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WSJ: Yep, the feds are totally unprepared to launch ObamaCare exchanges
Hotair ^ | 11/28/2012 | MARY KATHARINE HAM

Posted on 11/28/2012 10:19:07 AM PST by SeekAndFind

The blaming of governors for not implementing ObamaCare is in hyperdrive for a reason— the federal government and liberals backing ObamaCare overestimated the federal government's ability to build a system of the complexity and technological intricacy necessary to pull this off. They counted on states to do some heavy lifting (with a hefty price tag) to make this happen, yet have given them very little regulatory guidance and passed the bill in a way least likely to engender cooperation.

The current rumpus is over ObamaCare’s “exchanges,” the bureaucracies that will regulate the design and sale of insurance and where 30 million people (and likely far more) will sign up for subsidized coverage. States were supposed to tell the Health and Human Services Department if they were going to set up and run an exchange by October, but HHS delayed the deadline to November, and then again at the 11th hour to December.

Sixteen states have already said they won’t participate. Another 11 are undecided, while only 17 have committed to doing the work on their own. Six have opted for a “hybrid” federal-state model. That means HHS will probably be responsible for fallback federal exchanges in full or in part in as many as 25 or 30 states.

While there’s certainly a political component to declining to shoulder this burden for the feds, there are very serious questions about whether the states can accomplish this task by October, when exchanges are to open for enrollment, and whether it will work at all. Why would governors put themselves on the financial and political hook for this experiment?

The opposition isn’t so much political as practical. Or rather, the vast logistical and technical undertaking to build an exchange helps explain why so many Governors resisted ObamaCare in the first place.

States have regulated the small business and individual insurance markets for decades (some well, others less so). Now they’re supposed to toss everything out for a complex Washington rewrite, which is still being rewritten. The exchanges will also help enforce the individual mandate and premium increases. They’ll also have to spend a ton of money. Ohio estimates it will cost $63 million to set up an exchange and $43 million to run annually, based on a KPMG study.

Most spending will go to information technology, in an era when many states still run Medicaid using paper forms and pneumatic tubes. These systems are supposed to allow consumers to review health plans online (or in person and by mail and fax), pick one and then ping HHS and the Internal Revenue Service to determine who is eligible for what subsidies. Private businesses spend years developing and refining such consumer software. States need to fund call centers to field queries and even hire “navigators” to actively encourage people to enroll.

I wrote a long piece about the technical obstacles of creating exchanges over Thanksgiving week, which echoes all of these concerns. Note that the administration just put forth a proposed rule for what exchange plans must cover last week, 32 months after the bill passed. The administration held off on regulations for political reasons of their own— they knew they’d lay bare ObamaCare’s broken promises:

Supporters are also worrying over the realization that running exchanges for dozens of states may be a technical heavy lift that’s just not possible. ObamaCare gave states the option to let the federal government set up an exchange for them, and though many states have worked without regulatory certainty to create those exchanges, noticeably absent is any hint of a federal exchange and what it would look like. There’s a reason for that, as the New York Times reported in August:

The markets, known as exchanges, are a centerpiece of President Obama’s health care law, and running them will be a herculean task that federal officials never expected to perform.

When Congress passed legislation to expand coverage two years ago, Mr. Obama and lawmakers assumed that every state would set up its own exchange, a place where people could shop for insurance and get subsidies to help defray the cost.

Oops. Who could have anticipated that in a diverse country where more than 50 percent still oppose the massive federal overhaul of health care passed against the will of the people through a special legislative process with absolutely no bipartisan support, with its costs and requirements systematically hidden or avoided for 32 months, that some states wouldn’t jump in with both feet? This also sets up a constitutional fight over whether the federal government can even offer subsidies through its own exchange (the law only establishes subsidies through state-based exchanges, not the federal one). Luckily, in the world of an ObamaCare supporter, all of the mistakes made in drafting the law or overestimating the ability of the federal government to implement it can be laid at the feet of Republican governors, not you know, the people who drafted the law.

But let’s say every single state was willing to build an exchange. These state exchanges, as the Washington Post notes, are often described as a Travelocity site for health care, but that oversimplifies the matter. If all states needed to do was build a decent website— well, I might still be skeptical, but there’d be a chance. Once again, though, states are missing an important puzzle piece which is the responsibility of— wait for it— the federal government:

A state can’t figure out how much an individual earns on its own. For that, it needs to ping a federal data hub that does not yet exist.

The federal government recently contracted with the healthcare IT firm QSSI to build that data hub, and they plan to make it available to both the exchanges that states run and those that the federal government sets up. It will determine whether individuals are eligible for Medicaid, subsidies or no benefit at all.

The challenge here is for states, which may have complex Medicaid rules or old computer systems, to actually plug into the federal hub.

“In many states, the Medicaid system is the best technology that the 1980s could offer,” says Bruce Caswell, who runs the health-services segment of Maximus, a firm that works on large government data systems. “As a consequence, they might have brittle interface capabilities.”

Some free-market health care experts anticipated HHS Secretary Kathleen Sebelius would debut a fully formed federal exchange days after the election, imperfect but ready for imposition on any state that deigned to decline making their own exchanges. When Sebelius pushed back state deadlines for announcing their exchange plans, that was the tell that the administration may be as far from prepared as some of the states they’re scapegoating.


