Waive it all away

For now, Obamacare is the law of the land—except where the
Department of Health and Human Services decides that it isn’t. That’s a
peculiar statement, but describes the current application of the law in the
U.S.

As of March 4, HHS has handed out 1,040 waivers to the law.

What is a waiver? Congress writes laws then various
government departments write regulations to implement the law. Sometimes
Congress gives the departments the ability to determine whether the law should
be applied in a specific case.

In the case of Obamacare, HHS has been handing out waivers
to the new consumer protection requirements of the law. Under the new law the
federal government will greatly expand its regulation of how insurance plans spend
premiums, what plans must cover, and whom these plans must cover.

More than 2.6 million Americans have insurance through plans
that have received waivers. Without the permission of HHS, these plans would
have to shut down and, in most cases, employers would have little alternative
but to cancel insurance for their employees.

In some cases, the companies receiving waivers are well
known, such as McDonald’s. However, it is not just big corporations whose plans
can’t continue operating under the new law. The Services Employees
International Union, the fastest growing union in the U.S., has many affiliates
that are currently receiving waivers to the law.

The irony is that the SEIU was one of the law’s biggest
cheerleaders. The union continues to invest money and energy defending
Obamacare, even while it asks for an exemption from the power of the law.

HHS Secretary Kathleen Sebelius has defended the waivers,
saying that it demonstrates the law’s flexibility. Unfortunately, the law may
be less flexible than the Secretary has made it out to be.

Last week, the House Oversight and Government Reform
Subcommittee on Health Care looked into the waiver process. One of the most
frequently issued waivers covers plans that limit benefits annually or over the
course of a patient’s life. Heritage Foundation health policy expert Edmund
Haislmaier noted that Congress included explicit waiver language in 21 separate
sections of Obamacare. However, the section eliminating benefits limits has no
instructions on waivers. HHS is creating the waiver without the authority of
Congress.

At this point, HHS has approved almost all of the waiver
requests it has received. Most of the plans receiving waivers are large
organizations, with the means to fill out the paperwork and see the application
through the complex bureaucratic process. Small organizations and businesses
don’t have the same resources, and may have more trouble getting their own
waiver.

HHS isn’t the only federal agency that can hand out waivers
to Obamacare. The Centers for Medicare and Medicaid Services, or CMS, also has
the authority to waive aspects of the law governing state Medicaid programs.

Congressman Anthony Weiner, D-NY, caused a minor stir last
week when he speculated that New York City should seek a waiver for its
Medicaid program. Weiner has been one of the bill’s most fervent proponents,
but even he thinks that federal government isn’t necessarily the best at
constructing health programs administered at the state and local level.

I chaired a hearing of the Energy and Commerce Subcommittee
on Health at the Pennsylvania State Capitol in Harrisburg. Gov. Corbett and his
acting Secretary of Public Welfare Gary Alexander both want similar flexibility
to construct Medicaid programs that work better for patients and don’t break
the state budget.

The real question is: if Obamacare is the solution to our
health care problems, why should it need to be waived so often? Rep. Weiner is
a proponent of the law, while Gov. Corbett opposes it. Will both receive the
same consideration? Congress is going to watch closely to make sure decisions
are not made for political reasons.

Most patients, employers, and state government officials
thought that health care was complex before Obamacare. Increased federal
intervention isn’t making providing care simpler. Instead, we have more rules
and regulations, and a more unpredictable process.

There is one swift way that we can clear up the confusing
waiver process. We can give every American a waiver and repeal Obamacare.

* US Rep. Joe Pitts is
the Republican congressman representing Pennsylvania’s 13^th Congressional
District.