Democrats' Health Care Reform Plan: A Complex Web of Federal Programs and Bureaucracy

House Democrats' health care reform proposal, a plan that would expand health care benefits to tens of millions of uninsured Americans and create a public health insurance plan, has drawn criticism from Congress' official scorekeeper and Republicans, who warn of a massive government bureaucracy that will threaten doctor-patient relationships. The plan would create at least a dozen new federal programs, boards, and task forces, a feat that analysts say will likely take years to fully implement. As the proposal is merged with the Senate plan this fall, many regulatory decisions won't be made until after the legislation is enacted.

Key Takeaways:

• The health care reform plan proposed by House Democrats would create at least a dozen new federal programs, boards, and task forces, contributing to the proposal's hefty price tag of roughly $1 trillion over 10 years.
• The plan would establish a public health insurance plan and a health insurance exchange, a clearinghouse where consumers will be able to shop for public or private coverage.
• Three boards would be set up to advise the health and human services secretary on policy, including the Health Benefits Advisory Committee, which will recommend the basic requirements of insurance plans.
• The plan would require carriers to issue basic coverage to all Americans, with exceptions for the poor, and would fund part of its costs through three trust or investment funds.
• The Health and Human Services Department's new Health Choices Administration would oversee much of the bill's programs, and the Internal Revenue Service would face new responsibilities to help track who has insurance on federal tax forms.
• Republicans have expressed concern over the plan's cost, with the Congressional Budget Office estimating a $239 billion increase in the federal deficit over 10 years.
• Democrats have disputed the CBO's estimate, saying the office cannot fully judge the bill's cost-cutting measures, and argue that the plan is necessary for expanding health care benefits and increasing competition among private insurers.

Statistics:

• The health care reform plan would cost roughly $1 trillion over 10 years.
• The Congressional Budget Office estimates a $239 billion increase in the federal deficit over 10 years.
• 50 million Americans are currently without health insurance.
• The plan would establish a public health work force corps and a public health work force scholarship program, designed to encourage young people into public health careers.
• The Health Choices Administration would oversee much of the bill's programs, with the Internal Revenue Service facing new responsibilities to help track who has insurance on federal tax forms.

Sources:

• THE WASHINGTON TIMES (Jennifer Haberkorn)
• Congressional Budget Office
• Senate Republicans
• House Democrats
• Rand Health in Rand Corp.