Even some of the Democrats who voted to inflict it are stalling rather than plunge into the economic abyss that is ObamaCare:
Eighteen Democratic U.S. Senators and senators-elect sent a letter to Senate Majority Leader Harry Reid last week calling for a “delay in the implementation” of the medical device tax in Obamacare, the Wall Street Journal reports.
The provision was an integral part of the version of the Obamacare law, which was passed in the Senate under Reid’s stewardship in 2009. It is set to take effect on January 1, 2013.
An effort to repeal the provision failed in Congress in June. At the time, Reid characterized the proposed repeal as a Republican attack on Obamacare.
Here’s what they are choking on:
The provision’s 2.3 percent excise tax on medical device manufacturers has sparked panic within the medical devices industry. Indiana-based Zimmer Holdings, which manufactures hip replacement implants, laid off 450 workers in anticipation of $60 million in taxes in 2013. Michigan-based Stryker Corp., which also produces hip implants, laid off 5 percent of its workers in a bid to compensate for the $100 million it will pay in taxes next year.
Even some of the most extreme leftists in the Senate are beginning to realize that there is no free lunch after all; their constituents will have to pick up the tab for Obama’s extravagance.
The provision has proved to be problematic for Democratic senators from states with large numbers of medical device companies. Indiana Senator-elect Joe Donnelly and Michigan Senator Debbie Stabenow signed the letter alongside the next Massachusetts Senate delegation, Elizabeth Warren and John Kerry, whose state is home to more than 400 medical device companies.
The medical device industry spent over $32 million lobbying Congress just in the third quarter of 2011. Hopefully they will spend enough more so that bureaucrats will permit them to survive. That’s the price of doing business in a country run by looting collectivist thugs.
In other ObamaCare news:
Health insurance premiums may as much as double for some small businesses and individual buyers in the U.S. when the Affordable Care Act’s major provisions start in 2014, Aetna Inc. (AET)’s chief executive officer said.
Remember when Obama promised that ObamaCare would lower healthcare premiums? There are people walking around unsupervised who actually believed him.
On tips from Artfldgr, Bob Roberts, Ghost of FA Hayek, and The MaryHunter.