TOPICS: Constitution/Conservatism; Culture/Society; Government; News/Current Events
KEYWORDS: healthcare; healthexchanges; obamacare; obamacareproblems; stateexchanges

1 posted on 11/28/2012 10:19:13 AM PST by SeekAndFind
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To: SeekAndFind

And just wait until thousands of physicians quit practicing in those states that have set up the CommieCare exchanges. These governors better have a Plan B designed to provide medical care for thousands of new patients to be served by a drastically reduced pool of doctors.


2 posted on 11/28/2012 10:23:55 AM PST by txrefugee
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To: SeekAndFind

Not just the stupidity of the whole idea (that you take the best medical system in the world and socialize it . .genius) but they way it was patchworked together to get that 51% shows what a huge trainwreck this is/will be.

What an effing disaster. Congrats, especially you youngsters who voted for this POS. You better start mending your ways.


3 posted on 11/28/2012 10:25:50 AM PST by A_Former_Democrat (Elections do have consequences, young people of America)
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To: A_Former_Democrat

Parents are to blame for allowing the public schools to indoctrinate their children. This has been going on for decades and the chickens are coming home to roost. The SHTF when stay-at-home moms decided to cave to a bunch of leftist man-hater lesbians and burn their bras and go to work. Mom and dad are just ‘too busy’ to know what their children are doing.. or learning.. or more importantly; NOT learning, like HOW AMERICA is SUPPOSED TO BE. The union-controlled schools don’t teach that anymore. It’s easier to indoctrinate children into socialism, communism and Marxism is they don’t know HOW AMERICA IS SUPPOSED TO BE.


4 posted on 11/28/2012 10:39:13 AM PST by Obama_Is_Sabotaging_America (IMPEACH OBAMA)
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To: SeekAndFind

Bump for an awesome post.


5 posted on 11/28/2012 10:40:56 AM PST by Hemingway's Ghost (Spirit of '75)
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To: txrefugee
“And just wait until thousands of physicians quit practicing in those states that have set up the CommieCare exchanges.”

I was down at the Texas Medical Center in Houston the other day. It truly is a city in and of itself. I counted no less than six huge construction cranes. It sure appears as if this world class medical center is gearing up for an influx of practitioners.

6 posted on 11/28/2012 10:45:25 AM PST by Gabrial (The nightmare will continue as long as the nightmare is in the Whitehouse.)
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To: SeekAndFind

ObamaCare sounds like a Chinese fire drill going on.


7 posted on 11/28/2012 10:50:34 AM PST by Vaduz
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To: SeekAndFind
Which state have agreed to implement these “exchanges”?
8 posted on 11/28/2012 11:07:11 AM PST by fella ("As it was before Noah, so shall it be again,")
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To: fella

I can’t speak for other states, but I know NY will. Chris Christie, El Hefe of NJ hasn’t joined the state’s lawsuit, and based on his recent buddy-buddying up with the Liberal Messiah, I’d guess he’s OK with implementing the exchanges as soon as the Sandy cleanup is done...

CT ( which is in my next of the woods ) just voted for another liberal dem and has a liberal Dem for governor, so it goes without saying that they’re going with the exchanges as well.

As for good old Massachusetts... hey, they were the inspiration for Obamacare (but did not vote for the governor who implemented it in 2012), so this state is going with the exchanges too.


9 posted on 11/28/2012 11:13:01 AM PST by SeekAndFind
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To: SeekAndFind
A state can’t figure out how much an individual earns on its own. For that, it needs to ping a federal data hub that does not yet exist. The federal government recently contracted with the healthcare IT firm QSSI to build that data hub, and they plan to make it available to both the exchanges that states run and those that the federal government sets up. It will determine whether individuals are eligible for Medicaid, subsidies or no benefit at all.

Does this mean they are going to put income data for all Americans on the Internet, accessible to 50 different state systems and perhaps some other entities, behind suitable security, of course? What could possibly go wrong with that idea?

10 posted on 11/28/2012 11:35:46 AM PST by Pollster1 (Freedom is never more than one generation away from extinction. - Ronald Reagan)
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To: Obama_Is_Sabotaging_America

“The SHTF when stay-at-home moms decided to cave to a bunch of leftist man-hater lesbians and burn their bras and go to work.”

Mommy AND daddy both have to work to maintain their upper middle class lifestyle, and mommy works just to pay the Fed’s income tax.

The “Supreme” court took prayer and the 10 Commandments out of the schools, making it easier to brainwash the kids.

I was not surprised to learn that the 10th plank of the communist manifesto is free public education.


11 posted on 11/28/2012 12:07:52 PM PST by MikeSteelBe (Austrian Hitler was, as the Halfrican Hitler does.)
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To: MikeSteelBe

Didn’t we have free public education before communism? Did the commies steal the idea from us?


12 posted on 11/28/2012 12:10:36 PM PST by morphing libertarian
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To: SeekAndFind

Communal Obamanation Communism File.


