From the office of Congressman Andy Harris:
Congressman Andy Harris, M.D. (MD-01) and Senator Marco Rubio (FL) introduced the “Obamacare Taxpayer Bailout Prevention Act” in the House and Senate, which will repeal section 1342 of the President’s health care law to stop bailouts of insurance companies. Section 1342 of Obamacare allows the President to use taxpayer dollars to bailout insurance companies if they lose money on the sale of insurance plans to Americans through the Obamacare exchanges.
“The American people should not have to shoulder the burden of the President’s failed health care plan and bailout insurance companies, while millions across the country have lost their coverage and seen increased health care costs. President Obama continues to sit back and force taxpayers to foot the bill for a law that is crippling the economy, killing jobs, and weakening health care in the United States,” said Dr. Harris. “Section 1342 is just another example of presidential overreach and the President’s complete disregard for the Constitution. Its repeal will protect taxpayers from future costs brought on by his disastrous law.”
“One of the biggest threats to the American Dream is the rising cost of living, which ObamaCare is making worse through rising health care costs and loss of coverage,” said Rubio. “Taxpayers should not have to fund massive bailouts to protect the profits of the insurance companies that helped write Obamacare, which is why I’ve been fighting for over a year to protect taxpayers from yet another bailout that puts them on the hook for Washington’s mistakes.
“Under December’s omnibus spending bill, taxpayers are protected from bailing out insurance companies until September 30, but now Congress has the opportunity to take the possibility of a bailout off the table for good,” added Rubio. “By passing this bill, Congress will ensure that no bailout will occur, in 2016 or ever.”
Last year, the House Committee on Oversight and Government Reform held two hearings last year on the potential Obamacare bailout and found that taxpayers could be paying up to $1 billion through the risk corridor program. The “Obamacare Taxpayer Bailout Prevention Act” will force the Administration to work with Congress to address the potential financial imbalances incurred through the health care exchanges. The recently passed omnibus spending bill for fiscal year 2015 prevents the Administration from spending any funds to bailout insurance companies through the risk corridors program.