The American Spectator : AmSpecBlog : Report: Kennedy Bill Would Actually Cost $4 Trillion

AmSpecBlog

Report: Kennedy Bill Would Actually Cost $4 Trillion

By Philip Klein on 6.16.09 @ 3:40PM

Yesterday, the CBO estimated that the current Democratic Senate health care bill would increase the defict by $1 trillion over 10 years while leaving 30 million uninsured, forcing the White House to distance itself from the legislation. While liberals have tried to emphasize that the CBO provided only a partial analysis of the draft legislation from Ted Kennedy's Health, Education, Labor and Pensions Committee, a more comprehensive analysis of the legislation will only serve to drive the bill's ultimate cost higher. For instance, because it was only working with a draft of the bill that had holes in it, the CBO did not estimate the costs associated with increasing Medicaid elgibility to 150 percent of the poverty level, or the full cost of providing subsidies to individuals with incomes at up to 500 percent of the poverty level to purchase insurance through state-run exchanges. Once this is taken into account, liberals are right that the final CBO estimate will reflect more people being insured, but the cost of the legislation will go up as well.

Health Systems Innovations Network, a consulting group, went ahead and estimated the full cost of a bill that included the subsidies and Medicaid expansion, and reduced the number of uninsured by 99 percent. With these assumptions, they estimate d (pdf) the cost at a staggering $4 trillion over 10 years, resulting in the shift of 79 million Americans to government-run health care. The report does not include possible tax increases or spending offsets, but notes that, "this would be a challenging proposal to finance with budget neutrality."

President Obama, in a speech to the American Medical Association on Monday, declared of the price tag of health care legislation: "it is a cost that will not – I repeat, not – add to our deficits."

UPDATE: I just spoke with Steve Parente, principal at HSI, who explained that the main reason why the group's estimate is so much higher than the CBO is that it assumes more people will buy coverage with government help. "We see a lot of people taking advantage of that subsidy, because it goes so far up the income threshold," Parente said. To be clear, 500 percent of the poverty level translates into income of $110,000 for a family of four. He also said HSI would revise the estimate if a new version of the legislation proposed new cost savings. However, he said it's difficult to estimate savings from the adoption of information technology and increased prevention. IT, for instance, could turn into an "unfunded mandate" on doctors and hospitals, while not all forms of prevention are created equal. Flu shots, for instance, are relatively cheap, but providing mammograms to some age groups can be quite costly.

Pingback| 6.16.09 @ 5:50PM

Michelle Malkin » Obamacare bogus statistic of the day, Pt. 2 links to this page. Here’s an excerpt:

…M You know how the White House/CBO are now telling us that Obamacare will cost $1 trillion over 10 years? Try $4 trillion over 10 years. And probably higher. Philip Klein at The American Spectator un-fuzzifies the math. They just keep pulling numbers out of their hat…and other places. Posted in: Health care Send to a Friend Printer Friendly comments (0) trackbacks (0) Add your opinion…

rsg| 6.16.09 @ 6:13PM

Barry al Hussein and Teddy "the swimmer" Kennedy's bill should be renamed to - "The Ensure Democrat Majorities Bill of 2009".

Let's change healthcare so 85% of Americans are happy with their healthcare and let's give healthcare insurance to the 15% who don't have it. You know, the illegal aliens, those who are fairly wealthy but choose not to have insurance, the young and healthy, etc.

Barry "the Central Planner" has it all figured out.....Barry should make our day to day decisions. Barry knows best.

Pingback| 6.16.09 @ 6:18PM

ObamaCare cost estimates now at $4 TRILLION | Fire Andrea Mitchell! links to this page. Here’s an excerpt:

the ObamaCARE yesterday were expected to be around $1 Trillion over the next 10 years. The CBO estimate of ObamaCARE might have been on the low side, at least according to what I read over at the American Spectator: However, Health Systems Innovations Network estimated the full cost of a bill that included the subsidies and Medicaid expansion, and reduced the number of uninsured by 99 percent. With these…

Pingback| 6.16.09 @ 6:40PM

Kennedy Bill Would Actually Cost $4 Trillion - I Was Taken! links to this page. Here’s an excerpt:

Kennedy Bill Would Actually Cost $4 Trillion - I Was Taken! Home Forum New posts Register

B. Johnson| 6.16.09 @ 6:55PM

Why is the cost of Kennedy's healthcare package such a big deal? The truth of the matter is, regardless if his healthcare plan were only to cost US taxpayers a total of $1, it still remains that the federal government has no constitutional authority to lay taxes to fund any healthcare plan.

