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Protect Our Care Talking Points on Senate Republicans’ Sneaky Health Care Repeal to Give Tax Breaks to Billionaires and Big Corporations

Senate Republicans just passed a tax bill that repeals your health care to pay for another massive tax break for the wealthiest and corporations. What this means is simple: while the wealthy and corporations get a tax break, middle-class families will get double digit premium increases, 13 million people will lose their coverage, older Americans will get an age tax and $25 billion in Medicare funding will be cut.

There is still time to stop this sneaky health care repeal, but the time to act is NOW. If every House Republican who voted against health repeal last time or voted against the tax bill combine with House Democrats, there are enough votes to stop sneaky repeal.

After failing multiple times and despite major public opposition, Senate Republicans just voted for a sneaky repeal of health care that raises premiums by double digits, rips away coverage for 13 million Americans, and forces $25 million in Medicare cuts — all to pay for special tax breaks for millionaires and big corporations.

  • The Congressional Budget Office estimated that 13 million people will lose their health insurance and premiums will rise 10% as a result of the health repeal included in the Senate tax plan they just passed.
  • Older people would be hit with an age tax. AARP estimated premiums for people over 50 would increase up to $1,500 because of health repeal.
  • The CBO said the GOP tax bill would trigger $25 billion in Medicare cuts.

Republicans who support health care repeal can’t pretend like they can fix the harm — it doesn’t work. Passing Alexander-Murray after voting for repeal is like installing guardrails on the highway after your car has gone over the cliff.

The leading experts — patient groups, insurers, doctors and hospitals — and more than 2,400 faith leaders and the American people oppose health repeal, including:

  • Nineteen leading patient groups, including the American Heart Association, the American Diabetes Association, and the American Cancer Society opposed the health repeal in the tax bill, writing, “many individuals with serious health care needs, including patients with chronic or major health conditions, who by definition, have a pre-existing condition, may not be able to afford coverage.”
  • Six leading industry groups — America’s Health Insurance Plans, the American Academy of Family Physicians, the American Hospital Association, the American Medical Association, the Blue Cross Blue Shield Association and the Federation of American Hospitals — who warned of “serious consequences” should the mandate be repealed.
  • More than 2,400 faith leaders warned “that the number of uninsured individuals would increase by 13 million by 2025…violates our faith teaching.”
  • A mere 25 percent of American voters approve the Republican tax plan, according to a poll by Quinnipiac University.

The Senate just jammed through a partisan secret tax bill that snuck in health repeal without any hearings

  • The Senate did not hold any hearings with outside experts on the repeal of the individual mandate and the full economic impacts were not understood at the time the Senate voted to pass it.
  • Health repeal was not in the House tax bill and was not in the Senate bill Republicans submitted to the Finance Committee.
  • It was snuck in at the last minute without debate.

Will Alexander-Murray Become Law? Not According to GOP Elected Officials

Some GOP Senators, notably Susan Collins (R-ME) and Lisa Murkowski (R-AK), have begun floating the notion that their support of the GOP tax bill — which will kick 13 million people off of their insurance, raise premiums by double digits for millions more and trigger a $25 billion cut to Medicare all to give a tax breaks to the wealthiest and corporations — is contingent on Alexander-Murray being signed into law. However, the nonpartisan Congressional Budget Office found that pairing the Alexander-Murray bill with the repeal of the individual responsibility provision will still result in 13 million fewer people with coverage and double-digit premium increases. Moreover, it’s important to note who has expressed doubt this will happen: a lot of Republicans whose support is necessary for it to be signed into law.

House Republicans, from Speaker Paul Ryan on down, have voiced their opposition to Alexander-Murray. GOP Senators have expressed skepticism that Alexander-Murray could pass the House. And President Trump, who now claims to support it, previously opposed it, which he clarified after hinting at his support, which came after his initial opposition.

The tax bill might be voted on with a promise that Alexander-Murray will become law. Does that really seem like a promise that can be kept?

HOUSE REPUBLICANS HAVE VOICED OPPOSITION AT THE ALEXANDER-MURRAY BILL

House Speaker Paul Ryan (R-WI): “The Speaker Does Not See Anything That Changes His View That The Senate Should Keep Its Focus On Repeal And Replace Of Obamacare.” “‘The speaker does not see anything that changes his view that the Senate should keep its focus on repeal and replace of Obamacare,’ Ryan spox Doug Andres says.” [Tweet, 10/18/17]

Rep. Mark Meadows (R-NC): CSRs Without Full Repeal “Pretty Much A Nonstarter.” “Still, some Republicans are skeptical of any bill that isn’t repeal. ‘It depends on what it is,’ said House Freedom Caucus Chairman Mark Meadows (R-N.C.). ‘The biggest thing I see with most of what they’re talking about is just extending … [subsidy] payments. And … [subsidy] payments without a transition to something that lowers premiums is pretty much a nonstarter.’” [Politico, 9/28/17]

Rep. Mark Walker (R-NC): “This Bailout Is Unacceptable.” “Rep. Mark Walker of North Carolina, chairman of the conservative Republican Study Committee in the House, quickly denounced the deal over Twitter: ‘The GOP should focus on repealing & replacing Obamacare, not trying to save it. This bailout is unacceptable.’” [Associated Press, 10/17/17]

Rep. Dave Brat (R-VA): “No Way.” “Rep. Dave Brat (R-VA), a member of the hardline House Freedom Caucus, told The Daily Beast in a phone interview. ‘[Alexander-Murray], as it is? No way. It’s not even in the ballpark.’” [The Daily Beast, 10/19/17]

