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Lacking
the
overwhelming
bipartisan
accord that
created the
State
Children’s
Health
Insurance
Program
nearly a
decade ago,
Democrats in
Congress
have instead
opted for a
massive
liberalization
of the
program that
dilutes its
primary
mission:
covering
children.
This bill,
as passed by
the House
(where there
wasn’t a
chance to
amend the
bill) and
Senate,
clearly
isn’t about
helping
low-income
children. If
it was, it
would have
support from
both parties
and the
president
would be
eagerly
waiting to
sign it into
law. This is
a missed
opportunity.
Virtually
everyone
supports
providing
health
insurance to
low-income
children.
But when a
federal
health
program for
children
starts
covering not
only
families,
but
childless
adults
making three
and four
times the
poverty
level, it
has
unmistakably
lost its
focus.
It is plain
to see that
Democrats
want
taxpayers to
fund and the
federal
government
to directly
provide
health care
benefits to
millions of
more
Americans —
even for
those
families
making over
$80,000 a
year. They
are using
SCHIP as a
vehicle, and
the children
it is
intended to
cover as a
shield, to
get one step
closer to
total
government
control over
our health
care system.
This kind of
medicine
needs more
than a
teaspoon of
sugar to
swallow.
The current
plan to
expand the
State
Children’s
Health
Insurance
Program is
in dire need
of a second
opinion.
Instead of
moving
further and
further away
from the
core
mission, we
should be
reforming
the program
to ensure it
is truly
helping
America’s
uninsured
children.
Let’s look
at some
facts about
the “new,
improved”
SCHIP:
1. Shifting,
not adding,
insurance --
The
non-partisan
Congressional
Budget
Office
stipulates
that the
proposed
expansion of
SCHIP would
cover an
additional
5.8 million
Americans at
a cost of
$35 billion.
Alarmingly,
CBO also
states that
more than
one out of
every three
of those
individuals
(some
children and
some adults)
already has
private
insurance.
Some experts
suggest that
number is as
high as six
in 10.
Either way,
it is clear
that the
SCHIP bill
does little
more than
move
children and
upperincome
families
from private
insurance
plans to
taxpayerfunded
plans. That
is why it
should not
surprise
anyone that
when
HillaryCare
first came
about, one
of three
options to
obtain
universal,
government
coverage
followed
this exact
model: start
with kids,
move on to
the entire
family, and
soon you
will have
everyone
enrolled in
a government
program.
That kind of
slow creep
is a
prescription
for the
government
largess that
stifles
economies
and unduly
burdens
taxpayers.
It is not a
prescription
for reducing
the number
of uninsured
Americans.
2. States
get more
money, but
some states
don’t --
States and
children
advocates
should take
a second
look at this
bill.
Because of
shoddy
funding
sources,
this bill is
likely to
harm more
states and
health care
programs
than it
purports to
help. A
Heritage
Foundation
study showed
that as many
as 28
states,
including my
home state
of Michigan,
stand to
have a net
loss of $10
to $700
million in
revenue.
3. Kids born
today lose
coverage at
age six --
Supporters
of this
SCHIP
expansion
state that
the program
is fully
funded.
However,
when you
look closely
at the
details you
find a giant
funding
cliff after
five years.
In year six,
after five
straight
years of
increases,
funding
reverts to
65% below
current
levels. That
is quite a
budgetary
slight-of-hand
given that
the
program’s
average cost
is pegged at
roughly $12
billion a
year. So,
what happens
in year six?
Do taxes go
up to cover
the
shortfall?
Is coverage
eliminated
for millions
of kids that
just entered
the
program?
4. With
apologies to
the American
Cancer
Association:
Light
up…it’s for
the kids --
As
ridiculous
as the
assumption
that the
program
costs
nothing
after five
years, is
the
assumption
that there
will be 22
million new
smokers to
pay for this
program.
Being built
upon the
foundation
of a new
federal 61
cent per
pack tax on
cigarettes,
the program
will quickly
go up in
smoke.
Over the
years we
have learned
that the
more we tax
any
activity,
but
especially
cigarettes,
the less
likely
people are
to engage in
the
activity. To
that end,
cigarette
taxes have
been a great
health care
policy. Even
if we forget
how terribly
regressive
this tax is
– falling
heaviest on
lower-income
Americans
(those
ironically
targeted for
help under
SCHIP) – it
is clear
that a
cigarette
tax may be
the worst
possible
stream of
revenue for
an ongoing
program.
This bill is
designed
poorly,
funded
poorly and
will do
little to
help
lower-income
Americans
obtain
health care
coverage.
The
president
should veto
this bill
and Congress
should work
in a
bipartisan
fashion — as
we did
nearly ten
years ago
when the
program was
created — to
make certain
children in
America have
access to
the health
care
system.
-###-
Dave Camp
represents
the 4th
District of
Michigan in
the House of
Representatives.
He serves as
the ranking
member of
the Ways and
Means Health
Subcommittee. |