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Government Healthcare Takeover

President Obama and his allies in Congress said they wanted to provide quality health care to all Americans at a lower cost. Those are worthy goals. But the law they passed in March 2010 simply doesn’t do those things. It will create a multi-trillion dollar government takeover of healthcare that gives too much control to Washington, DC, and not enough to patients and their doctors, and imposes a top down one size fits all “solution” on all Americans.

UNCONSTITUTIONAL: Americans are faced with an unprecedented action taken by Washington, DC – forcing consumers to purchase a good or service – in this case health insurance. Most Americans are dumbfounded that the government would meddle so cavalierly in something as personal as one’s healthcare decisions.

COST: The law will increase spending by $1.15 trillion and will add as much as $530 billion to the federal deficit over the next 10 years. Cato Institute analysts believe that spending will be $2.7 trillion while adding $823 billion to the deficit over the same period. Medicaid expansion in Montana will cost as much as $155 million by 2019.

MORE TAXES…REALLY?: While the national and state economies are deep in the doldrums of the Great Recession, the law creates or increases 18 separate taxes that will cost $629 billion over the next 10 years. It actually taxes health insurance plans, brand-name prescription drugs, and medical devices. Amazingly, it limits the deductibility of medical expenses.

WRONG REFORM: Intended or not, the new law will insert the government’s tentacles even deeper into the lives of consumers and health care markets to the point that single payer, government-run health care is an inevitability. The law undermines consumer-directed reforms such as Health Savings Accounts, incentivizes employers to drop health insurance benefits, and forces the young and healthy to subsidize care for the old and wealthy. The proponents of the law promised Americans that they’d be able to keep their healthcare plans but independent experts believe that the law will force Americans into government plans.

ROBBING PETER TO PAY PAUL: The law takes $417 billion over 10 years from Medicare’s trust fund. This includes $136 billion in cuts to Medicare Advantage, which allows beneficiaries to receive their coverage through private insurance plans. 10.2 million use Medicare Advantage and Medicare’s chief actuary predicts that 7 million will be forced out and back into traditional Medicare. This represents an obvious disdain for the private market.

PICK POCKETING: The law authorizes the federal government to penalize individuals for not obtaining, and employers for not providing, health insurance coverage. The Congressional Budget Office estimates that from 2014 to 2019 individuals will pay $17 billion in penalties while employers will pay $52 billion.

UNACCOUNTABLE BUREAUCRATS: One of citizens’ biggest fears is unelected bureaucrats making decisions that affect our most fundamental decisions. The government healthcare takeover creates a panel of 15 of these bureaucrats – called the IPAB – to determine what treatments patients can receive.

DUD: Because the law has government written all over it, it should be no surprise that analysts don’t think it will do anything to combat waste, fraud, abuse, and rampant inflation in the system. What the government has excelled at is causing these problems in the first place, and then rushing in to fix the problems it caused, and proceeding to make the problems even worse. The solution is to get the government out of the healthcare market as much as possible and allow people the freedom to make health care decisions based on their circumstances.