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Memo Pad

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Why Do GOP Governors Want A Federal Takeover Of Their Health Care Exchanges?

November 16th, 2012 5:52 pm @LOLGOP

It doesn’t make any sense. Republican governors who despise federal government overreach are refusing to set up their own state health care exchanges, which means the federal government will come in to set up their exchange.

Do they hate Obamacare so much that they’re sitting on their hands and holding their breath till it goes away? Maybe. But there is some strategy behind it.

Many governors were waiting for the outcome of the election in hopes that Mitt Romney would win and grant them a waiver from the law. Now that that dream is over, the Republican governor of Mississippi has opted to create his own exchange and Florida’s governor Rick Scott is negotiating with the federal government about his state’s Obamacare implementation.

But Republican governors Scott Walker of Wisconsin and John Kasich of Ohio are two of  the more than a dozen states who are forcing the feds to come in and do their job. And Tea Party activists are still pressuring Republican governors to not set up the exchanges, threatening primary challenges to those who do.

The first strategic motivation could be to simply overwhelm the federal government with so much work that it can’t properly implement the exchanges in their states. The Department of Health and Human Services already extended the deadline for governors to decide if they want to set up their own exchanges from mid-November to mid-December.

But the second motivation is more typical of the paranoid style that’s come to drive the Republican Party. They believe they can get out of the law if they wait and let the federal government set up the exchange due to a lawsuit filed by Oklahoma’s attorney general that suggests that the premium supports that make up the law would only be available in the state exchanges. If the case wins, the federally set up exchanges would crumble.

“No one would go to those exchanges. The whole structure created by the health care reform law starts to fall apart,” said Gretchen Young, senior vice president-health policy at the ERISA Industry Committee in Washington.

Does this fantasy have any merit after the contentious battle that saw Bush-appointed Chief Justice John Roberts uphold the law while passing the issue of Medicare expansion down to the states? Maybe. But unlike the original case, Republicans attorneys general from around the nation haven’t joined the suit.

Thus we get to the third motivation, Republicans—especially those with national ambitions–are just trying to keep the smell of Obamacare off them, knowing it would be lethal to them in a primary.

The right is so anti-Obamacare, they’re even willing to necessitate a slight version of the one thing they say they oppose most: a federal government takeover of health care.



  • http://www.facebook.com/people/Daniel-Jones/827014412 Daniel Jones

    They also intend to whip up lies and panic, so they want to honestly say it was forced on their states.

    The fact the option to set up their own exchanges has been there for years is insignificant to these lords of denial.

  • nobsartist

    Their plan is going to backfire. Obama will have Medicare for all and that will be the end of the health insurance industry.

    • http://pulse.yahoo.com/_B6RROC4IUESHT322QS5VJVPYRM Lynda

      There is a very strong possibility that you are correct. Single payer will be a much easier sell if a large percentage of the states already have government run exchanges and those states pass along responsibility to the FED. I can’t help but think those GOP leaders in the various statehouses have thought of about it, but perhaps not as much as they should. Once people begin to like, or love, a program it is always difficult to change or repeal. The big three are popular no matter which side of politics those who benefit come from. They should be taking that reason.

    • http://pulse.yahoo.com/_7DKWSXHQIDBW5PUAPZ2HZAYYUY Baron Cormac

      To quote an old rabbi I knew, “From your lips to God’s ears.” Considering the “Health Insurance Industry” has been built around denying claims and treatments, while maximizing profits for shareholders, it wouldn’t bother me a bit.
      What we need are insurers set up as mutual assurance companies once again, instead of these huge conglomerates in bed with the pharmaceutical industry and tort lawyers.

    • sigrid28

      I’d like to think at least some of the smartest and most well meaning Democrats had thought of this long ago. If I lived in a state with the federal government in charge of exchanges instead of those ideologically opposed to them, I would be so relieved for myself, my family, and my friends–and for those families caring for an individual who is disabled.

      I live in Iowa where mean-spirited Republicans are constantly at work above board and under the table doing all they can to destroy IowaCare, a health insurance program that provides services for those who cannot afford insurance who are between the ages of 19 and 65. The state is taking a survey now, looking for things to remove from the system based on the results of this survey, I am sure–because it would not be their style to try to make improvements.

      Let’s complain vociferously and cry very loudly about Republican governors turning insurance exchanges over to the federal government (so more do it). Republicans will be delighted to make Democrats very unhappy. If President Obama’s team runs Obamacare even half as well as it did the campaign to re-elect the president, we will not be disappointed in the long run and neither will our descendants.