Rep. Dave Brat (R-VA): “Right Now It’s A Nonstarter.” “House conservatives appear united in opposition to the health care stabilization proposal crafted by Sens. Lamar Alexander and Patty Murray. ‘Right now it’s a nonstarter,’ House Freedom Caucus member Dave Brat said Tuesday during a Conversations with Conservatives press event.” [Roll Call, 10/24/17]

Reps. Jim Jordan (R-OH), Scott Perry (R-PA), Mark Walker (R-NC), Matt Gaetz (R-FL): All Oppose Alexander-Murray Agreement. “Brat, Freedom Caucus members Jim Jordan and Scott Perry, Republican Study Committee Chairman Mark Walker and Rep. Matt Gaetz all spoke to their opposition to the bipartisan accord. One aspect of the plan that conservatives oppose is the funding of cost-sharing reduction subsidies that the federal government pays to insurance companies to keep costs down for low-income individuals.” [Roll Call, 10/24/17]

Rep. Jim Jordan (R-OH): “We Should Not Be Funding The CSRs.” “‘It is a problem,’ Ohio Rep. Jim Jordan said. ‘We should not be funding the CSRs.’” [Roll Call, 10/24/17]

Rep. Ralph Norman (R-SC): “It’s An Insult For The Insurance Companies To Be Getting Subsidies.” “South Carolina Rep. Ralph Norman added: ‘It’s an insult for the insurance companies to be getting subsidies. It really is.’” [Roll Call, 10/24/17]

EVEN REPUBLICAN SENATORS HAVE EXPRESSED SKEPTICISM THAT THE ALEXANDER-MURRAY BILL COULD PASS THE HOUSE

Sens. Lindsey Graham (R-SC) and Bill Cassidy (R-LA): Alexander-Murray “Will Not Pass Unless Concerns Of The House Are Addressed.” “However, we recognize this short-term stabilization will not pass unless concerns of the House are addressed… Without a stabilization package, the market will collapse and advance premium tax credits will spike. This would increase the costs to the American taxpayer.” [Lindsey Graham Statement, 10/19/17]

Sen. Roy Blunt (R-MO): “I Don’t Know” If Alexander-Murray Could Pass The House. “Sen. Roy Blunt, R-Mo., a member of the Senate GOP leadership, said he believes the Senate could pass a bipartisan health care fix but wasn’t sure if it could clear the House or get President Trump’s signature. ‘I believe they’ll be able to come up with a proposal, and a number of senators will sponsor it,’ Blunt, R-Mo., said of the negotiations between Alexander and Murray. ‘I don’t have a sense of where the president’s going to wind up or where the House is. I think the Senate would likely be able to get something done there. But whether the other two essential players are willing to go in that direction, I don’t know.’” [Tennessean, 9/29/17]

AND PRESIDENT TRUMP FLIP-FLOPS ON HIS SUPPORT FOR ALEXANDER-MURRAY TOO MUCH TO BE TRUSTED

President Trump: “Senator Mike Rounds Of South Dakota Quoted Trump As Telling Republican Senators, ‘I Support The Alexander-Murray Bill.’” “Senator Mike Rounds of South Dakota quoted Trump as telling Republican senators, ‘I support the Alexander-Murray bill.’ ‘He actually made it very clear that he supported the Alexander-Murray bill,’ Rounds said of the president’s remarks during a luncheon meeting with senators. ‘He sees it as a transition away from Obamacare.’” [Bloomberg, 11/28/17]

President Trump: “I’m Not Going To Do It.” “So when I knocked out the hundreds of millions of dollars a month being paid back to the insurance companies by politicians — I must tell you — that wanted me to continue to pay this, I said I’m not going to do it. This is money that goes to the insurance companies to line their pockets, to raise up their stock prices. And they’ve had a record run. They’ve had an incredible run, and it’s not appropriate.” [Politico, 10/18/17]

President Trump: “Congress Must Find A Solution To The Obamacare Mess Instead Of Providing Bailouts To Insurance Companies.” “While I commend the bipartisan work done by Sens. Alexander and Murray — and I do commend it — I continue to believe Congress must find a solution to the Obamacare mess instead of providing bailouts to insurance companies.” [Politico, 10/18/17]

President Trump: “I Can Never Support Bailing Out Ins Co’s Who Have Made A Fortune W/ O’Care.” “I am supportive of Lamar as a person & also of the process, but I can never support bailing out ins co’s who have made a fortune w/ O’Care.” [Tweet, 10/18/17]

President Trump: “For A Period Of One Year, Two Years, We Will Have A Very Good Solution.” “‘Alexander said the president had encouraged his efforts in phone calls over the past two weeks. And at the White House, Trump responded positively, expressing optimism that Republicans would ultimately succeed in repealing Obamacare, but until then, ‘For a period of one year, two years, we will have a very good solution.’ ‘It is a short-term solution so that we don’t have this very dangerous little period, including a dangerous period for insurance companies, by the way,’ he said during a Rose Garden press conference.” [Associated Press, 10/17/17]

Don’t Forget: Trump and GOP Congress Forced a 31-Percent Health Care Rate Hike in Pennsylvania

As was again reported on by the York Daily Record, 2018 premiums in Pennsylvania increased an average of 31 percent this year, with the state’s Department of Insurance making clear the blame lies with President Trump. “Premiums on Silver plans increased almost 31 percent for 2018 because the Trump administration ended cost sharing reduction payments, which are payments made to insurers to help cover out-of-pocket costs for lower-income customers’ deductibles and co-pays,” said spokesman Ron Ruman. “These are costs the insurers are still responsible for under the law, but they’re not going to get reimbursement from the government now.”

