featuring Heritage Foundation foreign and domestic policy experts  

   

WHAT: Heritage Foundation experts available all day and night for analysis of the State of the  Union  Address  

   

WHEN: Today, January 28, starting this afternoon with a Twitter chat (2 p.m. to 3 p.m. EST) and continuing through the address at 9 p.m. EST

   

BACKGROUND: Heritage Foundation scholars will live blog (www.foundry.org) and Tweet (Twitter handles noted for experts participating below) leading up to and during President Obama's State of the Union Address. Below are some of the topics we expect to be addressed, and the analysts who will be available for interviews.  

Overview

·         Genevieve Wood?(@genevievewood) Senior Contributor, The Foundry

·         Cameron Seward?(@sewardct) Program Manager, Impact Teams & Policy Services

Income Inequality & Economic Mobility

·         David Azerrad?Director, B. Kenneth Simon Center for Principles and Politics

·         Donald Schneider?(@donfschneider) Research Assistant, Center for Policy Innovation

·         Salim Furth?(@salimfurth) Senior Policy Analyst, Macroeconomics, Center for Data Analysis

Minimum Wage

·         James Sherk?Senior Policy Analyst in Labor Economics, Center for Data Analysis

Health Care

·         Alyene Senger?Research Associate, Center for Health Policy Studies

National Security, Foreign Affairs

·         James Carafano?(@jjcarafano) Vice President, Foreign and Defense Policy Studies, E.W. Richardson Fellow, and Director of the Kathryn and Shelby Cullom Institute for International Studies

·         Steven Bucci?(@sbucci) Director, Douglas and Sarah Allison Center for Foreign Policy Studies

Energy

·         Nicolas Loris?Herbert and Joyce Morgan Fellow, Thomas A. Roe Institute for Economic Policy Studies

Education/ Universal Pre-K

·         Lindsey Burke?(@lindseymburke) Will Skillman Fellow in Education

Immigration

·         Derrick Morgan?(@ddmorganindc) Vice President, Domestic & Economic Policy

Farm Bill

·         Daren Bakst?(@darenbakst) Research Fellow in Agriculture Policy, Thomas A. Roe Institute for Economic Policy Studies

The Heritage Foundation is the nation's most broadly supported public policy research institute, with hundreds of thousands of donors. Founded in 1973, it develops and promotes public policy solutions that advance free enterprise, limited government, individual freedom, traditional values and a strong national defense.

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Today, Health and Human Services Secretary Kathleen Sebelius testifies in from of the United States House of Representative's Energy and Commerce Committee regarding the botched rollout of Obamacare. Below is a recent blog piece by Chris Jacobs on the Obama Administration's knowledge that millions who would lose insurance under Obamacare; despite promises to the contrary.

Several experts are available to comment on this topic:

Nina Owcharenko
Bob Moffit
Ed Haislmaier
Chris Jacobs
Alyene Senger

 

How the Administration Knew Americans Would Lose Their Current Health Plans

Chris Jacobs

 

October 29, 2013

There has been much chatter about an NBC News report last night highlighting one clear fact: The Obama Administration knew millions of Americans would lose their current health plans due to Obamacare. That the Administration knew about the impact of Obamacare on Americans' health plans is clear, not least because internal Administration documents suggest an effort to downplay the law's impact to the public.

At issue are regulations issued in June 2010 implementing the "grandfathering" provisions of Obamacare. In theory, this section of the law was intended to allow individuals to keep their existing health plans if they liked them. However, as a leaked draft of the "grandfathering" regulations reveals, the Administration knew that would not be the case. This paragraph, on page 56 of the leaked draft, admits that "most plans will relinquish their grandfathered status" over time?in other words, many Americans will lose their existing health coverage (emphasis added):

After careful consideration, the Departments opted against rules that would require a plan or sponsor to relinquish its grandfathered status if only relatively small changes are made to the plan. The importance of gradual change outweighs the risk of market segmentation. Similarly, the Departments concluded that sponsors and issuers of grandfathered plans should be permitted to take steps within the boundaries of the grandfather definition to control costs, including limited increases in cost-sharing and other plan changes not prohibited by these interim final regulations. As noted earlier, deciding to relinquish grandfather status is a one-way sorting process: after some period of time, most plans will relinquish their grandfathered status since plans rarely stay exactly the same. These interim final regulation will likely influence the time frame over which plan sponsors decide to relinquish grandfathered status.

