Tag: Republicans

The IRS’s Illegal Employer Tax

With all eyes on the Supreme Court, whose ruling on ObamaCare’s individual mandate could come as early as today, almost no one noticed that last month the IRS imposed an illegal tax on employers of up to $3,000 per worker.

Jonathan Adler and I explain in today’s USA Today that this illegal tax is the indirect but very real result of the IRS offering ObamaCare’s tax credits and subsidies in health insurance “exchanges” created by the federal government, even though ObamaCare restricts those entitlements – explicitly, laboriously, and unambiguously – to Exchanges established by states.

That illegal action has the effect of imposing ObamaCare’s $2,000-$3,000 per worker tax (i.e., the “employer mandate”) on employers who otherwise would be exempt (i.e., employers in states that do not create an Exchange). Perhaps President Obama thought “taxation without representation” would be a winning campaign slogan.

If the Supreme Court fails to strike down ObamaCare’s employer mandate, Exchanges, and health insurance tax credits and subsidies, this thoroughly unconstitutional IRS rule will begin illegally taxing employers in 2014.

Reps. Scott DesJarlais (R-TN) and Phil Roe (R-TN) have introduced a resolution under the Congressional Review Act that would block the rule. Barring that, expect more angry employers to haul ObamaCare into federal court.

Adler discusses the IRS rule here:

New Hampshire’s Democratic Governor Signs GOP Bill Blocking ObamaCare Exchange

It is becoming apparent even to members of the party that gave us ObamaCare that helping to implement the law by establishing a health insurance Exchange is a bad deal for states. Yesterday, NewHampshireWatchdog.org reported:

Governor Lynch blocks Health Insurance Exchange for NH

(CONCORD) Governor John Lynch [D] this morning signed legislation blocking implementation of a health insurance exchange in New Hampshire. The Obama Administration has been urging states to set up exchanges under the Patient Protection and Affordable Care Act, known as ObamaCare.

Lynch has supported setting up a New Hampshire exchange, including the proposal in his State of the State address in February. Senate legislation setting up an exchange, SB 163, won Committee approval in January before stalling on the Senate floor. Opponents argued that a state-run exchange would put New Hampshire taxpayers on the hook for the costs of administering much of the federal health care law, while giving the state little flexibility from federal mandates.

Representative Andrew Manuse (R-Derry) introduced HB 1297 to prevent state officials from setting up an exchange without legislative approval. Josiah Bartlett Center President Charlie Arlinghaus led the charge for the bill, arguing that if federal officials wanted to set up a New Hampshire insurance exchange, they could pay for it themselves. (The Josiah Bartlett Center for Public Policy is the parent organization of New Hampshire Watchdog.)

Under the new law, state health and insurance officials may share information with their federal counterparts but may not take any steps to implement a state-controlled insurance marketplace.

Governor Lynch’s office did not respond to requests for comment on HB 1297.

It does not speak well of ObamaCare that Democrats are heading for the exits.

In this video, I explain why all states should flatly refuse to create an ObamaCare Exchange:

For the true ObamaCare junkies, I include my oral and written remarks to New Hampshire legislators back in February about the dangers of creating an ObamaCare Exchange (non-junkies should just stick to the above video):

And let’s not forget Jonathan Adler’s latest take:

Emails Show PhRMA Bought and Paid for ObamaCare

Remember that guy?

Well today, the Wall Street Journal reprints a series of emails showing how his administration colluded with drug-company lobbyists to pass ObamaCare. Never mind the nonsense about Big Pharma making an $80 billion “contribution” to pass the law. An accompanying Wall Street Journal editorial explains that Big Pharma “understood that a new entitlement could be a windfall as taxpayers bought more of their products.”

The money quote from these emails comes from Pfizer lobbyist/Republican/former George W. Bush appointee Anthony Principi. Even though the drug companies were donating to all the right politicians and pledging to spend hundreds of millions of dollars on pro-ObamaCare advertising campaigns and grassroots lobbying, President Obama still accused unnamed ”special interests” of trying to stop ObamaCare in order to preserve “a system that worked for the insurance and the drug companies.” Principi was indignant:

We’re trying to kill it? I guess we didn’t give enough in contributions and media ads supporting hcr. Perhaps no amount would suffice.

