A Fox News segment falsely labeled as a "bailout" a temporary system to pay health insurers money they are owed by the federal government to subsidize insurance plans in the Affordable Care Act exchanges, even though the segment itself debunked the notion.
Despite the improvements that have been made to fix some of the numerous issues with HealthCare.gov, problems with parts of the website remain. Subsidies that help make the plans offered on the exchanges more affordable are paid directly from the government to insurers, but the online system that handles these payments is not ready. Bloomberg explained that a temporary system to make these payments to insurers has been set up:
The government's original plans called for the federal system to automatically determine consumer subsidies and issue payments to insurers. Instead, the companies will submit estimates that will be "trued up" by the government at a later date, according to a CMS memo provided to Bloomberg News. The work-around for insurers will be in place until the automatic payment system is ready, though CMS has no specific date for the fix, [Centers for Medicare & Medicaid Services spokesperson Aaron] Albright said.
On December 4, America's Newsroom co-host Bill Hemmer said of the temporary payment system: "Some say it already looks like a bailout for the insurance companies. There's that B-word again." As he introduced The Washington Examiner's Byron York, Hemmer said "you could call it a bailout," which York agreed with.
But during the segment, York and co-host Martha MacCallum mentioned details that debunk Hemmer's claim that this is a bailout, noting that this is money the insurers will receive anyway and that the government and the insurers will later make sure the payments are accurate. Watch:
Daniel Durham, an executive at industry trade group America's Health Insurance Plans, explained to Reuters that "[o]nce the system is built, the government and insurers can reconcile the payments made with the plan data to 'true up' payments." CMS spokesperson Aaron Albright told Bloomberg that this temporary process "is consistent with how payments have been made to issuers in the Medicare program."
No bailout involved.
From the October 31 edition of Fox News' America's News HQ:
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Fox News' Bill Hemmer cited an unnamed report to continue the network's dishonest attacks on the Affordable Care Act by claiming that HealthCare.gov may cost taxpayers over $1 billion -- an assertion that overstated the actual cost by more than $700 million.
On the October 25 edition of Fox's America's Newsroom, host Hemmer asked whether HealthCare.gov, the website established under the Affordable Care Act (ACA) to connect Americans with health insurance exchanges, would be "the first billion-dollar website?" Hemmer then told contributor Katie Pavlich, "Government keeps throwing money after problems which shows you how government gets fat and very, very expensive," before concluding, "These people have lost their minds." The on-screen text read, "Rpt: Final Obamacare Website Costs Could Top $1 Billion."
However, as reported in a Washington Post fact-check, yesterday's congressional hearings regarding the ACA website revealed that government contracts to create the website amounted to a total value of less than $300 million. According to The Washington Post:
In the testimony, a reference was made to the fact that the TCV (total contract value) was $292 million. That is the least important number, as in effect it is like a credit card limit. What is more important is what has been already spent or obligated.
To sum up: The floor for spending on the Web site to date appears to be at least $170 million, with an upward potential of nearly $300 million.
While neither Hemmer nor Pavlich revealed the source of the report they were using to make their claims, a Media Matters search found only a Newsmax article with a similar contention. That article in turn referenced a report from Bloomberg Government. But according to Bloomberg, their study covered "all health law-related contract awards to the firms since the ACA was enacted in March 2010," not just the those related to the ACA website. That study may also be overstating the costs, considering "it assumed that most recent IT awards by the Department of Health and Human Services are ACA-related because the law's implementation has consumed an increasing share of the department's time and resources."
Fox is doubling down on misleading its viewers about the costs of the ACA -- almost literally. It was previously called out for inflating HealthCare.gov's costs to $634 million.
Fox News cut away from President Obama's speech on immigration reform while MSNBC and CNN did not. Instead of covering the president's speech, Fox chose to return to its nearly two-hour-long coverage of House Republicans' committee hearing on Healthcare.gov glitches.