Compare that paragraph to a very similar paragraph on page 11 of the official, publicly released regulation. The final version struck a sentence emphasizing "the importance of gradual change" in transitioning health coverage to the new, post-Obamacare regime?and said that "more plans," not "most plans," will relinquish their grandfathered status over time. In other words, the Obama Administration tried to massage and downplay the regulation's impact on Americans' ability to keep their health coverage, even though the substantive contents of the rule changed very little from the leaked draft to the official document.

For millions of Americans?as many as 16 million who buy their own health insurance, according to one estimate?Obamacare will prove anything but a "gradual change." They are losing their existing health plans and have no good options. Some will migrate to Obamacare's new (non-functioning) exchanges, where the law's new requirements mean their premiums could increase substantially. This is change?a change that Heritage predicted?but it's not the change President Obama sold to the American people.

This week The US House of Representatives is set to vote on the misnamed "Farm Bill". This is not a farm bill; it's a food stamp bill. Food stamps make up roughly 80 percent of the bill. The 20 percent of the bill that is left is mostly handouts in the form of corporate welfare and other programs that benefit special interests.

Further, this "Farm Bill" is 56% MORE costly than the last. The Congressional Budget Office (CBO) projected the last farm bill, in 2008, to cost $604 billion. The new House farm bill is projected to cost a whopping $940 billion. This is 56 percent more than the 2008 farm bill. If this wasn't bad enough, the actual costs will likely be much greater, just like the actual costs of the 2008 bill

1.       This is not a farm bill; it's a food stamp bill.  Food stamps make up roughly 80 percent of the bill.  The 20 percent of the bill that is left is mostly handouts in the form of corporate welfare and other programs that benefit special interests.

2.      This "farm" bill is a textbook example of legislative logrolling.  The issues of food stamps and farming are far too important to be jammed together in a behemoth of a bill totaling a trillion dollars. When it comes to debating a bill with a price tag as large as this one, Congress owes it to the American taxpayers to engage in careful consideration of these programs.

3.      The farm bill is filled with favors for special interests.  One of the ways Congress can achieve reform that benefits taxpayers is by separating the "farm" bill into two components and consider each independently on its own merits.  The combination of food stamps and farm policy into a single bill holds us back from debating meaningful reforms in either area.

4.      The farming industry as a whole is enjoying record profits, yet  special interests continue to lobby Congress to  create new programs that not only help guarantee profit, but pad their already healthy bottom line.  Large corporate farms don't need and shouldn't receive massive subsidies from taxpayers, many of whom are struggling to make ends meet.

a.       In fact, about 75 percent of large farms receive subsidies compared to only 24 percent of small farms.  Consider that people like former President Jimmy Carter, the Rockefeller family and even some Members of Congress receive these taxpayer-funded subsidies.

5.      Ironically the exact policies crafted in the 1930's to help struggling farmers are the same ones that are now placing the smaller farms at a competitive disadvantage with the larger farms.  A lot has changed since the enactment of the first farm bill.  Congress shouldn't continue outdated policies simply to coddle this thriving, innovative industry that is led by business leaders who can manage risk as well anyone else.

6.      Both the House and Senate "farm" bills eliminate flawed programs only to create new programs that could turn out to be even worse. Despite claims of cutting spending some the House is projected to spend 56 percent more than the projected costs of the 2008 farm bill.  Additionally, taxpayers could be on the hook for millions more because Congress is assuming the cost of these programs will be much cheaper than what reality may prove.

7.      Spending on food stamps has doubled between 2008 and 2011, from approximately $40 billion to $80 billion respectively.  Today roughly one in seven Americans receive food stamps, and although we're seeing a slowly improving economy, there has not been a corresponding decrease in the number of individuals receiving food stamps.  Despite these realities, the spending cuts proposed in the House version of the farm bill are so minimal that they won't even cover the amount of fraud, waste and abuse plaguing the food-stamp program.

