A big state is taxing the middle class across the country to give free health care to the rich
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Robin Hood, that heroic figure of English folklore, allegedly stole from the rich to support the underprivileged of medieval society. While technically he was an idiot, his goodness towards the poor and moral clarity have endeared him to generations of children for centuries.
President Joe Biden and California’s Democrat Governor Gavin Newsom, through recently proposed and approved changes to California’s Medicaid program, are now about to do the opposite: meet the health care needs of wealthy Californians in the lower and middle classes. Taxing American taxpayers.
Given this administration’s tendency to do the same with other such initiatives, the recent action in California should not be surprising. Biden also proposed student loan forgiveness for couples making up to $250,000 a year, supplemental COVID-related ACA subsidies lasting through 2025 for families making up to $400,000 a year, and a $7,500 subsidy regardless of income for those purchasing electric vehicles. Granted, which only rich people can afford. Yet, each of these contradicts the moral basis of Robin Hood’s intentions.
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Over the past several months, we have seen headlines stating that millions of Americans are about to lose Medicaid coverage as pandemic-era policies are rolled back. Many people may indeed lose Medicaid — but the vast majority of these people, reported by some of the nation’s leading health insurers, are already offered coverage through their employers or can enroll in heavily subsidized ACA Marketplace plans. Are.
California Governor Gavin Newsom is working with President Joe Biden to limit it to middle-class taxpayers so the benefits go to wealthier residents. (AP Photo/Rich Pedroncelli)
Despite these readily available options, California requested the elimination of Medicaid eligibility and asset verification requirements, and is now authorized by the Centers for Medicare and Medicaid Services – effectively expanding the program to include those This includes those who are financially prosperous. Silicon Valley billionaires, rejoice!
At least 50% of California’s Medicaid program (known as Medi-Cal) is funded by the federal government through the Federal Medical Assistance Program, breaking this key eligibility criteria for Medi-Cal beneficiaries. Allowing property-rich Californians to foot the bill for their own nursing. Home stays for taxpayers across the United States. Furthermore, its approval now will certainly set a precedent for other Medicaid jurisdictions to follow.
The Social Security Act of 1940 mandated that Medicaid eligibility guidelines include verification of assets, income, and employment status. But, amid the chaos of the COVID-19 pandemic, emergency measures were implemented, and Medicaid enrollment growth was facilitated without routine verification of eligibility.
This approach was designed to provide immediate relief during a crisis, but, by law – in accordance with the Families First Coronavirus Response Act – was only a temporary measure.
Medicaid’s suspension of eligibility determination protocols such as asset verification was similar to the SBA’s fraud-ridden Paycheck Protection Program – pay first, verify later. And while millions of people kept their jobs and health care, it cost taxpayers hundreds of billions of dollars in fraud, waste, and abuse.
For example, according to a state legislative audit, the Louisiana Department of Health spent $112 million on Medicaid coverage for approximately 14,000 adults who do not live in Louisiana. Simply “verifying” someone’s address would have solved that problem.
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Now that the pandemic has subsided and the public health emergency has ended, Medicaid is legally required to re-verify eligibility. Yet, in violation of the Social Security Act of 1940, the Centers for Medicare and Medicaid Services recently approved California’s request for an amendment, allowing it to eliminate the “asset verification” requirement for Medi-Cal recipients. Got permission to forgive.
American taxpayers must now cover 50% of the costs of a government welfare program originally designed to aid the poor, amounting to thousands of dollars per year per affluent Californian.
Despite these readily available options, California requested the elimination of Medicaid eligibility and asset verification requirements, and is now authorized by the Centers for Medicare and Medicaid Services – effectively expanding the program to include those This includes those who are financially prosperous. Silicon Valley billionaires, rejoice!
There is no logical justification for this. Anyone living at or below 150% of the poverty line is already eligible for Medicaid. This policy change – the elimination of asset verification requirements – benefits only those who are relatively wealthy. The fact that this has been carried forward without the attention of those on the left or the right speaks volumes and indicates a new level of backdoor manipulation.
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This is another glaring example of federal government overreach. This illegal, ill-considered policy change raises moral, ethical, and even constitutional concerns. Can a state, in collusion with the executive branch, violate the law, circumvent Congress, and force the rest of the country to pay for it?
California certainly has the right to finance its deficit by spending $1 trillion a year, or $10 trillion for that matter, on providing free healthcare to its residents — but not by using that hard-earned money. This should never be allowed to happen. middle-class taxpayers from other states; Especially if it is used to benefit the rich.
Click here to read more from Paul Mango
Paul Mango was Deputy Chief of Staff for Policy at the U.S. Department of Health and Human Services from 2019–21. He served as Secretary Alex Azar’s formal liaison to Operation Warp Speed, where he oversaw nearly all strategic, operational, and financial aspects. Were involved in. program, and facilitated its daily activities between the Department of Health and Human Services, the Department of Defense, and the White House. His upcoming book is “Warp Speed: Inside the Operation that Beat COVID, the Critics, and the Odds”, (Republic Book Publishers, March 15, 2022).
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