Bad process, bad bill
March 21, 2010
Glenn Hamer
Today presents one of those rare moments when politics and a big sporting event will be competing for viewers' attention. Make no mistake: today's health care vote in the U.S. House will offer as much drama as the NCAA basketball tournament.
The uncertainty surrounding the outcome over today's games can only be matched by the uncertainty over the bill's ultimate impact on business, consumers and the U.S. economy.
The American people were told before this debate began that negotiations between the White House, Congress and vested interest groups would be out in the open and that we could watch them on C-Span or follow them online.
Instead of transparency, however, we got back room deals like the Cornhusker Kickback and the Louisiana Purchase, special deals to buy off certain senators while the American taxpayer foots the bill.
Uncertainty is a jobs killer. Companies hold off on hiring when they're awaiting the impact of a new federal mandate or when they're saddled with new taxes. At a time when the U.S. economy is barely treading water, this health care bill could send us in to a devastating double-dip recession.
Not one national general business organization is supporting the bill. Not the U.S. Chamber of Commerce. Not the National Federation of Independent Business. Not the National Association of Manufacturers, for which the Arizona Chamber, through the Arizona Manufacturers Association, serves as a state affiliate.
Major heavy equipment manufacturer Caterpillar, Inc. says the bill will cost them $100 million.
It's not just employers that are opposing the bill. Governors of both parties who have watched their state budgets get stretched to the limit as they try to keep pace with expanding Medicaid rolls have also come out against the bill.
"The reason for my position is simple: we cannot afford it," Arizona Gov. Jan Brewer wrote in her March 11 letter to President Obama.
While states like Arizona are struggling to cover those who are already on Medicaid, the health care bill awaiting passage will greatly expand Medicaid, with nationwide enrollment estimated to spike by 15 million over 10 years.
And on March 18, over 130 economists sent a letter to the president opposing the bill. "In our view the health care bill contains a number of provisions that will eliminate jobs, reduce hours and wages, and limit future job creation," they wrote.
This is not to say that the status quo is acceptable. But there are other things the federal government can do to make a real impact in the area of health care without the estimated $1 trillion price tag over 10 years that the White House is backing.
First, stop the fiscal hemorrhaging in the states. As a bipartisan group of governors wrote to congressional leadership last month, federal assistance is critical to rescuing states from the brink of fiscal collapse.
Second, look for areas of agreement in both parties rather than ram through with parliamentary sleight of hand a bill that will impact one-sixth of the U.S. economy.
Getting control of health care costs and expanding coverage are worthy goals and ones that the president, lawmakers, employers, workers and seniors can all agree on. This bill, however, isn't the solution
The Arizona Chamber of Commerce and Industry is committed to advancing Arizona's competitive position in the global economy by advocating free-market policies that stimulate economic growth and prosperity for all Arizonans. http://www.azchamber.com/.
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