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CBO: Supreme Court's decision makes health care law cheaper, but 3 million more people uninsured
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A new fallout from the health care -- but nonpartisan Congressional Budget Office now saying the supreme court's ruling made the -- cheaper but will also -- three million people less than before Wyoming senator John.
Chairman of the senate Republican policy committee is -- so an orthopedic surgeon.
Doug Holtz -- a former director nonpartisan Congressional Budget Office and now president.
Of the American action -- gentlemen good morning to both of view -- the senator what do you think about this 84 billion less.
Over about eleven years.
Well bill it still shows that there is over a trillion dollars of new taxes.
One the American people that still shows it cuts.
700 billion dollars from our seniors one medic.
Care and yet today the Democrats in congress want to vote again to raise taxes on the American people.
Folks in Wyoming folks across the country realize that this cost to this health care law continues to hurt our economy they are linked together.
Let let me bring in Doug in this unto you crunch numbers for a living god keep it in English for me if you can.
284 billion in savings over eleven years it sounds good as -- headline.
Do you believe -- back.
Well here's how the CBO analysis works it says suppose someone were supposed to Medicaid and they end up being uninsured.
The taxpayers -- 6000 dollars.
If instead in a big on Medicaid they go into the new insurance subsidies it cost the federal government.
3000 dollars CBS that we're gonna about equal numbers of -- so that the savings outweigh the new cost.
The the bills cheaper now the important thing about that is if more people go into the exchanges.
You get a different answer and Medicaid happens to be very cheap in that state.
You don't get the same amount of savings to get a different answer and the CBO admits that it doesn't know which states will not to Medicaid expansion.
It doesn't know whether they'll do it by 2014.
It doesn't know whether they'll do it completely or partially so you hear Harry -- calculations are really up in the -- that you're you're hedging a little bit suggesting.
We don't know how the law plays out is that what I -- commute.
I would say we really do not have a lot plays out -- -- do you agree with that.
Well I know that for patients -- the law plays out poorly for the providers the nurses and doctors who take care of those patients have -- It plays out poorly and for the American taxpayers.
If it.
It pays out -- plays out.
Poorly across the board this is this law that it doesn't give people what they want which is the care they need from a doctor that they choose.
At lower cost on promise after promise.
The by the president they have been broken the president's that you can -- if you like what you have you can keep it.
That this story that was just done with with Martha and and Peter Doocy said that about one in ten -- people will lose their health insurance through work.
That's going to increase the cost to the government as well I say how can we afford this.
Bill that the question on that study was whether or not companies will will keep the current insurance plan for the employees or not.
In and they found about 10% are considering dropping it if not more than that that amounted to Doug again because it when you crunch these numbers and -- -- -- -- the direction.
Offer this law always and who pays what a big component in this is what is what the governor's responsibility.
Will be through Medicaid expansion.
How -- governor's expected to figure that out.
-- government can do the math in their own state and know just how much they will have to up hey if they had the Medicaid expansion takes place they've been -- How much they can save it -- -- them.
We've done some analysis where you picked the six states where governors have announced they're not gonna do expansion.
And what happens is people end up on the much more expensive federal subsidies -- cost the federal taxpayer billions more.
And we get an answer very different from the CBO so.
If we have governors.
Picking intelligently this could be very expensive and it's already you're going to yourself you're saying then -- senators write this would push the employees into a health exchange is run by the government.
And the government I think -- -- which means more tax dollars that's the argument you make.
If it's pretty simple -- The senators right there's a real temptation for firms to dump their workers into the government exchanges there's also real temptation for states to dump the Medicaid populations -- the federal changes.
If that happens this cost much more than we could ever dream.
Let me get this senator -- from one last comment here what what what you believe is that the governors need to be told what their obligations.
And and short of that how do you budget your State's money.
I've been in the state senate and I will tell you governors are right to not trust Washington.
To come through with the Washington.
Promises what governors -- is flexibility and choice which is why Lindsey Graham and I have introduced the state health care choice act.
To give governors that flexibility and choice.
That the involvement beat the Obama administration.
Doesn't want to -- -- that the agreement that both of you gentlemen make here is that we don't know how the small place now.
-- wait for another study of why analyze it and thank you gentlemen John morass of senator Doug -- he can thank you for your time.
