The Risky Business of Obamacare for States

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The Risky Business of Obamacare for States Recent decisions by the Obama Administration concerning the health care exchanges and Medicaid expansion underscore what a risky proposition the Patient Protection and Affordable Care Act (PPACA) is for the states. Congress presumed in PPACA (Obamacare) that the states would agree to build and run exchanges and could be forced to expand Medicaid. The Supreme Court, however, ruled the Medicaid expansion voluntary, which has made states increasingly concerned over new burdens related to costs, control, and coverage—in both the exchanges and Medicaid. Fighting Back to Minimize the Damage of Bad Decisions Sometimes opposing bad policy—such as by declining to run exchanges or expand Medicaid— while important, is not enough. In those instances, lawmakers need to work to minimize the impact of bad policies that they are unable to fully reverse. They also need to insist on transparency, accountability, and a level playing field, so as to create public awareness of the true consequences of bad policies and build support for future reforms. Still a Risky Proposition for the States Enormous uncertainty still surrounds the health care law. With less than one year remaining before the major provisions of Obamacare take effect, it is no surprise that barely more than one-fifth of states have publically agreed to both establish a state exchange and expand their Medicaid programs. The other states would be wise to decline those risky steps and instead prepare better alternatives for health care reform. Read on to discover the negative cost, control, and coverage implications of Obamacare's policies. >> Saving Medicare: New Legislation Protects and Enhances Medicare VIDEO: The Lowdown on the New Taxes from Obamacare Challengers Win Early Victory Against Anti-Conscience Mandate Even Pets May Be Affected by Obamacare CHART: Obamacare Taxes Add More to the Fiscal Cliff   30 Million AMERICANS UNINSURED BY 2021  Despite spending billions, Obamacare will leave millions out. Learn More >>     About The Heritage Foundation Founded in 1973, The Heritage Foundation is a research and educational institute — a think tank — whose mission is to formulate and promote conservative public policies based on the principles of free enterprise, limited government, individual freedom, traditional American values, and a strong national defense. The Heritage Foundation | 214 Massachusetts Ave NE, Washington, DC 20002 | 202.546.4400 | heritage.org