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Congressional Record—House H2781 May 5, 1999 CONGRESSIONAL RECORD Ð HOUSE H2781 I find in my own State of Colorado priate that we should be embroiled in Now, how can we do that? Well, I will that there are thousands and thousands that debate, and there is a great deal of explain how this bill does that. of parents who are taking on the re- discussion about how we ensure that But there is a second aspect of our sponsibility of teaching their children Americans get quality health care. health care system that is equally bro- at home. But, as a part of that discussion, we ken, and that is access to health care. Mr. Speaker, recently I received a have left out a big piece of the debate. Let me explain that. copy of an article that was written by We have talked a lot on this floor Beginning during World War II, many a gentleman by the name of Steven Ar- about patient protection legislation. I employers wanted to be able to give cher, and he details a study that was want to make it very clear. I do think their employees additional incentives just done by Larry Rudner, who is the that we need HMO reform. I do believe to work for them and they wanted to leading statistician at the University that we need to do something to ensure do that by giving them raises. The gov- of Maryland. He studied home that Americans get the health care ernment, however, had instituted wage schoolers, and what it comes down to is that they purchase and that they pay and price controls. As a result of those this. for and that they deserve. wage and price controls, employers He said, But I want to make it equally clear were prohibited from giving their em- Regarding the results of this research, that the entire problem cannot be ployees additional raises. Rudner said, the bottom line of the study is solved by a mega-regulatory piece of So, the mind of man being ingenious, that the 20,000 home-school students I stud- legislation which puts a Band-Aid on they came up with the idea of saying to ied were doing extremely well in terms of the current problems in health care, their employees, ``We will give you their scores on the Iowa Test of Basic Skills. which addresses the short-term prob- health care benefits.'' And as a result In fact, the median test scores for home- lems we have and ignores the long- of a ruling of the IRS and a ruling of schooled children who participated in this study were in the 75th and 85th percentile term problems with our health care the Tax Code, what we established dur- range. This is exceptional compared to the system. And be sure, there are long- ing World War II was a policy which national average which, by definition, is the term problems. has driven employer-based health in- 50th percentile based on the performance of The Patients' Health Care Choice Act surance. And that policy says that if children in the public schools, which, Rudner is a bill that takes a long-range look at their employer provides them health explained, deviates little from that value. the health care industry and says that coverage, that health care coverage is Home schoolers also did significantly better we can do it better. Fundamentally, it a deductible expense to the employer. than their private school counterparts based operates on the premise that giving That is, he can deduct it from his tax on Catholic school norms where the median scaled scores were in the 65th to 75th per- Americans greater choice in their return before he pays taxes on that tax centile range. health care options, that giving them return or before she pays taxes on the According to Rudner, major findings in the greater access to health care and im- earnings of that business but, most im- study include the following: proving the incentives for them to pur- portantly, it is excluded from income Almost one-quarter of home-school stu- chase and consume health care services to the employer. That is to say, it is dents are enrolled one or more grades above in a responsible fashion will do far unlike wages, which would be taxed their age-level peers in public and private more to improve our health care sys- when received by the employee. In- schools. tem in America than a whole new set stead, health care benefits are excluded It goes on, Mr. Speaker, but I would of complex government regulations from income. just say that it verifies what we al- that try to mandate the marketplace Now, what has that meant? What it ready know about home schooling and and tell businesses how to run their has meant is that many, many busi- that is that it works, it works in an businesses. nesses offer very, very strong health academic sense, it works in a social Let me talk about those three issues care plans that have many aspects to sense. And I want to take the oppor- that I have just addressed, greater them and give Americans health care. tunity here today to thank Jerrod for choice and health care options. Today, That is very, very good. But there has his card, to thank Jerrod's parents for most Americans get their health insur- been an unintended consequence of giving him the opportunity to be home ance through their employer; and that that, one I already mentioned, and that schooled, and to thank all those thou- has been a good system. It has enabled is now we have got employers pur- sands and thousands, perhaps millions, millions of Americans to get health chasing health care, not individual em- of parents around the country who are care. But, regrettably, it does not give ployees, and that is taking away doing the same for their children. those Americans the kind of choice choice, as I already mentioned. f that we have everywhere else in the But another consequence of the cur- KOSOVO market. rent structure is that all of those If any one of us wants to go buy an Americans not fortunate enough to be The SPEAKER pro tempore. Under automobile, we have dozens we can working for an employer that offers the Speaker's announced policy of Jan- take our pick from. If we want to buy them health insurance coverage are uary 6, 1999, the gentleman from Cali- a pair of shoes or a new suit or a new left out of the system. fornia (Mr. CUNNINGHAM) is recognized home, we have virtually unlimited Let me try to explain that. If they for 60 minutes as the designee of the choices; and this is a great aspect of are a lucky American and they work majority leader. the American economy. for an employer who provides them Mr. CUNNINGHAM. Mr. Speaker, I But one of the drawbacks of the health care insurance, they are getting yield to the gentleman from Arizona health care system that we have in that health care from their employer (Mr. JOHN SHADEGG) who has, I think, a America today is that many Ameri- and they are getting a tax subsidy be- good health care proposal and is one of cans, indeed more than half of the cause their employer's cost is sub- our leaders in Congress on health care Americans who are insured, are given sidized. It is a deductible expense to issues. two choices or less. And indeed many the employer, and it is not income to PATIENTS' HEALTH CARE CHOICE ACT of those, and the statistics are dis- them. Mr. SHADEGG. Mr. Speaker, I thank puted, many in fact get only one But what about those uninsured the gentleman for yielding. And I pre- choice: Their employer says, ``You may Americans? Today, in America, there sume he is going to discuss with us a have this plan.'' are 43 million uninsured Americans. little bit later some issues about na- This bill, the Patients' Health Care How do we treat them under our Tax tional defense, and I will await hearing Choice Act, says we ought to be giving Code? The answer is we kind of give his topic and hearing his remarks. Americans a much broader choice. Let them the back of the hand. Mr. Speaker, today, on behalf of my- them pick the kind of health care plan Now what we say to them is they are self and 13 other colleagues, I have in- they want. Let them pick the plan that not going to get a subsidy from the troduced the Patients' Health Care suits their needs and their family's government for their health insurance. Choice Act, H.R. 1687. We are embroiled needs. Let them shop with their feet They are not going to get a tax write- in a great debate about health care re- and make market decisions about their off. What we are going to do is say to form in this Nation, and it is appro- health care. them, we are going to punish them. If H2782 CONGRESSIONAL RECORD Ð HOUSE May 5, 1999 they decide to go out and do something forward. We honestly believe that is a employer might do a calculation. To prudent and take some of their hard- giant step forward for Americans. insure a single young woman 21 years earned dollars and buy a health insur- I do not know how I am doing on old might be as little as $850 a year.
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