From HCR waivers to fundraiser favoritism – what’s next? ‘bamacare bailouts

Posted by: ST on April 1, 2011 at 8:15 pm

Just when you thought ObamaCare couldn’t get any worse. Via the Washington Examiner’s Byron York:

Investigators for the House Energy and Commerce Committee have discovered that a little-known provision in the national health care law has allowed the federal government to pay nearly $2 billion to unions, state public employee systems, and big corporations to subsidize health coverage costs for early retirees. At the current rate of payment, the $5 billion appropriated for the program could be exhausted well before it is set to expire.

The discovery came on the eve of an oversight hearing focused on the workings of an obscure agency known as CCIO — the Center for Consumer Information and Insurance Oversight. CCIO, which is part of the Department of Health and Human Services, oversees the implementation of Section 1102 of the Affordable Care Act, which created something called the Early Retiree Reinsurance Program. The legislation called for the program to spend a total of $5 billion, beginning in June 2010 — shortly after Obamacare was passed — and ending on January 1, 2014, as the system of national health care exchanges was scheduled to go into effect.

The idea was to subsidize unions, states, and companies that had made commitments to provide health insurance for workers who retired early — between the ages of 55 and 64, before they were eligible for Medicare. According to a new report prepared by the Department of Health and Human Services, “People in the early retiree age group…often face difficulties obtaining insurance in the individual market because of age or chronic conditions that make coverage unaffordable or inaccessible.” As a result, fewer and fewer organizations have been offering coverage to early retirees; the Early Retiree Reinsurance Program was designed to subsidize such coverage until the creation of Obamacare’s health-care exchanges.

The program began making payouts on June 1, 2010. Between that date and the end of 2010, it paid out about $535 million dollars. But according to the new report, the rate of spending has since increased dramatically, to about $1.3 billion just for the first two and a half months of this year. At that rate, it could burn through the entire $5 billion appropriation as early as 2012.

Where is the money going? According to the new report, the biggest single recipient of an early-retiree bailout is the United Auto Workers, which has so far received $206,798,086. Other big recipients include AT&T, which received $140,022,949, and Verizon, which received $91,702,538. General Electric, in the news recently for not paying any U.S. taxes last year, received $36,607,818. General Motors, recipient of a massive government bailout, received $19,002,669.

Please make sure to read the whole thing for more information on who else has gotten a bailout as a result of the passage of health care “reform.” State governments, more unions …

Looks like Pelosi was right after all: They really did have to pass ObamaCare so they/we could find out what was in it. x(

The scratch my back, I’ll scratch yours mentality continues. “Change” you can believe in, yada yada, etc.

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6 Responses to “From HCR waivers to fundraiser favoritism – what’s next? ‘bamacare bailouts”

Comments

  1. Carlos says:

    UAW? GE? GM? Gosh, next you’ll be telling us that AIG and Goldman-Sachs are also on the list, as well as any enterprise (for profit or NPO) that is in any way connected to Soros.

    Like Gomer used to say, “Well, gaw-aw-aw-aw-awly, Sarge!

    I informed one of my coworkers today that I would never, ever buy another GM or Chrysler product again, and he was dumb enough to wonder why!

  2. Kate says:

    HOw much more is in Obamacare….seems like they are still scratching the surface of this bloated bill!

    My husband and I are in that group of people who would probably benefit from this since he is eligible for retirement at age 56 and that would leave him without “medical benefits” from his current Teamster plan of he were to choose to retire. Under his current union coverage all medical benefits stop once you retire anyway and you are aware of that. Most guys work until after age 65 anyway because the wages and benefits are great. But with a contract under negotiation now we all wonder what the union is willing to give up to keep the jobs.

    I didn’t see any Teamster/trucking/logistic firms in that list of goodies.

  3. Carlos says:

    There’s a blurb on Yahoo! News today about a new danger to ObamaCare: “concierge” physicians. Those are docs who, for a set annual fee, will see patients when necessary for as long as necessary and remember who they are and what their medical history is, no waiting.

    Gosh, kinda sounds like the future of medicine is headed back 100 or more years.

    No wonder such a practice threatens the “success” of NHC!

  4. captaingrumpy says:

    You people who live in America cannot really believe Healthcare bill was written since Obama came to power. It is sooo devious I believe it was written by a foreign Government years ago to spell the end for capitalism. Think about it.The Auto workers union would be one of the biggest commies organisation in existence outside of China.

  5. Carlos says:

    Oh yeah, Grumpy? What about the Democrat Party?

  6. Brontefan says:

    Sorry, but I believe the far left loons in the Democratic party were socialist enough to write such a complicated and damaging bill as HCR. It is all about the plan to redistribute wealth..not from the rich but instead by destroying the middle class and any mobility therein. They will be coming after private property next… heck, they already are!