AUSTIN – Texas Gov. Rick Perry officially notified the federal government on Thursday that the state will not set up an exchange to help people buy health insurance.

Perry sent the letter to Health and Human Services Secretary Kathleen Sebelius a day before the deadline to let Washington know that the state will not set up its own exchange. President Barack Obama’s administration gave states the option of setting up their own exchanges, partnering with the federal government or letting Washington do it.

The health insurance exchanges are required under the Affordable Care Act. They give people without insurance an online market place to buy health insurance that suits them. People with low incomes and special needs will get subsidized insurance when the exchanges begin operating in October 2013.

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