Obamacare’s stealth ambush of senior citizens

[Geee]

Washington Examiner:

Obamacare’s stealth ambush of senior citizens
By: DAVID FREDDOSO
Online Opinion Editor
08/18/10 4:05 PM EDT

Even Obamacare’s biggest cheerleaders won’t be able to ignore Medicare chief actuary Richard Foster forever. Based on current law, Foster says, seniors who rely on Medicare will replace Medicaid recipients at the bottom of the health care ladder as early as 2019, five years after the individual mandate kicks in. That’s when the fees Medicare pays to providers will be slashed below Medicaid rates, which are already well below market prices.

“And if you’re in a plan that pays the lowest rates, you’re in trouble,” John Goodman, president of the National Center for Policy Analysis, told The Examiner.

That’s because the $575 billion cut to Medicare over the next decade — which is needed to pay insurance subsidies for 32 million new people — will force one in seven hospitals, nursing homes, home health agencies and hospices out of business, according to the formal Medicare trustees report released on April 22. By 2050, 40 percent of existing health care facilities will forced to close their doors.