March 17, 2004

HHS Secretary "Tommy" Thompson Needs to Be Told to Spend More Time with His Family

Didn't see the cost estimate until Christmas? Could a Cabinet Secretary possibly be so incurious? Didn't even try to control what his subordinates were doing? Could a Cabinet Secretary possibly be so self-effacing?

WSJ.com - White House Backs HHS Probe of Medicare-Bill Cost Estimate: ...the matter has taken on a new life because the administration projected in the budget it submitted to Congress last month that the 10-year cost of the bill would be $534 billion, instead of $395 billion estimate used in writing the legislation. Mr. Foster estimated in June that a version similar to what became law would cost $551 billion, according to a document subsequently obtained and released by House of Representatives Democrats.

"There seems to be a cloud over this department because of this. We have nothing to hide, so I want to make darn sure everything comes out," Mr. Thompson said.... Mr. Thompson said administration officials made clear that their financial assumptions about the legislation led to higher estimates. But he said he didn't see the final cost estimate until just before Christmas, a few weeks after President Bush signed the Medicare law.

Mr. Thompson said he never instructed Mr. Scully to prevent Mr. Foster from sharing his higher cost estimates with lawmakers, some of whom had said they wouldn't vote for legislation that cost more than $400 billion over 10 years.... The secretary placed much of the responsibility for the controversy on Mr. Scully, a voluble lawyer and former hospital trade-association executive known for his quick wit and sometimes impulsive comments. Mr. Thompson said he should have exercised more control over Mr. Scully. "But all of you know Tom Scully. Do you think that's possible?" Mr. Thompson said...

I believe (90% chance) that the policy of playing hide-the-ball on the actuarial numbers was Thompson's, and the White House's, policy. And they are now pretending that it was all Scully's idea.

Posted by DeLong at March 17, 2004 12:33 PM | TrackBack

Comments

Time with his family? I think he gets a Xmas bonus for that one.

Posted by: bakho on March 17, 2004 12:53 PM

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"Time with his family" really is a euphemism in his case. He and his wife haven't lived in the same city much less the same house for years.

Posted by: Rob on March 17, 2004 01:05 PM

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What bakho said. It should be obvious enough that mere mendacity won't get anyone fired from this administration. It is pretty silly for Thompson to be playing the Hack from Elroy (can't control his staff, etc.) in this case, though.

I'd just add that, from here in Madison, there are those of us who don't want Sec'y Thompson back. Not prematurely, anyway.

Posted by: Tom Bozzo on March 17, 2004 01:09 PM

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lets hope they all get to spend lots of time with their families real soon.

Posted by: CalDem on March 17, 2004 01:13 PM

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CalDem, agreed -- just not before the WI Republican Senate primary.

Posted by: Tom Bozzo on March 17, 2004 01:31 PM

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After running the State of Wisconsin as King Tommy for 16 years, Thompson left for Washington, leaving a legacy of billions in structural budget deficits (despite squandering $6 billion of tobacco settlement money), corrupt highway bidding practices, scandal in the legislature, and the dictatorship of the corporate boardroom. This scandal a-brewing in HHS is no surprise to those of us who survived his reign in Wisconsin.

Posted by: Joe R. on March 17, 2004 01:38 PM

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The big fun will start if/when the administration actually tries to pin everything on Scully. He certainly does NOT seem to be the type to happily take one for the team. Especially since he's already out of the administration.
http://www.washingtonpost.com/wp-dyn/articles/A64605-2004Mar16.html

Posted by: bling on March 17, 2004 01:42 PM

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http://www.nytimes.com/2004/03/16/opinion/16TUE2.html

The Actuary and the Actor

An Orwellian taint is emerging in the Bush administration's big victory last year in wringing the Medicare prescription drug subsidy from a balky Congress. The plan is being sold to the public through propagandistic ads disguised as TV news reports, and it turns out the government's top Medicare actuary was muzzled by superiors during the debate about the program's price tag.

Richard Foster, one of the government's foremost Medicare experts, says he was ordered not to provide requested information to Congress last fall when doubts were being raised about the drug benefit's cost. The administration denies this, but a ranking former official has confirmed Mr. Foster's story. As the bill was being considered, Mr. Foster privately cautioned that its cost could amount to as much as $600 billion, while the White House publicly stuck to the Congressional Budget Office figure of $400 billion over 10 years. The administration eventually conceded a cost of $534 billion, but only after the bill was safely signed into law.

