Obama Health Care Will Cost State Taxpayers

Currently, State Senators are engaged in floor debates about proposed reductions to Governor Martin O’Malley’s FY11 state budget. O’Malley has presented a spending plan that will lead to $8 billion in out-year deficits. Through additional reductions to O’Malley’s proposals, the Senate Budget and Taxation Committee shaved $3 billion off of the $8 billion deficit left by O’Malley to the next Governor.

However, future health care costs to the state are unknown after the passage of the federal health care bill by the U. S. Congress. Outyear deficits could rise significantly because it is anticipated that the financial burden of President Obama’s legislation will eventually fall on state government. (see The Daily Record “Federal Health Care Reform Could Cost Maryland” – click here)

The Republican Governors Association urged Governor Martin O’Malley to speak up for the protecting against cost shifts to the state budget prior to passage of the federal bill (see “What Happens in DC Hurts in Maryland” click here).

Instead, Governor O’Malley waited until the federal bill passed, then appointed a commission to study the legislation to determine the true costs to the state and issued a statement: “Under President Obama's leadership, finally, we will begin to control the rising cost of healthcare in America, improve the ability of all Americans to take their children to a doctor, and put the American people back in control of their healthcare decisions. (See the full statement: click here)