Gov. Bobby Jindal signed into law Senate Bill 682, implementing his health care plan “Louisiana First America Next Freedom and Empowerment Plan” May 30.
The “America Next” plan, which was unveiled by Jindal in April, was created to replace the Affordable Care Act in Louisiana to offer a conservative, consumer- focused alternative. The House voted 96-3 in favor of the bill.
“The bottom line is it reduces costs, empowers patients, does what the president said he wanted, but we also start by repealing the entirety of Obamacare,” Jindal said in an op-ed video for The Wall Street Journal.
The plan will eliminate the tax-exempt status of employer- sponsored insurance plans. Instead, a standard tax deduction for all forms of health insurance will be applied, encouraging people to purchase their health care independently.
The interstate sale of insurance will also be allowed under the new plan, so Louisiana residents can buy insurance being sold in other states.
“We are giving you more choices,” Jindal said.
Critics of SB 682 wonder what impact the “America Next” plan will have on Louisiana.
“There seems to be an outline of what you are proposing to do and not much substance,” Rep. Regina Barrow, D-Baton Rouge, told the House Health committee. “That really gives me some concern.”
Many Louisiana physicians are worried about what this plan will mean for their patients and practices.
“None of us really know what the governor truly wants the bill to be,” said pediatrician Dr. Roberta Vicari.
The Louisiana Department of Health and Hospitals has been tasked with determining how to implement the plan and calculating the costs. DHH Secretary Kathy Kliebert said that while the agency could provide a plan and budget by its September deadline, further state and federal approvals may be required before the plan can be put to action.