Author: Ken Coman
•10:20 AM
I attended a webinar yesterday called "Health Reform 2009: Watershed or Waterloo?" It was put on by my broker and after sitting through it, my heart was broken. As a result, I was moved to a state of heightened concern and anxiety for the welfare of my nation. I will share why.

There are a few laws that simply cannot be argued with.

1. You need money to buy things
2. Money has to come from somewhere
3. There isn't an infinite amount of valuable money (See footnote 10)

Knowing how our Congress & President are in a hurry to pass major health care reform because of this new "Crisis," it seems that "reform" is inevitable. For some time now they have been selling the country this line:

1. Millions of poor & uninsured
2. Increasing costs
3. The government will give us the same health care that the President has

They use these three things as a premise to give them authority to step in and reform our system (See footnote 1). The word "reform" itself implies that the system has been in some criminal state and needs to be brought in line with higher norms and standards. I will admit that there are certainly some problems with health care - every American can. But, there are many pricing problems in America (I think the iPhone is too expensive for example. Everything Apple is too expensive for that matter) and we do not want or hope that the government will get involved. It isn't their role - they have no authority, implied or explicit, for price controls.

Here are the facts:

1. Millions of Poor & Uninsured

Of the 46 million uninsured Americans (15%) total (2007 numbers),
• 12 million eligible but not enrolled in Medicaid or SCHIP.
• 8.5 million have household incomes over $50,000.
• 9 million have household incomes over $75,000.
• 9.7 million non-citizens (including 6 million undocumented aliens).
• 8 million college-aged young adults (4.7 million are students).

(See footnote 2)

So, those that we should really be worried about are not those who are eligible but who choose not to enroll, those who make over $75,000 annually but choose not to purchase, or the undocumented aliens (I want them to have insurance but a government entitlement should be available only for legal residents within that government's jurisdiction). Those we should worry about are the 8 million poor college students and the 8.5 million with an income above $50,000 and below $75,000.

16.5 million is a lot less than 46.5 million. Half of these could be fixed by a federal mandate requiring parents to keep their children on their health insurance while in college or up to a certain age. The other half could be addressed by changing the requirements for medicaid. Woo-la. Health care is reformed.

2. Increasing Costs

Regarding rising costs, the facts are what they are. Costs are going up (See footnote 3).

3. The government Will Give us the Same Health Care That the President Has

The insurance that the government will offer Americans is not the same plan that they have. Certainly that was one of the parts of Senator Obama's message while running for president (See footnote 1). However, that was his plan. Congress will formulate their plan and that is the one that we will have to deal with. The main thrust on capital hill is not to give us the same plan as the President and Congress have but it is to create a National Health Plan - Universal coverage - a single payer system.

I know that sounds nice but it isn't. As the benefits manager within a worldwide organization, I can tell you from experience that OUR health care system is the envy of the world (and the world does include Canada & Europe). People are legitimately sad to see our country taking the direction it is with health care. They know that it will downgrade the quality of care - not improve it (See footnote 4). The fact of the matter is that it will downgrade care and create a rationing of care system. It is a fact. I will explain in a moment why.

For these downgrades, the President gave an estimate of $1.6 trillion dollars. I guess only with government will we pay more for less. If this were an accurate forecast of the expected cost, it would perhaps be the first time in government history that it were. Things always cost more - always - than what our elected officials tell us.

For example, here is the Massachusetts experience (See footnote 5):
Budgeted $460 million for 2007
Forced to budget $870 million for 2009

Medicare Projections (See footnote 5):
$3 billion/yr in 1965, est. $12 billion by 1990
Actual 1990 cost: $107 billion
Actual 2008 cost: $430 billion

The Iraq War:
Forecasted at $50 Billion, it could top $2 Trillion (See footnote 6)

Here are some more figures:

This year's Debt: $1.8 Trillion
National Debt: Officially more than $11 Trillion. That is a whopping 13% of GDP (Economists say a nation can sustain about 3%. Annually alone, ours is at 4% - see footnote 7)
Medicare: Has not balanced its budget in more than 20 years…currently has a $38 trillion
unfunded liability. Medicare has stated it will go bankrupt by 2017. Some projections are as high as $68 Trillion in unfunded liabilities. (See footnote 8)
Social Security:
  • $96 billion negative cash flow by 2020
  • $280 billion negative cash flow by 2025
  • $500 billion negative cash flow by 2030
I am not making this stuff up either (See footnote 5 or the banner at the top of this page).

