Re: Memo on Cadillac Tax for HRC

Your point on R version is key.  Our Bernie contrast rests on defending ACA, so crucial to cast this as a fix and to be on the lookout for R efforts to make this a Trojan Horse for broader dismantling of the ACA.  

On Sep 26, 2015, at 7:17 PM, H <hdr29@hrcoffice.com> wrote:

Given the politics now w bipartisan support including Schumer, I'll support repeal w "sense of the Senate" that revenues would have to be found. I'd be open to a range of options to do that. But we have to be careful that the R version passes which begins the unraveling of the ACA. 

On Sep 26, 2015, at 6:10 PM, Ann O'Leary <aoleary@hillaryclinton.com> wrote:

Madam Secretary - 

I wanted to be sure you saw this memo on the Cadillac Tax. 

In short, we are recommending that you call for repeal but go back to your 2008 position that workers over $250K not be exempt from paying taxes on their health care. This will allow us to take in some revenue and show a consistency of your position without harming middle class workers. It would do little, however, to control health care consumption and costs. 

There remains a divide among your advisors with the economic team interested in you offering a "fix it" approach (Option 3) in the memo and your political team very interested in you coming out for full repeal because of the union implications (Option 1). Several of your advisors - Neera and Chris, chief among them - offered this middle ground that Jake and I thought could work (Option 2).

Subsequently, I've talked to Randi Weingarten who has been taking the pulse of the unions in it. While she thinks they can live with the $250K position, she thinks you don't gain much from it and feels the most important thing is that you get out there not only offering empathy for workers and the cost-shifting they are experiencing but you make clear that this tax would mean health savings on the backs of workers and you won't do it that way.

If you did come out for repeal, we would recommend coupling it with strong delivery system reforms and making clear that Congress find a way to pay fir it (we don't recommend having you offer the pay-for since they are actively working on it I the Senate).

Because you are going on Meet the Press tomorrow, we wanted to check in on whether you wanted to make your position clear on the show. Comms team feels that only straight up repeal would make news. 

Jake and John can weigh in further and we are happy to discuss.

Thanks,

Ann

Ann O’Leary

Sent from my iPhone

(510) 717-5518 (cell)

Begin forwarded message:

From: "Ann O'Leary" <aoleary@hillaryclinton.com>
Date: September 25, 2015 at 9:24:16 AM PDT
To: Dan Stein <dstein@hillaryclinton.com>, Robert Russo <rrusso@hillaryclinton.com>
Cc: Jake Sullivan <jsullivan@hillaryclinton.com>,  Michael Shapiro <mshapiro@hillaryclinton.com>
Subject: Memo on Cadillac Tax for HRC

Dan & Rob -

Could you please get this memo to HRC today?  

Thanks very much,

Ann

--

Ann O'Leary

Senior Policy Advisor

Hillary for America

Cell: 510-717-5518

<Cadillac Tax Memo - Sept 25 2015 FINAL.docx>

Given the politics now w bipartisan support including Schumer, I'll support repeal w "sense of the Senate" that revenues would have to be found. I'd be open to a range of options to do that. But we have to be careful that the R version passes which begins the unraveling of the ACA. 

On Sep 26, 2015, at 6:10 PM, Ann O'Leary <aoleary@hillaryclinton.com> wrote:

Madam Secretary - 

I wanted to be sure you saw this memo on the Cadillac Tax. 

In short, we are recommending that you call for repeal but go back to your 2008 position that workers over $250K not be exempt from paying taxes on their health care. This will allow us to take in some revenue and show a consistency of your position without harming middle class workers. It would do little, however, to control health care consumption and costs. 

There remains a divide among your advisors with the economic team interested in you offering a "fix it" approach (Option 3) in the memo and your political team very interested in you coming out for full repeal because of the union implications (Option 1). Several of your advisors - Neera and Chris, chief among them - offered this middle ground that Jake and I thought could work (Option 2).

Subsequently, I've talked to Randi Weingarten who has been taking the pulse of the unions in it. While she thinks they can live with the $250K position, she thinks you don't gain much from it and feels the most important thing is that you get out there not only offering empathy for workers and the cost-shifting they are experiencing but you make clear that this tax would mean health savings on the backs of workers and you won't do it that way.

If you did come out for repeal, we would recommend coupling it with strong delivery system reforms and making clear that Congress find a way to pay fir it (we don't recommend having you offer the pay-for since they are actively working on it I the Senate).

