PROGRAMMING NOTE: My colleague Daren Bakst gave a lunch
talk today on the constitutionality of ObamaCare. You can see the whole video
at CarolinaJournal.tv.

With historic victories in North Carolina and across the
country, Republicans in Congress, governors’ mansions, and state legislatures
have a chance to repeal or restrain ObamaCare. They cannot preemptively
compromise and they have to jump out of the gate with legislation, resolutions,
executive orders, and hearings. Some specific examples:

  1. Freedom
    of Choice in Health Care Act:
    The
    Virginia and Montana legislatures passed such an act last year to
    guarantee citizens’ right to purchase health care and insurance any way
    they choose. Arizona,
    Oklahoma
    , and Missouri
    voters approved similar constitutional amendments.

  2. ObamaCare
    lawsuits:
    Newly elected governors and
    attorneys general can prepare to join existing lawsuits. In North
    Carolina, the legislative leaders may be able to sue the federal
    government on behalf of the state employee health plan, which has limited
    funds and must weigh the effects of policy changes against the value of
    keeping "grandfather" status so as not to comply with more
    stringent future ObamaCare regulations on policies.

  3. Legislative
    approvals and funding:
    Legislatures
    need to restate their role in implementation of ObamaCare. Executive
    branch offices should not have freedom to establish a health insurance
    exchange or make changes in the regulation of health care in the state
    without legislative approval. Legislative leaders need to be quick and
    firm in this restatement, even before they get back in session — outside
    industry groups have already been working with executive agencies
    to
    lay the groundwork for regulations. New regulations need new or redirected
    funding at the federal and state level. Legislatures should repeal funding
    and prevent new funding for ObamaCare initiatives.

  4. Opt
    out of Medicaid
    :
    Texas is
    considering this alternative and other states should, too. Until 2014,
    states can take steps to transform
    the program
    .

  5. Executive
    orders:
    Pro-freedom
    governors are already fighting ObamaCare
    with steps such as forbidding
    state agencies from applying for federal grants to implement ObamaCare
    initiatives. North Carolina’s Departments of Insurance and Health and
    Human Services have already applied for grants. The legislature can cut
    funding to agencies by the amount of the grants for which they apply.

  6. Legislative
    Hearings:
    In addition to these steps,
    Congress and state legislatures should hold hearings at which federal and
    state officials can attempt to explain what regulations would mean for
    individuals and businesses. Committee meetings in North Carolina so far
    have resulted in a lot of "I don’t know" answers and warning
    about the potential
    fiscal impact for the state
    . We have provided in this newsletter
    examples of companies and individuals losing
    their insurance coverage
    , premium
    increases
    resulting from ObamaCare, and pro-market alternatives that
    would accomplish the stated goals of supporters of the current law. These
    stories and alternatives should finally receive the hearing they were
    denied during the Congressional rush to thwart the will of voters.

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