White House Officials Fear Congressional Budget Office Ruling on Clinton Health Plan

Strategic Insights -

President Clinton's health plan is facing another political hurdle as White House officials worry that the Congressional Budget Office (CBO) will rule that mandatory insurance premiums must be treated as part of the Federal budget. This decision would undermine the plan's chances of passage in Congress. However, officials are taking comfort in reports that the CBO has found the Administration's cost estimates to be reasonably accurate. The CBO is set to testify on Tuesday before the House Ways and Means Committee, and its director, Robert D. Reischauer, is expected to give his estimate of the plan's cost.

Key Takeaways:

  • The Congressional Budget Office is set to release its estimate of the cost of President Clinton's health plan, which the White House fears will be unfavorable.
  • The CBO's ruling on whether mandatory insurance premiums must be treated as part of the Federal budget could impact the plan's chances of passing in Congress.
  • Administration officials and their allies in Congress expect bad news from the CBO's testimony, despite reports that the cost estimates are reasonably accurate.
  • The plan proposes that employers pay at least 80% of health insurance premiums for their workers, with employees paying the remainder.
  • Senior Democrats in Congress have expressed concern that the CBO may classify the premiums as receipts, which could suggest that the plan is a government program.
  • The Business Roundtable, the United States Chamber of Commerce, and the National Association of Manufacturers have voiced opposition to the plan, citing excessive government involvement and regulation.

Statistics:

  • The plan proposes that employers pay at least 80% of health insurance premiums for their workers.
  • The employees would pay the remaining 20% of the premiums.
  • The Congressional Budget Office is set to testify on Tuesday before the House Ways and Means Committee.

Sources:

  • "White House Officials Said to Be Bracing for New Blow."
  • Robert D. Reischauer, Director, Congressional Budget Office.

Note: The exact date of the article is not specified, but based on the content, it appears to be from 1993.