The Medicare Trustees’ Report and the $8.1 Trillion Double Count
10:10 AM, Apr 24, 2012 • By JAMES C. CAPRETTA
But, of course, because the HI taxes and spending cuts were counted on paygo, the government has now stood up permanent entitlement commitments in Medicaid and the state exchanges that exceed the $8.1 trillion liability reduction in Medicare. It’s just that those long-term liabilities are never reported anywhere because they are not paid from a trust fund.
Some Obamacare apologists have tried to argue that the rules have always allowed this double-count to occur. That is true. But in the past, the amounts were inconsequential. Not so with Obamacare. This legislation used double-counted Medicare cuts to create the largest entitlement expansion in a generation. Unless it is repealed, the fiscal consequences will be disastrous.