While President Trump and Republicans in Congress have been unable to repeal the health care law, they have been doing everything they can to sabotage the marketplace by:

  • President Trump defunding the law’s mandatory cost-sharing-reduction payments, which the nonpartisan Congressional Budget office said would increase rates by 20% in 2018 and 25% in 2020.
  • Cutting 90%of the resources to support open enrollment.
  • President Trump signing an Executive Order on his first day in office demanding that agencies dismantle as much of the law as they can.
  • Signing an Executive Order to create garbage insurance plans which will raise premiums, slash coverage and end protections for those with pre-existing conditions.
  • Pursuing partisan repeal of the Affordable Care Act, which has created uncertainty in the market and led to higher premiums.

Now people are facing the consequences.

“Everyone who gets a bill from their insurer for higher health care costs next year can thank President Trump and Republicans in Congress for the sabotage that led to this,” Protect Our Care Campaign Director Brad Woodhouse said. “Their repeated threats, uncertainty and sabotage of our health care system is taking a toll on real people’s lives in Pennsylvania. Your health care bills next year should say ‘brought to you by Donald Trump and the GOP.’”

From 2016 to 2017, prior to the start of Trump’s sabotage, the cost increase to people for the most widely used health care plan on the Marketplace was $1 after tax credits.

EXPERTS AND INSURANCE COMMISSIONERS AGREE THAT TRUMP’S SABOTAGE IS RAISING COSTS:

Center for American Progress: “The Center for American Progress estimates that uncertainty around CSRs and mandate enforcement will raise 2018 premiums for benchmark coverage an extra $1,061 annually for a 40-year-old and $2,491 annually for a 64-year-old.” [Center for American Progress, 8/16/17]

Kaiser Family Foundation: “Benchmark Premiums Would Increase By 19 Percent On Average If Cost-Sharing Subsidies Were Unpaid.” [KFF, 4/6/17]

Urban Institute: “We Find That Premiums For Silver Marketplace Plans Would Increase $1,040 Per Person On Average.” [Urban Institute, 1/16]

Commonwealth Fund: “Eliminating Cost-sharing Reductions Could Destabilize Insurance Markets.” [Commonwealth Fund, 4/28/17]

Urban Institute: “A Precipitous Drop In Insurer Participation Is Even More Likely If The Cost-sharing Assistance Is Discontinued.” [Urban Institute, 12/6/16]

Julie Mix Mcpeak, President-Elect Of The National Association Of Insurance Commissioners And Tennessee State Insurance Commissioner: “I Am Very Fearful That We’ll Have Insurers Make A Decision To Leave Markets As A Result Of The Uncertainty.” [New York Times, 8/7/17]

Teresa Miller, Pennsylvania Insurance Commissioner: “Failing To Make Payments To Insurers For Cost-sharing Reductions Would Force Insurers To Request A Statewide Average 20.3 Percent Increase Rather Than 8.8 Percent Statewide Average That Was Filed With The Department In May.” [Press Release, 7/31/17]

Mike Kreidler, Washington State Insurance Commissioner: “The Current Federal Administration’s Actions — Such As Not Committing To Reimburse Insurers For Cost-sharing Subsidies And Not Enforcing The Individual Mandate — Appear Focused Only On Destabilizing The Insurance Market.” [Statement, 6/19/17]

Lori Wing-Heier, Director, Alaska Division Of Insurance: “It Is Expected That Health Care Premiums Would Jump As High As 20 Percent If Trump Follows Through With His Threat To Cut Subsidies.” [Fairbanks News-Miner, 8/14/17]

Dave Jones, California State Insurance Commissioner: “President Trump Appears On A Mission To Destroy Health-Insurance Markets By Creating Instability Through His Own Actions And Thereby Depriving Millions Of Americans Of Health-care Coverage.” [Wall Street Journal, 6/27/17]

Marguerite Salazar, Colorado’s State Insurance Commissioner: “Commissioner Marguerite Salazar Said The Trump Administration Threatens The Whole Market. ‘My Fear Is It May Collapse.’” [Los Angeles Times, 5/18/17]

Craig Wright, Chief Actuary, Florida Office of Insurance Regulation: “If The Subsidies Are Not Funded, Carriers Would Face The Prospect Of Large Financial Losses.” [New York Times, 8/7/17]

Eric A. Cioppa, Superintendent Of The Maine Bureau Of Insurance: “If They Don’t Get A Subsidy, I Fully Expect Double-Digit Increases For Three Carriers On The Exchanges Here.” [New York Times, 6/4/17]

National Academy for State Health Policy: “The Federal Government Must Commit To Funding CSR Payments In Order To Lower Rates And Stabilize Carrier Participation.” [Letter from State-based Marketplace Directors, 8/30/17]

Dan Hilferty, President And CEO, Independence Blue Cross: “We Firmly Believe Your Coverage Will Be There For 2018, If The Federal Government, Congress And President Commit To, Fund The Subsidies During An Interim Period Of Time.” [CNN, 7/19/17]

Kelly Paulk, Vice President, Product Strategy And Individual Markets, Blue Cross Blue Shield Of Tennessee: “We Have To Factor In Two Significant Uncertainties…Combining Those Two Factors Leads To An Average 21 Percent Rate Increase.” [Blog Post, 6/30/17]

