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The Tri–Committee Draft Proposal for Health Care Reform

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The Tri–Committee Draft Proposal for Health Care Reform THE TRI–COMMITTEE DRAFT PROPOSAL FOR HEALTH CARE REFORM HEARING BEFORE THE COMMITTEE ON EDUCATION AND LABOR U.S. HOUSE OF REPRESENTATIVES ONE HUNDRED ELEVENTH CONGRESS FIRST SESSION HEARING HELD IN WASHINGTON, DC, JUNE 23, 2009 Serial No. 111–29 Printed for the use of the Committee on Education and Labor ( Available on the Internet: http://www.gpoaccess.gov/congress/house/education/index.html U.S. GOVERNMENT PRINTING OFFICE 50–479 PDF WASHINGTON : 2010 For sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512–1800; DC area (202) 512–1800 Fax: (202) 512–2104 Mail: Stop IDCC, Washington, DC 20402–0001 COMMITTEE ON EDUCATION AND LABOR GEORGE MILLER, California, Chairman Dale E. Kildee, Michigan, Vice Chairman John Kline, Minnesota, Donald M. Payne, New Jersey Senior Republican Member Robert E. Andrews, New Jersey Thomas E. Petri, Wisconsin Robert C. ‘‘Bobby’’ Scott, Virginia Howard P. ‘‘Buck’’ McKeon, California Lynn C. Woolsey, California Peter Hoekstra, Michigan Rube´n Hinojosa, Texas Michael N. Castle, Delaware Carolyn McCarthy, New York Mark E. Souder, Indiana John F. Tierney, Massachusetts Vernon J. Ehlers, Michigan Dennis J. Kucinich, Ohio Judy Biggert, Illinois David Wu, Oregon Todd Russell Platts, Pennsylvania Rush D. Holt, New Jersey Joe Wilson, South Carolina Susan A. Davis, California Cathy McMorris Rodgers, Washington Rau´ l M. Grijalva, Arizona Tom Price, Georgia Timothy H. Bishop, New York Rob Bishop, Utah Joe Sestak, Pennsylvania Brett Guthrie, Kentucky David Loebsack, Iowa Bill Cassidy, Louisiana Mazie Hirono, Hawaii Tom McClintock, California Jason Altmire, Pennsylvania Duncan Hunter, California Phil Hare, Illinois David P. Roe, Tennessee Yvette D. Clarke, New York Glenn Thompson, Pennsylvania Joe Courtney, Connecticut Carol Shea-Porter, New Hampshire Marcia L. Fudge, Ohio Jared Polis, Colorado Paul Tonko, New York Pedro R. Pierluisi, Puerto Rico Gregorio Kilili Camacho Sablan, Northern Mariana Islands Dina Titus, Nevada [Vacant] Mark Zuckerman, Staff Director Sally Stroup, Republican Staff Director (II) CONTENTS Page Hearing held on June 23, 2009 ............................................................................... 1 Statement of Members: Andrews, Hon. Robert E., a Representative in Congress from the State of New Jersey ................................................................................................ 8 Submission for the record: Statement of Hewitt Associates LLC ......... 209 Kline, Hon. John, Senior Republican Member, Committee on Education and Labor ...................................................................................................... 5 Prepared statement of ............................................................................... 7 Miller, Hon. George, Chairman, Committee on Education and Labor ......... 1 Prepared statement of ............................................................................... 4 Questions for the record submitted to Dr. Hacker ................................. 194 Questions for the record submitted to Dr. Romer .................................. 29 Submissions for the record: Statement of the HR Policy Association, Internet address to ........ 195 Price, Hon. Tom, a Representative in Congress from the State of Georgia . 10 Prepared statement of ............................................................................... 12 Articles submitted: From the Hill, June 10, 2009, ‘‘A Back-Door Path to a Govern- ment Takeover’’ ............................................................................... 218 From Politico, May 3, 2009, ‘‘To Reform, Create a Real Market- place’’ ............................................................................................... 220 From the Washington Times, April 1, 2009, ‘‘Getting Health Care Reform Right’’ ........................................................................ 221 Sablan, Hon. Gregorio Kilili Camacho, a Delegate in Congress from the Northern Mariana Islands, prepared statement of .................................... 13 Scott, Hon. Robert C. ‘‘Bobby,’’ a Representative in Congress from the State of Virginia, submissions for the record: Policy brief by the George Washington University Department of Health Policy .......................................................................................... 195 EPSDT amendment ................................................................................... 207 300 percent amendment ........................................................................... 208 Medicaid and CHIP amendment .............................................................. 