8.      The farm bill is central planning at its very worst.  If left on its current path, the farm bill will continue to roll right over taxpayers and leave any notion of fiscal responsibility in the dust. When politicians from both parties come together to irresponsibly spend taxpayer dollars and drive up the cost of food for families, Congress isn't working for the American people


Ever wonder what life would look like come January if Congress and the President failed to avert the now famous "fiscal cliff?"  Remember the classic Christmas movie, "It's a Wonderful Life?" The main character, George Bailey, is brought back from the brink by his guardian angel after a glimpse of what life would look like if he'd never been born.  A remake may be in order.  This time the plot falls in DC where Congress and the President get to see what their family, friends and many communities across the country would look like if they don't extend the current tax rates and find meaningful spending reductions.

Would you believe a 47-year-old farmer from Des Moines, Iowa would see a $1206 tax increase next year? Economists and labor experts at The Heritage Foundation have the numbers on how your family budget and community (click here for interactive map) would be affected.

Raising taxes on any income level is a lose-lose situation for our economy.  According to the Department of Treasury figures, 1.2 million Americans who employ people are earning $250,000 or more a year and paying their taxes through the individual income tax.  They would be hit head-on. The amount that their taxes would go up could be roughly equivalent to one employee's salary, meaning that's one person they can't hire in the new year. A study by Ernst and Young estimates that these tax hikes would kill 710,000 jobs.

The nation cannot afford the massive tax increases and continued levels of spending initiated under President Obama. The nation's workers cannot afford the sustained additional upward pressure on unemployment that would follow from raising tax rates. The problem is government spending. President Obama and Congress should focus on the problem and forget these destructive tax-hike obsessions.

Below is a recent "Morning Bell" piece from The Heritage Foundation regarding Voter ID.  Senior Legal Fellow Hans Von Spakovsky will be publishing a book on the Voter ID issue.

For example a recent attack on voter ID is occurred in Minnesota, where earlier this month, the state Supreme Court will hear a case filed by the League of Women Voters (LWV).

In League of Women Voters Minnesota v. Ritchie, the LWV is trying to convince the court to remove a referendum question from the November ballot. Its argument is that voters won't be able to understand the ballot question.

This referendum was passed by the Minnesota legislature in April and would amend the state constitution to require all voters voting in person to "present valid government-issued photographic identification before receiving a ballot." The amendment would also require absentee voters to be "subject to substantially equivalent identity and eligibility verification."...read more

Justice Department Blocks Voter ID at Every Turn

People seemingly voting after they've been dead for years. Drug kingpins buying votes from poor people to sway elections. Non-citizens being bussed to the polls and coached on how to vote. Stories of voting fraud are shocking, and states have been taking action to make sure that elections are secure. But the Justice Department, led by Attorney General Eric Holder, has blocked states at almost every turn.

This is the same Justice Department that stopped a non-partisan election reform by arguing that if party affiliation were removed from a ballot, African-American voters wouldn't be able to identify and vote for the Democrats. Holder has continued to stoke the racial fires, calling a requirement for voters to produce photo identification a "poll tax." Heritage expert Hans von Spakovsky said this argument is merely political. "Holder continues to perpetuate the incendiary error to the public, knowing that the poll-tax assertion is a racially charged one that should not be used lightly," von Spakovsky said. He explained:

Even the Ninth Circuit Court of Appeals?the most liberal appeals court in the country?did not buy the Holder poll tax claim when it reviewed Arizona's voter ID law. In Gonzalez v. Arizona (2012), the Ninth Circuit held that even though "obtaining the free identification required under [Arizona law] may have a cost," such immaterial costs are not a poll tax.


Holder is now "investigating" Pennsylvania's voter ID law, on the left's charge that it disenfranchises minorities.

Former Congressman Artur Davis, an African-American from Alabama who served in Congress as a Democrat from 2003 to 2011, finds this argument incredibly insulting. Speaking at The Heritage Foundation yesterday, Davis held up his driver's license and said, "This is not a billy club. It is not a fire hose. I used to represent Birmingham and Selma, Alabama, and I know something about fire hoses."

In states that have voter ID laws, the real-world results show that minorities have not been disenfranchised by any means. States that require ID to vote have offered free IDs to anyone who does not have one already. In Kansas, which allows any of nine different forms of ID as proof of identity to vote:

Out of a total of 1.713 million registered voters in Kansas, only 32 people had requested a free photo ID as of May 4, 2012. That represents only 0.002 percent of the registered voters in the state. Of those 32 voters, 80 percent were white, 10 percent were black, and the race or ethnicity of 10 percent was unknown. Thus, there is no evidence that minority voters were disproportionately affected.