Danielle Devine, Michigan Director Of Operations, Meridian Health Plan: “The Political Climate Continues To Make It Difficult To Price And The Uncertainty Over The Future Of The Subsidies Creates The Largest Reason For Significant Rate Increases.” [Crain’s Detroit Business, 6/14/17]

Rick Notter, Director Of Individual Business, Blue Cross Blue Shield Of Michigan: “If We Don’t Have That Cost-Sharing (Subsidy), We Have To Make Up The Difference And The Only Way For Us To Do That Is With A Higher Rate.” [Detroit Free Press, 6/14/17]

Dr. Mario Molina, Former CEO, Molina Healthcare: “The Administration And Republicans In Congress Want You To Believe That Insurers Raising Premiums For Their Plans Or Exiting The Marketplaces All Together Are Consequences Of The Design Of The Affordable Care Act Instead Of The Direct Results Of Their Own Actions To Sabotage The Law. Don’t Let Them Fool You.” [U.S. News & World Report, 5/30/17]

Brad Wilson, CEO, Blue Cross Blue Shield Of North Carolina: “The Failure Of The Administration And The House To Bring Certainty And Clarity By Funding CSRs Has Caused Our Company To File A 22.9 Percent Premium Increase, Rather Than One That Is Materially Lower.” [Washington Post, 5/26/17]

Kurt Giesa, Practice Leader, Oliver Wyman Actuarial Consulting: “Our Modeling Shows That This Uncertainty, If It Remains, Could Lead Payers To Submit Rate Increases Between 28 And 40 Percent, And More Than Two-thirds Of Those Increases Will Be Related To The Uncertainty Around CSR Payments And Individual Mandate.” [Oliver Wyman, 6/14/17]

Protect Our Care Questions for HHS Secretary Nominee Alex Azar

Tomorrow, former Eli Lilly pharmaceutical executive Alex Azar will appear before the Senate HELP Committee as the next nominee to lead the Department of Health and Human Services. Following the tenure of Tom Price, who attempted to sabotage the nation’s health care system, placing at risk the lives of the very people he swore to defend, before being fired for spending taxpayer money on fancy air travel, Protect Our Care offers the following questions to Mr. Azar:

HEALTH REFORM

Open enrollment is off to a strong start, every county has coverage and affordable plans are available to most all Americans yet President Trump continues to say that the ACA is a disaster which must be repealed. With all the evidence suggesting otherwise, do you agree with President Trump that the ACA is imploding and needs to be repealed and if you do how do you explain all the evidence to the contrary?

You said at one point that the ACA is “circling the drain.” Given the facts outlined earlier, what is your evidence for that comment and do you stand by it and if so why?

Do you agree with President Trump that we should have “insurance for everybody”?

OPEN ENROLLMENT

Currently, the leadership of HHS/CMS has participated in enrollment events for Medicare — a 50 year old program — but hardly mention or talk about signing up for health care during open enrollment which as you know has only been in effect for 5 years. Do you believe the government has a responsibility to educate the public about marketplace open enrollment? Do you believe the government has a responsibility to educate the public about Medicare open enrollment? And would you use your office to educate people about signing up for health care regardless of whether it is Marketplace, Medicare, Medicaid or CHIP?

SABOTAGE

What do you think President Trump meant when he said he should “let Obamacare fail?” Previously, you told Fox Business that getting rid of enforcement of the individual mandate and cost-sharing reductions would “hasten its demise.” Do you think its the proper role of the HHS secretary to make the ACA fail?

In your interview for this position with the President did he ask you to commit to supporting efforts to repeal the ACA? Did he instruct you should you get the job to carry out the law in any way so as to make it less effective or in other words sabotage it? And before you answer, we all know he has been on a mission to sabotage the law — slashing efforts to support open enrollment, signing an executive order his first day in office to undermine the ACA and cutting off cost sharing reduction payments which are used to lower out of pocket costs for low income Americans for no reason other than to sabotage the law. So, with that as context — that the President supports both the full repeal of the ACA and the sabotage of it, in your interview did he ask or instruct you to support repeal and policies which would amount to sabotage?

MEDICAID AND MEDICAID EXPANSION

Sir, Medicaid expansion has been one of the most successful features of the ACA in states where it has been expanded — increasing coverage for millions of people. Medicaid expansion covers more than 15 million people and the Medicaid program overall is more popular than ever because of the health security it has brought to millions of people. In the first ballot measure ever on the issue, this month the people of Maine overcame the misleading opposition of its governor and voted to expand Medicaid in the state. Many Republican Governors and legislatures have supported Medicaid expansion such as in Nevada, Ohio, and Arkansas.

With all of that, the CMS administrator, the person who is charged with maintaining and expanding coverage to the American people through Medicare, Medicaid, CHIP, etc. has talked down Medicaid expansion and said it is not sustainable. Where do you stand on this issue sir? Do you support Medicaid expansion as a feature of the ACA and if so will you direct your CMS administrator to do the same? Do you agree with the characterization of the current Medicaid system as supporting “soft bigotry?” Do you support work requirements for Medicaid? Previous health care bills championed by the administration have called for hundreds of billions in dollars in cuts to Medicaid compared to current projections. Do you support these cuts? What gives you confidence that people won’t pay for these cuts with their health?

