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Obamacare was never bipartisan: Therein lies the problem

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By WIN GRUENING
SENIOR CONTRIBUTOR

There are a lot of smart people in America we’d expect could address our healthcare debacle and show us a way forward. But, like many issues confronting America, the arguments are politically driven with so many competing interests at play, Americans throw their hands up and blame the most convenient target.

The targets are numerous. The medical profession, drug companies, hospitals, insurance companies, specific politicians, collectively Congress, and, of course, Donald Trump (who like El Nino and climate change gets blamed for everything).

You would think following their first unsuccessful attempt repealing Obamacare, Republicans would learn. Using the same formula, their most recent attempt to pass a bill with no bipartisan support was doomed to fail.

While the diversity of ideas in the Republican Party is admirable, it meant their proposed bill was too liberal for some or not conservative enough for others. Ironically, the Republican’s tolerance for ideological diversity has allowed Senate mavericks like Lisa Murkowski, John McCain, and Susan Collins to singlehandedly stop bills from passing.

The real irony, of course, is that it’s the Democrats who got us into this fix in the first place. Obamacare wasn’t an attempt to achieve a bipartisan solution – it was simply rammed through with no Republican votes and no Democratic defections.

Little wonder Republicans thought they could pass a much less far-reaching and less controversial bill the same way.

But that was then, this is now.

The litany of promises (you can keep your plan, you can keep your doctor, your premiums will be lower) later proved to be false and have contributed to the lack of trust in the claims now being made by both sides.

Yes, under Obamacare, more people have coverage but many with unaffordable premiums and deductibles – essentially making their insurance unusable.

As Peggy Noonan pointed out in a recent Wall Street Journal column, the path for healthcare reform must necessarily go through the Democrats in Congress. Despite the fact they lost the White House and both houses of Congress, the minority party still holds the cards that will ultimately allow Obamacare to be, if not repealed, then certainly made better.

It doesn’t seem, however, that either party sees the price that will be paid if agreement isn’t reached. Public trust in our democratic institutions and our political leaders on both sides are at all-time lows. How long that can continue before there is another political earthquake is anyone’s guess.

Many Democrats no longer disguise their preference for a “single-payer” healthcare system (like Medicare). Indeed, some even favor a single-payer/provider healthcare system (like the problem-plagued VA system).

While a recent Kaiser Family Foundation poll reflects 55% of America favor a single-payer system, when respondents hear the argument it would give the government “too much control,” 61 percent oppose it.

When tax increases are mentioned as a way to pay for it, 60 percent oppose it.

It’s always easier to sell a healthcare plan when users don’t realize they will have to pay for it or their choices will be limited.

The wildly optimistic claims from single-payer proponents need to be examined with some skepticism.

Advocates argue that a single-payer system could result in long-term savings up to 40% of all national health expenditures – a range from $350 billion per year to $570 billion per year.

Despite the fact many government programs historically are rife with fraud, incompetence, waste, and abuse of power (such as the IRS, Medicare and VA hospitals) advocates promise savings would be realized through preventive care and elimination of insurance company overhead and hospital billing costs.

Opponents argue single-payer systems don’t translate into better health care. Instead, access to health care diminishes under single-payer systems, and the overall quality of care suffers. It’s highly likely that government efforts to reduce costs within a single-payer system will create shortages of doctors, thereby increasing wait times and reducing access to medical services.

Nevertheless, some provisions of Obamacare that remain popular with the public such as insuring pre-existing conditions and Medicaid expansion need to be carefully considered if Republicans ever hope to get reforms passed.

Democrats, on the other hand, should stop equating more insured Americans with better health and lower costs. This hasn’t proven to be the case under Obamacare and we have no reason to believe it will in the future.

Medicaid expansion under Obamacare has been particularly problematic and needs to be addressed – especially in Alaska – where Medicaid recipients receive free Cadillac coverage while many Alaskans struggle with stratospheric insurance premiums and deductibles.

Up to now, many politicians and their constituents have been unwilling to compromise to a degree necessary to reach agreement.

Continued delay only serves to increase resentment of our elected leaders’ inability to act and damages both parties in Congress.

