An Evaluation of the Baucus Plan

The stakes are very high because this is a very important committee. The 23 member committee is a microcosm of the Senate, and is the narrow gate through which health care reform must pass If the committee cannot pass a bill then the ability of the Obama Administration to get a bill through Congress is significantly reduced.

According to Christine Ferguson, If they cannot get a bill through the Finance Committee, the probability of success goes way down. Ferguson was a Senate Republican aide during President Clinton's time in office. She is now a professor at George Washington University.

The Baucus Plan requires all Americans to carry health insurance or pay a significant fine. It would issue subsidies to many middle-class families and expand government health programs for the poor. Insurers could not deny coverage because of a person's previous health problems.

The plan will be paid for with cuts in Medicare and Medicaid spending, as well as a high tax on expensive health insurance plans. The plan would not produce a government plan to compete with private insurance companies. Also, workers at large companies that offer coverage will not see major changes.

An Evaluation: The plan is an improvement over those plans that have a pubic option attached to them. It is a reasonable compromise between Democrats and Republicans, liberals and conservatives. For an interesting discussion on the problems with the public option, and how Democrats and Republicans can find common ground right now please read the following article; www.associatedcontent.com/article/2189363/the_public_policy_option_will_make.html

The plan has numerous problems, however. Because the task is so tremendous the estimates on how much it will cost, and how much can be saved from existing programs are unreliable estimates. Passing the bill is a serious risk. Moreover, the bill could potentially cut benefits in Medicare and Medicaid which millions of Americans are relying on.

Union members are upset as they see the insurance as a penalty for their hard won benefits. Taxing health insurance does not make much sense as we are encouraging people to get insured and take care of themselves so they can stay healthy and limit their medical bills.

There is widespread concern for the effect the bill will have on our households. Many people are concerned that the subsidies are too meager and will saddle many households with thousands of dollars in new insurance bills.

The committee has tentatively scheduled three days of debate on the bill but that may not be enough to consider the hugh number of amendments which committee members will present,

Source: Ricardo Alonso-Zaldivar of the Associated Press, Toughest chellenge awaits overhaul, The Sunday Voice Newspaper of Wilkes-Barre, PA. September 20, 2009.