Research

When Is An “Opt-Out” Not Really An “Opt-Out”?

October 2009

Posted by: administrator

When Senate Majority Leader Harry Reid (D-NV) allows states to “opt out” of the public option but doesn’t allow states to “opt out” of the costs shifted to them through huge unfunded Medicaid mandates to help pay for his bill. A bipartisan chorus of governors have already said that this experiment could force their states (already trying to survive through budget crises) to cut essential services or raise taxes.

That’s not the only thing states can’t opt out of in Reid’s government-run health care experiment (written in the past two weeks behind closed doors with Rahm Emanuel). States also can’t opt out of the burdensome individual mandates that force people to buy insurance even if they can’t afford it, the employer mandates that force businesses who can’t afford insurance for their employees to pay a tax, or the onerous new insurance regulations which force young people to foot the bill for older, wealthier people.

The only real way states are going to be able to avoid these provisions is if Congress restarts health care reform with a new, bipartisan bill.

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