mightymanx
27th November 2011, 01:28 AM
http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/
Money slated for health law gets detoured
Lawmakers tap fund three times within a year
321 Comments and 2 Reactions (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#disqus_thread)|Share (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#)Tweet (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#)|Email (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#)|Print (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/print/)|[/URL]
(http://www.addthis.com/bookmark.php?v=250&pubid=washtimes)
By [URL="http://p.washingtontimes.com/staff/paige-winfield-cunningham/"]Paige Winfield Cunningham (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#)
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The Washington Times
Thursday, November 24, 2011
http://media.washtimes.com/media/image/2011/11/14/supreme-court-health-_live_s160x87.jpg?4bd5389329423d7e699da49d8b3ec780 2d313e5cPresident Obama signs the health care bill at the White House on March 23, 2010, flanked smiling supporters from the House and Senate, and Vicki Kennedy (behind Mr. Obama’s right shoulder), widow of Sen. Edward M. Kennedy who was a champion of the legislation. Since that day, the law’s constitutionality has been questioned by more than half of the states and it will go before the Supreme Court in the spring. (Associated Press)
In cash-strapped Washington, President Obama (http://p.washingtontimes.com/topics/barack-obama/)’s $1 trillion health care law is presenting a tempting target for lawmakers seeking funds for other projects, as Congress (http://p.washingtontimes.com/topics/congress/) last week raided the health care piggy bank for the third time in less than a year.
Congress (http://p.washingtontimes.com/topics/congress/) last week axed a part of Democrats’ signature domestic achievement to find $11 billion to cover the cost of repealing a withholding tax that otherwise would have hit government contractors in 2013. Mr. Obama (http://p.washingtontimes.com/topics/barack-obama/) signed that bill into law on Monday.
The withholding bill follows two other efforts — one in December and another in April — that reworked the health care law to squeeze savings for other priorities. The December bill funded higher payments for doctors who treat Medicare (http://p.washingtontimes.com/topics/medicare/) patients, and the April legislation repealed a paperwork provision in the original health care law that businesses said would be onerous.
All told, Congress (http://p.washingtontimes.com/topics/congress/) and the president have tapped some $50 billion earmarked to pay for benefits and programs in the health care overhaul in future years to fund more-immediate spending needs.
Both earlier efforts dealt with health care issues, but the bill Mr. Obama (http://p.washingtontimes.com/topics/barack-obama/) signed Monday marks the first time that the massive 2010 law has been tapped to fund something completely unrelated.
“They don’t want to open it up. They’re getting forced to open it up now and then, but to open it up for budgetary reasons, I think the pressures are pretty real,” said former Congressional Budget Office (http://p.washingtontimes.com/topics/congressional-budget-office/) Director Doug Holtz-Eakin (http://p.washingtontimes.com/topics/douglas-holtz-eakin/), who said it’s easier to cut future benefits than it is to cut programs that are already paying out.
Most of the health care law’s benefits won’t begin paying out for several years, and Mr. Holtz-Eakin (http://p.washingtontimes.com/topics/douglas-holtz-eakin/) said he expects legislators to revisit the law again before then.
The failure of the bipartisan supercommittee this week to come up with a plan to shrink the federal deficit and find spending cuts and revenues is likely to increase the pressure to raid the health care program for funds.
Rising cap
In December and April, lawmakers adjusted the formula that calculated how much of a subsidy would be given initially to buy health insurance through the new exchanges. Under the original law, many Americans would receive a subsidy larger than their income reflected, but Congress (http://p.washingtontimes.com/topics/congress/) capped the amount that they would have to repay.
In December, Congress (http://p.washingtontimes.com/topics/congress/) raised the repayment cap — effectively lowering the government’s payout tab — and used the savings to cover higher payments to Medicare (http://p.washingtontimes.com/topics/medicare/) doctors. In April, Congress (http://p.washingtontimes.com/topics/congress/) raised the cap again, this time retargeting the money to cover the costs of repealing the so-called 1099 reporting requirement that small businesses said was far too burdensome.
Dipping into the Affordable Care Act to fund other projects angers some supporters of the law, including Igor Volsky (http://p.washingtontimes.com/topics/igor-volsky/), with the Center for American Progress, though Mr. Volsky (http://p.washingtontimes.com/topics/igor-volsky/) said the raids have been relatively small in the scope of the whole law.
“I don’t think lawmakers should be taking money out of the law, particularly since the law hasn’t been implemented,” he said. “We don’t know how things are going to shake out. Give it a chance to work; maybe then you can go back in and make some changes.”
New formula
The rare bipartisan agreement last week to repeal the plan to withhold 3 percent of payments from government contractors would cost the government $11 billion — money that had to come from somewhere.