With program in hand, the administration then attempted to rally support — and take political credit — with government-produced TV ads masquerading as news reports. Actors were hired by the Department of Health and Human Services to pose as television journalists purveying faux upbeat "news" segments about the expanded Medicare coverage. The hope is that TV stations will air them as their own. In one version, anchors are offered a script in which they promise that "reporter Karen Ryan" — an actress — will explain the details of the new drug plan....

Posted by: anne on March 17, 2004 01:48 PM

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Ah, yes--another prominent member of the "party of personal responsibility" moonwalks backwards while reciting the mantra "Hey, it's not my fault!"

Posted by: Derelict on March 17, 2004 02:27 PM

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http://www.cbpp.org/3-17-04bud.htm

House Budget Committee Pay-As-You-Go Proposal Would Exempt All Tax Cuts and Make a Mockery of Efforts to Restore Fiscal Discipline - 3/17/04

The House Budget Committee adopted a version of the pay-as-you-go rules that would apply only to entitlement programs and that would exempt all tax cuts from the pay-as-you-go requirements, including the $1.2 trillion cost over ten years of making the 2001 and 2003 tax cuts permanent.

Posted by: anne on March 17, 2004 02:48 PM

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My worse fear is about how succesful they have been so far with this Orwelian strategy. According to the latest poll, a very large share of Americans believe that the war in Iraq has helped with terrorism. I conclude that, assuming most Americans have a brain, people are still clueless about the fact that there was no demonstrable link between Saddam (a secular Arab) and OBL (a fanatical islamist.) On right blogistan, though, I am sure some Bush-lovers are writing that it was very "honest" to come forward and say that he acknowledges there was no clear link... at a time when Americans were not paying attention any more. Similarly, not so long ago, a majority of Americans believed (and many probably still do) that Saddam was "behind" September 11.

The thing is that the war is a highly publicized debate. When it comes to health care costs, I am not so sure people are paying as much "attention", let alone following the arguments. But I hope I am wrong and I may well be. In the same poll, an amazingly large majority of Americans think the budget is a very serious issue. That is not something I would have expected. So, there is hope that informing citizens does make them understand what's at stake. The only thing is that the Bushies have a lot of money to spend on disinformation. Let's hope good information drives out bad information, for a change...

Posted by: Jean-Philippe Stijns on March 17, 2004 03:01 PM

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People pay attention to health care because it impacts immediately on their pocketbook. The cost of the war is bundled up with everything else.

Posted by: Knut Wicksell on March 17, 2004 05:59 PM

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Thompson is Secretary, he is in charge, it IS his fault.

I shuddered when Reagan announced that HE was responsible when the Marines were blown up in Beruit because I knew that it meant that no one would actually be held responsible. If Reagan was responsible, he should have resigned, and he obviously had no intention of doing so. Personal responsibility and Republican politicians are antinyms.

Posted by: Eli Rabett on March 17, 2004 06:04 PM

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"And they are now pretending that it was all Scully's idea."

And isn't it just so damn convenient Mr. Scully's moved on to his private sector gig and is no longer an administration official who can be called before Congress to answer questions.

Posted by: flory on March 17, 2004 06:12 PM

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Thompson is going down. He's already admitted he knew about this, yet he went around selling the $400 billion figure all summer long.

http://www.americanfootprint.com/wordpress//quotes.php?submit=1&categories=26&sort_order=date&ascdsc=+ASC

Posted by: blake on March 17, 2004 08:34 PM

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So Thompson is another governor whose people were happy to see the last of him when Bush plucked him up to Washington. The sighs of relief in Pennsylvania when Ridge left were enough to power wind farms. That was our one consolation for our understanding of how he'd perform in the homeland security slot. One of the best eye-rollers going here: "Relax. Tom Ridge is on the job."

Posted by: Altoid on March 17, 2004 09:05 PM

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More fun and games at HHS:

http://www.madison.com/captimes/news/stories/70379.php

Feds: Wis. Medicaid is overpaid by $936M

By Mark Sherman
Associated Press
March 17, 2004

WASHINGTON -Wisconsin is receiving $936 million more in federal Medicaid payments than it should under an arrangement with the Health and Human Services Department, run by former Wisconsin Gov. Tommy Thompson, congressional investigators say.

