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Rep. Michele Bachmann, (R-Minn.), on why the tax on medical devices would hurt medical device manufacturers and jobs.
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Joining me now -- of about -- toughest opponents Republican congresswoman Michelle Bachmann from Minnesota congresswoman welcome back Michelle what's so it's a pleasure to CEO.
Gerri my sentiments exactly thank you.
Well let's get right down to it because I think this is critically important I wanna start with this new tax which I understand -- 2.3 percent.
On medical device makers -- -- people make X ray machines.
Have they also need joints all kinds of things what would this mean for this industry if they had to pay this tax.
Well first and -- -- this would mean at 10%.
Reduction of jobs.
In the medical device manufacturing business the United States has over 400000.
Individuals employed in the medical device industry.
In Minnesota alone my home state.
We have over 400.
Very profitable medical device companies we employ over 35000.
People.
And again I want to underscore this is a 2.3 percent tax but it's not a tax on profits.
-- -- tax on revenue this -- really.
That many industry what's the difference -- that if it's on revenue or it's not profits at the end of the day.
Well because a lot of companies don't necessarily show profit at the end of the year and that the truth is told.
Most companies that show a profit of maybe somewhere between six and 8% if they're lucky.
And so this is on revenue that they take -- Which means that this might this really digs into their bottom line this hurts a lot more than a tax on profits.
Well you know it's interesting because a lot of the companies in this category are small companies small businesses -- They employ a lot of people you know how this works they don't have a lot of margin for air.
I would you respond though to something that Nancy Pelosi had to say about this.
Fascinating comments about -- Carolyn Dennis.
He -- that prevention.
It's about innovation.
It's a -- life liberty and pursuit of happiness for the American people because it frees them.
And -- them from a job that they may keep only because of the health benefits to pursue their happiness.
-- congressman there's been a lot of unlocking from jobs in this economy -- good at what is this woman talking about.
Well -- -- here as.
She completely that have no clue about what she's talking about.
Because what we will see as a lack of innovation in the medical device industry these jobs will go away but even more important.
We're looking at a reduction in the quality of life for Americans because these are miracle working medical devices that Americans depend on.
For their quality of life -- here and again in my home state of Minnesota the pacemaker was invented in someone's garage in the 1950s.
Now the pacemaker is gone on to save countless millions of lives -- all across the world.
But for innovators small little innovators in their own backyard putting together these devices to break we wouldn't have some of these miracle breakthroughs.
This is what will -- speaker Pelosi is completely wrong.
This will kill innovation and this'll mean less prevention.
And so that's why we have to get.
Rid of this tax congresswoman let's address which she seems to be making that debt.
The argument she's making here is that it's a constitutional right to health care I believe she says it's about life.
Liberty and the pursuit of happiness I'm quoting her here that sounds very much like she thinks health care.
Is something that's guaranteed by the government or should be.
Do you agree.
Why don't I don't agree with that that is that is the speaker the sentiment she's actually quoting from the declaration of independence.
But as -- when we see that nations have said before like the Soviet Union that health care as a right.
The people the Soviet Union may have a right to health care.
But that doesn't mean that they have access to health care or that it's any -- soon even in the next couple of months or that it's even worth healthcare were -- We want the highest quality health care for the greatest number of people at the lowest possible price.
That's -- the free market has given us America has set up far in the stratosphere for high quality health care obamacare is bringing that -- down.
That's why can't the chief officer of the bill to fully repeal obamacare.
We have two thirds of the American people today.
Who is under surveys to say they want obamacare either fully scrapped -- changed and I'm calling on the Supreme Court.
To completely repeal obamacare and we will be -- -- -- what what they're decision as I do want you to comment on his health savings account.
Because it in this is one of the -- Obama care.
Health savings accounts would be hurt they are are highly popular with Americans.
These certain methods of paying for your own health care costs with pretax dollars so it's a way of saving money and -- on the right thing on your own.
And yet Obama care makes that more difficult.
Oh he wants them gone completely he doesn't want people to own their own health care he wants the federal government call the shots.
We can bring down the the cost of health -- that's the real problem -- it's pretty simple.
You do -- with allowing the American people.
This spend their own money tax free to purchase health insurance you let them buy in each policy they want with no minimum requirements anywhere in the country.
Yet true medical malpractice reform big -- That immediately drops the price on health care which means more people can access it and equality goes up isn't this a good formula for success let's do that that's a net Romney plan.
That's not -- Barack Obama plan congresswoman -- clear initiating.
An assault on fraud in Medicaid -- tell us about that.
I am because if their horrific story in my own home state of Minnesota -- -- potentially there's billions of dollars a year and Medicaid fraud.
People may not recognize it for decades there haven't been any independent third party audits.
And how Medicaid money is spent it's like if you went to the grocery store -- that with a basket of groceries.
Any the cashier said give me 300 dollars you said hey that's 35 dollars worth of groceries.
Let me see my grocery -- in the cash you're -- I'm not giving you virtually taken me to 300 dollars.
That's what are managed care organizations have been doing that -- giving a blank field of the states the states have paid it.
They -- the -- of the federal government we have no idea what we're paying for this is madness.
And under Obama care in my state of Minnesota.
Medicaid will expand by 21%.
We don't know where the money is going now and you billions of dollars in a relatively some small state like Minnesota.
That potentially -- her.
Fraudulently squandered.
And manageable.
Imagine what what happened what were 21%.
Bigger so we've got to get a grip on this program I wrote a letter today calling on the Obama administration CM -- To conduct an immediate third party audit of all Medicaid and I am introducing a bill also -- -- -- bipartisan bill.
Because Republicans and Democrats agree we want to root out fraud in Medicaid and -- -- fully expect that this is a bill that will enjoy full bipartisan support we get this -- well we will be watching you on that congresswoman Bachmann thanks for joining us tonight appreciate.