WTAIS (WHAT THE ADMINISTRATION ISN’T SAYING) ABOUT HEALTH REPEAL IN THEIR TALKING POINTS

We came across the White House’s talking points on the Senate tax scheme, which included a section supporting the provision that repeals our health care.

Here is what the administration isn’t saying:

  1. 13 million more people won’t have health insurance. The Congressional Budget Office (CBO) estimated repeal of the individual responsibility provision would result in 13 million more people without health coverage.
  2. Millions more people will see their premiums increase double digits. CBO also said premiums would increase 10 percent next year if the repeal provision were law.
  3. Repeal would hurt rural areas, including Alaska, Iowa, Missouri, Nebraska, Nevada and Wyoming. An LA Times analysis found that the health repeal provision in the Senate Republican tax scheme would “derail insurance markets in conservative, rural swaths of the country…That could leave consumers in these regions — including most or all of Alaska, Iowa, Missouri, Nebraska, Nevada and Wyoming, as well as parts of many other states — with either no options for coverage or health plans that are prohibitively expensive.”
  4. Many middle class people would see any tax cut they might get wiped away with higher premiums. As Sen. Susan Collins (R-ME) said, “The fact is that, if you do pull this piece of the Affordable Care Act out, for some middle-income families, the increased premium is going to cancel out the tax cut that they would get.”

Here is what they are saying — White House Talking Points:

Tax Reform Talkers

State of Play

  • Republicans have a once-in-a-generation opportunity to deliver historic tax reform for the American people.
  • In survey after survey, the American people say they trust Republicans more on the economy than Democrats.
  • This is Congress’s opportunity to show that trust is well-placed.
  • The economy is revving up because of the President’s pro-growth, pro-American jobs agenda — including his historic efforts to eliminate crushing regulations — but also in anticipation of our plan to cut taxes for the middle class and American businesses.
  • Now is the time to deliver.
  • This tax reform plan expands economic opportunity so that every American has a chance to reach their dreams.
  • That’s what this is all about: empowering American families to build a better life for themselves and their children.

Individual Mandate

  • The President supports repealing the individual mandate as part of the tax reform plan.
  • The mandate — which the Supreme Court ruled is a tax — disproportionately hits the lower- and middle-income families to whom we are working to provide relief.
  • 79% of people who paid the penalty had household income below $50k.
  • 86% of the penalties collected were from people in households with less than $100k.
  • The President’s priorities have been consistent:
  • Tax cuts for middle-class families,
  • Simplifying the tax code for all,
  • Slashing taxes for businesses of all sizes so they can grow, create jobs, raise wages for their workers, and compete in the global marketplace.
  • We support using the savings from repealing the individual mandate to provide additional economic growth and tax relief for hardworking American families.

Johnson Amendment

  • The President has maintained all along that he would like to see the Johnson Amendment repealed.
  • That is why earlier this year he signed an executive order establishing that, among other things:
  • It shall be the policy of the executive branch to vigorously enforce Federal law’s robust protections for religious freedom.
  • All executive departments and agencies (agencies) shall, to the greatest extent practicable and to the extent permitted by law, respect and protect the freedom of persons and organizations to engage in religious and political speech.
  • If Congress is able to use the tax bill as a vehicle to repeal the Johnson Amendment, the White House would support it.

Delay of Corporate Rate Cut

  • Cutting our corporate tax rate from 35% — the highest among our economic competitors — to 20% — among the lowest — will level the playing field for American companies so they can dominate their global competition.
  • This will be an infusion of rocket fuel into the economy, empowering companies to more quickly create jobs and raise wages.
  • However, even if it does not go into effect until 2019, many other important changes will go into effect on January 1st and drive massive economy growth.
  • Most notably, businesses will immediately be able to deduct 100% of the money they spend on capital investments for at least the next five years.
  • This will empower manufacturers to buy the heavy machinery they need to grow and thrive in America.

House and Senate Bill Differences

  • The legislative process is working exactly how it is supposed to, and both bills achieve the President’s priorities:
  • Tax cuts for middle-class families,
  • Simplifying the tax code for all,
  • Slashing taxes for businesses of all sizes so they can grow, create jobs, raise wages for their workers, and compete in the global marketplace.
  • Bringing back trillions of dollars American companies currently have parked overseas.
  • We are on pace to deliver a Christmas present to the American people in the form of a massive tax cut.

Small Businesses / Pass-Throughs

  • Both bills reduce the tax burden on businesses of all sizes — regardless of their structure. The bills help everyone from mom and pop shops to Main Street businesses to large manufacturers and other job creators.
  • The House bill lowers tax rates on pass-through business income to 0%, 12% and 25% — the lowest top rate in more than 80 years. It also provides a special low rate of only 9% for the smallest businesses.
  • The Senate bill allows all pass-through businesses in all tax brackets to deduct a portion of their business income so that 17.4% of their business income is completely tax-free.
  • Both bills ensure that wealthy individuals cannot avoid taxes by characterizing all of their wages as business income.

Key tax cuts expiring in 2023 in the House bill and in 2026 in the Senate bill

  • If you look at history, Congress has always extended tax benefits that make sense.
  • They have extended tax cuts for middle-income families, and they have extended important business tax cuts that are good for the economy.
  • There’s no reason to believe that would be any different here.

