Why Obamacare is Flawed at its Core

Kill this Bill Now!

Updated 1/15/2011: (Updates in Green Below)

The underlying power of the government option is the total take over of the medial industry and the people who are serviced by that industry as well as the power to control all aspects of individual’s lives as everything we do impacts our health.  The mortal flaw is the ultimate move to the government option since there has been so much discussion about the government total takeover of healthcare that the American People would revolt if this takes place.  This is one aspect of the American People Obama and the Left are underestimating.

In addition to this core flaw, there are several other ticking bombs inside of this horrific legislation.  Just to name a few…

  • Service Rationing:  The law and the enabling regulations being drawn by HHS absolutely gives the government total control over rationing to any group of individuals as they see fit.  The greater good is at stake so government must apportion healthcare services to those who would benefit the most.
  • Paid Abortions:  If you have religious objections to abortions being funded by your tax dollars, tough!  In, fact, the funding today of Planned Parenthood provides for your tax dollars ($350,000,000) to pay for over 300,000 abortions a year.
  • Abortion Impact on Private Healthcare Providers:  Once Obamacare takes over in 2014, institutions such as the Catholic Church and other religious institutions who object to abortion, will be forced to provide abortions or they will lose their ability to provide healthcare services.  The Catholic Church alone provides over 13% of the hospitals and clinics in the US today.  The loss of 13% of these facilities will cause further rationing.  This whole bill is one big domino effect.
  • Payments to Facilities and Providers:  Doctors and Hospitals will be at the mercy of the Federal Government on the level and timing of payments to them.  Today, the biggest complaint in healthcare is the slowness of the Medicare reimbursements as well as the high level of service rejections by Medicare.  What makes anyone think that this will improve when we shove 20-50,000,000 more people into the system?
  • Executive Branch Overreach:  As soon as this bill was passed, the Executive Branch of this government had total control of your life without any oversight by Congress.  HHS and the IRS will tell you what you can have and make sure they collect the penalties/taxes you owe to pay for your new flawed care.
  • Due Process out the window:  There is no provision for any citizen to contest the imposition of the tax/penalty for not joining the system or for trying to keep their existing system that the government does not approve of.  The 5th Amendment protections were ignored by this bill.
  • The 10th amendment is Totally ignored as the powers in this bill are not enumerated as belonging to the Federal Government and are thus retained by the States and the people.  This is why the left hates the Constitution and constantly seeks to ignore it and control its application by stacking the bench with like-minded judges.
  • Illegal Aliens and anyone else in the country will not be denied coverage.  Period.
  • Student Loan Control will give the government added power to direct where med students go to school, which discipline they enter, and where they practice.
  • SEIU will be imposed on every healthcare provider from “candy stripers” to neurosurgeon. 
  • Tax Increases:  There are many tax increases in the bill that will negate the continuation of the Bush Tax Cuts and make the Republican Compromise with Obama even less meaningful.  The new tax increases are:
    • Individual mandate Tax for Not Buying Health Insurance:  After 2016, $695 for one adult and $2,085 for 3+ Adults.
    • Employer Mandate Tax if Employers do not provide Health Insurance: $2,000/Employee
    • Surtax on Investment Income:  3.8% on Qualifying Investments that include , annuities, royalties, net rents, and passive income in partnerships and Subchapter-S corporations.  Seniors may be hit with this tax depending on their overall income level.
    • Excise Tax on “Cadillac Plans:  If you Health Plan is too good, you get taxed if your plan costs over $10,200 single/$27,500 family. 
    • Increases in Medicare Payroll Tax: (discourages hiring) Goes from a current high of 2.9% to a new high of 3.8% which over a 30% increase.
    • Medicine Cabinet Tax:  Eliminates the use of HSAs and FSAs to pay for over the counter drug.
    • HSA Withdrawal Tax:  Doubles the tax to 20% if you withdraw funds for non medical expenses.
    • Increased Taxes on families with Special Needs Children who use HSAs for their children’s special education expenses.
    • 2.3% Tax on all Medical Device Manufacturers.  Think this will drive these manufacturers off shore!!!
    • Itemized Deduction threshold raised from 7.5% to 10%.
    • Tanning Booth Tax of 10%
    • Eliminated Employer Tax Deduction for covering prescription costs for Retired Employees to these Employees would not have to use Medicare.
    • Insurance Companies are taxed if 85% of their premiums are not spent on patient services.
    • Certain charitable hospitals are subject to an Excise Tax.
    • Innovator Drug Companies will be taxed over $2 Billion Dollars a year.
    • Health Insurance Companies will be taxed an additional $60 Billion Dollars per year.
    • Corporate 1099-MISC law will raise an additional $17 Billion in taxes and cost small businesses millions in compliance costs.
    • Black Liquor Bio-Fuel tax will raise an additional $23 Billion.
    • Gives the IRS discretionary refusal of LEGAL deductions if the IRS thinks the deductions are taken just to avoid taxes!!!  DUH!

      Finally, many States will be forced into bankruptcy to support higher levels of Medicare ad Medicaid.  The reimbursements disappear after 2014 and the States are left holding the bag which is the single largest UNFUNDED MANDATE ever devised by the Federal Government of the United States of America.


Call your Member of the House of Representatives and Urge them to Vote to Repeal Obamacare…  here is a link to their telephone numbers:  (thanks to DesertConservative.com)


RD Pierini


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