      • CYNICALZ

        DUH………………………………………………………….

  • http://pulse.yahoo.com/_B6RROC4IUESHT322QS5VJVPYRM Lynda

    One must assume that all of that personal responsibility rhetoric and belief in small government was just so much hot air. Or maybe they are just among the lazy and taker crowd. Of course we understand that they are still just playing politics. All Walker or the rest would have to do is go to the various websites from the 18 states that have already set up exchanges. There are several others that have already chosen to partner with the FED’s, so that option is certainly out there for the foot dragging governors. The losers in the deal are the citizens unfortunately living in the states being directed by those living in their statehouses. It is time for the citizens to stand up and protest the lack of leadership and direction from the Walker’s of the country. Walker will be just fine with the support of the Koch’s, for as usual it will be citizens who ultimately pay the price.

    • nobsartist

      We need an “Emergency Financial Manager” Law that will allow the President to FIRE any governor who is not able to implement the Health Care law.

    • http://www.facebook.com/cookie.pacheco Cookie Pacheco

      Republicans are, still, showing how childish they are. They would rather let the citizens in their state suffer than do something that will help those who are in need of health care. Such children.

      • irishtap

        It’s one thing to be childish; quite another to be evil.

  • fargo7289

    wait — they’re forcing the feds to set up the exchanges but they want to sue claiming the feds don’t have the right to do it? what a bunch of clowns… only in America….

    • TZToronto

      They are wrapping their objection to universal healthcare in a state’s rights blanket. The real issue is that private insurers don’t want more federal interference in their highly profitable business. As a result these obstructionist governors are willing to throw their people under the healthcare bus for the sake of . . . what? What is their objection to a healthy citizenry? Are they so politically warped that they would deny people in need the chance to have an annual visit to a doctor and relief from bankruptcy in the case of catastrophic illness–or a broken arm? Those public officials who object to healthcare for all should be removed from office, and those selfish citizens who object to allowing their neighbors to have access to care should be, simply put, ashamed of themselves. A healthy populace pays for itself in the long run. Walker, you’re an insult to everyone. First you take away the right to a fair wage and then you deny people medical care. You’re a piece of work, you are.

  • http://profile.yahoo.com/CSMRECRUUD6TZ76VX5ZNQOWQPQ Michael

    It is their latest legal gambit to overturn Obamacare. By refusing to establish an exchange, they force the Federal government to do it. Then the GOP sues, charging 10th violation and hopes the SCOTUS will agree with them. It is just another way to try and eliminate the law.

  • docb

    They do not get that they are once again belying their stated principles…Big Government no..but we will give you control and create BIGGER gov’t on the idea that it serves to discriminate against people who need it! Thinking that they keep their hands clean!

  • http://www.facebook.com/clarence.swinney Clarence Swinney

    We need a redistribution of wealth and income to middle class
    Affordable homes health care education
    Get $$$$ out of government  Here is how

    A. Fed Fund Election—6 months—3 primary 3 general—free equal tv time—a debate week=12=adequate to evaluate candidates—No $ used—Outside limited to little
    B. No need to campaign —BAN–all govt employees from accepting anything with a financial value
    Progressive Flat Tax by group—14,000B Income is plenty to pay our way and pay down debt —huge Estate Tax —problem is 50% get 87% —change tax code—there are 1300B in exemptions That is why GE paid no tax in 4 of 10 years
    Simple—The people will love it

    • sigrid28

      If you could only be tolerant of what other individuals do in their hearts (at home and at church/temple/mosque/synagogue), you could still feel as you do yourself about gay marriage, but as for others say, live and let live. Then you could come out of the political closet you are stuck in and show your true colors as a Democrat with many good ideas.

  • elw

    It is all a game the Right is hoping to make Obamacare go away. It will not work. Putting off doing what they should will only hurt the elected Conservatives that are pushing resistence. Once the exchanges are setup in other States and people start feeling the benefits, word will spread and so will demand by people in those States without it. It has happen before with other programs and will happen with Obamacare. Most of us have friends and/or family in other States, most of us have access to information on the Internets – you cannot stop progress only slow it down.

