ST. PAUL- Minnesota Management and Budget (MMB) estimates that over the next three years, the total unfunded costs associated with Affordable Care Act (ACA) compliance will cost Minnesota schools at least $207.96 million.
“Democrats have already wasted $160 million on a broken MNsure website and now we learn ObamaCare will cost our schools more than $200 million over the next three years,” said State Representative Kelby Woodard (R-Belle Plaine). “This continues the disturbing trend of taking dollars out of the classroom where it could be best used supporting teachers and students.”
Rep. Woodard authored House File 1934, a bill that would require the state to reimburse public schools for ACA compliance. The state would offer aid to schools should their health care costs increase under ObamaCare. The fiscal note for the bill was produced by the nonpartisan MMB.
“I authored the bill after hearing concerns from local school districts that ObamaCare regulations would be an expensive burden on their mission to teach our children. I was shocked to learn the extent of the cost to Minnesota schools,” said Rep. Woodard.
MMB collected their data by sampling a cross section of urban, metro and rural school districts across the state. School districts submitted their estimated costs of full ACA compliance based on several criteria.
Broken down by year, the unfunded mandates on schools is $54.8 million in FY2015, $75.8 million in FY2016 and $77.4 million in FY2017.
Increased costs to school districts come from a number of factors including increased health care costs, penalties and covering part-time staff. The effective date for ACA compliance is either 2015 or 2016 depending on the size of the school district.
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Rep. Woodard can be reached at the Capitol by calling (651) 296-7065. He is also available by email at rep.kelby.woodard@house.mn. His office is located at 221 State Office Building, 100 Rev. Dr. Martin Luther King, Jr. Blvd., St. Paul, MN 55155.