November 3, 2009 (8:35 p.m.)
Amendment in the Nature of a Substitute to H.R___________
Summary of Republican Alternative Health Care Plan updated 11/4/09
Is this the health care plan ththat the REpublicans have put forth for America. They state without adding to the crushing debt Washington has placed on our children and grandchildren. I would love to see how they might try and pull that off...
CBO finding on Republican Health Care Bill 11/04/09
CBO: Republican health plan would reduce premiums, cut deficit
By: Susan Ferrechio
Chief Congressional Correspondent
11/05/09 6:30 AM EST
The Congressional Budget Office Wednesday night released its cost analysis of the Republican health care plan and found that it would reduce health care premiums and cut the deficit by $68 billion over ten years.The Republican plan does not call for a government insurance plan but rather attempts to reform the system by creating high-risk insurance pools, allowing people to purchase health insurance policies across state lines and instituting medical malpractice reforms.
"Not only does the GOP plan lower health care costs, but it also increases access to quality care, including for those with pre-existing conditions, at a price our country can afford," House Minority Leader John Boehner, R-Ohio, said.
According to CBO, the GOP bill would indeed lower costs, particularly for small businesses that have trouble finding affordable health care policies for their employees. The report found rates would drop by seven to 10 percent for this group, and by five to eight percent for the individual market, where it can also be difficult to find affordable policies.
The GOP plan would have the smallest economic impact on the large group market that serves people working for large businesses that have access to the cheapest coverage. Those premiums would decline by zero to 3 percent, the CBO said.
The analysis shows the Republican plan would do little to expand coverage, which Democrats were quick to point out in a late night missive to reporters.
"Here's the Bottom line - Americans lose and Insurance companies win under the Republican plan," Pelosi spokesman Nadeam Elshami said.
The CBO found that under the Republican plan, insurance coverage would increase by about 3 million and that the percentage of insured non-elderly adults would remain at about 83 percent after ten years. The House bill would increase coverage to an additional 36 million people, raising the number of insured to 96 percent.
The CBO put the price tag for the GOP plan at $61 billion, a fraction of the $1.05 trillion cost estimate it gave to the House bill that lawmakers are set to vote on this weekend. And the CBO found that the Republican provision to reform medical malpractice liability would result in $41 billion in savings and increase revenues by $13 billion by reducing the cost of private health insurance plans.
Congressional Budget Office Thrashes Republican Health-Care Plan
Republicans are learning an unpleasant lesson this morning: The only thing worse than having no health-care reform plan is releasing a bad one, getting thrashed by CBO and making the House Democrats look good in comparison.
Late last night, the Congressional Budget Office released its initial analysis of the health-care reform plan that Republican Minority Leader John Boehner offered as a substitute to the Democratic legislation. CBO begins with the baseline estimate that 17 percent of legal, non-elderly residents won't have health-care insurance in 2010. In 2019, after 10 years of the Republican plan, CBO estimates that ...17 percent of legal, non-elderly residents won't have health-care insurance. The Republican alternative will have helped 3 million people secure coverage, which is barely keeping up with population growth. Compare that to the Democratic bill, which covers 36 million more people and cuts the uninsured population to 4 percent.
But maybe, you say, the Republican bill does a really good job cutting costs. According to CBO, the GOP's alternative will shave $68 billion off the deficit in the next 10 years. The Democrats, CBO says, will slice $104 billion off the deficit.
The Democratic bill, in other words, covers 12 times as many people and saves $36 billion more than the Republican plan. And amazingly, the Democratic bill has already been through three committees and a merger process. It's already been shown to interest groups and advocacy organizations and industry stakeholders. It's already made its compromises with reality. It's already been through the legislative sausage grinder. And yet it saves more money and covers more people than the blank-slate alternative proposed by John Boehner and the House Republicans. The Democrats, constrained by reality, produced a far better plan than Boehner, who was constrained solely by his political imagination and legislative skill.
This is a major embarrassment for the Republicans. It's one thing to keep your cards close to your chest. Republicans are in the minority, after all, and their plan stands no chance of passage. It's another to lay them out on the table and show everyone that you have no hand, and aren't even totally sure how to play the game. The Democratic plan isn't perfect, but in comparison, it's looking astonishingly good.
By Ezra Klein | November 5, 2009; 8:15 AM ET
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