Please consider the following.

Not only did the Founders make the 10th A. to reserve the lion's share of government power to serve the people to the states, not the Oval Office and Congress, but speaking of health care, Jefferson had likewise noted that the Founders had trusted the states, not the federal government, with the care of the people. See for yourselves.

"Our citizens have wisely formed themselves into one nation as to others and several States as among themselves. To the united nation belong our external and mutual relations; **to each State, severally, the care of our persons** (emphasis added), our property, our reputation and religious freedom." --Thomas Jefferson: To Rhode Island Assembly, 1801. ME 10:262 http://tinyurl.com/onx4j

But more importantly, Chief Justice Marshall had established the following case precedent, now wrongly ignored, which appropriately limits federal government power to lay taxes.

"Congress is not empowered to tax for those purposes which are within the exclusive province of the States." --Chief Justice Marshall, GIBBONS V. OGDEN (1824) http://supreme.justia.com/us/22/1/case.html

So not only is misguided Obama and Kennedy's proposed healthcare plan constitutionally unauthorized, but based on Justice Marshall's official notes, the feds don't have the power to lay taxes in the first place to fund such a program. In fact, federal government funding for the states for these things can be thought of as the feds returning to the states money that the feds have stolen from the states anyway.

The bottom line is that the people need to wise up to the ongoing, illegal usurpation of state powers by the Constitution-ignoring feds and put the constitutional leash back on the renegade federal government by doing the following. The people need to elect pro-state power people to the federal and state governments in 2010 who will do as follows. Pro-state power leaders need to use their power to amend the Constitution to repeal the ill-conceived 16th and 17th Amendments, the source of power for the corrupt Democratic Party now running the country, in my opinion. The 16th A. in particular, the amendment that gives the feds the power to tax citizens directly, has to go. It needs to go because it has made it too easy for the corrupt feds to lay constitutionally unauthorized taxes, in my opinion.

And once the 16th A. has been repealed and the federal income tax eliminated, the states can finance the federal government with higher state taxes for the following reason. The states can use their greater constitutional powers to serve the people to fight a downhill battle with the feds, eliminating constitutionally unauthorized federal taxes, keeping as many tax dollars in a given state as possible for running things like state healthcare programs. (Did you hear that California?)

And when any state lawmaker shows the voters that they are more interested in protecting the welfare of the federal government than that of their own state, then they can look for another job.

The truth of the matter is that the phony powers now associated with the Oval Office and Congress, powers that the corrupt feds have been scandalously stealing from the states since the days of constitutionally clueless FDR, need to be destroyed. Again, repealing the 16th and 17th amendments is one way to do this, in my opinion.

Pingback| 6.16.09 @ 6:59PM

Health Care reform comments - theBubbler links to this page. Here’s an excerpt:

…Oh boy, A more thorough analysis reveals a much higher pricetag...... 4 trillion dollars over 10 years. Then Obama says it won't add to the national debt? The American Spectator : AmSpecBlog : Report: Kennedy Bill Would Actually Cost $4 Trillion __________________ I don't need an engineer. Sponsored links « Media Bias? | - » Thread Tools Show Printable Version Email this Page Display…

Pingback| 6.16.09 @ 7:03PM

Real Cost of ObamaCare: $4 Trillion : The American Pundit links to this page. Here’s an excerpt:

…bill. But wait. It gets worse. Apparently the CBO projection doesn’t include all of the costs in the bill and the Medicaid expansion. What’s the total cost after all of that? Phillip Klein: For instance, because it was only working with a draft of the bill that had holes in it, the CBO did not estimate the costs associated with increasing Medicaid elgibility to 150 percent of the…

jimbo| 6.16.09 @ 8:22PM

are liberals mentally ill?

