Thursday, January 24, 2008

Health Care Death Spiral Over the Charles River 

Massachusetts Plan Now Costs 3.2 Times More Than Originally Advertised

Categories:  Massachusetts

As the California senate health committee has decided to delay its vote on the Schwarzenegger-Nuñez Health Care Deforminator, Model ABX1 1, until next Monday, let's turn our attention to the place where the millenium bug of mandatory, "universal," private health care first landed: Massachusetts.

As we have long anticipated, the Commonwealth Connector is well on its way to a death spiral of taxing and spending, as well as failing to achieve "universal" health care. Governor Patrick has requested $400 million next year to throw at the plan. Lest we forget, former Governor Romney's original estimate was $125 million per year. (And that was only a little over a year ago, so they can't blame inflation!)

In November 2006, Sally Pipes' paper exploded the impossible claim that it would cost $125 million, by uncovering evidence that, even at the time, its proponents (quietly) anticipated annual costs of $276 million to $386 million.

(See, we get these things right, so don't mock me for projecting California ABX1 1's costs to be 2.5 times the advertised $14 billion!)

Now, the plan's bosses are finally admitting (just like we also understood) that there will not "be a significant drop in spending on healthcare for the uninsured. The initial funding plan counted on shifting a significant portion of those 'free-care' costs to pay for insurance subsidies. But that shift is not going to happen to any large extent in 2009, according to the proposed budget," quoth the Boston Globe.

The quixotic quest for "universal" health care - it should rest at the bottom of the Charles.



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