IMO, D is correct.
Because this is weaken question, we should attack the conclusion. What is the conclusion here? The question stem tells us the conclusion.
Premise: new taxes need to be generated to maintain the solvency of the state's Medical Aid program
Premise: special tax be imposed on those with incomes greater than $300,000 a year
Conclusion: the governor's plan to maintain the solvency of the state's Medical Aid program is feasible.
Assumption: Ask yourself what is feasibility?
Feasibility is that the governor's plan can create cash inflow from tax increase. Hence, the assumption is those with incomes greater than $300,000 a year will pay a special tax. If they won't pay tax, the governor's plan fails.
CONSIDER EACH ANSWER: A. Before any such tax increase can be imposed, the state is required by law to hold
hearings at which objections to the proposed tax hike can be raised.
WRONG. Out of scope
B. Imposing a special tax will fail to address the underlying causes for the increasing costs to maintain the state's Medical Aid program or the increasing number of uninsured residents in the state.
WRONG. Shell game. The conclusion is to focus on how to increase revenue from the new tax plan, not on causes for the increasing costs or the increasing number of uninsured residents.
C. In recent years, changes to the Medical Aid
funding formula have shifted much of the burden for maintaining the program from the federal government to state governments.
WRONG. Out of scope.
D. Those with incomes greater than $300,000 a year represent a powerful political constituency in the state and previous attempts to impose tax increases on this group have been blocked by the state legislature.
CORRECT. D says that people who have incomes greater than $300,000 a year will not have to pay tax because they will prevent state legislature from approving the new tax plan.
E. Other states that have tried to impose similar targeted tax increases to maintain the solvency of their Medical Aid programs have met with
mixed success.
WRONG. Out of scope.
Hope it helps.