WASHINGTON WIRE
October 9, 2009
Issue 217
For daily updates on the healthcare reform debate, please see and bookmark PPSV's Healthcare Reform Resource Center
CBO RELEASES SCORE OF REVISED SENATE FINANCE HEALTHCARE REFORM MARK
Grassley Takes Aim at Nonprofits' Executive Pay and Benefits Practices
House Committee Sends Ryan White Bill to the Floor
PPSV Principal Selected for Coulter Award
Top Story
CBO RELEASES SCORE OF REVISED SENATE FINANCE HEALTHCARE REFORM MARK
On Wednesday, October 14, the Congressional Budget Office (CBO) released a cost estimate of the Senate Finance Committee proposal for healthcare reform. The proposal, which the Committee finished marking up earlier this month, would cost $829 billion over 10 years and reduce the deficit by $81 billion.
The CBO estimate is good news for proponents of healthcare reform, as Democrats had aimed to spend $900 billion or less. CBO also found that the bill would expand insurance coverage to 94 percent of Americans under age 65. The Committee is scheduled to vote on the bill next week.
Before a bill can be brought to the Senate floor, Senate leadership must merge the Senate Finance and HELP Committees versions of the legislation. The HELP Committee's bill is viewed as the more liberal bill, with a national federal public option and an employer mandate. The Finance Committee bill lacks the employer mandate and does not include a public option, but includes a "free rider" fee for larger employers and appropriates funding for non-profit cooperatives to compete with private insurance companies.
Health Care News
Grassley Takes Aim at Nonprofits' Executive Pay and Benefits Practices
Senate Finance Committee Ranking Member Charles Grassley (R-IA) has drafted two amendments meant to counter what he sees as excessive executive pay and governance abuses in nonprofits. Although Grassley did not offer the amendments during the mark up of the Senate Finance healthcare reform bill, he could still offer the amendments if that bill goes to the Senate floor or offer them to another bill altogether.
Grassley appears to be particularly interested in the activities of non-profit hospitals and their foundations. The Finance healthcare reform proposal already includes provisions regarding tax-exempt organizations, such as new requirements for charitable hospitals. But Grassley's amendments would further tighten the rules for tax-exempt organizations, partially by removing a "safe harbor" for reasonable compensation available to these organizations. The Treasury Department created the safe harbor, allowing charities that follow specified rules an exemption from taxes that might otherwise be imposed on managers who approve "unreasonable" benefit transactions and salaries.
House Committee Sends Ryan White Bill to the Floor
On Thursday, October 15, the House Energy and Commerce passed a bill that would extend the Ryan White CARE Act for three years. The ACT was scheduled to expire on October 20. A Senate committee last month passed the bill, which extended the Act for four years.
The federal program provides assistance to low-income and uninsured Americans living with HIV/AID. The program would receive about $2.5 billion annually through the pending bill. About 500,000 people receive services through Ryan White each year.
PPSV in the News
PPSV Principal Selected for Coulter Award
PPSV Principal Bobby Silverstein was selected as the recipient of the Coulter Lectureship by the American Congress of Rehabilitation Medicine. ACRM awarded Bobby Silverstein for his work in the field of rehabilitation medicine. The lectureship was created in 1950 to honor Stanley Coulter in commemoration of his many contributions to the specialty of physical medicine and rehabilitation.
Upcoming Events
Hearings
Tuesday, October 13
Senate Finance Committee
Open Executive Session to Consider Healthcare Reform Bill
10:00 a.m., 216 Hart Senate Office Building
Thursday, October 15
Senate Committee on Health, Education, Labor and Pensions
Hearing on Equal Health Care for Equal Premiums
10:30 a.m., SD-430
House Energy and Commerce Committee
Subcommittee on Oversight and Investigations
Hearing on the Underinsured
1:30 p.m., 2123 Rayburn
For More Information
For further information on any topics discussed or publications listed, or to get copies of anything mentioned in this alert, please call (202) 466-6550 and ask for the Legislative Practice Group.
Powers Pyles Sutter & Verville P.C. is a full service law firm specializing in health care and education law and located at 1501 M St., NW 7th Floor, Washington DC 20005
© Copyright 2009, Powers Pyles Sutter & Verville P.C.
All rights reserved.
