Three former Senate majority leaders today unveiled a聽bipartisan health care reform package聽that would tax health benefits and includes individual and employer mandates.聽
The price tag for the 聽outlined聽by聽Democrat Tom Daschle,聽and Republicans Bob Dole and Howard Baker聽is estimated at聽$1.2 trillion over 10 years. The overhaul聽鈥 which they say would be budget neutral in 10 years 鈥搘ould be paid for by reforming health delivery and payment systems, slowing the cost growth of Medicare and Medicaid,聽and fining large employers who don鈥檛 offer insurance to their employees. Also, to raise聽additional聽revenue, their plan would cap聽the tax-free status of employer-provided聽benefits at the value of Congress鈥 health coverage,聽taxing benefits worth more.
鈥淗ealth care reform and universal coverage is indeed something whose time has come,鈥 Baker said, adding that by not being responsible for the politics of health care they could focus on a proposal that is actually bipartisan. 鈥淲e have no legislative writing authority, and that鈥檚 an advantage in a way.鈥
The group鈥檚 plan isn鈥檛 without its other controversies, though.
It would聽mandate that individuals carry coverage, limit out-of-pocket insurance premiums to 15 percent of income for a minimum benefits package and offer 鈥渆nhanced protections鈥 for Americans living under 400 percent of the Federal Poverty Level to be able to聽afford聽insurance.
The plan also would call on states to create public insurance plans to compete with private insurers in a marketplace known as an 鈥渆xchange.鈥
The senators said they didn鈥檛 agree on all parts of their own proposal, with Baker and Dole having a hard time accepting a public plan-like proposal as well as the mandates.聽Dole called a proposal with a public plan 鈥淒OA鈥 鈥 but the three men said they ultimately came to consensus through conversation, presumably hoping to lead by example for current senators working on bipartisan proposals.
鈥淚f we can鈥檛 compromise, how do we expect, how are we ever going to get a bill passed?鈥 Dole asked. Daschle said聽no one should expect unanimity from Democrats on any聽plan and that for any plan to pass, a number of Republicans are going to have to vote for聽reform as well. Dole said in order for the reform package聽to have credibility, it will need Republican votes.
Daschle blamed the fracturing of the bipartisan effort聽at reform on the public plan issue, but said he sees room for compromise. 鈥淲e鈥檝e come too far and gained too much momentum for our efforts to fail over disagreement on one single issue,鈥 he said.聽He believes there will be compromise on the public plan issue in 鈥渢he very near future.鈥 If it doesn鈥檛 come from his group鈥檚 idea聽for state marketplaces, it will come from other sources, he said.
The trio has no expectations for their proposal to be endorsed or accepted by the White House, Dole said, but it鈥檚 time for everyone to start being open, he said. 鈥淚f we鈥檙e getting serious about helping some poor child who鈥檚 sick and needs attention, then somebody鈥檚 going to have to give,鈥 Dole said. 鈥淎nd probably it鈥檚 better if every one puts money in the pot.鈥
The leading Senate Finance Committee members Sens. Max Baucus, D-Mont., and Chuck Grassley, R-Iowa, both issued statements commending the work of the three former senators.
Baucus said the plan would hold insurance companies鈥 鈥渇eet to the fire.鈥 The exchanges would 鈥渕ake it easier and less expensive for every American to purchase health insurance, and protects the idea of shared responsibility by employers, individuals and government 聳 both of which are critical to comprehensive health reform. And perhaps most importantly, the plan shows us a bipartisan consensus is within reach as we move toward our end goal of ensuring affordable, accessible care for every American,鈥 Baucus said.
Grassley said the trio鈥檚 blueprint聽should encourage compromise and show them that bipartisanship is possible.聽鈥淲hile I don鈥檛 agree with every element of the proposal, I appreciate its contribution to the debate that鈥檚 under way on how to improve the health care system by offering coverage to everyone, fixing the delivery system, getting control of spiraling costs, and making sure reforms are offset and don鈥檛 add to the federal budget deficit,鈥 Grassley said.