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Adamczyk,Matt
From:Sent:Vukmir,LeahMonday,July06,20095:07PMSubject:FW:Sign-OntoALEC'sHealthReformLetterAttachments:image001,gif;ALECLetteronFederalHealthReform.pdf,ResolutiononPreservingStates'RightsRegardingFederalHealthInsuranceExchangesandaPublicPlan.pdfFrom:EllenChambers[mailto:echambers@alec.org]Sent:Man7/6/20094:30PMTo:DaveMyslinskiSubject:Sign-OntoALEC'sHealthReformLetter
JoinALEC'sInitiativeAgainstFederalHealthReformEffortsThatTrampleStates'Rights
DearALECLegiSlator:Asyoumaybeaware,onJune24,ALECNationalChairman,VirginiaHouseSpeakerBillHowell,andALECHHSTaskForceChairman,IowaRepresentativeLindaUpmeyer,sentthislettertoCongressionalleadershipdetailingALEC'sconcernswiththeMedicare-modeled"publicplan"andnationalhealthinsuranceexchange.TheletterhighlightsALEC's
Resolution
on
PreservingStates'RightsRegardingFederalHealthInsuranceExchangesand
a
PublicPlan,
passedatthe2009SpringTaskForceSummit,whichdeemsthepublicplananti-competitiveandinvokestheTenthAmendmenttotheU.S.Constitutionincallingthenationalhealthinsuranceexchangea"federaltakeover"ofthestates'roleinregulatinghealthinsurance.WeinviteyoutojoinALEC'seffortsbylearningmoreaboutfederalhealthreform-andmostimportantly,byaddingyournametothisletter.We'lladdallofthesignatoriesandthenresendthelettertoCongressionaileadershipinthecomingweeks.IfyouareanALEClegislatorandwouldliketosignontothisletter,contactDaveMyslinskiat(202)742-8531ordmyslinski@alec.org.FormoreinformationaboutALEC'sfederalhealthreforminitiative,contactmeatthephonenumberore-malllistedbelow.Cordially,ChristieHerreraDirector,HealthandHumanServicesTaskForceAmericanLegiSlativeExchangeCouncil1101VermontAvenue,N.W.,11thFloorWashington,D.C.20005christie@alec.orgDirect:202-742-8505Fax:202-466-3801
June24,2009TheHonorableRobertC.ByrdPresidentProTemporeUnitedStatesSenate311HartSenateBuildingWashington,DC20510
 
