2004 came up with a set of proposals more innovative than an incremental one from the Massachusetts Senate and more acceptable to him than one from the Massachusetts House of Representatives that incorporated a new payroll tax. In particular, Romney successfully pushed for incorporating an individual mandate at the state level. U.S. Senator from Massachusetts Edward M. Kennedy, who had made universal health coverage his life's work, gave Romney's plan a positive reception, which encouraged Democratic legislators to work with it. The effort eventually gained the support of all major stakeholders within the state, and Romney helped break a logjam between rival Democratic leaders in the legislature. On April 12, 2006, Romney signed legislation that mandates that nearly all Massachusetts residents buy or obtain health insurance coverage or face a penalty (up to approximately $2000 for 2008 or equal to half of the lowest cost premium offered) in the form of an additional income tax assessment. The bill established a regulatory authority called the Commonwealth Health Insurance Connector Authority to implement the law and establish insurance standards. For residents below certain income thresholds and without adequate employer insurance, state subsidies were established, by using funds previously designated to compensate for the health costs of the uninsured. Legislation, effective on July 1, 2007, requires health insurance for all state residents, provided a plan is available to the individual that is deemed affordable according to Commonwealth Health Insurance Connector Authority. In Massachusetts, a roughly $800 million fund known as the "uncompensated care pool" was used to partially reimburse hospitals for expenses related to treating uninsured patients. The fund's revenue comes from an annual assessment on employers, insurance providers and hospitals, plus contributions of state and federal tax dollars. Governor Romney's plan redirects money from this fund to subsidize health insurance costs for low-income residents of Massachusetts. The Romney Administration consulted with Massachusetts Institute of Technology professor Jonathan Gruber to study the state's population and health care needs. They determined that there was enough money in the "free care pool" to implement the Governor's plans, but that it would require more people to buy health insurance at full price in order to pay into the subsidized fund. The legislature amended Romney's plan, adding a Medicaid expansion for children and imposing an assessment on firms with 11 or more workers who do not offer health coverage. The assessment is intended to equalize the contributions