Weekly Opinion/Editorial

MONEY AND POLITICS!
by Steve Fair

The bipartisan campaign Reform Act, aka the McCain-Feingold Act was enacted in January of 2003. McCain-Feingold changed how political campaigns were financed. One of the most controversival provisions of the law banned so called ‘issue advertising’ by corporations and unions. Back in 2002, then Majority Whip of the Senate, Senator Mitch McConnell, (R-KY), led a charge to challenge the constitutionality of the law, but the Supreme Court upheld most of the legislation in ‘McConnell vs. the FEC.’
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After McCain-Feingold became law, Oklahoma and other states established strict guidelines that mirrored the new law which prohibited corporate contributions to state and local political campaigns. Many constitutional experts said this was a clear violation of the first amendment which guanatees the ‘right of free speech,’ but until this week,McCain-Feingold was the law of the land.
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On Thursday, the Supreme Court, in a 5-4 decision, reversed the limit on corporate political expenditures. The decision will allow businesses and unions to run ‘issue advertising’ in campaigns and will likely reshape the November 2010 elections. President Obama said the ruling “gave a green light to a new stampede of special-interest money in our politics, particularly big oil, Wall Street banks, health-insurance companies and other powerful interests that will drown out the voices of everyday American.”
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Senator McConnell said the court’s ruling was a “monumental decision toward restoring First Amendment rights by ruling the Constitution protects their right to express themselves about political candidates and issues up until Election Day.”
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In an editorial on Friday, The Oklahoman said, “Unfortunately, McCain-Feingold’s good intentions tread all over the First Amendment, whose value to the republic is the guarantee of more speech, not less. Government rightfully should be concerned with preserving the electoral process’ integrity. But as we’ve long argued, this is best done through transparency and honest disclosure, both of which let Americans assign weight to messages heard during election season.”
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Marilyn Hughes, Executive Director of the Oklahoma Ethics Commission, said the US Supreme Court decision will also impact Oklahoma politics. “The ruling changes the whole complexion of political campaigns,” Hughes said. The five member Oklahoma Ethics Commission is scheduled to vote this week on changes to state ethics ruiles to comply with the new decision.
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Some liberals are saying the top court’s ruling will pour more money into a political system already driven by big money donors. But as Paula Baker in her book ‘Money and Politics’ says; Americans spend three times more on potato chips than on politics, so the idea there is too much money in politics is somewhat exaggerated. Not that anyone in their right mind doesn’t believe there isn’t too much money in politics.
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For example in 2000, the average U.S. Congressional race cost $500,000 to win- today it’s up to over a million. Why is money driving politics and how do we get true campaign finance reform?
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First, we have obscene money in politics because the average citizen pays little or no attention to their government. Because of citizen slouthfulness, slick campaigns are a necessary part of a sucessful candidate’s strategy. A shallow campaign and message is more important than principles in todays political enviroment. Until America has a viligent, 24/7 engaged electorate, we will continue to see big money and shallow campaigns control the political landscape. Every political campaign and candidate needs money, but until more average citizens are willing to help financially, the big donors will control the process. True campaign finance reform could happen if average citizens would put their money where their mouth is and begin donating money to principled candidates they agree with.
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In 2008, then candidate Barrack Obama claimed he was going to “change the way campaigns are funded in his presidential race.” He claimed his 2008 fundraising success was based on small donors, but despite attracting millions of new contributors to his campaign, Obama received about the same percentage of his total political funds from ‘small donors’ as President Bush did in 2004, according to a study by the non-partisan Campaign Finance Institute. It’s one thing to talk about building a small donor base, but it’s much tougher to accomplish.
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Second, because modern political candidates don’t run their campaigns with volunteers, politics has become a growing ‘industry.’ Consultants and political hacks siphon off most of the money political candidates raise in their race and often these consultants have the big donors in their pocket. Years ago, talented volunteers ran effective campaigns for their principled friends and neighbors. Now those volunteers are relegated to menial tasks that are non-threatening to the so-called ‘experts.’ Until volunteers are empowered by candidates, and small donors contribute in mass, we will continue to have big money donors and political consultants running the process.

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The Supreme Court decision this week rightfully restored first amendment rights to a segment of the population whose civil rights were being restricted. But the millions of citizens in the U.S. who have never exercised their first amendment rights in the political process by placing their treasure where their heart is can permanently change America if they will only take equity in their government by volunteering and donating to like-minded candidates.

