HHS spent nearly $5 million on CLASS implementation before abandoning it

posted at 6:42 pm on October 26, 2011 by Tina Korbe

Today, at a joint hearing of two subcommittees of the Energy and Commerce Committee, a couple of Health and Human Services officials testified that HHS spent nearly $5 million to implement the long-term care insurance program known as CLASS before it abandoned the program as unworkable.

No excuse exists for that waste: Experts within HHS warned the program was fiscally unsustainable even before Congress passed CLASS as a part of Obamacare. Perhaps even more tellingly, the department spent more than half that money in just the past few months, when concerns about the viability of the program were mounting. In August, Sen. John Thune (R-S.D.) requested to know how much money the department had spent on the program. At that time, HHS reported spendings of just $2.2 million.

The tidbit of information comes as a timely reminder that, even though the administration has decided to abandon CLASS (over the president’s objections), taxpayers could still be on the hook for the program as long as it remains on the books. While Obamacare repeal will require a new Senate and White House, repeal of the CLASS component is increasingly within reach. Democrats and Republicans alike have opposed it from the start (12 Democrats voted to strip it from the PPACA in the original health care debate, for example). With the administration’s stamp of disapproval, passage of a repeal bill really shouldn’t seem like such a stretch. Yes, Obama has promised to veto, but that promise is so nonsensical in light of all that his own team has said that Congress should force him to veto anyway. That will barely look better than if Obama agreed to repeal part of his own health care law. (Again, I maintain it would actually be good for President Obama’s reelection chances if he admitted parts of Obamacare — or even the whole bill — were a mistake.)

Thune introduced a bill to repeal CLASS in April and persists in his quest for its passage. Obama has demonstrated he’ll take any opportunity to resurrect CLASS — and, if he wins a second term, the disastrous program might very well be implemented along with all of Obamacare. That underscores both the importance of blocking his reelection — and of doing whatever possible to repeal CLASS now.

Thune put it this way in a statement:

“After ignoring repeated warnings from budget experts and Congressional Republicans, HHS still spent nearly $5 million of taxpayers’ hard-earned money to implement a program it now says has no ‘viable path forward.’ As families across America continue to struggle financially, the Obama Administration has wasted nearly $5 million on a failed program.

“While HHS says it will not move forward with this fiscally unsustainable program at this time, so long as the CLASS Act remains on the books, taxpayers are at risk of future implementation. Before any more money is spent on this failed program, Congress should immediately repeal the CLASS Act and move to fully repeal Obamacare.”

Agreed.


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I am outraged, has the administration lost its ability to waste a billion without blinking? Come on, there’s no one else to shove $500 million to, a couple of union thugs to get a government backed $150K a year pension. Come on, we’ve got a reputation to keep!

joeindc44 on October 26, 2011 at 6:45 PM

Hey it is only a few million. Weeeee. Who cares anymore. Go Baracky Go.

They might as well admit they spent it on booze and bimbos.

Mr. Joe on October 26, 2011 at 6:45 PM

How come none of the candidates are talking of this?

(Except perhaps, Bachmann)

Kini on October 26, 2011 at 6:46 PM

Another portion (besides the phony CLASS income) of the “pay-for”s in ObamaCare was the student loan takeover,no? How does Obama’s reduction in interest rates and payments add to the ObamaCare price tag?

MayBee on October 26, 2011 at 6:49 PM

I want my money back!

Ditkaca on October 26, 2011 at 6:49 PM

When you are looking at being $15 Trillion in debt…

… $5 million in waste seems like a bargain.

How sick is that…?

Seven Percent Solution on October 26, 2011 at 6:51 PM

Are we ABSOLUTELY SURE that money didn’t get siphoned to some DEM donors like the SOLYNDRA money did? Really? how would we know espicialy with the new FOIA rules for government. This election is critical becasue we are ON the tiping point..either RESTORATION or STAGNATION, INFLATION, INTENSE CORRUPTION, DISINFORMATION, REVOLUTION, INDOCTRINATION, DEPRIVATION, STARVATION, DISSOLUTION, ERADICATION, DESTRUCTION and EXTINCTION of western civilization.

