Gov. Tim Pawlenty sent a letter today (Friday, April 30) to U.S. Secretary of Health and Human Services Kathleen Sebelius opting out of state operation of a high risk insurance pool as required by the Patient Protection and Affordable Care Act of 2010, otherwise known as the health care reform bill.
Gov. Pawlenty expressed concern that the initial $5 billion in federal funding for the program would be quickly exhausting, resulting in substantial premium increases to sustain the program.
“The identified risk suggests the potential for creating a program and financial obligations for our state that are simply unsustainable and otherwise unwise. Minnesota along with most other states, is managing its budget through challenging fiscal times. In light of this and the risk stated above, we cannot afford to expose Minnesota taxpayers to added potential costs and administrative burdens now.”