President Obama seems to hate us entrepreneurs. Why, for God’s sake? Why? He needs us to succeed if he is to succeed.
What has utterly amazed me over the last 3 1/2 years is the Obama administration’s lack of sympathy and even hostility to small business. The culmination of this consistent trope came last week when the President informed us our private sector was doing just fine, but the public sector was what was truly suffering in the present recession. Huh?
Obama seems hurt and surprised when small business howls with alarm at the farrago of mandates, regulations, penalties, and added taxes his policies promulgate. In nothing is this more apparent than his complete lack of sensitivity to the unpopularity and impracticality of ObamaCare in America as a whole, and in our small business community in particular.
The Supreme Court will decide if ObamCare is constitutional before the end of June. But, whatever the nine Justices decide next week, to my mind this misbegotten 2700 page monstrosity is straight-out, all-fired, and pure-D insane.
Here are just a few reasons practical reasons it won’t work, especially for small business:
- It’s hugely expensive for us to comply with. Jeffrey Carlisle, Founder of Our Health Connector states, “A massive amount of money is dedicated toward an alphabet soup of regulation which shift energy [away from health] and onto compliance.” (New Hampshire Union Leader-May 12, 2012)
- Many small businesses will simply bypass the law by paying a fine and dropping healthcare altogether. This helps no one. For instance, Laura Doerger-Roberts, with 170 employees at Vinylmax in Hamilton, OH, says it will be cheaper for her to pay a $340,000 fine than comply. Or take President Pat Daly of Sierra Bullets in Sedalia, MO. Pat says, “At Sierra we have looked at ObamaCare. If it goes the way we believe it will, it would make sense for us to pay the fine and go. I can’t imagine that being a better plan than the excellent healthcare we supply now.” (The Sedalia Democrat-May 2, 2012)
- ObamaCare is a disincentive to hire or expand. 73% of businesses in a recent survey report the healthcare law is an obstacle to hiring. (The Hill-April 16, 2012)
- It will be more expensive for employees as increased regulatory costs and medical overhead are passed on through reduced salaries and diminished raises. 63% of owners in a survey by Zywave in Milwaukee, WI, say they’ll be forced to do this, resulting in wage stagnation. (Birmingham Business Journal-June 1, 2012)
- Supposedly small business will get a tax credit to ameliorate the above mentioned problems. However, it requires filling out IRS Form 8941, a mind-numbingly complex series of calculations. Furthermore, according to my own CPA, going through this expensive accounting exercise will only qualify a very small number of companies. Why bother?
And let’s not even mention the effect on our national debt.
So, while the intentions of Obama and ObamaCare may be good—even noble—the actual results for the economy are horrendous. Small business must create the bulk of new jobs if our economy is to improve and it simply cannot do this while groaning under the added weight of ObamaCare.
While healthcare is certainly a mess, this just ain’t the way to fix it. Indeed, Obama needs entrepreneurs to succeed if he is to have any hope of generating tax revenue to support his ambitious expansion of federal services. Poorly wrought, bureaucracy heavy programs like Obamacare make this task herculean, if not impossible. So, for the sake of all of us, I personally hope ObamCare will be thrown out next week–because, like Crazy Eddie says, “It’s insane.”
As liberal journalist Matt Taibbi puts it in his recent book Griftopia: Bubble Machines, Vampire Squids, and the Long Con That Is Breaking Ameirca, “The Congressional Record will forever show that ObamaCare was passed in a romper room of overgrown children seemingly barely old enough to keep from peeing on themselves.”
Goodness me. Thanks, Matt