SEIU Committee On Public Education | Title: "The Right Thing" | 30 Seconds

Republican National Committee ^ | September 13, 2004

[RWR8189]

Rhetoric

 

TRACY:  “I think George Bush is ignoring the health care needs in this country.”

 

CHYRON: Since George Bush took office … Over 96,000 people lost their health insurance in Wisconsin; Source: U.S. Census Bureau; Tracy Suprise, Wisconsin Registered Nurse

 

BRUCE: “I don’t think George Bush has done anything for health care, not that I can see.”

 

CHYRON: Since George Bush took office … Health insurance premiums increased 41% in Wisconsin; Source: Agency for Healthcare Quality Research and Kaiser Family Foundation; Bruce Moore, Dane County Home Care Aide

 

TRACY:  “George Bush has sided with the pharmaceutical industry on every issue with respect to drugs.”

 

CHYRON: George Bush’s Drug Bill … Prohibits Medicare from negotiating for lower Rx prices; Source: Time Magazine, 2/2/04

 

The Facts

 

President Bush Has Increased Ability Of Working Americans

To Save For And Control Their Health Care Expenses

 

President Bush Enacted Health Savings Accounts (HSAs) To Help Millions Of Americans With Out-Of-Pocket Medical Expenses, And Offered New Proposal To Make HSAs Even More Affordable.  “The Medicare bill that President Bush signed into law establishes new tax-free savings accounts for individuals and groups who purchase affordable high-deductible health plans. Businesses and individuals who take advantage of these accounts will save substantial sums on health insurance premiums and gain more control over health care expenditures. The tax-free, portable accounts will help families pay their routine medical expenses and provide a tax-preferred means of saving for future health care needs. … The President’s proposal will allow individuals who establish HSAs to deduct the premiums they pay for their low-premium, high-deductible health insurance policies. This new deduction will be available to taxpayers whether or not they itemize. It will reduce the net cost of these policies and encourage the use of HSAs for saving for health care needs and making wise, cost-effective health care choices.”  (The White House, “Expanding Access And Increasing The Affordability Of Health Insurance Through Health Savings Accounts,” Fact Sheet, 8/9/04)

 

ü      Tens Of Thousands Have Purchased HSAs Since They Became Available On January 1, 2004.  “HSAs became available to consumers on January 1, 2004, and real data is emerging to replace speculation. In the first six months, tens of thousands of Americans have purchased HSAs. … Assurant Health received applications representing 56,396 members for Individual HSAs in the first four months of 2004, far more than the number of MSA applications Assurant received in the first four months of 2003.”  (Laura Trueman, “Health Savings Accounts: Myth Vs. Fact,” Brief Analysis No. 479, National Center For Policy Analysis, 7/19/04)

 

ü      Almost One-Third Of Applicants With eHealthInsurance Were Uninsured For At Least Six Months Prior To Signing Up For HSAs.  “Nearly one-third (32.8 percent) of all HSA applicants to eHealthInsurance – and about half of those with incomes under $35,000 – had not had coverage for at least six months prior to enrollment.” (Laura Trueman, “Health Savings Accounts: Myth Vs. Fact,” Brief Analysis No. 479, National Center For Policy Analysis, 7/19/04)

 

ü      “Nearly Half (46 Percent) Of HSA Purchasers Have Family Incomes Of Less Than $50,000, According To eHealthInsurance.” (Laura Trueman, “Health Savings Accounts: Myth Vs. Fact,” Brief Analysis No. 479, National Center For Policy Analysis, 7/19/04)

 

Access To Health Care Has Improved For Children And Those Without Insurance

 

Number Of Uninsured Children At “Lowest Level On Record” In 2003.  “The percentage of American children with no health insurance has dropped to the lowest level on record because of expanded state programs, the government said … Only 10.1 percent of U.S. children were uninsured last year, the lowest level ever recorded by the Centers for Disease Control and Prevention. In 1997, 13.9 percent were not covered by health insurance. … Around 2.6 million more children were insured last year than in 1997, the CDC said.”  (Daniel Yee, “CDC: Uninsured Children Hits Lowest Level,” The Associated Press, 6/30/04)

 

