Friday, April 13, 2012
Hope 'n' Change: The ObamaCare Money Hole
A new report on ObamaCare spending released by Charles Blahous, the Republican trustee for Medicare and Social Security, finds that the massive new entitlement will add somewhere between $340 billion and $530 billion to the federal deficit by 2021. When the law was passed in 2010, its supporters maintained that it would cut deficits by $132 billion. In fact, Obama promised a Joint Session of Congress in 2009, "I will not sign it if it adds one dime to the deficit, now or in the future, period." Technically, he was correct -- ObamaCare won't add one dime to the deficit; it will add trillions of them.
The discrepancy between the early cost-savings claims and what Blahous discovered lay in the original double-counting method used to estimate costs. ObamaCare supposedly provided $575 billion in Medicare savings to keep the entitlement from becoming insolvent by 2016, and allegedly securing its solvency up to 2029. However, the money saved was counted toward both supporting Medicare beneficiaries and expanding ObamaCare to the uninsured starting in 2014. In other words, the same money was pledged to two separate things, and though it looked good on paper to Democrats and their media sycophants, in reality it leaves a titanic funding gap.
The IRS won't have to worry about a lack of funding, though, as the Obama administration has given America's tax collector $500 million to implement ObamaCare. These funds will be used to hire enough IRS agents to ensure all Americans have exercised their patriotic responsibility -- to purchase health insurance or else. The $500 million comes out of a $1 billion general fund held by Health and Human Services for ObamaCare implementation. The fund, which has no public accounting, was established when the law passed and is already nearly empty. An upright administration might wait to see how the Supreme Court rules on the constitutionality of the law before investing so much money on enforcing it, but then again, an upright administration wouldn't have created the law in the first place. And one wonders: What do IRS agents have to do with health care?
Posted by giveusliberty1776 at 12:46 PM