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labor NY Assembly Passes Universal Health Care Bill

The bill, Gottfried said, would lower costs by getting rid of insurance companies. It would lower administrative costs and allow doctors to focus their time on treating patients instead of fighting for reimbursements.

Richard Gottfried,AP Photo/Tim Roske

The state Assembly on Wednesday voted for a single-payer health bill, the first time in more than two decades the chamber has taken up the measure.

The vote was 89-47, an overwhelming but largely symbolic step toward universal health insurance. The bill now heads to the Republican-controlled Senate where it is not expected to pass.

Assemblyman Richard Gottfried, chair of the health committee, gave an impassioned speech on the floor in support of the New York Health Act, arguing that it was long past time for New Yorkers to rid themselves of the intrusive insurance companies whose goal is to deny claims rather than provide care.

"You do not have to be an Einstein to understand New York Health is the right choice for New York," Gottfried said.

Gottfried, a Democrat from Manhattan, spent the legislative session barnstorming the state, trying to gain support for his bill, which would be funded through a progressive income tax and payroll assessments. There would be a net savings of $45 billion in health spending by 2019, Gottfried said, based on an analysis from Dr. Gerald Friedman, a professor at the University of Massachusetts at Amherst, though that figure was attacked by Republicans.

The bill, Gottfried said, would lower costs by getting rid of insurance companies. It would lower administrative costs and allow doctors to focus their time on treating patients instead of fighting for reimbursements.

"What will bring down health care costs is taking out of the equation the more than 20 percent we now spend on administrators whose job it is to fight with insurance companies," he said.

The plan's benefits, Gottfried said, would be more generous than any plan on the current market, and there would be no co-pays or deductibles. The bill would also require a care coordinator for every member, though that coordinator is not empowered to choose the type of care a patient receives.

For some Republicans, it was all too good to be true.

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"This bill promises remarkable things for New York State residents," said Assemblyman Andy Goodell, a Republican from Chautauqua. "It says providers, 'you'll be paid a lot more money,' and it says to the employees 'you'll contribute a lot less money,' and it says to the patients 'you'll have much broader access,' and to the employers 'you'll pay $45 billion less.' My background is in math and economics and I haven't been able to figure out how this all works. ... There is no free lunch, there is no free health care."

Leslie Moran, spokeswoman for the New York Health Plan Association, which represents insurers, said the bill "represents an unrealistic, utopian view of a universal health care system where everyone would be covered, everything would be covered and the system would magically pay for it all."

One problem, pointed out by Republicans, is that the offering, while generous, is the opposite of what public health officials are pushing, including those in the Cuomo administration, who have professed that insurance systems, and high deductibles and co-pays help ensure people use the health system judiciously instead of opting for more, often unnecessary, care.

"There is a role for insurance companies," state health commissioner Dr. Howard Zucker said Wednesday before the debate.

The last time a universal health care bill was on the Assembly floor was 1992. It passed but the debate was sidelined because of federal efforts to reform health care, which ultimately failed under the Clinton administration.

The passing of the Affordable Care Act, which subsidizes private insurance for people below a certain income level, was a valid effort, Gottfried said, but ultimately served to highlight why the system needs to be entirely scrapped.

"I think the A.C.A. has made it clear to people ... there are profound problems in our health care system that cannot be addressed by incremental change in that system," Gottfried said.

Wiping out an industry--even the insurance industry--was not seen as popular by many Republicans who worried about the loss of jobs and what might happen should this plan fail.

Goodell asked why the state should go down this road when Medicaid--a government run insurance program for lower-income residents--is expensive, burdensome and not well liked.

"Why would we want to expand that type of approach," he asked.

Gottfried responded that his bill would improve Medicaid by putting everyone into one pot. He would, he said, eliminate the two-tiered system. There'd be no greater risk of fraud under this law than in the current Medicaid program.

Republicans also pointed out how much was left to be done. The income tax rates have yet to be decided, but would likely cost the highest earners more than they currently pay for health insurance, while subsidizing lower income residents.

The analysis provided by Gottfried estimates no income tax on the first $25,000, an income tax of 9 percent on income between $25,0001 and $50,000, graduating to 16 percent tax for income over $200,000.

The legislation is also not specific on how to deal with residents of New York State who retire to another state.