Pingback| 6.16.09 @ 10:09PM

America is headed down the crapper where is our hero? | eransworld links to this page. Here’s an excerpt:

…the answer. Just ask anyone who has endured it. Senate sources say the latest cost estimates for health care legislation are around $1.6 trillion over 10 years. Yahoo News Another source states the real number is closer to 4 trillion dollars. It isn’t enough that Barack Hussein Obama is pimping his plan at every dog and pony show but he has now commandeered the All Barack Channel (ABC) to run his…

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One Reason Why Health Care Costs Have Increased « Alexandria Is Red Again links to this page. Here’s an excerpt:

…By LeeHInAlexandria 0 Comments Categories: universal health care Tags: america, care, emergency, EMTALA, universal health care, usa On the heels of a new report out that Universal Health Care’s bill would actually be around $4 trillion, I decided to look up some of the causes of why costs have gotten out of control. I had always wondered about it since I was hospitalized about 2-3 years ago for…

tonypal| 6.16.09 @ 11:18PM

Hey, who cares what it costs. I want my health care. Waaaaaaaaaaahhhhhhhhhhhhhhh!!!! I have a right to it. Waaaaaaaaaaaaaahhhhhhhhhhhh!!!. You say it's not a right guaranteed in the Constitution. Screw you. I want my health care. This country owes it to me because I was born here and I live here and I want it. Waaaaaaaaaaaahhhhhhhhhh!!!

tonypal| 6.16.09 @ 11:19PM

I think the previous post pretty much sums up the attitude of far too many of our fellow citizens. We can thank another federally funded program, public education, for this "thinking."

Stan Redmond| 6.17.09 @ 6:44AM

BUT IT'S FREE!!! Just think it will be even betterer [sic] than Cuba. 4 trillion, 5 trillion... Big deal. This can easily be covered by taxing those making above $250,000 with the current democrat handling of fiscal policy there are sure to be lots and lots of people making over $250,000. Weimar repulic anyone? Billion dollar loaves of bread in Zimbabwe? I fear for the republic.

Pingback| 6.17.09 @ 9:23AM

DYSPEPSIA GENERATION » Blog Archive » Report: Kennedy Bill Would Actually Cost $4 Tri links to this page. Here’s an excerpt:

…Zettel Scott Westerfeld Sir Terry Pratchett Meta Log in Subscribe Entries (RSS) Comments (RSS) « Capriciousness of Government Report: Kennedy Bill Would Actually Cost $4 Trillion 17th June 2009 Read it. Health Systems Innovations Network, a consulting group, went ahead and estimated the full cost of a bill that included the subsidies and Medicaid expansion, and reduced the number of uninsured by 99…

Pingback| 6.17.09 @ 9:25AM

The Greenroom » Forum Archive » Obamacare as Obamacomedy links to this page. Here’s an excerpt:

…National Lampoon’s Animal House. Spoiler for Mr. Cohn; Kevin Bacon ends up trampled flat. Similarly, with private estimates of a Kennedy-Dodd bill providing universal coverage ranging as high as $4 trillion, and the inclusion of a public option pushing as many as 119 million out of the coverage they generally like, taxpayers will keep running when Kennedy-Dodd is scored in full. Over in the third ring,…

2Anglico| 6.17.09 @ 10:03AM

4 Trillion over 10 years eh? Let's see, that's 400billion per year, right? A good average rate per employee in my area with Aetna is $240/month( blended with male/female and old/young employees). If Big Daddy O wants these 40 million waifs to have insurance he could pay Aetna, et al, $240/mo and cover them all for $115 Billion per year. (40 million X $240= $9.6 billion/month X 12 months = $115 billion) That's far, far less than 4 Trillion. Like 3 Trillion less.
DO NOT GET ME WRONG, I want the government OUT of the health insurance business, but that horse has left the barn, right? I am simply showing how stupid a government run system would be. It CANNOT "SAVE" any money. No way, no how!!!!!!!
An afterthought; how much could my example above be reduced if the ILLEGAL ALIENS were removed from the BOGUS 40 million uninsured number? If you answered $69.12 Billion/year, go to the head of the class.

