Texas One of 12 States in Holding Pattern Until Supreme Court Decision on ObamaCare

Handful of governors put off a decision until June ... when U.S. Supreme Court decides whether ObamaCare health law is constitutional or not By Jim Cardle Texas Insider Report: WASHINGTON D.C. Every state has received a $1 million planning grant. 34 states & the District of Columbia have received a total of more than $600 million from the Dept. of Health & Human Services to build their own state health insurance exchanges. But when it comes to implementing the state-run efforts demanded in the controversial 2010 federal health law many Americans still refer to today as ObamaCare many mostly-GOP governors are balking.   Its hard to find a governor who doesnt agree its a good idea to create an organized marketplace to help consumers and small businesses shop for health insurance. However as with most federal government programs taking the bait of federal funding in order to cover the costs of the optional program has tremendous persuasion over a governors decision. By opting out of  the optional program of building their states own exchange in most cases due to cost & funding implications they also hand over control of the project to the federal government something no governor wants to do. By opting-in to the optional program they must assume responsibility for the costs & funding obligations  and to many governors in these economic times the dilemna is rooted in a simple yet complex decision based upon the facts of their current economic budget projections or constraints. So instead of taking a hard line on the issue a handful of governors have recently carved out a middle ground.  Theyre putting off a decision until June when the U.S. Supreme Court is expected to decide whether the health law is constitutional. According to news reports compiled by the Center for Budget & Policy Priorities those states waiting are:

1. Alabama
2. Florida
3. Georgia
4. Indiana
5. Kansas
6. Missouri
7. Michigan
8. Nebraska
9. South Dakota
10. Texas
11. Virginia and
12. Wisconsin

Nebraska Governor Dave Heineman a Republican is a good example. In his January state of the state speech he declared:

Because it is the current law our state is moving forward with the planning and designing of a state health insurance exchange."

But more recently instead of moving forward he said he had decided to wait according to a report by Nebraska Radio Network. The big question is whether states that wait for the high courts decision will be able to build an online insurance marketplace in time to meet federal deadlines. Its hard to tell" says Joy Johnson Wilson health policy director for the National Conference of State Legislatures. Theres a lot going on behind the scenes." Wilson and others report that even in states where governors are holding off a lot of work already has been done using federal grant money. Theyre also intended to make it easier for low-income people to apply for Medicaid and help business owners and moderate-income individuals apply for federal tax credits. States must have simplified insurance offerings and a standardized application form plus a consumer-friendly online presentation ready to pass muster with federal regulators by January 1 2013. If they dont the federal government may decide to step in. But the U.S. Department of Health and Human Services has recently proposed a couple of other options. Although details are not yet available the agency has said states can partner with the federal government to build an exchange or take over a federally-run exchange in 2015. In both cases federal money would be available for states.

Of the dozen states that are postponing a decision five Florida Georgia Kansas South Dakota & Texas also have failed to apply for federal money to build an exchange.

Louisiana and Arkansas have officially opted out of building their own exchange and other states have yet to take action. At least 11 states and D.C. have fully embraced health insurance exchanges with laws or by executive order:

1. California
2. Colorado
3. Connecticut
4. Hawaii
5. Maryland
6. Nevada
7. Oregon
8. Rhode Island
9. Vermont
10. Washington and
11. West Virginia