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  • The Senate Bill's Fiscal Madness: Rep. Ryan's Damning Indictment


    As Heritage analysts have noted time and again, spending from congressional liberals’ health care proposals would be in the trillions, growing the federal deficit. The President has proposed a modification of the Senate bill with provisions that would make it even more expensive.  At last week’s Health Care Summit, hosted by the White House, Rep. Paul Ryan (R-WI) echoed these same concerns over the true cost of the President’s proposal for health care reform. Thus far, neither the President nor the leaders of Congress- not one-  have responded to Ryan’s indictment:

    • Budget Gimmicks Galore: “[W]hat has been placed in front of [CBO] is a bill that is full of gimmicks and smoke-and-mirrors…first off, the bill has 10 years of tax increases, about half a trillion dollars, with 10 years of Medicare cuts, about half a trillion dollars, to pay for six years of spending…Now, what’s the true 10-year cost of this bill in 10 years? That’s $2.3 trillion.”
    • Double-Counted Savings: “It takes $52 billion in higher Social Security tax revenues and counts them as offsets. But that’s really reserved for Social Security. So either we’re double-counting them or we don’t intend on paying those Social Security benefits…It takes $72 billion and claims money from the CLASS Act. That’s the long-term care insurance program. It takes the money from premiums that are designed for that benefit and instead counts them as offsets.”  Later, Rep. Ryan went on to point out, “You can’t say that you’re using this money to either extend Medicare solvency and also offset the cost of this new program. That’s double counting.”
    • Medicare as a Piggy Bank:  “Now, when you take a look at the Medicare cuts, what this bill essentially does — it treats Medicare like a piggy bank. It raids a half a trillion dollars out of Medicare, not to shore up Medicare solvency, but to spend on this new government program…Now, when you take a look at what this does…as much as 20 percent of Medicare’s providers will either go out of business or will have to stop seeing Medicare beneficiaries.”
    • Ignoring the Doc Fix: “…[T]he doc fix, according to your numbers, costs $371 billion. It was in the first iteration of all of these bills, but because it was a big price tag and it made the score look bad, made it look like a deficit, that bill was — that provision was taken out, and it’s been going on in stand-alone legislation. But ignoring these costs does not remove them from the backs of taxpayers. Hiding spending does not reduce spending.”

    Rep. Ryan’s arguments are reinforced by Heritage research regarding the true cost of the House and Senate health bills and other reliable sourcesAs an article in the Wall Street Journal points out, “No one in the political class has even tried to refute Mr. Ryan’s arguments, though he made them directly to the President and his allies, no doubt because they are irrefutable. If Democrats are willing to ignore overwhelming public opposition to Obamacare and pass it anyway, then what’s a trifling dispute over a couple of trillion dollars?”

    The President and congressional Democrats have recently made quite a show of concern over the sustainability of current levels of federal spending.  Ignoring the fiscal reality of their health proposals questions the seriousness of their intentions to control spending and reduce the federal deficit. The prosecution rests.

    Posted in Obamacare [slideshow_deploy]

    4 Responses to The Senate Bill's Fiscal Madness: Rep. Ryan's Damning Indictment

    1. Chris, Livonia MI says:

      It is clear the President and the Congressional Leadership are trying to convince democrats in the House to pass the Senate Health Care Bill with the promise that the so called "problems" with the bill will be fixed via the Reconciliation process. Republicans can cast a significant cloud over that so-called promise by taking a “Cloward-Piven” approach to shutting the process down. They need to make it clear NOW that Reconciliation does not have a prayer passage because the Republicans are prepared to overwhelm the process. (see Bill Francis’ article “Cloward-Piven Obamacare” ( http://www.theconservativejournal.com ).

      In addition to making it clear that Reconciliation will not solve the problems with the bill, the Republicans can force the democrats to own some very controversial aspects of the Obama agenda by attaching amendments to de-fund them. Make the Dems vote to keep the funding for the Czars, for Terror Trials in the domestic courts, for EPA over-reaching regulation, for NEA so-called “art”, and so forth. Make them own it.

      This kind of Republican strategy in play now could counter the enormous pressure being put on Democrats that voted “no” on the House Healthcare Bill and those who are on the fence now.

    2. Billie says:

      What a beautiful man. It's been a while since we've heard true words of honesty from government. Genuinely articulate with no mistakes. Intelligence way beyond what we're forced to comply to.

      Thank you for revealing to and protection of America.

    3. Rick White, Novato, says:

      A friend writes:

      A reasonable evaluation of the Texas tort program is what it costs the federal government to support Medicare in Texas.

      Texas Tort Reform is a 2003 law.

      The latest figures I could easily find are for the the period 1992 to 2006.

      During that period Medicare costs went up (adjusted for inflation):

      2.9% in California

      3.53% for the country as a whole

      4.5% for Texas

      Again, adjusted for inflation, total cost per person in 2006 was:

      $8,899 in California

      $8,304 for the country as a whole

      $9,361 in Texas

      So where is the big tort reform savings?

      Could it be that tort costs are an excuse (or a lie) rather than a cause??

      The number of law suits in Texas has decreased dramatically because of the change but I am not surprised to discover that while there must be some big winners, but it isn't helping Medicare.

      Incidentally, I have discovered that there is a sliding scale for Medicare, but it doesn't kick in until an AGI of $170,000 for joint filers and results in a rather small jump, so it isn't much of an income producer.

    4. Steve says:

      I keep coming back to this blog in hopes that I will eventually find something that I understand just a little. I do appreciate reading about these things though. So many people are really into the intellectual stuff. I wonder to what extent these things pertain to the <a href="http://sportaid.com/_search.php?page=1&q=apogee+catheter&quot; rel="nofollow">medical industry; Doctors, nurses, and technicians especially. Thanks for sharing!

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