Pingback| 6.17.09 @ 10:38AM

Random Nuclear Strikes » Forget the Highway to Hell - Updated and Bumped links to this page. Here’s an excerpt:

…option for employers. Oooh! A Trillion to the deficit? What that is child’s play for this Congress. They probably see some breathing room there. UPDATE: Did I say $1 Trillion? Silly me, it’s now $4 Trillion! Health Systems Innovations Network, a consulting group, went ahead and estimated the full cost of a bill that included the subsidies and Medicaid expansion, and reduced the number of uninsured…

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EckerNet.Com » Blog Archive » Health Care By Any Means Possible links to this page. Here’s an excerpt:

…the full cost has become clear, you’re trying to put as much distance as you can from this plane. And just like before, I cannot do it without your support. Actually we mostly need the $4 TRILLION this is going to cost. So I’m asking you to remember all that you gave over the last two years to get us here — all the time, resources, and faith you invested as a down payment to earn us our place…

jacksmith| 6.17.09 @ 11:50AM

AMERICA’S NATIONAL HEALTHCARE EMERGENCY!

It’s official. America and the World are now in a GLOBAL PANDEMIC. A World EPIDEMIC with potential catastrophic consequences for ALL of the American people. The first PANDEMIC in 41 years. And WE THE PEOPLE OF THE UNITED STATES will have to face this PANDEMIC with the 37th worst quality of healthcare in the developed World.

STAND READY AMERICA TO SEIZE CONTROL OF YOUR NATIONAL HEALTHCARE SYSTEM.

We spend over twice as much of our GDP on healthcare as any other country in the World. And Individual American spend about ten times as much out of pocket on healthcare as any other people in the World. All because of GREED! And the PRIVATE FOR PROFIT healthcare system in America.

And while all this is going on, some members of congress seem mostly concern about how to protect the corporate PROFITS! of our GREED DRIVEN, PRIVATE FOR PROFIT NATIONAL DISGRACE. A PRIVATE FOR PROFIT DISGRACE that is in fact, totally valueless to the public health. And a detriment to national security, public safety, and the public health.

Progressive democrats and others should stand firm in their demand for a robust public option for all Americans, with all of the minimum requirements progressive democrats demanded. If congress can not pass a robust public option with at least 51 votes and all robust minimum requirements, congress should immediately move to scrap healthcare reform and demand that President Obama declare a state of NATIONAL HEALTHCARE EMERGENCY! Seizing and replacing all PRIVATE FOR PROFIT health insurance plans with the immediate implementation of National Healthcare for all Americans under the provisions of HR676 (A Single-payer National Healthcare Plan For All).

Coverage can begin immediately through our current medicare system. With immediate expansion through recruitment of displaced workers from the canceled private sector insurance industry. Funding can also begin immediately by substitution of payroll deductions for private insurance plans with payroll deductions for the national healthcare plan. This is what the vast majority of the American people want. And this is what all objective experts unanimously agree would be the best, and most cost effective for the American people and our economy.

In Mexico on average people who received medical care for A-H1N1 (Swine Flu) with in 3 days survived. People who did not receive medical care until 7 days or more died. This has been the same results in the US. But 50 million Americans don’t even have any healthcare coverage. And at least 200 million of you with insurance could not get in to see your private insurance plans doctors in 2 or 3 days, even if your life depended on it. WHICH IT DOES!

Contact congress and your representatives NOW! AND SPREAD THE WORD!

God Bless You

Jacksmith – WORKING CLASS

Pingback| 6.17.09 @ 11:50AM

Fausta’s Blog » Blog Archive » Watching the Cato Conference on Healthcare Reform live links to this page. Here’s an excerpt:

…tough to remake a major fraction of the American economy and still pretend that it is not going to break the bank. And break the bank it will: according to another appraisal, the Kennedy Bill Would Actually Cost $4 Trillion. And then we’ll all get rationing. How are we going to pay for this? Good question: What possible reason could be more significant or deadly politically, that would force…

2Anglico| 6.17.09 @ 1:22PM

jacksmith, you don't know jack..smith about health insurance.

