Bush’s S-CHIP veto based on errors of fact and logic

Following up on an earlier item, the president’s decision to veto a bipartisan bill to expand the State Children’s Health Insurance Program is scandalous, but it’s not without a foundation. Bush didn’t just reject the expansion out of some kind of craven disgust for children’s health; he’s offered specific policy rationales for rejecting the legislation.

The problem, of course, is that these rationales happen to be spectacularly wrong.

McClatchy, arguably the best source for fact-checking in the mainstream media, takes note of some of the other bogus claims opponents of the bill are making. For example, House Minority Leader John Boehner (R-Ohio) has repeatedly argued that the proposal was put together without input from Republicans. McClatchy’s Steven Thomma and Tony Pugh explained, “That isn’t true. Senior Republicans such as Sens. Charles Grassley of Iowa, the senior Republican on the Senate Finance Committee and a fiscal conservative, and Orrin Hatch of Utah helped draft the bill.”

One of the White House’s favorite talking points, meanwhile, is that the S-CHIP expansion is so overly generous, it will cover children in households with incomes of up to $83,000 a year. That’s wrong, too.

The bill maintains current law. It limits the program to children from families with incomes up to twice the federal poverty level — now $20,650 for a family of four, for a program limit of $41,300 — or to 50 percentage points above a state’s Medicaid eligibility threshold, which varies state to state.

States that want to increase eligibility beyond those limits would require approval from Bush’s Health and Human Services Department, just as they must win waivers now. The HHS recently denied a request by New York to increase its income threshold to four times the poverty level — the $82,600 figure that Republican opponents of the bill are using.

Under current law, nineteen states have won waivers from these income limits. The biggest was granted to New Jersey, which upped its income limit to 350 percent of the federal poverty level, or $72,275 for a family of four in 2007. The expanded SCHIP program retains the waiver option under federal discretion; it doesn’t change it.

I try not to imagine what our democracy would be like if every major media outlet did fact-checking like this every day. It’s just too overwhelming.

McClatchy’s report added one administration claim that isn’t bogus.

The president also claims that the proposal would cause some families to drop private coverage and enroll their children in the cheaper SCHIP program.

That’s true.

Peter Orszag, the director of the Congressional Budget Office, said that was inevitable to some degree when any government program expanded. The CBO estimates that the legislation would attract 5.8 million new enrollees by 2012. Of them, 3.8 million would be uninsured and eligible under current requirements, and 2 million probably would have had private coverage before the expansion.

That’s a rate of about 1 in 3 new enrollees dropping private insurance. “We don’t see very many other policy options that would reduce the number of uninsured children by the same amount without creating more” dropouts from private insurance, Orszag said.

In other words, Bush is right about the likely consequence, but it’s not a good reason to veto a bill that helps millions of kids have access to medical care.

The president emphasized one other talking point today while rationalizing his veto: “[T]he policies of the government ought to be to help people find private insurance, not federal coverage.” Jonathan Cohn suggested even this is suspect.

Really? I always thought the idea, first and foremost, was to get people decent health insurance — regardless of who’s running it. And apparently I’m not alone. A great many conservatives voted for this measure, not because they’re dying to have government more involved in health care but because they want kids covered and are willing to do whatever it takes to make that happen.

The House Republican leadership — which is standing behind their president — says they have enough votes to sustain Bush’s veto. That’s too bad. And I’m not really sure how this plays out in terms of future negotiations. The White House is signaling its willingness to compromise, but the bill Congress sent him was already a compromise. The original House measure was a lot more generous. Bush, meanwhile, continue to tout his own proposal — which, because of its meager funding, would actually result in states forcing kids off the S-CHIP rolls.

As for political strategy, Big Tent Democrat makes the case that Dems should keep sending the White House the same bill, over and over again. Fortunately, the Democratic leadership, should the veto override come up short, plan to do exactly that.

I’ve occasionally thought of Mr. Bush as the Thomas Malthus of our day and age! What a cruel man! -Kevo

  • House Minority Leader John Boehner (R-Ohio) has repeatedly argued that the proposal was put together without input from Republicans.

