Monday, June 29, 2009

Congressional Health Care Legislation Will Impact Michigan. Congress is working to reform the nation's health care system with a goal of cheaper coverage that serves more people. But getting there might include caps on Medicare payments or taxes on soft drinks - and maybe even taxes on some of those health benefits. The uninsured Michigan has a smaller uninsured rate than average and ranks below average in the percentage of people who couldn't see a doctor in the past year because of cost. But more than 1 million Michigan residents still lack health insurance. As is the case nationwide, the uninsured rate is particularly high among poor adults who don't qualify for Medicaid and aren't old enough for Medicare. About 41 percent of Michigan residents ages 19-64 who are living in poverty do not have health insurance. Many congressional lawmakers and President Barack Obama want to extend coverage to everyone. That could mean requiring people to have insurance with help from subsidies, and making employers pay for it. The government also could set up a public health care plan that would offer cheaper coverage than commercial insurers do. Percentage of Michigan residents who are uninsured, 2007: 11 percent Percentage of Americans uninsured nation- wide, 2007: 15.3 percent Ranking: 37th among all states and the District of Columbia for its uninsured rate. Reasons the health care debate matters, even if you already have health insurance • Health care spending is taking up an increasing share of state and federal budgets, crowding out spending for other items and contributing to the national deficit. • Increasing costs are holding down wages as employers have to pay more to provide health care coverage. Some businesses say the rising costs make it more difficult to compete with foreign companies. • Costs for employees also have increased, taking up a greater share of their pre-tax income. • Whatever Congress does to pay for health care reform could hit consumers. Some may be taxed on the value of their employer-provided benefits. Higher-income taxpayers may face limits on what deductions they can take for such items as mortgages and charitable contributions. Congress could decide to increase the tax on alcohol or start taxing soda and other sweetened beverages. • Health care reform also could change how people get their coverage. Some people who now get coverage through their employers or on their own could get it elsewhere. • Critics say many of the steps lawmakers are considering would do more harm than good by increasing costs and decreasing the quality of care for many consumers. What to watch for among Michigan lawmakers U.S. Sen. Debbie Stabenow, D-Lansing, sits on the Senate Finance Committee, one of the two panels working on the Senate version of the bill. In the U.S. House, Rep. John Dingell, D-Dearborn, is a key negotiator with the Senate and the Obama administration on health care. Rep. John Conyers Jr., D-Detroit, is the lead sponsor of a bill to create a single-payer health system. Rep. Dave Camp, of Midland, is the top Republican on the House Ways and Means Committee, which is working on ways to pay for health care reform. Camp also is part of the House GOP task force on health care reform. How to contact your lawmaker The Capitol Hill switchboard number is (202) 224-3121. For the full article, see "Michigan will feel the impact of any health care reform", Lansing State Journal, June 28, 2009. [Red Tape Blog] 10:21:18 AM

© Copyright 2009 Jocelyn Shaw. Last update: 7/1/2009; 10:01:45 AM. Photo curtesy of Marjorie O'Brien