Democrats counter that report by saying that the Congressional Budget Office's numbers do not reflect the savings the plan would create by "taxing" unhealthy foods like "sugar".
The plan which was authored by Senator Kennedy does not include the government run health insurance sought by Obama or the Democrats plan to extend Medicaid benefits to anyone making less than 150 percent of the federal poverty level. The Congressional Budget Office says that this would add significantly to the cost of the bill.
Enacting the Kennedy plan, nonetheless, "would result in a net increase in the federal budget deficits of about $1 trillion," says the CBO. "That estimate primarily reflects the subsidies that would be provided to purchase coverage through the new insurance exchanges, which would amount to nearly $1.3 trillion in that period."
The final figure comes in at $1.042 trillion due to revenue provided by increased taxes as people moved from employer-based, tax-free coverage to other forms of insurance, penalties for being uninsured, and reduced payments to physicians under Medicaid.
"Those costs would be partly offset by receipts or savings from three sources: increases in tax revenues stemming from the decline in employment-based coverage; payments of penalties by uninsured individuals; and reductions in outlays for Medicaid and CHIP."
The CBO also said that, if enacted, the bill would break a key promise made by Obama: that those with private health insurance would not be harmed.
"[T]he number of people who had coverage through an employer would decline by about 15 million (or roughly 10 percent), and coverage from other sources would fall by about 8 million," the report says.
On top of all this folks Representative Charles Rangel(D)(NY)Chairman of the Ways and Means Committee says that the Democrats plan will include $600 billion in tax increases and $400 billion in cuts to Medicare and Medicaid.
So 600 Billion in tax increases (coming from you of course), they want to Tax unhealthy foods and cut Medicaid and Medicare by 400 billion.
First, almost any food could be considered unhealthy, bacon,hot dogs,bologna,ham,potato chips, ring dings, etc., you get the idea, and by taxing "sugar" they are going to cause a rise in costs of not just sugar, but everything containing it (which is almost everything you eat. So your pocketbook will feel it there as well).
Cutting Medicaid and Medicare will reduce benefits to those who now rely on it.
There are an estimated 46 million without health care in the United States, the Democrats plan would extend coverage to 16 million Americans, still leaving 30 million uninsured.
Do you still think this is about getting health care coverage for every American and making it affordable ? Wake up people before it's too late !
Read more here and here.