Burlison Taps Fed Interest Payments for Healthcare Reform

U.S. Rep. Eric Burlison (R-Missouri) has proposed a plan to fund his Great American Healthcare Act by redirecting $1 trillion in Federal Reserve interest payments over the next decade.

The plan would stop the Federal Reserve from paying interest on bank reserves, which would otherwise amount to an estimated $1 trillion over the next 10 years.

Burlison stated that every healthcare proposal faces the same question: how to pay for it. He claims his bill answers this question by reforming the Federal Reserve's authority to pay interest on reserve balances and using the savings to help offset the cost of implementing the legislation.