Health Care Bill Suffers Setback

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Attempts to draft bipartisan health care legislation in the Senate have suffered a significant setback, with Democratic leaders objecting to a proposed tax on high-cost health benefits.

Officials say that during a private meeting, many in the Democratic leadership also expressed support for a stronger provision allowing the government to sell insurance in competition with private companies.

Ironically, the discontent surfaced as the White House prepares to announce Wednesday that the nation's hospitals have agreed to give up $155 billion in anticipated Medicare and Medicaid payments over a decade.


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