Obama Health Care

On August 12th, a federal appeals court panel consisting of three judges of the 11th Circuit Court of Appeals came to the conclusion that Congress went too far when lawmakers passed the individual mandate included in Obama Health Care.  Now, things are moving in the direction of the U.S. Supreme Court.
Circuit Judge Frank Hull and Chief Judge Joel Dubina wrote a 207-page opinion in which they found that residents cannot be required by law to quote “enter into contracts with private insurance companies for the purchase of an expensive product from the time they are born until the time they die.”  According to Obama health care, Americans would have to carry health insurance or be subject to tax penalties.  So far this has been the topic of many debates.
While it is clear that many Americans do not believe it is fair for the government to “force” them to buy health insurance, others feel quite the opposite is true.  White House advisor Stephanie Cutter stated that when American’s decide to go without health coverage, they are making a decision that economically affects all Americans.  In essence, those individuals who seek health care but have no insurance are having the rest of the citizens in the U.S. pick up the tab.  Over recent months it looks as though not too many states are in favor of Obama health care, as 26 states have sued to prevent the law from taking effect.
One thing that Obama health care has achieved is making the 2012 presidential campaign a contentious one; Republicans are adamant about overturning Obama health care while supporters point out that the policy originally started with former governor Mitt Romney of Massachusetts who when governor of that state considered a similar state program.  Romney is now considered a front-runner for the Republican presidential nomination.  Should Romney win, does this mean our country may be facing Romney health care instead of Obama health care?
Those in the legal industry say that they have long expected that Obama health care would eventually land in the hands of the Supreme Court.  Carl Tobias, a professor at the University of Richmond School of Law, stated that “There needs to be a pronouncement that’s nationwide.”
Obama health care is only one of many reasons that the president and Congress have been slipping in popularity over recent months.  Economic issues, Afghanistan and now a vacation in Martha’s Vineyard while the United States seems to be falling apart are not helping to improve the president’s image.
Will Obama health care eventually swim – or sink?

Mark South
Obama Health Care

Many families could potentially be left without access to subsidized health insurance, thanks to a provision in Obama health care created to prevent employers from dropping health insurance coverage for their employees. This is a big problem and major headache for both congressional Democrats and the Obama administration, due to the fact that beginning in 2014 everyone is required to be insured, and many families cannot afford to buy health insurance should employers drop coverage.
Support for Obama health care could be dramatically undercut due to this situation warn some of Obama’s closest allies.  As is already widely known, Obama health care contributed to the loss of Democrats in the House in midterm 2010 elections; many voters are adamantly against the health care law.
Jocelyn Guyer, deputy executive director at the Center for Children and Families at Georgetown University, stated that “It’s going to be a massive problem if it comes out that families have to buy really expensive employer-based coverage.”  The huge obstacle facing families is that while the Obama health care law will require that families have coverage by 2014 or face penalties, it still doesn’t mean that families will have access to affordable options.
A “firewall” in the Obama health care law is the concern right now, as this firewall means that workers whose employers provide affordable coverage will be denied subsidies.  Workers who have employer sponsored health care plans with premiums that cost less than 9.5% of their income would not be eligible for subsidies, while employees with premiums above that amount will be eligible for subsidies because the cost for employer coverage is considered unaffordable.
In the beginning, advocates for Obama health care were under the impression that the threshold applied to family coverage.  For example, a worker and his/her family would be eligible for subsidies if the worker’s premium costs were 20% of his/her income.  However, in calculating the cost of Obama health care for last year, the JCT (Joint Committee on Taxation) understood the new health care law to mean that as long as the individual plan is affordable, employees and their families will not be eligible for subsidies no matter what the price of the family plan is.