Weekly Opinion/Editorial

OKLAHOMA SEEKS

PERFECT COUNTRY AND WESTERN SONG!
by Steve Fair

Last week was the deadline for Oklahoma state legislators to file bills for the upcoming session. A total of 2,235 bills were filed. 1,051 will be carried over from last year and could be considered, making the total 3,286. Since the legislature meets just 66 days each year, that means Oklahoma lawmakers will have to plow through 50 bills a day to get to all the bills filed.
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One of the more unnecessary bills that will likely be debated is one by Senator Harry Coates, (R-Seminole) for an official country and western song. Oklahoma has an official ‘rock’ song- The Flaming Lips’ ‘Do you Realize?’- after last years’ session. After a contest to determine the winner, one of the ‘Lips’ band members showed up at the State Capitol ceremony dressed in a t-shirt with the logo of communism- the hammer and sickle. Several members of the House objected to the bands’ flippant attitude and defeated the resolution, authored by Representative Joe Dorman, (D-Rush Springs). The Governor then signed an Executive Order making the official state rock song one that less than five percent of the general population had ever heard of. The whole process was a waste of time when the legislature could have been dealing with a substantive issue like worker compensation reform. Hopefully lawmakers won’t waste the people’s time by trying to find the ‘perfect country and western song.’
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Senator Anthony Sykes, (R-Moore), has introduced a bill that would reduce government waste and duplication by combining the work of the Corrections Department and the Pardon and Parole Board in the pardon and parole investigative process.

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Representative Dennis Johnson, (R-Duncan), has filed a bill that will require students receiving money from the Oklahoma Higher Learning Access Program to remain in the state for five years after graduation. The Oklahoma Higher Learning Access Program provides scholarships equivalent to all or part of tuition expenses for students who complete the program’s requirements while in high school. The scholarships may be used at accredited public and private colleges and for certain programs/courses offered at public career technology centers. Once enrolled, the student must complete a specified core curriculum, achieve a minimum GPA in both the required core, attend school regularly, and refrain from substance abuse and criminal/delinquent acts. This is a good idea and while it may not keep them in the state, it at least allows taxpayers to recover a portion of the investment we made in their education if they decide to leave.

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Sykes has authored a bill that would require the Governor to set a special election for all state and federal offices within 30 days from when the vacancy occurs. This would mean the end of appointments by the Governor to file unexpired terms. You will recall that Governor Henry appointed current Oklahoma State Auditor and Inspector Steve Burrage in July of 2008 to fill the vacancy created by the resignation of Jeff McMahan after McMahan was found guilty on federal campaign finance charges. This is a necessary piece of legislation that will give voters a voice in replacing those vacanies. The real challenge with our current governor will be getting him to set the date within 30 days.

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Sykes is also introducing a bill that would those receiving public welfare to pass a drug test before being approved for benefits. At least six states- Indiana, Massachusetts, Minnesota, New Jersey, Wisconsin and Virginia- currently require eligibility for some public assistance to drug testing, according to the National Council of State Legislature. Public assistance and drug testing stems from the Congressional overhaul of welfare in the 1990s, which allowed states to implement drug testing as a condition of receiving help. This should be passed simply because it is common sense.

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Senator Bryce Marlatt, (R-Woodward), evidently thinks the actions of some of his colleagues in the legislature and the Governor are chemically induced. He has filed a bill that would require drug tests for legislators and the Governor before they take office. Perhaps Marlatt filed the bill after hearing strands of Jimi Hendrix’ Purple Haze coming from the Capitol’s muzak system or he read the transcripts from past legislative sessions. Either way, this bill is a waste of legislative time.

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All too often, legislators run bills that are popular and designed to get them media attention, re-elected to office or to endear themselves to their base. Legislation should be geared to making government more efficient, saving the taxpayers money or protecting the general public. It should not avoid the tough issues or simply ‘tell us what we want to hear.’ Edmund Burke said, “Your representative owes you, not his industry only, but his judgment; and he betrays, instead of serving you, if he sacrifices it to your opinion.”