Top Line Responses to Questions about Details

  • Is the White House supportive of [insert specific provision currently being debated]?
  • What the White House is supportive of is:
  • Cutting taxes for hardworking, middle-income families
  • Cutting taxes on American businesses to make them more competitive
  • Making the tax code more fair by eliminating special interest loopholes and deductions
  • Making the tax code more simple so that the large majority of Americans can file their taxes on a single page
  • The process is moving forward the way it’s supposed to in Congress, with members having input and ironing out the details.
  • But what about the elimination of [insert deduction or credit]?
  • Opponents of the bill are being disingenuous, because they are focusing on the elimination of targeted tax provisions while ignoring the tax cuts in the bill.
  • In other words, they’re trying to get you to focus on the little sandbox — we’re trying to give you the entire beach!
  • The Washington Post fact-checkers gave Democrats FOUR PINOCCHIOS for their claim that our tax plan will raise taxes on working-class families.
  • “Any Democrat who spread this claim should delete their tweets and make clear they were in error.” — Washington Post

Middle-Class Tax Cuts and Bigger Paychecks

  • We’re going to put over $5,000 PER YEAR in the pockets of hardworking American families through tax cuts and pay raises.
  • Here’s how:
  • The typical American family of four — making the median household income of $59,000 — would save well over $1,000 per year on their taxes.
  • The Council of Economic Advisors estimates that middle-income families will also see higher household income — a minimum of $4,000 higher — as a result of the business tax cut.
  • That’s why the President said we’re going to give the American people “a big, beautiful present for Christmas in the form of a tax cut.”

Tax Cuts for Jobs

  • Numerous analyses show our plan will produce massive job creation and economic growth.
  • The Council of Economic Advisors estimates:
  • 3% to 5% increase in GDP over ten years.
  • That means an additional $700 billion to $1.2 trillion in economic output.
  • The non-partisan Tax Foundation estimates:
  • Cutting the corporate tax rate from 35% to 20% will increase long-run GDP by 3.1 percent.
  • 3.9% increase in the size of the U.S. economy.
  • 3.1% higher wages for American workers.

Senate Tax Bill Raises Health Care Costs for Everyone, Hammers Older Adults

As Republicans attempt to jam a sneaky health care repeal into law through their partisan tax bill, expert analysis after expert analysis has come to the same conclusion: health care costs will go up massively, particularly for older Americans. This week, independent analyses by AARP and Commonwealth Fund echoed that of the nonpartisan Congressional Budget Office, finding that the sneaky repeal in Senate tax bill will result in higher health care costs, effectively levying an age tax on older Americans, and result in 13 million people losing coverage — all to pay for tax cuts for the wealthiest and corporations.

REPEAL WOULD IMPOSE AN AGE TAX ON OLDER AMERICANS

The Commonwealth Fund: Premiums Would Be $1,875 Higher For 60 Year Olds. “Average premiums in the nongroup market would increase by about 10 percent in most years of the decade (with no changes in the ages of people purchasing insurance accounted for) relative to CBO’s baseline projections.” This amounts to a…$1,269 increase in 2019, rising to $1,875 in 2027 for a 60-year old, effectively an age tax on older adults.

AARP: Repeal Would Impose Age Tax Of Up To $1,500 On Older Adults. According to an analysis by AARP, “Older adults ages 50–64 would be at particularly high risk under the proposal, facing average premium increases of up to $1,500 in 2019 as a result of the bill.”

THE REPUBLICAN TAX CUT FOR THE WEALTHY AND CORPORATIONS WOULD BE PAID FOR BY TENS OF BILLIONS IN MEDICARE CUTS

CBO: Republican Tax Scheme Would Result In $25 Billion In Medicare Cuts. “Without enacting subsequent legislation to either offset that deficit increase, waive the recordation of the bill’s impact on the scorecard, or otherwise mitigate or eliminate the requirements of the PAYGO law, OMB would be required to issue a sequestration order within 15 days of the end of the session of Congress to reduce spending in fiscal year 2018 by the resultant total of $136 billion. However, the PAYGO law limits reductions to Medicare to four percentage points (or roughly $25 billion for that year), leaving about $111 billion to be sequestered from the remaining mandatory accounts.”

13 MILLION PEOPLE WOULD LOSE COVERAGE TO PAY FOR TAX CUTS FOR THE WEALTHY

13 Million People Lose Coverage To Pay For Tax Cuts For The Rich. “Eliminating the health care coverage requirement would also mean that millions more Americans will become uninsured. CBO has estimated that 4 million people under age 65 would no longer have health insurance coverage as early as 2019 if this provision is enacted. By 2027, that number would rise to 13 million people left without coverage.”

White House on Health Repeal in Tax Bill: We Don’t Really Care

If the White House Doesn’t Care, Why Are Republicans Walking the Plank on Health Care Again?

Washington, D.C. — Yesterday, White House Legislative Affairs Director Marc Short and White House Office of Management and Budget Director Mick Mulvaney made the rounds on the Sunday shows and made clear that the White House is fine with a tax bill that doesn’t include a repeal of the individual mandate, which would result in a loss of coverage for 13 million Americans and double digit premium increases for millions more according to the nonpartisan Congressional Budget Office. The comments suggest that the White House won’t be in the business of providing political cover to Congressional Republicans if the mandate repeal goes through and millions lose health care while millions more pay higher costs.

Short told ABC This Week host George Stephanopoulos, “The White House is very comfortable with the House bill… As you know, it does not have the individual mandate in it.” Mulvaney, meanwhile, told CBS Face the Nation host David Muir that “if [the mandate repeal] needs to come out in order for [the tax bill] to pass, we can live with that” and told CNN State of the Union host Jake Tapper that “if [the mandate repeal] an impediment” to passing the tax bill, “we’re okay with taking it out.”

