The Texas Public Policy Foundation released findings from a recent study which shows how the health care reforms pending in Congress would affect Texas. The study, conducted by Arduin, Laffer, and Moore Econometrics, explains how the Obama-Reid-Pelosi health care reform bill would hamper the Texas economy. Findings include:
• Texas would see 4.7 percent lower economic growth in 2019 compared to the baseline scenario.
• In addition to federally-funded expenditures, the net present value of all Texas state government expenditures through 2019 that will occur due to federal health care reform is $8.9 billion, or a $365 bill for every man, woman, and child in Texas.• If the federal government requires states to financially cover the expansion of lower income individual’s health insurance, Texas taxpayers will have to cover an additional $28.2 billion in costs, for a total cost to Texas general revenue of $37.1 billion over 10 years.• The current net present value of funding health care reform based on President Obama’s priorities will be $4,265 for every person in Texas. This equals $103.8 billion in total costs that Texans will have to bear.• Expansion of Medicaid eligibility may further increase Medicaid costs in Texas due to the Frew v. Hawkins lawsuit, a suit based on inadequate access for Medicaid enrollees because the state’s physician reimbursement was so low that not enough doctors would take Medicaid patients.