While MSNBC, CNN, and Fox News all covered the beginning of President Obama's speech on immigration reform live, Fox News promptly cut away after only two minutes and forty seconds to take a commercial break before returning to its nearly-two-hour-long coverage of House Republicans' hearing on the glitches affecting Healthcare.gov. MSNBC and CNN aired the less-than-10-minute speech in its entirety.
When Fox's America's Newsroom returned from break, co-host Bill Hemmer brought the focus back to the congressional hearings, mentioning Obama's immigration speech only to theorize that it was planned to distract from the hearing "going on right down the road."
Hemmer must have forgotten that Fox frequently cuts away from remarks given by the president -- often using trivial news stories as an excuse -- when he accused Obama of attempting to distract from the House's hearing.
Fox's Bill Hemmer refused to accept a U.S. senator's correction and admonishment of the network's misreporting on the health care plans of Congress and congressional staff under the Affordable Care Act (ACA or Obamacare).
During the fight over the government shutdown and Affordable Care Act, a favorite refrain of the right-wing media and the tea party has been the line that Congress is receiving exemptions and special treatment under the ACA that normal Americans cannot obtain. This is not true -- staffers receive the same employer-sponsored health care that most employed Americans receive.
A conservative pundit repeated this myth in an October 23 segment on America's Newsroom, and when Sen. Bob Corker (R-TN) came on after a commercial break to discuss violence in Egypt, he wanted to correct the record -- but Fox host Hemmer wouldn't allow it.
Near the end of Corker's interview, Hemmer revealed that the senator was displeased with Fox's handling of the Congressional exemption story in the previous segment, saying in part, "You were listening to our program a bit earlier during the commercial break. You took strong exception to the fact that you think Congress is playing by the same rules that regular Americans are playing by when it comes to Obamacare."
Corker replied, "I think there's been a lot of misreporting and sort-of a myth around what's happening with Obamacare."
The senator then made three different attempts to tell the truth about congressional coverage.
Each time, Hemmer interrupted Corker. He parroted the myth that Congress receives special treatment and rebuked Corker's explanation with claims that people "get lost" in the facts.
Wall Street Journal editorial board member Stephen Moore altered his previous position on the effect of Obamacare on the growth of part-time jobs to push the dubious claim that health care reform will increase part-time work in the future.
On the October 23 edition of Fox News' America's News HQ, co-host Bill Hemmer interviewed Moore on the potential effects of Obamacare implementation on the growth of part-time work. When asked by Hemmer if the law has already played a role in increasing part-time work, Moore responded, "We are going to probably see that number [of part-time employment] rise next year, because that's when the Obama requirements really take effect. In January."
Moore's position, that Obamacare is not currently increasing part-time work, reverses his previous stance on the subject. Moore has played a significant role in creating and perpetuating the myth that the reform is the driving force behind increasing part-time work.
Since the beginning of 2013, the Wall Street Journal editorial board -- of which Moore is a member -- has published as least four editorials claiming that Obamacare is directly linked to the growth of part-time work at the expense of full-time employment.
Indeed, Moore has repeated these claims directly. In a July 5 WSJ Live segment on the "ObamaCare Jobs Report," co-editorial board member Mary Kissel asked Moore what was behind the rise in part-time work in the June jobs report. Moore responded, "clearly Obamacare."
Moore's decision to finally acknowledge facts that have long been noted by professional economists is a welcome change. Unfortunately, his admission came while pushing yet another unsubstantiated claim; that part-time work will increase when the employer mandate -- penalties for which were delayed until 2015 -- takes effect.
In an analysis of the effect of Obamacare on employer practices, economists Dean Baker and Helene Jorgensen noted that initial indications of an increase in part-time work resulting from Obamacare would have materialized by January 2013, "since under the original law employment in 2013 would serve as the basis for assessing penalties in 2014." Jorgensen and Baker conclude by noting that that in the first few months of 2013, before the mandate was delayed on July 2, "employers [did] not appear to be changing hours in large numbers in response to the sanctions in the ACA." If this evidence has any implications for the future, there will be no part-time work shift as a result of Obamacare, as Moore suggests.
