February 16, 2005
Health care Issues in the 109th Congress: Medical Malpractice
It is no surprise that some of the biggest legislative issues during this Congress will revolve around health care. Health care was frequently mentioned on the campaign trail and remains a critical issue for the self-employed and micro-business owners. Medical malpractice settlements have long been a concern for certain people in the medical community as well as consumers.
This week the House Small Business Committee will hold a hearing titled “Medical Liability Reform: Stopping the Skyrocketing Price of Health Care.” The committee will consider how changes to current malpractice law would affect small businesses.
Legislation has been introduced in both the House and Senate to reform malpractice lawsuits. The notion that malpractice reform legislation will come to a vote this Congress stems from last week’s Senate passage of a bill (S. 5) that would give federal courts jurisdiction over high-dollar class action lawsuit disputes (over $5 million) and when plaintiffs in such cases come from different states. The legislation had been discussed and proposed in some form for the last six years. President Bush hailed the bill as “a strong step forward in our efforts to reform the litigation system.” It is likely to pass through the House this week.
A second bill in the House, the Help Efficient, Accessible, Low-Cost, Timely Health care (HEALTH) Act of 2005 (H.R. 534), includes a major provision that would put a $250,000 cap on awards for pain and suffering to those injured.
While there is hardly a question on either side of the aisle that malpractice insurance premiums on doctors have been a hindrance in the medical field, there is disagreement as to the solution. Proponents of H.R. 534 claim that setting limitations on damages paid to injured parties will lower premiums and encourage doctors to practice in all areas of the country. However, opponents and skeptics call for further research of the insurance industry to find other factors that may account for the rising premiums.
For full text and status of H.R. 534, visit http://thomas.loc.gov/cgi-bin/bdquery/z?d109:h.r.00534.
For information on S. 5, visit http://thomas.loc.gov/cgi-bin/bdquery/z?d109:s.00005.
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President’s FY 2006 SBA Budget Meets with Criticism, Some Praise from Congress
As outlined in last week’s Washington Watch, President Bush proposed his version of the fiscal year 2006 budget. His request for the Small Business Administration was decreased by $85 million to $593 million in funding for next year. While much of this reduction stems from the elimination of subsidies for the 7(a) loan program that took effect late last year as part of the SBA reauthorization, many members are outraged by the figures.
“Small businesses continue to lead U.S. economic growth, generating two-thirds of new private sector jobs and employing more than half of all workers,” said Senator Olympia Snowe (R-ME), Chair of the Senate Committee on Small Business and Entrepreneurship. “The steady decline to the SBA’s budget could jeopardize its ability to provide economic stimulus in the future.”
Snowe did praise the Bush Administration for proposing to increase the SBA’s government and business development programs by $4 million next year.
The House Small Business Committee held a hearing to discuss the budget last week. Chair Donald Manzullo (R-IL) praised the president for his understanding of small business needs.
“We are fortunate to have a president who understands that our small employers need relief from high taxes, surging health care costs and unnecessary regulations in order to grow and create jobs,” sad Manzullo.
Ranking Member of the House Small Business Committee, Nydia Velazquez (D-NY), voiced concern about the cuts in such programs as Microloan, which has provided loans in technical assistance to low-income business owners and the termination of the Small Business Investment Company (SBIC) Participating Securities Program, which provided $1.5 billion in venture capitol to small businesses last year.
The Program for Investment in Microentrepreneurs, Women’s Business Centers, and Small Business Development Centers are some of the programs with proposed cuts in the SBA budget. Other small business programs such as the Advanced Technology Program and the Manufacturing Extension Program also face elimination or reduction.
The NASE will continue to follow these provisions and any that could affect the self-employed and micro-business owners. Let your Members of Congress know how you feel about the President’s budget through the online Legislative Action Center at http://advocacy.NASE.org.
For more information on the issues in Congress, visit the House Small Business Committee Web site at http://wwwc.house.gov/smbiz/ and the Senate Small Business and Entrepreneurship Committee at http://sbc.senate.gov/.
Both Fresh and Familiar Faces on 109th Small Business Committees
This Congress begins with eleven new additions to the House Small Business Committee and four additions to the Senate Small Business and Entrepreneurship Committee. Some new committee members are new to Congress while others are veterans.
New House Small Business Committee Members:
Returning House Small Business Committee Members include Donald Manzullo (R-IL), Chair, Nydia Velazquez (D-NY), Ranking Member, Todd Akin (R-MO), Roscoe Bartlett (R-MD), Madeline Bordallo (D-Guam), Jeb Bradley (R-NH), Ed Case (D-HI), Steve Chabot (R-OH), Donna Christian-Christensen (D-Virgin Islands),
Danny Davis (D-IL), Eni Faleomavaega (D-American Samoa), Samuel Graves (R-MO), Sue Kelly (R-NY), Steve King (R-IA), Michael Michaud (D-ME), Juanita Millender-McDonald (D-CA), Marilyn Musgrave (R-CO), Linda Sanchez (D-CA), Bill Shuster (R-PA), Tom Udall (D-NM), Lynn Westmoreland (R-GA).
New Senate Small Business and Entrepreneurship Committee Members:
John Cornyn (R-TX) Johnny Isakson (R-GA) John Thune (R-SD) David Vitter (R-LA)
Returning Senate Small Business and Entrepreneurship Committee Members include Olympia Snowe (R-ME), Chair, John Kerry (D-MA), Ranking Member, George Allen (R-VA), Evan Bayh (D-IN), Kit Bond (R-MO), Conrad Burns (R-MT), Maria Cantwell (D-WA), Norm Coleman (R-MN), Michael Enzi (R-WY), Tom Harkin (D-IA), Mary Landrieu (D-LA), Carl Levin (D-MI), Joe Lieberman (D-CT), Mark Pryor (D-AR).
NASE will follow the progress of the small business committees and push for legislation to support the self-employed and micro-business owners. Contact these Members of Congress and let them know what issues are important to you through the online Legislative Action Center at http://advocacy.NASE.org.
Do any of these issues affect you? Visit the NASE Legislative Action Center and “Tell Your Micro-Business Story.” This will help the NASE understand - on a personal level - how key legislative issues are affecting your business and your bottom line.
For more information about any of the articles in Washington Watch, contact Maureen Petron, NASE public affairs director, at (202) 466-2100 or advocacy@nase.org.
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