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Date:3/2/2009

As Sebelius Sweeps Into Washington, Will Her High-Tax Tendencies Decimate The American Health Care System?

AFTER PROPOSING BILLIONS IN NEW TAXES, OBAMA ANNOUNCES SEBELIUS AS HHS SECRETARY

WASHINGTON, March 2 /PRNewswire-USNewswire/ -- The following was released today by the Republican National Committee:

(Logo: http://www.newscom.com/cgi-bin/prnh/20080519/RNCLOGO )

Today, President Obama Will Make A Formal Announcement That President Obama Will Nominate Gov. Kathleen Sebelius (D-KS) For HHS Secretary:

Today, President Obama Will Announce Sebelius As His Secretary Of Health And Human Services. "Kansas Gov. Kathleen Sebelius yesterday accepted President Obama's request to become his secretary of health and human services, stepping into a central role in the new administration's ambitious effort to overhaul the nation's health-care system. ... A formal announcement of her nomination is scheduled for tomorrow." (Michael A. Fletcher and Ceci Connolly, "Governor Of Kansas Tapped To Lead HHS," The Washington Post, 3/1/09)

Democrats Have Already Announced Plans For Billions In New Taxes To Fund Health Care:

Last Week, President Obama Proposed A $634 Billion Reserve Fund For Health Care, That Experts Believe Will Cost At Least $1 Trillion. "President Obama is proposing to begin a vast expansion of the U.S. health-care system by creating a $634 billion reserve fund over the next decade, launching an overhaul that most experts project will ultimately cost at least $1 trillion. The 'reserve fund' in the budget proposal being released today is Obama's attempt to demonstrate how the country could extend health insurance to millions more Americans and at the same time begin to control escalating medical bills that threaten the solvency of families, businesses and the government." (Ceci Connolly, "Obama Proposes $634 Billion Fund For Health Care," The Washington Post, 2/26/09)

Democrats Plan To Pay For The Reserve Fund By Capping Tax Deductions, Amounting In A Tax Increase Of More Than $300 Billion. "About half the money for the new fund would come by capping itemized tax deductions for Americans in the top income bracket. The proposal, which administration officials characterize as a 'shared-responsibility issue,' would reduce the value of tax deductions for families earning more than $250,000 by about 20 percent, according to administration documents." (Ceci Connolly, "Obama Proposes $634 Billion Fund For Health Care," The Washington Post, 2/26/09)

SEBELIUS HAS A HISTORY OF "TWISTING ARMS" TO RAISE TAXES

Kansas Has A High Tax Burden:

Kansas Ranks In The Bottom Half Of States For State Business Tax Climate. "Kansas ranks 31st in the Tax Foundation's State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes; individual income taxes; sales taxes; unemployment insurance taxes; and taxes on property, including residential and commercial property. The ranks of neighboring states were as follows: Nebraska (42nd), Missouri (16th), Oklahoma (18th), and Colorado (13th)." (The Tax Foundation Website, www.taxfoundation.org, Accessed 3/1/09)

Kansas Has The 13th Highest Property Tax Burden. The American Legislative Exchange Council ranks Kansas 38th among states' property tax burdens, with 1st being the lowest, and 50th being the highest. (Arthur B. Laffer and Stephen Moore, American Legislative Exchange Council, "Rich States Poor States: ALEC-Laffer State Economic Competitiveness Index," www.alec.org, 2007, p.71)

Sebelius' Solution To High Taxes Is To Raise More Taxes:

Sebelius Has Called For Hiking The State Sales Tax 8%, The Income Tax By 5%, And Property Tax 10%. "The governor proposes to: Increase the state's sales tax rate from 5.3 to 5.5 percent on July 1, to 5.6 percent in 2005 and to 5.7 percent in 2006. Impose a 5 percent surcharge on personal income taxes, with no expiration date specified. Raise the state's 20-mill property tax levy for schools to 21 mills in 2005 and to 22 mills in 2007." (Chris Moon, "Governor's Plan Would Raise Three Kinds Of Taxes," Topeka [KS] Capital-Journal, 2/26/04)

  • Her Plan Would Have Raised Over $600 Million In New Taxes. "[G]ov. Kathleen Sebelius, a Democrat, would raise income, sales and property taxes and spend $663 million more on public schools over the next three years." (Jim Sullinger and John L. Petterson, "It's GOP's Turn At School Finance," The Kansas City Star, 3/13/04)

