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| Major Debacle... |
 Posted: Fri Sep 25, 2009 4:04 pm |
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http://www.reuters.com/article/marketsNews/idUSN2446885420090924
(For other stories on healthcare reform, click [nN20512341])
* Senate panel protects White House deal with drugmakers
* Committee upholds individual requirement for insurance
(Recasts with vote on individual requirement, details)
By John Whitesides and Donna Smith
WASHINGTON, Sept 24 (Reuters) - A U.S. Senate panel preparing a
sweeping healthcare overhaul upheld a requirement on Thursday
that individuals buy health insurance and rejected a proposal
that could have scuttled an $80 billion White House deal with
drugmakers.
On the third day of debate on the healthcare reform plan, the
Senate Finance Committee made slow progress on hundreds of
amendments to the healthcare overhaul, the last of five bills
pending in Congress on President Barack Obama's top domestic
priority.
The Democratic-controlled panel defeated on a largely party-line
vote a Republican proposal to let individuals opt out of the
bill's requirement that everyone have health insurance.
The healthcare reform plan would require all U.S. citizens and
legal residents to obtain health insurance, and offer subsidies
on a sliding scale to help people buy it.
Republicans said the issue was a matter of personal freedom and
questioned the constitutionality of forcing people to purchase
insurance.
"The individual mandate in this bill is un-American. It may even
be unconstitutional," said Republican Senator Jim Bunning, the
amendment's sponsor.
Democrats said the requirement was vital to the success of the
overhaul, which relies on a dramatic reduction in the 46 million
uninsured people living in the United States.
"The system won't work if this passes," Baucus said of the
amendment.
The panel's bill, which committee staff said would cost about
$900 billion over 10 years, mirrors Obama's proposals to rein in
costs, increase insurance competition and regulation and expand
coverage to the uninsured.
DRUG AGREEMENT PROTECTED
In one of the few votes that was not largely party-line, the
panel protected an agreement the White House and Baucus struck
with drugmakers earlier this year that required the
pharmaceutical industry to contribute $80 billion to the
overhaul.
An amendment by Democratic Senator Bill Nelson would have cost
the industry an extra $106 billion by allowing the government to
pay a lower price to drugmakers when buying prescriptions for
low-income people who are eligible for both the Medicaid
insurance program for the poor and the Medicare program for the
elderly.
The additional money raised under the amendment would have been
used in part to close a gap in prescription drug coverage for
some Medicare recipients.
"Did the pharmaceutical company come to the table in the
agreement with the White House with enough? There are a number
of us who feel that is not the case," Nelson said.
Baucus and two other Democratic senators -- Tom Carper and
Robert Menendez -- joined committee Republicans in voting
against the amendment.
"This may well undermine our ability to pass comprehensive
healthcare reform through this committee and in this Congress,"
Carper said.
Democrats on the panel also defeated two Republican amendments
that would have blocked the bill's cuts in Medicare Advantage,
which augments the government's Medicare insurance program for
the elderly with private insurance.
The reform bill would cut $123 billion in government subsidies
to the Advantage plan, which Republicans say could force
insurance companies out of the market and change or eliminate
the benefits for many of the program's 10 million participants.
"Why would we take this away from 10 million people?" asked
Republican Senator Orrin Hatch. "This is a terrific program. It
works."
Democrats say the changes to Medicare would increase benefits
and participation over 10 years and shore up Medicare's trust
fund.
"At some point we have to look people in the eye and tell them
the truth," Democratic Senator Kent Conrad said. "The notion we
don't have to change anything, just stick with the status quo,
is a disaster."
The debate has focused heavily so far on Medicare and other
programs for the elderly, who as a group are more likely to vote
and who polls show are among the most concerned about Obama's
healthcare plans. (Editing by Simon Denyer and Chris Wilson) |
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