The nerve. I smell a campaign slogan. “Barack Obama: a Politician Who Cannot Stay Bought.”

The Journal adds:

[Former Energy and Commerce Chairman Henry] Waxman [D-CA] recently put out a rebuttal memo dismissing these email revelations as routine, “exactly what Presidents have always done to enact major legislation.” Which is precisely the point—the normality is the scandal.

And which critics have argued from the beginning. As I wrote more than two years ago, ObamaCare is corruption:

Each new power ObamaCare creates would be targeted by special interests looking for special favors, and held for ransom by politicians seeking a slice of the pie.

ObamaCare would guarantee that crucial decisions affecting your medical care would be made by the same people, through the same process that created the Cornhusker Kickback, for as far as the eye can see.

When ObamaCare supporters, like Kaiser Family Foundation president Drew Altman, claim that “voters are rejecting the process more than the substance” of the legislation, they’re missing the point.

When government grows, corruption grows.  When voters reject these corrupt side deals, they are rejecting the substance of ObamaCare.

Fortunately, voters so detest ObamaCare that there’s a real chance to wipe it from the books. This video explains how state officials can strike a blow against ObamaCare/corruption:

On the Virtues of Polarization

Today POLITICO Arena asks:

Is Jeb Bush right that his father and President Reagan would find themselves out of step with today’s Republican Party because of its strict adherence to ideology and the intensity of modern partisan warfare?

My response:

Jeb Bush’s remarks about the Republican Party represent the views of some members of a party that, like the Democratic Party, has become more sharply defined than it was under his father’s or brother’s presidencies. Looking at the longer and deeper view, however, that’s not surprising, because the Bush presidencies were more anomalous than indicative of the party.

For much of the post-War period the Republican Party, especially under the eastern establishment, was little but “Democrat-lite.” That began to change with Barry Goldwater in 1964, suffered a setback under Nixon and Ford, but nonetheless continued under Governor and then President Reagan, who brought a fair measure of ideological discipline to the Party—affecting the Democratic Party in the process. (Compare the ideological opposition to Reagan to that of Ford, for example.) Despite the two Bushes thereafter, the intellectual and activist institutions that had underpinned the Reagan revolution continued to grow, especially as the Democratic Party itself became more polarized, and those forces increasingly influenced the Republican Party, encouraging it to stand for something, unlike the earlier “always-in-the-minority” party—the party Democrats remembered fondly as the “reasonable” Republicans.

There were plenty of counterexamples to those developments, of course—the collapse of the Gingrich bubble late in 1995, the rise of the Tom DeLay opportunists, and the spending of Bush II. And there were issues that continued, and continue even now, to deeply divide members, like immigration and the drug war. But increasingly the two parties have become more sharply defined—”polarized,” if you prefer—as the 2010 mid-term elections made especially clear.  And contrary to the Washington establishment, that’s not a bad thing, because voters now have a real choice, not just a choice between two parties, both of which stand for essentially the same things, their respective candidates seeking simply to stay in power. Today, in the main, Republicans stand for the private sector and limited government, Democrats for the public sector and government services. We’ll soon see which course the American people want to take.

Obamacare’s Unconstitutional—-Let’s Implement! No Wait, We’re Not Implementing—-Yes We Are!

The Washington Post reports:

For 14 months, a bipartisan group of 17 states has been quietly collaborating with the Obama administration to help build a foundation for the health-care reform law’s success.

The group includes some of the law’s staunchest supporters working alongside a handful of its bigger detractors. They are backed by $3 million in funding from eight nonprofit organizations that hope to see the Affordable Care Act succeed.

Together, they have come up with a tool to help consumers navigate the health insurance exchanges—the marketplaces that each state is required to have by 2014.

In other words, at the same time Alabama, Arizona, Colorado, and Kansas are suing to overturn Obamacare as unconstitutional, officials in those states are helping to implement the same unconstitutional law.