ü      All Eligible Children Will Be Covered Under President Bush’s Plan.  “The President will launch a nationwide, billion dollar Cover the Kids campaign to sign up more children for quality health care coverage. The Cover the Kids campaign will combine the resources of the Federal Government, states, and community organizations, including faith-based organizations, with the goal of covering all SCHIP-eligible children within the next two years.”  (Bush-Cheney ‘04 Website, “Agenda For America,” www.georgewbush.com/Agenda, Accessed 9/11/04)

 

Under Bush Administration, 30% More Uninsured And Medically Underserved Individuals Are Receiving Care Through Community Health Centers. “Since 2001, the Bush Administration has increased the number of people served in health centers by almost 30%. When the President took office, there were approximately 3,300 health center sites serving approximately 9.6 million patients, including 4 million uninsured individuals. President Bush recognized the needs of the uninsured and medically underserved communities and promised to open or expand 1,200 health center sites to serve an additional 6.1 million Americans by 2006. By the end of March 2004, the Department of Health and Human Services (HHS) will have opened or expanded 614 health center sites.” (“Fact Sheet: Expanding Access To Health Care For Millions Of Americans,” The White House, 5/25/04)

 

ü      In His Second Term, President Bush Will Ensure That Each Of America’s Poorest Communities Has A Health Center.  (Bush-Cheney ‘04 Website, “Agenda For America,” www.georgewbush.com/Agenda, Accessed 9/11/04)

 

President Bush Acted To Reduce Prescription Drug Costs For Millions Of Wisconsin Seniors

 

Medicare Law Signed By President Bush Provides Significant Prescription Drug Savings For All 806,366 Wisconsin Medicare Beneficiaries.  “Beginning in 2006, all 806,366 Medicare beneficiaries living in Wisconsin will be eligible to get prescription drug coverage through a Medicare-approved plan. In exchange for a monthly premium of about $35, seniors who are now paying the full retail price for prescription drugs will be able to cut their drug costs roughly in half. In many cases, they’ll save more than 50 percent on what they pay for their prescription medicines.”  (“What The Act Means For Wisconsin,” Fact Sheet, U.S. Department Of Health And Human Services, 12/8/03)

 

Under New Medicare Law, Seniors Are Now Using Drug Discount Cards To Save Up To 18 Percent On Name Brand Drugs And 30-60 Percent On Generics.  “Seniors and people with disabilities can begin using their Medicare-approved drug discount cards to garner savings on prescription medicines. … Analysis by CMS shows that Medicare beneficiaries can expect discounts of up to 18 percent off the average retail prices for name brand drugs and discounts of between 30 and 60 percent on generic drugs. Mail order and Internet discounts through the cards offer savings of up to 24 percent from comparable services.” (U.S. Department Of Health And Human Services, “HHS Secretary Urges Seniors To Sign Up For Discount Cards,” Press Release, 6/1/04)  

 

ü      Low-Income Seniors Can Receive $1,200 Credit Over The Next 18 Months That Will Offer Savings Of 30 To 70 Percent On Their Prescription Expenses.  “On top of the discounts, low-income beneficiaries can qualify for a $600 credit this year to help pay for their prescription medicines and another $600 in 2005. Any money from the credit not spent this year will carry over into 2005. For millions of low-income beneficiaries, these savings translate to 30 to 70 percent or more reductions in their drug costs.”  (U.S. Department Of Health And Human Services, “HHS Secretary Urges Seniors To Sign Up For Discount Cards,” Press Release, 6/1/04)  

 

ü      “Over 4 Million Seniors Already Are Saving On Their Prescription Medicines Through Medicare-Approved Prescription Drug Discount Card.”  (U.S. Department Of Health And Human Services, “HHS Proposes New Rules To Deliver Better Benefits And Savings On Drugs For Medicare Beneficiaries,” Press Release, 7/26/04)

 

Bush Administration Implemented Program To Save Consumers As Much As $3.5 Billion Each Year By Moving Low-Priced Generic Drugs To The Market Faster.  “President Bush today announced new regulations to hasten the pace at which generic drugs are brought to market, a measure the administration says will save $3.5 billion annually after it takes effect Aug. 18. … Specifically, the regulations will limit original drugmakers to one 30-month ‘stay’ blocking the entry of generic drugs by filing patent lawsuits. … The FDA also said it will make internal changes, speeding its review procedures to reduce the time it takes for generic drugs to be declared safe. With a $13 million increase in its budget for generic drugs requested by Bush, the FDA aims to reduce its generic drug application process to 17 months from 20 months.”  (Dana Milbank, “New Drug Rules Aim To Speed Generics,” The Washington Post, 6/13/03)

