ELMIRA – The man who hopes to represent Chautauqua County in Washington starting next year says the Federal Affordable Care Act will have a negative impact on Job growth. At a press conference at the Chemung County Chamber of Commerce in Elmira Monday morning, Congressman Tom Reed (R-Corning) addressed the Affordable Care Act, which was recently upheld by the U.S. Supreme Court. Reed, who’s been a staunch opponent of the act, said full implementation of the plan will require one of the largest tax increases on individuals and businesses in history.
Reed cited the new Health Insurance Tax (HIT) scheduled to go into effect in 2014 as part of Obamacare as one of most negative aspects of the law. The new tax is a fee charged to all health insurance companies based on their net premiums written. The HIT will be passed on and raise health care premiums on an estimated two million small businesses and in turn actually raise health insurance costs on tens of millions of employees.
According to Reed HIT will cost businesses and employees $8 billion in 2014, increasing to $14.3 billion in 2018. There is neither an expiration nor a growth cap for the Health Insurance Tax.
Reed is running for reelection in the newly created 23rd Congressional District, which includes Chautauqua County. His opponent is Ithaca Democrat Nate Shinagawa.