Weekly Opinion/Editorial

ELECT THOSE WE CAN TURN OUR BACKS ON!
by Steve Fair

C-SPAN first went on the air March 19, 1979, broadcasting a speech by then-Congressman Al Gore, (D-TN). C-SPAN initially provided live coverage of the U.S. House chamber proceedings, but in 1986 C-SPAN 2, a spin-off network went on the air to cover the U.S. Senate sessions live. The latest spin-off, C-SPAN 3 began broadcasting in 2001, and airs government-related live events along with historical programming from C-SPAN's archives.
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C-SPAN is owned and operated by the cable industry and doesn’t receive any taxpayer money. The stated purpose of C-SPAN was to ‘open government’ to the people. Now Americans with cable can watch what is happening in the U.S. House and Senate live. Often time elected officials can be more entertaining than TV Land. As Will Rogers said, “This country has come to feel the same when Congress is in session as when the baby gets hold of a hammer.” According to Hart Reseach, twenty percent of Americans with cable watch C-SPAN weekly. That’s over 34.5 million Americans turning in to watch their government live. People in the south and midwest watch more than the rest of America.
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Now Oklahoma citizens will be able to watch live both their legislative chambers in action. The Oklahoma state Senate has one wide-angle camera installed in its chamber that provides live streaming audio and video of Senate floor action on the Internet; two committee rooms are also wired for audio and video feeds. The State House has provided live audio the last few years, but it was announced last week that starting with the 2010 session video and audio will be available live online. Four small robotic cameras have been installed in the House chamber for a system that will allow Internet users to watch and listen to House action. Visitors to the House Web site can watch it live or view floor action that occurred earlier.
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Allowing Oklahomans to see House members in action instills confidence in their legislators, State House Speaker Chris Benge, (R-Tulsa) says. "It’s a natural thing for the public to be skeptical of elected officials, but we would like to instill confidence in the public in what we’re doing,” he said. "By opening up our process, we’re trying to take a step in that direction.”
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Because of the large budget shortfall, House Minority Leader Danny Morgan, (D-Prague) thinks the timing is wrong. "I’m not just sure that what we’re saying is that electronic information is more important than other government services,” said Morgan, D-Prague.
Benge said, "As we’re more open and we have the public being able to really pay attention and involve themselves more ... that will make for a better process.”
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Like other legislative issues, Internet coverage has its proponents and opponents. Fans argue that Internet coverage: Helps bring government closer to constituents; Offers greater flexibility in program scheduling than other broadcast venues; Allows legislature and citizens to be independent of television stations to carry the broadcast signal; and Is reasonably priced, especially when compared with television broadcasting.
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Critics contend that Internet coverage: Allows downloaded remarks to be manipulated, taken out of context or used for political purposes; Can be skewed by the leadership to provide an unfair amount of coverage for the party in control; and/or Benefits lobbyists and legislative and government employees more so than the average citizen, who may be less likely to watch the proceedings.
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The Executive Director of OETA told a State House Committee in 2008 that he could broadcast their sessions statewide(a state version of C-SPAN) for around a million dollars With the huge budget shortfall the timing is not right to broadcast legsislative sessions via OETA, but the modest $66,700 taxpayers will fork out for live audio/video internet is a bargain. Because elected officals often do what is ‘inspected,’ not what is ‘expected’ opening up the legislative process is a great idea, even if it benefits lobbyists and bureaucrats as well as citizens.
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The reality is most people don’t have time to daily monitor their legislators’- state or federal- work by TV or Internet. The average citizen has a job and a busy life. Because legislators cast hundreds of votes that we never hear about, David Barton, founder of Wallbuilders, says, “we should elect people we can turn our back on.” David, a nationally known speaker and author, will be speaking on Saturday evening at the Simmons Center in Duncan at 6pm. The public is invited and there is no admission fee.

Weekly Opinion/Editorial

2010 BRINGS CHANGE!
by Steve Fair

As Roman senator and historian Publius Cornelius Tacitus said in the first century, "As formerly we suffered from crimes, so now we suffer from laws."

