
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: TUESDAY, August 17, 1993                   TAG: 9308170236
SECTION: NATIONAL/INTERNATIONAL                    PAGE: A-1   EDITION: METRO 
SOURCE: Los Angeles Times
DATELINE: TULSA, OKLA.                                LENGTH: Medium

CAMPAIGN STARTS ON HEALTH PLAN

President Clinton formally launched his campaign for health care reform campaign Monday with a declaration that the nation can no longer side-step the issue and a promise that his solution will not crush American business.

Inaugurating the second major legislative campaign of his presidency, Clinton told the National Governors Association that while his program would require all businesses to help pay for their employees' insurance, savings produced by his reforms would more than make up for the new costs.

"We can make this work," he said, in the first major health care speech of his presidency.

The White House also disclosed that the administration would propose phasing in the reforms over five to seven years and delaying the imposition of new insurance costs on businesses for "a couple years," in the words of an aide.

The 44-minute speech began a sales campaign that will gradually increase in intensity until mid-September, when the administration plans a formal unveiling of its legislative proposal. But it is unlikely that Congress will produce reform legislation until sometime next year.

In contrast to the bobbled early effort to sell its budget plan, the administration hopes to sell the program on its terms - as a reform that not only will benefit the sick and uninsured but offer greater security to Americans who are now satisfied with their health care but live under the threat of losing their insurance coverage.

The broad outlines of the administration's program are clear. It would establish huge insurance purchasing cooperatives, "health alliances," that would combine the bargaining power of individuals and small businesses, enabling them to acquire the lowest-cost health plans from providers.

The program also would create a package of guaranteed benefits for all Americans, and would require employers to pay most of the costs.

Because the requirements on business have become the focus of attacks from Republicans and some business leaders, Clinton and his aides felt compelled Monday to make a special effort to counter them.

Ira Magaziner, a senior health policy adviser, said the administration would propose partial subsidies to help smaller businesses pay their share of the minimum health benefits package for employees.

He also said the program might also call for taxes on cigarettes or alcohol, or both, to pay for increased long-term care benefits. Clinton has not decided on such taxes, which could raise revenues "in the high single digits or low double digits" of billions, Magaziner said.

by CNB