Tag: Obamacare

Alaska’s Parnell Becomes 2nd Gov. to Refuse to Implement ObamaCare

The Associated Press reports that Alaska Gov. Sean Parnell (R) told the Juneau Chamber of Commerce that he will not be implementing ObamaCare:

“The state of Alaska will not pursue unlawful activity to implement a federal health care regime that has been declared unconstitutional by a federal court,” Parnell told the Juneau Chamber of Commerce, to applause, Thursday.

The AP included a couple of interesting comments from ObamaCare supporters Timothy Jost, a law professor at Washington & Lee University, and Ron Pollack, executive director of Families USA.

Jost described Judge Roger Vinson (to whom Parnell referred) as “one renegade judge,” when in fact two federal judges have struck down ObamaCare’s individual mandate as unconstitutional.  (Since only two federal judges have upheld ObamaCare, who’s to say which pair are the renegades?)

Jost also called Alaska an “outlier” among states, while the AP reported, “Neither [Pollock] nor Jost knew of any other state taking action similar to Parnell.”  Jost and Pollack should know that Florida Gov. Rick Scott (R) had already refused to implement ObamaCare.  (Here he is telling an approving audience of Cato supporters.)  Ironically, the AP story overlooking Scott’s leadership appeared on the Miami Herald web site, which had previously reported that Scott even returned to the federal government the ObamaCare money that his predecessor Charlie Crist accepted but hadn’t spent. Scott may not be enough company to keep Parnell from being an outlier.  But Jost should also know that dozens of governors who are implementing ObamaCare are also hoping the Supreme Court will strike it down as unconstitutional.  Parnell and Scott are outliers for their courage, not because they oppose ObamaCare.

The news about Parnell came as the U.S. Department of Justice filed a motion asking Judge Vinson to clarify that his declaratory judgment “does not relieve the parties of their rights and obligations under [ObamaCare] while the declaratory judgment is the subject of appellate review.”  Ilya Shapiro and I clarified that issue in our oped, “President Should Heed Court and Stop Implementing ObamaCare.”

President (and Governors) Should Heed Court and Stop Implementing ObamaCare

In yesterday’s Providence Journal, my colleague Ilya Shapiro and I argue that, since a federal court has voided ObamaCare as unconstitutional, the Obama administration should immediately cease all efforts to implement ObamaCare:

Federal courts do not issue advisory opinions. The parties to any lawsuit are bound by any resulting judgment.

At minimum, then, the government lacks authority to implement ObamaCare where the case was decided, in the Northern District of Florida, and the 26 state plaintiffs need take no action to do so. Likewise, members of the National Federation of Independent Business, another plaintiff in the case, may now be entitled to the same protection from Obamacare’s requirements.

Moreover, it is not unreasonable to argue that Vinson’s ruling applies to the nation as a whole. After all, this lawsuit facially attacked the law rather than just challenging its application to particular parties….

In so uncertain a legal context, it is simply reckless for financially strapped federal and state governments to pour resources into changing our health care system when those changes may not ultimately pass constitutional muster.

Governors should follow the example of Florida Gov. Rick Scott (R), who recently told a Cato audience in Naples that Florida will not implement any aspect of ObamaCare.  Listen to excerpts from Scott’s remarks here.  Read the full Cannon-Shapiro oped here.

Snooki Tax Creates Jobs!

The IRS says it needs 1,054 more staffers – at a cost of more than $359 million in fiscal 2012 alone – just to watch over the initial implementation of Obamacare.  And this is before the individual mandate kicks in, the non-compliance with which the IRS is also supposed to police (which by itself doesn’t make the non-compliance penalty, let alone the mandate, a tax – for those of you following the constitutional taxing power arguments).

Among this new IRS battalion will be 81 people assigned to “Snooki tax” enforcement, making sure that tanning salons pay a new 10 percent excise tax.  Their cost: $11.5 million.  (And again for you constitutional taxing power fans: the Snooki tax, because it’s an excise – a tax on a transaction or activity or enjoyment of a privilege – is an actual tax, so no constitutional defects here whatever the wisdom of this policy might be.) 

So don’t let anyone say that Obamacare is “job-killing.”  Clearly the solution to all our unemployment problems is to create all sorts of new taxes and then hire everyone in the country to enforce them against everyone else.  (Also, we should block out the sun to create jobs for candlemakers, which policy would of course go hand in hand with outlawing incandescent light bulbs.)

H/T: Josh Blackman

A Dishonest Budget, as Told in One Graph

Yesterday, President Barack Obama released his proposed budget for fiscal year 2012.  Many of my Cato colleagues have already discussed why the president should be embarrassed of this document.  Chris Preble writes that the president offers “faux cuts” to military spending.  Dan Mitchell says the president is “missing in action” on entitlement reform.  Chris Edwards writes that “the Obama administration has completely chickened out on spending reforms in its new budget.”

They were too kind.  This budget is thoroughly dishonest, too.

Back in 1997, Congress enacted automatic reductions in the price controls that Medicare uses to pay for physician services.  Congress has delayed those cuts year after year, and everyone now agrees they are politically infeasible.  We’re not talking about your the usual, Washington-DC definition of spending cuts here, which is just a reduction in spending growth.  If the accumulated cuts were to take effect in 2012, as provided by current law, Medicare payments to physicians would fall by some 25 percent, and lots of seniors would find their doctor no longer accepts their Medicare coverage.  The problem is, these cuts are still on the books and they grow larger every time Congress delays them.  But no one wants to come up with the money needed to pay for a permanent “doc fix.”