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At the stroke of midnight on Thursday the 31st, eleven pieces of legislation from the 2009 Oklahoma state legislative session went into effect in Oklahoma. They range from one that extends tax credits for people who purchase cars that run on LP or natural gas to one that creates a state Chief Information Officer who will work to consolidate purchasing of computers and other I.T. equipment.
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Some of the new legislation makes sense- like the I.T. consolidation, which should make government more efficient and secure when it is implemented. Governor Henry is charged with filling the CIF position, which pays about 150K a year, but Henry, has said he won’t have the position filled until later in January. He does have his search narrowed down to the top five applicants, but the chronically late Guv has had six months to get the position filled. Other notable bills that went into effect on January 1st were:
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HB1661 provides an income tax check off for the Oklahoma Y.M.C.A. Youth and Government Program. SB 721, authored by Senator Don Barrington, (R-Lawton) allows Oklahomans to help the children of military personnel killed in action to further their education by donating a portion of their income tax refund to them. It would also provide income tax exemption for payments resulting from death of certain persons killed in military action. These two statutes provide options for taxpayers and will not grow government, so they make sense.
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HB2148, authored by Representative Don Armes, (R-Faxon) created the Uniform Limited Cooperation Association Act of 2009. The measure allows individuals in rural and urban settings to use a cooperative structure to own, run and share in the benefit of their business in combination with modern financing techniques. Natural gas and rural electric cooperatives are exempt from being formed under this act.
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SB 11 requires the Oklahoma Tax Commission to pay interest on refunds if not paid in a timely way. SB 314 requires the Tax Commission to issue new decals for motor vehicle tags. The new decals will have a two-letter abbreviation corresponding to the county of issue.
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SB 318 is a general tax statute of nearly 200 pages containing numerous tax law revisions requested by the OTC. A provision in the bill does create an Oklahoma Viticulture and Enology Center Development Revolving fund (350K annually) to benefit the wine industry. SB 458 authorizes county election board secretaries to transmit balloting materials by e-mail under certain conditions. While the intent of this statute is good(military personnel), the ‘unintended consequences’ could present opportunity for voter fraud.

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SB 608 increased the annual fee for cigarette wholesaler and manufacturer licenses from $25 to $250. This statute grows government and the fees will undoubtedly be passed on to smokers in the form of a price increase. TEN fold fee increases at one time on legal businesses just because government can is excessive and inappropriate.

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SB 909 offers enhanced incentives for job creation in Oklahoma. Under current Oklahoma law, employers qualify for Quality Jobs tax rebates if they create new jobs with a minimum payroll of $2.5 million. They also have the option of applying for tax credits if they invest $40 million in Oklahoma. In eight other states, they can take advantage of both at the same time, which they cannot currently do in Oklahoma. This legislation allows existing and new businesses in Oklahoma to take advantage of both the rebates and credits. This makes good sense and will help create jobs in the Sooner state.

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SB 916 directs a dividends-paid deduction otherwise allowed by federal law to compute net income of a real estate investment trust and is subject to federal income tax to be added back in computing income tax if the trust is a captive real estate investment trust. SB 1127 relates to corporate registered agents, foreign limited liability companies and filing fees. Both of these statutes are business friendly and don’t grow government.
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The most notable change to Oklahomans may be the death of the so-called, ‘death tax.’ The estate tax was gradually eliminated over the last few years, with full repeal occurring Jan. 1st. Implemented seventy-four years ago, the ‘double taxation’ often forced heirs to sell the deceased’s assets to satisfy the tax bill. “When people lose a loved one, they suffer enough without facing a new tax burden, especially one that could potentially force the sale of a family farm or business,” said House Speaker Chris Benge, (R-Tulsa).

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The federal estate tax has been repealed for 2010 and will need U.S. Congressional reauthorization for the repeal to continue, but Oklahoma’s death tax no longer exists as of January 1st. The feds could take a page from Oklahoma and make the federal estate tax repeal permanent.

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2010 will bring many changes and not just in more laws. Benjamin Franklin gave some sound advice when he said, “Be always at war with your vices, at peace with your neighbors, and let each new year find you a better man.” Happy New Year!

