Here’s a grand example of how Congress can talk out of both sides of its mouth. On one side they are concerned about making Health Insurance more affordable; and on the other, they want to make it just a little more difficult for us to manage our own healthcare. First of all, this story does not mean that HSAs really lose any of their benefits, but it is simply the Congress trying to “save” tax dollars by making it more bureaucratic to save money in an HSA. It’s complete nonsense and is further evidence that those in Congress that talk about Health Care “affordability” only want that affordability to exist within the framework of Socialized medicine:
This week, the House passed legislation that included a provision to require every HSA transaction be reviewed and verified as a legitimate medical expense. Democrats say this is to ensure that consumers are using their tax-free withdrawals for a knee replacement, rather than a new iPod. In reality it adds a layer of bureaucracy that could sharply reduce the appeal and cost savings of HSAs.
A key player here is Ways and Means Health Subcommittee Chairman Pete Stark, whose main purpose in politics is to give the U.S. a government-run health-care system. He is a known opponent of HSAs – once comparing them to “weapons of mass destruction” – because they introduce more individual choice into the health-care marketplace.
Pushing for the provision was a company called Evolution Benefits, which has patented a system for the substantiation of health-care expenses. Evolution’s lobbyist, John McManus, was the former staff director of the Health Subcommittee under Republican Bill Thomas. The company first lobbied for the HSA provision, then withdrew its support when Republicans began to focus on its role. But Ways and Means Chairman Charlie Rangel helped make sure the provision was in the bill, which passed largely on partisan lines.[emphasis mine]
But hey…we want to keep “Special Interests” out of Washington, right? If we as health-care consumers want to continue to have control over our health-care without the Government making it difficult for us, we need to make sure this provision does not pass. Call YOUR Senator, and while you’re at it, call the three that are running for President, and make sure this bill is stopped.