Unaffordable Care Act update: Cost of setting up state exchanges now double original estimate and rising
It’s still a source of daily bemusement that the same people who push for truth in product labeling and oppose deceptive advertising practices for private sector goods and services don’t seem to mind one bit that the first word in the name of their uber-expensive, job killing, nation bankrupting law is “affordable.”
The latest “oops, our Obamacare estimates were way off” example comes to us by way of The Hill:
Setting up insurance exchanges — the centerpiece of President Obama’s healthcare reform law — is costing the Health and Human Services Department a whole lot more than it originally expected. According to budget documents released Wednesday, the department expects to spend $4.4 billion on exchange grants to the states by the end of this year — double its estimates a year ago.
The HHS is also asking Congress for another $1.5 billion to set up a federal exchange in 26 states. The department has cobbled together money from other programs to get started, but officials said they need another $800 million for operational costs and $550 million for outreach and education.
By the time all is said and done — if ever — the “double the original estimate” will probably itself be doubled, if not tripled or more.
Don’t worry though, because Democrats who wrote and are implementing the law are totally confident things will easily fall into place:
Complex. Complicated. Confusing. Beyond comprehension. Two prominent Democrats used these words this week to describe the Affordable Care Act, or “Obamacare.”
One of those Democrats, Sen. Jay Rockefeller (D-W.V.), was one of the key architects of the law. The other, Health and Human Services Secretary Kathleen Sebelius, is in charge of implementing the law.
“I believe that the Affordable Care Act is probably the most complex piece of legislation ever passed by the United States Congress. Tax reform obviously has been huge too, but up to this point it is just beyond comprehension,” Rockefeller said Tuesday at a Senate Finance confirmation hearing, according to The Washington Examiner’s Paul Bedard.
When asked about the challenges of implementing the ACA, Sebelius said, “I think that, probably, no one fully anticipated, when you have a law that phases in over time, how much confusion that creates for a lot of people.“
What could possibly be confusing about this?
In the historical tables it released along with President Barack Obama’s fiscal 2014 budget proposal this morning, the White House Office of Management and Budget revealed that in fiscal 2016, under the president’s budget proposal, it expects Obama to become the first president in the nation’s history to preside over a federal government that spends more than $4 trillion in one year.
According to OMB’s tables, the federal government would spend$3.7778 trillion in fiscal 2014 under Obama’s budget proposal. It would then spend $3.9801 trillion in fiscal 2015; $4.0898 trillion in fiscal 2016; and $4.2474 trillion in fiscal 2017.
According to the Biden Conjecture, all that spending saves money in the long run.