Sunday, December 20, 2009

Health Care Bill will raise your State Taxes

On Saturday, December 19th, 2009, the one vote that Majority Leader Sen. Reid needed to stop the filibuster was “brokered”. I use the term brokered because that seems to be the best fit. Sen. Reid was told by President Obama to deal with Sen. Ben Nelson (D – Nebraska) who was holding out because of tax payer funded abortions that were allowed in the bill. At least, that is what he was saying. However, here is the deal that Sen. Nelson was able to finagle for Nebraska.


Currently, Medicaid expenses in all 50 states are being paid partly by the State Government using State Tax, and partly funded by Federal Government. But if this bill passes, the “Senator Ben Nelson vote purchase” would make the tax payers of all other 49 states (excluding Nebraska) pay 100% for all of Nebraska’s new Medicaid recipients. The federal Government will pay 100% for all of Nebraska’s new Medicaid recipients.

… If this bill goes through, Nebraska will be the only state that gets this sweet deal of all other State’s citizens paying 100% for Nebraska’s new Medicaid recipients. The Citizens of other 49 states will not only be paying for their own Medicaid program, but will also be forced to pay for 100% of Nebraska’s new Medicaid recipients.

Here in VA, a lot of attention is being given to Senator Webb, who had, also, been one of the missing votes on cloture, due to the Medicare cuts in the bill, among other things. On Dec 15, 2009, Sen. Webb published an op-ed in The Winchester Star, here is a portion:

I voted five times against proposed cuts to Medicare due to my concerns about taking half a trillion dollars out of that system at a time when the pool for Medicare is about to expand with the retirement of those in the Baby Boom generation. I am a long-time supporter of Medicare Advantage programs which have, in my view, greatly improved services in rural areas of Virginia, and I did not want to see cuts to benefits or services. On the issue of abortion, I studied the bill closely to ensure that no taxpayer dollars will be used to fund abortions. I am convinced that this legislation strictly adheres to the requirements of the Hyde Amendment. It also includes clear conscience provisions for providers and consumers who elect to reject a plan that offers such coverage.

Let's not forget the the Louisianna "purchase"....

Democrats are ready to cut virtually any deal to get their bill passed, and some, like Louisiana's Sen. Mary Landrieu, appear willing to sell out one-sixth of the U.S. economy for a few hundred million dollars in Medicaid money.

With these Senators, you can see that Medicare and Mediaid is the common thread. Sen. Nelson’s and Sen. Landrieu, hold out and subsequent “deals” has exposed, in my opinion, the dirty little secret that no one seems to be talking about. The Health Care bill *WILL* raise your state taxes.

This is why the Speaker of the Virginia House of Delegate, Bill Howell and Lacey Putney, Chairman of the House Appropriations Committee sent a letter to Senator Webb and Senator Warner urging them to oppose the Obama-Reid health care overhaul. Here is a portion:

In order to reduce the ranks of the uninsured, the Obama-Reid plan expands Medicaid to cover an additional 15 million Americans, effectively the largest expansion of the Medicaid program since it was established. As you well know, Medicaid is funded partly by states and partly by the federal government. Despite the enhanced federal matching funds to expand Medicaid, states will still be saddled with significant cost increases to meet these new obligations beyond the next five years. While Senator Reid may tout his bill as deficit-neutral in the near term, the fine print shows that it will be the states that will be left holding the bag down the road.

A conservative estimate of the cost to expand Virginia’s Medicaid eligibility to 133 percent of the federal poverty level indicates that Virginia will need to provide $920 million more from 2017 to 2019 cumulatively. In 2019 alone, our increased costs of expanding Medicaid could be almost $470 million annually.

This is how President Obama is able buy votes for the health care bill, through Senator Reid, the administration has agreed to pick up the entire Medicare tab for Nebraska. So, why aren’t the other Senators crying foul? This is a huge concession by the administration using taxpayer money. Well, the “general public”, who vote for the Senators, doesn’t realized this fact because congress does not want you to know and it is not being reported in main stream media. However, the state law makers understand this completely and they are the ones who are going to have to take the blame for raising taxes.

Now, all of this leads me to the point I really want everyone to understand. This is an excellent example of an unintended consequence of the 17th Amendment. The reason that, originally the constitution, Article I, Section 3, had the senate elected by state legislature was to give the state government a voice in the federal government. After all, the federal government is a agent to the state, right? Do you think that if our senators were still accountable to the state legislature they would be so willing to vote for this health care bill that will saddle the state with addition financial burden?? Heck NO!!! The 17th amendment, in my humble opinion, is one of the main reasons our checks and balances have become so unbalanced.

The next question we need answer is, what deal did Senator Webb and Senator Warner work out for their vote? We'll get working on that... stay tuned.

Update: Related Article

According to The Weekly Standard: Nelson: Indian Country Abortion-Funding "Wasn't Addressed"

Related Articles:

Harry Reid’s “Senator Ben Nelson 60th Healthcare vote purchase“– The 49 state tax payer funded bribe

Senator Webb's Op-Ed in The Winchester Star

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