Win Gruening retired as the senior vice president in charge of business banking for Key Bank in 2012. He was born and raised in Juneau and graduated from the U.S. Air Force Academy in 1970. He is active in community affairs as a 30-plus year member of Juneau Downtown Rotary Club and has been involved in various local and statewide organizations.

 

Alaska Republican Party critiques Murkowski, supports Trump

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Resolutions voted on this week by the Alaska Republican Party State Central Committee show weak support for Sen. Lisa Murkowski and exceedingly strong support for President Donald Trump.

The votes also show Republican activists favor the repeal of SB 91, and support the Alaska Permanent Fund Dividend being enshrined in the Alaska Constitution with the traditional payment formula used prior to Gov. Bill Walker’s political method used in 2016:

Resolution 1: Condemn US Sen. Lisa Murkowski’s vote against Obamacare Repeal

  • Passed 55% to 45%

Resolution 2: Withdraw support for SB 91 and Urge Repeal of SB 91 (Criminal justice reform)

  • Passed 92% to 8%

Resolution 3: Urge Alaska media to reject and stop using propaganda from Southern Poverty Law Center

  • Failed for lack of enough votes either way – no quorum

Resolution 4: Encourage Alaska federal delegation to support President Trump’s agenda

  • Passed 86% to 14%

Resolution 5: Support constitutional protection for the Permanent Fund dividend

  • Passed 77% to 23%

“This is a grassroots politics at its best. These are the volunteers representing all regions of the state weighing in on issues of the day,” said Tuckerman Babcock, Alaska Republican Party chairman.

The resolutions are bellwethers about where Republicans stand, he said, and they have the same basic power as the party platform.

Bigly: Trump begins unwinding Obamacare mandates

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Buying health insurance across state lines by allowing employers to create interstate associations?

It may not be perfect or the complete answer, but President Donald Trump today signed an executive order that is a cannon ball across the bow of Obamacare — and the Democrats and three Republicans who blocked health care reforms.

The New York Times was not happy:

Foiled in Congress, Trump Signs Order to Undermine Obamacare

But for Alaska’s small businesses, the implications are free-market huge: Alaska companies will be able to form associations to buy insurance for their workers across state lines.

“This is a welcomed move by the President as he tries to ease the burdens of Obamacare by unraveling some of its costly regulations, increasing competition, and most importantly, without using billions of taxpayer dollars to prop up this collapsing law,” said Jeremy Price, director of Americans for Prosperity Alaska. “In Alaska, with the help of some legislators, Gov. Walker propped up Obamacare instead of letting it fail, and he expanded Medicaid with no limits on enrollment and no work requirements. Quite the contrast.”

The president’s order directs the departments of Health and Human Services, Labor, and Treasury to allow businesses to band together to create “association health plans.”

It also allows individuals to buy short-term health insurance in the Obamacare insurance exchanges — another positive change for Alaskans who must buy their health insurance from the one provider in Alaska’s Obamacare monopoly: Premera Blue Cross Blue Shield.

Earlier this year, Premera BCBS filed insurance rates for 2018 with a 21.6 percent decrease for customers on individual Affordable Care Act plans. This was after the rates had more than doubled since Obamacare went into effect.

“Seven years ago, congressional Democrats broke the American healthcare system by forcing the Obamacare nightmare onto the American people,” Trump said today. “And it has been a nightmare. You look at what’s happening with the premiums and the increases of 100 percent and 120 percent, and even in one case, Alaska, over 200 percent.

“And now, every congressional Democrat has blocked the effort to save Americans from Obamacare, along with a very small, frankly, handful of Republicans — three. And we’re going to take care of that also because I believe we have the votes to do block grants at a little bit later time, and we’ll be able to do that.

“Premiums have gone skyrocketing,” Trump said. “But today, one-third of all the counties in America have only a single insurer selling coverage on an exchange, and next year it looks like nearly half of all counties in our country — think of that — all of the counties, one half will have only one insurer. And many will have none. Many will have absolutely created roadblocks for people to have any form of the insurance we’re talking about.”

Americans have been bailing out of high-cost Obamacare exchanges, with people choosing to pay the IRS tax penalty instead. In 2017, 500,000 fewer Americans enrolled in Obamacare than the year prior.

In Alaska, enrollment has consistently underperformed expectation, with only 14,177 having completed their enrollment and paid for their first month’s coverage by February, 2017.

