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Here’s S.C. State Senator Tom Davis explaining why Medicaid should not be expanded in the Palmetto State under Obamacare – a discussion that takes an interesting detour into the current monetary policy of the U.S. Federal Reserve and its potential impact on future Medicaid payments.

“At some point in time even the United States Congress isn’t going to be able to simply paper over this by raising the debt ceiling, it will have to take some action” Davis says. “And I submit to you the very first thing they will do – aside from raising taxes, they’ll try to do that first – but the second thing they’ll do is they’re going to stop the amount of money, the transfer payments that go from Washington, D.C. back down to the states for roads, and health care and title one education and other federal programs.”

Exactly … which is precisely why such “strings attached” funding like this should never be accepted. All it does is obligate South Carolina to cover an expanded long-term taxpayer burden.

“We’ll still send money up there, as taxpayers, to Washington, D.C.,” Davis added. “But less and less are there going to be transfer payments coming back down to the states to cover those programs.”

Indeed …

It is a bit odd, however, that toward the end of his remarks Davis praises S.C. Department of Health and Human Services (SCDHHS) director Tony Keck for opposing the Obamacare Medicaid expansion.

Why is that strange?

Because Keck and S.C. Gov. Nikki Haley have been ballooning the state’s Medicaid rolls … in fact Medicaid in South Carolina is projected to grow three times as fast as it is in states NOT accepting Obamacare subsidies. Hell, Medicaid in South Carolina is growing faster than it is in states that ARE accepting Obamacare subsidies.

For reals … 

So which is it, Senator Davis?

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