In Support Of H.R. 5218, Matt'S Health Insurance Plan Act Of 2004
Mr. Speaker, I rise today to discuss H.R. 5218, Matt's Health Insurance Plan Act of 2004, which I introduced last month. This bill has a very personal meaning to me, and I believe it is integral to solving America's health care crisis.…
Mr. Speaker, I rise today to discuss H.R. 5218, Matt's Health Insurance Plan Act of 2004, which I introduced last month. This bill has a very personal meaning to me, and I believe it is integral to solving America's health care crisis.
Today in this country, over 40 million Americans live without health coverage. These Americans are people just like you and me. Citizens who work full-time jobs where no health care is offered. Parents who work two and three part-time jobs just to feed their children and provide a safe place to live. Entire families where values like hard work and responsibility mean something, but where no member of that family can find full-time work with full benefits in a struggling economy.
Americans who don't have health coverage too often don't have access to health care. In a day and age when morals dominate the political landscape of this country, how can we remain indifferent to the millions of Americans who can't receive the care they need? This is the biggest moral problem our country has. It's time we fixed it.
Let me tell you why this is so important to me. Three decades ago, when I was an attorney in St. Louis, my two year old son Matt was diagnosed with what they said was terminal cancer. My wife Jane and I were told he probably wouldn't last six weeks.
In the end, we were among the most fortunate in more ways than one. My law firm had a health plan, and it was the only way we could afford the new and experimental therapies. That insurance plan, the talented doctors and nurses, and the grace of God saved Matt's life.
But I remember the nights we spent in the hospital waiting room talking to the parents of another patient--a child with severe cancer from a family who couldn't afford health insurance. Those parents didn't know what to do. All they could do was pray. As long as I live, I will never forget the terror in their eyes. In this country, it should never be this way.
Matt's Plan, named after my son, is my vision for how we can cover everyone in America with health insurance--with no new bureaucracy and no nationalized plan. This is more than just a health care plan. It's also an economic stimulus plan designed to create jobs and get this economy moving again.
The plan is essentially this: we pass a law requiring every employer to provide access to quality coverage, with employer tax credits covering most of the cost.
Today, an employer can take a tax deduction that would cover about 30 percent of the cost of health insurance. But that deduction is effectively worthless when a company is struggling and losing money in this economy.
There are also far too many employers who fail to provide health insurance because the tax deduction doesn't come close to covering the cost of the insurance premiums. As a result, millions of families are left without health insurance.
My plan would change that. Employers who don't currently offer health insurance would be required to offer a quality health plan, and they'd receive a refundable tax credit equaling 60 percent of the full cost of the premium. A tax credit they'd pass through completely to their employees in the form of health insurance. Employers would only be responsible for 60 percent of the full cost of the premium and would not be required to contribute to the cost of health coverage beyond the nominal administrative cost of providing health insurance coverage. Employees would not be required to pay more than 40 percent of the premium cost.
And for those employers who currently do offer health insurance, my plan replaces the existing tax deduction with a 60 percent refundable tax credit--a tax credit on the employer's share of the premium, which puts more money directly into the business that has been doing the right thing. `Refundable' means the employer will receive the credit, regardless of whether they're making a profit.
This health care plan leaves no American on their own. The 60 percent tax credit would apply to part-time employees. It would apply to retiree health benefits paid by former employers. It would apply to the self-employed. And state and local governments would receive federal assistance equal to 60 percent of their health care costs.
My plan would allow individuals between the ages of 55 and 64 to buy into Medicare coverage at no cost to the federal government. It would subsidize 65 percent of the cost of COBRA health insurance for the unemployed. It would subsidize low-wage workers who are below or near the poverty line who can't afford their share of the premium. And it would modify the SCRIP Program for uninsured low income children, expanding it to include their parents, and expanding efforts to find those families who qualify.
Under my plan, employers who already offer health insurance would see an immediate reduction in their overhead. The economic stimulus would result in billions of dollars in increased wages and benefits, more money in the pockets of the average family, and more jobs. And the result of adding millions of Americans to the ranks of the insured means more preventive care, far fewer trips to the emergency room, and lower health care costs for everyone.
Mr. Speaker, I have introduced this bill so that Matt's Plan will become part of the public record on the health care debate. I hope that as Congress continues to deal with the health care problem in America, someone will reintroduce this bill and develop this plan further.
To me, this plan is a bold, innovative idea that can work--an idea that can bridge a canyon of fear and illness and cover everyone in America with health insurance, and jump start the economy at the same time. It's morally
right and economically sensible. Healthy workers are productive workers. And healthy families make for a stronger America.