“First and foremost, Republicans should be wary of going forward with sneaky repeal in their tax bill because it will rip coverage away from 13 million people and raise premiums by double digits for millions more,” said Protect Our Care Campaign Director Brad Woodhouse. “But now, the White House has made clear they’re fine if the provision gets dropped and will leave Members twisting in the wind should repeal stay in the bill and millions be harmed. After a year when Republicans have taken one unpopular and failed vote on health care after another at President Trump’s insistence, why in the world would they walk the plank on this issue again just to have it sawed off behind them by the White House?”

Sneaky Repeal: the GOP’s Latest Secret, Partisan Health Care Repeal

To: Interested Parties

From: Brad Woodhouse, Protect Our Care Campaign Director

Date: November 16, 2017

Re: Sneaky Repeal: the GOP’s Latest Secret, Partisan Health Care Repeal

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Republicans in Congress are sneaking health care repeal into their tax bill to pay for another massive tax break for the wealthiest Americans and corporations. What this means is simple: while the wealthy and corporations get a tax cut, middle-class families will get double-digit premium increases and millions of people will lose their coverage. Just last week in elections from Virginia to Maine, the American people rejected their approach to health care. Republicans aren’t listening — and they’ll be held accountable.

Sneaky repeal would be a disaster — it would raise middle-class premiums, make insurance unaffordable for people with pre-existing conditions and rip coverage away from millions of people, just to pay for special tax breaks for millionaires and big corporations. The Congressional Budget Office estimated that 13 million people will lose their health insurance and premiums will rise 10% because of the health repeal provision in the Senate tax plan. What’s the GOP plan for them? What are these millions of people supposed to do about their health care?

Moreover, repealing health care means fewer healthier and younger people buy health insurance, causing a “death spiral” of skyrocketing costs for everyone else — including people with pre-existing conditions. ​Experts predict that insurers will be forced to leave the Marketplace, meaning some consumers may not have any coverage options. So why take away people’s coverage and increase premiums? Because Senate Republicans want to pay for a $94,540 tax cut for multi-millionaires and to permanently cut big corporations’ taxes.

Analysis of the bill shows that families will face premium increase of nearly $2,000. An analysis from the Center for American progress, premium increases for benchmark plan coverage for an unsubsidized middle-class family of four are slated to be $1,990, but would be be even higher in a number of states:

  • A family in Alaska would see an increase of $2,900, and 24,000 people would lose coverage
  • A family in Maine would see an increase of $2,350, and 50,000 people would lose coverage
  • A family in Arizona would see an increase of $2,060, and 282,000 people would lose coverage

As such, the leading experts — patient groups, insurers, doctors and hospitals — all oppose sneaky repeal. Sixteen patient groups have announced their opposition: March of Dimes, the American Heart Association, the Cystic Fibrosis Foundation; the American Cancer Society Cancer Action Network; the Multiple Sclerosis Society; Lutheran Services in America; the American Lung Association; the American Diabetes Association; the National Health Council; the Epilepsy Foundation; the National Organization for Rare Disorders; the American Liver Foundation; Family Voices; Consumers Union; Little Mended Hearts; and Futures Without Violence. These groups wrote that they were “deeply troubled” over the bill, calling it “a step backwards for individuals and families.”

And they weren’t the only ones. Six leading industry groups — America’s Health Insurance Plans. the American Academy of Family Physicians, the American Hospital Association, the American Medical Association, the Blue Cross Blue Shield Association and the Federation of American Hospitals — also announced their opposition, warning of “serious consequences” should the mandate be repealed.

Republicans want to cut taxes for the wealthy and corporations so much they are cutting Medicare and raising taxes on middle class families to do it. In addition to the double-digit premium hikes and 13 million people who would lose their insurance, the CBO found that the GOP tax bill would trigger $25 billion in Medicare cuts. The House Republican tax plan also pays for their tax cuts by eliminating the medical expense deduction, which helps families with high medical costs such as long-term care and chronic diseases. Nearly 9 million people claimed this deduction and nearly 70 percent of those people earned $75,000 or less.

And then there is the scam. Republicans want to give cover to people by promising a vote on the Alexander-Murray stabilization bill, but their actions make Alexander-Murray nothing more than a fig leaf. Attempting to adopt Alexander-Murray — which was crafted through extensive, bipartisan negotiations and with expert input — on the heels of a partisan repeal process represents nothing more than political cover. In fact, House Republicans have expressed opposition to Alexander-Murray so there is no guarantee it will get through Congress, let alone become law. At this point, Alexander-Murray means nothing if health care is repealed — passing it after voting for repeal is like installing guardrails on the highway after your car has gone over the cliff. It’s useless.

And all of this comes on the heels of the American people rejecting the Republican health care agenda. The reason Republicans failed to repeal health care four times already this year was a simple one: because people don’t like it. In fact, GOP health care repeal is the most unpopular legislation in three decades.

Just last week, health care was the dominating issue in elections. In the Virginia governor’s race, health care was the #1 issue, more than double any other issue, and among those voters, Ralph Northam beat Ed Gillespie by 54 points (77–23). Down the ballot, Democratic candidates for the House of Delegates ran on health care and won a historic victory, flipping at least fourteen seats. In New Jersey, 19% of voters ranked health care their top issue, and chose Phil Murphy over Kim Guadagno, who opposed the ACA, by 74 points (86–12). In Maine, voters “easily approved” an expansion of Medicaid by a nearly 60–40 margin.

