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  • Morning Bell: Obamacare Sends Deficits Off Cliff

    This Morning Bell is the second in a five-part week-long series (read Monday’s on out-of-pocket costs) on how Obamacare will affect you.

    “I will not sign a plan that adds one dime to our deficits – either now or in the future. Period.” President Barack Obama promised this to the American people in his health care address before a Joint Session of Congress on September 9th. Problem is, no one believes him.

    The Congressional Budget Office has issued reports on the Senate Health Committee bill (HELP), the House Tri-Committee Bill (HR 3200), and the Senate Finance Committee bill (Baucus bill). According to the CBO, the HELP bill would add $600 billion to the deficit in just the first ten years, HR 3200 would add $239 billion to the deficit in just the first ten years, and the Baucus bill claims to reduce the deficit by $81 billion.

    But nobody believes that the Baucus bill will accomplish what it claims to do. As the Washington Post reported:

    The cost difference stems from the fact that the House measure is honest enough to include the full 10-year cost of the so-called “doc fix” — $245 billion to reverse scheduled cuts in Medicare payments to physicians — although not fiscally responsible enough to pay for it. The Senate just patches the problem for one year and pretends that doctors take a 25 percent cut in reimbursements the following year and then stay at that low level forever. No one believes that will happen, so the money is going to have to be scrounged up later or else add more to the deficit.

    The Washington Post is right: claims that the Baucus bill reduces the deficit are a complete fraud since there is simply no way Congress is going to cut doctor pay by 25% in one year. But all of these bills are deeply dishonest about their true costs in a more fundamental way.

    Look at these charts on spending levels in the HR 3200 and the Baucus bill over time. Notice how in both bills the increased revenues (a.k.a. tax hikes) occur immediately but the increased spending doesn’t really ramp up until 2013. In other words, in order to game the CBO scoring system (explained by former CBO Director Donald Marron here), Democrats have packed ten years of taxing, but only six years of spending, into the CBO’s ten-year budgeting window.

    So what happens to the deficit in those years after the CBO budget window? Rep. Jason Altmire (D-PA), a member of the Democratic Blue Dog Coalition explains: “Every year, you lose ground. It’s likely after 10 years, we fall off a cliff.”

    Falling off a cliff. That is the verdict from members of his own party on what Obamacare will actually do to the federal deficit.

    Quick Hits:

    Posted in Ongoing Priorities [slideshow_deploy]

    27 Responses to Morning Bell: Obamacare Sends Deficits Off Cliff

    1. Shelpicker, Florida says:

      As I understand it after the bill came out of committee the corruption started with 71 pork attachments added without review. It is time to stop these fools in both the congress and senate and is time to overthrow the whole bunch. We need a special election stating the fact that the government can no longer be trusted and that the 435 individuals need to be sent packing and should be replaced by new elections. Their aides can run the daily requirements before the election. OVERTHROW THE GOVERNMENT

    2. jim toledo says:

      Why would anyone think that you can increase the coverage for health care and not increase the cost? I can't remember one government program that actually did what it was supposed to do or cost exactly what they said. Obama, his administration and the current congress have lied so much and stretched the truth so far and have been hellbent on passing their left wing agenda, how can anyone believe a word they spout? There are always unintended consequences and it sounds like the health care bill, once the words are inserted instead of just hot air or somebodies thoughts, will be filled with so many land mines that everybody will be hit with the shrapnel. Over cost, poor coverage, limits, and other mandates will ruin the best system on the face of the earth. Definately hope and change everybody can believe in.

    3. Proud citizen says:

      Hopefully America will wake up before we are poorer than the countries our charity donations currently are helping. Then who will help us? May God Bless America!

    4. Christopher Popham S says:

      How does anyone respond to such confounding and

      convoluted reports on our domestic issues?

      Health care? Obamacare? Congress care?

      I don't think so.

