ObamaCare’s Impact, Week 1
[Guest post by DRJ]
Le-gal In-sur-rec-tion on “Obamacare’s Chickens Coming Home To Roost Already” (Subtitle: Why We Care About Corporate Write-downs):
“Numerous companies already have announced enormous financial write-downs related to Obamacare’s cutback of subsidies for prescription drug benefit programs for retirees.
These subsidies, while characterized by Democrats as “loopholes,” actually saved the government money because it cost less to subsidize private drug programs than for the government to provide the same benefit through Medicare: …
***
If these were just financial write-downs, the Democrats would not care.But as explained at Powerline, the result will be the elimination of these private benefits for retirees …”
In a fair media environment, it would also mean bad press for Obama and the Democrats.
— DRJ
or even in an honest one…..
redc1c4 (fb8750) — 3/27/2010 @ 8:58 pmWaxman needs to summon the Chairman of the PCAOB to testify to Congress about the accounting impact to corporations of ObamaCare instead of the CEOs of the Corporations announcing writedowns or potential changes in future benefits. This is pure thug politics.
daleyrocks (718861) — 3/27/2010 @ 9:15 pmGet ready for the massive wave of employers dumping their employees health insurance plans. Especially if the republicans fail to recapture congress in November. Don’t forget the Bush tax cuts expire January 1st raising the hurdle for business. Add to that the increases in health care that are sure to come and employers will need to cut all possible overhead. Then to add injury to insult the death tax comes in full force as well in January which will weaken the stock market even more. And that will harm even more 401k plans, union pension funds, civil servants retirement plans. The democrats are creating a truly nightmarish storm.
cubanbob (409ac2) — 3/27/2010 @ 9:22 pmIf Desiree managed to avoid talking to congress I am betting the legal departments of At&T, Deere, Verizon, Cat. etc. will find a way to be busy that day, too. Unless, of course they *want* to say a few things to America with the cameras rolling for their own purposes. I guarantee those CEOs can make mincemeat of Waxman and Stupak. If the Dems think they can intimidate these fellows I think they will fail.
AT&T still has a huge employee base. At one time at least, AT&T had more living retirees than any company in America. They are not crazy generous when it comes to benefits but have historically been fair. If/when they cut retiree benefits due to Obamacare these companies are most definitely going to want to make it abundantly clear as to why it is happening, the cause, and who is to blame.
As the week ends, I swear, have you ever heard of a thing that is so “wonderful” that needs a full court press sales job coupled with sleight of hand and thuggery to get people to buy the product? The IPhone it ain’t.
elissa (4a2818) — 3/27/2010 @ 9:42 pmGet ready for the massive wave of employers dumping their employees health insurance plans. Especially if the Republicans fail to recapture congress in November.
See, that’s one of the problems Cuban. Most large companies have their enrollment period for benefits in the month of Nov. for benefits and premiums to be effective the following Jan. 1. Decisions have to be made now by the companies, without knowing the results of the 2010 elections. Once any employee benefits are nuked, even if there is a Republican congressional takeover and repeal of Obamacare, it will already be too late for us.
elissa (4a2818) — 3/27/2010 @ 9:56 pmSpeaking of a fair media:
Check out the link for a photo of what CNN calls “dozens of people” when it’s not a liberal gathering.
DRJ (daa62a) — 3/27/2010 @ 10:38 pmDRJ, the Reno Gazette-Journal reported that crowd as over 10,000. I guess that, technically, it was dozens of people…just a whole lot of dozens.
Some chump (c2555f) — 3/27/2010 @ 10:44 pmLas Vegas Sun reported 8,000 (according to police estimates). CNN yet again confirmed that they should not be taken seriously. For entertainment purposes only.
Dana (1e5ad4) — 3/27/2010 @ 10:52 pmContains
redc1c4 (fb8750) — 3/27/2010 @ 11:32 pmNothing
Newsworthy
Now the mandates have been shown to be unenforceable. What is going on ? Is this incompetence or some secret plot to create chaos in the financial markets? I get an Argentina feeling whenever I think about these guys, which is as seldom as possible.
Mike K (2cf494) — 3/28/2010 @ 6:26 am““Numerous companies already have announced enormous financial write-downs related to Obamacare’s cutback of subsidies for prescription drug benefit programs for retirees.”
