Policy expert: How will GOP pay for its plan to send tax dollars to flex spending plans?

Policy expert: How will GOP pay for its plan to send tax dollars to flex spending plans?

Spread the love

Congressional Republicans are proposing sending government subsidies to flexible spending plans, with an expert suggesting that tax dollars saved by reducing Medicare fraud could be used to pay for the $30 billion a year move.

President & CEO of Proactive Strategy Group as well as healthcare policy expert Mark Merritt told The Center Square that two key questions for the plan are “how are they going to pay for it?” and “are the healthcare subsidies for anything or just Obamacare?”

The plan “doesn’t have a chance of passing, unless it’s going to be paid for somehow,” Merritt said, while explaining that extending Obamacare subsidies or the same amount of money for other healthcare would cost “about $30 billion a year.”

“There are a lot of Republicans in the House that are very, very concerned about the debt and the deficit,” Merritt said. “It only takes a few of them to not vote for this, so they’re going to want to see this paid for.”

Currently, the national deficit is at $1.78 trillion, which is down $41 billion from last year at the same time.

Merritt suggested to The Center Square that U.S. Sen. Bill Cassidy’s proposed No UPCODE Act could be “a great way to reduce wasteful spending to pay for this.”

The No Unreasonable Payments, Coding, or Diagnoses for the Elderly Act – or No UPCODE Act – was introduced by Cassidy, a Republican from Louisiana, earlier this year to “eliminate waste, fraud, and abuse” in Medicare, according to a press release.

Cassidy’s press team did not respond to a request for comment.

As Merritt explained to The Center Square, Cassidy’s bill “curbs Medicare fraud from insurance companies” and “would save $124 billion over 10 years.”

Merritt believes that “if you could match that No UPCODE Act with any deal that is made to extend healthcare subsidies and to pay for it, that would be a win-win.”

“All the conservatives who want to cut wasteful spending and reduce the debt win, and then you can finance these healthcare subsidies and people who want that win,” Merrit said.

According to Merritt, this would be a case where because people – including insurers – want to get subsidies or “extra money” for Obamacare, they will essentially pay for it “by cutting the wasteful spending that’s going to them by $124 billion in the Medicare program.”

Merrit said he believes many are thinking “if insurance companies are going to profit from this, they ought to pay for it, too. They waste a lot of money that the government can stop.”

In the end, Merritt told The Center Square that he believes the GOP plan to send money to flexible spending plans “is a step in the right direction.”

“Everyone knows that the Obamacare premium tax subsidies that have been under debate are [subsidies] for health insurance companies,” Merritt said. “That money goes to health insurance companies, not to patients.”

Merritt said he believes the Republicans are saying by their proposal that “there are a lot of options besides Obamacare – why only subsidize Obamacare?”

“There are short-term health plans people can choose that are far less expensive,” Merritt said. “Sometimes younger, healthier people … don’t want to spend thousands of dollars on a plan that really doesn’t cover that much.”

“The cost of health insurance is going through the roof and those Obamacare plans are on average up 20% this year,” Merritt said, adding that Obamacare is going up three times faster than “regular insurance that most people get at work.”

Concerning the subject, Trump said he recommends tax dollars being sent to “money sucking” insurance companies “in order to save the bad Healthcare provided by ObamaCare, BE SENT DIRECTLY TO THE PEOPLE SO THAT THEY CAN PURCHASE THEIR OWN, MUCH BETTER, HEALTHCARE, and have money left over.”

“In other words, take from the BIG, BAD Insurance Companies, give it to the people, and terminate, per Dollar spent, the worst Healthcare anywhere in the World, ObamaCare,” Trump said.

