The home healthcare industry, which largely serves seniors, is facing a 14% cut in funds to help pay for Obamacare. I contributed to a piece for Special Report with Bret Baier to call attention to this issue that is of serious concern for so many of our seniors and their families.
Supports excess homecare profits.
But there's a reason why the cut is coming; overpayments. And the home care industry loves the current Medicare model. Republicans say it would be much easier to voucherize it, and let seniors pick up the rest of the tab. Ryan says his new plan puts no limit on how big that voucher can get now, but that begs the question, why change the program if it didn't save money?
BloombergNews: One of the ways Obamacare aims to curb health costs is by encouraging home care for the elderly … So home health providers were surprised to learn in November that they’ll be taking a sizable hit as a result of the law: The rate Medicare pays them is scheduled to drop 14 percent over the next four years, Providers say they expected a reduction.Outrageous? I'm not here to defend or criticize the decision, not knowing that much about the home care industry, but the following has to count for something:
The Medicare Payment Advisory Commission, which advises Congress (said) most are for-profit companies that “have been paid well in excess of their costs,” the Medicare panel concluded in a report last year.Turning the tables, the Obama administration used a line right out of the Republican playbook:
The White House says companies that learn to use tax dollars more efficiently will bounce back, as they did after past cuts.