[Congressional Record Volume 140, Number 68 (Thursday, May 26, 1994)]
[Extensions of Remarks]
[Page E]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: May 26, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
               INTRODUCTION OF LONG TERM CARE ACT OF 1994

                                 ______


                        HON. BARBARA B. KENNELLY

                             of connecticut

                    in the house of representatives

                         Thursday, May 26, 1994

  Mrs. KENNELLY. Mr. Speaker, I rise today to introduce the Long Term 
Care Act of 1994, cosponsored by my colleague from Connecticut, 
Congresswoman Johnson. This bill represents a comprehensive and 
bipartisan approach to one of the most pressing dilemmas facing 
American families--how to provide necessary care for loved ones during 
periods of illness and disability that may last for years.
  All of us are familiar with the kind of difficulties--and sometimes 
tragedies--caused by the present system. Long-term care is expensive 
and can bankrupt a family, raising difficult financial issues at a time 
when people are already preoccupied with dealing with a prolonged 
illness. We have heard of families who face enormous financial and 
emotional strain trying to provide needed care; of assets accumulated 
over a lifetime being consumed unbelievably quickly; of individuals who 
must leave much-loved homes because there is no one to provide care 
there. All of us know we can do better.
  This is not to say it will be easy. But we believe that we should, at 
the very least, take a first step toward addressing the problem of 
long-term care.
  Working together, we have crafted a moderate bill which provides real 
assistance, while keeping costs at a reasonable level. The bill 
contains the following provisions:
  Home care: The bill establishes a new home care program predominantly 
financed by the Federal Government and administered by the States. This 
program would provide needed home care to individuals unable to 
purchase private coverage;
  Consumer protection: The bill calls for uniform Federal standards for 
long-term care insurance policies;
  Tax incentives: It would establish tax incentives to individuals to 
encourage them to purchase long-term care insurance and for employers 
to provide this coverage in their health plans;
  Asset protection: Patterned on the Connecticut model, the bill would 
promote State asset-protection plans which allow individuals to keep 
more of their assets, while still qualifying for Medicaid nursing home 
coverage;
  IRA's: It would allow individuals to make penalty-free early 
withdrawals from individual retirement accounts to purchase long-term 
care insurance;
  Death benefits: The bill would provide preferential tax treatment for 
accelerated death benefits for the terminally ill; and
  Hospitals: It would improve Medicare payment limits for long-term and 
rehabilitation hospitals.
  Mr. Speaker, as our society ages and as medical technology improves, 
long-term care is something that many of us will confront, for a family 
member or even for ourselves. We should not delay the debate on this 
issue any longer. As we debate health care reform, we must not overlook 
the importance of long-term care.

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