WASHINGTON - This morning, the Congressional Budget Office released preliminary projections of the effects of the Republicans' NoCare proposal to repeal health reform. CBO has said that they won't complete a full score until later this month. However, House Republicans are taking the unprecedented step of not waiting for a full CBO score before forcing a vote. Committee on Ways and Means Ranking Member Sander Levin (D-MI), and Health Subcommittee Ranking Member Pete Stark (D-CA), released the following statements:
Rep. Levin: “The Congressional Budget office confirms that just one day after taking over the House, the Republican rhetoric on fiscal discipline doesn’t meet the reality test as their plans to take away valued health benefits from the American people will balloon our deficit by $230 billion over 10 years."
Rep. Stark: "The Republican NoCare agenda should come with a Surgeon General's warning: Dangerous to Your Health. Today, CBO confirmed the devastating effect their plan would have on the health of American families. If Republicans are successful, millions of Americans become uninsured, millions pay more than they should for their health benefits, and our deficit balloons. Republicans support an Insurance Company Bill of Rights -- not the Patients' Bill of Rights."
The CBO report indicates:
The deficit would rise by nearly a quarter of a trillion dollars over the next ten years.
CBO: "Consequently, over the 2012-2021 period, the effect of H.R. 2 on federal deficits as a result of changes in direct spending and revenues is likely to be an increase in the vicinity of $230 billion, plus or minus the effects of technical and economic changes to CBO’s and JCT’s projections for that period." (p. 5)
The deficit would rise by over a $1.2 trillion dollars in the decade following.
CBO: "…enacting H.R. 2 would increase federal deficits in the decade after 2019 by an amount that is in a broad range around one-half percent of GDP, plus or minus the effects of technical and economic changes that CBO and JCT will include in the forthcoming estimate. For the decade beginning after 2021, the effect of H.R. 2 on federal deficits as a share of the economy would probably be somewhat larger." (p. 7)
More people buying their own health care would see health care costs increase.
CBO: "Many people would end up paying more for health insurance- because under current law, the majority of enrollees purchasing coverage in that market would receive subsidies via the insurance exchanges, and H.R. 2 would eliminate those subsidies." (p. 9-10)
Average health care benefits would be taken away.
CBO: “In particular, if H.R. 2 was enacted… the average insurance policy in this market would cover a smaller share of enrollees’ costs for health care and a slightly narrower range of benefits." (p.9)
Premiums for employer-sponsored insurance would go up.
CBO: “Premiums for employment-based coverage obtained through large employers would be slightly higher under H.R. 2 than under current law, reflecting the net impact of many relatively small changes." (p. 10)
32 million Americans will lose coverage compared to current law.
CBO: “Under H.R. 2, about 32 million fewer nonelderly people would have health insurance in 2019, leaving a total of about 54 million nonelderly people uninsured. The share of legal nonelderly residents with insurance coverage in 2019 would be about 83 percent, compared with a projected share of 94 percent under current law (and 83 percent currently)." (p. 8-9)
For the CBO report released today, please visit: https://go.usa.gov/rIy