Georgia, which has had voter ID since 2007, allows six different forms of ID to vote. And there has been no stampede of would-be voters who lack identification: "The number of photo IDs issued by Georgia to individuals who did not already have one of the forms of ID acceptable under state law is remarkably small, averaging less 0.05 percent in most years, and not even reaching three-tenths of 1 percent in a presidential election year."

What happened to minority voting after the law went into effect? In the 2008 presidential election, Hispanic voting in Georgia increased by 140 percent over the 2004 election. African-American voting increased by 42 percent. That is also a higher rate of increase than in other states without voter ID. Von Spakovsky notes:

The increase in turnout of both Hispanics and blacks in the 2008 presidential election after the voter ID law became effective is quite remarkable, particularly given the unproven and totally speculative claims of the Justice Department that the voter ID requirements of Texas and South Carolina will somehow have a discriminatory impact on Hispanic and black voters. In fact, Georgia had the largest turnout of minority voters in its history.


The evidence that producing photo ID is a burden simply isn't there. "How can it be a burden to ask people to do something they do all the time?" asked Congressman Davis, who said he went to a news organization to do an interview on voter ID and had to produce his driver's license to enter the news organization.

The Justice Department requires ID from visitors as well.

Voter ID battles are not over, and activist groups are trying everything they can think of to challenge these requirements. The Minnesota legislature passed a referendum that placed the question of voter ID on the ballot for citizens to decide. But the ballot question is under litigation because the League of Women Voters has sued, arguing that the question is "misleading" to voters. The Minnesota Supreme Court will be considering it.

In the state of Kentucky, it has become clear that buying votes is a common practice. A person's vote can often be bought for $50. Recently, it has come to light that cocaine and marijuana dealers are using drug money to buy votes and turn elections. According to one report, "In the Eastern District of Kentucky alone, more than 20 public elected officials and others have either been convicted or pleaded guilty in various vote-buying cases just in the last two years."

America cannot allow its elections to be anything but secure and legal. Preventing voter fraud is common sense, and it is outrageous that the U.S. Justice Department would stand in the way.

RESOURCES:

Holder Gets It Completely Wrong on Poll Taxes and Voter ID

The Problem of Non-Citizen Voting

Lessons from the Voter ID Experience in Kansas

Lessons from the Voter ID Experience in Georgia

Without Proof: The Unpersuasive Case Against Voter Identification
thought you might find this particularly interesting as Iowa is a Right To Work State. Senior Policy Analyst in Labor Economics James Sherk has just published  a piece on the bailout being for the United Auto Workers (23 billion worth).

The U.S. government will lose about $23 billion on the 2008-2009 bailout of General Motors and Chrysler. President Obama emphatically defends his decision to subsidize the automakers, arguing it was necessary to prevent massive job losses. But, even accepting this premise, the government could have executed the bailout with no net cost to taxpayers. It could have?had the Administration required the United Auto Workers (UAW) to accept standard bankruptcy concessions instead of granting the union preferential treatment. The extra UAW subsidies cost $26.5 billion?more than the entire foreign aid budget in 2011. The Administration did not need to lose money to keep GM and Chrysler operating. The Detroit auto bailout was, in fact, a UAW bailout....read more


Corrine Williams
Midwestern Regional Media Associate
The Heritage Foundation
214 Massachusetts Avenue, NE
Washington, DC 20002
305-479-5683
heritage.org


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Families are gearing up for Memorial Day vacations over the next few days, the good news for travelers is that oil prices are falling. Gasoline prices have dipped below $4 a gallon. Headlines across the nation are optimistic, but it's not time to start celebrating yet. Gas prices are still higher than they have to be.

Heritage expert Nick Loris says that both Congress and the administration have failed to act constructively to remove obstacles that would allow the market to respond more effectively to high oil prices and there are a number of things they can still be doing.

Today Governor Romney will head to Iowa to discuss the deficit:

Romney returns to battleground Iowa for first time since caucuses to blast Obama on US debt

Washington Post

....Romney's speech Tuesday afternoon in Des Moines is expected to promote spending discipline.......