208 Statement of Witnesses: Arensmeyer, John, founder & CEO, Small Business Majority ..................... 80 Prepared statement of ............................................................................... 82 Hacker, Jacob S., Ph.D., University of California, Berkeley, professor of political science; faculty co-director, Center on Health Economic & Family Security, Berkeley School of Law ................................................... 68 Prepared statement of ............................................................................... 70 Responses to questions for the record ..................................................... 194 Klein, James A., president, American Benefits Council ................................ 138 Prepared statement of ............................................................................... 141 Moffit Robert E., Ph.D., director, Center for Health Policy Studies, the Heritage Foundation ..................................................................................... 156 Prepared statement of ............................................................................... 157 Harvard Health Policy Review article, Internet address to ................... 156 Mullan, Fitzhugh, M.D., Murdock head professor of medicine and health policy, George Washington University ........................................................ 167 Prepared statement of ............................................................................... 169 Pollack, Ron, executive director, Families USA ............................................. 46 Prepared statement of ............................................................................... 48 Pollitz, Karen, research professor, Georgetown University Health Policy Institute ......................................................................................................... 127 (III) IV Page Statement of Witnesses—Continued Pollitz, Karen, research professor, Georgetown University Health Policy Institute—Continued Prepared statement of ............................................................................... 129 Romer, Christina D., Chair, Council of Economic Advisers .......................... 14 Prepared statement of ............................................................................... 18 Additional submission, ‘‘The Economic Case for Health Care Reform,’’ Internet address to ................................................................................ 24 Responses to questions for the record ..................................................... 30 Shea, Gerald M., assistant to the president, American Federation of Labor and Congress of Industrial Organizations (AFL–CIO) ................... 52 Prepared statement of ............................................................................... 54 Speranza, Paul S., Jr., vice chairman, general counsel and secretary, Wegmans Food Markets, Inc. ....................................................................... 63 Prepared statement of ............................................................................... 64 Stapley, Michael, on behalf of the ERISA Industry Committee ................... 75 Prepared statement of ............................................................................... 77 Vaughan, William, senior health policy analyst, Consumers Union ............ 149 Prepared statement of ............................................................................... 151 Visco, Fran, J.D., president, National Breast Cancer Coalition ................... 86 Prepared statement of ............................................................................... 87 Wcislo, Celia, assistant division director, SEIU United Healthcare Work- ers East .......................................................................................................... 134 Prepared statement of ............................................................................... 136 Young, ReShonda, Alpha Express, Inc. .......................................................... 164 Prepared statement of ............................................................................... 165 THE TRI–COMMITTEE DRAFT PROPOSAL FOR HEALTH CARE REFORM Tuesday, June 23, 2009 U.S. House of Representatives Committee on Education and Labor Washington, DC The committee met, pursuant to call, at 12:05 p.m., in room 2175, Rayburn House Office Building, Hon. George Miller [chair- man of the committee] presiding. Present: Representatives Miller, Kildee, Payne, Andrews, Scott, Woolsey, Hinojosa, McCarthy, Tierney, Kucinich, Davis, Loebsack, Hirono, Hare, Clarke, Courtney, Fudge, Polis, Tonko, Sablan, Titus, Kline, Petri, Castle, McMorris Rodgers, Price, Guthrie, Cas- sidy, Hunter, Roe, and Thompson, Staff Present: Aaron Albright, Press Secretary; Tylease Alli, Hearing Clerk; Jody Calemine,
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