will be forced to change insurance plans.

First, the president supports an individual mandate — a requirement that every American buy health insurance. And not just any insurance but insurance that includes all the benefits government thinks you should have. That insurance could be more expensive or include benefits that people don’t want or are morally opposed to, such as abortion services.

And that doesn’t just affect those without insurance today. The bills now before Congress say that while you won’t be immediately forced to switch from your current insurance to a government-specified plan, you’ll have to switch to satisfy the government’s requirements if you lose your current insurance or want to change plans.

Plus, the president supports the creation of a government insurance program that would compete with private insurance. But because this ultimately would be subsidized by American taxpayers, the government plan could keep its premiums artificially low or offer extra benefit.

In the end, millions of Americans would be forced out of the insurance they have today and into the government plan. Businesses, in particular, would have every incentive to dump their workers into the public plan. The actuarial firm the Lewin Group estimates that as many as 118.5 million people, roughly two-thirds of those with insurance today, would be shifted from private to public coverage.

“You will pay less.” The Congressional Budget Office has made it clear that the reform plans now being debated will increase overall health-care costs, yet President Obama on Friday repeatedly said that his reform would reduce costs and save Americans money.

But no matter how many times he says it, the truth is you will pay more — much more — both in higher taxes and in higher premiums.

The final health-care bill is expected to cost more than $1 trillion over the next 10 years. That means much higher taxes, and not just for the wealthy.

If one totals up all the new taxes in the House Democratic health-reform bill — the income surtax, the penalties on businesses and individuals that fail to buy into the government health plan, as well as other fees and taxes — the cost to US taxpayers will top $800 billion. New York City will face marginal tax rates as high as 57 percent.

At a time of rising unemployment and economic stagnation, that is like throwing an anchor to a drowning man.

In addition, the new insurance regulations expected to be part of the final bill are likely to drive up insurance premiums. And, if the new government-run plan under-reimburses doctors and hospitals — as Medicare and Medicaid do — providers would be forced to recoup that lost income by shifting their costs to private insurance, driving up premiums. A study by the Council for Affordable Health Insurance estimates that the president’s proposals could increase premiums by 75 to 95 percent.

“Quality will improve.” Anyone who thinks a government takeover of the health-care system will improve quality of care has only to look at the health-care programs the government already runs: The Veterans Administration is overwhelmed with problems, Medicaid is notorious for providing poor quality at a high cost — and Medicare has huge gaps in coverage.

Worse, however, on Friday, Obama endorsed the creation of a government board with the power to dictate how your doctor practices medicine and all but endorsed the rationing prevalent in nationalized health-care systems around the world.

In short, when it comes to claims about the wondrous new world of government-run health care, a bit of skepticism might be in order.

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