« Previous | Main | Next »

Obama's New Health Care Policy for Small Businesses Adopts Clinton Plan

Share

July 13, 2008 6:02 PM

ABC News' Sunlen Miller reports: Speaking before the National Council of La Raza in San Diego, Sen. Barack Obama rolled out a new policy in his healthcare plan: announcing that he will offer a new tax credit for small businesses that offer quality healthcare to their employees.

To note, this is an adoption of a part of Sen. Hillary Clinton's health care plan -- and one that Obama gave Clinton direct credit for during his announcement.

"Today, I'm announcing an aspect to my plan to provide real relief for small business owners who are crushed by rising costs, an idea championed by my friend Hillary Clinton, who's been leading the way in our battle to insure every American," Obama said. "It's a plan that would help more employers provide health benefits for their workers -- instead of making it harder for them, as Senator [John] McCain would do."

On a conference call earlier in the day the Obama campaign danced around the issue of giving credit solely to Clinton for the development of his health care plan.

"Very naturally we looked at other health plans out there and Sen. Clinton was a champion of this issue and it was clearly a very good element to her plan and we're very happy to take it on board," Obama's economic policy director Jason Furman said. "It's also something that several other people have covered -- Dick Durbin, John Kerry -- and so we took a look at a lot of people who proposed this."

Announcing his new policy rollout purposely before the Hispanic community, Obama said that small businesses are the engines of economic prosperity -- especially in Latino communities.

"And under my plan, if you're a small business that wants to provide health care to your employees, we'll give you a tax credit to make it affordable," he said. "My plan won't impose any new burdens on small businesses. Instead, we'll help them not just create new jobs, but good jobs -- jobs with health care; jobs that stay right here in America; the kind of jobs we need in our communities.

Within his remarks, Obama contrasted his health care plan with that of McCain, his likely Republican opponent in the presidential election, and issued a warning to the crowd.

"Under the McCain plan, many Americans could lose the health care that they have -- and pay more in taxes for the health care that they get," he said.

Obama has been working hard to court the Latino vote. Today's speech was the third he has made before Hispanic groups in the last few weeks. Obama told the group that their votes could make a difference in the election.

"The Latino community holds this election in its hands," Obama said. "Some of the closest contests this November are going to be in states like Florida, Colorado, Nevada and New Mexico -- states with large Latino populations. "

Obama's proposed small business tax credit comes six days after Sen. John McCain, R-Ariz., criticized the "pay or play" aspect of Obama's original health care proposal.

Under Obama's original proposal, small businesses that did not hit unspecified revenue thresholds would have to provide a "meaningful contribution" to their employees' health coverage or else contribute a percentage of payroll towards a national plan.

"You have a number of companies that essentially are freeloading off of those that are covered," Obama health care adviser Stuart Altman told ABC News on Monday in reference to the Illinois Democrat's original proposal. "The Obama plan is an attempt to level the playng field. ... Just because you're small doesn't mean you're not profitable."

In an interview with ABC News published on Friday, Rep. Tom Allen, D-Maine, an Obama supporter running for the Senate, objected to what he said was the impact that Obama's original "pay or play" proposal would have on non-exempt small businesses.

"Before you say we're going to have a mandate for an individual or a business, you really have to create the system," Allen said when asked about Obama's original health plan. "I want to create that public plan, and then I believe that most businesses will go in that direction.

"Otherwise," he added, "you're shutting down the smallest businesses, the ones that are on the edge. They might not be the smallest businesses always, but they are the ones most on the edge, and you don't want to do that if you're trying to cover everybody with health care."

Under his new proposal, Obama would provide a refundable credit of up to 50 percent on premiums paid by "small businesses" on behalf of their employees.

The Obama campaign estimates that this tax credit would cost $6 billion.

Despite offering the press an estimate of what its plan would cost, the Obama campaign will not disclose which firms constitute a "small business" for purposes of this tax credit. It also has not revealed what constitutes a "medium-sized business" for purposes of his partial tax credit.

