June 16,1999

SENATE OVERWHELMINGLY APPROVES BILL GIVING DISABLED THE OPPORTUNITY TO JOIN THE WORKFORCE WITHOUT LOSING HEALTH BENEFITS


WASHINGTON -- With a vote of 99 to 0 Wednesday, the Senate gave overwhelming approval to S. 331, the Work Incentives Improvement Act of 1999, legislation helping people with disabilities go to work without fear of losing their health insurance. The bill was introduced in January by Senate Finance Committee Chairman Roth and Senators Moynihan, Jeffords and Kennedy. Roth gave the following statement on the floor Wednesday:

"Mr. President, this is an important day for millions of Americans with Disabilities - a day that presents the Senate with an opportunity to build on the legacy of the Americans with Disabilities Act. Today, we have a chance to help disabled Americans move toward independence.

"We have been building toward this day since Congress passed the Americans with Disabilities Act in 1990. That law made an important statement about this nation's commitment to opportunities for people with disabilities. Since then, barriers that had made even the simplest daily tasks difficult have been lifted. Millions of Americans have gone back to work or found their daily lives made easier.

"But despite these successes and the progress that has been made throughout the 1990's, our work is not done. There are still serious obstacles facing too many people with disabilities -- obstacles that stand in the way of employment.

"Senators Jeffords, Moynihan, and Kennedy and I want to change that. Accordingly, in January we introduced S. 331, the Work Incentives Improvement Act of 1999. This legislation has a simple objective -- to help people with disabilities go to work if they want to go to work, without fear of losing their health insurance lifeline.

"S. 331 has been one of my top priorities this year, and the Finance Committee got off to an early start in considering the bill. After a hearing on February 4th, the Committee moved forward with a markup on March 4th, passing the bill by a vote of 16 to 2.

"The strong support for S. 331 shown by our committee is also reflected in the full Senate. Mr. President, a total of 75 Senators now sponsor S. 331. Let me say that again -- 79 Senators have signed on to S. 331. That would be a remarkable total for any bill, let alone a health care proposal.

"S. 331 strengthens health insurance access in several ways. For example, the bill creates two new Medicaid options for states to make it possible for people with disabilities who choose to work to do so without jeopardizing health insurance access.

"The first option builds on a change enacted in the Balanced Budget Act of 1997. That law allows States to permit people with disabilities to buy-in to Medicaid who would be already eligible except that they earned too much. The new change will permit states to establish their own income eligibility parameters for working disabled individuals buying-into the Medicaid program.

"The second Medicaid change would make it possible for States to permit a similar Medicaid buy-in option for individuals with a severe, medically determinable impairment who would otherwise lose eligibility because of medical improvement.

"Mr. President, I should empha that both of these Medicaid provisions would be voluntary on the part of each State.

"Under both options, States would be able to set their own cost-sharing requirements. States could require individuals buying into the program to pay 100 percent of their premium costs.

"The bill also extends the period of time during which SSDI beneficiaries returning to work can continue to receive their Medicare Part A coverage.

In addition to these health coverage reforms, the bill provides a user- friendly, public-private approach to job placement. Because of a new, innovative payment system, vocational rehabilitation agencies will be rewarded for helping people remain on the job.

The reforms in S. 331 are needed because federal programs for individuals with disabilities too often discourage work. The most important barrier to employment identified by disabled individuals is the fear of losing health insurance.

"Not coincidentally, the unemployment rate among working-age adults with severe disabilities is nearly 75 percent. Many of these individuals want to work. Unfortunately, Mr. President, people with disabilities are presented with a Catch-22 between working and losing their Medicaid or Medicare. This is a choice that no one should have to make.

"But even modest earnings can result in a loss of eligibility for Medicaid or Medicare, and disabled individuals cannot surrender their insurance access without jeopardizing their health.

"Today, more than 7.5 million disabled Americans receive cash benefits from SSI and SSDI. Disability benefit spending for these two programs totals $73 billion a year. If only one percent -- or 75,000 -- of these SSI and SSDI beneficiaries were to become employed, federal savings in disability benefits would total $3.5 billion over the worklife of the beneficiaries.

"In addition to savings realized as cash benefits are replaced with earnings, more and more disabled individuals will join the ranks of taxpaying citizens under S. 331.

"Mr. President, the time for action on S. 331 has come. We can no longer afford to deny millions of talented Americans the opportunity to contribute in the work force. More than 300 national groups agree that it is time to act,including organizations representing veterans, people with disabilities, health care providers, and insurers.

"I think S. 331 has been so popular because it is all about helping disabled Americans work if that is what they want to do. It is about helping people reach their potential. It is NOT about big government - it is about getting government out of the way of individual commitment and creativity.

"And this bill isn't about an distinct and separate group of disabled individuals. It is about all of us. Realistically, we are all just one tragedy away from confronting disability in our own families.

"Unfortunately, we cannot prevent all disabilities. But we can prevent making disabled individuals choose between health care and employment. Today, we can take a step toward making that goal a reality.

"I want to thank Senator Lott for bringing S. 331 to the floor. And I would be remiss if I did not thank Senator Jeffords and Senator Kennedy for their longstanding commitment to this important legislation. Finally, my particular thanks go to Senator Moynihan for all of his assistance in moving the bill through the Finance Committee.

"As I close, I would like to ask all my colleagues to join with me, Senator Jeffords, Senator Moynihan, and Senator Kennedy in voting for S. 331. By passing the Work Incentives Improvement Act today, we can help unleash the creativity and enthusiasm of millions of Americans with disabilities ready and eager to work. I look forward to seeing S. 331 enacted into law this year.

"Thank you, Mr. President."