In a nutshell, when Dems complain about how the Republican legislative/lobbying process works, this is what they’re complaining about.
House and Senate GOP negotiators, meeting behind closed doors last month to complete a major budget-cutting bill, agreed on a change to Senate-passed Medicare legislation that would save the health insurance industry $22 billion over the next decade, according to the nonpartisan Congressional Budget Office.
The Senate version would have targeted private HMOs participating in Medicare by changing the formula that governs their reimbursement, lowering payments $26 billion over the next decade. But after lobbying by the health insurance industry, the final version made a critical change that had the effect of eliminating all but $4 billion of the projected savings, according to CBO and other health policy experts.
Forget School House Rock, this is how a bill becomes a law. A small group of Republicans get together in a back room — Dem lawmakers are excluded — and agree, “You know, those HMO lobbyists raise a really good point.” There is no public scrutiny and there are no hearings. It’s just the majority party quietly agreeing to change Senate-passed legislation to save the health insurance industry $22 billion.
As Ezra explained, the original legislation wasn’t bad. Senate Finance Committee Chairman Chuck Grassley (R-Iowa) crafted a proposal to save billions of dollars by adjusting the way in which HMOs are reimbursed. Senators agreed and the measure passed with little opposition. Thanks to some very successful and largely unseen lobbying, however, those savings were cut 85%.
“It happens in the dead of night when lobbyists get a [Republican lawmaker] in the corner and say, ‘We’ve got to have this,’ ” said Rep. Fortney “Pete” Stark (Calif.), the Democrats’ point man on Medicare issues. “It’s a pattern that just goes on and on, and at some point the public’s going to rise up.”
I’d like to think so, but I’m not optimistic.