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Countdown: Health Care Showdown

Title:

Countdown: Health Care Showdown

Published: Fri, 30 Oct 2009

Description: Karl Rove on the new health care bill and the upcoming debate on the Hill

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Automatically Generated Transcript (may not be 100% accurate)

" want to ask you a basic question because we've seen Americans take an interest in health care more than they ever have perhaps been in the past. They came to tea parties doctors all across the country tried to be heard even those who serve in congress. In the bill that was presented by Nancy Pelosi. Mourned their messages heard and where they implemented into this version."

" I don't think so first -- this is an enormous bill it is the most complicated piece of legislation since at least the clean air act of 1970. In its 1990. Pages long it it is very complicated I've I've been trying to go through parts of it and a look at some of the highlights. But there are some big issues here and it doesn't seem like the congress particularly the house is paid much attention. To the public sentiment the last several months. Started with a price tag the price tag this bill she rolled it out speaker Pelosi rolled it out as 894. Billion dollars. Which supposedly kept it under the president's goal of 900 billion dollars well in actuality it is one trillion. Five billion dollars plus the so called doctor fixed CBO she came and so does the actual price tag of the bill -- trillion. Five billion. And that doesn't include what -- do the Senate had 247. Billion dollars in the so called doctor fix under Medicaid this could be ability runs a 18 a quarter trillion dollars in the first decades."

" Is not a deal breaker. And speedy end to CBO gives these numbers do you think bad and the 36. Million people that Nancy Pelosi said will be covered includes a number of people that could afford health care right now on there own. If they chose to get it shouldn't be the responsibility. Of other Americans."

" You know -- partial -- let me tackle that -- and it do you we've heard this number used earlier this year 47 million Americans who -- without health insurance. What we know is a Census Bureau since nine point seven million of those are people who are here illegally or legally better aliens. May be here on a visa is legal. Or they may be here illegally but there they're aliens and that question should we should we. American taxpayers pick up the tab for their -- for their for their health insurance I suspect most Americans would signal that leaves then about. Just such -- somewhere north of 37 million people who supposedly without insurance. Seventeen million of them make 300% or more of the poverty level levees that make 50000 dollars or more a year many of them were younger people. The cost furtive personal interest policy and it runs on average about 5000 a year. These are people who may make eighty year -- 100000 dollars it'd just elected not to have insurance. So the question is should they assume some personal responsibility. Fourteen million of them are people who -- RD eligible for Medicaid to ask chip for some other government health care program for the government hasn't signed him up for it. So that leaves roughly five million people gross there would be. Then there was that would be working poor knowledge eligible for Medicaid and not able to afford to build their -- no accident numbers probably slightly more than that because there's probably overlap of those other three groups. But these numbers we get tossed around about how people are not able to get insurance remember a bunch of them. Already have health coverage but -- in the government's done -- lousy job of side and about an even bigger chunk of people who make 300% more than poverty level and ought to be able Lou. To Ford's overall the cost of health insurance and."

" Add to that the fact that the president said that the bill. That he wanted would cover thirty million Americans that -- coverage now are up to 36 million weren't PX is six million come from."

" Unclear but look again these are sort of these numbers are being plucked out -- I'll tell you -- six million of those people are likely to come in that is. In the house bill there's a provision that says if you're in the individual market that is to say you were self employed in your buying insurance on your own. This basically within a short period of years white set out -- lose you from your private insurance into the government run plant. So I mean that this this building and -- you look at I they have been trying to keep a list of these things. Millionaire tax they're they're gonna -- they're gonna hit people make of 500000 dollars or more you will we know that of the people who make 250000. Dollars or more a year filers. 73% of corrections small businesses filing on the individual tax rate so they're gonna have a big tax on small business in order -- this. They've they've got bigger cuts in Medicare in the house version than they did the Senate version so. They're gonna emasculated Medicare Advantage they're gonna take lots and lots of money out of Medicare. They got an employer mandate they obligate small businesses. To provide healthcare for their employees if they don't you have to pay a fine if let's say you're you're payrolls about 750000. Dollar here and you don't provide. Health insurance you're employed just to pay a fine of 8% of the cost of your. Payroll to the government. There's CBO has already said that this would that did just fine would be paid by workers in the form a lower compensation. They got a -- at all kinds of tax they had eight billion dollar tax. People who take money from their health savings account to purchase over the counter drugs should we be encouraged that if you can. Solve your problem that over the counter drugs should we be encouraging people -- a slap on an 82 million dollar."