 

Government Price Negotiation Will Not Reduce Cost Of Prescription Drugs For Seniors

 

According To Nonpartisan Congressional Budget Office, Government Negotiation Of Drug Prices Would Not Reduce Costs; Under New Medicare Law, Private Plans Will Negotiate “Substantial Savings.”  “CBO has examined the effect of striking the ‘noninterference’ provision (section 1860D-11(i) of the Social Security Act) as added by P. L. 108-173, the Medicare Prescription Drug, Improvement, and Modernization Act of 2003. That section bars the Secretary of Health and Human Services from interfering with the negotiations between drug manufacturers and pharmacies and sponsors of prescription drug plans, or from requiring a particular formulary or price structure for covered Part D drugs. We estimate that striking that provision would have a negligible effect on federal spending because CBO estimates that substantial savings will be obtained by the private plans and that the Secretary would not be able to negotiate prices that further reduce federal spending to a significant degree. Because they will be at substantial financial risk, private plans will have strong incentives to negotiate price discounts, both to control their own costs in providing the drug benefit and to attract enrollees with low premiums and cost-sharing requirements.”  (Douglas Holtz-Eakin, Director, Congressional Budget Office, Letter To Senate Majority Leader Bill Frist, 1/23/04)

 

ü      CBO Estimated Private Plans Offering New Medicare Prescription Drug Benefit Will Cut Drug Costs By 20 To 25 Percent For Individuals Currently Without Coverage.  (Douglas Holtz-Eakin, Director, Congressional Budget Office, Letter To Honorable Don Nickles, Table 2, 11/20/03)

 

Kerry Was For Ban On Government Price Negotiation Before He Was Against It

 

In 2000, Kerry Co-Sponsored Democrat Legislation That Prohibited Medicare From Negotiating Drug Prices.  The bill, which was introduced by Senator Daschle and co-sponsored by Senator Kerry, included this provision: “NONINTERFERENCE.--In administering the prescription drug benefit program established under this part, the Secretary may not-- (1) require a particular formulary or institute a price structure for benefits; (2) interfere in any way with negotiations between private entities and drug manufacturers, or wholesalers; or (3) otherwise interfere with the competitive nature of providing a prescription drug benefit through private entities.”  (S.2541, Introduced 3/10/00; S.2541, Thomas Bill Summary, Introduced 5/10/00; Julie Rovner, “GOP, Dems Spar Over Negotiating Language In Drug Law,” National Journal’s CongressDaily, 2/10/04)

 

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Rhetoric

 

WALTER:  “John Kerry has a plan for health care.”

 

ANN: “All children will be covered.”

 

WALTER: “It will help lower insurance premiums.”

 

CHYRON: Walter Ormes, Onataska School Employee; Ann Louise Tetreault, Wisconsin Registered Nurse

 

BRUCE: “He’ll do the right thing.”

 

TRACY:  “And that’s why the Service Employees International Union Committee on Political Education is responsible for the content of this ad.”

 

CHYRON: Quality Affordable Health Care for All

 

CHYRON: Paid For By The Service Employees International Union Committee On Political Education, 202.898.3200.  Not Authorized By Any Candidate Or Candidate’s Committee.  The Service Employees International Union Committee On Political Education Is Responsible For The Content Of This Advertising.

