Governor Rick Perry has reportedly prevented State Representative John Zerwas and other legislators from making a potentially fatal blunder in the fight against Obamacare. According to local media, the governor’s office has discouraged Rep. Zerwas from championing legislation establishing a state-based Obamacare Health Benefits Exchange in Texas.
This is very good news. States that establish Obamacare exchanges are making a one-way, lose-lose bet on Obamacare, as I’ve written before. Governor Jindal in Louisiana and Governor Deal in Georgia have also recently learned this.
Our friends at the Heritage Foundation, who are most closely associated with exchanges, have also sounded the warning against abusing their original idea (which had the objective of pooling dollars from small employers) in order to seek federal Obamacare grants and grow Obamacare’s roots deeper into the soil. Here are a paper by Edmund Haislmaier and a blog entry by Nina Owcharenko.
(Crossposted at National Review Online.)