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BlogWonks » Blog Archive » Obamacare’s price tag: 4 trillion dollars links to this page. Here’s an excerpt:

Matters Home Obamacare’s price tag: 4 trillion dollars Posted by Eye Doc On June - 17 - 2009 No, that ain’t a typo. That is the estimate of what Mr. Hope and Change’s health care proposals including the “public option” would cost. Health Systems Innovations Network, a consulting group, went ahead and estimated the full cost of a bill that included the subsidies and Medicaid…

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Democrats Debate How to Raise $600 Billion for Health Care - BrianFaughnan’s blog - links to this page. Here’s an excerpt:

…in new taxes, then adding a new tax on soda for $112 billion, a new alcohol tax for $61 billion, and a new tax on employer-provided health care for $200 billion - but that still leaves them more than $3 trillion short. Nevertheless, they are gamely going at it - studying all the possible ways they can think of to gouge you for the privilege of ruining your health care: Every one of House Ways and Means…

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The Cost of Health Care « We Dare Defend Our Rights links to this page. Here’s an excerpt:

of Ricky Rondo We Dare Defend Our Rights Politics, Theory, and Sports from a Slightly Different Viewpoint Feeds: Posts Comments The Cost of Health Care June 17, 2009 by Ricky Rondo The CBO now estimates that the health care proposal before Congress will cost $4 trillion over ten years-over four times the amount that was reported earlier. The proposal, also known as the Kennedy Bill, would move 79…

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The Otherwise Minded » When it Comes to Health Care, No Choice in Coverage is NOT an links to this page. Here’s an excerpt:

…health care field is limited, but what I do know is that anywhere a nationalized plan has been offered, it’s failed miserably. It’s just far too expensive. And with a possible price tag of $4 trillion, it’s no wonder. We can’t afford it, I can’t afford it and the deficit is high enough already. Take a peak at medicare and social security: they’re suffering budget woes the…

Pingback| 6.17.09 @ 8:52PM

Democrats salivating over taxing you over, and over, and….. « The Daley Gator links to this page. Here’s an excerpt:

…new taxes, then adding a new tax on soda for $112 billion, a new alcohol tax for $61 billion, and a new tax on employer-provided health care for $200 billion – but that still leaves them more than $3 trillion short . Nevertheless, they are gamely going at it – studying all the possible ways they can think of to gouge you for the privilege of ruining your health care : Damn! Free things can be…

Pingback| 6.18.09 @ 1:39AM

Kennedy plan estimated to cost $4 trillion, four times CBO estimate; legislation push links to this page. Here’s an excerpt:

…18. This draft did not include provisions to increase Medicaid eligibility to 150% of poverty, or subsidies to persons earning up to 500% of poverty. It would leave 30 million uninsured ( American Spectator, AmSpecBlog 6/16/09 ). Adding in these provisions, which would lower the uninsured to less than 1% of the population, would raise costs to $4 trillion, according to calculations by Health Systems Innovations…

Pingback| 6.18.09 @ 5:47AM

Let Freedom Ring » Blog Archive » Who You Gonna Believe? links to this page. Here’s an excerpt:

…the fact that ABCNews isn’t being honest. Instead, conservatives should remind people that the Obama/Kennedy/Dodd monstrosity carries with it a hefty pricetag, perhaps as much as $4,000,000,000,000 over the next decade : Health Systems Innovations Network , a consulting group, went ahead and estimated the full cost of a bill that included the subsidies and Medicaid expansion, and reduced the number of…

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California Conservative » Blog Archive » Who You Gonna Believe? links to this page. Here’s an excerpt:

Pingback| 6.18.09 @ 7:36AM

Democrats Debate How to Raise $600 Billion for Health Care | WTF?! Obama links to this page. Here’s an excerpt:

Pingback| 6.18.09 @ 3:27PM

ObamaCare:A Disaster That Can, And Must Be, Avoided! « Nuke Gingrich links to this page. Here’s an excerpt:

…This proposal is worthless. As the lie about the one trillion dollars is still being bandied about, the truth of the matter is slowly entering the debate. Instead of one trillion dollars, try four trillion dollars, if the actual goal is to provide coverage to a much larger population, which I not only believe is the goal, but ultimately, that the government is in complete control our health care system. I…

