Freedom Caucus Confirms Support For Revised Obamacare Replacement Bill

Moments ago the House Freedom Caucus announced their support for a revised version of an Obamacare replacement bill that includes the so-called "MacArthur Amendment."  Here is the official statement from Freedom Caucus Chair Mark Meadows:

"Over the past couple of months, House conservatives have worked tirelessly to improve the American Health Care Act (AHCA) to make it better for the American people. Due to improvements to the AHCA and the addition of Rep. Tom MacArthur’s proposed amendment, the House Freedom Caucus has taken an official position in support of the current proposal.

The MacArthur amendment will grant states the ability to repeal cost driving aspects of Obamacare left in place under the original AHCA.  While the revised version still does not fully repeal Obamacare, we are prepared to support it to keep our promise to the American people to lower healthcare costs. We look forward to working with our Senate colleagues to improve the bill. Our work will continue until we fully repeal Obamacare.”

Mission statement of the House Freedom Caucus:

“The House Freedom Caucus gives a voice to countless Americans who feel that Washington does not represent them. We support open, accountable and limited government, the Constitution and the rule of law, and policies that promote the liberty, safety, and prosperity of all Americans.”

NEWS: Freedom Caucus announces support for AHCA with Rep. MacArthur"s amendment included. Statement: https://t.co/MD3NXpiPQ8

— House Freedom Caucus (@freedomcaucus) April 26, 2017

As we noted previously, the "MacArthur Amendment" (summarized here) effectively allows individual states to "opt out" of certain Obamacare regulations which require minimum coverage and restrict the ability to insurers to charge varying rates based on an individual"s health.

Of course, only time will tell if appealing to the more conservative wing of the Republican party will now result in defections of more centrist votes.  As John Boehnor said best, "Republicans have never, ever, not once agreed on what a healthcare bill should look like."

Second House Conservative Won't Back Trump's Obamacare Replacement

Just hours after Rep. Mark Meadows (R-N.C.), chair of the conservative Freedom Caucus, said he would vote against Trump"s draft ObamaCare replacement bill (that leaked last week), The Hill reports that another influential Republican Committee member, Rep. Mark Walker (R-N.C.) has said he will not back the bill.

Rep. Mark Walker (R-N.C.), head of the 172-member committee, said Monday his opposition stems from the draft bill"s use of refundable tax credits. 

"There are serious problems with what appears to be our current path to repeal and replace Obamacare. The draft legislation, which was leaked last week, risks continuing major Obamacare entitlement expansions and delays any reforms," Walker said in a statement Monday. 

"It kicks the can down the road in the hope that a future Congress will have the political will and fiscal discipline to reduce spending that this Congress apparently lacks. Worse still," Walker continued, "the bill contains what increasingly appears to be a new health insurance entitlement with a Republican stamp on it."

Walker said he could not "in good conscience" recommend Study Committee members vote for the draft.

Walker became the second top Republican to come out against the draft bill Monday.

Rep. Mark Meadows (R-N.C.), chair of the conservative Freedom Caucus, also said he would vote against the measure as drafted.

He voiced his opposition to the tax credits, which he called an "entitlement program," in an interview with CNN.

Meadows indicated that other members of the caucus may vote against the repeal bill if it contains the refundable tax credit.

Congressional disillusionment at Trumps" Obamacare reform plan follows the "disturbing" reaction the President got from State Governors over the weekend.

Given that President Trump made it clear that his Obamacare reform plan has to be complete before he can begin his tax reform plan, this is a problem for the anxious market participants dolefully waiting for their tax handout to make stocks great-er again.