In 2016, the State reported that 23,000 Alaskans were enrolled, but those who actually paid for their insurance and completed their enrollment numbered 18,000.

On the other hand, 40,000 Alaskans are now in the Obamacare Medicaid expansion program, as the State of Alaska has been aggressively signing people up for the government health care plan.

Trump was joined during the signing of the executive order by Sen. Rand Paul, R-Ky., who has been discussing the proposal with him for months.

“President Trump is doing what I believe is the biggest free-market reform of healthcare in a generation,” said Sen. Rand Paul of Kentucky. He said people will be able to buy insurance across state lines.

Congressional Democrats and three Republicans, including Sen. Lisa Murkowski of Alaska, had blocked Obamacare reform and repeal this year. For Murkowski, she claimed her “No” vote on repeal was a matter of flawed process, but her actions left in place a systematic assault on small businesses, their employees and other private individuals.

Trump’s executive order allows a broader interpretation of the Employee Retirement Income Security Act (ERISA) to allow employers in the same line of business anywhere in the country to join together to offer healthcare coverage to their employees. A broadband telecoms company in Alaska could create an association with another such company in Texas, for example, to offer group insurance.

Employers participating in such a health insurance association can’t exclude employees from the plan and can’t create higher premiums based on health conditions.

The order also directs the Departments of the Treasury, Labor, and Health and Human Services to consider expanding coverage through low-cost, short-term insurance.

Short-term insurance is not subject to costly Obamacare mandates and rules. One study found that on average this type of insurance costs one-third the price of the cheapest Obamacare plans, while providing bigger networks and higher coverage limits. People who are between jobs are the ones who benefit, along with those in parts of the country with only a single insurer — like Alaska.

The executive order also has provisions that will allow employers to make better use of Health Reimbursement Arrangements. These HRAs are employer-funded accounts that reimburse employees for healthcare expenses, including deductibles and copayments.

Expanding HRAs may give American workers greater flexibility and control over how they manage their health care costs.

While the executive order doesn’t direct agencies to adopt specific rules, it asks them to expand access to AHPs, HRAs and short-term insurance options consistent with the law. The change must go through a public comment period before it can be rolled out.

Trump said he would take additional action later to further unwind the onerous rules associated with Obamacare. Earlier this year, the Administration shortened the enrollment window for the Obamacare exchange, from Nov. 1 to Dec. 15. Under the Obamacare Administration, people were allowed to enroll far into the new year because the technical end of the exchange was so disastrous, many were unable to enroll on time.

This month, Trump rolled back the Obamacare mandate that all insurance plans must cover contraception.

Boy Scouts’ membership solution: Girls

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A MOMENT FOR NOSTALGIA, THEN ONWARD

More than 2.4 million boys were enrolled in Boy Scouts of America in 2014. Membership had dropped 13 percent over the previous two years.

This was almost as bad as the drop that newspapers are experiencing in subscriptions. It couldn’t continue.

But it did. In spite of BSA allowing openly gay and transgendered boys to join, by 2016 the enrollment slid another 4 percent, even while the population of eligible boys grew.

This year, the venerable scouting organization will try to staunch the bleeding by allowing girls to join. After all, there are plenty of girls who might prefer being a cub scout rather than remain in girl scouts, for any number of reasons.

While BSA ranks have been thinning, Girl Scout enrollment has dropped just as fast:  it’s down to 2.66 million, a drop of more than 15 percent over three years. GSA is now miffed that BSA is trying to raid their girls-only clubhouse by allowing girls into the boys’ club.

“The value of the all-girl, girl-led environment offered by Girl Scouts cannot be overstated, and is so important to the social-emotional and personal development of girls,” said Andrea Bastiani Archibald, whose job title is “chief girl expert” at Girl Scouts of the USA. “Girl Scouts is a place where girls are free to be girls; to try new things, experiment, and have fun learning from and leading one another. There is no other leadership development program in the world that offers girls this inclusive, safe space, without the distractions and pressures of school and other social settings.”

Well, maybe. They make a convincing argument. Girls and boys are different, and we’re not just talking biology.

