Dear Neighbors,
Last week the House passed the Dayton Administration’s Health Insurance Exchange (HIX) bill. The HIX is mandated by the Affordable Care Act (or “Obamacare”), and in its simplest form, an Exchange is a website used to compare and buy health insurance plans.
The problem with the Minnesota Exchange bill is that it goes far beyond what is mandated by federal law and creates the most powerful and unaccountable bureaucracy in state history.
The HIX will be run by a board of seven people who 1) are politically appointed, 2) have little to no health insurance expertise, 3) are exempt from any legislative oversight, or accountability measures to taxpayers, 4) have the power to influence the health insurance market both inside and outside of the HIX, and 5) will tax each health plan up to 3.5 percent, which will be passed on to people in the private market.
The governor’s administration has already signed off on creating the Exchange website and infrastructure for a third of a billion dollars. It is projected to cost us approximately $60 million a year to operate.
As the bill stands now, the HIX will simply serve as a giant, expensive bureaucracy that doesn’t make health insurance more “affordable”; in fact, the administration’s own consultants said premium rates could increase anywhere between 16 and 29 percent!
My big concern with the HIX is what it will do to premium rates in Northwestern Minnesota. Right now, rates in our area are some of the lowest in the state, but in order to average-out costs, the board could potentially group us with the metro where rates are the highest. The result? Our premium rates get a huge boost and we pay much more out of pocket.
You can watch my speech on the House floor where I discuss this issue:
What’s more, the HIX discourages folks from getting better jobs and making more money.
Let’s take a look at the following example of a couple who wants to buy insurance through the HIX:
1) Household income of $62,000 would pay a $5,892 premium and receive an $11,340 subsidy.
2) Household income of $63,000 would pay $17,232 premium with NO subsidy.
As you can see, just by making $1,000 more a year, premium rates go up by nearly $12,000!
BILL HELPS SMALL HOSPITALS
Last week the House unanimously passed a bill I co-authored (HF582) to help reduce costly mandates on Critical Access Hospitals (CAHs).
These hospitals have fewer than 25 beds and are oftentimes the first line of defense for saving lives in our rural communities. Our bill makes it easier and much less expensive for CAHs to certify their advanced diagnostic imaging services (like CT scanners and MRI machines).
This bill will help about 50 hospitals across the state, including some from our district:
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Kittson Memorial Healthcare Center in Hallock
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Sanford Thief River Falls Medical Center
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North Valley Health Center in Warren
PRO-GUN RIGHTS LEGISLATION
Last week I joined with 70 legislators from both sides of the aisle to introduce a pro-guns bill. This is a joint effort to provide real solutions that improve public safety, punish criminals, and protect the Second Amendment rights of law-abiding Minnesotans.
This bill is supported by the NRA and Minnesota Sheriffs’ Association (including the four sheriffs in our district), and it aims to fix four very real problems:
1) Strengthens Penalties on Felons and Repeat Criminal Offenders
2) Cracks Down on Straw Purchasers
3) Improves Criminal Data-Sharing and the Background Check System
4) Improves Reporting of Court-Determined Mental Health Disqualifications and Creates a Rights Restoration Process
To be clear, our bill isn’t a compromise with the strict gun control legislation that I’m sure you’ve heard about in the news. As policymakers, we know that we can’t afford a “do nothing” strategy when these other bills are on the table, and we are taking the initiative to offer something better while also protecting Second Amendment rights.
It was very disappointing for me to hear that the author of the anti-Second Amendment bills, and chair of the House Public Safety committee, says our bill has no chance of receiving a hearing in his committee. I plan on having a discussion with him, because I’m waiting for an explanation as to why he would not want to keep firearms out of the hands of felons and protect the rights of law-abiding citizens.
Please let me know if you are ever in St. Paul. I would love to meet with you at my office. Or, feel free to contact me with any questions or concerns you might have related to state government. I am here to serve you!
Dan
**Encourage your neighbors and friends to sign up for my email updates at www.house.mn/01A