      Get over it America. We need to cease and desist from draining our national treasury on corrupt and ungrateful countries like Iraq and Afghanistan.

      $4 billion a month in Afghanistan, $12 billion in

      Iraq = $16 billion X 12 months = $192 billion.

      Gosh! That kind of money could go a long way to

      mending our domestic issues and the troops could be

      brought home to protect our borders.

      But don't count on it. The military/industrial complex has us in its diabolical vice, while young

      Americans die on a weekly basis, so that they can

      reap the corporate profits of futile wars.

      Is this really the America you want?

      Congress and the Administration are dictated to by

      these forces of greed. They personally benefit from

      the entire quagmire of illicit war mongering and

      succeed in dragging this once great nation down even

      futher. Is this what you want or expect from America? Today, President Obama, "quietly" made plans to deploy 13,000 more troops to Afghanistan.

      Oh yes, May God indeed Bless America. Good luck.

    5. Bob Veigel, Arlingto says:

      And with deficits over the cliff so goes our Nation. Obama and his cronies are deceitful, dangerous and very destructive. Hard to believe that the President of the United States is hell-bent on destroying the Nation he has been elected to lead and guide as the founder's so declared in

      The Constitution of The United States. May God have mercy on his soul.

    6. Richard Cancemi, Arl says:

      Deceits,distortions,obfuscations, half-truths, out-and-out lies! But never the truth, the whole truth and nothing but the truth!

      DeToqueville said: "America is great because America is good; when American ceases to be good, America will no longer be great"!

      America is still Great(although seriously wounded by Progressive Socialism).

      The Executive, Legislative and the Judiciary are no longer good! Their poisonous ideology is flowing through the HEART of America!

      If they are not replaced with GOOD men, their EVIL will destroy what's left of all that is good in and about AMERICA!

      In every election, lies the antidote.

    7. mike hutchings texas says:

      we will find out how much we owe for the priveledge of being a second rate shadow of a failed european style socialist experiment and what rights property has.

      have we come so far from the old world only to be reeled in and stuck back under the thumb of the same masters with different faces.

      i realize this wont be posted and i take no offence so i will address you directly.

      the work heritaige does is going to be crucial to our survival to escape being another failed facist state thats only notable achievement will have been to destroy its self as a nation thats very existence is a threat to every dictator and new age communist in power because of the freedom that is inherent in us as americans.

      the vietnam war was lost by this country but inside the colleges and media rooms it was a victory for the left and an infiltration began that brought us to this carefully crafted point.

      heritaige must under no circumstances compromise what they stand for in the years to come if this is to be reversed. you must remind people of what are now and that the choices resides in them still and avoid having to teach them who they truly were and not some brutish caricature of what its like to be a free man or woman on this earth.

      heritaige has a role to play beyond choosing the lesser of evils. evil is evil and the degree doesnt matter. that is what you have to do.

    8. Lawrence Runke, MD, says:

      Please read Ron Paul's "The Revolution; A Manifesto". We must do as he says and the only way to do so is to never, never, never elect an incumbent to office and never elect an incumbent to another office within the same government, ever!

      This is the only way for the "People" as in "We the People" to take back control of the current corrupt governments and bureaucracies and return the USA to a Republic and to Constitutional law.

      The bureaucracies are the "4th Branch" of government. They make most of the laws and rules governing us and are completely hidden from us and have no elected person overseeing their rules and conduct. All rules and laws and etc. should be legislated by elected persons. No one else should be allowed to make any rule on their own including the President of the USA.

      I agree with Richard Cancemi but NEVER should an Incumbent be re-elected.

      Also, there should be a sunset rule on every piece of legislation. After 5 years it must be re-written completely, go through committee, be voted upon by both chambers and signed by the President to be law again.

      Every piece of legislation, law, statute, directive, code, rule, executive order, bylaw and etc. takes a freedom from someone. Everyone of these when passed should identify the fredom taken away and from whom it was taken.

