SCHIP legislation vetoed by President Bush

Implications: Many lower income families depend on the SCHIP program administered by individual states to pay for healthcare. Republicans see this as just another entitlement program while Democrats see it as an essential way of making sure children have access to the basics in healthcare. This veto might be based more on political than financial (and certainly medical) grounds.

Analysis: This morning  President Bush vetoed legislation authorizing extension of the SCHIP program. The bill on his  desk seeks to authorize an additional $34.7 billion over 5 years to cover an additional 10 million children. The veto was not a surprise since the White House had proudly threatened veto for weeks now.

There is bound to be  a huge outcry from Children's advocacy groups, some healthcare workers, states and Democrats in Congress. The Democrats see this as a callous move, plus political fodder to use in 2008.  The President and his supporters see this as a sneaky way to move towards government healthcare. That socialized medicine fear overrides all other considerations. Cost is an issue certainly, but is defensible when put into context that 1 day of funding the Iraq war cost $300m which would cover 246, 000 under SCHIP. Also the Democrats proposed  to fund the increase through a tobacco tax. Not such a bad thing; right? Not if it means socialized medicine, counter some Republicans.

Several Republicans have joined the Democrats in voting for this bill which is supported by approximately 70% of Americans according to several polls. They are also concerned that a vote against children's healthcare could well cost them votes in 08. However there is not enough votes in the House to override the veto.

The concern I have is that this veto is being driven more by ideology and "sticking to the script" than by real fiscal concerns. Note the mad federal spending in the last 4-6 years. The implications will be political for sure, but what will be the medical fallout? That's the bigger concern to me.