On the recordOctober 5, 1998
I rise in support of H.R. 1836, the ``Federal Employees Health Care Protection Act.'' While the legislation sets out laudable goals, I want to make clear that my endorsement of the bill is based upon my understanding that nothing in the measure is designed to hinder the types of market forces which have made the FEHBP a cost-effective health insurance model for the public agencies and private industry. This legislation is not intended to tilt the competitiveness in the health insurance marketplace in one direction or another. One element of the legislation, Section 5, suggests as its goal the disclosure of certain rate agreements which might yield savings to plans and enrollees in the Federal Health benefits Program. I agree that FEHBP plans should be held to no lesser standard than their private sector counterparts and I agree with the clarification of Congressional intent in the drafting of Section 5 as set forth in the Senate Report's additional views filed by Senate Subcommittee chairman, Senator Cochran. During our committee deliberations, issues were raised concerning the activities of ``silent PPO's'' and the potential of adverse impact their discounts could have on cost saving initiatives within the FEHBP.
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