creators.com opinion web
Liberal Opinion General Opinion
Michelle Malkin
Michelle Malkin
4 Sep 2015
Joe Biden's Yuck Factor

Next week, as rumors swirl of his possible entry into the 2016 presidential race, Vice President Joe Biden … Read More.

2 Sep 2015
Eric Cantor: Poster Boy of the Beltway GOP Crapweasels

Ooouuuch. My sides are still aching after last week's comical announcement by GOP presidential candidate Jeb … Read More.

28 Aug 2015
Denver Corruptocrats' Chick-fil-A Smokescreen

Holier-than-thou liberals on the Denver city council are waging war on Chick-fil-A in the name of tolerance … Read More.

The $4 Billion Obamacare Slush Fund for Progressives

Comment

If you like how the Obama administration's multibillion-dollar "investments" in bankrupt solar companies have turned out, you'll love the latest federal loan program to nowhere. It's the Obamacare loyalty rewards program for progressives.

To appease liberal Democrats pushing for the so-called "public option" (the full frontal government takeover of our health care system), the White House settled for the creation of a $6 billion network of nonprofit "CO-OPs" that will "compete" with private insurers. It's socialized medicine through the side door. House Republicans sliced about $2 billion from the slush fund in last spring's budget deal and proclaimed the program dead. Hardly.

On Wednesday, the White House trumpeted the release of nearly $700 million in taxpayer-funded low-interest loans for seven CO-OPs in eight states. Administered by the Centers for Medicare and Medicaid Services, the fund will pour more money into CO-OP plans nationwide throughout the next year. In 2014, according to Washington bureaucrats, the plans will be offered on the federally approved and federally monitored state health exchange "marketplace."

Some marketplace. Given how Team Obama has dispensed special Obamacare waivers to scores of campaign donors, it's a sure bet the CO-OP/exchange mechanism will be brazenly rigged against non-subsidized, for-profit insurers. And against taxpayers. Obama health officials assure us that there will be an "early warning system" in place before loan recipients get into financial trouble. But we know from the half-billion-dollar Solyndra scam that when this administration sees red flags, it's full speed ahead.

In fact, the Obamacare CO-OP overseers already predict a nearly 40 percent default rate for the loans, according to Kaiser Health. Welcome to the Chicago-on-the-Potomac reverse rule of holes: When you're in one, keep digging.

So, who are the lucky winners of the Obamacare slush fund lottery? Freelancers CO-OP of New Jersey, New Mexico Health Connections, Midwest Members Health in Iowa and Nebraska, Common Ground Healthcare Cooperative in Wisconsin, Freelancers CO-OP of Oregon, Montana Health Cooperative, and Freelancers Health Service Corporation in New York.

You won't be surprised to learn that the Freelancers Union — the largest CO-OP loan beneficiary to date, with a total $341 million subsidy — is a left-wing outfit founded by a self-described "labor entrepreneur" and MacArthur "genius." Sara Horowitz has already snagged countless grants from the city and state of New York, the liberal Ford Foundation, the John D.

and Catherine T. MacArthur Foundation, the Robert Wood Johnson Foundation, and the Rockefeller Foundation.

Horowitz and Obama served together, along with former green jobs czar Van Jones, as advisers for the progressive think tank Demos — which in turn partnered with fraud-ridden community organizers ACORN and Project Vote. She also runs a political action committee called "Working Today" that crusades for an expanded government safety net. Crowing about the CO-OP loan from her fellow progressive warrior, Horowitz exulted: "It's like venture capital for health care." Or more accurately, to borrow South Carolina GOP Sen. Jim DeMint's phrase, venture socialism.

While Horowitz plots to rope in 200,000 new clients, existing customers protested in The New York Times over lousy customer service and abrupt changes that resulted in "higher premiums, higher deductibles and more holes than their current plans." Horowitz is more preoccupied with ensuring that the "social-purpose company" meets social and environmental justice goals than with customer needs.

Another of the Obamacare slush fund winners, Common Ground Healthcare Cooperative in Wisconsin, scooped up a $56.4 million federal loan. The group describes itself as a "coalition of religious groups and other organizations." Its pedigree is much more radical than that. As the Milwaukee Journal Sentinel noted, Common Ground "is the Milwaukee affiliate of the Industrial Areas Foundation, founded in 1940 by Saul Alinsky, a famed community organizer and author of 'Rules for Radicals.' The organization, based in Chicago, bills itself as the oldest and largest community organizing network."

The Industrial Areas Foundation was funded largely by the Gamaliel Foundation, which employed Obama in Chicago. As I first reported in 2009, Gamaliel's Gregory Galluzzo wrote that he "met with Barack on a regular basis," that Obama "acknowledged publicly that he had been the director of a Gamaliel affiliate," and that "we are honored and blessed by the connection between Barack and Gamaliel." No kidding. As Americans for Limited Government President Bill Wilson put it: "These grants/loans reek of political payola."

Cronies reap. Taxpayers weep.

Michelle Malkin is the author of "Culture of Corruption: Obama and his Team of Tax Cheats, Crooks & Cronies" (Regnery 2010). Her e-mail address is malkinblog@gmail.com.

COPYRIGHT 2012 CREATORS.COM



Comments

0 Comments | Post Comment
Already have an account? Log in.
New Account  
Your Name:
Your E-mail:
Your Password:
Confirm Your Password:

Please allow a few minutes for your comment to be posted.

Enter the numbers to the right:  
Creators.com comments policy
More
Michelle Malkin
Sep. `15
Su Mo Tu We Th Fr Sa
30 31 1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 1 2 3
About the author About the author
Write the author Write the author
Printer friendly format Printer friendly format
Email to friend Email to friend
View by Month
Author’s Podcast
Lawrence Kudlow
Lawrence KudlowUpdated 5 Sep 2015
Suzanne Fields
Suzanne FieldsUpdated 4 Sep 2015
Patrick Buchanan
Pat BuchananUpdated 4 Sep 2015

14 Sep 2011 Obama's Big Green Boondoggles

28 Jan 2009 GOP: Time To Get Things Undone

26 Jun 2013 Played Out: the Liberal Racists' “Uncle Tom” Card