The subsidies are ending in 2013. Law requires that write downs be booked on the quarter that the tax law changes, not when they take effect.
“In a fair media environment, it would also mean bad press for Obama and the Democrats. ”
Free marketeers bemoaning the end of subsidies should certainly get more press.
imdw (0172f3) — 3/28/2010 @ 6:44 am“Free marketeers bemoaning the end of subsidies should certainly get more press.”
So it’s “Silly Sunday” again for IMDeeDoubleDoo.
GeneralMalaise (2bc526) — 3/28/2010 @ 7:18 am“If you are happy with your current insurance plan you can keep it. If you are happy with your doctor you will be able to keep your doctor.”
— Barack Obama
“We’re doing this for the American people.” — Nancy Pelosi
Of course the *real* subsidies, the *liberal stamp of approval* subsidies start in 2014 when a family of 4 earning $88,000 will begin receiving government subsidies to pay for (by then) unaffordable insurance for care to be provided by fewer doctors. In the meantime, in the ensuing 4 years, it’s helter skelter for people employed by corporate America and by smaller businesses in America. Whatever.
Mike K, this bill was voted on by incompetents, but this law as conceived by the leadership sure seems like an attack by the US government on the already weakened economy of the United States.
elissa (5a243b) — 3/28/2010 @ 7:31 amOur small but growing concern – erm – business – had plans to add 2-3 more full-time employees. But, alas, now we will settle for 6-8 1099 contractors.
Weird how all these folks who have nary done anything in the private sector (except maybe sue employers that actually employ peoples and create opportunity for to collect more taxes) seem to have no clue as to how “small” greeeeeedy business owners like me think.
Very odd, that.
Enoch_Root (174a66) — 3/28/2010 @ 7:55 amOBAMACARE like NAFTA its just another way of creating a SOVIET AMERICA
[note: fished from spam filter. –Stashiu]
Krazy Kagu (b46b88) — 3/28/2010 @ 8:31 amRemember, these financial realities will affect coverage for public employees, too, and their union members like SEIU or CSEA. Is Obama going to exempt them too?
Calpers will lose their subsidy and dump all their retirees onto Medicare Part D.
BTW, attorneys, does Congress have the RIGHT to compel CEOs from Caterpillar et al. to appear before Congress to explain their SEC filings?
Patricia (e1047e) — 3/28/2010 @ 8:35 am[…] Claims ‘Technical Difficulties’ In Getting GOP Response Patterico’s Pontifications: ObamaCare’s Impact, Week 1 Pittsburgh Tribune-Review, ‘Tea party’ heard as D.C. focus of protest Josie Wales, Big […]
Younger Conservatives on the Rise… Obama’s Liberal Politics Not Engaging Them, College Student Attendance at Tea Party Rallies Growing « Frugal Café Blog Zone (a66042) — 3/28/2010 @ 8:54 amDems can’t see past their nose. This is just the tip of the iceberg……remember the Titanic and icebergs???
J. Raymond Wright (e8d0ca) — 3/28/2010 @ 8:59 amimdw whines about the companies writing down due to tax law changes and pretends it is something good, but ignores the fact that it seems to annoy Democrats like Waxman.
Another failure of imdw’s talking points.
SPQR (26be8b) — 3/28/2010 @ 9:03 amThis bill will bend the cost curve down – Barack Obama’s Evil Twin
daleyrocks (718861) — 3/28/2010 @ 9:22 am“imdw whines about the companies writing down due to tax law changes and pretends it is something good, but ignores the fact that it seems to annoy Democrats like Waxman.”
Whining? They HAVE to do this now — not later. I think that makes good sense. I’m not the one that has a problem with this. But now you think it’s a problem for me that I’m not following the lead of Henry Waxman and fitting into your little partisan mind? Jeezus.
imdw (22078e) — 3/28/2010 @ 9:45 amPost #20… hissyfit numero uno…
GeneralMalaise (2bc526) — 3/28/2010 @ 10:04 am“BTW, attorneys, does Congress have the RIGHT to compel CEOs from Caterpillar et al. to appear before Congress to explain their SEC filings?”