Money slated for health law gets detoured
Lawmakers tap fund three times within a year
321 Comments and 2 Reactions (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#disqus_thread)|Share (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#)Tweet (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#)|Email (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#)|Print (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/print/)|[/URL]
(http://www.addthis.com/bookmark.php?v=250&pubid=washtimes)
By [URL="http://p.washingtontimes.com/staff/paige-winfield-cunningham/"]Paige Winfield Cunningham (http://p.washingtontimes.com/news/2011/nov/24/money-slated-for-health-law-gets-detoured/#)
-
The Washington Times
Thursday, November 24, 2011
http://media.washtimes.com/media/image/2011/11/14/supreme-court-health-_live_s160x87.jpg?4bd5389329423d7e699da49d8b3ec780 2d313e5cPresident Obama signs the health care bill at the White House on March 23, 2010, flanked smiling supporters from the House and Senate, and Vicki Kennedy (behind Mr. Obama’s right shoulder), widow of Sen. Edward M. Kennedy who was a champion of the legislation. Since that day, the law’s constitutionality has been questioned by more than half of the states and it will go before the Supreme Court in the spring. (Associated Press)
In cash-strapped Washington, President Obama (http://p.washingtontimes.com/topics/barack-obama/)’s $1 trillion health care law is presenting a tempting target for lawmakers seeking funds for other projects, as Congress (http://p.washingtontimes.com/topics/congress/) last week raided the health care piggy bank for the third time in less than a year.
Congress (http://p.washingtontimes.com/topics/congress/) last week axed a part of Democrats’ signature domestic achievement to find $11 billion to cover the cost of repealing a withholding tax that otherwise would have hit government contractors in 2013. Mr. Obama (http://p.washingtontimes.com/topics/barack-obama/) signed that bill into law on Monday.
The withholding bill follows two other efforts — one in December and another in April — that reworked the health care law to squeeze savings for other priorities. The December bill funded higher payments for doctors who treat Medicare (http://p.washingtontimes.com/topics/medicare/) patients, and the April legislation repealed a paperwork provision in the original health care law that businesses said would be onerous.
All told, Congress (http://p.washingtontimes.com/topics/congress/) and the president have tapped some $50 billion earmarked to pay for benefits and programs in the health care overhaul in future years to fund more-immediate spending needs.
Both earlier efforts dealt with health care issues, but the bill Mr. Obama (http://p.washingtontimes.com/topics/barack-obama/) signed Monday marks the first time that the massive 2010 law has been tapped to fund something completely unrelated.
“They don’t want to open it up. They’re getting forced to open it up now and then, but to open it up for budgetary reasons, I think the pressures are pretty real,” said former Congressional Budget Office (http://p.washingtontimes.com/topics/congressional-budget-office/) Director Doug Holtz-Eakin (http://p.washingtontimes.com/topics/douglas-holtz-eakin/), who said it’s easier to cut future benefits than it is to cut programs that are already paying out.
Most of the health care law’s benefits won’t begin paying out for several years, and Mr. Holtz-Eakin (http://p.washingtontimes.com/topics/douglas-holtz-eakin/) said he expects legislators to revisit the law again before then.
The failure of the bipartisan supercommittee this week to come up with a plan to shrink the federal deficit and find spending cuts and revenues is likely to increase the pressure to raid the health care program for funds.
Rising cap
In December and April, lawmakers adjusted the formula that calculated how much of a subsidy would be given initially to buy health insurance through the new exchanges. Under the original law, many Americans would receive a subsidy larger than their income reflected, but Congress (http://p.washingtontimes.com/topics/congress/) capped the amount that they would have to repay.
In December, Congress (http://p.washingtontimes.com/topics/congress/) raised the repayment cap — effectively lowering the government’s payout tab — and used the savings to cover higher payments to Medicare (http://p.washingtontimes.com/topics/medicare/) doctors. In April, Congress (http://p.washingtontimes.com/topics/congress/) raised the cap again, this time retargeting the money to cover the costs of repealing the so-called 1099 reporting requirement that small businesses said was far too burdensome.
Dipping into the Affordable Care Act to fund other projects angers some supporters of the law, including Igor Volsky (http://p.washingtontimes.com/topics/igor-volsky/), with the Center for American Progress, though Mr. Volsky (http://p.washingtontimes.com/topics/igor-volsky/) said the raids have been relatively small in the scope of the whole law.
“I don’t think lawmakers should be taking money out of the law, particularly since the law hasn’t been implemented,” he said. “We don’t know how things are going to shake out. Give it a chance to work; maybe then you can go back in and make some changes.”
New formula
The rare bipartisan agreement last week to repeal the plan to withhold 3 percent of payments from government contractors would cost the government $11 billion — money that had to come from somewhere.