Obama Is Bailing Out Detroit With Tax Dollars Via Obamacare


In a Sunday New York Times piece, Monica Davey and Abby Goodnough indicated that the Affordable Health Care Act (Obamacare) is a key component of Detroit's bankruptcy plan to bail out Democrat controlled cities and corrupt public employee unions. In other words, Barack Obama is bailing out Detroit and he's going to use American tax dollars to do it through Obamacare.

They write:

As Detroit enters the federal bankruptcy process, the city is proposing a controversial plan for paring some of the $5.7 billion it owes in retiree health costs: pushing many of those too young to qualify for Medicare out of city-run coverage and into the new insurance markets that will soon be operating under the Obama health care law.

Officials say the plan would be part of a broader effort to save Detroit tens of millions of dollars in health costs each year, a major element in a restructuring package that must be approved by a bankruptcy judge. It is being watched closely by municipal leaders around the nation, many of whom complain of mounting, unsustainable prices for the health care promised to retired city workers.

Similar proposals that could shift public sector retirees into the new insurance markets, called exchanges, are already being planned or contemplated in places like Chicago; Sheboygan County, Wis.; and Stockton, Calif. While large employers that eliminate health benefits for full-time workers can be penalized under the health care law, retirees are a different matter.

Detroit has been mishandling public funds for decades and writing checks its government cannot cash, promising high pensions, fully funded health care plans and pay raises for its employees, but unable to deliver. That is most evident in its recent claim of bankruptcy.

However, they've now found a way to put their burdensome promises on the backs of the American taxpayers….nationwide.

Is that even legal? Yes, it's legal. Is it lawful? Not if you are one that adheres to the law of God, it's not.

Kate Andrews elaborates, "Obamacare has been designed to allow blue cities like Detroit to over-spend on behalf of the public sector and then divert the cost to the American taxpayer, who has no vote or control over the city's financial decisions."

"Detroit is not the only city to propose such a controversial plan," she continues. "Other blue cities, like Chicago, have proposed similar plans to divert city-run health care coverage over to Obamacare; and more cities are likely to follow. A recent Pew Charitable Trust study discovered that 61 of the country's leading cities have made a combined promise of $126.2 billion worth of retiree health coverage to their public sector workers, yet only 6% of this cost is funded."

While both Democrats and Republicans have been crying about the escalating financial and economic burden of Obamacare, there is no doubt that piling on city debt to Obamacare will increase the costs even more.

It gets even worse. According to the Pew study:

A number of cities have allowed workers to include overtime, unused sick leave, or unused vacation time to boost or "spike" final average salary—a figure generally used to establish the level of benefits. Late-career promotions also can increase salaries just months before retirement.

Joe Estep, Charleston's finance director, tells the story of a 50-year-old police lieutenant who retired in 2009 after 24 years of service. In his final three years, the lieutenant earned enough overtime to raise his salary from a base of $49,000 to a three-year average of $78,000. The extra earnings boosted his pension from $33,000 to $53,000 a year. Given his age and life expectancy, the overtime could increase his lifetime benefit payment by $574,000.

The question I pose now to the American taxpayer is "When will you and I have enough of this?" Seriously, why should taxpayers throughout the nation have to pay for the irresponsible liberals who don't know how to manage a thing, let alone a city. Why should we be called upon to foot the bill for stupid people who put ignoramuses into office, who only continue to give them what is not rightfully theirs and make empty promises they cannot keep? Frankly, I'm thinking of contacting my state representatives and seeing if something cannot be done to bring a halt to federal taxes being taken from our checks to bailout reckless adolescent liberal utopians who are not only spending their people's money, but they are then reaching across state lines to rip us off as well.

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  • James

    James Aloia
    The american people are the biggist fools in the world. The democratic socilist party in.
    office now is in bed with the GOP party , they are the same flying under.
    differant flags and the stupid people fall for it year after year.

    they have us fighting each other constantly so we wont see what they are doing.
    poor aganst the rich blacks aganst the whites mexicans aganst us all.
    it never changes.

    No matter who you put in the country moves the same way.
    WAKE UP PEOPLE/.

  • Tatiana Covington

    Let Detroit be destroyed.

  • guest

    These unions and democrap politicians colluded on ridiculous benefits for these workers as they knew full well THEY'd be gone by the time the piper would finally have to be paid.
    The local debt loads now are too great to be ignored, so what is the solution? Fleece the taxpayers outside the city/state where the corrupt deals were originally made.

