The federal health care reform law commonly known as Obamacare has become such a hot potato that it’s almost comical to watch state politicians try to handle it.
The subject was brought up again last week by state Insurance Commissioner Jay Bradford, once owner of the state’s largest independent insurance company and a former state Senate colleague of Gov. Mike Beebe, who named Bradford Insurance Department chief.
Bradford announced in a news release that he had abandoned planning efforts for a state-run health benefits exchange.
“Legislative opposition to developing an Arkansas exchange has quashed the state’s efforts to meet federal requirements for implementation of its own exchange by the Jan. 1, 2014, deadline,” Bradford said. “This opposition, coupled with a lack of state authority, means that Arkansans will be served by the Federal Health Benefits Exchange with enrollment beginning October 1, 2013.”
The exchange Bradford is referring to is one of the many pieces of the Obamacare puzzle.
Independent reporting for Pine Bluff & Jefferson County since 1879.
The federal heath care reform law encourages states to run the exchanges, in part by offering states millions of dollars in grants to study how best to implement them. Bradford has been an outspoken advocate for applying for these grants but has found little support at the Capitol.
In one respect, the only person Bradford really needs to convince is his boss, Beebe. It is within his executive function to apply for these grants without legislative approval.
However, House Republicans derailed Bradford’s efforts to secure new federal grant money for planning during this year’s legislative session after temporarily blocking the Insurance Department’s appropriation over concerns about the grants.
The ever-cautious governor was unwilling to unilaterally dive into any sort of implementation of Obamacare. He told Bradford he needed to somehow to get the legislative branch on board, particularly the Republican minority.
Bradford put forth the effort but finally threw in the towel.
The spin from Democratic Party of Arkansas was swift.
“Today, Republican legislators were successful in their move to give the federal government control over the health insurance exchanges — a move that was adamantly opposed by the Arkansas state chamber, businesses and health care providers in the state,” DPA spokeswoman Candace Martin said.
Republicans had their own spin.
“If Jay Bradford and the Democratic Party of Arkansas are against federally run health care systems, they should issue a press release stating opposition to health care reform, announce their opposition to the re-election of President Obama, and ask the state to join the lawsuit to overturn the health care law,” responded House Minority Leader John Burris.
Interestingly, the reaction from Democratic state legislators has been mixed.
Some don’t understand why the state would ever turn back a federal grant. Since the expense of studying the exchange does not come from state revenues, its “free money,” declared Democratic Rep. Clark Hall, who is now running for Congress.
Other Democrats, including Senate President Pro Tem-designate Larry Teague, indicated they have no intention of supporting a state health exchange at this time.
“I wasn’t crazy about the idea to begin with,” said Rep. Nate Steel, D-Nashville. “Federal grant funds always come with strings attached. I’m not certain what those strings will be yet, but until we know more, I don’t believe we should apply for them.”
Steel said now that the U.S. Supreme Court has agreed to hear and rule on a lawsuit challenging the constitutionality of the health care reform law, “we should wait for the ruling and proceed in accordance with it.”
Steel’s suggestion seems reasonable. The high court’s care.
If the law is upheld and the exchanges become a certainty, there is little doubt that the federal government will graciously allow the state to outsource the function of running an exchange.
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Jason Tolbert is an accountant and conservative political blogger.