April 1st, 2010, Washington, DC–From ALG News’ Capitol Hill Correspondent Derek Baker:
In the Senate, amid a growing national effort to repeal ObamaCare outright, there are some moderate Republicans that have suddenly gotten weak knees on the strategy and softening their stand. Rep. Mark Kirk, who is running for Senate from Illinois, initially backed the repeal effort but is now arguing Republicans need to “minimize its harmful impacts” and pursue a “more effective approach.” Sen. Corker flatly stated “It’s just not going to happen.”
Several more top-tier corporations have announced that ObamaCare will cost them millions in earnings, including Boeing, Goodrich, and Lockheed Martin. Boeing announced yesterday it will take a charge of $150 million this quarter, Goodrich expects to incur a one-time charge of $10 million, and Lockheed Martin will take just shy of $100 million charge, all three citing provisions in Obama’s healthcare law as the culprit.
Bottom Line: It’s notable that Kirk has moderated his stance against ObamaCare now that the primary is over, though his watered-down position may hurt him in the general election as well. Republicans would do well to consistently tie the effort to repeal ObamaCare directly to the struggling economy, since – as predicted – more bad news is announced daily about how the new healthcare law is directly impacting employers ability to hire and turn a profit.
In the House, with members home in their districts over the Easter recess, many Democrats are lying low with few or no events planned, while their Republican counterparts are crisscrossing their districts stoking the flames of the “repeal the bill” movement. There is also increased pressure on Democrat attorneys general to join in the lawsuit against the individual mandate in ObamaCare, or defend their position that the bill is constitutional and risk alienating voters in the process.
More than a dozen Republican AGs have joined together in pursuing a lawsuit against ObamaCare to protect the liberty of their citizens in purchasing the healthcare of their choice. The issue is particularly pivotal in certain states, and several AGs of both parties are seeking higher office.
Bottom Line: The repeal the bill effort on the state level is shaping up as the determining factor in some key races for governor and senator, and puts Democrats between a rock and a hard place: either join Republicans to repeal the bill and abandon BO and your Dem colleagues, or choose to defend the constitutionality of ObamaCare and its rippling effects on the economy and be viewed as beholden to party interests above constituents.
At the other end of the Avenue, Obama’s announcement yesterday to expand oil and natural gas drilling came under sharp criticism from both GOP House and Senate leaders yesterday. Once Obama provided additional details of his plan, it was revealed that he was proposing to prohibit drilling on a larger area than was going to be available for new drilling. Sen. McConnell pointed out that Obama’s proposal would leave “enormous amounts of American energy off limits” and suggested that Obama would stand idly by as his closest allies actively sought to delay drilling in the few open areas for decades.
In another dose of bad news for ObamaCare and the economy, Texas officials have estimated that the cost of complying with ObamaCare over the next 10 years will surpass $27 billion. This is an increase if their earlier estimate and even incorporates several billion in savings not previously accounted for. The unfunded mandate on states was one of the main arguments against ObamaCare during the year-long debate, and is certain to be an ongoing fight as states begin to examine their already tight budgets and review the impact of the new law and its associated mandates and regulations.
In yet another piece of bad news for Obama and his “number one priority” of jobs and the economy, ADP private sector job numbers were released yesterday showing a loss of 23,000 jobs in the March. Since several economists had predicted an increase, this news comes as a staggering blow to Obama and the Democrats, and casts a dark shadow over the Bureau of Labor Statistics numbers expected Friday.
Bottom Line: Its almost surprising to see the amount of bad economic news being brought to light so quickly one ObamaCare passed. Though Republicans predicted just such a dire scenario, it’s sad to see the harmful effects coming to pass so quickly. Worse yet, this is only the beginning, since much of the new taxes and regulations have yet to be implemented.
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