The Politico ran a story this weekend pointing out a very inconvenient truth for proponents of the House version of big government health reform legislation: contrary to its goal of “bending the cost curve downward” over time, the bill would actually INCREASE health care costs by $289 billion.

The report issued by the Center for Medicare and Medicaid Services estimated that the “Affordable Health Care for America Act” would increase health care costs from the current level of 20.8 percent of GDP up to 21.1 percent a decade from now. It also adds yet another voice to the chorus now showing that preventive care and wellness programs do NOT decrease long-term costs.

In a fascinating development, the White House has now actually admitted, apparently for the first time, that the House bill would increase health care burdens despite President Obama’s repeated assertion that he seeks a health care bill that would reduce costs. In response to the CMS study, Obama aide Nancy-Ann DeParle said, “the good news was that, despite extending coverage to 36 million people, health care spending would rise by only by 0.8 percent.”

The CMS findings could make it very difficult for Congressional Democrats and other proponents to follow through on what might be the central argument for their plan of massive tax hikes, subsidies, and regulations: that it would reduce crippling health care costs.  Several Members, particularly those facing tough re-election fights, have committed themselves to only voting for a plan that would cut long-term health care costs.

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In the wake of reports that the Obama administration may be inching away from a national broadband policy that encompasses strong net neutrality provisions, observers of the ongoing net neutrality debate say that a major rift may be developing between big-name groups on the left.

On one side are public interest groups including the Media Access Project, Free Press, Consumers Union and the New America Foundation.  On the other are several high-profile African-American groups including the National Black Caucus of State Legislators, the National Organization of Black Elected Legislative Women, The National Black Caucus of Local Elected Officials and the National Association of Black County Officials.

According to National Journal, the public interest groups wrote to FCC Chairman Julius Genachowski last week to express concern regarding recent statements made by an FCC official that were less than enthusiastically favorable toward net neutrality.  The groups were evidently seeking Genachowski’s assurance that the FCC was not “pre-judging” the outcome of its rulemaking process with regard to the net neutrality issue.

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It’s another day with the Federal Reserve at the center of discussion as Ben Bernanke heads to New York City to give some significant remarks. Should the Fed be more transparent? Should it be audited? We’ll talk about that and how the markets respond to the latest retail report on the latest Coffee and Markets, a daily podcast from The New Ledger on politics, policy and the marketplace with Francis Cianfrocca, brought to you by BigGovernment.com.

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Related Links:

AP: Stocks Rise on Retail Report
WSJ: The Fed and Transparency
David Ignatius: Dodd and the Fed
Cafe Hayek: Adam Smith and Financial Regulation
TNL: Chris Dodd’s Big Regulation Push

Yesterday, I finished the third part of my interview with Wade Rathke. I felt, correctly, or not that after spending several hours with Rathke, that I was starting to understand Rathke, his vision, and his goals. So, I tried to make these questions as pointed and interesting as possible.

1) What can the local, state, and federal government do right now to help the poor and middle class?

The answer that Rathke gave was both surprising and impressive. I expected him to rattle off several laws that could be implemented, maybe a moratorium on foreclosures, and other policy changes that he believed in. Instead, Rathke was practical and pithy.

He said that all government programs: unemployment insurance, welfare, etc. should be streamlined on the internet so that all citizens would be given access to electronic files. By doing this, the government would cut all sorts of red tape and save those in need all sorts of time and energy in receiving these benefits. For the money the government would spend in implementing these systems, the benefit to the people would come back ten fold.

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Whether or not you think former New York Republican Senate Majority leader Joe Bruno, who reigned over Albany in a triumvirate of power for 27 years, is guilty or not, he has the right to a fair trial and an impartial Judge. It appears he is getting neither.

Bruno has been indicted under the controversial ” theft of honest services” law. The same law that Supreme Court Justice Anton Scalia says is unconstitutionally vague. Indeed, the US Supreme Court has taken not one but two “honest services cases” for review. The government has no evidence of bribes or improper pressure on government–required by the law–that Bruno took for his clients. Under New York Law, legislators are part-time  and are allowed to have outside income. Bruno , an non-lawyer with a business background, is a business consultant.

When the Government dropped hundreds of thousands of pages of new documents on Bruno’s defense team only days before trial Bruno’s lawyer asked Judge Gary Sharpe of the Northern District of New York for a mere two week delay. The motion was denied.

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Most average Americans know little about the Service Employees International Union (SEIU). Some know them as the people in purple shirts that beat up attendees at the town halls this summer.  Some equate them to ACORN, or to the Obama administration.  While there is some truth to all of the above, there is for certain one title that every voting American should be bestowing upon SEIU, and that is the title of “special interest”.

