Dirigo Health

I am not good at math, but how do you go from 15,000 enrollees to 11,500 enrollees and save twice as much money?

It is worth explaining, one more time, for those unfamiliar with the Dirigo funding scheme. The savings is defined as money that the Dirigo Health Program saved the health care system by covering more folks through Dirigo Choice or through "innovative cost savings regulations" --things like voluntary prices cap.

So, last year with 4000 more enrollees in Dirigo - they only "saved" roughly 32 million, now with fewer enrollees this year, the program is expect to 50% more at 48.7 million.

Who devised this funding scheme....Lehman Brothers?

While we scrambled to meet income tax deadlines last April 15, Maine politicians passed $70 million in tax increases on health care and beverages to pump more tax dollars into Dirigo Health. In response, the state Chamber of Commerce, the beverage industry and other businesses united as the Fed Up With Taxes coalition to put a people's veto question on the November ballot, hoping voters will reject the new taxes.

Dirigo was supposed to be the closest thing to universal health care that Maine, and the nation, had ever seen.  Today, Dirigo is nationally recognized as a colossal failure.  Hopefully, the old saying "As Maine goes, so goes the nation" won't apply this time.

Senator Libby Mitchell launched a missile in to the Fed UP With Taxes camp in an op ed piece she wrote in the Bangor Daily News.

Just in case you had any doubt how big the battle will be this Fall, when the People's Veto is on the ballot --Senator Mitchell's opening line should remove all doubt: "Maine residents fed up with undemocratic taxes" by Newell Augur, paid lobbyist for the beverage industry, takes the grand prize for confusing fact and fiction.

Ok, now I am interested in the People's Veto, and I have Senator John Martin to thank.

In a response to the Fed Up with Taxes Coalition, the "good" Senator from Aroostook issued a press release on Wednesday afternoon that went after Dana Connors, the President of the Maine Chamber of Commerce. From the release:

AUGUSTA-Assistant Senate Majority Leader John L. Martin, D-Aroostook County, today called on the Maine State Chamber of Commerce President Dana Connors to resign from the "Fed Up Taxes" coalition, who are trying to eliminate health care access for 18,000 working Maine families and kids.....

.... Mr. Connors has joined a powerful coalition of special interests funded by out-of-state beer and soda corporations who are intent on eliminating a key part of the health plan's funding source, which comes from an increase in the excise tax on high-volume out-of-state beer corporations and syrup used by soda companies. The coalition so far has taken $700,000 from out-of-state corporations like Coca Cola and Pepsi to hire a California-based company to collect signatures.

A group of Maine businesses and other organizations have officially launched a People's Veto campaign to repeal LD 2247, which will raise taxes on beer, wine, soda and health insurance claims. The taxes would support the Dirigo Health program. On their website, www.fedupwithtaxes.org the group describes itself as follows:

Fed Up With Taxes is a coalition of Maine citizens, businesses and organizations who are tired of paying high taxes. The coalition is seeking to undo a recently enacted law taxing flavored water, sports drinks, cola, diet cola, juices AND beer and wine AND all health insurance claims.

Assuming the Secretary of State uses his entire 10 days (he will) to review and approve the question, the group should be able to start by Monday, May 12th. They then have until July 17th, or 67 days to collect 55,000 certified signatures. Realistically the will need to collect over 60,000 signatures to make sure they have enough. To make matters more complicated, they really only have until July 10th as it is generally accepted that you need a week lead time to process and certify the signatures with the local towns before they can be submitted to the Secretary of State.