Because you are going on Meet the Press tomorrow, we wanted to check in on whether you wanted to make your position clear on the show. Comms team feels that only straight up repeal would make news. 

Jake and John can weigh in further and we are happy to discuss.

Thanks,

Ann

Ann O’Leary

Sent from my iPhone

(510) 717-5518 (cell)

Begin forwarded message:

From: "Ann O'Leary" <aoleary@hillaryclinton.com>
Date: September 25, 2015 at 9:24:16 AM PDT
To: Dan Stein <dstein@hillaryclinton.com>, Robert Russo <rrusso@hillaryclinton.com>
Cc: Jake Sullivan <jsullivan@hillaryclinton.com>,  Michael Shapiro <mshapiro@hillaryclinton.com>
Subject: Memo on Cadillac Tax for HRC

Dan & Rob -

Could you please get this memo to HRC today?  

Thanks very much,

Ann

--

Ann O'Leary

Senior Policy Advisor

Hillary for America

Cell: 510-717-5518

<Cadillac Tax Memo - Sept 25 2015 FINAL.docx>

Madam Secretary - 

I wanted to be sure you saw this memo on the Cadillac Tax. 

In short, we are recommending that you call for repeal but go back to your 2008 position that workers over $250K not be exempt from paying taxes on their health care. This will allow us to take in some revenue and show a consistency of your position without harming middle class workers. It would do little, however, to control health care consumption and costs. 

There remains a divide among your advisors with the economic team interested in you offering a "fix it" approach (Option 3) in the memo and your political team very interested in you coming out for full repeal because of the union implications (Option 1). Several of your advisors - Neera and Chris, chief among them - offered this middle ground that Jake and I thought could work (Option 2).

Subsequently, I've talked to Randi Weingarten who has been taking the pulse of the unions in it. While she thinks they can live with the $250K position, she thinks you don't gain much from it and feels the most important thing is that you get out there not only offering empathy for workers and the cost-shifting they are experiencing but you make clear that this tax would mean health savings on the backs of workers and you won't do it that way.

If you did come out for repeal, we would recommend coupling it with strong delivery system reforms and making clear that Congress find a way to pay fir it (we don't recommend having you offer the pay-for since they are actively working on it I the Senate).

Because you are going on Meet the Press tomorrow, we wanted to check in on whether you wanted to make your position clear on the show. Comms team feels that only straight up repeal would make news. 

Jake and John can weigh in further and we are happy to discuss.

Thanks,

Ann

Ann O’Leary

Sent from my iPhone

(510) 717-5518 (cell)

Begin forwarded message:

From: "Ann O'Leary" <aoleary@hillaryclinton.com>
Date: September 25, 2015 at 9:24:16 AM PDT
To: Dan Stein <dstein@hillaryclinton.com>, Robert Russo <rrusso@hillaryclinton.com>
Cc: Jake Sullivan <jsullivan@hillaryclinton.com>,  Michael Shapiro <mshapiro@hillaryclinton.com>
Subject: Memo on Cadillac Tax for HRC

Dan & Rob -

Could you please get this memo to HRC today?  

Thanks very much,

Ann

--

Ann O'Leary

Senior Policy Advisor

Hillary for America

Cell: 510-717-5518

<Cadillac Tax Memo - Sept 25 2015 FINAL.docx>

Since it didn't come up, let's do a statement keyed off the legislation that was just introduced.

---

From: Ann O'Leary <aoleary@hillaryclinton.com>
Sent: Sunday, September 27, 2015 2:51:40 AM
To: H
Cc: Jake Sullivan; John Podesta
Subject: Re: Memo on Cadillac Tax for HRC

 

If it does comes up, here is my suggested response.  If it does not come up, we'll regroup and work on a statement to get out next week:

Q: Would you repeal the Cadillac tax?

·      Yes, I would. While I continue to believe that we need a bold set of policies to reduce the growth of health costs that eats into workers’ wages, I do not think we should pass the full burden of doing this onto the backs of consumers and workers.

·      The Affordable Care Act is already working to slow the growth of health spending. We have had the slowest growth in health spending in five decades.

·      Yet, too many Americans – who had good health insurance before and still have good insurance after the ACA – are not experiencing this downward trend in health spending.  Instead they are seeing their deductibles rise, their prescription drug costs skyrocket and they don’t know how to make ends meet and stay health.

