Cruz jumps into race with alternative to Obamacare

First Posted: 3/27/2015

MARCH 25, 2015 — Texas Sen. Ted Cruz on March 23 became the first Republican to officially announce his candidacy for the party’s 2016 presidential nomination. He’s a long shot at this juncture, ranking eighth of the GOP’s 12 leading contenders, according to Real Clear Politics’ latest aggregated figures based on major polls. But that’s beside the point, as it’s 10 months before the first Republican presidential primary.

Cruz’s candidacy promises a welcome debate among those vying to be the GOP’s standard bearer about where, exactly, they stand on the range of issues; and on no issue more than Obamacare, which most of the GOP’s presidential hopefuls vow to repeal if elected.

Of course, the presidential election is still a long way off. In the much nearer term, the Supreme Court this summer may very well side with the plaintiffs in King v. Burwell. They argue that the Obama administration violated the provision of the 2010 Affordable Care Act that authorizes federal subsidies to those who obtain health insurance “through an exchange established by the state” and not the federal government.

If the plaintiffs do, indeed, prevail, some 7.5 million people will lose their Obamacare subsidies, making health insurance unaffordable for most of them. The question for Cruz and other Republican candidates is what their alternative to Obamacare would be.

Candidate Cruz’s answer is a bill he introduced this month, the Health Care Choice Act, which is co-sponsored by five Republicans, including Florida Sen. Marco Rubio, a potential rival for the nomination.

Among other provisions, the measure would remove the Affordable Care Act’s insurance mandates and allow residents in one state to purchase health insurance plans in any other state.

It would not repeal the president’s law altogether, Cruz acknowledges. Rather, it is part of a longer-term strategy to dismantle Obamacare by sending “bill after bill to the president’s desk to stop its harmful effects.”

As to the 7.5 million Americans who stand to lose their subsidies if the high court deals Obamacare a crippling blow this summer, Sen. Cruz said he is amenable to extending the subsidies until an alternative to the ACA is put in place.

It remains to be seen if Cruz’s proposal gains traction on Capitol Hill. But at least he has set the bar on the health care issue for fellow Republicans aspiring to be president.