RedLizard64 on October 26, 2011 at 6:57 PM

5 million? Heck, Timmy can make that up by speeding up the printing presses for about an hour.

GarandFan on October 26, 2011 at 7:00 PM

But the Obama administration meant well and that’s all that matters! ObamaCare might be a colossal failure of historic proportions, as predicted by conservatives over and over and over again, but as long as it make the Anointed Left feel great about themselves and pat themselves on the back, well, that’s all that counts. Reality is optional.

visions on October 26, 2011 at 7:01 PM

Today, at a joint hearing of two subcommittees of the Energy and Commerce Committee, a couple of Health and Human Services officials testified that HHS spent nearly $5 million to implement the long-term care insurance program known as CLASS before it abandoned the program as unworkable.
========================================

Speaking of Energy,the Stimulus Loot Trail!!!!!!

Recovery Act Recipient Data
****************************

A listing of all Recovery Act recipients and their allocations. Updated weekly.

recoveryactfunding.xls

http://energy.gov/downloads/recovery-act-recipient-data

canopfor on October 26, 2011 at 7:07 PM

As families across America continue to struggle financially, the Obama Administration has wasted nearly $5 million on a failed program.

Au contraire!

This is probably the most effective $5 million the government has ever spent. When you realize how much money we’ll save after spending that money to find out the program is “unsustainable”, we’ll all be screaming for more $5M studies.

Certainly, its a waste in their mind, but for very different reasons.

BobMbx on October 26, 2011 at 7:13 PM

They might as well admit they spent it on booze and bimbos.

Mr. Joe on October 26, 2011 at 6:45 PM

$12 muffins.

BobMbx on October 26, 2011 at 7:14 PM

These goons didn’t count on Patient Doctor Confidentiality or HIPPA Rules, in general.

My physician doesn’t participate in the O-Ministration. As a matter of fact, many physicians are now going underground to avoid the O-Ministration of Health.

Key West Reader on October 26, 2011 at 7:20 PM

HHS spent nearly $5 million to implement the long-term care insurance program known as CLASS before it abandoned the program as unworkable.
=================

How about the (H1-B/H2-B) Waivers for US Companies,like what happened in Oregon who hired outside workers!!

H-1B Program Data

H-2B Program Data
*****************

A Labor Condition Application (LCA) is used by employers as supporting evidence for the petition for an H-1B visa. Only first issuance H-1B visas are subject to the legislated numeric limitation. DOL disclosure data does not indicate the employer’s intended use for the LCA.

http://www.flcdatacenter.com/CaseH1B.aspx

http://www.flcdatacenter.com/CaseH2B.aspx
============================================

Federal stimulus money for Oregon jobs hired foreign workers
Thursday, October 20, 2011
***************************
***************************

WASHINGTON — At least $7 million in federal stimulus money intended to provide jobs to unemployed Oregonians instead paid wages to 254 foreign workers, federal investigators have concluded.

The money was for forest clean-up jobs in central Oregon where thousands of experienced workers were idle. When the contracts were announced in 2009, Oregon had the third-highest unemployment rate in the nation at 11.1 percent, with rates in the state’s rural forest counties nearly 15 percent and higher.

The contractors applied for H-2B visas allowing them to hire workers for seasonal jobs, according to the report. In order to get clearance, contractors must prove the jobs can’t be filled with local residents and that pay won’t dilute local prevailing wages.
(More…..)
===============

http://www.oregonlive.com/politics/index.ssf/2011/10/federal_stimulus_money_for_ore.htm

canopfor on October 26, 2011 at 7:21 PM

$12 muffins.

BobMbx on October 26, 2011 at 7:14 PM

Nah, those are $1200 dollar muffins.

Oh, wait! This isn’t a MO fundraiser? My bad.

Key West Reader on October 26, 2011 at 7:21 PM

Done with all of it.