The Centers for Medicare and Medicaid Services, a division of HHS, incorrectly gave the state eight years - instead of 16 months - to wean itself from extra Medicaid payments that the government has decided are unjustified, the General Accounting Office said Tuesday in a new report.

The Medicaid agency initially granted Wisconsin 16 months in September 2001, but extended the transition to eight years in February 2002, an action GAO termed "particularly troublesome."

At the time Scott McCallum, like Thompson a Republican, was governor of Wisconsin. He had served as Thompson's running mate in four statewide elections and had been lieutenant governor for 14 years.

Wisconsin never should have been approved to receive the payments at all, GAO had previously said. The state received $405 million in the first 16 months of the transition and is scheduled to receive $936 million before the payments end in 2009.

At issue is the way Wisconsin claims federal matching revenues for nursing home reimbursement, according to the Legislative Fiscal Bureau.

Wisconsin began using the controversial method in the mid-1980s, according to the Fiscal Bureau. The federal government has been giving longer periods of transition to states that had long used the claiming process...

Wisconsin and CMS said the state had been using the financing mechanism, known as the upper payment limit, since 1985 for Medicaid payments to some county-run nursing homes.

GAO disagreed, saying Wisconsin's financing scheme was not established until 2001 - after the federal government announced it would close the loophole. GAO said the supplemental Medicaid payments to Wisconsin before then were relatively small and different in character from the questionable payments.

Posted by: Tom Bozzo on March 17, 2004 10:07 PM

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Those of us who survived Thompson are now faced with the struggle to survive Doyle and company.

An example, Peg Laudenschlager is - still - Wisconsin State Attorney. She drove off the road drunk enough to pass out, refused to take a breath test from a State Trooper at the crash site. What is going to happen to her? Nothing. Hey, she isn't the first Dem to drive off the road drunk and she didn't kill anybody, an improvement over past Dem performance.

Top. law. position. for. the. State. of. Wisconsin. drives. drunk.

Somehow it's not a problem. There are going to be a lot of non problems with Doyle and company.

Posted by: Lee on March 17, 2004 10:15 PM

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Several hundred boxes of records from former Gov. Tommy Thompson's administration were mistakenly destroyed instead of going to the Wisconsin Historical Society archives this week. Or was that "mistakenly" destroyed? I don't know whether this is additional evidence that Tommy Thompson is shifty or that all governors' records have become dangerous and must be sealed or destroyed.

http://www.madison.com/captimes/news/stories/70304.php

Posted by: Noumenon on March 17, 2004 11:44 PM

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An example, Peg Laudenschlager [sic] is - still - Wisconsin State Attorney. She drove off the road drunk enough to pass out, refused to take a breath test from a State Trooper at the crash site. What is going to happen to her? Nothing.

Posted by Lee at March 17, 2004 10:15 PM

While Lautenschlager did plead guilty to the drunk driving charge (a first offense), it's simply not true that she faced or will face no penalty. The driver's license revocation, forfeiture, and administrative sanctions are all typical for such offenses. Obviously, she will have to face the voters as well.

http://www.madison.com/archives/read.php?ref=wsj:2004:02:27:336825:FRONT

http://www.madison.com/archives/read.php?ref=tct:2004:03:11:350592:FRONT

Of course, to suggest that only Democratic politicians in Wisconsin have issues with alcohol is fanciful.

As for Jim Doyle, keep in mind that he inherited a financial disaster from Thompson and Scott McCallum, as mentioned by Joe R. early in the thread, and must deal with a Republican-dominated state legislature that is preoccupied with Base-pleasing diversions such as the dire threats posed by gay marriage and environmental regulation. Meanwhile, he promised not to raise taxes (a mistake IMO) and, apart from some stealth tax increases in which the legislature is fully complicit, has so far kept the promise.

Posted by: Tom "Go Badgers" Bozzo on March 18, 2004 05:20 AM

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Of course, to suggest that only Democratic politicians in Wisconsin have issues with alcohol is fanciful.

True. When I moved from Iowa to Wisconsin in 1992, I was amazed at how much more people drank *and* drove in Wisconsin. It was part of the culture, as I discovered when I found that the bicycle map of the state had taverns in the country marked on them.

Posted by: David W. on March 19, 2004 07:22 AM

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