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Meanwhile Pelosi is floating an idea that could make proposed tax increases more palatable to fiscally conservative Democrats. She would like to limit income tax increases to couples making more than $1 million a year and individuals making more than $500,000, Pelosi spokesman Brendan Daly said Monday. The bill passed by the House Ways and Means Committee last week would increase taxes on couples making as little as $350,000 a year and individuals annually making as little as $280,000. In the Senate, negotiators seeking a bipartisan compromise reported progress Monday. Finance Committee Chairman Max Baucus, D-Mont., said there's tentative agreement on four big policy issues out of a list of about one dozen. He would not elaborate. Separately, senators are discussing a variation on the idea of taxing high-cost health insurance benefits. The proposal would not raise taxes on individuals and families. Instead, insurers and employers who offer the benefits would pay the tax. Advocates say such a tax would encourage people to be thriftier consumers of health care. Prospects are uncertain. Obama and Democratic leaders face a new batch of ads. Republican officials said they were supplementing Steele's speech with a round of television advertising designed to oppose government-run health care. The 30-second commercial, titled "Grand Experiment," criticizes recent government aid to the auto industry and banks as "the biggest spending spree in our history" and warns similarly of "a risky experiment with our health care." The U.S. Chamber of Commerce, the nation's largest business group, planned to announce ads of its own Tuesday criticizing the government-run insurance proposal, saying it would threaten employer-provided coverage. R. Bruce Josten, the group's top lobbyist, said the campaign would begin with a $2 million budget and include newspaper and Internet ads, as well as efforts to drum up public support across the country. The ads will appear in Capitol Hill newspapers beginning Tuesday, then in coming days in newspapers in Arkansas, Louisiana, Colorado, Nebraska and other states where lawmakers are wavering. Citing liberal and labor groups that have run ads criticizing Democrats who have not endorsed the health care effort, Josten said, "It's time to push back a little bit." Separately, the insurance industry, which challenged then-President Bill Clinton's health care effort in the early 1990s, launched a $1.4 million ad campaign, its first TV ads of this year's health care fight. The multimillion-dollar campaign, being aired nationally on cable stations, restates the industry's support for an overhaul that provides universal coverage and its offer to cover people who are already sick. The ad campaign does not mention the insurers' strong opposition to creating a government-run insurance option. An official disclosed the cost of the campaign on condition of anonymity, as the numbers have not been made public.
[Associated
Press;
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