Second chance to get healthcare right

Congressional leaders have presented the American people with a false choice when it comes to healthcare reform. They claim that opposition to their flawed bills is equivalent to opposing reform altogether. I couldn’t disagree more. The business community, which provides health benefits for more than 160 million Americans at a cost of more than $500 billion annually, desperately wants reform. But is must be the right kind of reform.

For nearly two years, the U.S. Chamber of Commerce has been working with members of Congress on a bipartisan basis to develop reform legislation that will lower the skyrocketing cost of care, improve quality and expand access to more Americans. Despite our efforts, the legislation that emerged from the House and Senate collectively included job-killing tax increases, burdensome new employer mandates, significant cuts to Medicare, and a government-run insurance plan that could lead to government takeover of healthcare. The American people also got a glimpse of the legislative process at its worst — including backroom deals, kickbacks and special-interest exemptions. For these reasons, the Chamber had no choice but to oppose these bills. Sadly, in this political environment, opposition to flawed legislation has been equated with support for the status quo.

In addition, this legislation limits flexibility and innovation in the private sector and would erode parts of the healthcare system that are working. In fact, the final legislation may even threaten the viability of the small businesses we are counting on to help us out of this recession.

The American people understand this, and have voiced their concerns at ballot boxes in Virginia, New Jersey and — most recently — Massachusetts. In fact, polling conducted after Sen. Scott Brown’s (R-Mass.) victory determined that dissatisfaction with the way Congress is handling healthcare was one of the major factors that propelled him to the U.S. Senate.

Despite growing opposition from the public, congressional leaders continue to push ahead and are considering new options for passing health reform.

These include: passing smaller bills with the most popular provisions, House passage of the Senate bill, or circumventing the legislative process entirely by using the nuclear option of budget reconciliation. The last approach, if used, would be particularly troubling and is the wrong approach to reforming one-sixth of the U.S. economy. Reconciliation may even lead to more mandates on employers and additional taxes on small businesses. Those proposals will likely be considered ways to “pay for” the inevitable sweetheart deals for unions and other special interest groups.

The uncertainty caused by this process is forcing businesses to question if this is a good time to expand their business or hire new employees. This uncertainty will only exacerbate an unemployment rate that is already far too high. It’s time for Congress to start over and pass bipartisan, meaningful health reform. In his State of the Union address, President Barack Obama said, “If anyone from either party has a better approach that will bring down premiums, bring down the deficit, cover the uninsured, strengthen Medicare for seniors, and stop insurance company abuses, let me know.” We at the Chamber have outlined a simple three-pronged approach:

First, control spiraling healthcare costs. There are a number of cost-reducing initiatives that have broad bipartisan support — medical liability reform, paying doctors based on quality, widespread adoption of health information technology, and allowing small businesses and individuals to pool their risk and deduct the costs of their insurance are just a few.

Second, make the insurance market work. Insurers should be prohibited from denying coverage based on pre-existing conditions, turning people away, or charging vastly different rates for the same policies. However, for insurance reforms to work effectively it requires a fully insured marketplace and must be paired with a personal responsibility for all Americans to get health insurance.

Third, create real choice and competition through a health insurance exchange. Consumers should be able to easily compare insurance options in a way that is easy to understand, and any person or business should have access to a greater range of plans.

America desperately needs healthcare reform and Congress now has what so many Americans are striving for — an opportunity to start over and get things right. It’s time for everyone to come back to the table and work on a healthcare reform package that’s good for families, good for businesses and good for America.

Josten is the executive vice president of government affairs for the U.S. Chamber of Commerce.

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