·      I worry that if the Cadillac Tax is implemented, workers who have fought hard for good health insurance, simply won’t have it any longer because employers will demand workers pay more and more out of pocket. 

·      Just this week the Kaiser Family Foundation released a survey showing that the average deductible that Americans with employer based coverage have to pay before their insurance kicks in is over $1300, and has grown 7X faster than workers wages since 2010.

·      Now, let me be clear I do not believe that we should simply repeal the Cadillac Tax without determining how we would pay for lost revenue – this revenue is essential to helping subsidize affordable health insurance through the health exchanges and allowing the federal government to robustly help states expand Medicaid.

·       If Congress repeals the Cadillac Tax, it must pay for it and we must work together to reform the delivery of health care to make it more value driven and more cost efficient. 

On Sat, Sep 26, 2015 at 4:59 PM, H <hdr29@hrcoffice.com> wrote:

I doubt it will come up on MTP. We should just plan to put out statement.

---

From: Ann O'Leary <aoleary@hillaryclinton.com>
Sent: Saturday, September 26, 2015 7:39:43 PM
To: Jake Sullivan
Cc: H; John Podesta
Subject: Re: Memo on Cadillac Tax for HRC

 

Very much agree. Let me check with Jen and Brian on whether to do this on Meet the Press and then work up the right talking points.

Ann O’Leary

Sent from my iPhone

(510) 717-5518 (cell)

On Sep 26, 2015, at 4:19 PM, Jake Sullivan <jsullivan@hillaryclinton.com> wrote:

Your point on R version is key.  Our Bernie contrast rests on defending ACA, so crucial to cast this as a fix and to be on the lookout for R efforts to make this a Trojan Horse for broader dismantling of the ACA.  

On Sep 26, 2015, at 7:17 PM, H <hdr29@hrcoffice.com> wrote:

Given the politics now w bipartisan support including Schumer, I'll support repeal w "sense of the Senate" that revenues would have to be found. I'd be open to a range of options to do that. But we have to be careful that the R version passes which begins the unraveling of the ACA. 

On Sep 26, 2015, at 6:10 PM, Ann O'Leary <aoleary@hillaryclinton.com> wrote:

Madam Secretary - 

I wanted to be sure you saw this memo on the Cadillac Tax. 

In short, we are recommending that you call for repeal but go back to your 2008 position that workers over $250K not be exempt from paying taxes on their health care. This will allow us to take in some revenue and show a consistency of your position without harming middle class workers. It would do little, however, to control health care consumption and costs. 

There remains a divide among your advisors with the economic team interested in you offering a "fix it" approach (Option 3) in the memo and your political team very interested in you coming out for full repeal because of the union implications (Option 1). Several of your advisors - Neera and Chris, chief among them - offered this middle ground that Jake and I thought could work (Option 2).

Subsequently, I've talked to Randi Weingarten who has been taking the pulse of the unions in it. While she thinks they can live with the $250K position, she thinks you don't gain much from it and feels the most important thing is that you get out there not only offering empathy for workers and the cost-shifting they are experiencing but you make clear that this tax would mean health savings on the backs of workers and you won't do it that way.

If you did come out for repeal, we would recommend coupling it with strong delivery system reforms and making clear that Congress find a way to pay fir it (we don't recommend having you offer the pay-for since they are actively working on it I the Senate).

Because you are going on Meet the Press tomorrow, we wanted to check in on whether you wanted to make your position clear on the show. Comms team feels that only straight up repeal would make news. 

Jake and John can weigh in further and we are happy to discuss.

Thanks,

Ann

Ann O’Leary

Sent from my iPhone

(510) 717-5518 (cell)

Begin forwarded message:

From: "Ann O'Leary" <aoleary@hillaryclinton.com>
Date: September 25, 2015 at 9:24:16 AM PDT
To: Dan Stein <dstein@hillaryclinton.com>, Robert Russo <rrusso@hillaryclinton.com>
Cc: Jake Sullivan <jsullivan@hillaryclinton.com>,  Michael Shapiro <mshapiro@hillaryclinton.com>
Subject: Memo on Cadillac Tax for HRC

Dan & Rob -

Could you please get this memo to HRC today?  

Thanks very much,

Ann

--

Ann O'Leary

Senior Policy Advisor

Hillary for America

Cell: 510-717-5518

<Cadillac Tax Memo - Sept 25 2015 FINAL.docx>

--

Ann O'Leary

Senior Policy Advisor

Hillary for America

Cell: 510-717-5518