Texas Insider

Dem’s Job-Killing Takeover Dumps Costs to States, Threatens Medicaid Bankruptcy
By House Republican Leader John Boehner

As Democrats in Washington continue plotting and scheming behind closed doors, desperately trying to force their job-killing government takeover of health care down Americans’ throats, governors across America are rising up – and, like the American people – are demanding that out-of-touch Democrats scrap their massive health care proposal.  

Governors have noted time and time again – for more than a year – that the Democrats’ government takeover of health care will kill American jobs and shift billions in unfunded mandates onto the states. 

For months, a state rebellion against ObamaCare has been brewing: measures have been introduced in at least 36 state legislatures, similar to the proposal just signed into law by Governor Bob McDonnell of Virginia, providing that no individual may be compelled to purchase health insurance. 

Governor Mitch Daniels (R-IN), in a letter to the Congressional delegation of Indiana, noted how the unfunded mandates would affect his state:

• Half a million (500,000) new Hoosiers would become eligible for Medicaid, costing Hoosier taxpayers billions more in state taxes.  One in four Hoosiers would be on public assistance.
• Many Hoosiers who currently have health insurance will pay higher premiums – the Congressional Budget Office estimates an average increase nationally of $2,100 for some families, and a study of the effects in Indiana showed premium increases ranging up to 78 percent.
• A growing and job-creating life sciences sector in Indiana will be hit with huge new tax increases: At least $20 billion for the device manufacturers and $90 billion for pharmaceutical companies.  These costs will be passed to consumers and will result in job losses in Indiana.
• A job killing tax of $2,000 per employee will be levied on many companies which cannot afford or choose not to provide coverage to their employees, including Indiana.

Other governors have lined up against the Democrats’ job-killing government takeover of health care as well.  Following are just the latest statements from governors representing states across America:

Governor Donald Carcieri (R-RI) wrote his state’s Congressional delegation:

“I am writing to ask you to oppose the health care legislation currently before Congress…this legislation is bad for Rhode Island, its taxpayers, seniors, and economy….This bill is not about health care.  It’s about ideology and special interests.  The President promised transparency, yet no one has the opportunity to read the bill before it is voted on. 

“The President and Congressional leaders promised Americans they would be able to keep their existing coverage, but no such assurances exist.  Common sense tells us that millions of people added to the system, an entirely new entitlement program created, and unrestrained federal dollars pumped into health care will actually fuel the skyrocketing costs of health care. 

“In addition, this legislation reverses the Hyde Amendment, which has been on the books for 30 years and prevents taxpayer funds from being used to pay for abortion.  Regardless of attempts to disguise the issue, the simple fact remains that a vote for this legislation is a vote to spend taxpayers’ money to terminate the lives of children.  For many, this is shameful, disgraceful, and immoral and will violate the consciences of many Rhode Islanders.”

Governor C.L. “Butch” Otter (R-ID) wrote his state’s  Congressional delegation:

“I’m writing today to encourage your continuing enlightened opposition to the Obama administration’s attempts to ‘reform’ our healthcare system on the backs of states like Idaho. I also urge you to continue your market-based efforts to make healthcare more accessible and affordable for all Americans….For 35 years now the federal government has been essentially running healthcare in America, masking market signals and supplanting the judgment of patients and physicians with the determinations of bureaucrats and lawyers. It should be no surprise that healthcare became ‘health management,’ people became statistics, and the fear of liability became the biggest expense of all.”

Governor M. Michael Rounds (R-SD) wrote his state’s Congressional delegation:

“We estimate that, in 2020 and beyond, this proposal will cost us around $36 million a year, plus inflation.  I am very concerned about our ability to sustain coverage for the newly mandated populations and those who enroll of Medicaid because of the woodwork effect. 

Additionally, the proposal adds 52,000 individuals to the Medicaid program.  As you know, Medicaid pays our providers about half of billed charges.  Our provider network cannot sustain the dramatic increases in enrollees, without increases to their provider reimbursement.”

Governor Janice Brewer (R-AZ) wrote the President:

“Unfortunately, your proposal to further expand government health care does not fix the problem we face in Arizona.  In fact, it makes our situation much worse, exacerbating our state’s fiscal woes by billions of dollars…Your proposal creates a vast new entitlement program that our country does not have the resources to support.  Our nation faces trillion dollar deficits far into our future. 

“Medicare has an unfunded liability of $38 trillion, and physicians are destined to realize a 21 percent decrease in Medicare reimbursement until Congress finally account for the $371 billion in additional costs associated with their rates.  Mr. President, I am concerned that Washington does not recognize the fiscal realities state are facing, and likely will continue to face, for several years to come.  Our country is living beyond its means and the federal government is leading the way by example.”

Governor Gary Herbert (R-UT) wrote his state’s Congressional delegation:

“The White House plan is a rejection of the concept of federalism, which is so vital to our nation.  It ignores the fact that the right way to go about reform is to allow the 50 states to be 50 laboratories of innovation.  This is the only way to really learn what works and what doesn’t…Our friends in other states are also beginning to learn what works for them and what does not.  If Washington leaders are serious about finding a good solution for the nation, shouldn’t they be looking to these states for guidance?”

Las year, House Republican Leader John Boehner (R-OH), Reps. Devin Nunes (R-CA) and Mike Rogers (R-MI) launched the GOP State Solutions project, an initiative aimed at highlighting solutions put forth by reform-minded governors and state officials outside the Beltway. 

Through the State Solutions project, House Republicans have been working with state officials, the American Legislative Exchange Council (ALEC), and grass-roots activists to advance state-level legislation declaring individual citizens’ freedom against intrusive health care mandates from the federal government. 

Americans don’t want a government takeover of health care that will kill jobs, raise taxes, cut Medicare, and expand the tentacles of the federal government. 

Period.