Indeed, after previously suggesting that the law may cause part-time job growth, Mark Zandi, chief economist of Moody's Analytics, said recently of the part-time work claim: "I don't see it in the data."
From the October 22 edition of Fox News' America's News HQ:
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Right-wing media figures have repeatedly criticized Obama administration officials for claiming that the U.S. will default if the debt ceiling is not raised by October 17, instead claiming the U.S. could prioritize payments to bondholders as a way to avoid default. But economists note that the threat of default is real and that the prioritization alternative proposed by Republicans is not a long-term solution.
From the October 3 edition of Fox News' America's Newsroom:
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Fox Business host Melissa Francis erroneously claimed that previous government shutdowns in the 1990s did not harm the economy, a notion that is in direct opposition to economic evidence.
On the October 1 edition of Fox News' America's News HQ, host Bill Hemmer discussed the ongoing government shutdown with Francis. During the discussion, Francis chided President Obama for claiming that previous shutdowns in the 1990s harmed the economy, claiming that data show "that wasn't the case."
Francis' argument rested upon the fact that over earlier shutdowns, GDP growth remained relatively strong and stabilized at levels above pre-shutdown rates. The Daily Caller presented a similar argument in an article on September 29, claiming the "economy boomed" during previous shutdowns.
While Francis is correct that growth remained strong over the 1995 and 1996 shutdowns, this doesn't answer the question of what growth would have been like in absence of a shutdown.
According to Joel Prakken, senior managing director at Macroeconomic Advisers, those shutdowns shaved 0.25 percentage points off GDP growth for the end of 1995, mostly due to federal employee furloughs. Furthermore, the Office of Management and Budget estimated that the total cost to the federal government from those shutdowns at more than $2 billion in today's dollars.
While Francis is quick to dismiss that economic growth would be affected in the current shutdown, independent analysis shows this is not the case. According to Bloomberg:
Mark Zandi of Moody's Analytics Inc. estimates a three-to-four week shutdown would cut growth by 1.4 points. Zandi projects a 2.5 percent annualized pace of fourth-quarter growth without a shutdown. A two-week shutdown starting Oct. 1 could cut growth by 0.3 percentage point to a 2.3 percent rate, according to St. Louis-based Macroeconomic Advisers LLC.
Fox News expressed outrage after President Obama, in a speech supporting the Affordable Care Act, pointed out that viewers watching Fox were likely to think the health care law is "horrible." On the Septmber 27 edition of America's Newsroom, co-host Bill Hemmer complained about the president's speech, absurdly asking, "What has been reported on Fox News Channel that is not accurate?"
Below is a small sample of the misinformation and outright lies that Fox has directed toward the Affordable Care Act:
From the September 27 edition of Premiere Radio Networks' The Rush Limbaugh Show:
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Fox News hyped a misleading Wall Street Journal article that claimed young adults will face higher insurance premiums under the Affordable Care Act (ACA) without disclosing that only a small portion of the health care market would be affected
A September 25 article in The Wall Street Journal claimed that "for some buyers, prices will rise from today's less-comprehensive policies," and went on to say that "For consumers used to skimpier plans--or young, healthy people who previously enjoyed attractive rates--that could mean significantly higher premiums." Fox News host Neil Cavuto hyped the article during an appearance on America's Newsroom, claiming, "premiums are going up, they're going up markedly...for young people in particular, the means by which we pay for all of this, their premiums are going up smartly":
Both the Journal and Fox's segment ignored that the potential premium increase is for a very small subset of the insurance market. The Center for American Progress estimated that "only about 3 percent" of young adults have the potential to see premium increases, which makes up about half of one percent of all Americans:
Fox News personalities have claimed that Muslims are refusing to speak out against the deadly terror attack on a Kenyan shopping mall, despite the fact that Muslim leaders in the United States and in Kenya have condemned the attack as "heinous" and an "outrageous act of violence" that is against the teachings of Islam.
From the September 20 edition of Fox News' America's Newsroom:
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