July 2, 2012
(Washington, D.C.) Senator Jim DeMint (SC), Congresswoman Michele Bachmann (MN-06) and Congressman Jim Jordan (OH-04) sent a letter to all 50 governors urging them to oppose the implementation of the state health care exchanges mandated under President Obama’s health care law. Twelve Senators and 61 Representatives joined them in writing in opposition to these exchanges, which could cost businesses up to $3,000 per employee.
“Now that we know the courts will not save us from this harmful and unsustainable law, we urge all governors to join our fight full repeal by stopping its implementation,” said DeMint. “Americans have loudly rejected this law because it raises costs, lowers quality of care, and hikes taxes. The President’s health care law will not reform anything, but will hurt state budgets, destroy jobs, and reduce patient choices. States should reject these complex and costly exchanges. We cannot build a free market health care system on this flawed structure of centralized government control, we must repeal all of it and start over with commonsense solutions that make health care more affordable and accessible for every American.”
“While Republicans in Congress will continue to push for a full repeal of Obamacare, the states can take immediate action to reject these exchanges that will increase health care costs and add more layers of bureaucratic red tape. I encourage all 50 governors to do what’s best for the American people. They should refuse to implement an exchange and instead work towards common sense solutions that lower costs and return important health care decisions to patients and their doctors,” said Bachmann.
“The harmful impact on jobs is just one of many reasons we remain committed to fully repealing this law. If governors want to raise the cost of hiring people in their states, they should create an Obamacare exchange. If they want more jobs in their state, they should not. It’s that simple,” said Jordan.
The text of the letter is included below, and a list of signers is available here.
The Supreme Court has ruled significant parts of the Medicaid expansion of the President’s health care law unconstitutional as well as ruling that the individual mandate violated the Commerce Clause and will therefore be implemented as a punitive tax on the middle class. This presents us with a critical choice: Do we allow this reprehensible law to move forward or do we fully repeal it and start over with commonsense solutions? The American people have made it clear that they want us to throw this law out in its entirety.
As members of the U.S. Congress, we are dedicated to the full repeal of this government takeover of healthcare and we ask you to join us to oppose its implementation.
Most importantly, we encourage you to oppose any creation of a state health care exchange mandated under the President’s discredited health care law.
These expensive, complex, and intrusive exchanges impose a threat to the financial stability of our already-fragile state economies with no certainty of a limit to total enrollment numbers. Resisting the implementation of exchanges is good for hiring and investment. The law’s employer mandate assesses penalties – up to $3,000 per employee – only to businesses who don’t satisfy federally-approved health insurance standards and whose employees receive “premium assistance” through the exchanges. The clear language of the statute only permits federal premium assistance to citizens of states who create a state-based exchange. However, the IRS recently finalized a regulation that contradicts the law by allowing the federal government to provide premium assistance to citizens in those states that have not created exchanges. The IRS had no authority to finalize such a regulation. By refusing to create an exchange, you will assist us in Congress to repeal this violation which will help lower the costs of doing business in your state, relative to other states that keep these financially draining exchanges in place.
State-run exchanges are subject to all of the same coverage mandates and rules as the federally-run exchange. Clearing the hurdles of crafting an exchange that complies with the 600 plus pages of federal exchange regulations will only result in wasted state resources and higher premiums for your constituents.
Implementation of this law is not inevitable and without the unconstitutional individual mandate it is improbable. Join us in resisting a centralized government approach to health care reform and instead focus on solutions that make health care more affordable and accessible for every American. Let’s work to create a health care system of, for, and by the people, not government or special interests.