Events

No events

Leave a Comment





Latest News Stories

Illinois quick hits: Gun ban challengers petition SCOTUS; man sentenced for COVID fraud

Illinois quick hits: Gun ban challengers petition SCOTUS; man sentenced for COVID fraud

By Jim Talamonti | The Center SquareThe Center Square Gun ban challengers petition SCOTUS The Second Amendment Foundation is asking the U.S. Supreme Court to take a challenge to Cook...
WATCH: Trump: Illinois’ 'slob of a governor' should call for help with public safety

WATCH: Trump: Illinois’ ‘slob of a governor’ should call for help with public safety

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – Illinois Gov. J.B. Pritzker says he has not received communication from the federal government about potential troop...
WATCH: Legislator says Illinois’ child welfare agency uses interns, has legal exposure

WATCH: Legislator says Illinois’ child welfare agency uses interns, has legal exposure

By Greg Bishop | The Center SquareThe Center Square (The Center Square) – An Illinois state legislator insists the state’s child welfare agency is violating the law by using interns...
Economic index shows reduced uncertainty, more stability in Midwest

Economic index shows reduced uncertainty, more stability in Midwest

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – The Federal Reserve Bank of Chicago’s Survey of Economic Conditions Activity Index suggests more stability and less...
New law sparks debate over Illinois school mergers, communities fear loss

New law sparks debate over Illinois school mergers, communities fear loss

By Catrina Barker | The Center Square contributorThe Center Square (The Center Square) – A new law that could push school districts to study possible consolidation, aiming for efficiency and...
Illinois in Focus: Rest area burglary arrests made; overdose awareness events planned

Illinois in Focus: Rest area burglary arrests made; overdose awareness events planned

By Jim Talamonti | The Center SquareThe Center Square Rest area burglary arrests made Two men have been detained in connection with a reported burglary at the northbound Interstate 57...
Nonprofit files complaints against Trump attorneys but almost no public discipline

Nonprofit files complaints against Trump attorneys but almost no public discipline

By Arthur KaneThe Center Square Two nonprofits run by an attorney with long-time Democratic connections have been filing ethics complaints against lawyers who represented Trump officials or issues, seeking to...
Everyday Economics: Softer tape, PCE in focus, and the Fed’s next move

Everyday Economics: Softer tape, PCE in focus, and the Fed’s next move

By Orphe DivounguyThe Center Square This summer, economic signals leaned softer. Hiring looks frozen, retail sales volumes are flat to slightly negative, and existing-home sales are essentially unchanged from a...
Marine's mother takes on troop transport duties for family visits

Marine’s mother takes on troop transport duties for family visits

By Brett RowlandThe Center Square When Army Specialist Dakota Barnes considered flying home to California for Christmas last year, she knew she couldn't afford it without giving up her yearly...
Trump plans to clean up Democrat-run cities over local objections

Trump plans to clean up Democrat-run cities over local objections

By Brett Rowland | The Center SquareThe Center Square (The Center Square) – President Donald Trump plans to clean up major U.S. cities that he says are plagued by crime....
Energy advocate applauds oil and gas commingling updates

Energy advocate applauds oil and gas commingling updates

By Tate MillerThe Center Square Oil and gas commingling rules have been updated in accordance with the Big Beautiful Bill in order to strengthen energy production and safety, with energy...
Texas legislature passes redistricting map, governor to sign into law

Texas legislature passes redistricting map, governor to sign into law

By Bethany BlankleyThe Center Square )The Center Squar) – The Texas Senate passed HB 4, the state’s congressional redistricting plan, which changes nearly all districts and could flip up to...
Dow hits record high after Fed Chair hints at September rate cuts

Dow hits record high after Fed Chair hints at September rate cuts

By Morgan SweeneyThe Center Square The Dow Jones Industrial Average clinched a record high Friday for the first time this year hours after Federal Reserve Chair Jerome Powell hinted that...
WATCH: Newsom optimistic about redistricting despite poll

WATCH: Newsom optimistic about redistricting despite poll

By Dave MasonThe Center Square Gov. Gavin Newsom on Friday said he’s proud of how quickly the California Legislature passed a congressional redistricting proposal that he signed, but he was...
Newsom meets with Danes, talks about Trump but not 2028

Newsom meets with Danes, talks about Trump but not 2028

By Dave MasonThe Center Square California Gov. Gavin Newsom came to his hometown of San Francisco Friday to talk about the state’s new green energy partnership with Denmark. But another...