    Quite untrue, but isn’t this what the Republicans did ALL THE TIME to the Democrats in Congress before 2006?

  • Fortunately, the Democratic leadership, should the veto override come up short, plan to do exactly that.

    I’m no longer willing to assume that they will do what they said they would. I’ll applaud it when I see it.

  • 35 Billion over five years is way too much to spend so children can see a doctor… but 190 Billion to fund the occupation of Iraq for one year… Oh that’s a “small price to pay!”

  • This, in a nutshell, is Neoconservative completely revealed.

    They have no issues spending more than $500 BILLION on a war with a country that didn’t attack us, that’s making us less safe, that’s creating more terrorists, and that has led to the death of tens of thousands of innocent people. And they’re willing to fund it OUTSIDE of the normal budget process to boot.

    But spending less than one tenth of that over a decade so that American children have adequate health insurance? Oh no … they can’t have that! It’s socialized medicine!!

    Of course, none on the right seem to have an issue with Congress’ and Bush’s government ran health care, now do they?

    Let’s face it — Bush and his supporters on this are the scum of the Earth. Period. They are the lowest form of humanity and have a special place in Hell reserved just for them.

    (And if you’re wondering, I’m actually holding back — I really can’t adequately express my outright fucking rage over this fuckhole vetoing this bill. Probably because my family will need the coverage in about a year when I’m put on permanent disability and Bush is playing with my son’s life. I sincerely hope the prick chokes on a pretzel and dies … today, if possible.)

  • I think what’s going to resonate with families across the nation is the President’s contention that we already have universal access to health care: emergency rooms.

    This, just after we learn that the definition of torture was lifted from the administration’s health care statute for when someone could get emergency care: “equivalent in intensity to the pain accompanying serious physical injury, such as organ failure, impairment of bodily function, or even death.”

    Our children meet the same standards as detainess. Who says Bush doesn’t treat our prisoners well?

  • Mark – get off the fence, do you like Bush or not?

    Hehehehehe … 🙂

    It’s not just Bush — it’s anyone who supports his veto of this bill. Like I typed, it just hits way, way too close to home for me.

  • Political games resulting in punishing children. Cruelty is too kind a word. Is privatization for profit more important than the health of our children? Money trumps…er peace…er..I mean… caring about children…sometimes heh heh heh. Still care what the history books will say Bush? So easy to condemn programs you’ve never had to depend on. This is not Bush America…this is America having to endure Bush

  • I fail to see how it is wrong to drop private insurance for public if one is eligible – it’s what this privately-insured individual plans to do in 11 years when I am eligible for Medicare…is that wrong of me?

    If you buy Bush’s argument, yes – it is terribly wrong and very unfair to the private insurance companies, and I’m pretty sure that if he thought he could do it, he’d get rid of Medicare, too. And Social Security. Why should we be trying to keep older people alive and in good heath, anyway? They’re a drag on the economy, and the sooner they all die off, the better, right?

    Bush’s America, where some people go of out of their way to legislatively deny a person access to birth control and abortion, and who thank you for having the child you could not afford by then trying to deny you any government benefit that might help you care for and raise a healthy child.

    Ah, the culture of life.

  • You’re being way too charitable CB. Bush’s veto wasn’t based on anything but a desire to veto the bill. (And to appease his pals at AHIP?) You have to remember you’re dealing with people who live in an alternate universe where effects come before causes. So, it would be better to say errors of fact and logic are based on Bush’s veto of the SCHIP bill.

    Think of all the ever shifting “reasons” given for the invasion and occupation of Iraq. Bush went in and won’t get out, because he’s decidereated that’s what he wants to do. When pressed, he throws out some “reason” and when that is shown to be pure lies he comes up with another. I can count four main ones without thinking about it and I know there are more.

    I’m not sure why Bush feels the need to spew a bunch of BS to support his actions, other than the fact addicts need to justify their behaviour. However, his contempt of people (and the belief that he really shouldn’t have to justify his behaviour), means he doesn’t put much effort into framing his “reasons.”