And this week it was announced that more than 1.5 million people, including more than 345,000 new consumers, have gotten insurance though the first two weeks of open enrollment — a 45% increase from last year.

So why is the GOP pushing this agenda forward? Republicans are sneaking health repeal into their tax bill simply so they can give massive tax cuts to the wealthy and big corporations. Multi-millionaires will get a $100,000 tax cut under this plan while everyday Americans will suffer. But as last spring’s town halls, and summer’s Senate votes, and last week’s elections proved, Americans won’t stand for it.

Uh Oh: Sneaky Repeal Backlash May Take Tax Bill Down With Ship

Republicans were so desperate to give even more tax breaks to their billionaire friends and big corporations that they added a sneaky health care repeal to the plan last night to pay for it.

Turns out, their sneaky repeal is risky and may take their whole tax plan down with the ship.

Uh oh.

The Atlantic: “t could backfire, jeopardizing complicated negotiations over a tax bill and compounding what is already a heavy political lift.”

Bloomberg: “Senate Republicans have tossed a potential bomb in the middle of their tax overhaul bill. […] it complicates the vote calculations in both chambers and hands Democrats a bumper sticker-ready issue they can use to charge up their base.”

The Hill: “A risky play that meets President Trump’s demands but could cost the measure support from centrists.”

Washington Post: “Congressional Republicans are reaching for a booby-trapped bag of cash as they scramble to try to pay for their tax overhaul.”

Roll Call: “A complicated tax overhaul debate got more complicated Tuesday when Senate Republicans injected health care politics into the equation.”

Axios: “It’s a risky maneuver.”

Real Clear Politics: “[Senate Republicans are] adding a controversial debate about health care to their effort to overhaul the tax code before the end of this year.”

NPR: “The decision was a rapid change of direction for Republicans, who previously believed it would be politically dangerous to add any health care measure to the tax legislation.”

Reuters: “U.S. Senate Republicans on Tuesday linked repealing a key component of Obamacare to their ambitious tax-cut plan, raising new political risks and uncertainties for the tax measure that financial markets have been monitoring closely for months.”

New York Times: “Senate Republicans have decided to include the repeal of the Affordable Care Act’s requirement that most people have health insurance into the sprawling tax rewrite, merging the fight over health care with the high-stakes effort to cut taxes.”

Zombie Health Care Repeal Part 5: What the GOP’s Sneaky Health Repeal Means for You

The GOP is sneaking in a partisan health care repeal to pay for their tax cuts for the wealthy and big corporations. Here’s what you need to know:

  • GOP is sneaking in health repeal after failing four times. The American people rejected Republican repeal efforts four times over the course of the year. Now, they’re sneaking health repeal into their big tax cut bill for the wealthy and big corporations.
  • Sneaky repeal would rip coverage away from 13 million people and raise premiums by double digits. The nonpartisan Congressional Budget Office estimated that 13 million people would lose health coverage and premiums would increase double digits as a result of the health repeal provision Republicans are sneaking into their tax bill.
  • Key patient groups oppose sneaky repeal. Sixteen patient groups have announced their opposition: March of Dimes; the American Heart Association; the Cystic Fibrosis Foundation; the American Cancer Society Cancer Action Network; the Multiple Sclerosis Society; Lutheran Services in America; the American Lung Association; the American Diabetes Association; the National Health Council; the Epilepsy Foundation; the National Organization for Rare Disorders; the American Liver Foundation; Family Voices; Consumers Union; Little Mended Hearts; and Futures Without Violence.
  • Key industry stakeholders oppose sneaky repeal. Six health care industry groups have announced their opposition: America’s Health Insurance Plans; the American Academy of Family Physicians; the American Hospital Association; the American Medical Association; the Blue Cross Blue Shield Association; and the Federation of American Hospitals. In the words of CNBC: “Insurers, doctors and hospitals oppose repeal.”
  • The tax bill would trigger $25 billion in Medicare cuts. The nonpartisan Congressional Budget Office estimates that huge tax cuts for the wealthy and big corporations would trigger $25 billion in cuts to Medicare.
  • The tax bill raises health costs for middle class families and seniors with high medical expenses. The House Republican tax plan eliminates the medical expense deduction, which helps nearly 9 million people with high medical expenses, such seniors with long-term care, people with chronic health conditions and parents of children with disabilities. Nearly 70 percent of people who claimed this deduction earned $75,000 or less.
  • All of this is to pay for huge tax cuts for the wealthy and big corporations. Let’s be clear: Republicans are sneaking health repeal into their tax bill so they can pay for their huge tax cuts to the wealthy and big corporations. The Tax Policy Center found nearly half of the tax cuts would benefit the top 1 percent.
  • Republicans are not listening to the American people. Time and time again the American people have rejected health repeal. First, the GOP health care repeal is the most unpopular legislation in three decades. In last week’s elections, health care was the dominant issue. In the Virginia gubernatorial race, health care was the #1 issue to 39% of voters — more than double any other issue, and among those voters, Ralph Northam beat Ed Gillespie by 54 points (77–23). In New Jersey, 19% of voters ranked health care their top issue, and chose Phil Murphy over Kim Guadagno, who opposed the ACA, by 74 points (86–12). In Maine, voters “easily approved” an expansion of Medicaid by a nearly 60–40 margin. And in the Virginia House of Delegates races, Democrats ran on health care and achieved a historic victory, flipping fifteen seats.