Health Care Lobbyists Influencing Reform

In 2009, 4,525 lobbyists were hired to influence health care reform, according to the Center for Public Integrity.
Health Care Lobbyists Influencing Reform
3/16/2010
Updated:
3/16/2010
In 2009, 4,525 lobbyists were hired to influence health care reform, according to the Center for Public Integrity. According to a February 2010 analysis by the Center, 1,750 companies and organizations hired these lobbyists to represent their interests to Congress on health care reform.

The groups that sought to influence legislation include 105 insurance companies, 207 hospitals, and 745 trade and advocacy organizations—such as doctor’s professional organizations, small business interests, universities, religious groups, and American Indian tribes.

Together these entities have hired eight lobbyists for each of the 535 members of Congress.

“There are so many lobbyists because it is so effective,” said Melanie Sloan, speaking last week in an interview with New Mexico radio station KUNM. She is executive director of Citizens for Responsibility and Ethics in Washington (CREW).

In 2008 and 2009 the health sector paid lobbyists around $500 million each year to lobby Congress, according to the Center for Responsive Politics, which tracks money’s influence in government.

“Lobbying dollars are some of the best money a company can spend and there are studies and studies that show that there is a great return on investment for lobbying. It is very effective,” said Sloan.

CREW recently published figures of the money the health care industry gave to politician’s campaigns in the last five years. Their data says President Obama received more than $18 million from health care related organizations during his campaign.

Since 2005 such organizations gave nearly $30 million to just 21 members of congress—members who are influential on health care reform. These 21 members were invited to Obama’s Feb. 24 health care summit. Groups making donations include doctors and health care workers, including their professional organizations; hospitals and nursing homes; pharmaceutical companies, health product companies, HMOs, as well as health and accident insurers.

In contrast, according to the Center for Responsive Politics, all donations from commercial banks in 2006, 2008, and 2010 (so far) to congressmen’s campaigns total only $43 million. All donations from the health sector in 2006, 2008, and 2010 (so far) to congressmen’s campaigns total more than $271 million.

According to CREW Sen. Chuck Grassley (R-Iowa), Sen. Mike Enzi (R-Wyo.), Rep. Dave Camp (R-Mich.), Rep. Henry Waxman (D-Calif.), Rep. Joe Barton (R-Texas), and Rep. John Dingell (D-Mich.), received more than 1 in every 5 campaign dollars raised from health care interests. These members chair or rank on key health care related committees.

Topping the list is Sen. Max Baucus (D-Mont.), who received more than $2.5 million from health care related groups since 2005. The Montana senator is chairman of the Senate Finance Committee, which handles financing health care programs.

It was he who first called meetings with health insurers, pharmaceutical companies, and hospital management to discuss reform. According to an e-mail Ralph Nader sent on March 15, Baucus scheduled 42 people to testify and not one favored single payer.

Single payer is a plan where health care costs are paid for out of a pooled single insurance entity that covers everyone. Canada, the U.K., and Australia have single-payer systems.

Advocacy group Single Payer Action demanded Baucus allow one person to testify about a single payer plan.

According to Nader, Baucus refused. Nader calls the bill Baucus supports “pro-insurance industry.”

Baucus and the insurance industry are linked by five of Sen. Baucus’s former staff, according to the Center for Responsive Politics. In 2009 this former staff worked for 27 different organizations that have an interest in the outcome of health care legislation, say 2009 lobbying disclosures.

Organizations include those in the health and insurance sectors as well as top lobbying groups: Pharmaceutical Manufacturers and Researchers of America (PhRMA), America’s Health Insurance Plans (AHIP), Amgen, and GE Health Care.

Two of the lobbyists were previously chiefs of staff for Baucus, and one was a legislative assistant.

America’s Health Insurance Plans, which lobbies on behalf of member health insurance companies, says on its Web site that it “presents a strong advocacy voice for our members with government officials and the public.”

Sen. Baucus’s office and America’s Health Insurance Plans did not respond to requests for comment by press deadline.