But Boy Scouts and Girl Scouts have missions that have adapted through time even since their founding in 1910 and 1912 respectively. They were once overtly Christian. Now, not so much. Boy Scouts once focused on the outdoors. Now, it’s robotics and technology. Girl Scouts were a lot about making crafts and selling cookies. Now, they too focus on robotics and technology.

Maybe it’s time that scouting be scouting. Let the kids choose where they want to participate, and let’s get them back outdoors, camping, hiking and learning to tie knots. And earning merit badges. Let’s help them with structure, in a world where they may have dysfunctional families that provide little or no structure. Let’s instill in them the virtues of walking an old person across the street and standing and saluting the American flag. And they can all do crafts and robotics, especially if the weather is lousy.

Girl Scouts of America will just have to get over it. Change is how the proverbial cookie crumbles. In fact, these organizations, competing for time in the busy lives of families, will have to change or die.

This time, it’s the boys that got it right.

(Disclosure: The writer is a Girl Scout dropout, as there were too many crafts involved.)

Artistic license: Beat Oct. 31 deadline to vote on plate

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The Alaska State Council on the Arts inaugural license plate competition is now open for public voting.

From 142 designs that were submitted by Alaskans of all ages, a panel of judges whittled the concepts down to five. Sen. Mia Costello was on the panel of judges.

Now, Alaskans get to choose from the finalists. The winning design will be produced by the Division of Motor Vehicles and will be available for purchase ($50) for the next four year starting in 2018. The proceeds — about $33 per plate after DMV recoups its costs — support the work of the Council.

Voting closes Oct. 31 and is limited to Alaska residents, although there appears to be no hard-and-fast filter for determining who is voting. This is the arts, after all, not national security.

The winning license plate will be announced by Nov. 30. The designer will win $1,000 and the other four finalists will receive $250 for their efforts.

The program is a result of SB 154, which passed in 2016 and allows for special license plates to celebrate and support the Alaska State Council on the Arts and Blood Bank of Alaska. Sen. Bill Stolze sponsored the legislation, with Rep. Jonathan Kreiss-Tompkins sponsoring it on the House side. This is the first competition to be held since the law passed. The council will hold a competition every four years and retire the prior winning design.

The Division of Motor Vehicles has a number of specialty license plates for everything from historic vehicles to Choose Life.

The finalists in the arts council license plate competition depict mountains, salmon, fireweed, northern lights, a raven, and an old-time food cache. Artists, evidently, don’t find mining or oil production to be artistic inspiration.

But we do…

CELEBRATE THE ARTS — AND WHAT PAYS FOR IT

Must Read Alaska is accepting designs that artistically celebrate rebuilding our Alaska economy.

Send your jpeg designs — and humor is encouraged — to suzanne @ mustreadalaska.com. The winning design, chosen by a panel of me, will receive a Must Read Alaska limited edition blue beanie with the Big Dipper star design. You have until Oct. 31 to get your design in.

 

Quote of the Week: ‘Is an infection eating your brain?’

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“This is a critical time for Alaska. A turning point,” the new owner of the Alaska Dispatch News told a crowd of 150 business-focused Alaskans at the Alaska State Chamber of Commerce’s fall forum in Sitka today.

Ryan Binkley also said he’s in the market for a publisher.

 

But he started his presentation with humor and a Power Point slide that asked, in big letters “Why?”

That, no doubt, was the question on the minds of his audience members, who watched the previous owner of the Alaska Dispatch News descend into financial ruin.

Binkley said that because Alaska is at a crossroads, now is a time when an informed population is more important than ever. That was a driving force for the Binkley family to purchase the newspaper in the first place.

He acknowledged that although the newspaper industry is in decline, the Alaska Dispatch News still has a huge segment of the news and ad market in Alaska, at over 47 percent, and that reasons for continuing its publication made good business sense, and it was also good for the state.

Binkley, son of well-known Fairbanks businessman and civic leader John Binkley, promised the business community the paper will be dedicated to accuracy, fairness, and accountability. And he acknowledged the need for the Dispatch to rebuild relationships in the community and across the state. The message, according to several in the room, was well delivered, and well received.

Binkley told business leaders that next week is when printing will be taken over by Wick Communications, which owns The Frontiersman newspaper, which serves the Mat-Su Valley and the Anchorage Press, an entertainment weekly.