13 posted on 11/28/2012 12:19:41 PM PST by Graewoulf ((Traitor John Roberts' Obama"care" violates Sherman Anti-Trust Law, AND the U.S. Constitution.))
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To: fella
Which states have agreed to implement these “exchanges”?


14 posted on 11/28/2012 12:20:32 PM PST by COBOL2Java (GOPe: Already prepping for their 2016 loss - Jeb Bush!)
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To: SeekAndFind

This nobamacare implementation is like watching clowns run in and out of a clown car. Bwaahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahahaha.


15 posted on 11/28/2012 12:29:17 PM PST by hal ogen (First Amendment or Reeducation Camp?)
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To: A_Former_Democrat

16 posted on 11/28/2012 12:31:40 PM PST by Paladin2
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To: Paladin2

17 posted on 11/28/2012 12:38:02 PM PST by Paladin2
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To: SeekAndFind

I know this is off topic, but has anyone, anywhere seen any language in this piece of legislation that has anything to do with someone receiving one full unit of healthcare?


18 posted on 11/28/2012 1:54:44 PM PST by Artie (We are surrounded by MORONS)
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To: Artie

RE: receiving one full unit of healthcare

What on earth is “one full unit” of healthcare?


19 posted on 11/28/2012 2:28:47 PM PST by SeekAndFind
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To: SeekAndFind

Count Arizona out. Brewer will not set up the exchange.


20 posted on 11/28/2012 3:37:54 PM PST by ScoopAmma (We are led by the Resident -in Chief; aka part-time member of Webelo Troop 44)
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To: COBOL2Java

Wouldn’t it be funny if the states who want to set up the exchanges spend a pile of money in an attempt to do so but because of the arcane details of the law, find out that they completely WASTED their time and money since it is impossible to set up the exchanges?


21 posted on 11/28/2012 4:36:54 PM PST by PJ-Comix (Beware the Rip in the Space/Time Continuum)
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To: PJ-Comix
Wouldn’t it be funny if the states who want to set up the exchanges spend a pile of money in an attempt to do so but because of the arcane details of the law, find out that they completely WASTED their time and money since it is impossible to set up the exchanges?

Schadenfreude, baby, schadenfreude...

22 posted on 11/28/2012 5:23:35 PM PST by COBOL2Java (GOPe: Already prepping for their 2016 loss - Jeb Bush!)
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To: txrefugee
...just wait until thousands of physicians quit practicing...

I just got a letter from mine today saying he is quiting at the end of December.

The exodus is starting.

23 posted on 11/28/2012 5:49:29 PM PST by Gritty (I enjoy living in the 3rd World. Soon Americans will be able to do so from the comfort of home-FReed)
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To: morphing libertarian

The Communist Manifesto was written in 1848.

Massachusetts passed the first compulsory school laws in 1852. New York followed the next year, and by 1918, all American children were required to attend at least elementary school.

Overall, American public schools did not start becoming Marxist moron mills until the 1960s, when prayer and the 10 Commandments were taken out.


24 posted on 11/29/2012 10:25:56 AM PST by MikeSteelBe (Austrian Hitler was, as the Halfrican Hitler does.)
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To: MikeSteelBe

Boy those commies sure spread across the us in the 1800s


25 posted on 11/29/2012 10:55:59 AM PST by morphing libertarian
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To: morphing libertarian

“Boy those commies sure spread across the us in the 1800s”

A number of philosophies which became religions sprang up during that time, Mormonism and the Seventh Day Adventist church are two of them.


26 posted on 11/29/2012 5:22:04 PM PST by MikeSteelBe (Austrian Hitler was, as the Halfrican Hitler does.)
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To: MikeSteelBe

Thanx this is the first time in my decades of reading I have seen someone posit that free public education in the US sprang from communism.


27 posted on 11/29/2012 5:35:39 PM PST by morphing libertarian
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To: morphing libertarian
"...free public education in the US sprang from communism."

My home was built 100 years ago by a Russian (communist) scientist. We found papers in the attic showing he was head of the local school board as well as many other "Russians".

28 posted on 11/29/2012 5:46:52 PM PST by NoExpectations
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To: NoExpectations

Well I would rest my case on that.

Of course after communists plotted to make public education free in the us, they need that scientist take over the school board.


29 posted on 11/29/2012 6:08:13 PM PST by morphing libertarian
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To: morphing libertarian

“Thanx this is the first time in my decades of reading I have seen someone posit that free public education in the US sprang from communism.”

No teacher would teach that or admit it. Communism has a stigma associated with it, and this is somewhat true with socialism.

The USSR (Soviet Russia) and NDSAP (Nazis) have socialist in the name. DDR (East Germany) has democratic in the name.

The Marxism/Communism/Socialism/Progressiveism that schoolchildren are brainwashed with is labeled democracy.

Its like putting a flavor in medicine to make it easier to swallow.


30 posted on 11/29/2012 6:09:27 PM PST by MikeSteelBe (Austrian Hitler was, as the Halfrican Hitler does.)
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31 posted on 11/29/2012 6:11:38 PM PST by musicman (Until I see the REAL Long Form Vault BC, he's just "PRES__ENT" Obama = Without "ID")
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