An Obama spokesman says those details will be worked out with Congress.

July 13, 2008 in Kucinich, Dennis | Permalink | User Comments (43)

User Comments

Feed You can follow this conversation by subscribing to the comment feed for this post.

Obama has Xeroxed Clinton's ideas since the primaries, so why stop now?

Posted by: Manu | Jul 13, 2008 6:18:32 PM

You mean the health care plan he dissed her about saying she was making people pay what they can't afford?? He's adopting part of her plan? More and more people will see Hillary was the one with the real soultions. Well if he takes part of her plan I hope that he plans on puting her in his adminstartion she has brains.

Posted by: rachel | Jul 13, 2008 6:26:18 PM

During the primaries this health care plan was ridiculed by Obama and now he is adopting it. Shows what a hypocrite he really is.

Posted by: Mary | Jul 13, 2008 6:33:49 PM

now i know hillary may be vp or something very strong in that administration if he wins vote for mccain and you know what hillary goes back to senate!!!!!! fighting the republicans

Posted by: angie | Jul 13, 2008 6:52:35 PM

La Raza is a insurgent dangerous organization that would swamp America with a continuous influx of poor from third world countries. The race as it's called has seditious ideas to return the Southwest to Mexico. However, absolute fanatical this might seem this is their philosophy they preach amongst the Latino people's. This organization supports driver’s licenses for illegal aliens, in-state tuition discounts for illegal alien students that are not available to law-abiding U.S. citizens and law-abiding legal immigrants. They vehemently opposes cooperative immigration enforcement efforts between local, state and federal authorities. There in opposition to the Federal SAVE ACT (H.R.4088), that would enforce mandatory employer sanction nationwide. They opposes a secure fence on the southern border, These anti-sovereignty advocates bitterly protested common-sense voter ID provisions as an “absolute disgrace that would eliminate voter fraud. They have consistently opposed post-9/11 national security measures at every turn and is currently leading a smear campaign against staunch anti-immigration enforcement leaders. These zealot voices have called for TV and cable news networks to keep immigration enforcement proponents off the airwaves — in addition to pushing for Fairness Doctrine policies to shut off our right to 'Free Speech." They sponsor militant ethnic nationalist charter schools subsidized by your public tax dollars (at least $8 million in federal education grants). The Race” has perfected the art of the PC shakedown at taxpayer expense, pushing relentlessly to lower home loan standards for Hispanic borrowers, reaping millions in federal “mortgage counseling” grants, seeking special multi million-dollar earmarks and partnering with banks that do business with illegal aliens. NUMBERSUSA

Posted by: Brittanicus | Jul 13, 2008 7:06:51 PM

Well, he's hiring most of the Clinton administration's people, or will hire them before this is all done, so why not take part of Hillary's plan. He's pretty much transforming himself into another Bill Clinton. He and McCain are both losers. I can't believe this is the best the two parties have to offer.

Posted by: sarah | Jul 13, 2008 7:28:15 PM

Hillary is the policy wizard. I sure hope he picks her as VP if she wants the job. I hope the Obama camp isn't trumping up problems with president Clinton as an excuse to bypass Hillary. She would excite the party in a way Obama can't do alone.

Posted by: rafraf | Jul 13, 2008 7:31:44 PM

OBAMA has never had an original idea. I am totally frustrated with a few key figures in the DNC promoting this OBAMANATION as a potential nominee.

Posted by: mj | Jul 13, 2008 7:51:55 PM

Does this mean that in another week or two that Obama will change his mind and throw healthcare for small businesses under the bus? It seems like he just makes plagiarized promises one day and then flips on a dime. I guess it all depends what demographic he is trying to influence with his "words" this week.