If the President's projection is twice as accurate as Medicare’s projection, and only misses the mark by a factor of 5… The $1.6 trillion becomes $8 trillion over 10 years…60% as large as our current national debt.

Where will it all come from? We go back to our rules:

1. You need money to buy things
2. Money has to come from somewhere
3. There isn't an infinite amount of valuable money (see footnote 10)

The simple truth is we are heading into a future of total financial destruction. That is the direction this road we are on is heading. There isn't some magical pot of gold at the end of this storm - because there is no rainbow.
You can see that this plan for health care reform reveals that much more government reform is needed before we can even begin to allow the government to reform health care.

And, after Congress' mad rush to pass this "critical" legislation for all 9 million people who need it, we will be forced, just a few years from now, to make cuts & to ration care for the whole nation. Why? Because of those rules. President Obama says that health care costs are the biggest threat to the long term financial security of the nation (See footnote 9). I say that health care reform is the biggest threat the financial security of the nation. You can't have everything you want with a fixed amount of resources and the government will be in a much sadder, much worse state than it is now. Someone with no credit and no money can't buy a thing. A whole nation with no credit and almost no money won't be able to either. This doesn't take into consideration the rampant inflation forecasted as a result of our bailouts either... We can have press releases and great speeches about the nirvana of health care reform, but, simply put, the numbers don't add up. When you add trillions of negatives to trillions of negatives to even more trillions of negatives, you get tens of trillions of negatives. When we finally are brought to account for that, no clever Enron financial reporting will be able to hide the black hole we have created. That press conference will be a terrible day.

Seeing these numbers and knowing what it certainly spells out for our future makes me almost cry out, "Who is doing this to us?! Can't they see that this is only going to leave all Americans stranded down the road? Can't they see that this is going to literally destroy the country we love?!"

This is so irresponsible. This is reckless. This kind of rash and foolish fiscal policy will lead to a true crisis & oppression of the greatest kind.
This should cause anxiety in every freedom loving American. I hope my cries become your cries as well - and that together, we can keep this catastrophe from occurring.

What is the future? On our present road it is to complete financial insolvency. Is there any other future than one of ruin? Not on this road.

How I love you America! What have your caretakers done to you?
___________________________________________________

Footnotes

1. You can hear Senator Obama discussing these issues in the town hall presidential debate last year here: http://www.youtube.com/watch?v=-f2_p-fd2D4.
2. These figures can be found from the Federal Government at http://www.census.gov/prod/2008pubs/p60-235.pdf
3. You can read more of this here: http://www.nchc.org/facts/cost.shtml at the National Coalition on Health Care.
4. Besides my own personal interactions with my colleagues in Canada and Europe, here is a great clip of several interviews worth watching: http://www.youtube.com/watch?v=BbHh86HkBhk.
5. Health Reform 2009: Watershed or Waterloo? A Lockton Benefit Group Webcast
7. To see a graphically our national debt, click here: http://www.cnbc.com/id/30108264/?slide=12. To learn more about the amount of deficit we can sustain, listen to the podcast here: http://dateline.radioamerica.org/archives/1879
10. The government can certainly print up a near infinite amount of money, but there is a point beyond which the money does not have any more value. There is not an infinite supply of money with value.
Author: Ken Coman
•9:54 AM
I believe in freedom and in its boundaries. When another person's freedom infringes on the freedom and rights of others, they have exercised their freedom in an unjust fashion. Such an exercise becomes a crime.

Regarding the boundaries of free exercise, I would like you to consider part of the original draft of the Bill of Rights for Pennsylvania's first Constitution. In that first draft it read:

"An enormous proportion of property vested in a few individuals is dangerous to the rights, and destructive of the common happiness, of mankind; and therefore every free state hath a right by its laws to discourage the possession of such property."

Is that true? Does the holding of an enormous proportion of property vested in a few individuals create a danger and destroy the common happiness of mankind? This isn't a question you should answer with your knee jerk as you may be inclined to do.

As I look in my minds eye at the vast expanse of humanity around the world, and knowing that the majority of wealth is owned by a minority of the earth's population, and knowing that wars are generally waged over wealth (i.e., gold, land, resources) and to get more of it either because the poor don't have it or the rich want more of it, and whereas wars cause so much misery to the people involved, and knowing that the lack of opportunities afforded to so many around the world is a factor in crime, social ills, disease and death, I can see the danger and destruction that the incredibly disproportionate distribution of wealth can create.

