On behalf of our organizations, representing millions of Americans from across the country, we write in support of the American Health Care Act (AHCA). As advocates of free market principles and limited government, we endorse this significant legislation that would take the first major step toward repealing the Patient Protection and Affordable Care Act, better known as Obamacare. In its place, it would create a more market-oriented health care system that prioritizes liberty, consumer choice, and innovation over Obamacare’s government mandates.
AHCA repeals nearly all of Obamacare’s tax increases, thereby saving taxpayers hundreds of billions of dollars. These taxes – including the prescription drug tax, “medicine cabinet” tax, and health insurance tax, just to name a few – have increased the cost of health care and placed an unnecessary financial burden on individuals and families. Further, the bill would eliminate both the individual and employer mandates, which are punitive measures that have effectively acted as hefty taxes. AHCA would also wisely expand Health Savings Accounts and significantly increase the flexibility of these funds.
Additionally, the legislation would implement the most significant entitlement reforms in more than 20 years. By converting Medicaid to a per capita allotment and putting the massive program on a budget, it would shield taxpayers from rapidly escalating costs, encourage innovation, and shift power out of Washington and into state capitals.
To ensure that all Americans have access to health insurance, AHCA would create a means-tested, advanceable, and refundable tax credit that would be available to individuals who do not have access to employer sponsored insurance or government programs. For decades, conservatives and libertarians have advocated for tax credits as the preferred mechanism to provide financial assistance to lower income Americans for the purchase health insurance. Tax credits empower the less affluent to make their own health care decisions in the private marketplace, rather than relying upon inefficient and costly government programs.
The AHCA is the first of several necessary steps to fully repeal Obamacare and replace it with a patient-centered, free market approach to health care. We look forward to working with you and the Administration to make this and other important policy changes that will help reduce health care costs and improve the quality of care for all Americans.