Pingback| 6.18.09 @ 4:04PM

UrbanGrounds » Blog Archive » ObamaCare:A Disaster That Can, And Must Be, Avoided! links to this page. Here’s an excerpt:

…This proposal is worthless. As the lie about the one trillion dollars is still being bandied about, the truth of the matter is slowly entering the debate. Instead of one trillion dollars, try four trillion dollars, if the actual goal is to provide coverage to a much larger population, which I not only believe is the goal, but ultimately, that the government is in complete control of our health care system.…

Pingback| 6.18.09 @ 8:00PM

Health Care: She’s Going From Suck To Blow « 36 Chambers – The Legendary Journeys: Ex links to this page. Here’s an excerpt:

…people while causing harm to a larger number (who will find it difficult to get private insurance). Naturally, the $1 trillion appears to be understated, and if (almost) universal insurance were to be achieved, it would come at a cost of $4 trillion. - John Graham critique’s Tyler Cowen’s recent health care article. Basically, Cowen believes that “ a government agency is capable of…

Pingback| 6.19.09 @ 8:04AM

President Obama's Full Court Press on Health Care - Columns - American Issues Projec links to this page. Here’s an excerpt:

…According to a report in The Hill, many of Obama’s supporters are "reeling" from the cost of the Kennedy-Dodd plan, which the CBO puts at $1 trillion. However, Philip Klein at The American Spectator writes that this plan would more likely cost $4 trillion when you factor in all the bill’s various parts, such as Medicare expansion, subsidies, and ensuring 99 percent of Americans are…

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George\’s Blog » More Evidence that the Bank Bailout Was a Daring Daylight Robbery links to this page. Here’s an excerpt:

George\’s Blog » More Evidence that the Bank Bailout Was a Daring Daylight Robbery advertisement Search Blog home » blog » More Evidence that the Bank Bailout Was a Daring Daylight Robbery George Graham Categories Uncategorized…

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AMERICAN CONSERVATISM IN 2008 AND BEYOND - Page 563 links to this page. Here’s an excerpt:

…the cost of just about every big project they want the people to swallow: Quote: Report: Kennedy Bill Would Actually Cost $4 Trillion By Philip Klein on 6.16.09 @ 3:40PM http://spectator.org/blog/2009/06/16/report-kennedy-bill-would-actu Quote: June 16, 2009 4:00 AM The High Cost of ObamaCare Americans wisely rejected HillaryCare. ObamaCare is the same poison, different bottle. By Lawrence A. Hunter…

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Tweet-4-Truth « Got Liberty? By Todd Herman links to this page. Here’s an excerpt:

…listen for the slippery phrase, the lie or the pure spin and tweet it. Some resources for you: The indespensible Heritage Center Blog on health care: The American Spectator and what they say is the $ 4 TRILLION cost of Obamacare—will ABC mention this? Point of law de-bunks the oft-quoted “hundreds of thousands of medica casulties per year.” The Cato Library on why you probably will not get…

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national lampoon s going the distance ….TV Movies for the week…. DVDs / Blu-ray – Mov links to this page. Here’s an excerpt:

…» Obamacare bogus statistic of the day, Pt. 2 links to this page. Here’s an excerpt: Kennedy Bill Would Actually Cost $4 Trillion – I Was Taken! links to this page. Here’s an excerpt: [....] Read more at http://spectator.org/blog/2009/06/16/report-kennedy-bill-would-actu National Lampoon’s Going the Distance Buckle your seat belts for extreme comedy National Lampoon(r) is taking you on the…

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Patterico’s Pontifications » Obamacare as Obamacomedy links to this page. Here’s an excerpt:

…from National Lampoon’s Animal House. Spoiler for Mr. Cohn; Kevin Bacon ends up trampled flat. Similarly, with private estimates of a Kennedy-Dodd bill providing universal coverage ranging as high as $4 trillion, and the inclusion of a public option pushing as many as 119 million out of the coverage they generally like, taxpayers will keep running when Kennedy-Dodd is scored in full. Over in the third ring,…

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