Congress can issue subpoenas and compel appearance. But they likely just asked.
imdw (017d51) — 3/28/2010 @ 10:07 amI’m not following the lead of Henry Waxman and fitting into your little partisan mind? Jeezus.
Said by the most hyper – partisan, reflexive and knee – jerk anti – Semitic nutbags ever to populate this blog. Look in the mirror right now and tell us what you see.
Dmac (21311c) — 3/28/2010 @ 10:11 am“Free marketeers bemoaning the end of subsidies should certainly get more press.”
Should companies forced to recognize the adverse impacts of the tainted health care reform bill not anticipated by Democrats be swept under the carpet or dragged in front of a Congressional Committee for a Show Trial?
daleyrocks (718861) — 3/28/2010 @ 10:13 amPretty hilarious when imdw’s talking points get obsoleted in mid-thread, eh?
SPQR (26be8b) — 3/28/2010 @ 10:17 am“Said by the most hyper – partisan, reflexive and knee – jerk anti – Semitic nutbags ever to populate this blog”
As evidenced by my not following Henry Waxman. I see.
imdw (603c39) — 3/28/2010 @ 10:22 amDon’t worry, he’ll just immediately go on to his next page of DNC talking points. Nothing but brain – dead recitations from an inert object.
Dmac (21311c) — 3/28/2010 @ 10:22 am“If you are happy with your current insurance plan you can keep it. If you are happy with your doctor you will be able to keep your doctor.”
— Barack Obama
Anyone who gives this a moment’s thought knows Obama can’t possibly keep that promise. Whether you keep your current insurance plan or doctor depends on what your employer, insurance plan and doctor decide.
The San Diego Union-Tribune perpetuated this phony promise in a dopey “myths and realities” explainer, citing the Rand Corp.’s Elizabeth McGlynn:
REALITY: You can keep your current plan if you’re satisfied with it. Some insurance plans that offer an inferior product may disappear from the market, “but that’s a good thing for consumers, because better products will be offered,” McGlynn said.
Bait-and-switch alert! You can keep your current plan, except if the insurance plan is “inferior”, (according to whom?) in which case it may disappear.
I hope the Union-Tribune’s new editor gets rid of such illogic and propaganda, or at least labels it as opinion, rather than passing it off as an objective look at reality. Why should Union-Tribune subscribers pay for this when we can get it free from whitehouse.gov or innumerable pro-Obama lobbying groups?
Brother Bradley J. Fikes, C.O.R. (9eb641) — 3/28/2010 @ 10:23 amUh, that was Brother Bradley J. Fikes, C.O.R.
My name was entered in the proper space, but I’m using Google Chrome’s Linux beta. Maybe that caused it.
Brother Bradley J. Fikes, C.O.R. (9eb641) — 3/28/2010 @ 10:24 amBradley, the comment adding code will use “You” when it confirms the comment was added. But it used the name filled in the blanks.
SPQR (26be8b) — 3/28/2010 @ 10:25 amMore from the Brain – Dead, inert object:
Congress can issue subpoenas and compel appearance. But they likely just asked.
Oh, no doubt they just want a courtesy call of sorts. Just an honest and frank exchange of ideas, Waxman is only trying to understand basic business concepts, is all. Just like the bank harangue not too long ago, they were just looking for information. The companies are under no mandatory obligation to attend this, let’s not question the ulterior motives involved.
Dmac (21311c) — 3/28/2010 @ 10:28 amSPQR,
I just saw my name magically reappear. I’d never seen the “You” before. Thanks for the explanation.
Brother Bradley J. Fikes, C.O.R. (9eb641) — 3/28/2010 @ 10:29 am[…] Claims ‘Technical Difficulties’ In Getting GOP Response Patterico’s Pontifications: ObamaCare’s Impact, Week 1 Pittsburgh Tribune-Review, ‘Tea party’ heard as D.C. focus of protest Josie Wales, Big […]
Where in the World Is Barack? « Frugal Café Blog Zone (a66042) — 3/28/2010 @ 10:29 am32.SPQR,
I just saw my name magically reappear. I’d never seen the “You” before. Thanks for the explanation.
