Freedom Line Blog

Reuters explains how a new Health and Human Services regulation announced today on the state-directed health insurance exchanges lays the groundwork for a total government takeover of the healthcare industry.

In a 642-page final rule, the government provides guidance on how states should establish exchanges, qualify health plans for participation and determine the eligibility of both individuals and small businesses that want to use exchanges to provide health coverage to their employees.

Industry and consumer groups welcomed the regulations, saying they provided states with the flexibility necessary to meet consumer needs for choice and quality protections. They also said the regulations shift policy focus to the state level, where the new rules must be implemented.

That is, until States drown in a sea of future regulations interpreting and implementing this “final” rule.  At that point, States will be happy to cede control over policy details to federal bureaucrats so long as the money keeps flowing.

As an example, just look at the rush by States to accept extra-legal requirements like the Common Core curriculum standards from the Department of Education in exchange for No Child Left Behind waivers.  Implementation of ObamaCare will be no different.  Unless the law is repealed, elements like health care exchanges and IPAB will eventually turn over all healthcare decisions to central planners; first in state capitols, then in Washington, D.C.