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South Carolina Attorney General Alan Wilson on how higher taxes from the health-care law will impact his state.
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It's gotten -- -- many things.
One of the Supreme Court upheld the heart president Obama's health care a lot the justices did find fault with the overhauls expansion of Medicaid 26 attorneys general led that initial challenge against the law and one of then.
Alan Wilson a South Carolina joins me now.
Welcome mr.
attorney general.
-- -- So the individual mandate upheld his attacks this state -- you put out the press this morning Affordable Care Act is a wolf in sheep's clothing explain further.
Well we heard for years when they were confronted debate this in the halls of congress and the president said it many times over.
This is not a tax absolutely not attacks.
And we found out today about Supreme Court that it in fact is attacks in.
You know I actually unfortunately I agree with the president this is not attacks this is -- into the commerce power but the court has ruled that it was attacks.
I found it interesting -- that when I read read the descent.
That the -- found it remarkable that the administration and proponents of this law.
-- found that this is not a tax for purposes of -- the question of any injunction that but it is attacks -- purposes of imposing the mandate.
And the -- found that remarkable and and not do as well.
Furthermore.
-- this decisions today ultimately doesn't again I'm quoting the dissent in his that it takes the power from the legislative branch the power of imposing attacks originating attacks in the legislature.
And puts it in the judicial branch right.
-- -- -- any evidence of what this means for your state South Carolina so we've got the higher tax.
By the individual mandate that's -- ruled of course is we're talking about also got an increase capital gains tax so we're looking at higher tax -- Beyond that -- was earning less or more than 200000 dollars which we Anderson from president wasn't part of that plan at all.
So what are higher taxes and needs it residents of -- state.
Well -- -- -- gonna mean everybody in every state is that you know the Medicaid rolls are going to expand because of the new requirements are grand we don't lose our old money.
For failure to -- about by the new requirements that we're going to still have them.
And and therefore we gotta have the money somewhere -- that's gonna come from the people that that resign and our respective states.
You're going to see a a ripple effect across this country in the cost of health -- going up.
Taxes are going to go up everything this administration has said since two years ago is going to ring very hollow in the next couple -- month.
So let me we're very concerned I -- -- down on this Medicaid issue because the Supreme Court ruling was actually viewed as a victory for states because.
The federal government cannot withhold dollars to states that won't play but you say that's not the case.
Well it's a partial victory I mean it could have been worse -- they could have said you know to take away all your money if you don't abide by the new requirements under the Medicaid provision.
But what you're saying is that when the take away year old money but she's still gonna have these new requirements imposed on the states and so the states are gonna have to come up with a way to fund that -- somewhere.
That has to get passed to the people South Carolina.
So it while it is a partial victory it is also a partial loss and and I'm I'm really concerned about that.
What are your thoughts on the idea and that hospitals doctors we -- this with other guests this hour have been planning.
And making payments and set aside is -- -- setting aside dollars over the last two to three years in preparation for this and now that you remember of this -- And certainty can actually move ahead with business and investment and borrowing.
And and other sort of business activities that could actually be -- fuel for growth.
Well you know.
What Bob -- talking people in the healthcare industry right now and -- in people have been setting aside and anticipation of this actually going through that it would do everything they can the industry to mitigate adverse impacts.
But the problem here which are gonna have is as you have the free markets that work.
When you basically capping what senior citizens are paying on their premiums.
About three times -- -- the where they are now.
Those costs are gonna get past the younger healthier Americans and when their premiums rise they're gonna -- -- -- pay 5000 dollars a year and a health insurance premium when I can pay a small penalty or skiing attacks.
And avoid paying the premium -- what happens is they did after several years and they get sick and they say wait a second I need to go about expensive health insurance policy to cover my medical bills.
And say you have been jumping off the tax back onto a premium and that's gonna calls the race for everybody to go washer exodus is -- -- be -- by everyone across the board.
A question for you mr.
attorney general what do you think that how do you think this in -- the presidential election because it's by many viewed obviously is a victory for the president but.
The tax side of it could be a significant tool for Mitt Romney in the GOP what do you think how how this -- played out in the election cycle.
Well -- Bob -- the analogy is kind of like you know the dog called the car -- he catches the call what does he do with -- you know or maybe even catching the tiger by the tail.
The president you know built his whole premise on on passing this law that this is not a taxing the American people.
Now it is attacks if it was attacks the lipstick is off the pig it is a -- in his attacks and he's gonna have to own that going into the November election.
You're the best that the euphemisms and went to the I -- think that.
Mid thirds are in general Alison thank you so much for your time you're now.
