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Delaying Income Verification Under Obamacare Increases Fraud, Says Congresswoman

Diane Black talks to PJM: “If you can’t verify the various criteria that’s been set up by the law, how can you enact the law?"

by
Nicholas Ballasy

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July 21, 2013 - 12:17 am
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Tennessee Republican Rep. Diane Black said the Obama administration’s decision to delay the verification process for income eligibility under the healthcare law could cost taxpayers billions of dollars in fraud.

“They continue to say in that meeting today that everything’s on track, you know, it’s all ready to go, everything’s on track. If it is, why are we delaying the verification for another year?” said Black in an interview with PJ Media on Capitol Hill.

“If you can’t verify the various criteria that’s been set up by the law, how can you enact the law? So no, I don’t have a lot of confidence in much of anything that they say.”

The Washington Post has reported that the federal government “will rely more heavily on consumers’ self-reported information until 2015, when it plans to have stronger verification systems in place.”

According to the Wall Street Journal, “the result starting in October may be millions of people getting subsidies who don’t legally qualify” which would “mean huge increases in ObamaCare spending.”

They point out that currently, “21% to 25% of Earned Income Tax Credits flow to people who aren’t eligible, according to the Treasury inspector general. The same error rate for ObamaCare would amount to as much as $250 billion in improper payments in its first decade.”

Danny Werfel, acting commissioner at the Internal Revenue Service, Marilyn Tavenner, administrator at the Centers for Medicare and Medicaid Services, and Henry Chao, deputy chief information officer and deputy director of the Office of Information Services at the U.S. Department of Health and Human Services, testified before the Oversight Committee on Wednesday about information-sharing under the healthcare law.

Black still has concerns about the decision to delay verification after attending the hearing.

“Essentially, what he [Henry Chao] is saying is they would get approved and they’ll go back and try to do some verification after the fact. Well, if that’s what you’re going to do, there’s going to be a whole lot of fraud out there,” Black told PJ Media.

“Does that bring the cost of healthcare down?” she asked.

In addition, Black told PJ Media that the health law’s “data hub” raises privacy concerns for Americans.

“For the purposes of implementing and enforcing Obamacare, the Department of Health and Human Services through regulatory fiat is building this Hub, a web portal where personal information such as medical records, tax and financial information, criminal background and immigration status will be shared and transmitted between agencies, including the IRS, HHS, the Department of Justice, the Department of Homeland Security and the Social Security Administration as well as state governments,” she wrote in a USA Today op-ed.

“With so much personal information going in and out of the Hub likely privy to both government employees and contractors, many of whom will have discretion over healthcare coverage and tax penalties, the potential for abuses is staggering.”

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Top Rated Comments   
"Delaying Income Verification Under Obamacare Increases Fraud"

This is by design.

Encouraging wholesale fraud is a way to make sure a lot of people have some skin in the game at election time. If they know that the cost of losing an election means prosecution, they'll do whatever is necessary to win.

It's kind of like a gang initiation where the prospective members are made to commit a felony to prove their loyalty.
39 weeks ago
39 weeks ago Link To Comment
Fraud has been considered acceptable collateral damage and sometimes useful for this administration. Examples are found everywhere like Pigford, massive IRS refunds to one address, every welfare handout program imaginable, and on and on including but not limited to the voting booth. Another barratry is going on right now at our Treasury Department when it comes to the National Debt. Fraud on steroids wouldn’t even begin to describe the size of this blarney.
39 weeks ago
39 weeks ago Link To Comment
All Comments   (17)
All Comments   (17)
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like Nicole explained I'm blown away that a person can make $7407 in 4 weeks on the computer. did you read this site link... www.Can99.com
39 weeks ago
39 weeks ago Link To Comment
One way or another POTUS will take us over the tipping point, AKA the Socialist States lf America. One nation, under ?????
39 weeks ago
39 weeks ago Link To Comment
Barry needs to decide if he wants to leave office as Jimmah, or Ceausescu?
39 weeks ago
39 weeks ago Link To Comment
my best friend's mother makes $69/hr on the laptop. She has been without a job for eight months but last month her payment was $16559 just working on the laptop for a few hours. Read more on this web site http://www.wep6.com
39 weeks ago
39 weeks ago Link To Comment
"Tennessee Republican Rep. Diane Black said the Obama administration’s decision to delay the verification process for income eligibility under the healthcare law could cost taxpayers billions of dollars in fraud."

That's exactly why the commie's set it up that way. The process isn't designed to worry about welfare fraud, but to increase it to the point of system-wide failure.
39 weeks ago
39 weeks ago Link To Comment
Some call it fraud. Some call it economic justice, or income redistribution.
39 weeks ago
39 weeks ago Link To Comment
Delaying income verification invites fraud? Obviously, but I'm waiting for the progressives to declare that "income verification" is tantamount to "identity verification" as "racist".
39 weeks ago
39 weeks ago Link To Comment
"It's kind of like a gang initiation where the prospective members are made to commit a felony to prove their loyalty."

Same reason for the increase in welfare and disability claims. They may not have jobs, but they are paid not to have jobs, and are afraid the Republicans will stop the gravy train.
39 weeks ago
39 weeks ago Link To Comment
True, but the threat of prosecution for fraud can greatly increase the motivation beyond merely protecting their "gimme dats".

It's a big jump from taking advantage of legal freebies to having a government that encourages felonies.
39 weeks ago
39 weeks ago Link To Comment
This administration's most useful form of fraud has occurred at the ballot box.
39 weeks ago
39 weeks ago Link To Comment
Whichever system serves to most effectively dispense benefits,
is that favored by Obama and his social justice cronies;
since THEIR people will not be paying for it.
39 weeks ago
39 weeks ago Link To Comment
The fact of the matter is that a lawbreaking regime has ZERO interest in adhering to any laws, let alone re ObamaCare. Obama Inc. is a regime gone wild, and it operates not unlike Mafia Inc.

The health 'law' was set up to defraud the American taxpayers, as well as to eventually disarm them. Citizens have little idea what is hidden in the fine print, and, if they did, they would understand that NOTHING is as it seems.
ObamaCare is mostly about the following, and its essence is deeply buried within the minutia of this (un)holy nightmare - http://adinakutnicki.com/2013/02/18/obamas-march-towards-gun-control-runs-through-obamacare-via-its-definition-of-mentally-ill-commentary-by-adina-kutnicki/

Adina Kutnicki, Israel http://adinakutnicki.com/about/
39 weeks ago
39 weeks ago Link To Comment
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