Weekly Opinion/Editorial

NOT

by Steve Fair

Oklahoma citizens may have lost out economically last week because our two United States Senators have integrity. Neither Senators Jim Inhofe nor Tom Coburn were willing to sell their vote on the health care bill in exchange for preferential treatment for their constituents. That was not the case with several of their Democrat colleagues.
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Rest assured, there will be short sighted people in the Sooner state who will criticize Coburn and Inhofe for failing to ‘bring home the bacon’ like the more aggressive, less principled lawmakers who were willing to sell their vote. But until Congress is full of people who are looking out for the average guy, American citizens are the long-term losers in these ‘vote auctions’ the Democrats are conducting.
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Senate Majority Leader Harry Reid,( D-NV) secured the 60th vote – that of Nebraska Democrat Ben Nelson -- for promising $100 million in Medicaid assistance for the Cornhusker state. In effect, the other 49 states will subsidize Nebraska. Previously, Reid made a $600 million deal for Vermont, a $500 million boondoggle for Massachusetts, and Louisiana Senator Mary Landrieu, (D-LA) committed her vote for $300 million. In addition, Connecticut Senator Chris Dodd, (D-CT) has reportedly received $100 Million in the health care bill to build a hospital at the University of Connecticut.
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Nelson’s actions will not just impact Nebraska, but all states. Oklahoma State Senate Pro Tem Glenn Coffee said, “Oklahoma taxpayers – and citizens of Texas, Arkansas, Kansas and other states will pay in multiple ways for years to come for Harry Reid’s outrageous Christmas gifts to his fellow Democrat senators,” Coffee said. “The favoring of one state and its Senator at the expense of other states and their taxpayers is unjust.”
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Nelson’s ‘deal’ is not likely to stand up to Constitutional scrutiny. U.S. Senator Lindsay Graham, (R-SC) said, “Legally, I think other states can make a constitutional challenge. Instead of negotiating in public, there was a back-room deal. One state cannot have a different plan than the other forty-nine. I think Nelson sold his vote for nothing.”
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Whether the deal stands up or not, the point is no deal should have been made. Senators should not be auctioning off their vote to the highest bidder. With an economy on the verge of collapse, a national debt that has grown by twenty five percent the last year and a weak dollar, America needs political leaders with the courage and wherewithal to say no to earmarks and bribes. Abramoff is serving time for bribing elected officials with private money, but Reid is using our money to accomplish much the same thing.
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When Senator Coburn said about the upcoming vote, "What the American people ought to pray is that somebody can't make the vote tonight. That's what they ought to pray," the liberals went nuts!
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They accused Coburn of wanting Senator Robert Byrd, (D-WV) to die. The ninty three year old Byrd has to be wheeled into the Senate chamber to cast his votes. Known as the ‘king of pork’ in Congress, Byrd has never excercised fiscal restrainst in his fifty plus year political career. Coburn never mentioned Byrd by name during his floor speech, but Democrat Senator Dick Durbin, (D-Illinois) took issue with Coburn’s remarks saying, "I don't think it's appropriate to be invoking prayer to wish misfortune on a colleague. I've tried to reach out to him. He is my friend and I have worked with him but this statement goes too far. The simple reality is this: we are becoming more coarse and more divided here."

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Who is really who is at fault because of this ‘coarse and divided’ enviroment? Is it the Republicans who have not been given any imput into ‘the most important piece of legislation since Social Security.’ The Democrats have not allowed any meaningful debate or discussion on this bill and some even admit they are unsure what is in it.

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The impact of the federal health care bill on the Oklahoma state budget could be catastrophic according to State Senate Pro-Temp Coffee. “While Harry Reid sells his soul and financial indulgences for the votes of his fellow Democrat senators this Christmas season, all he will leave for Oklahoma taxpayers will be a multi-year, multi-million dollar lump of coal, and a cumbersome, unaffordable system that will disenfranchise more citizens than it will help,” Coffee said. “This is the ultimate Dirty Santa gift that we can’t pass off to someone else.”
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“Aside from the obvious bad policy that is being foisted on an unwilling American public, the financial realities of this Christmas catastrophe are unconscionable,” Coffee continued. “And the right-thinking, responsible folks here in Oklahoma are helpless to stop it.“We can only hope some sort of sense will overtake those leading the charge to push this disaster on the public, and that Oklahomans – Democrats and Republicans alike – will make their voices heard in Washington,” Coffee added. “We can count our blessings during this season of joy for Oklahoma’s federal delegation, but Washington needs a little more Oklahoma common sense,” he concluded.

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The Portland Liberal Examiner disagrees with Coffee about Inhofe and Coburn. They write: “Thank you, Oklahoma voters, for giving the rest of America the worst Senator pair in the country. Do these two represent the citizens of Oklahoma, or their own self-interests?”

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Yes, Coburn and Inhofe are ours and represent Oklahoma common sense values. We are blessed to have them, and so is America, if nothing else because they are ‘not for sale!’