The Post reports, without rebuttal, several myths about the states’ role under Obamacare. It refers three times to the “tight deadlines” states face under the law. (There are no deadlines. HHS has said that if states decline to create exchanges, they can change their minds later.) It claims, “If a state does not have a framework in place by 2013, the Department of Health and Human Services will come in and do the job itself.” (That’s highly questionable. Obamacare appropriates zero funds for federal exchanges and HHS has admitted it doesn’t have the money.) It quotes Kansas insurance regulator Linda Shepphard as saying, “There is no work being done to build an exchange in Kansas at this point.” (Well, which is it? Is Kansas doing “no work,” or is it “collaborating with the Obama administration”?) I’d say certain state officials got some ‘splaining to do.

In the video below the jump, I explain to state officials why flatly refusing to create an Obamacare exchange is the best thing they can do for their states.

Romney Etch-a-Sketches His Opposition to ObamaCare with Leavitt Pick

Mitt Romney has appointed ObamaCare profiteer and former Utah governor Mike Leavitt to head his presidential transition team. Politico reports that Leavitt has “headlined health care policy discussions at $10,000 per-person Beltway fundraisers for Romney” and may become White House chief of staff if Romney wins. ObamaCare opponents should be outraged.

Leavitt has spent the last couple of years spreading dangerous (but self-enriching!) nonsense about how states would benefit by establishing ObamaCare’s health insurance “exchanges.” He seldom mentions that his “consulting” business Leavitt Partners rakes in tons of ObamaCare cash by bidding on those contracts. Perhaps this is because reporters seldom ask.

Here’s a video Cato produced about why states should flatly refuse to create ObamaCare Exchanges:

Ben Domenech blogs about Leavitt’s ObamaCare-related iniquities here and here. Domenech writes, “Thankfully, this has been a push that Leavitt has been losing.”

But don’t count Leavitt out. Politico writes:

Leavitt has said some relatively positive things about certain elements of Obama’s health reform law…

[Leavitt’s longtime chief aide, Rich] McKeown, who still works with Leavitt at his Utah-based health care consultancy [Leavitt Partners], acknowledged that the former governor does not want to undo one key part of the controversial legislation.

“We believe that the exchanges are the solution to small business insurance market and that’s gotten us sideways with some conservatives,” he said.

The exchanges are not only a matter of principle for Leavitt — they’re also a cash cow.

The size of his firm, Leavitt Partners, doubled in the year after the bill was signed as they won contracts to help states set up the exchanges funded by the legislation.

And yet someone somehow managed to say this:

“He’s 100 percent in it for Mitt, no secret agenda for himself,” said one Romneyite.

The Romney camp still says Mitt will “repeal[] Obamacare, starting Day One.” If he were serious, he would announce that he will rescind this IRS rule on day one. But the fact that Romney picked Leavitt suggests he really doesn’t mind ObamaCare that much, and that he is just saying whatever he needs to say to get what he wants. I know. Mitt Romney. Go figure. In this case, that means assuaging all the Republicans and independents who hate ObamaCare.

Romney’s appointment of Leavitt is a first step toward flip-flopping–or Etch-a-Sketching, or Romneying(TM), or whatever–on ObamaCare repeal. But it’s hard to blame Romney for thinking Republicans won’t care. These are, after all, people who picked Mitt Romney as their presidential nominee.

How to Tell When ObamaCare Takes a Beating in the Kaiser Poll: the Headline Is about Something Else

Consider these charts from the latest Kaiser Family Foundation tracking poll, released today.

Even when pollsters tell the public that ObamaCare is “reform,” the public still doesn’t like it.

ObamaCare’s slip in this month’s poll is the result of a simultaneous drop in support among both Democrats and Independents.

The people who hate ObamaCare are really, really angry. And they are not going away.

The following shares of voters believe ObamaCare will either be of no use or will be harmful to the following groups: children (47 percent), young adults (51 percent), women (50 percent), the country as a whole (55 percent), themselves and their families (68 percent).

Bear in mind, ObamaCare has always fared better in the Kaiser tracking poll than other polls.