Does therefore the endless accumulation of wealth infringe on the rights of others? It may. It may cause people to be pressed into war who have no true interest in it. It may push others into poverty. It may keep people from basic services. It may cause so many of the ills we see and hear around us and in our world.

The endless accumulation of wealth was never meant to be the American Dream as so many think it is. The American Dream was about Freedom, Liberty, Justice, & the protection of Natural Rights. Let us never forget what our country was and should be really about - Liberty & Justice for all. We as a Nation have never been perfect at that but we have gotten better as we have looked to our foundation - the principles the founders aspired to. That foundation has continued to transform the way we have built & changed our society since 1776.

May Liberty and Justice for all continue to form how we look at the true American Dream versus the fraud so that our American home, and therefore our world home, can be one of freedom, justice and protection of natural rights for all mankind. And may each one of us consider again the question "Does the holding of an enormous proportion of property vested in a few individuals create a danger and destroy the common happiness of mankind?" and then live and act accordingly.
Author: Ken Coman
•9:22 PM
Thus penned Thomas Jefferson in the Declaration of Independence and unanimously signed by the Continental Congress in 1776. These are the words that have transformed history, nations, kingdoms and our whole world. Prior to this, there was not a governor on the earth who believed, together with his people, that he received his power from the governed. Power to governwas a right – divinely bestowed and often ruthlessly used on the ruling family’s subjects.

Jefferson and the other members of Congress recognized that government was to be the servant of the people and not the other way around. They recognized therefore that the government could only possess those powers that the people were willing and able to bestow upon it.

The powers the people willfully bestowed were the powers to make laws for a just society, enforce those laws for peace and tranquility and defend the people from insurrections within and wars from without. These were powers the people themselves possessed. They possessed the ability to defend themselves, their families and their property and together with others to establish laws with consequences whereby there might be civil and peaceful living, interactions and transactions. These truths were held to be self evident.

The signers recognized that it was not possible for the people to give to the government powers that they themselves did not possess as individuals. A group of individuals cannot possess any more rights to act than an individual within that group could by themselves. Not all of the things government does presently could an individual do by themselves in the absence of government. For example, do I have the right, self evident or otherwise, to force my neighbor to go to church on my day of worship? The answer is as obvious to us today as it was to the pilgrims who landed on Plymouth Rock – the right to worship God or not toworship God was their choice and privilege but it was not something that could in any way be compelled upon another even if the whole society would benefit from good, moral teachings that all religions provide.

Do I have the right take from my neighbor any money? The answer if obvious there as well. I have the right to ask and they have the right to give but no one possesses the right, even in dire situations, to rob their neighbor and not be punished by the law.

We hold these truths to be self evident… and a violation of these truths is a violation of natural law and our natural rights as part of the human family.

Even well intentioned practices by, at best, a well intentioned government infringing upon the rights of its citizens is unjust and immoral and completely contra the principles of these United States. The well wish of universal healthcare provided by the government is benevolent in thought but unlawful and immoral in deed as are the practices of government welfare in almost all shapes and forms when it is done by compulsion. I don’t have the power to take anything from you to help pay for my neighbors healthcare. I don’t – and there is no way around it. There is no philosophy, no dogma, no doctrine that justifies robbing from those who have to give to those that have not – for whatever the reason. I have the right to ask you, but if I demand it and take it regardless of your will, I am breaking the law – not just U.S. Code, but natural and self evident law.

It is so obvious it is almost unbelievable.

Rather than push for more unlawful, well intentioned welfare, we should strive to have government relinquish these self proclaimed powers and have individuals love their neighbor and out of the benevolence of their own hearts, give to those in need, succor the weary, clothe the naked and feed the hungry. The government can only derive its powers from those it governs and “We the People” don’t possess the power to take away by force from anyone – but especially the good, law-abiding citizens of our nation just the same as “I a Person” don’t. Caring for those in need is one of the greatest works we could ever engage in. It doesn’t come from a government office – it comes from family caring for family, frined caring for friend, churches caring for their members and neighbors caring for one another.

It comes down to agency - the proper use of our liberty - and the usurption of this power by the government (although well intentioned) limits our ability to do what only we can do and fails to truly meet the needs of those who so badly need us.