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Legislative News and Views - Rep. Greg Davids (R)

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DAVIDS BILL WOULD REDUCE MNSURE TAX

Friday, March 16, 2018

ST. PAUL – In order to allow hardworking Minnesotans and small businesses to save money on their healthcare premiums, State Representative Greg Davids (R-Preston) is authoring legislation that would reduce the MNsure tax from 3.5% to 2%.

 

“When healthcare premiums skyrocketed, MNsure also profited off families’ pain,” Davids said. “This bill will not only lower health care costs for Minnesota families, but will also refocus MNsure’s priorities on consumers.”

 

Davids said reducing the MNsure tax will save Minnesotans $30 million.

 

Two years before the massive healthcare premium increases of 2016, MNsure estimated it would collect $14 million from the MNsure Tax. One year later, it estimated it would collect over $20 million this year - a 47 percent increase.

 

Davids said he previously requested that the MNsure Board use its authority to cut the MNsure tax and save families some money, but they declined, which is why he believes legislation is necessary.

 

Davids’ bill also eliminates active purchaser to ensure unelected bureaucrats can't limit the number of options on the MNsure exchange, and requires the Dayton administration to resubmit a waiver allowing those receiving tax credits to purchase insurance outside the MNsure exchange.

 

“We’ve already spent more than $300 million on this program,” Davids said. “It’s time for MNsure to stop trying to make things work on the backs of Minnesotans who previously endured massive premium increases.”