Reps. Flynn & Paxton Tell Congress No&" to ObamaCare

Texas legislators join 1800 state lawmakers to preserve States Rights saying  Federal Health Care Proposal is bad for Texas families businesses Austin TX Congress recently announced that they would wait until after the August recess to vote on the federal health care reform bill (H.R. 3200).  The central claim of this bill is to expand health care coverage for uninsured Americans.  However if this bill passes the outcomes will likely include health care rationing higher taxes massive increases in federal spending increased bureaucracy and even more imposition of federal rules on the states. We are gravely concerned that health care if controlled by the federal government and overseen by the equivalent of Fannie Mae will be driven by political and bureaucratic motives rather than the most efficient allocation of resources that only a free market can deliver. Like the Cap and Trade proposal this legislation would have detrimental effects on Texas. According to the U.S. House Committee on Ways and Means the key features of this legislation include the following:

• A government-run public health insurance option; 
• A government-run health insurance exchange;
• An expansion of the Medicaid program to at least 133 percent of the Federal Poverty Level; 
• Affordability credits for individuals and families who do not qualify for Medicaid to put toward the cost of health insurance; 
• A requirement that every individual purchase health insurance or face a financial penalty of 2.5 percent of their gross annual income; 
• A requirement that all but the smallest businesses offer health insurance to their employees or face a financial penalty of up to eight percent of annual payroll expenses; and
• New federal regulation of the private insurance marketplace.

Even the Congressional Budget Office (CBO) states the insurance coverage provisions of H.R. 3200 would cost more than $1 trillion over ten years (2010-2019).  Congressional proponents of this legislation point to the fact that this proposal would be funded in part by a surtax on households with annual incomes above $350000.  However given CBO estimates it is clear that taxes will have to be raised on other income-earning households in the future. Also according to the CBO the expansion of the Medicaid program contemplated by H.R. 3200 will result in 11 million additional Medicaid recipients by 2019.  As such the legislation will result in a new generation of Americans who are entirely reliant on the government and taxpayers for their health care coverage.  This increase would put additional strain on state coffers. Texas Medicaid costs have exploded in recent years growing from $11.1 billion in 1999 to $24.5 billion in 2009 which is especially alarming given that these increases took place in relatively good economic times (unemployment averaged 5.03 percent in that period).  Furthermore this legislation would place the federal government directly in the center of our healthcare system in competition with providers in the private marketplace and at the expense of private firms and consumer choice.  Allowing a government-run healthcare entity to compete directly with private providers undermines the principle of free enterprise and ignores the lessons learned in a host of other industries.  The government cannot provide services at a lower cost than the private sector without significant taxpayer subsidization.  Individuals and businesses should not be forced to purchase health insurance or be forced to a pay fine. This approach not only undermines individual liberty and freedom but also ignores the reality that some individuals may not wish to purchase health insurance and that it may be unaffordable for some businesses to do so.  H.R. 3200 also ignores the perils of congressional interference in other markets such as mortgages.  Allowing Fannie Mae and Freddie Mac to grow unrestrained was a root cause of the current financial crisis that the majority in Congress has yet to address.  There are opportunities for Congress to provide beneficial reform and improved access to care.  Admittedly the problems with our health care system are real and there are real solutions such as these proposed by the Texas Public Policy Foundation:

• Individual ownership of health insurance;  
• Tax deductions going to individuals instead of businesses;
• Health savings accounts (HSAs) combined with high deductible policies;
• Transformation of the majority of Medicaid into a voucher for purchasing their own insurance policy;
• Removal of antiquated barriers for utilizing other health care professionals for primary care;
• Interstate purchasing of health insurance; and
• National tort reform using the Texas model.

As State Representatives we support the official letter from the American Legislative Exchange Council (ALEC) to Congressional leaders delivered on July 29 expressing the will of more than 1800 state legislators opposing federal reform effortsparticularly the Medicare-modeled public plan" and a national health insurance exchangewhich will trample states rights and lead Americans down the road to single-payer health care. Government-run health insurance is a large step in the wrong direction for our nation and will replace the freedom of doctor-patient healthcare with a bureaucratic nightmare.  We are not prepared to allow the federal government to dictate our citizens lives in this or any manner. ALEC is the nations largest nonpartisan individual membership association of state legislators. It recently approved a Resolution to Preserving States Rights Regarding Federal Health Insurance Exchanges and a Public Plan which deems the federal public plan anti-competitive and calls the proposed national health insurance exchange a federal takeover" of the states role in regulating health insurance. Iowa Representative Linda Upmeyer a minority whip family nurse practitioner and chair of ALECs Health and Human Services Task Force recently said it well when she said 

Its an unlevel playing field when a public plan can shift costs to our states private insurers because of low doctor & hospital reimbursement rates and then raid the federal Treasury for unlimited subsidies. The government will never compete unless it can change the rules to win."

We all share the goal that patients deserve to choose their own quality affordable private health coverage but health reform shouldnt just be the job of the federal government. If the proposals in H.R. 3200 concern you as it does us contact your member of Congress and United States Senators today as this legislation is currently being considered by our federal elected officials.  You may find your elected officials by visiting http://www.fyi.legis.state.tx.us/.