Mark South
Obama Health Care

You may or may not be in favor of Obama health care, but big changes are coming in 2014.  According to recent studies, more than half of employers that currently offer employer-sponsored insurance (ESI) will stop doing so when all of the provisions are put in place in 2014.  Many employers stated that even if they were to give employees compensation or benefits that equaled the cost of coverage, they would still come out ahead economically.
From the beginning, Obama health care has been met with mixed emotions. When employers cease to offer coverage to employees in 2014, those employees will be required to obtain their own health insurance coverage or face fines with the exception of those at the poverty level.  These fines could over time amount to as much as 2% of the employee’s income.
While it seems that those who are at the lowest income levels usually suffer most, Obama health care is no different.  The survey conducted by McKinsey recently suggests that many employers will find a middle ground that lies somewhere between keeping employee coverage the way it currently is and completely dropping health coverage for employees.  The end result will likely be based on companies increasing their bottom line while workers who make minimum wage suffer.
There are several creative options for businesses when it comes to employee health care under the Obama health care plan.  Businesses may restructure in to two companies, one consisting of low-wage employees without coverage, and one made up of corporate executives and management receiving employer-sponsored insurance.  Another scenario is to set the percentage of the insurance premium for low-wage workers that are to be paid by these workers above 9.5% of household income.  Under Obama health care, this is considered “affordable”.  Lower wage employees would have the option to opt-out of coverage and then receive subsidies to buy health coverage from any provider they choose.
Another option for businesses is to reduce the benefits offered to employees while increasing the premium that employees pay; some companies have already implemented this strategy.  While the survey revealed that about 85% of employees would stay with their employers should they lose their employer-sponsored insurance, it really isn’t that surprising considering the tough economic times we are facing and the lack of jobs.
While hourly wages continue to shrink, the number of unemployed workers in the United States continues to climb.  Is Obama health care beneficial or detrimental to citizens in this country?

Mark South
Obama Health Care

It’s no wonder that in recent weeks, more and more people have become totally confused when it comes to Obama health care.  Today, recent polls have revealed that when it comes to Obama health care, about half of Americans are not sure whether the health care reform law has been repealed or is still active.

Headlines in the news recently are responsible for most of the confusion.  In the past month, several judges have struck down Obama health care while others have upheld it.  Republicans voted successfully to repeal the law in the House recently, but this repeal failed when it reached the senate.  Also recently the House Republicans defunded a portion of the law in their continuing efforts to repeal Obama health care, but this hasn’t yet been addressed by the Senate.

According to Drew Altman, president and CEO of the Kaiser Family Foundation, most of the confusion as to whether Obama health care is in or out is due to media headlines, busy lives and in some instances, hope or “wishful thinking” that the health care reform law has been repealed.  Ironically, it’s Republicans that tend to think that the law has been repealed.  In a recent poll, 30% of Republicans polled thought Obama health care had been repealed while only 12% of Democrats had this belief.

Recent polls indicate that support and opposition to the health care reform law has stayed about the same in all age groups with the exception of seniors, who are now more in favor than ever before of repealing Obama health care.  In fact, 59% of those seniors who participated in the poll have an unfavorable view of the law, which is a record high since the health care bill passed.

Overall, opinions about health care reform aren’t too far apart. .  Amidst all of the confusion about whether the health care law is still in effect or not, it seems that Americans don’t really know what steps they would like to see taken next.  About 30% want the law expanded while 40% want it repealed and replaced.  20% of those polled are happy with Obama health care and want it left as is.

Kaiser Health News also reported that part of the reason it seems so many people are confused about health care reform and what is going on is because they are paying more attention to others areas in the political arena including the federal deficit and the economy.  While it may seem that Obama health care has fallen out of the limelight in recent weeks, it’s a fairly sure bet that we will hear more in coming months.

Mark South
Obama Health Care

Recently in his State of the Union address, President Obama let it be known that while he was open to changes in Obama health care, he is not willing to refight the entire battle over again to get it passed.

Republicans want to replace or repeal Obama health care, along with a good portion of U.S. citizens.  According to the president, a huge chunk of the budget deficit problem in the United States is related to government run Medicare and Medicaid insurance programs, and the changes made with the health care laws will help rein in the price of these programs.

The president attended a meeting of Families USA recently in which he told the group that Medicare and Medicaid are the biggest contributors to the long-term deficit.  He holds the opinion that health reform is part of the bigger picture of reducing the huge deficit in this country.  Obama health care will help to slow the costs of government-run insurance programs according to the president.

Republicans voted this month to repeal Obama health care, but the effort won’t likely go far.  After winning the majority of seats in the U.S.  House of Representatives last fall, Republicans staunchly vowed to overthrow health care reform; however, the Senate is still controlled by the Democrats and they will not support the repeal of Obama health care.

The president defended his health care reform law in the State of the Union address, reiterating how new requirements will make it possible for patients who are sick to have the health care they need, since insurance companies can not deny coverage.

While Republicans continue to fight Obama health care, it looks like they will be in for a tough battle – and one the president refuses to get involved in.  While he will consider positive changes to health care reform, he will not repeat the two year battle.  Meanwhile, Republicans vow to replace Obama health care over time in order to bring down skyrocketing costs by implementing some of their own measures.

Mark South
Obama Health Care

Recently, an Associated Press-GfK poll found that raw feelings over Obama health care have begun to diminish.  Currently, strong opposition to the health care laws stands at 30%, which is far lower than the percentage of those who were adamantly opposed to Obama health care in September of 2009.