  • “See, these little nosepickers – heh heh – nosepickers – heh heh heh – they don’t vote – nosepickers – heh heh heh….I like that word…heh heh heh. What the hell, screw em and get me some ice cream.”

  • Anne,

    Good point.

    Which is why New York could be looking for an exemption to more than 200% – the cost of living is not a federal standard like the poverty level. COL is a local standard; what looks like a lot of money to one person is not a lot to another.

  • I’m sure it sounds like a lot to some people, but it really isn’t. Consider the cost of living and the prevailing wages in some areas.

    BINGO!

    The Neocons are so out of touch with reality that they don’t have any idea what health insurance actually costs.

    For my family of three, it’d be nearly $800 a month for the same coverage I have at work. Which is why I’m still working when I should be at home not doing a damn thing due to degenerative disc disease.

    And even if I was working and we had to buy our own insurance, we’d STILL not be able to afford it, even though we collectively make nearly 400% of the poverty level. It’s just too damn much.

    There’s also the fact that, without employer-sponsored care, I couldn’t even get insurance, nor could my son (who has a heart issue).

    But in Bushland, that’s just too damn bad. Besides, there’s always the ER.

    **screams obscenities toward D.C.**

  • I am so frustrated by this event that I can only say once again that George W Bush is a PIG. He is greedy, sub-human, and deserves much less than he is receiving. I have a sign on my bulletin board in my classroom that says “If you want peace, work for justice.” We will have neither as long as we have such vile people in charge.

  • I would wholeheartedly support SCHIP. But the funding plan for SCHIP calls for increasing taxes on only one segment of the population…that maligned minority, smokers. At sixty-one cents per pack, our household taxes would increase by $435 per year…almost one percent of our net income. That is grossly regressive and terribly unfair.

    What’s most troubling about it is that the rationale for this tax is that it might cause smokers to quit. If you follow that line of logic, the people who theoretically support SCHIP are hoping to see it de-funded.

    SCHIP deserves to be vetoed, even if by the wrong person for the wrong reasons. And the Democrats need to find a fairer way of funding it next time it’s proposed. Here’s a novel idea….how about reducing the funding for the war and using the money for SCHIP? Gee, you think you could get the current crop of Democrats to go for it?

    In the meantime, I think all good Democrats have an obligation to take up smoking. After all, it’s for the children.

  • puffin – no one’s forcing you to smoke, so you could choose to stop smoking, and then you not only would not be contributing via a tax, but you might find the money you have been spending on cigarettes to come in handy for other of your expenses.

    All of us non-smokers are paying some price for all of those who do smoke – so please don’t whine about paying a tax to do something you don’t have to do.

  • Having worked on the government litigation against Big Tobacco, and seen tens of thousands of pages of truly mind-blowing “they did that?” documents, there is no doubt that the market price of cigarettes does not remotely cover the marginal cost of production and the negative economic externalities attributable to smoking. A tax on cigs makes some effort to capture those externalities both for the government (who bears many of them) but also to encourage proper demand decisions about how much tobacco to use. That it is entirely voluntary (if one ignores the massive manipulation of the addictiveness engaged in by Big Tobacco) makes it even less unfair.

  • Maybe I didn’t get the memo, but I don’t feel I’m being picked on when the price of cigs goes up. (Again.) If I’m paying more for smokes so some child can have health insurance, I think that’s just great. (I’m not being the least bit sarcastic.)

    I’ve also noticed that tax hikes don’t make that drastic a difference in the price. It’s almost as if some corporate entity is absorbing costs that would normally be passed on to the consumer. Hmmmm…

    Nah.

    But even if you’re paying NYC prices, the things are still the cheapest addictive substance out there.

    If you don’t count sugar and fatty foods.

    No wait, that’s it! The cig tax is too narrow, we need a Crap You Shouldn’t Consume Tax. It would encompass everything from alcohol to Zingers and that would increase the revenue stream and no one portion of society would be unduly burdened.

    And now I’m going to leave before someone tries to tar and feather me for suggesting we raise the price of beer and chocolate.

