A new agreement would move the stalled reform bill forward in the U.S. House of Representatives, according to news accounts in The Washington Post, The New York Times, and other media outlets. An estimated $100 billion has been trimmed from the projected total cost of the bill, bringing cost estimates under $1 trillion. Among other compromises, House leaders reportedly agreed today that a public health insurance option would not use payment rates based on Medicare; instead, providers would be able to negotiate their rates. Also, small businesses with payrolls of $500,000 or less (as compared with a $250,000 threshold in the original draft bill) would not be required to offer insurance to employees. House Energy and Commerce Chairman Henry Waxman (D-Calif.) reportedly said that his committee will resume meetings on healthcare legislation on Wednesday with the hope of approving the legislation by Friday, before the House starts its August recess. A vote by the full House would take place in September.
Meanwhile, Senate Finance Committee Chair Max Baucus (D-Mont.) said that the Congressional Budget Office (CBO) is now estimating the cost of the health reform bill under development in the Senate at less than $900 billion over a 10-year period, substantially less than previous estimates. The cost of the Senate bill would be fully offset by tax increases and Medicare savings, the CBO reportedly concluded.
