GRETA VAN SUSTEREN, FOX NEWS HOST: It's coming, probably this week, Senate Finance Committee's health care bill. That means it will likely be voted on this week. What will be in it? Earlier, Republican Senator Jon Kyl, a member of the Senate Finance Committee, went "On the Record."

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VAN SUSTEREN: Senator, nice to see you, sir.

SEN. JON KYL, R - ARIZ.: Thank you. Good to be with you.

VAN SUSTEREN: All right, Senator, where does the Senate Finance Committee stand right now with the health care reform bill?

KYL: Sometime this week, presumably, the committee will get back together. And when we hear the cost of the bill, will then vote on it. And presumably, the Democrats have enough votes on the committee, whatever its cost, to send the bill then on to the next step. That step is to combine it somehow or other with the bill that came out of the Health Committee -- Health, Education, Labor and Pensions Committee.

Now, they're two very different bills. And so the majority leader and a couple of the committee chairmen on the Democratic side -- no Republicans in the room -- will somehow meld those two bills together, and that bill will come to the Senate floor. And that's the bill maybe in a couple of weeks that we'll actually be debating on the Senate floor.

VAN SUSTEREN: All right. It sounds like a good idea, I mean, in terms of process, that it seems to work. However, the big -- there's a big difference in these two bills. It's not like these bills can sort of just be coordinated or reconciled. These are two very different bills, even on the question of a government -- a public option.

KYL: That's right. You're exactly right. Even though they're both Democratic bills, they approach the problem in a very different way. They cost -- the cost is a lot different, the way that they raise taxes to pay for it. All those things are different. And so what decisions will they make about what to put in the bill and not to put in the bill? The government-run insurance company is just one of many, many different issues. And unfortunately, Republicans will have nothing to say about that. We'll read about it in the news -- you'll probably know before I do what's actually in it.

VAN SUSTEREN: But the interesting thing is, is that it's already sort of a -- most people assume the Republicans are not going to be voting for it. I mean, we've been listening to you all along, all the Republicans. The interesting thing, though, here is that with the public option, if it - - it's either got to be in the bill or not in the Senate bill, one or the other. The HELP says it's in. Senate Finance say it's out. And if Senator Reid chooses one or the other, does he lose all those other Democrats?

KYL: Very good question. But they always find a way to maneuver it so that they can keep their group together. And what they might do, for example, is to not put the public option, or government-run insurance company, in on day one, but instead have a trigger in there that says if certain things don't happen by a certain date -- let's say, if insurance companies don't reach a certain goal within three years, then the public insurance would automatically be triggered. It's called a "trigger."

My concern is it'll be a hair trigger, that the condition for the public option to take place will be not much of a condition at all, and therefore, maybe we don't see it on day one, but maybe in three years we do see it. The liberals who favor the public option can say, Sure, we're willing to wait three years because we know it'll happen, and those moderates who don't want to be seen back home as voting for the public option can say, We didn't vote for the public option, and maybe they can get away with that.

VAN SUSTEREN: All right, with a trigger, though, it also creates another sort of issue. Is that -- is that an opportunity to peel off at least one Republican senator, Senator Olympia Snowe, because she apparently liked the trigger option at one point? Does she now vote with the Democrats likely, and if so, does it now become a bipartisan bill?

KYL: I don't think very many people believe that if you have one Republican out of 100, that therefore, it's a bipartisan bill. I don't know what Senator Snowe will do, but I know right now that she's very concerned about the cost of the bill and the fact that the Congressional Budget Office is not able to provide us with an accurate cost of what the bill is. They say that they have to have legislative language before they can do that.

We've only been talking in concepts so far, and they say that their cost estimate could differ significantly once it's put into actual legislative language. So she's taking the position until she sees that, she's not going to commit. And so I don't know where she's going to be at the end of the day.

VAN SUSTEREN: All right, are taxes going up on people who make less than $250,000 year?

KYL: Absolutely yes. When the president said this bill won't raise taxes for anybody making under $200,000 a year, that promise cannot be kept under this bill. Taxes do go up for everybody. And in particular, there are several taxes that will be imposed on people below $200,000, yes.

VAN SUSTEREN: Any estimate of how much taxes will go up on people who make $250,000 and less and those who make $250,000 and more?

KYL: Yes, and I unfortunately don't have the numbers right off the top of my head, but on one provision alone, almost a quarter -- I think the number's 21 percent of the people who would pay the tax have incomes less than $40,000 a year. These are people at the 200 percent of poverty level. These are not rich families. And I think something like 87 or 83 percent of the taxes are paid by people that pay less -- that make less than $100,000 a year. So these are not wealthy families, and they will be paying increased taxes under this bill.

VAN SUSTEREN: All right, the bill that you anticipate's going to come of Senate, when these two Senate committees' bills are reconciled, do you expect it to be anything remotely like the bill that's going to come out of the House?

KYL: The House bill is much more left-leaning. It's more like the bill in the HELP Committee that Senator Kennedy chaired. So you got the Financing bill, which is the least liberal but still raises a lot of taxes on people. My guess is that the bill will only move left, that the Finance Committee bill will move left when it's combined with the HELP Committee bill, that the bill that comes a lot of the Senate will move left when it and the House bill are somehow dealt with together. And so you'll see the bill continually move to the left, which means it'll cost more for people, it'll have a lot more government intrusion and undoubtedly result in the rationing of health care for Americans.

VAN SUSTEREN: Senator, thank you, sir.

KYL: Thank you.