CLASS, aka Community Living Assistance Services and Supports program, a part of the Obamacare monstrosity that Barack Obama and Democrats passed over the opposition of the majority of Americans and Republicans who at the time held minorities in both the House and Senate, has just been eliminated.Although sponsored by the government, it was supposed to function as a self-sustaining voluntary insurance plan, open to working adults regardless of age or health. Workers would pay an affordable monthly premium during their careers and could collect a modest daily cash benefit of at least $50 if they became disabled later in life. The money could go for services at home or to help with nursing home bills.
But a central design flaw dogged CLASS. Unless large numbers of healthy people willingly sign up during their working years, soaring premiums driven by the needs of disabled beneficiaries would destabilize it, eventually requiring a taxpayer bailout.
After months insisting that could be fixed, Health and Human Services Secretary Kathleen Sebelius finally acknowledged Friday she doesn't see how.
"Despite our best analytical efforts, I do not see a viable path forward for CLASS implementation at this time," Sebelius said in a letter to congressional leaders.
Everyone knew it was not a sustainable program, including the Democrats and Obama, who passed it anyway.
"If healthy purchasers are not attracted ... then premiums will increase, which will make it even more unattractive to purchasers who could also obtain policies in the private market," Kathy Greenlee, the lead official on CLASS, said in a memo to Sebelius. That "would cause the program to quickly collapse."
That's the same conclusion a top government expert reached in 2009. Nearly a year before the health care law passed, Richard Foster, head of long-range economic forecasts for Medicare, warned administration and congressional officials that CLASS would be unworkable. His warnings were disregarded, as President Barack Obama declared his support for adding the long-term care plan to his health care bill.
It is being dubbed a "budget zombie."
Obama and Democrats claimed there would be a $80 billion short-term surplus which would go towards "deficit reduction".
Via Wapo
“It’s a gimmick that produces phantom savings,” said Robert Bixby, executive director of the Concord Coalition, a nonpartisan group that advocates deficit control..
“That money should have never been counted as deficit reduction because it was supposed to be set aside to pay for benefits,” Bixby added. “The fact that they’re not actually doing anything with the program sort of compounds the gimmick.”
The program was created under President Barack Obama’s health care overhaul, and arguably provided much of the 10-year, $143 billion in savings claimed under the law. But now some Capitol Hill aides have dubbed CLASS a “budget zombie.”
This all ties in rather well with the last post where we see that the 2011 federal deficit was the second highest in history, second behind Obama's 2009 deficit.
Ann Althouse points out that liberals are pretty pissed off at Obama over this issue and since she spent a good amount of time going through Firedoglake's comment section, head over to Althouse and see exactly how peeved they are.
I have to say, I am not feeling a whole lot of sympathy for those commenting over there. They claim they feel betrayed, lied to, saying "If I was a Democrat in Congress, and I had gotten strong armed by the administration to vote for ACA, I would be livid," ..... ummmmmmmmmmmmm HELLOOOO.
Anyone one of them remember this?
Pelosi: "We Have to Pass the Bill So That You Can Find Out What Is In It"
Democrats in Congress were the ones doing the strong-arming. Democrats in Congress were the ones that passed the damn bill against the opposition of the majority of Americans. Democrats in Congress were the ones telling their base that Republicans were lying when they brought up these reports and concerns before the passage of the bill.
Democrats and Obama own Obamacare, lock, stock and rotted crumbling barrel.
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