Weekly Opinion/Editorial

DON’T KICK THE CAN DOWN THE ROAD!
by Steve Fair

Last fall, the national media said Oklahoma was one of the few states that had dodged the economic recession. But last week, the National Conference of State Legislatures released a report that showed the Sooner state has the largest budget shortfall of all fifty states- a whopping 18.5%. In just the first five months of this fiscal year, Oklahoma’s tax revenue is down 28.5% below last year. If the trend continues, revenue will be more than 1 billion short of projections for the 2009 fiscal year.

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Oklahoma’s 2009 state budget is 7.06 billion, which is down –6.7% from 2008. Of that total, Education gets 54%, Health and Human Services 27%, and Public Safety and Judiciary 11.3%. That leaves less than 8% of the state budget for General Government, Natural Resources and Regulatory Services. Realistically, any meaningful cuts have to come from the first three listed.
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Why is revenue down? Oklahoma state government gets revenue from seventy (70) different sources, but a substantial amount of state revenue comes from ‘gross production tax.’ The seven percent tax is accessed on oil and gas producers, but was off a whopping 84% in November alone. Every major source of state revenue was off except motor vehicle tax by double digits in November. Less money is coming in than was projected, so it’s belt-tightening time- or is it?
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Some legislators, Republicans as well as Democrats, favor taking the $600 million ‘federal stimulus’ money Oklahoma has left and cleaning out the Rainy Day fund (also $600 million) to shore up the budget. That would solve this year’s budget woes, but what if things get worse? The Spears School of Business at OSU believes economic conditions in the state will not get better in 2010 and budget woes may continue into 2011.
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In a report released November 17th in OKC, they conclude, “ While FY 2009 was challenging for state and local budgets, FY 2010 will exhibit continued deterioration of the tax base. We anticipate some tax base recovery in FY 2011, but not enough to restore tax collections to their FY 2009 levels. “ They go on to say, “No significant recovery in U.S. natural gas prices is currently projected, but much could change through this winter. End of March storage and production levels should offer more insight into the trajectory of energy prices through 2011.”
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The Spear’s report lists four major ‘risks’ to the state forecast; (1) Further deterioration of national economic conditions. (2) Suppressed oil and natural gas prices through 2010 and lack of resolution on energy policy from Obama Administration. (3) Negative multiplier effects from strained state and local budgets. (4) Restricted capital access to Oklahoma's small businesses.
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With a projection that things could get worse, cleaning out the savings account (Rainy Day fund) is not the solution. That’s irresponsible and requires no creativity. That’s just ‘kicking the can down the road.’ Tough times require tough decisions by tough leaders.

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Ronald Reagan said, “A leader, once convinced a particular course of action is the right one, must have the courage and determination to stick with it and be undaunted when the going gets tough.”

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Here are a couple of suggestions for the legislature. Since Common Education gets the lion’s share of the state budget, it’s time for them to deal with the ‘elephant in the room.’ They should present a plan to share administration and infrastructure. They should lead the charge in the consolidating of Oklahoma’s 539 school districts. Instead of just lobbying for more money, Education should lead this initiative.

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Secondly, state agencies should be required to submit next year’s budget requirements using ‘zero based’ budgeting. They should have to justify every tax dollar they receive. The legislature should check their work; verify the taxpayer’s money is being spent in an efficient and prudent way.

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Legislators should make strategic cuts that deal with waste, duplication, and unnecessary functions. Everyone knows there is waste in Oklahoma state government. Everyone knows Oklahoma should share school administration and infrastructure. Everyone knows Oklahoma has more school districts than is efficient or necessary. But every legislature has just ‘kicked the can down the road’ in the hope a future legislature will deal with it.

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“Kicking the can down the road" was a game played by children in years past. In most versions of the game, someone kicked the can and then the person who was "it" had to retrieve the can before they could chase the other players. Kicking the can as far down the road as possible gave the other players the maximum possible time to hide or scatter or whatever is required by the game. Metaphorically, "kicking the can down the road" is similar to a delaying tactic, putting it off until later, etc. Let’s hope the Republican led legislature will show some courage and not play this children’s game.

From the Wall Street Journal

The Health Bill Is Scary
"Government guidelines would likely have forbidden

the test I used to discover Sheila's cancer. "
By Senator Tom Coburn, M.D.