PUMA

Posted by: Einstein | Jul 13, 2008 7:59:43 PM

I was wondering how long it would be before Obama incorporated a health care policy that included small businesses. What he outlined today was pretty sketchy, and its difficult to see Hillary's policy in it. He should propose a small business plan that involves keeping jobs here.

It looks like this is a precursor to having Hillary as Obama's vice president, or at least in a very high position in his cabinet. This change may be a herald to prominently including Hillary. But, what about Bill?

Posted by: JRE | Jul 13, 2008 8:02:05 PM

Obama: Nothing at all original in his bag of quackery!


Posted by: Soetoro No! | Jul 13, 2008 8:07:39 PM

Flip flop doing it all the time now.....

Posted by: indp,voter | Jul 13, 2008 8:08:51 PM

Obama: Change you cannot believe in!


Posted by: Soetoro No! | Jul 13, 2008 8:22:09 PM

"Hillary Clinton will say anything to get elected"

~ David Axelrod, (Obama campaign manager) quoted 27 times during the primaries.

Apparently, Barack Obama will say and and do anything to get elected. The big problems with this attitude is that he in now alienating his own rabid base, fomenting discord in the African American community, scaring the wits out of the Israelis, insulting the Germans,
becoming Bush 3 Light.

And of course, showing his appalling lack of judgement, character, honesty, experience -- oh wait! Isn't that why we were supposed to vote for him?

What is left then? We should vote for him because he has plagiarized Clinton's policies after ridiculing them?

No thanks. This guy is a giant ego in an otherwise empty suit.

And we have just had eight years of similarly untenanted haberdashery.

Posted by: Hobbitt | Jul 13, 2008 9:02:08 PM

Obama's just giving credit where credit is due. Relax, people. He's always said he'll bring together the strengths of everyone involved.

Posted by: Reggie | Jul 13, 2008 9:07:32 PM

Obama hasn't had an original idea yet so who thinks he is going to start now. If he can read it off a piece of paper he is OK, I am sure he did excellent in speech class if all he had to do was stand in front of a class and read his speeches, he is really quite good at reading, yelling and shaking his fist.If a person can't make their point without yelling and shaking their fist they had better give up. I mean it takes talent to do all of that at one time. I still have a question where all of his campaign money is coming from. Is anyone sure? As for President Clinton, he had better be extremely nice to him because Obama is going to need Senator Clinton.

Posted by: McMurry | Jul 13, 2008 9:10:53 PM

nothing original
nothing grand
nothing bold
same old politics

Posted by: Kurt | Jul 13, 2008 9:33:04 PM

During the primaries, I found it disturbing how close BHO's policies were to Hillary's. Can you say "Patti DeSolis?" Hillary's ex-campaign mgr has been a friend of BHO early on in Chicago. Her husband has been on BHO's campaign staff since the beginning. It all adds up along with his character. You need to ask yourself....How will you vote if he makes Hillary his VP???
I have thought about this more and more now because of his inexperience, Wright,etc. I will be voting for McCain and hope that in 4 years Hillary will run again. Four is better than eight! Besides...There are alot of grassroot organizations out there that are working hard to make sure he is not in office. I think we should support them and not the underhanded DNC!

Posted by: PumaWoman | Jul 13, 2008 9:35:55 PM

hey puma woman how do you know obama supporters will vote for hillary in 4 years remember karma!!

Posted by: angie | Jul 13, 2008 9:53:14 PM

Typical stuff tonight from both sides of haters, rather than actually discussing the topic.

Okay, I'll take the bait: what small business owner wants to take on the burden of healthcare coverage for their employees? Fine, cut my business' taxes but guess what - our healthcare plan's premiums jumped 30% this year. So, are you going to give me that huge of a tax cut? Doubt it.

People have to decide whether health insurance is a personal responsibility or a group (i.e. government/collective) responsibility. Why is it the responsibility of businesses (small or large)?

Posted by: 1percenter | Jul 13, 2008 10:32:49 PM

Post a comment