Washington, D.C., City Council Member Makes Changes To Universal Health Care Proposal

Main Category: Health Insurance / Medical Insurance
Article Date: 08 May 2008 - 5:00 PDT

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Washington, D.C., Council member David Catania (I) on Monday said he is reworking a proposal that aims to establish universal health care in the district, the Washington Post reports (Stewart, Washington Post, 5/6). In its initial form, the $50 million Healthy DC proposal would require all district residents to obtain health insurance. The proposal would subsidize coverage for uninsured residents who are ineligible for Medicare, Medicaid and the city's insurance program for low-income residents, the DC HealthCare Alliance. Uninsured residents with incomes less than 200% of the federal poverty level would receive the subsidies. Residents who did not obtain health insurance by January 2010 would have been subject to a $250 fine (Kaiser Daily Health Policy Report, 4/1).

However, Catania on Monday said that the district could sign up eligible residents for the subsidized coverage through outreach efforts, rather than imposing the $250 fine.

The other change involves the program's funding and what entity will be administering the subsidized coverage. Catania's proposal called for the city to provide $21 million toward the program. Other funding would have come from a cigarette tax increase, as well as from the $250 fines. In addition, CareFirst BlueCross BlueShield would have provided the subsidized coverage and $5 million toward the program.

Catania said, "CareFirst has had -- the best way to characterize it -- a change of heart," adding that although the company has not officially or directly pulled out of the plan, "There is less enthusiasm there." The revised legislation would authorize D.C. Mayor Adrian Fenty to seek a company to provide the subsidized insurance, and CareFirst could negotiate with the city again.

Catania plans to attach the proposal to the fiscal year 2009 budget, which the council is scheduled to consider on May 13 (Washington Post, 5/6).

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