  • TAIO, @22,

    Sigh. I smoke and I drink also, so would be adversely affected by such a tax as you propose, in addition to the current way of funding. But I’d be willing to pay for my vices, if it meant that a kid got medical care out of it. Fortunately, I’m quite indifferent to chocolate and beer and potato/taco chips, and, and, and… so wouldn’t be adverse to having others support a kid’s health-care via those avenues 🙂

    I also see a lot of merit in puffin’s (@19) suggestion that we re-direct war money to the children’s health-care. Why not? I’d much rather support children than Bush/Cheney’s mistake.

  • What’s most troubling about it is that the rationale for this tax is that it might cause smokers to quit. If you follow that line of logic, the people who theoretically support SCHIP are hoping to see it de-funded.

    This is something I’ve brought up several times. And I still don’t understand why they make funding dependent upon something they want people to stop doing. Doesn’t make much sense to me.

    As a smoker, I really don’t mind the price increase. Of course, I’ll be quitting next month anyway and prices are reasonable here in KC for now, so …

  • Scrooge here.

    Who are these folks who can’t make ends meet with 76k?
    Are they living just across the Hudson River?
    Maybe they need to MOVE further out so they can afford health insurance rather than soak up tax money.

    Bah, humbug.

    That said, one state out of fifty does not a middle class entitlement make.

  • Re: the smoking tax tie-in, it’s wishful thinking to propose that enough folks will quit over the next five years because of a tax increase. If you’ve never been hooked on nicotine, you won’t understand why this is implausible. But it would be a nice problem to have…

    Re: Fact checking, CB, I really think McClatchy has its facts wrong regarding 200% vs. 300%. Can someone clarify? I keep reading that the new bill allows uninsured children from families earning up to 300% FPL to qualify, with a waiver for over that.

    Re: Scrooge, I’d be more comfortable if people with household incomes above 200% FPL, at least, buy into the program rather than get it for free. But as I understand it, this is not the case? No one has to pay?

  • Oops to clarify – wishful thinking that so many will quit over the next five years that it would be impossible to fund SCHIP.

    Sorry to overpost.

  • Who are these folks who can’t make ends meet with 76k?

    Well … let’s see here. Between our mortgage (at a prime, fixed rate), day care, car payment, student loans, medical bills from two surgeries, groceries, gas, utilities, and other bills (but no cable TV, no long distance at home, and we buy generic groceries), we’re one of those folks. Trust me — it may seem like a lot of money, but it’s not.

    Just day care and medical bills take up more than 50% of our monthly income. Which wouldn’t be the case if we as a society treated both of those issues as rights, rather than privileges.

  • For once, I agree with him, frist time ever, not for the reasons he mentioned, which is being afraid of socalized medical, universial health care is coming weather he likes it or not.

    No I agree wih the veto for the one reason NO ONE seems to be talking about.The funding for this is unstable, not enough, and over all unfair. To cut payments to doctors under medicare, and tax smokers AGAIN. Does no one see something wrong here ?

    One, the funds proposed will not be enough, so the entire program will be underfunded, which means they will dip into some other funds to pay for it, or it will be yet another sounds good on paper, but dont work worth a fig in reality program, to apease the public.

    And does NO ONE care that taxing a tiny segment of the population, an increaseingly smaller and smaller segment I might add, is supossed to pay for all this ? Right, rip off the doctors who serve our Eldery and poor, and oh by the way, lets punish the smokers.. again ! Since no one cares that they have rights too, that have been trampled on repetedly.

    The whole idea is needed, of a certainy, but to offer to pay for it by such means is stupidity. Share and share alike, we will all benfit, we should all pay for it. The whole idea is poorly thought out and would be poorly funded, so yet another muli millon dollar waste, that will not serve the needs of the kids.

    This is not about being against the kids, its about funding a project on sand, that will rapidly slip out from under it and no one and I do mean NO ONE is talking about this fact.

    Its time to have full medical care for all of us, yet, but lets ALL of us pay for it in a sensible and fair manner.

    E Weiss

  • Comments are closed.