NEWS – CONGRESSMAN PETE STARK
239 Cannon House Office Building
Washington, DC 20515
(202) 225-5065
www.house.gov/stark

FOR IMMEDIATE RELEASE
Tuesday, September 28, 2010
Contact: Brian Cook, (202) 225-3202

WASHINGTON – The House Republican pledge unveiled last week would turn back the clock on health care progress.  Rep. Pete Stark (D-CA), Chairman of the House Ways and Means Health Subcommittee, today criticized the Republican plan to eliminate tax credits for small businesses that provide health insurance for their employees.  These tax credits went into place this year, and four million small businesses are estimated to be eligible.

"Small businesses are already taking advantage of tax credits passed as part of health reform.  This assistance is enabling them to provide coverage to millions of workers now and into the future," said Chairman Stark.  "The Republican pledge would leave these small businesses and their millions of employees on their own to fend for coverage."

The health reform law includes $40 billion in tax credits for small businesses that provide health coverage for their employees.  Once the health insurance exchanges open up, small businesses will have access to a reformed marketplace where they can leverage their purchasing power and have a broader risk pool – just like larger employers do.

A study by the Rand Corporation estimates that the percent of small business employees who are offered coverage will jump from 60.4 percent today to 85.9 percent once the exchanges are up and running.

The Republican pledge would repeal those tax credits and replace them with nothing.

For additional information on how the Republican pledge is detrimental to America's health:
Re-open the Medicare Part D donut hole: http://go.usa.gov/xGe
Repeal investment in health IT: http://go.usa.gov/xGF
More to come...