  • http://www.facebook.com/clarence.swinney Clarence Swinney

    IT IS A SHAME THAT OUR SENATOR WAS A FRESHMAN AND HAD 1.3M IN HIS CAMPAIGN PIGGY BANK ONLY A FEW MONTHS AFTER BEING ELECTED

    Max Baucus—Chair Senate Finance Comm—70% poll for Public option–
    Bill hit his comm— first act—removed public option for debate
    shocked me—I trusted him. Zap. Report=he had $1,900,00 in his campaign kitty from health care industry..

    The millions spent by thousands of Lobbyists expect favors. Buy them.

    We need a Washington revolution and kick all out

    Obama lost me with Gay Marriage. Totally disgusted. I am in a position I trust no one in Washington. I know few are very good but $$$$$$$$$$$$$$$$$$ BUYS ANYONE

    $$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$ OUT OF GOVERNMENT—— QUICK

    NYT had superb article on Wall Street employees going into many many many government jobs in Congress and White House

    They left for a much lower paying job.
    Conclusion—Wall Street biggies are placing them in positions to make decisions for Wall Street.
    Pay under table or? Many have done this. Worked in Wash for few years then back to Wall street into a higher paying job

    This is sad sad. RULES MUST CHANGE

    NO $$$$$$$$$$$$$$$$$$$$$$$$ IN WASHINGTON

    NYT had article on Interconnectivity between Board Of Directors in WSA firms
    You vote for my pay+pension I vote for yours
    sickening

    5 big banks own 50% of deposits in 7000 banks and 10 own 80%

    Restate Glass Steagall—separate Casinos from local banks

    County Banking Systems—local wealth kept local to create more local wealth and jobs
    WASHINGTON SOLUTIONS (Congress + White House)
    Requires overturning Corp is a person
    1. fed fund election—6 mos-3 primary 3 general—free equal tv time—debate a week=12=adequate to evaluate candidates NO $$ =O
    2. Since they will not need campaign funds Ban them from receiving anything of a financial value this closes K St.
    3. Progressive Flat Tax by group—We have the income to pay our way-do it
    We rank #2 as lowest taxed in OECD nations. We have an income of $14,00 billion yet tax 2400 and borrow 1300. Dumb?
    clarence swinney Lifeaholics of America Political Historian for 21 years

  • http://www.facebook.com/profile.php?id=100003696188428 Fred Smith

    So stupid it’s almost diabolically so. It’s like genius in reverse.

    • Mimi2kool

      Would “genius in reverse” be the same as idiocy?

      • WhutHeSaid

        Nah. Idiocy implies a lack of intelligence. ‘Genius in Reverse’ or ‘Unsmart’ (as I like to say) implies an actual loss in the intelligence baseline.

  • http://www.facebook.com/profile.php?id=703916795 Michael Patrick O’Riley

    Remember these A$$es 2014 and vote them out!!

  • Mimi2kool

    So much for bipartisan cooperation. The GOP and Tea Party members are obstructionists who cannot accept defeat at the ballot box. Governor LePage of Maine is another governor unwilling to be part of the solution. They would rather have someone or something to blame or criticize than contribute to the greater good. They make me sick!

  • http://www.facebook.com/profile.php?id=722603934 Doug Patterson

    Personally I’m glad that Texas will not be running the exchange here. They would have made it so bad to use, it would be useless. Ricky Bobby Perry would siphon off money from the program and use it to balance the state budget, like he has done with stimulus money and education funding.

  • Budjob

    This is great news folks,single payer is on its way!!!

  • TZToronto

    They may think that the Tenth Amendment will nullify the provisions of ACA, but the Fourteenth Amendment will support it. ” . . . No State shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any State deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws.”

  • http://www.facebook.com/dominick.vila.1 Dominick Vila

    Why? Because doing that would help them offset the consequences of failed GOP fiscal policies at state level. Many states budgets are being affected by the effects of irresponsible tax cuts, without corresponding reductions in spending. Governors understand that while people clamor for lower taxes, they don’t want the government programs they benefit from curtailed. In other words, we wants smaller government as long as the cuts only affect someone else.

  • http://pulse.yahoo.com/_Y5Z57KWGSZEKDLYGZAG7AYJST4 whataguy100

    Just the kind of brainless comment I’ve come to expect from the obama haters.

  • http://www.facebook.com/people/Nanci-Birkholz/649739787 Nanci Birkholz

    Once again the Republicans are doing what they do best…NOTHING ! They have an opportunity to help their state by working with the law and instead they pout, whine and act like spoiled babies. I have no idea why some people vote for these do-nothings.

