Healthcare reform moves on a step

Hurdle passed for President Obama

With a helping hand from the House of Representatives, President Obama has passed a hurdle to get his $1.2 trillion healthcare reform passed. The House of Representatives narrowly passed a reform bill to provide healthcare to all Americans. Obama called the vote on Saturday "historic" and said he was absolutely confident that he would sign a health reform Bill by the end of the year.

Democrats have sought for decades to provide universal health cover. When the Bill was passed by 220 votes to 215 late on Saturday night, cheers erupted as Nancy Pelosi, the House Speaker, declared the victory.

The vote, during a rare Saturday session, marked the first time a chamber of Congress has voted to back such sweeping reform of the US health industry. Pelosi compared it to the passage of legislation creating a state pension system in 1935 and government health cover for the elderly and poor in 1965, the British paper The Times stated.

Despite the Bill getting passed, it showed how hard it is for congressional Democrats to pass anything on their own: the bill was nearly brought down by last minute objections from 64 pro-life Democrats who wanted to tighten restrictions to ensure that no federal funding of abortions could possibly occur as a result of the reforms.

Battle

Obama and his allies on Capitol Hill still face a tough battle for victory on his signature domestic issue. There is a significant risk that the debate will slide into 2010, a mid-term election year when vulnerable Democrats in conservative and moderate districts might fail to back a final Bill because of its huge cost.

"Take this baton and bring this effort to the finish line," Obama urged senators on Sunday in an appearance at the White House, saying passage of healthcare reform would represent "their finest moment in public service," Reuters stated.

The Senate must now come up with its own version of a health reform Bill. Harry Reid, the Democratic leader, is under enormous pressure from the White House to get it through before the end of the year. Reid is struggling to find the 60 votes he needs to overcome Republican blocking tactics despite his party's Senate majority.

If Reid succeeds in getting legislation out of the Senate, his Bill - which will be slightly different from the 1,990-page, $1.2 trillion behemoth passed by the House - will have to be reconciled into one piece of legislation in negotiations with the lower chamber.

Despite the obstacles ahead, the success of the House Bill was a powerful victory for Obama and provided strong political momentum behind his drive for health reform. The vote came after he visited Capitol Hill on Saturday afternoon to encourage wavering Democrats.

"It provides coverage for 96 percent of Americans. It offers everyone, regardless of health or income, the peace of mind that comes from knowing they will have access to affordable healthcare when they need it," said John Dingell, a Michigan Democrat who has introduced universal health insurance legislation in every Congress since his arrival in 1955.

The package will transform large parts of the health industry, which currently accounts for a sixth of the US economy. Private insurers will no longer be able to deny cover to people with pre-existing conditions, limit cover or drop it altogether when people become ill.

The Bill also contains a government-run health insurance option to provide competition to private insurers, something bitterly opposed by Republicans and an issue which triggered heated protests during the summer.

Under the House Bill most individuals will be required to obtain health insurance if it is not provided by their employer. All but the smallest companies will have to provide cover for their employees or face a fine as high as 8 percent of their payroll. Overall the Bill would provide cover for an additional 36 million Americans, leaving 18 million without insurance by 2019, around a third of these being illegal immigrants.

The proposed package will be paid for by increasing the tax on individuals earning more than $500,000 a year, and on families with a combined income of more than $1 million, by more than 5 percent.

Opposition

Senator Joe Lieberman, an independent who caucuses with Democrats, renewed his promise on Sunday to help Republicans block a final vote if the bill contains the government-run insurance option backed by Senate liberals. Republicans remain almost unanimously opposed, critical of its huge cost and the tax increases needed to pay for it

"If the public option plan is in there, as a matter of conscience, I will not allow this bill to come to a final vote," Lieberman said on "Fox News Sunday."

Obama still has a long way to go before he's able to sign a reform that everyone is happy with.

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