Ultimately resulting in little change at the vet's level.
I think that's a very large assumption. Again, I have to wonder 1) why Hatch proposed the amendment in the first place? He either felt that the Vets would experience alot of change, or he didn't. Since it did not propose protection for medical companies, I am left to assume that he and Republicans had a genuine concern for vets. 2) why did all but 5 Democrats oppose the amendment? Again, if this is no big deal, resulting in little change to the vet personally, voting for this legislation would've been a political statement without any true cost to anybody. It doesn't make sense if there is no change for the vets.
I found the quote you previously mentioned on a blog by a guy named bluehog (?) ... 7% of zero is zero. That's a red herring. It's not a zero - there is an actual and very large cost, and an additional 7% is a large number on a $100,000 leg. The manufacturer is not going to absorb that cost, it will go to the consumer (like all products). Where is VHP or TRICARE for Life (which is only a partial wraparound on Medicaid) getting the 7% more, by the way, to cover that tax? Those are federally funded "insurance providers" so the government is going to tax the companies, who will pass the cost of the tax onto the government in the form higher costs on medical devices, and claim a $20 billion revenue gain?!?
There is no way revenue will be generated from this unless the government introduces a new funding source ... who might that be?
And since the legislation this amendment attempted to block is just one piece of a march larger plan, which includes threats to VHP and T4L funding in the near term, there is no plausible way you can claim that the vet will have no or little change. Hatch was on to something, the Democrats knew it, which is why they voted it down, and why we're having this conversation.