 

The Facts

 

Kerry Plan Takes Wrong Approach To Expanding Coverage

 

Kerry Plan Offers Poor Quality Of Care For Those Who Are Pushed Into Government Health Insurance.  “Quality of care will suffer under the Kerry proposal. People who go from employer plans to Medicaid will have fewer choices of doctors, longer waits for care, and inevitable health-care rationing.”  (John C. Goodman, Op-Ed, “Kerrycare,” The Wall Street Journal, 8/26/04)

 

Kerry’s Plan For Children’s Health Insurance “Is A Compact That Many States May Not Want Or Be Able To Afford.”  “Kerry would pay for his more costly plan by eliminating future tax cuts for the top 2 percent of taxpayers and would shift part of the cost of his health-insurance plan from Washington to state capitals, said Sarah Bianchi, national policy director for the Kerry campaign. Bianchi said Kerry would ‘strike a new compact with the states.’ But it is a compact that many states may not want or be able to afford. Kerry would have the federal government pay the full cost of health insurance for the 20 million children enrolled in Medicaid. In return, states would have to agree to expand the coverage of children in families with income up to three times the poverty level, cover their family members if the family’s income is less than twice the poverty level, and assure that very poor adults without children receive health insurance.” (Lawrence M. O’Rourke, “Wide Gulf Between Bush, Kerry Health-Care Plans,” Scripps Howard News Service, 6/28/04)

 

Kerry’s FEHB-Style Purchasing Pool Would Probably Attract Older, Sicker Individuals But Not Provide Enough Benefit For The Average Uninsured, Low-Income Person To Buy In.  “The basic problem with KerryCare is its impracticality. Take his commitment to provide federal employee-style health care to every interested individual or business. Since joining would be voluntary, the odds are that the older and less healthy would be overrepresented in the rolls. Further complicating matters is Kerry’s plan to make the insurance community-rated. This attempt at equity would further attract older, sicker patients (they would get a relatively good price on the insurance), while those typically without insurance – healthy, young men and women with low incomes – would balk at the cost.”  (David Gratzer, “From HillaryCare To KerryCare,” The Weekly Standard, 5/24/04)

 

Kerry Plan Will Not Lower Cost Of Health Insurance

 

Kerry’s Plan Would Shift More Health Care Costs To Taxpayers Without Reducing Spending.  “Mr. Kerry would partly take the burden off employers by making government responsible for 75% of the cost of catastrophic cases, those running up more than $50,000 in bills. He says these cases account for nearly 20% of private insurers’ costs. But then what? The cost is just transferred to taxpayers but there’s no injection of efficiency into incentives, no reason to imagine total costs won’t continue to grow wildly.” (Holman W. Jenkins, Jr., Op-Ed, “Faint, Desperate Hope For Health Care Leadership,” The Wall Street Journal, 3/17/04)

 

ü      President Of National Business Group On Health Said “Giving The Government Responsibility For Highest-Cost Medical Cases Shows A ‘Blank-Check Mentality.’”  “The notion is to have taxpayers take the risk of very costly illnesses in exchange for companies’ agreeing to cover all workers, funnel savings to them and take steps to slow the growth of health spending. Mr. Thorpe estimates that companies would have to spend $68 billion over 10 years to provide the required coverage, resulting in a net savings of $222 billion for the companies. … Helen Darling, president of the National Business Group on Health, a coalition of employers, said that the idea is appealing to business ‘if you were voting only on that particular provision.’ But, she adds, giving the government responsibility for highest-cost medical cases shows a ‘blank-check mentality.’ Once a worker’s bill hits the ceiling, she says, ‘there’s no reason for anyone to pay attention to costs.’” (Sarah Lueck, “Businesses Are Wary Of Kerry Health Plan,” The Wall Street Journal, 7/26/04)

 

ü      Because Kerry Puts Mandates On Businesses In Order To Qualify For Reinsurance Pool, Large Employers With Many Part-Time Workers Probably Would Not Participate. “To qualify, companies would have to institute disease-management programs, which are designed to help reduce the long-term expense of such chronic illnesses as diabetes and heart disease. In addition, employers would have to offer health coverage to all workers, including part-timers. Employers, therefore, would have to weigh the cost of covering all workers against the benefit of the subsidy. Large employers with many part-time workers - such as Wal-Mart, for example - probably would pass, [health policy expert Ken] Thorpe said.”  (Marilyn Werber Serafini, “Targeting The ‘Worried Insured,’” National Journal Magazine, 2/7/04)

 

Kerry Hasn’t Explained How He’ll Pay For His Costly Health Care Promises

 

Kerry-Edwards Health Care Plan Could Cost As Much As $950 Billion Over A Decade, But Nonpartisan Tax Policy Center Found That Reversing Tax Cuts For Top Two Income Tax Brackets Would Produce Only $860 Billion.  (Ceci Connolly and Jonathan Weisman, “The Choice For Voters: Health Care Or Tax Cuts,” The Washington Post, 6/28/04)

