Critics find much to fault in Obama budget

Feb 15 2012

Republicans say the budget doesn't do enough to restrain entitlement spending. Health care industry groups, meanwhile, call proposed payment cuts unfair and unworkable.

The Wall Street Journal: Obama Seeks New Taxes On Rich
[Mitt] Romney issued a statement Monday criticizing the president's budget for not taking "any meaningful steps toward solving our entitlement crisis." Congressional Republicans also criticized Mr. Obama for offering no new proposals to reform Medicare, Medicaid or Social Security, which are expanding rapidly as Americans age and health costs climb (Lee and Paletta, 2/14).

USA Today: Obama's Budget Proposal Draws Fire, Praise In Congress
Republicans plan to put forward specific plans to rein in the debt and reform entitlement programs, but that path is riddled with political land mines. Last year, Ryan included in the House-passed budget a plan to phase Medicare in to a premium support system that Democrats are keen to use against Republicans in congressional races this November. Ryan signaled Monday that Republicans would not back away from offering specific policy positions on entitlements (Davis, 2/14).

National Journal: Romney Highlights Social Security, Medicare In Budget Critique
In what is likely to become a recurring campaign theme, Mitt Romney on Monday focused on Medicare and Social Security in his harsh critique of President Obama's fiscal 2013 budget proposal, saying the blueprint "had nothing to say about making sure those programs are solvent and permanent"  (Boxer, 2/13).

NPR: What Would The GOP Candidates Do With The Federal Budget? A Look At Their Plans
Veterans benefits, Medicare, food stamps, education funding -; you name it -; it would probably have to be cut, says [the Center on Budget and Policy Priorities' Paul] Van de Water. "I don't see how non-defense cuts of this magnitude could possibly be achieved" (Keith, 2/14).

Modern Healthcare: Obama Budget Brings Quick, Critical Response From Industry
Healthcare industry groups were quick to criticize the Obama administration's fiscal 2013 budget, referring to the plan as both shortsighted and unfair to providers. ... Tom Nickels, senior vice president of federal relations at the American Hospital Association, said providers, who already are dealing with payment cuts through regulatory and legislative changes, must also face nearly $130 billion in cuts over 10 years when sequestration kicks in next year (Zigmond and Daly, 2/13).

Kaiser Health News: Health Budget Battle Redux 
Of course, health care providers never like payment cuts, and some said Monday that they understood that Obama has to take steps to reduce the federal deficit. But they may be especially nervous this year because of what awaits them in January unless Congress steps in: the automatic 2 percent Medicare payment cut for providers, triggered by the super committee's lack of action (Carey, 2/13).

Modern Healthcare: Association Condemns Critical-Access Cuts
The Obama administration's proposed Medicare cuts of $2 billion over 10 years to critical-access hospitals were criticized by the National Rural Health Association as being unrealistic and not easily workable. The president's proposed budget for 2013 includes the suggestion to reduce critical-access hospitals' Medicare reimbursement to 100% of reasonable costs from its current 101% of costs, and to prohibit critical-access hospital designation for facilities within 10 miles from the nearest rural hospitals (Barr, 2/13).

CQ HealthBeat: Health Stakeholders Slam Cutbacks In President's Proposed HHS Budget
Advocates of preventive health and medical research raised strong objections Monday to President Obama's proposed budget for the Department of Health and Human Services, as did providers ... the plan would cut Medicaid and Medicare providers' payments over the next 10 years, trim the Centers for Disease Control and Prevention budget and freeze spending the National Institutes of Health (Norman, 2/13).

National Journal: Obama's Budget Finally Pleases AIDS Activists
President Obama may finally be living up to the expectations of AIDS activists, who had long hoped the first African-American president might pay close attention to the HIV epidemic. The president's 2013 budget request includes an increase of $58 million to the Centers for Disease Control and Prevention for AIDS, as well as $10 million for hard-hit urban areas and $88 million more for care and treatment under the Ryan White program (Fox, 2/13).