GOP lawmakers find more hidden costs buried within health care law

Just when we thought we had the legislation overhauling the nation's  health care system somewhat figured out, GOP lawmakers revealed additional hidden costs that could remain available for the president and his administration to spend even if Republicans happen to defund the new heath care law. 

GOP lawmakers recently announced the legislation's $105 billion hidden spending after these costs were uncovered by the Heritage Foundation, a conservative think tank group. In a recent interview with Fox News' Sean Hannity, Republican Representative Michele Bachmann stated that this spending gives the Health and Human Services Secretary Kathleen Sebelius a $16 billion 'slash fund', which would allow her to use the funds as she pleases.   

 And the reason Democrats can get away with this hidden spending? The funding for the $105 billion was signed into law under the heading mandatory spending rather than discretionary spending, because the funding is controlled by laws other than annual appropriations acts.  This means that no matter what Republicans manage to do in terms of repealing or removing funds set forth in the health care law, the Obama Administration may still  be able to spend the money since the federal budget claims it to be mandatory.  This amount alone can explain why the Democrats were so quick to rush the passage of the health care bill. The hidden agenda of the Democrats is surfacing more and more, but this is not the only truth making headlines lately. 

 It should also be known that by expanding the shared state-federal program Medicaid, our nation's state budget crises will grow at an even greater rate. Under the new health care law, the expansion of Medicaid is put on a spending trajectory that goes well beyond any sustainable or supportable level for taxpayers.  Nearly half of the individuals receiving health coverage under the new law will be covered by the entitlement program. Medicaid currently provides for 1 in 4 Americans, and this rate is expected to exponentially increase within the next decade. The GOP claims that more than 16 million Americans will join Medicaid, while state governors claim the number will be more than 20 million. Medicaid programs already account for a quarter of state budgets. With federal spending for Medicaid estimated to cost $118 billion through the year 2023 (double the amount projected by the CBO), state budgets will suffer greater deficits as they tack on their portion of the added cost over the next 12 years. States currently face a collective $175 billion budget shortfall; therefore, any attempt by state governors to balance their budget is unlikely. As Kansas Governor Sam Brownback stated, "The biggest (budget item) that is eating all of us alive is Medicaid."  

 So what is the solution being provided by the President himself? Well, we are still waiting on that solution. While the president acknowledges that he understands the economic challenges states are facing, he tends to stick to his solid point of interest: helping governors find a way to expand health care coverage in their state. In terms of controlling costs, he mentions nothing more than an idea for state governors to come up with a list of ideas of what they think are important for budgeting.  

 Let's just be frank here, Mr. President. We are well past the point of list making. States are having to make cuts in education and in law enforcement for the expansion of this unsupportable program. If we want this nation to remain competitive and sustainable, expanding Medicaid to such levels set forth in the new health care law is simply unacceptable. 

 In the meantime, Republican representatives are busy arguing against the $105 billion mandatory spending buried within the health care legislation and coming up with ideas on how to use ongoing negotiations for short-term spending bills in hopes of making a statement against the law's mandatory spending.  As a means of appeasement, President Obama is offering states the opportunity to come up with their own alternatives to the federal health care overhaul, "provided that the plan can cover as many people as affordably and comprehensively as the Affordable Care Act does, without increasing the deficit" (FoxNews.com, Obama).  

 Affordable is not the word we would choose to describe the president's health care law. Despite his choice of adjective, ASA is in full support of states taking control and doing what the Federal Government hasn't by leaving out the costly, unsustainable and ineffective regulations of the law, which include reducing the funding for Medicare and expanding programs like Medicaid. Any reform of the current health care system should protect fragile programs while eliminating wasteful ones, instead of doing the reverse, which is the direction our nation is headed in currently.   

sources:

FoxNews.com (28 Feb 2011). Obama Offers to Let Governors Propose Alternative Health Care Law; Accessed: 03/01/11. 

 U.S. Congress. Joint Senate Finance and House Energy & Commerce Committees. Medicaid Expansion in the New Health Care Law: Costs to the States; Accessed: 03/03/11.