From 2000 to current, SEIU has spent at least $187,500,000 through combined lobbying, PAC and 527s group donations and expenses on candidates and policy issues – nearly 100% of which went to Democrats and to liberal policy initiatives.  Much has been focused on influencing universal health care, as well as other indirectly related health legislation, such as public nutrition, food safety, research, and environmental health – all part of SEIU’s supposed plan for Building a New American Health Care System. Because, in their words, they “will not stop until every man, woman and child has quality, affordable care they can count on.”

So really…why is SEIU so invested in health care?

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Today, in 1914, the Federal Reserve officially opened for business.

What a weird, strange trip it’s been…

Initially, we weren’t certain whether Obama’s deep bow to the Japanese Emperor was an excessive execution of standard protocol, or yet another stop-over in Obama’s apparent World Apology Tour. The University of Connecticut Republicans have cleared this up for us.

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From the National Union of Healthcare Workers:

Today’s Wall Street Journal and Fresno Bee report that SEIU engaged in illegal threats, ballot-tampering, and other serious violations of election rules during a June union election for 10,000 homecare providers in Fresno, according to voters and union staff who worked for SEIU during the election and have now come forward.

A sworn declaration from an SEIU whistleblower says that senior SEIU officials instructed organizers to violate election rules during the mail-in, secret-ballot vote, and then destroyed evidence of the violations. Statements from two former SEIU staff and several homecare providers were recently submitted to the California Public Employment Relations Board (PERB) as evidence accompanying a request to overturn the election results.

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The health care reform bill (HR 3962) that just passed the House of Representatives is bad on so many levels it is difficult explain. As it stands, it will destroy the doctor-patient relationship and change the practice of medicine as we know it.

We have one of the finest health care systems in the world. It has been built on a foundation of choice. Doctors were free to choose the care that they deem necessary to treat their patients, and patients were free to seek the medical care of their choice. Initially, the foundation was shaken by the rise of the managed care system with capitation. However, over the past 10 years, capitated plans which limit access to specialists have given way to the rise in power of insurance companies. They have used their anti-trust exemption to craft a system that has used monopoly to increase profits on the backs of both doctors and patients.

Unfortunately, the House does not address necessary changes that would lead to meaningful reform, such as breaking the monopoly strangle-hold that insurance companies enjoy, reigning in the enormous profits of the pharmaceutical industry, tort reform, or crafting a healthcare system based on wellness and prevention and not the management of disease. Instead HR 3962 creates a layer of government bureaucracy that inserts itself between the doctor and the patient by creating a national health commissioner and task forces that will evaluate and decide everything from what medications a physician is allowed to prescribe to a patient, to what surgery will be approved, to what outcomes will be expected for a particular medical condition.

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The New York Times reports this weekend that:

“SINGAPORE — President Obama and other world leaders have decided to put off the difficult task of reaching a climate change agreement at a global climate conference scheduled for next month, agreeing instead to make it the mission of the Copenhagen conference to reach a less specific “politically binding” agreement that would punt the most difficult issues into the future.”

Read down the article and note the several claims by participants offering the greatest exhibits imaginable at the running absurdity — now in its 18th year! — that is this movable feast of conferences in Rio, Barcelona, Bangkok, Bali, Buenos Aires, Bonn, and next month Copenhagen: We had to declare it a failure in advance in order to ensure its success. Mmm. Yes.

But here’s the far larger point, and Team Tea Party and simpatico coalescences should take note and begin organizing accordingly:

This also makes the Kyoto II, the proposed twenty five-year extension of a five-year plan that was the Kyoto treaty, an inescapable issue for the 2010 U.S. mid-term elections.

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SEIU President Andy Stern, took a couple of minutes to discuss with us recent developments in the Health Care debate, his support for a public option in the bill and the mistakes committed by ACORN.

From the Washington Post:

A plan to slash more than $500 billion from future Medicare spending — one of the biggest sources of funding for President Obama’s proposed overhaul of the nation’s health-care system — would sharply reduce benefits for some senior citizens and could jeopardize access to care for millions of others, according to a government evaluation released Saturday.

The report, requested by House Republicans, found that Medicare cuts contained in the health package approved by the House on Nov. 7 are likely to prove so costly to hospitals and nursing homes that they could stop taking Medicare altogether.

Congress could intervene to avoid such an outcome, but “so doing would likely result in significantly smaller actual savings” than is currently projected, according to the analysis by the chief actuary for the agency that administers Medicare and Medicaid. That would wipe out a big chunk of the financing for the health-care reform package, which is projected to cost $1.05 trillion over the next decade.

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From the Associated Press:

The government paid more than $47 billion in questionable Medicare claims including medical treatment showing little relation to a patient’s condition, wasting taxpayer dollars at a rate nearly three times the previous year.

