Articles

Obama Targets Medicare Advantage

August 26, 2009

President Barack Obama was wise to vacation this week on Martha's Vineyard. Not because it's one of the few places in America where his health-care plan is still popular, but because by getting out of Washington he gave staff time to repair his vaunted message machine, which was starting to break down.

Two weeks ago, White House Senior Adviser David Axelrod said in a now legendary "viral" email that, "It's a myth that health insurance reform would be financed by cutting Medicare benefits." This was sent out the day before Mr. Obama told a Montana town hall that he'd pay for health-care reform by "eliminating . . . about $177 billion over 10 years" for "what's called Medicare Advantage." And it was two days before Mr. Obama told a Colorado town hall he'd cover "two-thirds" of the "roughly $900 billion" of his plan's cost by "eliminating waste," again citing Medicare Advantage.

Who's right? As a former senior adviser, I can tell you who: the president. What's more, according to a White House fact sheet titled "Paying for Health Care Reform," Mr. Axelrod was misleading his readers. It notes the administration would cut $622 billion from Medicare and Medicaid, with a big chunk coming from Medicare Advantage, to pay for overhauling health care. Mr. Obama heralded these cuts as "common sense" in his June 13 radio address.

FULL ARTICLE: http://online.wsj.com/article/SB10001424052970203706604574374584177632694.html

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