Comment by Brother Bradley J. Fikes, C.O.R
I was surprised to see that Patterico’s server could recognize me, even without a webcam. 😉
MD in Philly (59a3ad) — 3/28/2010 @ 10:42 amMy parents get their insurance coverage as Caterpillar retirees. Already, people are afraid that there will be no coverage for retirees after Obamacare is implemented. I guess that’s what Durbin was talking about when he said this was the price to pay for the America we want–no insurance coverage, except some mess administered by the government with the Fidel Castro seal of approval.
Rochf (ae9c58) — 3/28/2010 @ 10:51 am“As evidenced by my not following Henry Waxman. I see.”
imdw – Statement not supported by evidence. Try again.
daleyrocks (718861) — 3/28/2010 @ 11:04 am“imdw – Statement not supported by evidence”
Like right on this thread?
imdw (603c39) — 3/28/2010 @ 11:22 am“Like right on this thread?”
As I said, statement not supported by evidence.
daleyrocks (718861) — 3/28/2010 @ 12:40 pmLooks like you finally got me falling in line by… saying I’m fine with this.
imdw (4fe3dc) — 3/28/2010 @ 12:42 pmThere will be a lot more of these write downs announced in the coming week. I think that by about Thursday or Friday the mainstream media will be commenting on what a surprising development this is.
Charlie Davis (455996) — 3/28/2010 @ 12:43 pm“I think that by about Thursday or Friday the mainstream media will be commenting on what a surprising development this is.”
When it is completely predictable. Thanks MSM.
imdw (4fe3dc) — 3/28/2010 @ 12:51 pm“Looks like you finally got me falling in line by… saying I’m fine with this.”
and the silliness continuezzzzzzzzzzzz…
GeneralMalaise (2bc526) — 3/28/2010 @ 12:55 pmWell, some things are completely predictable.
Eric Blair (0b61b2) — 3/28/2010 @ 1:15 pmLike the swallows returning to Capistrano, our resident Trolly hacks up another hairball.
Dmac (21311c) — 3/28/2010 @ 1:21 pm________________________________________
But, alas, now we will settle for 6-8 1099 contractors.
I’ve heard that more and more smaller businesses, in order to survive, are going the route of taking on new workers only if they’re classified as “contractors.” IOW, they’ll have to be considered independent, free-lance type of staffers, who have to cover the cost of their own fees or taxes for healthcare, unemployment and social security—as mandated by the IRS.
As one example, I read that some of the former full-time employees at a business like the LA Times (“hello, all you liberals in the MSM!!”) were laid off and then let back in as independent contractors.
Meanwhile, in one of the bluer states of the nation, happy days are here again…
Mark (411533) — 3/28/2010 @ 1:41 pmour resident Trolly hacks up another hairball
All right, Dmac, with that comparison now you’ve gone and really pissed off my cat.
elissa (5a243b) — 3/28/2010 @ 1:41 pmMy apologies to all actual felines in general.
Dmac (21311c) — 3/28/2010 @ 1:57 pmThe subsidies were used to give retirees Part D coverage. Now the company’s choice is to pay the whole thing or kick off the retirees into Medicare. That’s the problem.
Patricia (e1047e) — 3/28/2010 @ 2:25 pmDmac, that qualifies as a half of a condemn….
On the topic, I’ve already begun consulting my cardiologist and my lawyer to see if I need to just go ahead and have my heart valves replaced now, before I have to go to Canada or Cuba to have it done….
reff (176333) — 3/28/2010 @ 2:51 pmHeh. Reff, take it from Michael Moore, Cuba’s health care system is the best in the world – and their torture cells for all of their dissidents are truly world – class. You could ask the Canadian Premiere about Canada’s excellent cardiologists, but he already had his surgery in this country a few weeks ago.
Dmac (21311c) — 3/28/2010 @ 3:29 pm_____________________________________________
Meanwhile, in the wonderful world of socialized-healthcare-ized Great Britain, all is milk and honey:
Back in America, if — thanks to ObamaCare — a state government like California’s now faces a new annual burden of $2 to $3 billion, it’s truly ingenious how the responsibility for paying for a large portion of a federal mandate gets pushed onto the shoulders of all the saps (ie, taxpayers) on the state level.
Well, California is a blue — true-blue — state, so bend over and take it like the fools and suckers that you are.
Mark (411533) — 3/28/2010 @ 5:08 pm