Illegal Alien Health Care Loophole a Topic of Debate at August Townhall Meetings

An interesting update from www.fairus.org!

Illegal Alien Health Care Loophole a Topic of Debate at August Townhall Meetings
Congress has returned home for its annual summer recess, and multiple media outlets have reported on contentious health care town halls where elected officials are engaging in heated exchanges with their constituents. (See, for example, The Associated Press, August 12, 2009). As Members of Congress and their constituents continue to engage in the health care debate, the issue of immigration — both legal and illegal — will play an important role.
Many Americans have used the town hall forums to express their opposition to covering illegal aliens under a health care reform proposal. Last month, President Obama told CBS News that illegal aliens should not be covered under a health care bill. (CBS News, July 21, 2009). However, FAIR has exposed the loopholes in the House version of the health care reform legislation that will allow illegal aliens to access taxpayer-subsidized affordability credits and the so-called "public" option health plan. (See FAIR's Legislative Update, July 20, 2009 and FAIR's Legislative Analysis).
While the president said he was opposed to providing health care coverage to illegal aliens, he did note a caveat: "The one exception that I think has to be discussed is how are we treating children, partly because if you've got children who may be here illegally but are still in playgrounds or at schools, and potentially are passing on illnesses and communicable diseases, that aren't getting vaccinated, that I think is a situation where you may have to make an exception." (CBS News, July 21, 2009). The federal government has already addressed this issue. Section 403(c)(2)(E) of the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA) of 1996 (Public Law 104-193) allows illegal aliens to access "[p]ublic health assistance…for immunizations with respect to immunizable diseases and for testing and treatment of symptoms of communicable diseases whether or not such symptoms are caused by a communicable disease." (Public Law 104-193, August 22, 1996). In other words, it is not necessary, as President Obama has suggested, to further expand illegal aliens' access to taxpayer-funded health care in order to provide illegal alien children preventative care.
The cost of health care reform will be a function of the number of people eligible to participate. Since the House version of the bill lacks meaningful verification procedures, illegal aliens will be able to access taxpayer-funded subsidies for affordability credits and the public plan. (See FAIR's Legislative Analysis). In addition, Section 242(d) of the House bill allows legal immigrants (green card holders) — who are otherwise required to wait five years before becoming eligible for most federal benefits — to immediately become eligible for affordability credits as soon as they set foot in the United States. (H.R.3200, July 14, 2009). The Congressional Budget Office (CBO) estimates that the average annual subsidy for individuals who access the subsidized affordability credits and/or public plan will be $4,600 per person in 2014, rising to $6,000 per person in 2019. (CBO Letter, July 17, 2009). At current admission levels, this means that American taxpayers will be subsidizing the costs of health care for both legal and illegal aliens to the tune of tens, and maybe even hundreds, of billions of dollars each year, depending upon how many of these aliens actually access the subsidized affordability credits or public plan.
Some have argued, however, that forcing Americans to subsidize health insurance for illegal and legal aliens will actually save the American taxpayers money, for two reasons. First, some argue that expanding the base of those covered by insurance will lower the costs for everyone. Second, some argue that early diagnosis will lead to treatment at a fraction of the cost than later diagnosis would. Last week, the CBO sent a letter to Representative Nathan Deal (R-GA) indicating that this is not the case. Rep. Deal asked the CBO to review "the budgetary effects of proposals to expand governmental support for preventative medical care and wellness services." CBO ultimately concluded that "the evidence suggests that for most preventative services, expanded utilization leads to higher, not lower, medical spending overall." (CBO Letter, August 7, 2009). These findings directly contradict the argument that giving aliens taxpayer-subsidized health insurance will somehow save Americans money in the long run. Accordingly, one way for Congress to lower the cost of the health reform bill would be to demand vigorous enforcement of our nation's immigration laws. This would help alleviate some of the cost burdens on America's health care system, particularly on our emergency rooms. Another way for Congress to reduce the cost of this bill would be to retain the current five year waiting period for federal benefits and to eliminate Section 242(d) in the House bill.
The House of Representatives will consider its version of the health care bill when its members return to Washington in September. The Senate is expected to resume its work on its two health care bills when it reconvenes, as well.

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