  • http://profile.yahoo.com/JMT6C3LHLJDD4RX4NB4KY5ICAE gargray

    They the governors don’t care about anyone but themselves, and thier rich friends.

  • TheOldNorthChurch

    With the majority of Americans still not in favor of the Obama Care law (Kaiser Healthcare Poll), their plan will not lose them any support. The Federal government will not be in a position to create either do to financial difficulties. Medicaid has already lost out on its expansion do to the recent court ruling and Medicare simply could not handle the increased burden.

    Stalemate.

    • http://profile.yahoo.com/UHE4MJP5FHMFIEAOGEQHETUGDQ Rvn_sgt6768

      I think the Nov. 6th exit polls telling a much different story carry more weight. The rest of the world laughs as us (US) as the largest and wealthiest nation and the only one with no healthcare. What a travesty that has been fostered on the public by the political realm for far too long. Like the election you thought you were going to win this is also a fight you will lose. I have been unable to purchase my own insurance since 1974 due to an illness I share with 1 million other Americans. Work provided is the only way I had insurance and when I was replaced by a machine in 2005 short of retirement age I was unable to keep my cobra benefits due to cost. When I retired in 2009 and am now eligible for Medicare I am able to see how much this is an very effective system. I recently had a heart attack which would have forced me, like so many others are forced into, bankruptcy. Medicare has paid the majority of my bills leaving me with the rest that is a manageable amount. I am getting the money back I paid in to medicare all these years I worked just as in the Social Security I receive. Makes me very thankful for both programs and I realize how hard it would have been to rely on private industry to provide that level of comfort. The only part that still is out of control is the Part D. drug costs that is exorbitant for me or any senior for the medicines I have to take on a daily basis. One alone went up $22.00 in a single month.

      • TheOldNorthChurch

        Actually every major poll continues to show that American’s do not want the Federal Government managing our Health Care.

        Americans have always had access to healthcare, just not government controlled.

        I also did not have employer paid health Care and choose to pick a major medical plan so that if something big happened it would not bankrupt my family. The cost is still only 599.00 per month for both my wife and I (Age 60). So there is very little reason to not have had coverage. Those in poverty have always been covered by Medicaid.

        The issue is not dead yet and the States that are choosing to not setup exchanges may have found the way to combat this.

        • Justin Napolitano

          Old, you are full of crap and luckily Obamacare takes care of that condition and there is no deductible. Please do us a favor and get it treated as soon as possible.

    • Justin Napolitano

      You are smoking pot and it is affecting your brain. The Federal Government can and will set up the exchanges and have no problem doing it in record time. Old, I think you are indeed old and delusional. The fight is over, Obamacare is the law so get over it and move on.

      • TheOldNorthChurch

        The people will take control of the Obamacare issue. In 2014, the exchanges will be set up by the Federal Government but they can not afford them. Sequestration will take $500 billion out of General Programs and $500 billion out of Defense. This is a good thing because it is the only way to get the Federal Government to cut back anything.

        In 2014 20% of Middle Class Americans will cancel their Health Insurance. It will only cost you about $200 a year in a fine. If you get really sick where you would have needed insurance you can get it as no one with a pre existing condition can be denied.

        The American people will take charge now and defeat this bill on their own.

        Even if Tax Rates go up Revenues will go down. The recent actions in the Stock Market are as a result of people taking capital gains. The drop in value is occurring even as QE3 is taking place. If QE was not happening you would have seen another 10% drop.

        Politicians of both parties have to change. There must be recognition that the implementation of an economic framework that grows a stagnant economy stimulates growth and begins the process of reforming entitlements and reducing spending is a necessity. It is what the American people are now demanding and there is little time to waste.

  • http://profile.yahoo.com/UHE4MJP5FHMFIEAOGEQHETUGDQ Rvn_sgt6768

    Single Payer here we come. Good for us (US).

  • http://profile.yahoo.com/V4KX4CRAFIHV3PSQ65ESNH5BUI Marty

    Terrific. The federal law does allow for public options in state exchanges even if it was taken out as a requirement. That means that all the states refusing to set up exchanges could wind up with HHS designed exchanges for those states WITH A PUBLIC OPTION, and thereby provide a great test to whether business will flock to the public option policies since they are not-for-profit and likely to be more affordable. This is particularly good due to the large number of states which could have a “public option”, which makes it a much better test of the concept.