The new law expands coverage to more than 30 million uninsured Americans, and would require that the majority of people in the U.S. carry health insurance.  This would be the first time in the nations history that citizens are required to purchase health insurance coverage.  Many people were outraged in the beginning about Obama health care, and strongly opposed to health care reform.  Now it seems that the intensity and strength of the opposition has lessened substantially.

According to the latest Associated press-GfK polls, 40% of those who participated said they are in support of Obama health care, while 41% are against it.  Just two short months ago, 47% of people stood against health care reform and 38% were in support of the new laws.

As for repealing Obama health care, only about 25% now say they would like to do away with the law completely.  Right after the November elections in 2010, 61% of Republicans supported repeal of the law; now, the number of Republicans who believe Obama health care should be repealed has dropped to 49%.  In addition, 43% of Republicans want the law changed so that it is more effective for re-engineering the health care system.

Obama health care was put on the back burner last week following the shooting rampage in Tucson, Arizona that left several people dead and Rep. Gabrielle Giffords, D-Ariz., hospitalized in critical condition after a bullet seared through her brain.

A debate and expected vote is planned to take place on Wednesday, January 19th, and House Republican leaders say that hope to keep the debate on Obama health care from turning in to a shouting match.  Opposition to the health care law still remains strongest among Republicans at 71%, while only 19% of Democrats are shown to be against health care reform.  35% of independents favor repeal of the health care law.

While Obama health care is still a hot topic of debate, it appears that many people have changed their opinions and are not as staunchly against health care reform as they were over the past 15 months.

Mark South
Obama Health Care

Freedom is something that has, up until recently, been enjoyed by Americans for as long as we can remember.  Now, a 2014 provision of Obama health care in which most Americans must obtain insurance seems to be in direct opposition of the Commerce Clause of the Constitution.  Citizens have never been forced to buy a commercial product; they have had the choice of whether to buy or not to buy.  If this provision does take place, it seems in some way that our rights and freedom have been lessened.

Obama health care has face many challenges since it was signed in to law, but this seems to be the biggest so far.  A lawsuit brought by attorneys general and governors from 20 states is the most prominent of many court challenges sweeping Obama health care presently.

One deputy assistant attorney general is defending the law, stating that the health care market was unique due to the unpredictability of getting sick or facing potential bankruptcy.  Ian H. Ghershengorn told Judge Roger Vinson of Federal District Court in Pensacola, Florida that consequences to the economy of not having insurance coverage, which includes the shifting of costs to others, justify that this provision should be regulated by Congress.

Lawyers representing the state officials present argued that the insurance requirement under Obama health care was unconstitutional because for the first time citizens would be required to purchase a commercial product.  David B. Rivkin Jr., representative for the state officials, said that this provision of the Obama health care law would leave more constitutional devastation behind it than any statute in our nation’s history.

Governors fear that the 10 percent that states will pay eventually to support the provision will burden their already strained budgets.  The 2014 provision of required health coverage under Obama health care will initially be paid for by the federal government if it does indeed go through.

According to the 2014 provision, most Americans will either buy health insurance or pay a penalty.  This penalty will supposedly be phased in, beginning at $95 or 1 percent of annual income in 2014, whichever is higher.  By the year 2016, families will pay $695 or 2.5 percent of annual income, but will pay no more than $2,085.  Those with a financial hardship or religious beliefs against medical care may avoid the Obama health care requirement.

Obama health care is a hot topic for debate; some are for it, many against.  Only time will tell how it all plays out, and whether Americans will be required to buy a product that many cannot afford and do not want.

Mark South
Obama Health Care

On Thursday, December 2nd, President Obama met with recently elected governors to take a stance on Obama health care.  Many of the new governors are from the GOP, but the President did not waiver in the face of criticism over his signature health care bill.  The talks centered primarily around Obama health care, and the seemingly expanding reach of the federal government.

Challenged by Gov.-elect Nikki Haley (R) of South Carolina, the President denied her request to repeal the health care bill in the state.  Haley told the President that small businesses and individuals in South Carolina could not afford Obama health care, but the President held fast to his position.  He stated that under certain circumstances, he would consider letting states opt out of the mandates.  These circumstances include running exchange programs and banning insurance companies from denying coverage for those with pre-existing conditions.

While Haley and the President did not agree on Obama health care, Haley did state that she appreciated the President’s openness and attention to concerns, and that she is dedicated to protecting the citizens of South Carolina.

Gov.-elect Mary Fallin of Oklahoma also challenged Obama health care according to reporters, who was told that “I’m President, and I’ve got another two years to go”.  White House aides said the exchange between the President and Fallin was not contentious, but the President was firm in the fact that he still stands by the health care bill passed in March.

