BUTLER TWP— Rep. Kathy Dahlkemper, D-3rd, talked to local business leaders Monday at Butler County Community College, who fear that insurance companies will push through last-minute premium increases before health care reform is passed.

Roger Kelly, executive director of Irene Stacy Community Mental Health Center, said that is one of his own greatest concerns.

"What we have seen over the past 10 years are double digit increases in costs for medical coverage for our staff," Kelly said. "With a national health care policy looming, which hopefully will occur, we are looking this year as we met with our broker last week at a 20 to 30 percent increase again in hospitalization. We are looking at a $9 million budget with a $1.3 million medical bill."

About 50 members of the chamber attended the breakfast at Founders Hall, sponsored by the Butler County Chamber of Commerce, where Dahlkemper discussed the state of the region along with the biggest issues facing business owners.

Facilitated by Stephen Catt, executive director for work force development at BC3, the discussion centered on different aspects of economic recovery, obstacles facing small businesses and health care reform.

Dahlkemper said she recently met a small-business owner in Mercer who provides 100 percent coverage to employees and now faces a 28 percent increase in premiums this year.

"I was shocked at that," Dahlkemper said. "Everyone is starting to meet with their brokers for next year right now so I think it is definitely something we need to be looking (into) at the Congressional level to make sure there is not an effort on behalf of the insurance companies to raise the premiums before legislation is enacted."

Dahlkemper told business owners to contact her office if they experience the same situation.

"This goes back to how the current system is unsustainable as it is," Dahlkemper said.

On the health care reform issue, Dahlkemper said she would like to see legislation passed by the end of December.

"I do believe this is the time and we need to do this," Dahlkemper said. "Every year we delay doing reform is another year of rising prices for health care for small businesses."

Dahlkemper said 51 percent of small businesses in Pennsylvania offer coverage to employees today.

"As we go forward, more and more businesses will have to stop offering coverage if this trend continues," she said. "What we are trying to do is control costs as well as finding affordable health coverage for all."

Catt asked Dahlkemper about the process of coming to an agreement on health care and other issues during such divided times.

"It's people to people and I think we need to remember that there are actual human beings discussing these things and learning to compromise," Catt said. "One of the frustrating things is that it seems the art of compromise is lost in this generation of our legislators. Do you see that with your colleagues?"

Dahlkemper said that as the process has gone on, she has seen some softening because she said many realize that health care reform needs to be passed.

"Exactly where it is going to end up, no one knows," Dahlkemper said. "I find the partisanship a bit disconcerting and coming from a nonpolitical background it did shock me a bit. I think a lot of what has been going on this summer has been more about politics and not policy."

Dahlkemper said she wants to focus on creating good policy.

"I ran because I want my children to be able to raise their families here and get good jobs here and I want those opportunities to be here for all of our young people," Dahlkemper said.

Catt asked Dahlkemper where she thinks entrepreneurial efforts will surface and how the region can better support the efforts of these business creators.

"This area is very well known for medical innovations and I think we are going to continue to see entrepreneurial activity in that area," Dahlkemper said. "I think with all the green technology, that is an area we want to make sure that Western Pennsylvania becomes known for."

Dahlkemper said that while the focus on green technology has been strong in Pittsburgh, she wants to see that movement stretch north into the 3rd Congressional District. She also said the employees in the region are historically reliable as they come from a strong manufacturing base.

"We have a great skill set in this region and great employees and that's what everyone tells me in business," Dahlkemper said. "People who come here from another area say the employee base here stays with your company, are loyal and have great skills. We just need to move to the newest manufacturing base which is technology and green based."