[StBernard] Correspondence from Senator Landrieu

[Westley Annis]

Editor's note: This is an email I received from Landrieu's office. I didn't
remove the paragraph marks, this is how it came. :(

-----Original Message-----

December 10, 2009 Mr. Westley Annis 201 Julia Street Thibodaux, Louisiana
70301 Dear Mr. Annis: Thank you for voicing your concerns with the Senate
health care bill, "The Patient Protection and Affordable Care Act." The bill
is currently being debated and amended on the Senate floor and your
perspective is valuable as we move forward. After a thorough review, I
believe there are significant reforms and safeguards in this bill that
demonstrate some important progress in the right direction. However, much
more work needs to be done before I can support the bill. First, allow me to
elaborate on the components of the Senate bill that signal important and
needed change. To begin, small businesses would no longer be confronted with
extreme and volatile cost increases. Stable and predictable healthcare costs
are a chief concern of small business owners across the country.
Entrepreneurs have repeatedly told me how their financial viability has been
threatened by skyrocketing insurance premiums - after an employee gets sick.
This bill prevents insurance companies from hiking up rates or dropping
coverage after an employee gets sick. That crucial change will allow small
businesses owners to do what they do best - plan smart investments, expand
their businesses, and help us revive our economy - without incurring massive
debt related to health costs. A second important component of the Senate
bill is that it encourages employers to move away from high-cost benefit
plans that overburden the healthcare system. By allowing employers to spend
less on healthcare and more on employee wages, economists estimate that this
change will directly result in a take-home wage increase for working
American families- by as much as $700 per household in 2019. A third
important change included in the Senate bill will strengthen Medicare for
653,000 Louisiana seniors, by providing free preventive treatment under
Medicare. Beneficiaries will receive free preventive procedures such as
mammograms and colonoscopies. Additionally, the Senate bill improves care
for Medicare patients by incentivizing doctors to coordinate care with other
doctors and hospitals. Above all, the bill makes sure the Medicare program
is around for generations to come by extending the life of the Medicare
Trust Fund by at least 5 years and laying the groundwork for a more
sustainable health system. Fourth, this bill would ensure that the majority
of Louisiana families pay no more than 10 percent of their income for health
care premiums. Today, families in Louisiana spend an average of 30 percent
of their income on health care costs. If Congress does not act, economists
estimate that total could climb to 60% of an average family's income by
2016. This bill changes that trajectory. Finally, I feel compelled to
comment on an important provision which I included in the Senate bill in
order help Governor Jindal address a serious budget shortfall confronting
our state. The budget shortfall is related in part to an impending decrease
in the Federal government's share of the Louisiana's Medicaid expenditures.
The Federal share of Medicaid expenses is based on a formula that takes into
account per capita income. Ordinarily, the formula works fairly well. But
what the Federal government could not have foreseen were the massive changes
to Louisiana's economy caused by Hurricanes Katrina and Rita. Some of the
necessary one-time recovery dollars, in addition to the increased economic
activity from rebuilding, were calculated into our state's income average.
As a result, Louisiana's average income level was abnormally inflated, and
the state is now facing a bill for hundreds of millions. That is why I
fought for the funding necessary to prevent our state budget from breaking.
The fix was explicitly requested by Governor Jindal and unanimously
supported by our congressional delegation, Democrat and Republican. I am
proud to have fought for -and secured-the inclusion of the provision in this
preliminary version of the Senate bill. However, just because this fix was
included, it does not guarantee that I can support the final bill. That
decision will be based upon my assessment of whether this bill improves the
healthcare system for Louisianians. The reforms I have outlined above were
too important for the Senate to abandon its work. Still, there is more work
that needs to be done. Let me be clear about my top priorities as we move
forward: " Reducing costs for patients, small businesses, and the
government. Congress must do more to reign in out-of-control health care
spending and reduce the deficit. " Enhanced Aid for Small Businesses. Tax
credits for small businesses should be expanded. Small businesses are
leading the country out of this recession and I am committed to helping them
in that effort. " Competitive Community Option. I remain concerned that the
so called "public option" could shift significant risks to taxpayers over
time. A better alternative would be a "Competitive Community Option" that
would trigger only if insurance companies fail to provide a choice of
affordable options. I am hopeful the Senate can make progress on each of
these concerns. I am dedicated to fashioning a principled compromise to
ensure that whatever Congress does will lower costs to families, small
businesses and the nation. Sincerely, Mary L. Landrieu United States Senator
P.S. I am excited to announce that my office is launching new e-newsletters
to keep you updated on what I am working on here in Washington, D.C. If you
would like to receive the e-newsletter, please go to
http://landrieu.enews.senate.gov/mail. Please include your zip code and
interest areas so I can stay in touch about issues you care about most.
MLL:jas