WASHINGTON, June 19, 2009

House Dems Attempt Health Care For All

Obama Says House Proposal "Major Step" In Right Direction, Won't Approve A Bill With A Heavy Price Tag

  •  (AP)

  • Only On The Web Your Health In Focus

    CBS News Medical Correspondent Dr. Jon LaPook hosts a weekly show, CBS Doc Dot Com, all about health issues.

(AP)  Trying to regain momentum on a core issue of Barack Obama's presidency, House Democrats on Friday unveiled legislation they said would cover virtually all the nearly 50 million uninsured Americans.

Major provisions of the draft bill would impose new responsibilities on individuals and employers to get coverage, end insurance company practices that deny coverage to the sick and create a new government-sponsored plan to compete with private companies.

But it remained far from clear how the Democrats intend to pay for their plan, even as they vowed to take the legislation to the House floor by the end of July. Lawmakers got sticker shock this week after budget analysts estimated costs of $1 trillion-plus on just partial plans.

"If there is one thing that is off the table, it is saying 'no' to health care reform," said Rep. George Miller, D-Calif., chairman of the House Education and Labor Committee, one of three panels involved in writing the legislation.

The House leaders' news conference capped a week in which the health care overhaul effort seemed to stumble at the starting line.

Cost estimates forced lawmakers to revise their draft proposals. Democrats and Republicans dug in for partisan trench warfare. Tense divisions emerged among Democrats. And delays seemed inevitable.

The whole enterprise is "basically a gridlock," Sen. John McCain, R-Ariz., said Friday.

"This is not reform," added McCain, Obama's opponent in last year's presidential election. "This is why we should start over."

But Democrats had another description for the scene playing out across the Capitol: They called it the legislative process.

"This is just tedious hard work," said Sen. Kent Conrad, D-N.D. "It's just slogging through options."

White House press secretary Robert Gibbs dismissed suggestions that the drive for health care overhaul had faltered, arguing that he heard similar dire warnings about the stimulus measure, the budget and a supplemental war spending bill - measures that Congress eventually passed.

"We continue to put one foot in front of the other in the march toward health care reform," Gibbs told reporters.

He later added: "The president is not going to sign a health care bill that increases the size of the deficit."

Amid the heightened anxiety, the shape of the debate got a lot clearer.

On one side is the House Democrats' sweeping health care bill. It would require all individuals to obtain health insurance and force employers to offer health care to their workers, with exemptions for small businesses. A new public health insurance plan, strongly opposed by Republicans, would compete with private companies within a new health care purchasing "exchange" where Americans could shop for coverage.

Government subsidies would help the poor buy care, and seniors in the Medicare program would pay less for their prescription drugs.

The House Democratic bill, released by the chairmen of the three committees with jurisdiction - Ways and Means; Energy and Commerce; and Education and Labor - left out key details of how it would be paid for.

Democrats are considering everything from taxing soda, to raising income taxes on upper income people earning more than $200,000, to a federal sales tax.

Obama, in a brief statement from the White House, said the proposal "would improve the affordability, availability and quality of health care and represents a major step toward our goal of fixing what is broken about health care while building on what works."

Even before the Democrats' news conference ended, Republican National Committee Chairman Michael Steele issued a statement warning that the Democrats' "health care taxfest will include higher taxes on Medicare, soft drinks, alcohol, employers - even a new national sales tax. All of this despite the president's promise to voters during the campaign that he would not raise taxes on 95 percent of taxpayers and would make health care cost less."

On the other side is the House Republican plan, which would focus on trying to help small businesses and self-employed individuals find private coverage.

Searching for the elusive middle ground are a small group of senators on the Senate Finance Committee, which had to scale back its initial plan when cost estimates topped $1.6 trillion.

The end result may be a bill that's more affordable but covers fewer of the nearly 50 million uninsured. It's too early to tell what will emerge.

On the other side of the Capitol, two Senate committees were going in separate directions on their health care bills. The Health, Education, Labor and Pensions Committee resumed work Friday on an expansive bill reflecting Democratic priorities, while members of the Finance Committee were laboring to produce legislation that could attract Republican support.

To that end, Finance Committee senators were looking at leaving a new public insurance plan out of their bill, instead creating nonprofit co-ops to offer insurance in competition with private companies, according to an outline obtained by the AP. The co-ops could accept federal loans for start-up operations but would have to repay the money.

