Just hours after its colleagues in the Ways and Means Committee approved a comprehensive health reform bill with a public plan and tax on the wealthy, the House Education and Labor Committee gave its stamp of approval to the legislation.

In a vote of 26-22, the members of the committee passed the America’s Affordable Health Choices Act. Three Democrats – Jason Altmire of Pennsylvania, Jared Polis of Colorado and Dina Titus of Nevada – crossed party lines and voted in opposition of the measure with committee Republicans.

Republicans found fault with a government-run insurance program to compete with private insurers, as did some of the Democrats voting against it, according to media reports.

In a letter sent to Speaker Nancy Pelosi (D-Calif.) on behalf of the Democratic member of the freshman class, Polis said he had “extreme concerns” that they methods for paying for the reform would hurt small businesses.

According to the letter, the Bush tax cuts would be allowed to expire, causing the marginal rate paid by wealthy individuals and small businesses to increase by 4.6% to 39.6%.  Further, a surcharge would tax income above $1 million at a new rate of 45%.  This surcharge, combined with state taxes, could result in many small businesses being taxed at over 50%, Polis and others suggested.

The legislation approved by the Education and Labor Committee, mirrors what was approved by the Ways and Means Committee, calls for individual and employer mandates, a public insurance plan and a health insurance exchange, providing a marketplace for individuals and small businesses to select the coverage that suits their needs.

With the approval of the two House committees today (July 17) and the Senate Health, Education, Labor and Pensions committee approving its own bill July 15, three of the five Congressional committees working on health reform legislation have voted to advance bills. Both the House and Senate will have to debate the bills and approve them before they reach the desk of President Barack Obama.

George Miller

Rep. George Miller (D-Calif.), chairman of the House Education and Labor Committee, said reform “is moving forward” and keeps private insurers from holding all the cards regarding the nation’s health care.

“This legislation will reduce costs that are crushing workers, families and businesses alike and it will ensure that patients – not insurance companies – hold the power to make decisions about their care,” said Miller in a statement. “These reforms will save jobs, create millions of new careers, improve the health of our workforce and help rebuild our nation’s middle class. Today’s vote is a monumental step forward in our journey to finally fix our broken health care system.”

Rep. Rob Andrews (D-N.J.), chairman of the House Subcommittee on Health, Employment, Labor and Pensions, said he was “honored” to have participated in the “historic passage” of the legislation.

“Millions of Americans work hard, play by the rules, and take care of their families,” Andrews said. “Yet they suffer from ever increasing health care costs and inadequate health insurance coverage.  Our work was done on their behalf. Our country is now one step closer to a better health care system that will create jobs, promote wellness, and reduce health care costs for all Americans.”