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TheHonorableNancyPelosiSpeakerUnitedStatesHouseofRepresentatives235CannonHouseOfficeBuildingWashington,DC20515DearSenatorByrdandSpeakerPelosi:Wearewritingtoexpressourconcernwithrecentfederalhealthreformefforts-particularly,theMedicare-modeled"publicplan"andanationalhealthinsuranceexchange-whichwebelievewouldtramplestates'rightsandleadAmericansdowntheroadtosingle-payerhealthcare.TheAmericanLegislativeExchangeCouncil(ALEC)representsmorethan1,800statelegislativemembers.ALECisthenation'slargestnonpartisan,individualmembershipassociationofstatelegislators.Approximatelyone-thirdofallstatelegislatorsbelongtoALEC,inadditionto78ALEC"alumni"inCongressandmorethan300private-sectorcompanies,nationaltradeassociations,andnon-profitorganizations.ALEC'slawmakersrecentlyapprovedthe
ResolutiononPreservingStates'RightsRegardingFederalHealthInsuranceExchangesandaPublicPlan,
whichdeemsthepublicplananti-competitiveandinvokestheTenthAmendmenttotheU.S.Constitutionincallingthenationalhealthinsuranceexchangea"federaltakeover"ofthestates'roleinregulatinghealthinsurance.Asarepresentativetosuchabroadcoalitionofstateinterests,ALECquestionsthewisdomandpracticalityofthepublicplanandthenationalhealthinsuranceexchange.Ourconcernsinclude:
*
Thepublicplanwillnotbecompetitive.
It'sanunlevelplayingfieldwhenthepublicplancanshiftcoststoourstates'privateinsurersbecauseoflowdoctorandhospitalreimbursementrates,andthenraidthefederaltreasuryforunlimitedsubsidies.Governmentwillonlycompetewhenitcanchangetherulestowin.Tohavegovernmentservesimultaneouslyasaregulatorandacompetitordefiescommonsense.
*
Thenationalhealthinsuranceexchangerepresentsafederaltakeoverofthestates'roleinregulatinghealthinsurance.
Statesaretheprimaryregulatorsofthehealthinsurancemarkettoday.Theyprovideaggressiveoversightofallaspectsofthemarketandensurealocal,responsivepresenceforconsumers.Anationalhealthinsuranceexchangewouldunderminestates'oversightroleinhealthinsuranceandshiftdecision-makingfromstatestoWashington.
*
Thenationalhealthinsuranceexchangewouldleadtoa"RobinHoodinreverse"fundingschemeinwhichstateswithlowerhealthcarecostssubsidizestateswithhighercosts.
Healthcarecostsvaryconsiderablyamongstates.Ifthenationalhealthinsuranceexchangeleadstocreatingaregionalornationalpool,low-coststateswouldsubsidizehigh-coststates.Whilethismaybeagooddealforahigh-coststate,low-coststateswouldenduppayingmoreforhealthinsurancepremiums.
*
Thepublicplanandnationalhealthinsuranceexchangewillleadtosingle-payerhealthcare.
Politicalpressuretokeeppublicplanpremiumslowandbenefitshighwillresultinthe"crowdingout"ofprivatesectorinsurancealternatives.TheLewinGroupestimatesthatasmanyas119millionAmericanswilldropprivatecoverageandenrollinthegovernmentplan.Thisrepresentsa60percentreductioninthenumberofAmericanswithprivatehealthinsurance-nottomentionasignificantdropinmuch-neededstatepremiumtaxrevenue.Weallsharethegoalthatpatientsdeservetochoosetheirownquality,affordable,privatehealthcoverage.Buthealthreformshouldn'tjustbethejobofthefederalgovernment.Thesegoalsarebeingadvanced-andachieved-bystatelegislatorsnationwide.ALECisanationalleaderinpromotingmanypatient-centeredhealthreformsatthestatelevel,including:
*
The
Freedomo(ChoiceinHealthCareAct,
introducedbysevenstatesthissession,whichpreservespatientrightstomakehealthcoveragedecisionsinthestateconstitution.
*
The
HealthCareChoiceAct
for
Siates,
introducedby10statesthissession,whichallowspatientstopurchase
 
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quality,affordablehealthcoverageacrossstatelines.
*
The
A(fordableHealthInsuranceAct,
enactedinGeorgialastsession,whichprovidesstatetax:breakstoindividuals,businesses,andinsurerswhobuyandsellhigh-deductiblehealthplans.
*
The
MandatedBenefitsReviewAct,
enactedin29states,whichprovidesaninstitutionalcheckoncostlyhealthinsurancemandatesthatkeeppeopleuninsured.Wewantedtothankyoufortakingthetimetoreadthisletter.Again,ALECistroubledbythepublicplanandnationalhealthinsuranceexchange,whichwebelievewilltramplestates'rightsandleadAmericansdowntheroadtosingle-payerhealthcare.Ourhealthpolicystaffwelcomesthechancetoworkwithyouondevelopingpatient-centered,free-marketreforms-andwelookforwardtosharingwithyouthestoriesofALEC'sstatelegislatorswhoareadvancingandachievingthesegoalseveryday.
L--
-----"-'lrordially,WilliamJ.HowellSpeakeroftheHouse,VirginiaNationalChairman,ALECLindaUpmeyerMinorityWhip,IowaHouseChair,ALECHHSTaskForceAlanB.SmithExecutiveDirectorALECcc:Sen.HarryReid,MajorityLeaderSen.MitchMcConnell,MinorityLeaderSen.JonKyl,MinorityWhipRep.StenyHoyer,MajorityLeaderRep.JamesE.Clyburn,MajorityWhipRep.JohnBoehner,MinorityLeaderRep.Eric1.Cantor,MinorityWhip

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