Clark Hill

Government & Public Affairs Update

October 9, 2009

 

 

 

Government & Public Affairs Team

 

R. Daniel Beattie

Alan L. Canady

Delbert J. Chenault

Roderick S. Coy

Denise Ilitch

Andrew C. Richner

Donald F. Tucker

Reginald M. Turner
John Van Fossen, Practice Group Leader

Lucius A. Vassar
Chris Wagner

 

 

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Senate Finance Committee to Vote on Health Care Reform Legislation on Tuesday

According to a Senate Democratic Leadership aide, the Senate Finance Committee is expected to vote on Chairman Max Baucus' (D-MT) health care reform bill on Tuesday, October 13.

Baucus unveiled the legislation last week under pressure from Democratic Leadership to produce a bill.  Baucus was a part of a six-member group of Finance Committee Senators, which included Ranking Member Chuck Grassley (R-IA), Olympia Snowe (R-ME), Jeff Bingaman (D-NM), Mike Enzi (R-WY) and Kent Conrad (D-ND). 

The group had met for weeks on end to come up with a bill that both Democrats and Republicans could support.  However, with scant details available about the negotiations and increasing pressure on Democrats from liberal organizations for what they perceived to be unnecessary capitulations to gain Republican support that was by no means guaranteed, Baucus announced the bill at a news conference alone and without the support of any Republicans or Democrats, including members of the "Gang of Six" that had worked on the bill since day one.

Instead, the Republicans that Baucus worked so hard to win over thanked the Chairman for his efforts but said they could not support the legislation.  Meanwhile, a number of Democrats were openly critical of the plan that did not include a public insurance option.

However, the bill has new life in the wake of the Congressional Budget Office's (CBO) score (assessing the long-term budget impact) of the bill, which revealed that Baucus' bill is the only proposal in Congress that would reduce the federal deficit over the next 10 years (by $81 billion).  The bill would initially cost $829 billion and expand coverage to 94% of all Americans.

Nevertheless, the Senate won't vote on the Baucus bill, but rather a combination between that bill and the bill passed by the Senate Health, Education, Labor and Pensions Committee, which was chaired recently by the late Senator Ted Kennedy.  Senate Majority Leader Harry Reid (D-NV) is already in the process of combining elements of the Baucus bill with the HELP Committee bill, but has yet to commit to the inclusion of a public option.  Instead, Congress may give States the option of creating a government-backed public option.

In an interesting dichotomy, Congressional Republicans are solidifying their opposition to the bill and calling for both parties to scrap the process and start over while former Congressional Republican Leaders and Republicans outside of Washington are urging their colleagues to be proactive and work within the current framework to address an issue that doesn't seem likely to go away.  Republicans that have urged moving forward on health care reform include, Former Senate Majority Leaders Bob Dole and Bill Frist, California Governor Arnold Schwarzenegger, Louisiana Governor and potential 2012 Presidential Candidate Bobby Jindal, and Former Health and Human Services Secretary Tommy Thompson.

The Left is also gearing up for a battle on a conference report that may not include a public option.  The 3-Committee House bill includes a public option and is the most expensive proposal at a cost of $1.3 trillion up front.  House Democrats need 218 votes for approval and according to Congressional Progressive Caucus Chair Rep. Lynn Woolsey (D-CA), a "robust" public option currently has the support of 208 Democrats, a number at odds with House Majority Whip James Clyburn's (D-SC) office's running count.

Once the Senate Finance Committee approves its bill, the Senate will be able to debate health care reform legislation on the Senate floor.

 

 

If you have any questions concerning these issues, please contact Chris Wagner at 202.772.0924 or cwagner@clarkhill.com.

 

 

To find out more about Clark Hill and our Government & Public Affairs Practice Group, visit clarkhill.com or call 800.949.3124

 

 

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