U.S. Chamber Expresses Disappointment with Senate Health Bill

A Missed Opportunity to Enact Meaningful Reform

WASHINGTON, D.C.—The U.S. Chamber of Commerce today expressed disappointment with the newly released Senate health overhaul legislation, citing several provisions as improvements over other legislation, but pointing out core concerns the business community has voiced for many months that continue to be ignored by legislators.

"We acknowledge that there are improvements over other bills, including provisions that offer more choice and competition by allowing interstate compacts to purchase insurance, national plans that provide relief from some state barriers, and the ability for more small businesses to use pre-tax dollars to purchase health plans," said Bruce Josten, executive vice president of government affairs at the U.S. Chamber. "But this bill still contains a government-run health plan and an onerous employer mandate, it taxes working Americans, slashes Medicare, spends over a trillion dollars, and—fter all this-CBO tells us 24 million Americans will still not have health insurance."

The Chamber continues to oppose the creation of a new government-run health plan, regardless of provisions that postpone their creation or allow a state to opt-out, because the state's residents will still be taxed to fund the plan for residents of other states. In addition, the Chamber has criticized forcing employers who may not be able to afford it to offer government-approved health insurance to employees. The Chamber believes the path to a healthier economy is to cut taxes, not to raise them by $500 billion.

"We will continue to work with legislators to try to achieve responsible and meaningful health reform," Josten continued. "However, many parts of this legislation are a step in the wrong direction. The bill now contains two AMT-like taxes that will eventually explode and hurt the middle class—he so-called 'Cadillac' plan tax, and the Medicare payroll tax. And why is there still no meaningful medical liability reform? Is currying favor with the trial lawyers worth passing up $50 billion in CBO verified savings?"

The U.S. Chamber of Commerce has called for health reform that controls skyrocketing health care costs, ends pre-existing condition exclusions and allows everyone to purchase health plans at a fair price. Reform needs to create a real, vibrant market where the nation's more than 1,000 insurance companies will compete for business.

The U.S. Chamber is the world's largest business federation representing more than 3 million businesses and organizations of every size, sector, and region.

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