Monday, February 5, 2018

More Crony Capitalism from GOP in Frankfort

Senate Bill 5 should be filed under "what were they thinking" or "why bother winning elections if you're going to govern like Democrats." Sen. Max Wise (R-16) is the sponsor.

Wise's bill basically reverses a successful practice of the private companies overseeing pharmacies dispensing drugs and brings it back into state government. That's right, it grows state government -- at a time when programs like education are being slashed due to Kentucky's desperate financial shortfall and the pension mess.

Not surprising, it's expensive (and inefficient) to grow government.  The price tag for Senate Bill 5:  $36 million a year.

Where on earth will the state get $36 million?  This is lunacy.

The only people to benefit from this bill are small town pharmacists. That is, it's crony capitalism -- Frankfort pols picking winners and losers.  In this case, the small town pharmacists win, and tax payers lose. If enacted, the pharmacies will get the Obamacare payment of $10.64 per each drug dispensed -- compared to under a dollar they now get. That's quite a raise. 

Nothing against small town pharmacists. But why should they get preferential treatment over other businesses and industries?  I bet some now defunct independent booksellers are wondering where their handout was.

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