      Lawrence Runke

    9. David, Virginia says:

      I do not think it a coincidence that the "cliff" arrives at least 2-3 years after Obama thinks he will be happily retired and roaming the world collecting huge speaker fees. It will be up to his successor to clean up the mess.

    10. Tom. Florida says:

      Lies are a trademark this Congress and the White House. They are forcing all this socialist legislation down our throats for a reason. These bills are loaded with socialist garbage, tax increases and more. When the real facts are learned socilists revert to lies. The people will prevail.

    11. Judy, Arizona says:

      What I would like to know is– They claim if you currently have insurance thru your employer you would not be required to make a choice between that and a government option. My understanding is that insurance (thru your employer) is a privilege not a requirement. I would like to see the figures for some companies or any business on what they are paying for their portion of employee insurance and how much they would pay for the penalty portion of their payroll. Would they opt out (especially if they are in financial trouble) to save money, therefore forcing employees to go with the government. I want to see numbers.

    12. charles labounty says:

      I've been watching CSPAN coverage today of the Senate Finance Committee hearings on the bill.

      They are going to vote today on this bill and the language is only conceptual and not the actual legislative language.

      The Head of the CBO has been questioned exstensively today — it's clear to the their scoring of this bill is grossly incomplete.

      I can not believe it these Senators will vote today and have not actually seen the real bill. How un-American and irresponsible.

      My wife and I have started to discuss what country we should move to.

    13. Dennis A. Social Cir says:

      The America that we have all known and loved is going to be dead and buried under the dems and obama. We have noone to blame except for the American people, obama was elected on his "hope and change" and people sucked it up like it was the best thing since sliced bread. Well this "hope and change" has turned out to be all bitter and tax. I think have have no clue as to what we will have to pay in the near future.Then we may not have to pay, as China hold the majority of the debt that obama has run up, we may very well have learn to speak anothe language soon, and then be under communist rule, but that may not be different from the current obama "rule. We must vote in 2010 to stop this mess.

    14. Bob R Geologist, Tuc says:

      A Democrat is a spendthrift, a would-be miracle worker with a line of phoney baloney and spending like a drunken sailor, money they do not have.

    15. michael n. carlson says:

      we could just make it really easy for politicians,just give us the same Health Care Insurance they all have in Washington.DAH!! It only costs them about $536.00 annually for their coverage,and they get it all. So I say whats good for them ought to be good for who pays there salaries. LISTEN TO OUR VOICES !!

    16. Ron, Derry NH says:

      Unfortunately the government is in panic mode and the lies are all they have left to sustain their incompetence.

      Like an obese child that can't stop eating they are now devouring everybody elses meals.

      The gluttony of congress will not produce a bill that will balance the budget, save the day or gently go into the night. Like a bull in the china shop, they are aggressively seeking a monetary solution to the deficit they created by tapping into the last resources of financial movement left to rape.

      I am pretty sure this is what a failed administration looks like, when like an starving dog in a cage, it starts gnawing on its own legs for nourishment or an intoxicated drunk that starts explaining himself at the scene of a crime to the arresting officers. They look stupid, sound stupid and are being stupid because they have wrecked Daddy's car. They have ruined the countries future and they know it.

      No American congressional leaders would be so adamant about destroying our very foundations, if they hadn't already accepted the fact, that it has already occurred with the stimulus, designed only to save the lenders. Now they are bailing out every nook and cranny to look sincere, while trying to find a patch kit to remedy their stupidity of sacrificing the whole for the advantages of a few.

      We are watching "drunk with power imbeciles" attempt to use their deficiencies to fix a problem that is them. They lack the tools, the sincerity and actual ability to do anything else but steal more money to attempt a financial rescue of what they have already destroyed with 787 billion dollars of debt to a foreign country.

      Perhaps they will sober up but I am convinced we'll hear nothing but excuses like you would from a seasoned drunk that has continually fallen of the wagon. They can't help but to lie and add insult to injury by making promises the can't keep and doing more damage to themselves and others until the body fails.