Enter President Obama’s FY2012 budget submission.  Rather than propose a permanent “doc fix,” the Obama administration proposes a temporary and dishonest one.  As shown by the blue bars in the below graph, the administration proposes to delay these cuts until 2014 at a cost of $54 billion.  As shown by the black line, the administration proposes to pay for this additional spending by reducing the rate of spending growth in other areas of Medicare by $62 billion over the next 10 years.  Note that only 6 percent of these Medicare “cuts” will occur in 2012 and 2013.  The other 94 percent of the “cuts” will come after the administration has spent the $54 billion it wants to spend.  Note also that the vast majority of the “cuts” would take effect after Barack Obama is no longer president.   Finally, the president offers no proposals to deal with the cuts in physician payments during the last eight years of the 10-year budget window (as shown by the purple bars).  But he’s more than happy to use those implausibly low current-law spending levels to make his proposed budget appear more responsible than it is.

It’s the same old story: dessert today, spinach tomorrow.  (Or, never.)

Both parties engage in such dishonesty all the time.  Those cuts in physician payments were scheduled to take effect in 2011.  To pay for delaying them until 2012, Congress and the president agreed on the ridiculous and dishonest strategy of trying to track down and recover excessive subsidies that the federal government will pay to people in ObamaCare’s health insurance “exchanges,” beginning in 2014.  (Call it the new “pay and chase.”)

Catholicism and Libertarianism

Here’s a poor, unsuccessful letter I sent to the editor of The Washington Post:

Michael Gerson’s claim that “Catholic social teaching is simply not libertarian” [“A Catholic Test for Politics,” Feb. 8], reveals that Gerson either does not understand Catholicism, or libertarianism, or both.  Immediately thereafter, he cites many libertarian aspects of Catholic social teaching: “the necessity of limited government,” subsidiarity, respecting the human rights of “even illegal immigrants,” etc.  When he claims that repealing ObamaCare or government funding for AIDS and malaria conflicts with Catholic social teaching, he ignores that government coercion is inherent in those policies.  Is Gerson claiming that Catholic social teaching condones using violence or the threat of violence to heal the sick?  Catholics who reject those policies do so because they want to heal the sick through peaceful, non-coercive means. They cast their lots with Christ – not Caesar, as Gerson recommends.  Gerson should spend some time learning about libertarianism, from actual libertarians. I would be happy to arrange it.

Just another uninformed potshot from the columnist who sees libertarianism’s emphasis on limited government as “morally empty,” “anti-government,” “a scandal,” “an idealism that strangles mercy,” and guilty of “rigorous ideological coldness.”

Obamacare Defenders Grasping at Straw Men

Last week saw a splash of publicity for defenders of Obamacare’s constitutionality.  First, Yale law prof Akhil Amar had a hyperbolic op-ed in the L.A. Times, prompting a thorough fisking by Tim Sandefur, Ilya Somin, and me (among others). Then Harvard law prof Larry Tribe (who has written for the Cato Supreme Court Reviewhad one in the New York Times.  Here’s an excerpt:

Since the New Deal, the court has consistently held that Congress has broad constitutional power to regulate interstate commerce. This includes authority over not just goods moving across state lines, but also the economic choices of individuals within states that have significant effects on interstate markets. By that standard, this law’s constitutionality is open and shut. Does anyone doubt that the multitrillion-dollar health insurance industry is an interstate market that Congress has the power to regulate?

Well, actually, Prof. Tribe, you’re asking and answering the wrong questions, as I say in my letter to the editor that appeared in the Sunday Times:

First, this is indeed a “novel” issue for the Supreme Court: Never before has the federal government asserted the power to require people to engage in economic activity under the guise of regulating commerce.

Second, those challenging the law do not question Congress’s power to regulate the “multitrillion-dollar health insurance industry,” but rather distinguish such regulation from a command for individuals to purchase that industry’s products.

Third, the difference between activity and inactivity is anything but “illusory”; if Congress can regulate mere decisions, then it can tell me, for example, that I shouldn’t spend time writing letters to the editor.

And finally, imagining that Justice Antonin Scalia would support the government here because he previously ratified prohibitions on the production and consumption of marijuana is to remove the very activity-inactivity distinction that he recognized in that earlier opinion.

Most recently, the Times itself editorialized against the views Randy Barnett presented to the Senate Judiciary Committee – and Randy replied here

Setting aside the issue of why Congress is only now getting around to holding hearings on the constitutionality of a fundamental piece of legislation it passed nearly a year ago, it’s clear now at least that the proponents of limitless, extra-constitutional government are running scared.  Obamacare delenda est.

The Federal Government’s Police Power

Last week, after I responded to Akhil Amar’s op-ed that defended, in an uncharacteristically unthoughtful and ad hominem way, the constitutionality of the individual mandate, a reader suggested that Amar’s argument – particularly that “breathing is an action” that Congress can regulate – reminded him of that Police classic, “Every Breath You Take.”  What’s ironic about this suggestion, perhaps inadvertently, is not only the invocation of “breathing” but that the whole Obamacare battle boils down to competing views of federal power:  Does the government have a general “police” power or is its authority limited to that finite set of powers listed in the Constitution?

And so, without further ado, here’s how the song would look updated for 2011’s favorite constitutional debate (with apologies to Gordon Sumner aka Sting):

Every breath you take
Every move you make, or
Decide not to take
Even when you flake
We’re mandating you

Every single day
Every word you say
Every game you play
Even if you stay
We’re coercing you

O don’t you fuss
You belong to us
How we regulate every step you take

Every move you make
Every vow you break
Every smile you fake
Every claim you stake
We’re mandating you

The Constitution’s lost without a trace
Since ‘37 we go every place
Limits on government you can’t replace
Got rid of those so we’re always in your face
We’re commanding you, no saying please

Every move you make
Every vow you break
Every smile you fake
Every claim you stake
We’re mandating you