  • President Mt Dew Camacho

    I love seeing my tax dollars go to use! Remember when you visited other countries back in the day and they always mentioned how successful we are? Now we will say, the same about them, when we run ourselves into the ground by bailing everyone out of everything. Detroit has one of the highest crime rates next to Washington DC, and we are going to help them? No. Tell the smart whites and law abiding blacks to evacuate and let that place burn. That is not where any of our tax dollars need to go right now.

  • runsinquicksand

    I'm speechless.

  • G.Frazier

    All along, I've called it, "Obama Couldn't Care Less!" and I am now being proven right! I have been totally disabled (and 100% unable to return to work) since brain surgery, in 1999. I have a friend, who demands the disability income, I have is no different from welfare, being given those, who are too lazy to work.
    I disagree, because I paid FICA taxes on every dollar, earned between 1977 and my disability in 1999.

    Although it doesn't seem to be such anymore, Social Security was made as an insurance again circumstances, such as my own. So, using funds from this account to pay off the stupidity of any politician in Washington, in my view, is WRONG!!

    Obama or any member of any group (including the Senate and House of Representatives, in Washington, can call it anything they want...I see it as nothing more than someone (from either party) turning his/her eyes, as another person steals money from a cash register in a store. It's wrong and illegal!

  • vet

    Two words Flat tax!

    • graphsmith

      Flat tax means everyone, rich or poor, pays the same percentage. If I make $250,000 a year, paying in 20% leaves me $200,000 a year. If I make $25,000 a year, that leaves me $20,000 a year. Yes, the one making $250,000 pays more, but the one making $25,000 is already having trouble with the purchase of basic food, clothing and shelter and the tax will put him in definite poverty. (Currently he would probably not even pay federal tax so that he can get by without welfare). Why do you want to put this man on welfare?

    • vet

      Its 10% not 20% and we pay right now 35% what the hell are you talking about?The people under employed will pay less not more.The government needs a budget to stay with in and there was one before nixon took us off the gold standard.We need to get there spending down to what the nation has taxed not what they think it should be.

    • Roy Blizzard III

      Why don't we just end the FED. The taxes we are paying now go to continue paying interest on the bankruptcy filing of the US in the 30's. I think we've paid enough.

    • graphsmith

      Right. and they would never raise that percentage if they "needed" more money for what they want to spend it on, would they? A person making $25,000 does NOT pay 35%, at least not yet. But under a flat tax, if you did, then he would too.

    • steveintampa

      Punishing success to reward failure is not working.

  • Knife10

    "Obama will bail out Detroit"...Of course he will. Detroit is the showplace of government liberalism in America. Detroit is the socialist workers' paradise democrats want America to become...the model for our future third world ghetto society.

    • Foxwolf

      NWO

    • Knife10

      International communism.

  • Tenzin Rob Lowery Gyaltsen

    He won't bail them out. They are poor and mostly black. Barry has done nothing to help those two classes of people. Now he might use Barrymiscare to bail someone out, but it won't be the people of the motor city.

    • john4637

      There isn't enough money in the world to bail out and support the American blacks once they get a taste of other peoples money. That's why I say hold on to your guns, they will be heading for your homes next!

  • Traditionist

    Enough is enough, I hope our Congress will de-fund Obummer Care when they shut down the government.

    • Tenzin Rob Lowery Gyaltsen

      Unless "we the people" go and talk in person, and in mass to our senators and reps during their late summer vacation their will not not defund it. In addition currently they are planning on passing both immigration amnesty and a gun bill. Our elected on both sides of the isle are using their low polling numbers as a reason to side with the White House. Please make an appointment to talk to them.

  • vernonrice

    TO R. YOUNG= I HOPE YOU UNDERSTAND WHEN YOU WROTE "TAXPAYERS" AND THE "FEDERAL GOVERNMENT" THAT THEY ARE ONE IN THE SAME.

  • R.Young

    Most Marvelous idea ever! DETROIT must be bailed out one way or the other, much better if the taxpayers do it instead of the FERAL Government!

  • Nattibratti

    Every day we find out more and more of this Obamacare bull****. And we can thank Congress and the House of Rep. of being such big Chickens to put their foot down and stop Barry. If you do nothing about stoping Obamacare, then you just might lose your cushy jobs. You work for the people, we do not work for you.. And you can be voted out of your cushy jobs. One Term for all elected officials, then you get out and have to live with your rules like the rest of us have to. Then see how you like you stupid laws!!!!!!!