Bad medicine

We would enjoy affordable health care for everyone in the United States.

We agree the health care industry is in need of reform.

But the current 2,074 page health care reform bill before the Senate is not the way to facilitate improvements. It is a quagmire of taxes and false promises of reduced health care costs.

No matter what is offered through the bill, we are going to pay for it. All of it.  Roughly $850 billion for about 31 million uninsured Americans.

The Congressional Budget Office announced the bill, as written, would provide for insurance payments to be “reduced by new federal subsidies.”

Subsidies? This means the government is going to pick up part of the bill using tax money, collected by higher taxes on people and businesses, mostly businesses.

The bill has provisions for additional taxes on cosmetic surgery — not a bad idea — and tax increases on insurers providing plans worth more than $8,500 per year for individuals and $23,000 for families, according to media sources.

We need to understand this idea. For companies offering higher end health insurance, the federal government is going to tax them more? Businesses are more likely to cut their insurance programs for employees to avoid the higher taxes. This is decreasing the workers’ health care benefits.

Every increase in cost and additional tax laid on the shoulders of business is going to cost jobs and international competitiveness. The increased cost is going to be paid for through less wage increases, fewer employees and lower insurance options. Or the costs could simply be passed on through prices to consumers, who would get to pay for the $850 billion every time we go to the store to buy groceries, clothing or toys for our kids.

The Congressional Budget Office projects insurance premiums for 32 million people currently covered would increase by 30 percent two years after the reforms take effect in 2014. This is because of requirements to offer better coverage. But the agency insists mandatory insurance purchases by younger people should offset the increase. It sounds like younger, less skilled workers are going to pay more to buy insurance, despite starting their careers in lower paying positions.

Health insurance is mandatory under the bill, with fines for people not buying insurance or having it provided by employers. Does anyone know what happens when you don’t pay a federal fine? We doubt it is forgiveness.

The Congressional Budget Office stated individual insurance premiums are going to increase 13 percent. But it would be OK because 57 percent of the purchasers are going to receive federal subsidies (tax money) to cover two-thirds of the cost. This sounds like it would save money, but we know it means more tax money being spent to pay for the subsidies. The bill robs Peter to pay Paul.

One part of the plan is to strip Medicare of $400 billion to pay for health care reforms — subsidies. Medicare is often the only source of health care for people 65 years old or older. Sen. John McCain, R-Ariz., introduced an amendment to stop this shifting of funding, which is causing a stir in the Senate.

The intent of health care reform is admirable. It is something everyone can support. We all want our family members, from great grandma to our younger nephew, to have access to affordable health care. We want our friends and coworkers to be covered. We want to be covered.

But the plan appears to be spending far too much money, shifting it from needed areas, and doing very little to change how the health care industry works. We are also confused about the rush to pass a 2,074 page bill when it doesn’t take effect until 2014. We have more than four years. What is the rush? Shouldn’t we take some time and work on the bill until it makes better economical sense and can gather bipartisan support? There has to be better ways to improve health coverage.

Right now, we agree with Kentucky’s Sen. Mitch McConnell.

“The bottom line is this: after 2,074 pages and trillions more in government spending, massive new taxes and a half-trillion dollars in cuts to Medicare for seniors, most people will end up paying more or seeing no significant savings. This is not what the American people are asking for. And it’s certainly not reform.”

— Editorial board