[Congressional Record Volume 142, Number 7 (Monday, January 22, 1996)]
[Extensions of Remarks]
[Pages E48-E49]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




 WHAT HAPPENS WHEN A MANAGED CARE COMPANY STARTS LOSING PROFITS? THEY 
                 WORK HARDER NOT TO INSURE SICK PEOPLE

                                 ______


                        HON. FORTNEY PETE STARK

                             of california

                    in the house of representatives

                        Monday, January 22, 1996

  Mr. STARK. Mr. Speaker, United Wisconsin Services, Inc., describes 
itself as a ``leading provider of managed health care products and 
services'' offering HMOs, small group preferred provider organizations, 
and specialty managed care products.
  For the latest 3 months ending September 30, 1995, as reported in 
their 10-Q to the SEC, profits were down from the previous year's 
quarter and for the first 9 months of the year compared to last year. 
On $267,921,000 in revenues for the third quarter, United Wisconsin 
Services provided $202,233,000 in health services--or 75.4 cents on the 
dollar of premium went to health care. The rest went to commissions, 
administrative expenses, taxes, and profits.
  The 10-Q then lists a number of steps the company is taking to deal 
with the falling profit levels. The steps include
  ``* * * a review of underwriting practices to improve risk 
identification * * *''
  That says it, Mr. Speaker. When the going gets tough, the tough find 
new ways not to insure sick people.
  This is why we need national health insurance reform. As price 
competition intensifies--which it should and which is good--the private 
sector will spend more and more time and energy uninsuring people. We 
need guaranteed issue, open enrollment everywhere for everyone.

[[Page E49]]


                           HONORING LEE NAMEY

                                 ______


                         HON. PAUL E. KANJORSKI

                            of pennsylvania

                    in the house of representatives

                        Monday, January 22, 1996

  Mr. KANJORSKI. Mr. Speaker, I am pleased to rise today to honor a 
distinguished public servant and good friend, Lee Namey, mayor of the 
city of Wilkes-Barre, PA. This month Mayor Namey stepped down from his 
post after 8 years of outstanding leadership. I am proud to pay tribute 
to Lee and to cite his many accomplishments before my colleagues in 
Congress.
  Lee Namey began his political career in 1975 when he won a seat on 
the Wilkes-Barre City Council. He was reelected three times and twice 
served as the council chairman. In 1987, Lee Namey was swept into the 
office of mayor by a three-to-one majority.
  A native of Wilkes-Barre, Lee had a traditional middle-class 
upbringing. His father, Elias Leo Namey was a well-known labor leader 
and president of the Teamsters Local 401. His mother Claire, was a 
nurse. Lee earned his bachelor's degree in 1968 from Wilkes College and 
his master of fine arts degree from Marywood College. Prior to serving 
as mayor, Lee taught at the West Side Vocational-Technical School.
  Lee has served and continues to serve the people of Wilkes-Barre by 
being active in many public service organizations. He serves on the 
board of directors of the Pennsylvania League of Cities, the policy 
committee of the National League of Cities, and as a member of the U.S. 
Conference of Mayors where he served on the Community Development, 
Housing, and Arts, and the Culture and Recreation Committees. He is 
active with the F.M. Kirby Center, Osterhout Free Library, Northeastern 
Pennsylvania Council of Boy Scouts, and the United Way. Lee is also a 
member of the Wilkes University Council, Greater Wilkes-Barre Chamber 
of Commerce, Wilkes-Barre Democratic Executive Committee, Luzerne 
County Democratic Committee, and the Elks Lodge.
  While Lee's involvement in these organizations reflects his personal 
commitment to improve the city of Wilkes-Barre and northeastern 
Pennsylvania in general, his many accomplishments as mayor must be 
cited to truly define his successes as mayor. Mayor Namey brought about 
great changes in Wilkes-Barre during a time when economic growth did 
not come easily to northeastern Pennsylvania.
  I have been deeply honored to have worked closely with Lee on 
numerous projects over the years, and I would like to mention 
specifically just a few. In an effort to promote development during 
slow growth years, Mayor Namey worked closely with me to lead the 
Wilkes-Barre/Kingston Corridor Project, bringing together leaders of 
these two communities and officials of other neighboring communities to 
develop a comprehensive strategy for business growth and community 
enhancement. Under Mayor Namey's leadership, the corridor project has 
yielded tangible benefits for Wilkes-Barre, Kingston, and all the small 
towns which together comprise the Wyoming Valley.
  Mayor Namey worked to promote economic and community development in 
many other ways. Through the riverfront parks project, he united the 
small riverfront towns of the Wyoming Valley with the city of Wilkes-
Barre to create a strong leadership force capable of promoting economic 
growth through the development of the Susquehanna River waterfront, and 
the creation of parks, recreation areas, and properties ideal for 
business development.
  In the 8 years that Lee Namey served as the mayor of Wilkes-Barre he 
has been a reliable partner in projects requiring the coordination of 
Federal and local governmental efforts. I have been working with Mayor 
Namey on the Wyoming Valley levee raising project and the Wyoming 
Valley inflatable dam project. To each of these projects he has 
provided valuable and strong leadership. Mayor Namey has helped to 
identify the potential the inflatable dam has for providing for the 
economic and community development of Wilkes-Barre and the surrounding 
region.
  Most recently, I have been working with Mayor Namey to renovate the 
dilapidated Stegmaier Brewery which has been an eye-sore in the center 
of Wilkes-Barre for many years now. Mayor Namey has been an invaluable 
partner on this project, as he has been on some many others. I sought 
Lee's support for the project because I knew he was capable of steering 
the project over the rough roads it would have to travel before its 
completion.
  Mr. Speaker, my close personal friend, Lee Namey has been an 
outstanding mayor for the city of Wilkes-Barre and I am sure that he 
will continue to be a valuable community leader. I am pleased to pay 
tribute to Mayor Namey and send him best wishes.

                          ____________________