Our governor’s refusal to set up expanded Medicaid in the state of North Carolina will not only cost our citizens the benefits that come from well over 20,000 new jobs and better health care, but will cost our existing businesses money. Bloomberg news is reporting that:
Governors who refuse to expand their Medicaid programs for the poor may cost employers in their states as much as $1.3 billion in federal fines, a study found.
A clause in the 2010 health-care overhaul penalizes some employers when their workers aren’t able to obtain affordable medical coverage through the company. Employers can avoid those fees if their workers qualify for Medicaid as part of an expansion that as many as 22 states have rejected, according to a report today by Jackson Hewitt Tax Service Inc.
The Jackson Hewitt Tax Service is reporting that:
Without Medicaid, a “shared responsibility” payment of as much as $3,000 may be triggered for each employee who can’t get insurance through their company. In Texas, the largest state to refuse to increase Medicaid, employers may be liable for as much as $448 million in fines, the study found. In Florida, where the legislature has refused an expansion supported by Governor Rick Scott, employers may pay as much as $219 million.
Leadership is short-sighted, as always. Wonder how much it will cost North Carolina business?