The Compact

THE HEALTH CARE COMPACT

The Constitution established a federal government, but with limited and enumerated powers, and reserved to the states or to the people those powers not granted to the federal government. One power that properly belongs at the state level is the power to regulate Health Care. However, the federal government has preempted state action in this area.

The Health Care Compact is an interstate compact – which is simply an agreement between two or more states that is consented to by Congress – that restores authority and responsibility for health care regulation to the member states (except for military health care, which will remain federal), and provides the funds to the states to fulfill that responsibility.

The Health Care Compact does not conflict with the efforts by state attorneys general, state legislators and members of congress to repeal or modify the health care bill.

The Elements of the Health Care Compact

Pledge: Member states agree to work together to pass this Compact, and to improve the health care in their respective states.

Legislative Power: Member states have primary responsibility for regulation of all non-military health care goods and services in their state.

State Control: In member states, states can suspend federal health care regulations. Federal and state health care laws remain in force in a state until states enact superseding regulations.

Funding: Member states get an amount of money from the federal government each year to pay for health care. The funding is mandatory spending, and not subject to annual appropriations. Each state’s funding is based on the federal funds spent in their state on health care in 2010. Each state will confirm their funding before joining this Compact. This funding level will be adjusted annually for changes in population and inflation.

Commission: An advisory commission is created to gather and publish health care cost data, study various health care issues, and make non-binding recommendations to member states.

Amendments: Member states can amend this Compact with approval of the members, and no further Congressional consent is needed.

Withdrawal: Any member state can withdraw from this Compact at any time.

Read the full text of the Health Care Compact