Obamacare and the States: Freedom To Do What Sebelius Tells Them To Do

John Hoff / February 11, 2011

The Washington Post on February 10 ran an op-ed by Secretary of Health and Human Services (HHS) Kathleen Sebelius asserting that the new health reform legislation empowers the states and gives them the flexibility they are asking for. Indeed, she says, the Patient Protection and Affordable Care Act (PPACA) “gives states incredible freedom to tailor reforms to their needs.”

The Secretary’s piece offers a revealing glimpse into the mindset of PPACA’s advocates. At the same time, it is fundamentally wrong as a factual matter.

Before PPACA was enacted, states could make insurance reforms they thought would be in the public interest. A number of states were doing so, including Utah and Massachusetts, as the Secretary mentions. But PPACA now imposes a national system of regulation. This is described here. The Administration’s begrudging and constricted view of what plans are grandfathered and not subject to the new regulatory scheme is described here. (more…)