WASHINGTON - September 25 -

WHAT: CBPP Conference Call: Examining New Health Savings Accounts Bill

WHEN: Tuesday, Sept. 26 at 1 p.m. (EDT). Register: http://www.cbpp.org/confcall.htm

WHO: Center staff:

-- Edwin Park, senior fellow

-- Jason Furman, senior fellow

-- Robert Greenstein, executive director

The Center on Budget and Policy Priorities will hold a conference call briefing Tuesday, September 26 at 1 p.m. (ET) to discuss a mark-up scheduled for September 27 of legislation to expand Health Savings Accounts (HSAs) in the House Ways and Means Committee.

Some observers believe House Congressional leaders may combine this bill, which was introduced on September 21, with heavily lobbied legislation to cancel scheduled reductions in the fees that Medicare pays to physicians and to try to push it through Congress before this weekend's adjournment.

The HSA legislation (H.R. 6134, introduced by Reps. Eric Cantor and Paul Ryan) includes substantial HSA changes. A new Center analysis finds that the bill would primarily benefit high- income households and make HSAs substantially more lucrative to such households as a tax shelter. The report also finds that the bill would likely lead to increases in health care spending, despite the fact that a principal rationale advanced for HSAs is that they would reduce such spending.

The bill's consideration comes several weeks after release of a major GAO report that shows HSAs already enjoy much heavier use by high-income households than by other Americans, are regressive in their distribution of tax benefits, and are apparently being used widely as tax shelters.

The panelists will discuss the GAO report as well as the pending legislation.

After opening remarks, the panelists will take questions.

To participate, please register by e-mailing bazie@cbpp.org, or calling the media team at 202-408-1080. Register on-line at http://www.cbpp.org/confcall.htm

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