JFActivist: CLASS Act Amended, Long Term Services and Supports in Health Care Reform

JFActivist: CLASS Act Amended, Long Term Services and Supports in Health Care Reform: "The Community Living Assistance Services and Supports Act (CLASS) Act was marked up July 7, 2009 by the U.S. Senate Health Employment Labor and Pensions (HELP) Committee. There was only one amendment to the bill proposed, debated and ultimately accecpted. Originally, the bill called for a monthly premium cap of $65 for participants in the first ten years, with a mandate for the Secretary of Health and Human Services (who would over see the program) to maintain cost neutrality by adjusting premiums and benefits after that. Within these confines the Congressional Budget Office (CBO) report forecast a $57.8 billion savings for the federal government over the first 20 years.

Democrats on the Committee, lead by Senator Chris Dodd (D-CT) insisted that the program, as written, would be self-sustaining. Republicans on the committee argued the program was not solvent because if the premiums were not raised costs could skyrocket to $2 trillion within 75 years. They also argued that one could not tell the true cost of the bill because it was only projected out twenty years and not for seventy-five years like other entitlement programs.

Senator Judd Greg (R-NH) offered an amendment that the bill's solvency would have to follow the 75 year guidelines and the Secretary of HHS would be responsible for setting premiums and benefits to maintain that solvency from implementation. There is no companion bill on the House side yet."