PRESS RELEASE

 

For Immediate Release

May 8, 2007                                   

 

For More Information:

 

Jim Duffett (217) 840-5850

Jess Lynch (312) 913-9449

 

The GRT Debate Isn't About Taxes.  It's About Health Care.

 

On Wednesday the Illinois AFL-CIO, Illinois Service Employees International Union (SEIU), Illinois Maternal & Child Health Coalition, American Medical Women's Association and the Campaign for Better Health Care unite to deliver a message to the House of Representatives: The Gross Receipts Tax debate is really about health care.

 

The opponents of this proposal have not have not provided any alternative plan for assuring that quality health care is affordable.  Instead they suggest we continue with the status quo and do nothing at all about health care.  However, the cost of doing nothing will have by far the most detrimental effect on Illinois' economy. The figures are startling.  If we do nothing, health care spending in Illinois will reach $100 Billion in 2011 - an increase of over $20 Billion, at which time businesses will pay an average of 10.2% of payroll for health care.

 

"On the other hand, when we invest in a more modern, more efficient health care delivery structure, as proposed under Illinois Covered, Illinois businesses and families will save $15.6 Billion in just four years through reduced premiums.  That means for every dollar invested in health care reform, Illinois families and businesses will save two dollars.  We can't afford not to take action on health care this year," emphasized Jim Duffett, Executive Director of the Campaign for Better Health Care.    

 

The following letter will appear as a full page ad in the Springfield Journal Register on Wednesday May 9.  Click here to see the ad as it will appear in print (pdf).  

 

Hon. Members of the Illinois House of Representatives:

 

Let's not kid ourselves.  Despite what health care reform opponents would like us to believe, the Gross Receipts Tax debate is really about health care.

 

Working families paying thousands of dollars a year in excessive health insurance premiums know it.

 

Seniors forced to decide in any given month whether to pay for food or pay for prescriptions know it.

 

Small business owners whose employee health insurance premiums are rising 5 times faster than inflation and 4 times faster than wages know it.

 

And the crowd that made the Illinois health care mess in the first place knows it.  Those big corporations that under-insure or don't insure their workers at all are the only ones who profit from this broken, inefficient, outrageously expensive system.  No wonder they're desperately trying to save it.  

 

Their strategy is to transform a focused debate over how best to provide accessible, affordable, quality health care to every Illinois resident into a mixed-up muddled-up confrontation over the Gross Receipts Tax.

 

Their tactic is divide and conquer.  They would like us to believe that to get health care reform, we've got to sacrifice property tax reductions, pension security, and quality education.  And they would like us to believe that a Gross Receipts Tax that simply requires big corporations to pay their fair share will drive jobs and businesses out of Illinois.

 

What nonsense.

 

"Health care reform savings would represent the equivalent of the largest tax cut in modern Illinois history."

 

According to the latest studies by nationally recognized health care economist Dr. Ken Thorpe, Illinois health care reform is an investment that will generate $2 dollars in savings for every $1 dollar it costs.  

 

In other words, reform will cost $7.2 Billion over the next four years - but save more than $15 Billion.  That's a net savings of $8.4 billion for Illinois businesses and working families. What's more, maintaining the mess we have will add more 400,00 to 500,000 over the next decade to the rolls of uninsured adults.

 

Reform will save an average Illinois family of four with private insurance $1,775 a year in reduced health insurance premium growth.

Reform will save an average Illinois family of four, earning $60,000 a year, almost $1000 a month under the Illinois Covered - Choices program.

Reform will save a small business paying 70% of insurance premiums for 10 employees about $23,000.00 a year - and businesses overall would realize a 9% reduction in their health care costs every year.

All told, health care reform savings would represent the equivalent of the largest tax cut in modern Illinois history.  

Think about it.  Families with nearly $2,000 a year extra for a new computer, vacation, college, home improvements.  Small businesses with tens of thousands of new dollars to invest in higher wages, better benefits and generating more jobs.  While every single man, woman and child in Illinois enjoys access to affordable, quality health care.  

So when you gather today to debate the Gross Receipts Tax, begin by asking:  "How do we best fund health care reform in Illinois?"  

The Gross Receipts Tax is one good idea.  If GRT opponents have a better idea, now's the time to put it on the table.  Bottom line:  We must get health care reform done now!

Sincerely,

Illinois AFL-CIO
Illinois Service Employees International Union (SEIU)
Illinois Maternal & Child Health Coalition
American Medical Women's Association
Campaign for Better Health Care