Category Archives: Health care

GAO concludes that Andy Griffith Medicare ads are not propoganda

A followup to my Sept. 23 post on the Department of Health and Human Services television spots with Andy Griffith touting Medicare and health reform:

Under federal law (Financial Services and General Government Appropriations Act, 2010, Pub. L. No. 111-117, § 720, 123 Stat. 3034, 3159, 3210), federal agencies may not use funds for publicity or propaganda. In response to a query from Republican House members Darrell Issa and Dave Camp, the U.S. Government Accountability Office rendered a legal opinion on October 19 concluding that:

“The television advertisements did not violate the prohibition because they clearly identified their source, were not self-aggrandizing, and were not a purely partisan activity. We note, however, that two of the advertisements overstate one of PPACA’s benefits when they state that beneficiaries will “have [their] guaranteed benefits.” Although beneficiaries who participate in Medicare Advantage are guaranteed original Medicare benefits, the other benefits offered by Medicare Advantage plans could change at a plan’s discretion.”

The benefits of many Medicare Advantage plans will be reduced as a result of reimbursement cuts under the health reform law.  The ads are deceptive on that and other dimensions.

Based on prior cases, the GAO noted that agency communications “are considered purely partisan in nature if they are completely devoid of any connection with official functions and completely political in nature.”  Thus, it apparently is legal for government agencies to propagandize politically at taxpayer expense as long as the communication includes some information that is not political and bears some connection to official functions.

Andy Griffith and taxpayer funding of partisan political ads

Despite protests in August by a number of GOP senators, the television commercial with Andy Griffith touting how great the healthcare reform law is for Medicare enrollees is being run with increasing frequency as the November elections approach, including on the Fox New Network.   Mr. Griffith smiles a lot while describing some new Medicare goodies.  He does not mention the half billion dollars of projected cuts in Medicare spending over 10 years under the new law, including the reimbursement squeeze on private Medicare Advantage plans, which are disproportionately purchased by seniors of relatively modest means.  He also is silent about the Independent Payment Advisory Commission empowered to promulgate additional cuts in spending, the ability of enrollees in traditional Medicare to be assigned to physican/hospital Accountable Care Organizations, or Medicare’s continuing (albeit lower) $25 trillion unfunded liability.

This political ad is funded by the Centers for Medicare & Medicaid Services (in the Department of Health and Human Services).  Thus, a massive federal agency overseen by the President and his controversial and unconfirmed appointee, Donald Berwick, is using taxpayer dollars to sell healthcare reform to seniors before the November election.  While this might be unsurprising in this administration and legal, it’s poor form if not an outright abuse of power.  The creators also assume that seniors are a pretty dull lot.