Here’s more evidence that Gov. Bob McDonnell was right not to move forward with a state-based health care exchange: The price tag for Minnesota’s exchange is rising — even though it hasn’t even started.
Exchanges, required under Obamacare, are essentially clearinghouses where individuals and small businesses can shop for coverage. (They’re also a means by which the federal government can dictate health policy, since insurers cannot offer policies through an exchange unless they conform to a long series of federal requirements.)
States can set up their own exchanges or let Washington set one up for them. Many states wisely have chosen door No. 2. Yet liberal Democrats and some misguided Republicans want Virginia to create its own exchange, despite the steep cost.
That cost is looking even steeper now. The other day Gov. Mark Dayton said Minnesota’s exchange will cost $54 million to operate in 2015, and $64 million the year after that. Earlier estimates had put the cost of the exchange as low as $30 million.