Key West Reader on October 26, 2011 at 7:23 PM

Hopey/Changeys NeverEnding BoonDoggle Abysis Pit
of Progressiveable/Socialistable Money Packing
of Red Tape SpendARoo,

“WE CAN’T WAIT”, Till WE SPEND ALL YOUR LOOT!!

canopfor on October 26, 2011 at 7:27 PM

They’re also spending many millions more now on the formation of the insurance “exchanges” in each state — even though a federal appeals court has ruled that the insurance mandate is unconstitutional. If the Supreme Court agrees, then these exchanges won’t be needed and all this money will have been wasted.

But hey, here’s some good news: The EPA is spending $1,600 per truck to outfit Mexican trucks with EPA-compliant mufflers and such. If you’re a U.S. trucker driving on U.S. roads, your truck also has to comply with all the EPA requirements, and you have to use your own money to pay for it. But if you’re a Mexican trucker using U.S. roads, the U.S. taxpayer is picking up the tab for you. Is this a great country, or what? \\

AZCoyote on October 26, 2011 at 7:32 PM

Ya know……………………

If Team Hopey/Nopey can burn through US TaxPayers Loot,
from the last,almost 4 years,

YOU JUST WAIT…..till Team Progressive,gets their
hands on more US Loot,in 2012!!

But have no fear,crap,thats worry,sorry,it’ll come from the Uber
Super Rich,then,they’ll get it from the Filthy Stink’n Rich,and
then,from the Greedy Rich,who make over $250,000.00!

canopfor on October 26, 2011 at 7:33 PM

They’re also spending many millions more now on the formation of the insurance “exchanges” in each state — even though a federal appeals court has ruled that the insurance mandate is unconstitutional. If the Supreme Court agrees, then these exchanges won’t be needed and all this money will have been wasted.

But hey, here’s some good news: The EPA is spending $1,600 per truck to outfit Mexican trucks with EPA-compliant mufflers and such.

AZCoyote on October 26, 2011 at 7:32 PM

AZCoyote:Nightmarish,and I bet,that is covered in Stimulus Loot,
and no doubt,probably a “Waiver System”,for that!!

This sounds like another google hunt,and just wow,its
again,neverending,from this administration!:)

canopfor on October 26, 2011 at 7:36 PM

At 5 mil a program I can find at least forty more that will prove to be useless, worthless and unconstitutional, and for that 200 mil we can save 1.6 trillion. I call that a bargain the best I ever had!

tim c on October 26, 2011 at 7:39 PM

The 2010 health care law might never have passed had the “CLASS Act” not been assumed to bring in $70 billion over the next ten years.

http://economics21.org/commentary/class-acts-demise

Chuckles3 on October 26, 2011 at 7:39 PM

This sounds like another google hunt,and just wow,its
again,neverending,from this administration!:)

canopfor on October 26, 2011 at 7:36 PM

Here’s the link to that Mexican truck story:

http://directorblue.blogspot.com/2011/04/taxpayers-now-paying-to-equip-mexican.html

AZCoyote on October 26, 2011 at 7:41 PM

Money is like energy, can’t be destroyed (lost), only converted. Lobbyists, Attorneys, and Obama cronies pocketed that $5M. Put a demand on the program that will overload it, when the system collapses, the Government has complete control. Following the plan to the letter.

TulsAmerican on October 26, 2011 at 7:49 PM

Krykee doodle. If I had a dime for every dollar these profligate buffoons squandered, I’d have like… 400 billion dollars.

Since that won’t happen until something freezes over, I’d be happy just to get my money back.

locomotivebreath1901 on October 26, 2011 at 9:59 PM

Hey it is only a few million. Weeeee. Who cares anymore. Go Baracky Go.

They might as well admit they spent it on booze and bimbos.

Mr. Joe on October 26, 2011 at 6:45 PM

I would have a wee bit more respect for them if they did. A hangover and dose of clap would be more to show for it than they have now.

Extrafishy on October 27, 2011 at 6:56 AM