[lbo-talk] How we would pay for a single payer system

Michael Givel mgivel at earthlink.net
Sun Aug 27 11:41:32 PDT 2006


How we would pay for a single payer system

SINGLE PAYER CANDIDATES TAKING THE LEAD

by Marilyn Clement submitted to portside by the author August 25, 2006

All over the country, single payer candidates are appearing and speaking out about the disgraceful U.S. healthcare system. The latest figures on exactly how we will finance a national single payer healthcare system have just been released by Congressman John Conyers' office and Center for Economic and Policy Research economist Dean Baker. As a result of a growing single payer movement and the urgent crisis facing so many people who are dying for healthcare, the number of Members of Congress who have endorsed the bill has tripled in the past year.

Under the Conyers' bill, H.R. 676, we would provide a truly universal healthcare system in the United States. Healthcare coverage would be a right for every person residing in the United States -- even the 46 million who have no health insurance at all, and we would save 3% of the current national healthcare budget at the same time. Three percent may not sound like much, but when you are talking about the national healthcare budget, it adds up to $56 billion dollars -- no small chunk of change. The amazing thing is that we would be covering everybody and spending less.

John Conyers' bill is clearly the most efficient and humane piece of legislation in the Congress right now, and it would be a tremendous boon to business and the economy as well as to families and individuals who desperately need healthcare.

Fortunately, dozens of candidates seem to be listening to the people in their Congressional Districts. Many incumbents as well as their challengers have committed to make a national single payer healthcare system a priority if they are elected and to reject campaign funds from the insurance and drug industries.

People who would like to move quickly to a national single payer system can join the ELECT A HEALTHY CONGRESS CAMPAIGN ofHealthcare-NOW to elect Members of Congress who will make this dramatic change for our people's health and for the economy.

Getting involved is easy. Help us get to a national healthcare system during the particular window of opportunity that seems to be opening up in the coming three years. Join Healthcare-NOW in organizing a Citizen/Congressional Hearing in your district to talk to the candidates about the crisis, get involved in this non-partisan election campaign and vote early by absentee ballot, possibly a more certain way to make sure your vote will be counted.

Marilyn Clement, Healthcare-NOW 212-255-5532 info at healthcare-now

The United States National Health Insurance Act, H.R. 676

(Expanded & Improved Medicare For All Bill)

*introduced by Cong. John Conyers, Dennis Kucinich, Jim McDermott, and Donna Christensen

Brief Summary of Legislation

* The United States National Health Insurance Act establishes a uniquely American national universal health insurance program. The bill would create a publicly financed, privately delivered health care system that uses the already existing Medicare program by expanding and improving it to all U.S.residents, and all residents living in U.S. territories. The goal of the legislation is to ensure that all U.S. residents will have access, guaranteed by law, to the highest quality and most cost effective health care services regardless of their employment, income, or health care status. With over 45-75 million uninsured Americans, and another 50 million who are under-insured, the time has come to change our inefficient and costly fragmented non-health care system.

Who Is Eligible

* Every person living or visiting in the United States and the U.S. Territories would receive a United States National Health Insurance Card and ID number once they enroll at the appropriate location. Social Security numbers may not be used when assigning ID cards.

Health Care Services Covered

* This program will cover all medically necessary services, including primary care, inpatient care, outpatient care, emergency care, prescription drugs, durable medical equipment, long term care, mental health services, dentistry, eye care, chiropractic, and substance abuse treatment. Patients have their choice of physicians, providers, hospitals, clinics, and practices. No co-pays or deductibles are permissible under this act.

Conversion To A Non-Profit Health Care System

* Private health insurers shall be prohibited under this act from selling coverage that duplicates the benefits of the USNHI program. Exceptions to this rule include coverage for cosmetic surgery, and other medically unnecessary treatments. Those who are displaced as a result of the transition to a non-profit health care system are the first to be hired and retrained under this act.

Cost Containment Provisions/Reimbursement

* The National USNHI program will set reimbursement rates annually for physicians, allow for global budgets (annual lump sums for operating expenses) for health care providers; and negotiate prescription drug prices. The national office will provide an annual lump sum allotment to each existing Medicare region, each region will administer the program.

* The conversion to a not-for-profit health care system will take place over a 15-year period, through the sale of U.S. treasury bonds; payment will not be made for loss of business profits, but only for real estate, buildings, and equipment. Health insurance companies could be sub-contracted out to handle reimbursements for the program.

HR 676 Would Reduce Overall Health Care Costs

FAMILIES WILL PAY LESS: A study by nationally recognized economist Dean Baker of the Center for Economic Research and Policy concluded that under H.R. 676, a family of three making $40,000 per year would spend about $150 per month or approximately $1900 per year for health care coverage. The current average annual premium for families covered under an employee health plan is $11,000. (National Coalition on Health Care)

* BUSINESSES WILL PAY LESS: Currently, in 2005 figures, without reform, the average employer that offers coverage will contribute $2,600 to health care per employee (for much skimpier benefits), or $217 per month per employee. Under HR 676, the average costs to employers for an employee making $30,000 per year will be reduced to $1,425 per year; or about $119 per month.

* Baker's study reported that HR 676 would reduce health spending in 2005 from $1.918 trillion to $1.861.3 trillion, which translates into a saving of $56 billion in overall health care spending while covering all of the uninsured.Overall, we would be saving 3% WHILE COVERING EVERYBODY.

Proposed Funding For USNHI Program:

* Maintain current federal and state funding for existing health care programs; establish an employer healthcare payroll tax of 4.75%, and an employee healthcare payroll tax of 4.75% (this tax includes the money people are already paying for Medicare); establish a 5% health tax on the wealthiest 4% of income earners; establish a 10% tax on the wealthiest 1% of income earners; establish a 1/4th of 1% tax on stock transactions (about 50 cents for every $100), close some corporate tax loop-holes; and repeal the Bush tax cut for the highest income earners.

* For more information, contact Joel Segal and Alexia Smokler , Rep. John Conyers, at 202 225-5126. To get involved, contact Healthcare-NOW,the national organizing movement for a single payer healthcare system. 212-255-5532; www.healthcare-now.org.



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