Healthcare divides AML proposals

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WASHINGTON - Despite their mutual insistence that Wyoming receive future payments, there are several differences between Sen. Craig Thomas' Abandoned Mine Reclamation plan and one offered by Rep. Barbara Cubin, R-Wyo., and Rep. Nick Rahall, D-W.V.

The main difference concerns a fund to pay the healthcare benefits of coal miners whose companies have gone out of business.

Cubin and Rahall aim to shore up the healthcare benefits fund, while Thomas would basically leave it as it is - bound for bankruptcy. The administration plan likewise would leave the account funded as is, and floundering.

When the healthcare fund, known as the Combined Benefit Fund (CBF), was facing financial problems in 1992, Congress passed a law requiring interest from the Abandoned Mine Reclamation Fund to be transferred to the miners healthcare fund. The 1992 law requires the interest to be used to pay for the health care of the miners.

Despite the infusion of money, the miners healthcare program has financial problems because of prescription drug and litigation costs. Cubin and Rahall's bill would amend the law so interest could be used to avert a deficit situation.

"The CBF has to be dealt with and will be dealt with," Cubin said.

Thomas' plan, like the administration's proposal, would only allow the interest from the abandoned mine fund to be used for miners healthcare.

"I have misgivings that it belongs in this bill," Thomas said. "I don't know of any other industry where if a company goes bankrupt other companies have to pick up their health care costs."

The healthcare fund provisions in Thomas' and the administration's plans do not appeal to the United Mine Workers of America.

"In terms of providing for a long-term solution, Sen. Thomas' plan doesn't address our health concerns at all," UMWA lobbyist Bill Banig said.

The bills also differ in the amount of tax cut they offer coal companies and the duration of the reauthorization.

Cubin and Rahall would cut the tax by 20 percent and reauthorize the plan for 15 years. Thomas would cut the tax by 29 percent but reauthorize the bill for only 10 years.

An aide for Thomas said the senator's proposal would limit the reauthorization to 10 years to allow lawmakers to reassess it.

The administration's 15-year reauthorization would step down the tax in five-year intervals: a 15 percent cut followed by an additional 5.9 percent cut, then a final 6.25 percent cut, and a 25 percent cut from today's rate in 15 years.

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