Struggling to pare their bill from an earlier $1.6 trillion cost estimate to about $1 trillion over 10 years, Finance Committee members pared back proposed federal subsidies for the uninsured. The earlier draft would have helped people making up to four times the federal poverty level, or about $88,000 for a family of four. The new plan: limit insurance subsidies to those making up to $66,000.






© MMIX The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.
Add a Comment
by didserve June 19, 2009 5:38 PM EDT
get the insurance companies out of health care


there is a difference in health care and health insurance!

there is no zero sum game here

America wants health care

not health insurance
Reply to this comment
by starleo146 June 20, 2009 11:19 AM EDT
You are right ,the insurance co. have lots of money to fight anything against them offering health care ,and our congress and senate who get campaign money and God knows what else from them will not go against them. That is it in a nutshell a health care system that doesn't eat the Americans pay up could be arrived at, but the money hungry representatives will not succumb to the lobbyist.They can call Obama this and that over this but folks it is just like the gun lobby NRA they have money and can hurt their reelection, and that is more important to them then the people they are suppose to represent. What kills me is when they go to the press with their excuses as to why they couldn't get it through. CON men every one of them.We have become much smarter to their ways and to change this we have to change them give them a 2 term and they have to go just like the president, then we won't have these old codgers in there walking around in a daze making laws for us, maybe then we can have a republican and democratic Congress that will accomplish something.This just a idea that I hope catches on.
by payasyougo June 19, 2009 4:40 PM EDT
Nationalized Medicare Refinancing.

Lets just call it like it is.

- No facts on how it will work
- It won't cover everyone.
- Don't know how it will work or who it will cover but we know the cost
- We'll get "efficiencies" by combining it with medicare - don't know what those efficiencies are or who they are by or the actual cost savings but...

...any proposed solution from congress must be combined w/ Medicare/Medicaid (which are going broke by the way) and will cost at least a trillion dollars and oh by the way won't cover everyone.

You can put lipstick on this attempt to Refinance Medicare but it doesn't change what's underneath.

Congress doesn't know how to do anything honestly. Throw the lot out.
Reply to this comment
by drsuz June 19, 2009 4:22 PM EDT
This is totally ridiculous. Once again they (the Government) are going after the 'hardworking' American people who manage to pay their own way in society to 'save' those who don't. They want to tax MY health insurance to pay for someone elses. Well why don't those wonder politicians pay for THEIR OWN health insurance and that includes the Prez. What not start right there on Capitol Hill and start cutting back? Start getting rid of all that dead weight and all them luxuries? Oh no, that WOULD BE a sin.

BTW...Where was the Government when I was a single mother making just above minimum wage and had to pay my own way? NO WHERE!!! I made a whole $3 too much to qualify for any type of assistance and THATS when minimum wage was $3.75/hr. And my ex was a dead beat father who didnot pay HIS share of child support or childs medical expenses. I survived, so why can't these people? If I lost my job due to cutbacks, I went out and found another no matter WHAT it paid.
Reply to this comment
by sjc_1 June 19, 2009 3:32 PM EDT
Optional National Health Insurance, NOT mandatory. Let the public and private sectors compete for the best plan at the best price.
Reply to this comment
by lost_america June 19, 2009 4:05 PM EDT
how can you expect a private company like United health care to compete with the government and still pay their CEO a billion dollars a year?

What are you thinking?

Exclusive Webshow

Michelle Obama tells how her role as the First Lady has changed her perspective. Watch Now

Latest News
News in Pictures
Scroll Left Scroll Right
  • The Fall Of The Berlin Wall The Fall Of The Berlin Wall

    Looking Back at the Wall that Once Divided Germany On the 20th Anniversary of Its Collapse

  • Patricia Clarkson Patricia Clarkson

    Television and Film Actress, Yale School of Drama Graduate and Academy Award Nominee

  • Day in Pictures Day in Pictures

    A Glimpse at the Day's News as Seen Through a Camera Lens

  • Andre Agassi Andre Agassi

    Former Top-Seeded Tennis Star, Gossip Column Favorite and Philanthropist

  • Yankees Victory Parade Yankees Victory Parade

    The Yankees Celebrate Their 27th World Series Championship with a Ticker-Tape Parade Up Broadway

  • Orlando Office Shooting Orlando Office Shooting

    A Gunman Opens Fire at the Offices of an Engineering Firm Where He Once Worked

Connect with CBS News

Stay connected with the CBS News using your favorite social networks and online news applications: