Health Care Repeal Would Cost $210 Billion: CBO

WASHINGTON (By Susan Heavey) - Repealing the U.S. healthcare law enacted last year would add $210 billion to the nation's deficit over the next decade, congressional auditors said on Friday.

The Congressional Budget Office said enactment of a House of Representatives measure last month to scrap the healthcare overhaul would eliminate a number of provisions aimed at reducing federal healthcare costs as well as strip out new revenue-creating taxes and fees.

Republicans, who now control the House, campaigned on repealing the law, one of Democratic President Barack Obama's main legislative victories. Despite the vote in the House, the repeal was largely symbolic as neither the Democratic-led Senate nor Obama support it.

The CBO, along with the Joint Committee on Taxation, earlier estimated the law would save the federal government $124 billion between 2010, when the law was passed, and 2019. Its $210 billion cost increase estimate on Friday covers a slightly different period -- 2012 to 2021.

The agency, which analyzes the costs of various legislation for U.S. lawmakers, said the main difference in the two estimates was mainly because they cover different 10-year periods.

But looking at just the eight years in common between both estimates, implementing the law would save the government $132 billion, while repealing it would boost deficits by $119 billion, it said.

The CBO's analysis comes as U.S. House lawmakers passed an amendment to a spending bill on Friday that would block funds needed to implement the 2010 law, one of Obama's top domestic priorities.

Passed last March, the measure aims to help roughly 30 million Americans gain access to health insurance while enacting numerous other consumer protections.

While expanding coverage was estimated to increase the deficit, such costs were offset by provisions that curb federal spending on items such as private Medicare plans, the CBO said. Additional fees and taxes such as those imposed on health insurers and drugmakers also helped offset the law's costs, it said.

(Reporting by Susan Heavey; Editing by Peter Cooney)

Copyright 2010 Thomson Reuters. Click for Restrictions.

Comments

[Owba]

12:44 AM on 03/16/2011

Republicans are willing to hurt the country, so long as they stop Obama. That's the goal. Not health care, not reform. Not that Arizona, Wisconsin and Ohio are all cutting taxes for the rich but rationing care for the sick and elderly. They screamed that Obama's "death panels" would ration care but it's the Republicans who are actually doing it. Oddly, the conservative trolls remain silent on these insidious instances of rationing. I guess Obama's fictional rationing is outrageous but Republican real rationing is acceptable to them. I think we are up to 5 dead in Arizona for lack of transplants.

[Monina Diaz]

03:00 PM on 03/02/2011

Health Care Reform one of the best for Mr. Obama. Thank you.

[Philclock]

05:42 PM on 02/21/2011

"Mr. Elmendorf (head of CBO) has warned that Congress may find it difficult to follow through with parts of the health care law, particularly the cuts to Medicare. The law’s cost would rise if the cuts were not enacted."

Well, well, what a surprise, all the lefties come out of the woodwork en masse, spewing the same dire warnings about repealing this atrocity, and justifying it with yet another CBO financial sheet projection.

That suspicious? Definitely. Projections are the tool of whatever assumptions are used, and whether they will happen. Mr. Elmendorf blew the cover off the substance of the leftie PR campaign.

[Nel Pineda]

05:01 PM on 02/21/2011

Repeal this Health Law NOW! Because I MY WANT KIDS TO GET DENIED of CARE. BUT let's save more fetuses.

[lullu]

10:45 AM on 02/21/2011

Anyone who wants to see this bill repealed has never had a chronic illness. Has never had a problem actually getting health insurance -- due to a pre existing condition and generally lives in complete ignorance as to the necessity of reform. If anyone thinks this bill is going to be repealed -- dream on. It will not happen, it was the right thing to do.

[sc300nc]

09:32 AM on 02/21/2011

and worth every penny.

[HomerC]

08:18 PM on 02/20/2011

JOBS JOBS JOBS! Why isn't anyone talking about the jobs this bill can potentially generate!

There will be 30 million or so new customers to the heathcare and medical industries. How many more doctors, nurses, medicine, hospitals, bandaids and all that will the healthcare system need to care for 30 million more new customers? I don't know but it's got to be a lot. What industry is projected to grow the most jobs - it's healthcare related jobs! Look it up.

The President needs to get some marketing folks working for him. He's got the perfect argument at the perfect time right under his nose and not one Dem is using it.

[Rudym]

04:32 PM on 02/21/2011

Someone has to pay salaries to all the people working in the jobs that will be created with the Health Bill. That is the problem with the bill, no one wants to pay money out of their own pocket to pay the people to provide free health care to someone who does not have the money to pay for their own health care. And the government is broke according to Congress. Guess the only answer is for everybody to work in a job that does not pay them anything for taking care of 30 million new customers.

[HomerC]

08:28 PM on 02/21/2011

Rudym, the jobs will be produced by the suppliers to the healthcare and medical industries and will be paid by them, not tax payers, just as it is now. The difference now is that the industry as a whole will have 30 million more customers to serve and it will need alot more people than they have now to serve them.

What free healthcare are you referring to? One of the main points of the bill is that EVERYONE must be involved so no one gets a free ride.

[HomerC]

07:34 PM on 02/20/2011

It's amazing to see so many expert and confidently expressed predictions on the future of the President's health insurance law. I have a few predictions of my own - and I'm no expert:

In the near future no US citizen will ever have to fear going bankrupt due to medical bills, and no one will be dumped by their insurance provider just when you need it most.

Very soon you will have access to the same insurance choices your members of congress have had for years - yes even Republican congressmen, and millions of federal employees.

In the near future, no body will be allowed to freeload the system anymore, EVERYONE has to be involved in their health insurance costs nobody gets a free ride anymore.

In the very near future you will be able to get medical insurance even if you are suffering from a pre-existing medical condition - imagine that!

[marcar72]

12:39 PM on 02/21/2011

What a dream world. How does an unemployed poor person get involved into paying for his health care ?

[baxtron]

04:17 PM on 02/21/2011

the same way a high school student pays for auto insurance. a large pool of people involved in the pool drives down the overall cost. once the greed is removed the cost will dip down further. 55% of personal bankruptcies due to medical costs. living in a dream world is to ignore reality, but you seem to be used to that. stay the course, hard work 9/11.

[HomerC]

10:19 PM on 02/21/2011

Good question. Healthcare tax credits become available to help people with incomes up to 400 percent of poverty purchase coverage on the exchange.

Read and learn all about it: http://www.reuters.com/article/2010/03/19/usa-healthcare-timeline-idUSN1914020220100319

[1Kcifar]

03:04 PM on 02/20/2011

You mean to tell me that we have a bunch of Republicans in the house (Only) that really think that it would be ok to repeal a written law at a cost of 210 billion dollars over 10 years is the thing to do while our economy SINKS........just to be able to declare victory again Obama....

The Republicans keep on trying to convience people by putting out misinformation about our commander in chief...that he is not the right man for the job...

and thaey judt ignor the economy or creating jobs or even the two war fronts...

DUMB IS AS DUMB DOES ..."forrest gump1986 (Republicans sure fir this model ,don't they ?)

$210 billion dollars is at stake.

[baxtron]

04:18 PM on 02/21/2011

I'm not a smart man Jenny, but I know what love is.

[Klarsonent]

01:09 PM on 02/20/2011

And the facts are: "But looking at just the eight years in common between both estimates, implementing the law would save the government $132 billion, while repealing it would boost deficits by $119 billion, it said."

But will the Republicans consider the facts? Don't think so. It's all about winning - for corporate America. Make the rich even richer and stick it to the middle class. That's their mantra.

[spoonbill1963]

11:59 AM on 02/20/2011

$210 billion? That's ok. It will still be cheaper than letting the law stand.

[babyspittle]

12:21 PM on 02/20/2011

FALSE.

We pay LESS with health reform.
repealing it ADDS billions to the deficit; which republicans continue to pretend they care about

only f00ls believe them.

[ruburnt]

12:46 PM on 02/20/2011

Everything needs to stop in its tracks until the Supreme Court rules on the matter. The Dems just want to run up the tab to make Republicans the villians....

[redstateblues69]

12:39 PM on 02/20/2011

Japanese leaders decry their high suicide rate in economic terms losing 32B in lost wages for the past dozen years. How much does the status quo cost our economy with 2 million going bnkrupt, 45,000 dying and the survivors on the dole, Medicaid and disability? Add to that the loss of inheritance to heirs due to medical debt on their parents' estates.

Didn't hear about the recent Medicare fraud bust? 250B fraud unearthed in nationwide sting.. That's because 60B was allocated to fight fraud as part of "ObamaCare"  You do the math.

[mashtoe]

11:23 AM on 02/20/2011

By cost, the CBO means it would cost the government which means it would lower tax revenue which means you would keep more money.

There is no way Obamacare is saving anyone any money and nobody serious is saying that. Everyone agrees Obamacare has NO cost controls. Insurance corporations will have every incentive to RAISE fees. Obamacare will just force you to buy private corporate insurance which will help save the government from paying. So you will be paying more.

[spoonbill1963]

12:00 PM on 02/20/2011

The progressives went on and on about how it would actually save the government money. The rest of us knew better.

[HomerC]

06:29 PM on 02/20/2011

Actually the progressives wanted a single payer system, not the current bill.

[babyspittle]

12:22 PM on 02/20/2011

FALSE.
The total cost is OFFSET.

ITS PAID FOR.

I know that is a foreign concept for conservatives, but try to get it right next time.

[ConsensusReality]

10:23 AM on 02/20/2011

It's time to end all these arguments and enact single-payer, national health care. We should accept no less.

[Ron Bananas]

09:42 AM on 02/20/2011

Anyone who would like to take the time to read the 2,000 page bill, I would be more than happy to send you a copy. Fox didn't do it...see for yourself.

[babyspittle]

01:02 PM on 02/20/2011

is this a whine about too many pages, lol?

[Ron Bananas]

09:35 AM on 02/20/2011

It's going to be so funny when people who love this health care bill, and expect something for nothing, when we reach 2014 and it's time to ante up. Only then will everyone realize they got duked and Obama really was just the "Insurance Saleman of the Millennium" selling 30 million policies. Too late...checkmate!

[mike dougles]

10:06 AM on 02/20/2011

It will be sad in 20 years when they final find out how much Obamacare really cost, sadly by then it will be to late.

[babyspittle]

12:23 PM on 02/20/2011

you are both f00ls

[HomerC]

09:34 PM on 02/20/2011

Let's not forget that any law that is produced by congress as a whole is the production of all of congress not just the party with the most votes. This bill was influenced by both parties, whether they voted yes for it or not. If the Pres and the Dems had their way, there would be a single payer system, or at the very least a public option. So when you accuse the Pres of being the insurance sales person of the millenium, you need to include all of congress as well including the GOP.