  • howa4x

    This is the most cynical pretense of the republican party, holding people who need medical care in their states hostage to some political calculation. Let’s think back to why the act was passed. Between 32, and after the 08 meltdown the number jumped to 40 million Americans that lacked access to care, of which according to a Harvard study produced 50 thousand deaths/yr. The ins co’s were dropping people for pre existing conditions sometimes after their surgery, and and it was the primary cause of most personal bankruptcies, and also denying coverage to milllions of others. Kids were dropped immediately after college. This was the state of health in America that the republicans handed to Obama. 3000 died on 9/11/2001, and it was a national tragedy but 50,ooo, hey they were loosers anyway according to the republican party. So all Obama did was allow congress to take a republican idea tried in Massachuttes and bring it nationally. That was the individual mandate which is personal responsibility for health care. Very republican, no freeloaders. So what’s the problem? The heritage foundation, no liberal think tank, thought it up. It’s not socialism, but capitalism since you have to buy insurance. Now we have republican governors doing everything they can to stop a republican idea. Sometimes you can’t make this stuff up! Also interesting is the fact that the CDC just came out with a national diabetes report and you guessed it, red states lead in incidence of the disease. We know that diabetes leads to heart disease so the red states are going to have a lot of sick people. Now if Obama care was struck down like they wanted, all these people would have been denied coverage and become a state problem. Sometimes be careful what you wish for. So all these red state governors don’t realize that the longer it takes for the feds to set up exchanges in their states, the sicker their populations are going to be and in need of more and more care. Those without insurance will be a state problem. What really puts the icing on the cake is, these are the same states that fought the medicaid expansion and said they don’t want it. Some may call this completely illogical, and foolhardy but I call it gross negligence at its worst.

  • irishtap

    I live in Wisconsin, and people should understand that Walker is the Karl Rove of U.S. governors. He’s a wiley, corrupt, nefarious insect…and I should apologise to all that reside within the entomological sphere, as Scotty is in a class by himself. Like all within the Tea Party truth/facts/logic, get in the way of fantasy : ‘if we just believe (pray) hard enough everything will return to what it was like during the gilded age’. What has been so exhasperating to me, is republicans refusal to acknowledge our profound societal failure where people have been judged by corporations as to their health insurance worthiness! Some actuary, whom is aware of your existence only from your symptoms may decide how long you live?! What is more vulgar or dehumanizing than this remarkable level of private sector decadence that we faithfully, unquestioningly aligned with, like victims of Stockholm syndrome.
    Health insurance companies invented the death panel and have used it to perfection for generations; it’s time this brand of private sector mass killings and corporate inflicted needless suffering is eradicated from each of the United States once and for all!

  • ralphkr

    The Republican Marx Brothers/Abbot & Costello act with ObamaCare reminds me of the end of the Cold War when Russia could not afford to bring their troops home from East Germany and was forcing East Germany to pay for the Russian soldiers’ keep. East Germany could not afford the bill so West Germany gave East Germany the money. In turn we were paying West Germany for them allowing us to have our troops in West Germany to protect West Germany from the Russian troops and West Germany was passing on the money to East Germany to pay for the Russian troops. Go around that circle a few times and then someone tell me who is on first.

  • http://www.facebook.com/profile.php?id=100000189794191 Douglas Johnson

    Why don’t you just succeed? It’s pretty much the same states as last time.

  • http://profile.yahoo.com/6HGP3ORAWNARMRKG52TK2OIJZQ BLINDED BY THE LIGHT

    “Republican strategist” is an oxymoron in light of recent evidence. It is head scratching weird how their hatred of common people blinds them to reality. For a group that claims the Constitution as its’ Holy Grail, they are preposterously anti “for the people”. Their copy must read “for the right people.” Even weirder is how they convince people that they obviously despise to vote against their own interests. Anyway it is sinfully fun to watch them try to morph into Democrats. Nobody will buy it and who needs it any way? We already have a Democratic Party. Talk about wolves in sheeps clothing. They have blown both of their feet off and are now going for the kneecaps. Self mutilation is an ugly thing but there you go ain’t it?

  • http://www.facebook.com/profile.php?id=100000771866293 Sean Evans

    And thus is born a single payer system….eat that obstructionists!

  • lmallak99

    Wanna hear some really CRAZY Sh!t? Nine members of our State Legislature – Wisconsin, have actually said that if/when the federal government comes to set-up the Exchanges, they’re going to have them arrested. Yes, you read that correctly – arrested. Talk about spoiled sports!