    [Public Papers of the Presidents of the United States: George W. Bush (2007, Book II)]
    [July 18, 2007]
    [Pages 980-981]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Remarks Following a Discussion on Health Care in Landover, Maryland
    July 18, 2007

        Today I've had a really good discussion about health care and health
    care problems with three businessowners and employees of the small
    businesses with Secretary Leavitt and
    Mark McClellan and Administrator
    Preston. I heard a common complaint, that
    health care is--the costs are too high; that small-business owners feel
    very pinched by these high costs; that they don't like the idea of
    having to make the decision between providing health care for their
    employees and not expanding their businesses.
        And the fundamental question, given these frustrations, is, what do
    we do about it as a nation? There is an interesting debate taking place
    in Congress, and there is a philosophical divide. Some in Congress
    believe the best solution to solving the frustrations of uninsured and
    high costs for small businesses is to expand the role of government. I
    have a different point of view. I believe the best way to deal with the
    frustrations of high cost of health care and uninsured is to change the
    Tax Code, is to make health care in the private sector more affordable
    and more available.
        The debate in Congress is now centering around what's called SCHIP,
    which is the children's health care insurance program. It was a program
    initially designed to help poor families afford health care for their
    children. I support that concept. As a matter of fact, the budget I
    submitted funds health care for poor children. Members of Congress have
    decided, however, to expand the program to include, in some cases, up to
    families earning $80,000 a year, which would cause people to drop their
    private insurance in order to be involved with a government insurance
    plan.
        And when you couple that with the idea that some have suggested of
    reducing the age at which you can be eligible for Medicare, you're
    beginning to get a sense of a strategy to grow the government role in
    the provision of health care. I believe government cannot provide
    affordable health care. I believe it would cost--it would cause the
    quality of care to diminish. I believe there would be lines and
    rationing over time. If Congress continues to insist upon expanding
    health care through the SCHIP program, which, by the way, would entail a
    huge tax increase for the American people, I'll veto the bill.
        Our proposal is a strategy that says to small-business owners and
    individuals, we want you, one, to be in charge of your health care
    system--health care decisions; and, two, we believe you're discriminated
    against in the Tax Code. You work for a large company, you get a tax
    break on your health care. You work for a small business and/or you're
    in the individual market, you don't get the same tax break. And that's
    unfair, and it's not right. And therefore, I have proposed to the United
    States Congress that we have a $15,000 deductible for families and a
    $7,500 deductible for individuals, all aimed at encouraging people to be
    able to afford insurance and aimed at the encouragement of the
    development of an individual market.
        I believe strongly that small businesses ought to be afforded the
    chance to purchase health care across jurisdictional boundaries.
    Mike owns a small restaurant; he ought to
    be able to pool risk with restaurants in Texas or California or anywhere
    else, so he can better afford insurance. I want patients making
    decisions, not bureaucrats in Washington, DC. I want the system to
    benefit the individual, the small-business owner, not large insurance
    companies.
        And I really do believe that government involvement in health care
    will lead to less quality care and rationing over time. And therefore,
    we proposed a plan. I urge the Congress to work with us on making the

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    Tax Code fair. I know there's different ideas as to whether or not there
    ought to be a $15,000 deductible or a credit. I'm open-minded; I'm
    willing to listen. But what I'm not willing to listen to is a direct
    expansion of the Federal role in providing--a massive expansion of the
    Federal role in providing health care for individuals across the
    country.
        Thank you all for having me. Cliff,
    thank you; you have a very interesting company here. I'm proud to be
    with small-business owners. I understand the role of small businesses in
    our society. We have worked to reduce taxes on small businesses because
    we want you to grow. And the fact that you are growing across the
    country collectively is one reason why our economy is so strong. And
    this economy is doing well. The unemployment rate is 4.5 percent; small
    businesses are growing; people are working; stock market is up;
    inflation is down. And we're going to keep it that way. One way you keep
    it that way is to have good health care policy emanating out of
    Washington and another is to keep taxes low. And that's what we're going
    to do. So thank you all.

    Note: The President spoke at 11:27 a.m. at Man & Machine, Inc.
    Participating in the discussion were Mark B. McClellan, visiting senior
    fellow, AEI-Brookings Joint Center for Regulatory Studies; Mike
    Kostinsky, owner, and Debbie Couch, manager, Sorrento of Arbutus;
    Clifton Broumand, president and chief executive officer, and Lenny
    Merryman, operations manager, Man & Machine, Inc.; and Phyllis Burlage,
    owner, and Lori Emmert, office manager, Burlage & Associates. The Office
    of the Press Secretary also released a Spanish language transcript of
    these remarks.