Even though the President was facing many Republicans who were elected in November because many voters were against Obama health care and the ever expanding reach of the federal government, Obama told the group that states could only go so far in their attempt to push the federal government out of the way.

Amidst a group that consisted of 19 newly elected Republican governors and 4 Democrats, the President also discussed how to curb spending at a time of budget shortfalls.  He told the group that he was interested in hearing from them about programs that were working well, or those not working so well.  President Obama stated, “Contrary to the mythology, believe it or not, it turns out that I would love to eliminate programs that don’t work”.

When it comes to Obama health care, the President is unflinching in his support of the new law.  It seems that this is the one topic that is not up for debate.  Some individuals even believe that the GOP’s hatred is not for the health care law as much as it is for the President himself.  This goes back to Obama health care being the exact same program that the GOP proposed a few years ago, so why is the party suddenly against it?

Mark South
Obama Health Care

Many people are curious as to whether Obama health care played a significant role in the mid-term elections, leading to a House Republican majority.  Not only are strategists wondering about this, it is a point of contention within the Democratic Party, many of whom believe Obama health care is the reason that Republicans won the House and now have six more seats in the Senate.

Two surveys conducted recently seem to point to the fact that voters were trying to send a message opposing Obama health care. One of the surveys conducted on election day demonstrated that 45%of those polled cast their vote for Republican candidates due to their dislike of the new health care laws.  According to Bill McInturff, who studied the results of the surveys, 28 percent of voters supported Obama health care and 27% were neutral in this area.

While McInturff, who handled polling in the 2008 presidential contest for Senator John McCain, believes that voters showed their strong opposition to Obama health care in their mid-term election votes, Brad Woodhouse, communications director of the Democratic National Committee has a different opinion.  Woodhouse believes that Obama health care was a neutral factor, and that the economy was the biggest factor in voting.  Woodhouse also made the point that Senators Blanche Lincoln (Ark.) and Russell Feingold (Wis.) were the only two Democratic senators seeking reelection who lost of those Democratic senators who had voted in favor of Obama health care.

It also appears that ads broadcast on television may have swayed some of the voters involved in the survey according to McInturff.  According to the polls, 70% of voters in the districts surveyed admitted to having seen television ads regarding Obama health care; of this 70%, the majority remembered that the ads they had seen were in opposition of the health care law.

While strategists disagree on the number one reason that Republicans swept the house following the mid-term elections, it is agreed that Obama health care was a factor, whether the primary factor or not.  When it comes time for 2012 presidential elections, it is a sure bet that Obama health care will be a topic front and center in the GOP nominee’s argument against President Obama.  It may not be clear whether economic issues or health care reform was the real determining factor in the results of the  mid-term election, but one thing is for certain – Obama health care is a topic we will be hearing about for some time to come.

Mark South
Obama Health Care

With Republicans now in control of the House, it’s a sure bet that Obama health care will face new scrutiny.  As Republicans vow to repeal the new health law, it won’t likely prove to be an easy feat; in fact, it will probably be all but impossible to carry out their campaign promises since the President himself is the one in control of the veto pen.

In January, the new GOP majority will be large – but the Senate is still controlled by Democrats, who lean heavily in favor of Obama health care.  Combine that with the fact that the GOP is still too small to override a veto by the President, and things don’t look favorable for repealing Obama health care.

According to Michael Cannon, director of health policy studies for the libertarian Cato Institute, says House Republicans may still have a few effective weapons in their arsenal.  Cannon predicts that now that Republicans rule the House, Obama health care will become even less popular than it has been for the last year and a half, as they do everything possible to cripple or throw a wrench in the new laws.

Oversight hearings could either help or hinder Obama health care according to Cannon.  In his opinion, Republicans could actually help nail down public opinion against the health care laws by keeping bad news in the media, via hearings that would keep Obama administration health officials busy at Capitol Hill trying to actually implement the law.

On the other hand, Cannon says that numerous hearings could also give the Obama administration the opportunity to make its case, one that was often misunderstood or unheard by many during the election campaign.  Obama health care is not clearly understood by a large percentage of Americans, which is one reason it is so unpopular.

Following the recent elections, the President indicated that he may be open to a few change in Obama health care, even suggesting the repeal of increasing the number of 1099 forms that are required to be filed with the IRS by small businesses, a provision that was unpopular with small business owners.  From the looks of things, it’s a good bet that Obama health care will still be in the news for the foreseeable future.

Mark South
Obama Health Care