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Kline Warns Small Businesses Will be Harmed by Government Takeover of Health Care

Rep. John Kline (R-MN), the top Republican on the U.S. House Education and Labor Committee, today cautioned that small businesses and their workers will be harmed by health care proposals that raise taxes and impose costly federal mandates. Kline reacted to today’s announcement from the Obama Administration regarding new proposals designed to benefit small businesses, arguing that expanding access to loans will do nothing to help small businesses forced to lay off employees or close their doors because of crippling health care mandates. 


“Even as the Obama Administration talks about expanding small businesses’ access to capital, Democrats in Congress are continuing to meet behind closed doors to craft a government takeover of health care that could put many of these same small businesses out of business permanently,” said Kline. 


Among the damaging components of Democrats’ health care proposals is a punitive pay-or-play mandate that would impose a new tax on small businesses that cannot afford to provide health care coverage deemed “acceptable” by the federal government. Republicans on the Education and Labor Committee offered numerous amendments during consideration of Democrats’ health care overhaul earlier this year to protect small businesses, including proposals to block the government takeover of health care that would cost jobs and force millions of Americans out of their current health care plans. 


“Small businesses and their workers are struggling to make ends meet in a troubled economy, and rising health care costs are among the most pressing issues facing small employers today. There is no doubt America’s health care system needs reform. That’s why Republicans are offering solutions to help small businesses and their workers obtain affordable, quality health care coverage,” said Kline. “We know levying new taxes and layering on federal red tape will only make things worse for small businesses and the millions of workers they employ. It’s time for Congress to press the ‘reset’ button on health care reform and pursue commonsense, bipartisan solutions that will drive down costs, expand access to coverage, and keep medical decisions between patients and their doctors.” 

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