Thursday, January 12, 2006

If We'd All Been Living In California

Add California to the list. Illinois too. LATimes (01.12.06):
"California officials ordered emergency action today to cover drug costs for hundreds of thousands of elderly Californians who have been caught in a maddening cycle of bureaucratic glitches in the new federal prescription drug program. The action by California capped a day in which the new Medicare prescription drug program -- one of President Bush's signature domestic policy initiatives -- came under withering criticism across the country from governors and members of Congress of both political parties." State Steps In to Cover Drug Costs for Seniors
"Critics said the program, which Bush had touted as the most significant advance in Medicare in 40 years, was fast becoming a public health emergency." "In Illinois, Governor Rod Blagojevich, a Democrat, ordered state funds to be used to provide emergency drug coverage for the elderly. So far, eight states, including California, have taken that action in the last several days." Problems in Maine, New Hampshire, North Dakota, Vermont, Alabama, Oklahoma, Texas and Oregon, too. Not to mention New York, Rhode Island and Massachusetts. Even though it's currently an unqualified boondogle, we do have this to look forward to. GAO (03.23.04):
"The new drug benefit is one of the largest unfunded commitments ever undertaken by the federal government. Preliminary estimates of its long-term cost range up to $7-8 trillion in discounted present value terms over a 75-year period." Statement of David M. Walker Comptroller General of the United States
Note the use of the term "discounted present value". Meaning this is how much the damned thing could end up costing in 2004 dollars. That old Max; he was on to something: "If you think Bush is in trouble now, wait till people start experiencing the new Medicare drug benefit. This is going to be a huge debacle." Safe to say that the experiencing has commenced.

1 Comments:

Anonymous Anonymous said...

Look at it this way. If the Fed does not pay for the drugs, they reduce the budget deficit.
pt.

12:47 PM  

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