House of Representatives Week of 10-26-09

Upcoming Week

Next week the House must approve a Continuing Resolution funding the federal government. In addition, the House will consider H.R. 3854 - Small Business Financing and Investment Act of 2009 to improve access to capital for small business.

Also the House will take up the conference report on H.R. 2996 - Department of the Interior, Environment, and Related Agencies Appropriations Act, 2010.

State of Play

CONSUMER PROTECTION
This week the Financial Services Committee approved legislation that will establish a new, independent federal agency solely devoted to protecting Americans from unfair and abusive financial products and services. As called for by President Obama, the Consumer Financial Protection Agency (CFPA) represents one of the most significant efforts by Congress to bring about long overdue financial reform and ensure that Americans are able to take advantage of capitalism’s benefits without falling victim to industry abuses.

As last year’s crisis demonstrated, deceptive financial products – such as predatory mortgages and hidden credit card fees – not only damage the livelihoods of American families, but can destabilize the entire economy.

The creation of the CFPA will finally put the interests of consumers at the forefront of the federal government’s attention and enforcement efforts. As outlined in H.R. 3126, the agency’s mission will be to promote a fair and transparent marketplace for financial products and to safeguard the American public from abusive industry tactics. In an unprecedented move, the bill also extends federal supervision to a host of financial industries, such as payday lenders and mortgage originators, which have long escaped oversight.


STARTING CREDIT CARD HOLDER RIGHTS SOONER
Also this week the Financial Services Committee unanimously passed H.R. 3639, the Expedited CARD Reform for Consumers Act of 2009, which would move up the effective date for credit card reforms from February 22 to December 1. The bill changes the date by which banks and credit card issuers would have to comply with the remaining provisions of the Credit CARD Act, new consumer-friendly legislation signed by President Obama earlier this year. The bill now moves to the House floor for consideration.


STARTING IMMEDIATELY TO CLOSE THE DONUT HOLE
Friday House leaders announced that the House health insurance reform bill soon to be unveiled will include a provision that begins to close the Medicare prescription drug donut hole immediately upon enactment. The House bill will completely eliminate the gap in coverage in 10 years – five years faster than in the original House bill unveiled in July. As of January 1, 2010, the legislation will reduce the size of the donut hole by $500 and give a 50 percent discount for brand-name drugs to recipients in the donut hole.

Beginning to close the donut hole immediately means that 1.1 million seniors will avoid falling into the donut hole in 2010. The gap closes completely by 2019, and over that time the 3 million seniors still affected by the donut hole will see lower costs, more coverage, and better benefits.


SUPPORT GROWS FOR PUBLIC OPTION
Washington Post/ABC News Poll
57 percent favor a public health insurance option, while 40 percent are opposed. (Support has risen since mid-August in this poll, when 52 percent supported a public option)
51 percent support a plan that includes some form of public option for those who cannot afford private coverage – even if it had no Republican support. (37 percent would prefer a bipartisan plan without this choice).
· 56 percent support a provision mandating all Americans have insurance, either through their employers, on their own, or through eligibility for Medicare or Medicaid.
· Support increases to 71 percent if the legislation provides subsidies for low-income Americans to help them purchase insurance; a majority of Republicans say they back the mandate with subsidies.
Almost 80 percent of all Americans have no confidence in the Republicans in Congress to make the right decisions for the country. (Among Republicans, only 40 percent express confidence in the GOP congressional leadership to make good choices.)

CNN/Opinion Research Corporation poll
Public Health Insurance Option Administered By Federal Government
Now August
Favor 61% 55%
Oppose 38% 41%

Trust More on Health Care
Obama 50%
Republicans 34%

Washington Post, ‘Public Option Gains Support’
“A new Washington Post-ABC News poll shows that support for a government-run health-care plan to compete with private insurers has rebounded from its summertime lows and wins clear majority support from the public… sizable majorities back two key and controversial provisions: both the so-called public option and a new mandate that would require all Americans to carry health insurance…” [10/20/09]

Wall Street Journal, ‘Public Option Gets New Life in Senate’
“Advocates contend a public plan would encourage lower premiums and better terms for consumers in many parts of the country that are dominated by a handful of major insurers. ‘It gives some real competition, when many times there isn't,’ said Sen. Charles Schumer (D., N.Y.)…” [10/20/09]



AT ALL-TIME LOW, PARTY OF NO CRITICIZED BY MORE BRETHREN
The Republican Party's favorable rating among Americans is at lowest level in at least a decade, according to a new national poll. Thirty-six percent of people questioned in a CNN/Opinion Research Corporation survey released Friday say they have a favorable opinion of the Republican Party, with 54 percent viewing the GOP negatively.

According to the Washington Post/ABC News Poll, nearly 8 in ten Americans lack confidence in Republicans to make the right decisions for our country’s future. [10/19/09]

Two more Republican leaders this week criticized the party of no…

BUSH: "We just can't be the party of no. Republicans need to offer, based on their own principles, solutions to these problems." --Former FL Governor Jeb Bush, The GW Hatchet, 10/22/09

HAGEL: “Former Sen. Chuck Hagel (R-Neb.) chided some of his former colleagues who have suggested that halting healthcare reform would be politically beneficial to the GOP. ‘If your attitude is wrong, if your intention is to use healthcare to destroy the other party, or to destroy the presidency of Barack Obama, then it's very unlikely you're going to find much consensus from people who want to use healthcare,’ Hagel said earlier this month in a speech at the University of Michigan, video of which was only made available recently.” The Hill 10/23/09

They add to the chorus of former Republican leaders who have done the same:

BOB DOLE, Former Senate Majority Leader , 10/7/09

MICKEY EDWARDS, former Republican congressman, 10/7/09

ARNOLD SCHWARZENEGGER, Republican Governor, California, 10/6/09

BOBBY JINDAL, Republican Governor, Louisiana, 10/6/09

DR. LEWIS SULLIVAN, Former Health and Human Services Secretary under President George H.W. Bush 10/8/09

MARK McCLELLAN, Former Administrator of the Centers for Medicare and Medicaid Services under President George W. Bush 10/6/09

MICHAEL BLOOMBERG, Mayor, New York City, NY 10/5/09

TOMMY THOMPSON, Former Health and Human Services Secretary under President George W. Bush 10/5/09

BILL FRIST, Former Senate Majority Leader (R-TN) 10/2/09