      Sadly that is us, the body of this beast!

      There is no way out but to destroy the dollar, grab some cash flow and gain government control of all avenues of monetary advancement to appease the debt and eventually the Chinese. It will take a heck of a lot of lying to make this seem trivial so it may seem inadvertent and not Obama, the Fed and Congresses fault.

    17. Dale Emde, Pacifica, says:

      No one seems to ask who is creating this mess.Here's the answer: The forces who are and have been striving for untold years to establish a One World Government. Some of the major players are Kissinger, Brzezenski, David Rockerfeller,the Federal Reserve System, Council on Foreigh Relations, trilateral commission and all their many subordinates.Don't forget the Bildebergers.

      Their goal is and has been for many many years, total control of the entire world and now they are moving forward more quickly than ever before by causing this world recession and making sure we, the U.S. can do nothing to stop it. They ignore illegal immigration, as the North American Union would be endangered, continue to destroy the value of the dollar so that a global currency will appear and so much more. Carter, Clinton and both Bushes and now Obama are all supportive of this huge goal and it's not for we the people, it's for all of these so-called elites with visions of power and control dancing in their heads. Adios United States of America!

    18. Ron, Derry NH says:

      Picture this in your mind; before you lies a scene where a huge bomb has been dropped, a 787 billion ton bomb.

      Everybody is hanging onto life by a thread and lying down to protect what is left, positive that another bomb is coming.

      A few essentials are still moving and trying to take care of the motions of life so the scene doesn't collapse into a whimpering frighten mass. The leaders, who were the ones that dropped the bomb on their own people and are trying to make excuses for friendly fire, so the trust level to put your head up to look around is pretty thin. Most people are responding as if in shock and are acting accordingly in various degrees of disbelief or zombie like motion.

      As you watch in disgust those same leaders that are telling you to get up, are hunting down survivors and beating them into submission. You also hear dialog that another bomb is eminent. No one can panic as survival demands a careful acceptance of the situation and a need to find what little shelter is left…….

      They've grouped people together and chained them to a wagon that they say will help them….but you know better.

      How are we supposed to trust the leadership, get up and go to work, start spending your last valued worth when the evidence show us this impending forced march off a cliff?!

    19. Mary N. Lodi, WI says:

      I agree with Shelpicker of FL. Overthrow the government! As angry as the majority of the people are with this administration I could see it happening….easily. But I have to admit it is a frightening thought.

      Watching our great country crumble a little bit more everyday is giving me bad dreams. I don't want to believe the USA would succumb to Socialism. How did this happen?!

    20. Freedom of Speech, T says:

      "You can keep your doctor. You can keep your health care. You will not be charged one extra dime."

      Health Care is the least of our worries. It is one big program which combined with others to follow, with continued borrowing – will implode capitalism. That is the result.

      The libs will be happy to pick up the pieces and "save" the country – under the new order.

    21. Judith in Michigan says:

      To Dale Emde of Calif.,

      You forgot the biggest "rotten fish" of all…one George Soros, the billionaire who has vocally stated his desire to destroy the American system and establish a one-world Socialist government. He already heavily influences events here in America, including the election of Obama, because Mr.O. has the same ideas. He poured millions in the Minn. election of Al Franken. After pouring millions into the failed campaigns of Bush's opponents, Soros indicated he wouldn't fail again. Looks like he may be succeeding. Only us citizens can expose and stop him.

    22. Patriot Cat, Texas says:

      It is interesting, in Texas come November, we will be set with 3 propositions one of which is a VAT tax on homesteads. The first 3 are all about raising taxes. Then we have Baucus and the rest ramming this thing that threatens to put me in prison for not getting the insurance they decide for me and making sure that my grandchildren or your grandchildren will be thoroughly inspected to see if they are fit parents…to have children and will be re-visited by agents to see if they have the correct parenting skills…what if the child is not quite 2 but has Downs syndrom…well, I guess that means it's still a fetus…and will be properly aborted. Interesting that this hasn't been on the news. Well, enough for one night. I was just turned down by Wellington Insuarance for my house because I replaced 50 year old pipes under the house with PVC and not copper…do you know how much copper costs right now? Well, that's it from Texas. What's going on in your state?