Wick had once been in contract talks with former publisher Alice Rogoff to print th paper, but she pulled out at the last minute and purchased a press from Indiana, which never was operational and has become an albatross around her neck. The Binkley Co. decided not to take the press as part of its purchase.

The newspaper will also change format, he said, and will cover more local and Anchorage news. He hinted at a name change.

 

Hawkins on governor’s banishment decision: Too many questions unanswered

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Scott Hawkins, candidate for governor of Alaska, has raised questions about Gov. Bill Walker’s decision to keep the State out of tribal criminal justice proceedings that involve the punishment of “banishment.”

“Like many Alaskans, I am concerned about law and justice, so I find it a bit mystifying and extraordinary that the Attorney General of the State of Alaska would walk away from important criminal justice issues and, specifically, her duty to protect rural Alaskans,” he wrote.

While tribal banishment may have a place in a rural criminal justice system, Gov. Walker and Attorney General Lindemuth have not put any definition around it, Hawkins said, and cited examples of where sideboards need to be placed in this new State policy:

  • Which communities will be allowed to administer tribal justice, including banishment? Could any community institute it?
  • How will decisions be made about which communities can and cannot?
  • Beyond banishment, how about imprisonment? Cruel and unusual punishment?
  • What are the requirements for due process? Are there any?
  • What will happen when justice is administered by a tribe and it leads to an Alaskan’s death due to lack of training and oversight?

“There are just too many unanswered questions for the Walker Administration to have washed its hands of the tribal justice issue so completely and so early, without defining a coherent policy.

“At the very least, Gov. Walker needs to clarify the parameters of his new ‘rural justice policy.’ Alaskans need to know in advance which communities they may travel to and still have their rights protected by the U.S. and Alaska Constitutions.”

Hawkins, a business entrepreneur and well-known figure in Alaska politics, filed a letter of intent to run for governor in September.

Quote of the Week: Attorney General gives thumbs up to banishment

(Disclosure: Hawkins writes an occasional column on this site and his nonprofit, Alaska Wins, is an advertiser).

Events for Politicos Oct-Nov 2017

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Send your political event items to suzanne @ mustreadalaska.com. Here’s what we’re serving up this week:

Oct. 17: Rep. George Rauscher meet and greet and fundraiser at Pinnacle Mountain RV, 26616 North Glenn Hwy in Sutton, 6-8 pm.

Oct. 19: Visions for Victory Series: Crime and Punishment in Anchorage, sponsored by Anchorage Republican Women’s Club. The Center, 4855 Arctic Blvd., Anchorage, 6-8 pm.

Oct. 19:  Scott Hawkins for Governor evening presentation at Valley Republican Women Club, Mat-Su Restaurant, 7 pm.

Oct. 19: Don Young for Congress fundraising reception, 3822 Locarno Drive, (Ashlock residence), Anchorage,  5:30 -7:00 pm.

Oct. 19: Senate Majority fundraiser to support the team standing for Alaska’s economy. Hosts Senators Pete Kelly, Click Bishop, John Coghill, Cathy Giessel, Anna MacKinnon, Kevin Meyer, Peter Micciche, Bert Stedman, Gary Stevens, Natasha von Imhof David Wilson. Crowne Plaza Hotel, International Blvd. at C Street, 5-7:30 pm

Oct. 19: Mia Costello for Senate fundraiser, Jens Restaurant, 701 W. 36th, noon – 1:30 pm

Oct. 20: Charlie Huggins for Governor fundraiser, 36357 Sylvan Circle, Soldotna, 6-9 pm.

Oct. 20: Sen. Pete Kelly luncheon presentation at Friday Interior GOP/ Fairbanks Republican Women, Denny’s Restaurant, 11:30 am.

Oct. 21: Mike Chenault for Governor at Rie Munoz Gallery in Juneau, 5-7 pm

Oct 21: Charlie Huggins for Governor meet and greet, Challenger Learning Center, Kenai, 11 am -1 pm

Oct. 23: Bart LeBon for House District 1fundraiser, North Pole Coffee Roaster, 1502 Minnie Street in the rail industrial rail, 5:30-7 pm.

