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The Congressional Budget Office has estimated that the cost of extending the so-called “Cornhusker kickback” to all states — and thus have the federal government pay the full price of expanding Medicaid by 15 million people — would add $35.3 billion to the cost of the Senate health care bill.

But there’s a catch.

A deeper look at the numbers shows that the measure wouldn’t have a budget impact for seven years, meaning that the $35.3 billion figure only applies to 2017 through 2019 — making the true 10 year cost much higher.

This may become relevant again, because House members remain uneasy about passing the Senate bill that includes the special deal for Nebraska. If they tried to go the reconciliation route, they’d probably want to extend the deal to all states — but as it is, cutting the deal they did with labor unions over the “Cadillac tax” would deprive them of $60 billion in revenue. Thus, they’d have to find another way of financing the expansion, making the process even more complicated.

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Pingback| 1.21.10 @ 3:37PM

Twitter Trackbacks for The American Spectator : AmSpecBlog : CBO: Giving "Cornhusker links to this page. Here’s an excerpt:

…to your Blog or Web Site. WordPress  Web Sites 1 Shortened Links Linking to the spectator.org page http://bit.ly/4zWnE2 info   2 tweets tweet The American Spectator : AmSpecBlog : CBO: Giving "Cornhusker Kickback" To All States Would Cost $35 spectator.org/blog/2010/01/21/cbo-giving-cornhusker-kickback – view page – cached CBO: Giving "Cornhusker Kickback" To All States Would…

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Pingback| 1.22.10 @ 6:16AM

BELGIUM: GM Daewoo building small SUV instead of Antwerp | Auto … | Daewoo Automotive links to this page. Here’s an excerpt:

…on Unions Over 'Use your local credit union' says Money Saving Expert Martin … Erroll Southers ill treated — TSA nominee collateral damage in … The American Spectator : AmSpecBlog : CBO: Giving "Cornhusker … Related posts: BELGIUM: GM Daewoo building small SUV instead of Antwerp | Auto … Leave a Reply Name (required) Mail (will not be published) (required) Website 9+1=?…

Pingback| 1.26.10 @ 11:02PM

Expanded Cornhusker Kickback Would Cost Billions « Brian Simpson links to this page. Here’s an excerpt:

…result in an increase of the cost of the bill of $35.3 billion.  {This would wipe out a healthy chunk of the CBO estimated budget deficit reduction of $130 billion.} As Philip Klein points out in The American Spectator, the cost of the bill is yet again hidden by creative accounting.  Much like with the rest of the bill (which has 7 years of benefits spread over 10 years of taxes) the expanded Cornhusker…

Pingback| 1.26.10 @ 11:02PM

Expanded Cornhusker Kickback Would Cost Billions - simpson316’s blog - RedState links to this page. Here’s an excerpt:

…result in an increase of the cost of the bill of $35.3 billion.  {This would wipe out a healthy chunk of the CBO estimated budget deficit reduction of $130 billion.} As Philip Klein points out in The American Spectator, the cost of the bill is yet again hidden by creative accounting.  Much like with the rest of the bill (which has 7 years of benefits spread over 10 years of taxes) the expanded Cornhusker…

More Blog Posts by Philip Klein

http://spectator.org/blog/2010/01/21/cbo-giving-cornhusker-kickback

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