If you’re even remotely following the news, you will know that the hope to repeal and replace Obamacare has struggled to find a footing. The vast majority of Republicans want it to be replaced, but they just can’t unify to get it done. To solve this issue, Senators Lindsey Graham and Bill Cassidy are developing a new plan to replace Obamacare that will keep a large portion of federal taxes in place but will send that money to the states for control.
Graham and Cassidy have been working with their fellow GOP colleagues including former Sen. Rick Santorum. Through working close with Santorum, Graham and Cassidy argue that Republicans can’t come to an agreement because they are building off of an ‘Obamacare template.’ Santorum, now a CNN political contributor, also stated a similar statement:
“The reason we can’t pass a bill is because we are trying to do it in Washington, so stop it.”
The bill that was revealed last month by the Senate hasn’t been getting much success because according to CNN, “it repeals Obamacare taxes, effectively giving wealthier Americans a tax cut, while also making cuts to Medicaid, which now helps many afford health insurance.”
However, the GOP Senate leaders are planning on revealed a new plan on Thursday morning just as Graham reveals his new health care proposal. While it’s unsure if the new GOP revision will answer concerns from the first version, Graham is confident his does. CNN reports on what Graham’s suggested bill would do:
“First, it would maintain taxes on wealthy Americans put in place by Obamacare, taxes intended to help pay for insurance subsidies. That revenue, which they estimate to be about $500 billion, would be sent to the states.They are still waiting to see a score from the Congressional Budget Office to confirm that figure.
The Obamacare tax levied on medical device makers would be repealed, as would the financial penalty for individuals who don’t comply with the mandate to have insurance and for employers to provide affordable coverage. Graham and Santorum say that would amount to about $220 billion in revenue cuts. Graham and Santorum argue those tax penalties not only funded the Affordable Care Act mandate conservatives despise, but they also ended up hitting working people.”
Graham and Cassidy built their bill around the concept of the Welfare Reform Act of 1996. The act is said to dismantle the “federal entitlement program with block grants to the states.” The difference from then and now is that in 1996, the act was trying to be accomplished in a bipartisan way. With the Republicans controlling much of government now, it doesn’t have to be bipartisan anymore.
However, even getting all the Republicans together can be difficult. Santorum and Sen. Graham said that if they can sway their Republican Governors, then they can reach the Senators. Another bonus to getting the bill across is something they call “inflators.” These “inflators” would enable states to find formulas and new methods for quality, affordable health care and allow the state to keep the federal dollars they save by doing so.
Credit: CNN Politics