A key Senate panel wrapped up the first week of its consideration of a
sweeping healthcare reform bill with major questions unanswered.
The Senate Finance Committee began marking up legislation authored by Chairman Max BaucusMax BaucusBusiness groups express support for Branstad nomination The mysterious sealed opioid report fuels speculation Lobbying World MORE (D-Mont.) Tuesday but called it a week at midday Friday and will not resume until Tuesday.
Baucus entered the markup process with a $900 billion bill that is designed to expand coverage to about 94 percent of legal U.S. residents and reduce the federal budget deficit by more than $20 billion. The bill cuts Medicare spending by more than $300 billion and levies taxes and fees on healthcare companies to finance the new spending.
But what Baucus did not have Tuesday, and continues to lack, is a clear path to success.
“We have debated, we have questioned, we have prodded at times, and we have discussed — and discussed. Most important, we continue to move forward,” Baucus said.
In its current form, however, the bill does not address complaints about key issues, such as whether it would make health insurance affordable for lower- and middle-class people or whether it would adequately strengthen coverage in existing government programs like Medicare and Medicaid.
The committee met for an all-day session Monday and arduous 9:30 a.m.-to-11 p.m. sessions Tuesday and Wednesday, staged lengthy debates between Democrats and Republicans on the panel over the proper role of the government in the healthcare system, and held votes on numerous amendments.
Amendments that directly hit at the misgivings of the committee’s Democrats and key Republican swing-vote Sen. Olympia Snowe (Maine) have not come up yet, however.
Republicans on the committee have made clear they intend to oppose the bill outright and proposed hundreds of amendments to gut key provisions.
Ranking member Chuck GrassleyChuck GrassleyBusiness groups express support for Branstad nomination 10 no-brainer ways to cut healthcare costs without hurting quality Senate GOP: National museum should include Clarence Thomas MORE (R-Iowa), who worked for months in bipartisan talks with Baucus, offered an amendment to strip the individual mandate to obtain health coverage. The amendment failed but Grassley’s repudiation of a policy he previously supported symbolized the partisan polarization of the committee.
With practically no hope of broad bipartisan support, Baucus must rely on near-unanimity among Democrats, who hold a 13-to-10 advantage on the panel, to move his legislation. To achieve a patina of bipartisanship and gain leverage for the eventual floor fight, Baucus wants to win over Snowe.
But the underlying bill has not yet undergone the kinds of modifications Democrats and Snowe say they need to see to support Baucus’s bill, which was drafted to attract bipartisan support but failed to win a single GOP endorsement.
Democrats on the panel including Sens. Jay RockefellerJay RockefellerLobbying world Overnight Tech: Senators place holds on FCC commissioner Overnight Tech: Senate panel to vote on Dem FCC commissioner MORE (W.Va.) and Ron WydenRon WydenSenate fight over miners' heathcare boils over Budowsky: Did Putin elect Trump? Overnight Cybersecurity: Fed agency IT report cards | Senate Dems push for briefing on Russia hacks MORE (Ore.), along with Snowe, continue to have concerns that Baucus’s bill does not go far enough in making health insurance affordable to people who would be subject to a legal mandate to obtain coverage. The bill would offer subsidies people could use to purchase private insurance but senators worry the subsidies would not be adequate, nor available to enough people.
Centrist Democrats on the panel such as Sen. Blanche Lincoln (Ark.) and Tom CarperTom CarperDems, greens gear up for fight against Trump EPA pick The Hill's 12:30 Report The Hill's 12:30 Report MORE (Del.), meanwhile, seem to have pegged their support for Baucus’s bill on its potential to reduce healthcare costs and trim the budget deficit. Any new spending added to the bill to please liberals risks unnerving these centrists.
And Democrats such as Sens. John KerryJohn KerryVoters want to drain the swamp? They can start with Louisiana GOP As Congress adjusts to Trump, Iran put under the pressure it deserves Sharpton pressures Dems on Trump nominees MORE (Mass.) and Debbie StabenowDebbie StabenowFight over water bill heats up in Senate Overnight Energy: Senate Dems set to fight water bill Senate Dems may block water bill over drought language MORE (Mich.) take issue with the taxes in the Baucus bill. Baucus’s proposal, based on an idea conceived by Kerry, would levy a tax on insurance companies that sell costly “Cadillac” plans. But Democrats want insurance for retirees, people with high-risk jobs and others exempted from the tax, which blunts its revenue-raising potential.
Florida Sen. Bill NelsonBill NelsonFight over water bill heats up in Senate Overnight Tech: Big win for Samsung over Apple | Trump to sit down with tech leaders | Trump claims credit for B investment deal Celebrating Motor Vehicle Safety Whistleblower Act’s first anniversary MORE (D) is adamant about preserving the current benefits his constituents receive from private Medicare Advantage plans, which are due a $113 billion cut under the bill, and making prescription drugs cheaper for everyone on Medicare.
But when Nelson’s amendment to tap drug makers for $106 billion to close the Medicare drug benefit’s annual coverage gap — the so-called donut hole — Baucus, Carper and Sen. Robert MenendezRobert MenendezThe right person for State Department is Rudy Giuliani Warren, Menendez question shakeup at Wells Fargo Democrats press Wells Fargo CEO for more answers on scandal MORE (D-N.J.) joined with Republicans to squash it, largely because it would violate a deal made between Baucus, the White House and the Pharamaceutical Research and Manufacturers of America to limit drug companies’ exposure to $80 billion in exchange for industry support of reform.
Baucus postponed an expected Friday committee vote on perhaps the most controversial aspect of healthcare reform: a proposal to create a government-run public option that would compete with private insurance companies.
Democratic Sens. Jay Rockefeller (W.Va.) and Charles SchumerCharles SchumerConfirm Gary Richard Brown for the Eastern District of New York Voters want to drain the swamp? They can start with Louisiana GOP The Hill's 12:30 Report MORE (N.Y.) pledged to raise amendments on the public option, which Baucus’s bill left out, but the chairman pushed it back until next week. “I want to take that up soon. It’s a very important amendment,” Baucus said. “We don’t have time today to do it.”
The delay is largely due to senators' weekly rush to leave Washington, which was intensified Friday because of the three-day weekend around Yom Kippur.
But Baucus indicated he had not worked out how to handle the public option amendments and those related to Sen. Kent Conrad’s (D-N.D.) proposed compromise, which is part of the base bill, to create not-for-profit healthcare cooperatives as alternatives to traditional insurance. Democratic and Republican senators are gravely skeptical of the co-ops.