Children’s Health Plan Bill Opposed by Administration

United Press International

The Reagan Administration told Congress today that it opposes legislation to require businesses to include coverage in their employee health policies aimed at preventing illnesses in children.

Testifying in a Senate Finance subcommittee hearing, J. Roger Mentz, a deputy assistant Treasury secretary for tax policy, said the Administration does not believe the tax system should be used to regulate employers’ group health plans.

“More specifically, we do not believe that substituting the view of the federal government . . . for the choices of employers and employees about the benefits to be provided . . . will result in a more optimal allocation of compensation and health benefits,” he said.