Already This Year, Sebelius Has Come Out In Favor Of A $0.50 Per Pack Cigarette Tax Increase, Saying She'd Be "Twisting Arms" To Help Pass It. "Gov. Kathleen Sebelius [advocated] proposals that include a 50-cent per pack increase in the state cigarette tax. 'I will be campaigning for this, urging people to do it, twisting arms to do it,' Sebelius said." (Scott Rothschild, "Sebelius, Barnett Join Forces On Tobacco Tax," Lawrence [KS] Journal-World & News, 1/10/08)

SEBELIUS VETOED EFFORTS TO STOP EXCESSIVE LITIGATION FROM HARMING BUSINESSES AND HEALTH CARE

Litigation Is A Growing Problem For Kansas Businesses:

A 2005 Poll Found That 72% Of Kansas Business Leaders Believe Frivolous Lawsuits Drive Up Business Costs. "A recent Kansas Chamber of Commerce poll of the state's business owners and executives indicated that 72% of business leaders strongly believe that frivolous lawsuits drives up their costs of doing business." (The Attorney General Of Kansas, "Attorney General Kline, Insurance Commissioner Praeger Work To Ensure No 'Medical Liability Crisis,'" Press Release, 3/4/05)

Since Sebelius Took Office, Kansas Has Dropped Six Places In The U.S. Chamber Of Commerce Institute For Legal Reforms State Ranks. Since 2002, Kansas has dropped from rank four to rank ten, or six places. (Kansas Chamber Of Commerce, "Kansas Chamber Legal Institute," www.kansaschamber.org, 8/9/04; U.S. Chamber Of Commerce Website, Institute For Legal Reform, www.instituteforlegalreform.com, Accessed 3/1/09)

Sebelius Vetoed Efforts To Reduced Medical Liability Insurance Costs In A State Which Is "Showing Problem Signs":

The American Medical Association States Kansas Is "Showing Problem Signs," Due To Rising Medical Liability Rates. (Sherman Joyce, "Election Should Lead To Strong Legal Reform," The Wichita [KS] Eagle, 11/16/04)

But In 2007, Sebelius Vetoed Legislation, Making It Easier To Sue Physicians In Consumer Protection Cases. "Gov. Kathleen Sebelius ... vetoed a bill that she said would have exempted health care providers, including doctors, from the Kansas Consumer Protection Act. ... The Kansas Medical Society issued a statement saying it was 'very disappointed' in Sebelius' veto. ... Without the bill, they said, more litigation will occur and that would lead to higher malpractice premiums for health care providers, which will be passed on to consumers." (Scott Rothschild, "Sebelius Vetoes Bill Sought By Doctors," The [Lawrence, KS] Journal-World, 4/21/07)

SEBELIUS SUPPORTS BIG LABOR AND TRIAL LAWYERS OVER KANSAS WORKERS AND BUSINESSES

Sebelius: In Pocket Of Trial Lawyers:

Sebelius Was Executive Director Of Kansas Trial Lawyers Association From 1978-1986. ("Gubernatorial Candidates On Tuesday's Primary Ballot," The Associated Press, 8/2/02)

Sebelius: "Perhaps My Objectivity Has Been Seriously Compromised By My Trial Lawyers Employment, But The Premise That People Are Too Eager To Use The Courts Seems Hollow To Me." (Kathleen Sebelius, "And From The Director," Journal Of Kansas Trial Lawyers Association, Volume V, #1, p. 2, 2/81)

Sebelius Has Received At Least $898,707 From Lawyers & Lobbyists. (The Institute For Money In Politics, www.followthemoney.org, Accessed 1/22/08)

In Her 2006 And 2002 Races For Governor, Lawyers And Lobbyists Were The Top Economic Sector Contributing To Her Campaign. (The Institute For Money In Politics, www.followthemoney.org, Accessed 1/22/08)

Sebelius: In Pocket Of Big Labor:

Sebelius Has Received At Least $564,495 From Big Labor. (The Institute For Money In Politics, www.followthemoney.org, Accessed 1/22/08)

A Product Of The RNC Research Department

Paid for by the Republican National Committee.

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Not authorized by any candidate or candidate's committee.


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SOURCE Republican National Committee
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