 

ü      “Many Experts” Unsure That Repealing Tax Cuts Would Generate Enough Money To Fund Kerry’s Plan.  “Kerry says he plans to finance the plan by withdrawing the Bush tax cuts for families earning more than $200,000 a year. But it might take more. ‘Many experts aren’t sure [the proposed tax change] can generate this kind of money,’ [Harvard health policy expert Robert] Blendon said.”  (John Dorschner, “With Everyone From White-Collar Employees To The Working Poor And Seniors …” The Miami Herald, 6/27/04)

 

BusinessWeek Analysis Called Kerry’s Health Care Plan “Complex, Very Costly” And Said “The Biggest Downside To The Kerry Plan Is Its Massive Cost.”  (Howard Gleckman, Analysis, “Whose Plan Is Healthier?” BusinessWeek, 5/24/04)

 

Kerry Opposes Medical Liability Reform That Would Lower Cost Of Health Care And Improve Access

 

Kerry Opposed Or Voted To Block Medical Liability Reform At Least Ten Times.  (H.R. 956, CQ Vote #137: Motion Rejected 39-61: R 10-44; D 29-17; I 0-0, 5/2/95, Kerry Voted Yea; H.R. 956, CQ Vote #140: Motion Agreed To 65-35: R 24-30; D 41-5, 5/2/95, Kerry Voted Yea; H.R. 956, CQ Vote #141: Motion Agreed To 56-44: R 13-41; D 43-3, 5/2/95, Kerry Voted Yea; H.R. 956, CQ Vote #144: Passed 53-47: R 48-6; D 5-41, 5/2/95, Kerry Voted Nay; H.R. 956, CQ Vote #151: Motion Rejected 46-53: R 44-10; D 2-43; I 0-0, 5/4/95, Kerry Voted Nay; H.R. 956, CQ Vote #152: Motion Rejected 47-52: R 45-9; D 2-43; I 0-0, 5/4/95, Kerry Voted Nay; H.R. 956, CQ Vote #160: Motion Agreed To 54-44:: R 46-7; D 8-37, 5/10/95, Kerry Voted Nay; H.R. 956, CQ Vote #161: Passed 61-37: R 46-7; D 15-30, 5/10/95, Kerry Voted Nay; S. 1052, CQ Vote #212: Motion Agreed To 52-46: R 2-45; D 49-1; I 1-0, 6/29/01, Kerry Voted Yea; S. 812, CQ Vote #197: Motion Agreed To 57-42: R 6-42; D 50-0; I 1-0, 7/30/02, Kerry Voted Yea) 

 

Kerry Missed Both 2004 Votes, As Well As 2003 Vote, On Medical Liability Reform Legislation.  (S. 2061, CQ Vote #15: Motion Rejected 48-45: R 47-3: D 1-41; I 0-1, 2/24/04, Kerry Did Not Vote; S. 2207, CQ Vote #66: Motion Rejected 49-48: R 48-3; D 1-44; I 0-1, 4/7/04, Kerry Did Not Vote; S. 11, CQ Vote #264: Motion Rejected 49-48: R 49-2; D 0-45; I 0-1, 7/9/03, Kerry Did Not Vote) 

 

ü      Medical Liability Reform Could Save Between $60 Billion And $108 Billion In Health Care Costs Annually, Making Health Insurance More Affordable For Millions.  “The [medical malpractice] litigation system also imposes large indirect costs on the health care system. Defensive medicine that is caused by unlimited and unpredictable liability awards not only increases patients’ risk but it also adds costs. The leading study estimates that limiting unreasonable awards for non-economic damages could reduce health care costs by 5-9% without adversely affecting quality of care. This would save $60-108 billion in health care costs each year. These savings would lower the cost of health insurance and permit an additional 2.4-4.3 million Americans to obtain insurance.”  (“Confronting The New Health Care Crisis: Improving Health Care Quality And Lowering Costs By Fixing Our Medical Liability System,” U.S. Department Of Health And Human Services, 7/25/02)

 

[Brainhose]

A very young John Edwards training for his future career.