    23. Patriot Cat, Texas says:

      My mother at the dinner table was the first one to bring up politics. We worked on fixing the Union most every night. She died listening to Rush and Sean Hannity and Bill O'Reilly. She told me that she's dying before the end of the US. She was probably right.

    24. Patriot Cat, Texas says:

      to David in VA: Do you really think there will be a successor in 4-8 years? I don't think that's the plan. There is a plan that's been percolating out there for a while with misdirections, some accidental and others created on purpose, that will have us using a new currency and talking to leaders of other countries for everything. We have apologized to everyone for everything that we have done for scores of years to help those in need. That is not how the left sees it. We are in need of reconstruction so that we can be leveled and decimated. The Saudis bought Obama's Nobel Prize because he will not be able to do anything about Pakistan and Afghanistan and will have to leave Iraq. Iran is out, too. The Russians will be dealing with China. The Jewish nation will be dealt a death blow with a pogrom for destruction. I find the whole thing to be a disgusting illusion that many of our own people have bought and sold to the American people. I have never believed that there are

      'stages' of rape or that 'queering' of innocent elementary students is a direction that this country should go. I find that if this continues, there is going to be a civil matter to deal with. The best way for China to take over is to take away the dollar…it's valueless right now anyway. Russia and China are not friends, but both of their mafia-like organizations run quite a swath through our country as does the Mexican Mafia. We have a systemic disease and no one is standing up to fight for our Constitution, which, if the Health Care Bill and the Cap and Trade are passed will abrogate and gut most of it.

    25. Joyce from Ohio says:

      If "We The People" are ready to take back this country and storm Washington before Obama gets his "Military together" which was a good sign to me when I heard that..that we the people had better DO SOMETHING ASAP!! Hello Obama, we have a military already duh! Our Government has been out of control for years and it's time that we do something! Please join the Tea Party Express, I haven't yet but there is another one starting the end of this month, go online get involved! I think time is running out, action is the right choice! The rich elites of this world can kiss my backside because they make me barf! Get up lets take our country back NOW!!!

    26. James Frazee, Arkans says:

      OK, the Democrats have all Bills out of Committee. I can sort of understand the Liberal bias due to the Liberal Left leadership and the fact that many in Congress have NO experience in anything except being a Bureaucrat.

      Democrats believe in the Public Option, which is Socialism, if the insurance companies don’t meet the challenge of affordability or they just believe in the Public Option as the affordable option.

      But now that the Democrats have their Bills, why is the news media not asking one simple question.

      What is affordable insurance and for what coverage???

      What are the premiums, deductibles, and co pays?

      Can Democrats answer that?

    27. Carol, AZ says:

      Health care in America?

      We Americans live in a country which has been the the envy of the world.

      We can not effectively produce, nor obtain, enough vaccine for the swine flu pandemic which has been steadily forecast by the press for the last four months.

      It has also clearly been stated,"there is not enough to go around."

      So now we all know the meaning of "rationed health care."

      How do we the people expect to believe that "the Gov't" can run a health care program and certainly not pay, and pay, for this giant step towards Socialism.

      The cost in over runs, the continuation of fraud ,over-charges by hospitals, Doctors, and Drug Co.and as stated, the pork barrel add-ons that will go with this bill if passed.

      Where is the reform within the current system?

      This is a huge error in judgement on all levels.

      The Answer is "yes" to all of you who eluded to "who will pay for this?"

      We all will be paying this.

      Anyone who believes otherwise must also believe in the tooth fairy .

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