According to Manchin, the framework under consideration would temporarily fund the government to end the shutdown and also raise the federal borrowing limit for a limited period.The problem with this is that delaying the Medical Device Tax can be seen not only as a major concession to the Right, but it in fact kills major funding for the ACA.
At the same time, the proposal would set up House-Senate negotiations on a budget for fiscal year 2014, and delay for two years a tax on medical devices imposed under Obama's signature health care reforms, Manchin said.
There have been repeated calls for an outright repeal of the 2.3% excise tax on sales of medical devices in the stalled budget negotiations, including a proposal from Sen. Susan Collins (R-Maine) this week that would fund the government for six months. The tax is projected to raise nearly $30 billion over 10 years to pay for the law's coverage expansion and other provisions.So a two year delay of this tax would, at a minimum, cost $6 billion. It also hands the Right a legitimate talking point to claim they have successfully made a major blow in their battle to de-fund Obamacare. It was the killing of Obamacare funding that prompted the Right to launch this assault against American democracy and now we are on the cusp -- if the reporting is accurate -- of placing right in Ted Cruz's lap a claim to victory. Of course, you can expect additional hostage-taking now to erode other parts of the funding so they can turn around and crow to the cameras how Obamacare is the budget-buster they warned us about.
Do any of us really believe the press will be there to constantly correct the record, that the Right pulled the needed funding for the act to pay for itself? A program is either solvent or it is not, delaying the medical device tax makes the ACA insolvent.
It should also be noted the deal keeps funding at Sequester level draconian spending, though forces new negotiations on the budget before the next -- even more draconian levels -- tier of sequester cuts are triggered. That second tier, by the way, affects the military more heavily, so the Right will be happy to renegotiate those levels.
What do WE get? We only get the Right to do its job, temporarily, until the next time. We get to keep sequester cuts that gut essential government, like the judiciary. We give the Right a concession and they get to holster their gun, keeping it at the ready for the next showdown.
This is not a win for Democrats, or for the country at large.