3/26/2010

Massive new government program snuck into government health care bill with no debate

Since the reconciliation bill was put out just two days before the House voted on it, there will be a lot of surprises that people will discover as they work their way through the difficult legal language. One provision though is government is taking over people's long term health care plan. The Democrats say that this provision is uncontroversial, but if so, why did they sneak this in at the last minute?

While Congress spent the last year debating how to provide health insurance for the uninsured, a little-known provision slipped into the heath care law that could cost some Americans upwards of $2,000 a year.

The Class Act, otherwise known as the Community Living Assistance Services and Support Act, is the federal government's first long-term care insurance program.

Under-reported and the under the radar of most lawmakers, the program will allow workers to have an average of roughly $150 or $240 a month, based on age and salary, automatically deducted from their paycheck to save for long-term care.

The Congressional Budget Office expects the government will collect $109 billion in premiums by 2019. . . .

Democratic supporters say the provision, which was championed by the late Sen. Ted Kennedy, should not be controversial. . . .


Jeffrey Birnbaum warns:

Few people know about it, but experts agree that it could well explode the federal budget deficit down the road. . . .

The problem: The insurance plan, as currently constructed, can't possibly pay for itself over the long run and will blow a hole in the federal budget unless lawmakers somehow become more diligent than we generally expect them to be. . . .

North Dakota Sen. Kent Conrad, chairman of the Senate Budget Committee, has called the measure a Ponzi scheme. He and other moderate Democrats wrote a letter last year expressing their concerns about the long-term fiscal soundness of the proposal.

Ace reporter Jennifer Haberkorn of The Washington Times wrote an excellent front-page article about the dangers of the CLASS Act in November. But no one paid much attention. . . .


Nancy Pelosis and Barack Obamas words are ringing true: We will learn what is in the bill once it is passed. New long term care deduction on everyone's paycheck-$150-250 a month, unless you opt out.

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