I recently suggested that seniors will die sooner if Congress actually implements the Medicare cuts in the health-care bill put forward by Senate Majority Leader Harry Reid. My colleagues who defend the bill—none of whom have practiced medicine—predictably dismissed my concern as a scare tactic. They are wrong. Every American, not just seniors, should know that the rationing provisions in the Reid bill will not only reduce their quality of life, but their life spans as well.
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My 25 years as a practicing physician have shown me what happens when government attempts to practice medicine: Doctors respond to government coercion instead of patient cues, and patients die prematurely. Even if the public option is eliminated from the bill, these onerous rationing provisions will remain intact.
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For instance, the Reid bill (in sections 3403 and 2021) explicitly empowers Medicare to deny treatment based on cost. An Independent Medicare Advisory Board created by the bill—composed of permanent, unelected and, therefore, unaccountable members—will greatly expand the rationing practices that already occur in the program. Medicare, for example, has limited cancer patients' access to Epogen, a costly but vital drug that stimulates red blood cell production. It has limited the use of virtual, and safer, colonoscopies due to cost concerns. And Medicare refuses medical claims at twice the rate of the largest private insurers.
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Section 6301 of the Reid bill creates new comparative effectiveness research (CER) programs. CER panels have been used as rationing commissions in other countries such as the U.K., where 15,000 cancer patients die prematurely every year according to the National Cancer Intelligence Network. CER panels here could effectively dictate coverage options and ration care for plans that participate in the state insurance exchanges created by the bill.
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Additionally, the Reid bill depends on the recommendations of the U.S. Preventive Services Task Force in no fewer than 14 places. This task force was responsible for advising women under 50 to not undergo annual mammograms. The administration claims the task force recommendations do not carry the force of law, but the Reid bill itself contradicts them in section 2713. The bill explicitly states, on page 17, that health insurance plans "shall provide coverage for" services approved by the task force. This chilling provision represents the government stepping between doctors and patients. When the government asserts the power to provide care, it also asserts the power to deny care.
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If the bill expands Medicaid eligibility to 133% of the poverty level, that too will lead to rationing. Because Washington bureaucrats have created a system that underpays doctors, 40% of doctors already restrict access to Medicaid patients, and therefore ration care.
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Medicaid demonstrates, tragically in some cases, that access to a government program does not guarantee access to health care. In Maryland, 17,000 Medicaid patients are currently on a waiting list for medical services, and as many as 250 may have died while awaiting care, according to state auditors. Kansas, the home state of Health and Human Services Secretary Kathleen Sebelius, faces a Medicaid backlog of more than 15,000 applicants.
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Other unintended consequences of the Reid bill could wreak havoc on patients' lives. What happens, for instance, when savvy consumers commanded to buy insurance realize the penalty is the de facto premium? It won't take long for younger, healthier Americans to realize it's cheaper to pay a $750 tax for coverage instead of, say, $5,000 in annual premiums when coverage can't be denied if you get sick.
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OMB Budget Director Peter Orzsag's belief that mandatory health insurance will become a "cultural norm" is bureaucratic naivete that will produce skyrocketing premiums and reduced care for everyone. My state's own insurance commissioner, a Democrat, recently confirmed this concern to me in a letter noting that "the result will be higher insurance rates due to a higher percentage of insured being higher risk/expense individuals."
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But the most fundamental flaw of the Reid bill is best captured by the story of one my patients I'll call Sheila. When Sheila came to me at the age of 33 with a lump in her breast, traditional tests like a mammogram under the standard of care indicated she had a cyst and nothing more. Because I knew her medical history, I wasn't convinced. I aspirated the cyst and discovered she had a highly malignant form of breast cancer. Sheila fought a heroic battle against breast cancer and enjoyed 12 good years with her family before succumbing to the disease.
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If I had been practicing under the Reid bill, the government would have likely told me I couldn't have done the test that discovered Sheila's cancer because it wasn't approved under CER. Under the Reid bill, Sheila may have lived another year instead of 12, and her daughters would have missed a decade with their mom.
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The bottom line is that under the Reid bill the majority of America's patients might be fine. But some will be like Sheila—patients whose lives hang in the balance and require the care of a doctor who understands the science and art of medicine, and can make decisions without government interference.
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The American people are opposing this bill in greater numbers every day because the facts of the bill—not any tactic—are cause for serious concern.