" Acts on appeal I could go on that and I know you could and it's almost dizzying for somebody listening at home to here. This will happen now have -- it sounds like more of government run than ever before. On health care right -- some people who could have health care on their own. At a cost to those the most vulnerable Medicare recipients. And small businesses which are really the backbone of the economy. Is that the case and if so. What -- what will happen what how -- the debate. Do you expect. On the floor when well actually discussed."

" Well if it is discussed -- Speaker Pelosi wants to ram this through and they said today with a minimum if any amendments so they didn't have to -- through legitimate through quickly but look. There are lots of problems with the that this is gonna cause all kinds of features imagine that you are a democratic congressman from a district with a lot of senior citizens are you gonna wanna go home of say to people I voted to cut your Medicare. If you represented -- fiscally conservative district are you willing to go home would say. You know what I voted to front load the revenue in the tax increases -- the expenses so that this thing is -- and and -- ended -- debated its financing the war -- post detected today editorially for having to unsustainable sources of revenue. A financing to make it work I mean. But think about this. In the Senate bill and one of the ways that they kept the costs down was that they said we're gonna expand Medicaid. Follow me on this by saying we're gonna expand Medicaid what they said is we're gonna move more people lot of private insurance or keep them from being on the government run health care plan. But put him in Medicaid because by expanding lead in the -- the population people eligible for Medicaid. We're dropping some of the cost under the state the federal government pays 57%. Of the cost of Medicaid. State governments pay on average 43% -- each state paid a different rate. What every single governor. Came out in opposition -- provision in the Senate bill and in the house bill. They expand Medicaid even more so what they're gonna do is they're gonna say the states. You don't have a he'd say in this matter but we're gonna double bunch of people into your budget for -- pick up the tab for. And it's gonna basically bankrupt states -- say you've got to. By governor mansion of West Virginia. Who spoke out very strongly governor Rendell of Pennsylvania very strongly against this provision what happens with the house votes for this. -- you're gonna go back to West Virginia Pennsylvania's democratic congressman in explaining your democratic governor. How it is that you blew up his state budget by voting for this provision."

" I wanted to ask you about that she now. Is that significant it there's been some discussion about the fact that it is mentioned no more than 3000 times."

" Right well it's prescriptive in its its its sort of says things will happen in this way you know there will be a board that will make these decisions you. The government will determine more and more and more of the deep intimate detail of the of the decisions that are doctors make for us individually. It's very very problematic I mean it's -- you know that that's what the biggest problems with this hit it in and look remember. Wasn't this exercise we were supposed to do this take cover more people. -- hold down content to reduce premium -- it to -- the so called health care -- that is to say to lower the future growth of health care. You know what the CBO preliminary analysis says there's doesn't bend the health -- curve. In every bit of analysis we have thus far indicates that people are going to be paying higher premiums are lower premiums and they're gonna be paid. The higher premiums and most of all if they get stuck from the government run program it will have premiums significantly higher than the private. Insurance market I mean this is like Alice in wonderland everything we were told we wanted to try to do it's not clear get data this thing. And it's gonna have a price tag of over. Wanted to get a quarter trillion dollars for the first ten years by the time we get -- that we know of so far costs go up over the years that we know so far. I was right as well and you're right there's been there's there's been only one health care program of the history of the federal government. For immediate health care to Medicaid to Medicare. To use Champa -- David there's only been one health care program that has come in underestimate -- that was a Medicare prescription parred the benefits of prescription drug benefit and that's because it's being delivered by private sector in my competition not by government and not with the kind of prescription. If you if you'd get if you don't mind upon shall shall shall as this bill has."

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