Excerpts of a new federal report, obtained by The Associated Press, show a dramatic increase in improper payments in the $440 billion Medicare program that has been cited by government auditors as a high risk for fraud and waste for 20 years.

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JOHN, by the grace of God King of England, Lord of Ireland, Duke of Normandy and Aquitaine, and Count of Anjou, to his archbishops, bishops, abbots, earls, barons, justices, foresters, sheriffs, stewards, servants, and to all his officials and loyal subjects, Greeting.

KNOW THAT BEFORE GOD, for the health of our soul and those of our ancestors and heirs, to the honour of God, the exaltation of the holy Church, and the better ordering of our kingdom, at the advice of our reverend fathers Stephen, archbishop of Canterbury, primate of all England, and cardinal of the holy Roman Church, Henry archbishop of Dublin, William bishop of London, Peter bishop of Winchester, Jocelin bishop of Bath and Glastonbury, Hugh bishop of Lincoln, Walter Bishop of Worcester, William bishop of Coventry, Benedict bishop of Rochester, Master Pandulf subdeacon and member of the papal household, Brother Aymeric master of the knighthood of the Temple in England, William Marshal earl of Pembroke, William earl of Salisbury, William earl of Warren, William earl of Arundel, Alan de Galloway constable of Scotland, Warin Fitz Gerald, Peter Fitz Herbert, Hubert de Burgh seneschal of Poitou, Hugh de Neville, Matthew Fitz Herbert, Thomas Basset, Alan Basset, Philip Daubeny, Robert de Roppeley, John Marshal, John Fitz Hugh, and other loyal subjects:

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As Congress recklessly moves to enact evermore programs in the face of ever larger deficits, it is only a matter of time before they take up the revenue side of deficit equation: Spending – Tax Revenue = the Deficit.  Of course, in response to rising deficits, the Media and the Democrats will reflexively demand tax increases. Republicans, for their part, simply must be able to articulate why higher taxes will actually result in larger deficits not smaller.

I offer this common sense guide for the great battle to come.

At the outset, it must be noted that, in practice, politicians don’t actually raise taxes so much as they pass laws to increase tax “rates,” i.e. income rates, sales tax rates, etc.  They do in an ill-founded pursuit of more tax revenue.

It is ill-founded because tax rate increases, over time, yield less revenue than tax rate cuts.  For instance, when the economy was bad in the early 1990’s, the California legislature raised tax rates and over a 3 year period, revenues actually dropped.  By 1999, Bill Clinton’s tax rate increase resulted in the highest overall tax burden in our history – a recession naturally followed which led to declining revenues.

These common sense points explain why tax rate cuts, over time, will raise for more money than tax rate increases.

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Today, in 1777, the Continental Congress ratified the Articles of Confederation, creating the first framework for our new nation. In 1864, Sherman began his “March to the Sea,” effectively ending the Civil War. In 1942, U.S. Forces won a decisive victory at Guadalcanal, in the Pacific. On this day, however, we are digesting this photo:

Yes, everyone bows to everyone in Japan. But to shake hands while bowing…well…There is also the question of whether this is strictly a protocol issue or a continuation of the One’s Global Apology Tour. Color us cynical.

There isn’t anything dramatic like SEIU thugs beating up people in the video below. What’s dramatic is what isn’t there–like the famous dogs who didn’t bark in the Sherlock Holmes story. Health Care for America Now (HCAN), the principal organization pushing for ObamaCare, and Organizing for America, Obama’s campaign arm at the Democrat National Committee, recently opened major offices in St. Louis. Their goal is to build a grassroots movement supporting ObamaCare. As this video shows, this national effort was able to muster around 30 people.

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[This is the latest segment in an ongoing series about Code Pink and its co-founder Jodie Evans.  Click here to read earlier articles.]

Following on the heels of their macabre Afghan war protest at a White House Halloween party that targeted children of military families for psychological abuse, leftist Obama ally Code Pink issued a statement justifying the terrorist attack at Fort Hood as opposition to the war from officers and put out a Veterans Day appeal seeking to raise money off the Fort Hood terrorist attack.

Signed by top Obama funder Jodie Evans, the appeal was published at Code Pink’s website on Veterans Day and sent out the same day to the group’s e-mail list. The terrorist attack at Fort Hood is cited three times in the fundraising letter.

As appalling as cashing in on the mass murder of 14 innocents is, Code Pink tops that by invoking sympathy for the alleged terrorist as a reason to give money to Code Pink–even putting his act of terrorism on the same moral plane as the recent protest resignation of a former officer who left his diplomatic post in Afghanistan over Obama’s war policy:

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