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Governors Should Seize Momentum to Reject Health Insurance Exchanges

November 09, 2012

AFP Applauds Growing Chorus Of Governors

Arlington, Virginia— Today Americans for Prosperity (AFP) the nation’s largest and most effective advocate for economic freedom released the following statement calling on governors to reject the state-based health insurance exchanges.

“Governors should join the growing chorus in sending a strong message to Washington that their states will not implement these flawed health insurance exchanges” said Nicole Kaeding, AFP state policy manager. “Exchanges raise prices on consumers and increase taxes on hardworking families.”

Multiple governors have announced this week that they will not create an exchange. This list now includes Rick Scott (FL), Bobby Jindal (LA), Sam Brownback (KS), Rick Perry (TX), Nikki Haley (SC), Nathan Deal (GA), Robert McDonnell (VA) and Jay Nixon (MO). AFP applauds these governors.

“It is encouraging to see governors taking this step to protect their residents and health care freedom in their states. AFP applauds the principled stance of these governors.” Kaeding said.

The federal government is offering unlimited grants to states to create an exchange between now and the end of 2014. All exchanges must be self-funding starting in 2015. Each governor must notify the federal government by next Friday, November 16, 2012, of his or her decision whether to create a state-based health insurance exchange, defer to the federal government or partner on a hybrid-exchange.

“Federal funds are flowing freely to buy state compliance, but state budgets will take the hit in two short years,” Kaeding concluded. “Creating an exchange puts state taxpayers on the hook for millions of dollars every year. States should reject these bloated bureaucracies.” 

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