The Greens will propose a compromise on private health insurance today that offers a way to break the senate deadlock and deliver over a billion dollars to public hospitals and $145 million for specific mental health funding.
The compromise proposal would:
- Support the passage of the bill which means-tests private health insurance rebate to deliver an estimated $1.8 billion to public hospitals over four years
- Support the passage of the Medicare Levy Surcharge with an amendment to direct all revenue raised through the increased surcharge (approximately $145 million over four years) into early intervention mental health services.
The Greens did not support increasing the Medicare Levy Surcharge last year as it penalises people who do not choose to purchase private health insurance.
"If the Government supports our compromise proposal they could begin directing millions of dollars saved from the Private Health Insurance Rebate to public hospitals this year," said Senator Rachel Siewert.
"It would also provide crucial money for an under-funded but vital area of mental health care.
"This proposal by the Australian Greens to break the Senate deadlock is practical, constructive and it's what's best for the Australian community.
"With emergency departments overflowing the onus is now on the Rudd Government to do what is sensible and smart, and negotiate with us to deliver the results that are needed for our health system."