Oct. 24: Charlie Huggins for Governor fundraiser at Nesbett house, 10900 Kamishak Bay Circle, Anchorage. Time TBA

Oct. 27: Sen. Click Bishop luncheon presentation at Friday Interior GOP/ Fairbanks Republican Women, Denny’s Restaurant, 11:30 am

Nov. 3: Sue Hull, State Board of Education, luncheon presentation at Friday Interior GOP/ Fairbanks Republican Women, Denny’s Restaurant, 11:30 am

Nov. 10: Bart LeBon, candidate for House District 1, luncheon presentation at Friday Interior GOP/ Fairbanks Republican Women, Denny’s Restaurant, 11:30 am

Nov. 15-16: Resource Development Council conference, Dena’ina Center in Anchorage.

Nov. 3: Republican Women of Anchorage Masquerade Gala at 49th State Brewing Co. in Anchorage, 6:30 pm.

 

Send political calendar items to suzanne @ mustreadalaska.com

 

Chronic school absenteeism: More to the story

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BOB GRIFFIN / COMMENTARY  
ALASKA POLICY FORUM

On Sept. 18, Charles Wohlforth posted an opinion in the Alaska Dispatch News with a headline that read: “A fourth of Alaska students are chronically absent. No wonder test scores are so bad.”

He wrote, “If parents are satisfied with ignorance, so will their children be.”

But there’s a bit more to the story beyond “bad” parents.

Students who miss more than 10 percent of school days are considered “chronically absent.” According to a 2016 study from The Hamilton Project, Alaska has the 3rd highest rate of chronic school absenteeism in the US (the only two places that did worse were Washington State and Washington DC).

With our high rate of absenteeism it’s easy to see why Mr. Wohlforth could jump to his conclusion that Alaska’s low test scores are a result of kids skipping school. Let’s dig a little deeper:

Washington State, with a slightly worse rate of chronic absenteeism than Alaska, was ranked 5th in the US in 2015 National Assessment of Educational Progress (NAEP) test scores, while Alaska was 47th.

On average, Washington state students scored 9.7 points higher on 4th and 8th grade reading and math NAEP tests than Alaska students of the same economic strata.

Given that students are expected to improve about 10 points per year on NAEP measurements, Washington students are achieving around one entire school year ahead of their peers in Alaska in NAEP testing, despite their slightly worse attendance.

Students in Washington, D.C. have a chronic absentee that is rate 21 percent higher than Alaska. Despite that appalling absentee rate, the D.C. average 2015 NAEP test scores are 3.9 NAEP points better than Alaska’s students — or three to four months more advanced in achievement.

Don’t get me wrong — chronic absenteeism clearly hurts student outcomes. All states would certainly achieve at higher levels if they could find ways to keep more kids in class more often.

This is where public policy comes in. The trend of rampant absenteeism seems to be a regional West Coast phenomenon.   The four states with the worst chronic attendance figures in the US are, (in order) Washington, Alaska, Oregon and Hawaii.

The exception to that Pacific coast trend is California. While every other Pacific state has a chronic absentee rate between 19.7-24.6 percent, California, with the highest percentage of English language learners in the country (four times the U.S. average), has the 9th best chronic absentee rate in the US at 11.3 percent.

What’s different in California? Do parents in California somehow love their kids more? No. The more likely difference is financial incentives. California is the only one of the five Pacific states that incentivizes consistent attendance by funding schools based on daily attendance.

All the other Pacific states fund their K-12 programs based on small number of enrollment days instead of daily attendance. In the case of Alaska, school funding is based on the number of enrolled students during the 20 school-day count period ending on the fourth Friday of October. After that date, Alaska schools have no financial stake in making sure kids attend.

Our high levels of chronic school absenteeism hurt Alaska’s kids, though it’s not the biggest factor holding them back. The misallocation of resources favoring buildings and bureaucracies over classroom operations, and lack of healthy competition to spur improvements and innovations that are taking place in other states that spend much less on K-12 are much bigger concerns.

In all, I’m bullish on the prospects for improvements in K-12 in Alaska. Our kids are just as bright as students anywhere else, our teachers are just as dedicated, our parents are just as loving and our taxpayers more generous than most when it comes to educating our kids. With the right policy incentives, I have faith we can “right the education ship” for the next generation of Alaskans.

Bob Griffin is an education research fellow at Alaska Policy Forum.