In a statement released after the hearing, U.S. Representative Dave Camp (R-Michigan), committee chairman, said the testimony bolsters arguments advanced by opponents of the reform law that it hurts the economy by making it tougher for companies to hire new employees.
“Today’s testimony from our job creators echo the data we’ve been seeing from leading economists a health care law that is completely centered around the government buries employers in paperwork, imposes too many taxes, and drives health care costs too high,” Camp said, in the statement. “And, it doesn’t do anything to address their biggest health care concern – how to find and afford quality coverage. Add to that how many times I heard it said, ‘we can fix the law’ and it really starts to drive home the fact the law is unworkable, unsuccessful and that we must start over and develop health care solutions that meet the needs of the very men and women we are depending on to create jobs and get our economy moving.”
The committee statement also included testimony excerpts from the hearing:
“The job-crushing effects of PPACA will flow downstream and hurt many of the small businesses that serve our company. Additionally, we will be forced to cease new restaurant development and may forfeit the developments agreement we invested in. That agreement cost $360,000. This future development would amount to $22,000,000 in construction and development and spending, and 260 full-time restaurant jobs,” said Scott Womack, President Womack Restaurants, Terre Haute, Indiana. Testimony at http://waysandmeans.house.gov/UploadedFiles/Womack_Testimony_1_25.pdf .
“I checked the tax credit that I thought I would be eligible for, and I come up with a big fat zero. At 45 employees, there are certainly smaller businesses out there, but I don’t think anyone would consider us a big business. I have learned from other business owners with much smaller companies that the tax credit is so narrow and so limited that it would provide marginal assistance to a very low percentage of small businesses. For example, an 18-person business who pays, on average $38,000, doesn’t get anything either. The credit is temporary and goes away in a few years,” said Joe Olivio, Owner/CEO Perfect Printing, Moorestown, New Jersey. Testinmony at http://waysandmeans.house.gov/UploadedFiles/Olivo_Testimony_1_25.pdf .
“Do the economics of PPACA ever suggest that employer’s could drop? Yes,” said Douglas Holtz-Eakin, Phd, President American Action Forum, Washington, D.C. “Objective analysts have uniformly concluded that the new law raises – not lowers – national health care spending. The rising bill for national health care spending will, in turn produce sustained upward pressures on health insurance premiums.” Testimony at http://waysandmeans.house.gov/UploadedFiles/HoltzEakin_Testimony_1_5.pdf.
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