That would have to be resolved at a later date, Gottfried said.

"Though we have numerous pages on this legislation, we have numerous holes also," said Al Graf, a Republican from Holbrook. "There is no way I can go back to my constituents and tell them you may have coverage in the future. ... This is an exercise in insanity."

Moran said there is no certainty that providers would accept government set reimbursement, though Gottfried said almost all would receive more for their services than they are currently being paid.

The bill also "completely disregards the economic contribution of health plans--both to the state and to local communities," Moran said.

Joseph Borelli, a Republican from Staten Island, cited Vermont, which tried and failed to enact a single-payer health system.

Vermont's collapse has been a cautionary tale for even the most enthusiastic supporters of government sponsored health insurance, but Gottfried was having none of it.

"New York ... bears no resemblance to Vermont," Gottfried said. "The bill bears very little resemblance to Vermont. Their financing system is different. The two have absolutely nothing to do with one another, nothing! Why don't you ask me whether New York will flood Just like Texas flooded if we enact this plan. The weather in Texas has as much to do with this as Vermont does."

The Labor Campaign for Single Payer

The Labor Campaign for Single Payer, Healthcare NOW and One Payer States will hold a joint national strategy conference at the Chicago Hilton, October 30 through November 1. The Physicians for a National Health Program (PNHP) will also be holding their annual meeting in a nearby hotel and we will be teaming up with them for a number of joint events.

This will be the first ever conference that brings together four nationally prominent single-payer organizations, national, regional and local unions and state and local advocacy groups. We will come together five years after the passage of the Affordable Care Act and 50 years after the launch of Medicare to discuss the next steps in the fight for healthcare justice. This conference will be an historic opportunity to assess our strengths and weaknesses, learn from our experiences and build unity as we work to win single-payer, Medicare for All for everyone in America.

The conference will convene at 7 PM on Friday, October 30 with a reception and plenary hosted by all four sponsoring organizations. United Steelworkers President Leo Gerard and National Nurses United Co-President Jean Ross will be among the featured speakers. The conference will adjourn no later than noon on Sunday, November 1. Information on the agenda and workshops will be posted shortly.

Unions that support the work of the Labor Campaign for Single Payer are urged to send representatives. Union leaders and activists who would like to learn how their union can do more in the fight for healthcare justice and who want to connect with others from around the country are also encouraged to attend.

The early registration fee will be $75 and will include the Friday reception and Saturday lunch. A block of hotel rooms will be available at the Chicago Hilton for $159 per night. Rooms can be reserved online or by calling 877-865-5320 and referencing NSC/Single Payer Strategy Conference.

Registration information will be sent out later this month.Please mark your calendar and plan to attend this historic event.

Solidarity.

Mark Dudzic

National Coordinator

National Advisory Board Don Berry, President Maine AFL-CIO

Jeff Crosby, President Northshore Labor Council (MA)

Rose Ann DeMoro, Executive Director, National Nurses United

Donna Dewitt, President Emeritus, South Carolina State AFL-CIO

Maria Elena Durazo, Vice President UNITE HERE

Pat Eiding, President Philadelphia CLC

Fernando Gapasin West Central Oregon CLC

Ben Johnson, President Vermont American Federation of Teachers (AFT)

Jeff Johnson, President Washington State Labor Council

Greg Junemann, President International Federation of Professional and Technical Engineers

Bruce Klipple, President United Electrical Workers, UE

Tom Leedham, Secty-Treas Teamsters Local 206

Fred Mason, President             Maryland/DC AFL-CIO

David Newby, President Emeritus, Wisconsin State AFL-CIO

Henry Nicholas, President AFSCME 1199

Tim Paulson, Executive Director San Francisco CLC

Josh Pechthalt, President California Federation of Teachers

Ken Perdue, President West Virginia AFL-CIO

Clyde Rivers, Representing California School Employees Association

Judy Sheridan-Gonzalez, President NY State Nurses Assoc.

Steven A. Tolman, President Massachusetts AFL-CIO

Jos Williams, President DC Metro CLC

Nancy Wohlforth, Representing California State AFL-CIO

The Labor Campaign for Single-Payer survives on the generosity of our supporters. Please consider making a donation.

www.LaborForSinglePayer.org | organizers@laborforsinglepayer.org