The following is a guest post by Joseph Hall.
Alinsky Pseudo-Group Takes Up Health Insurance Hobby
Apparently, ObamaCare allows the formation of small co-op insurance companies to compete with private insurance companies. In another brazen display of Crony Capitalism, the Obama administration has awarded $56.4 million grant to Common Ground Healthcare Cooperative of Wisconsin. The new provider will open for business in 2014. Eventually, each state will operate a co-op health insurance plan to offer health benefits at competitive prices. The total cost to establish these non profit health care insurers in all 50 states will likely exceed $100 billion.
According to an article from TMCnet.com, “Federal loans to fund nonprofit health insurer” the grant is actually a 15 year loan. The article reveals,
“The money is part of $3.8 billion included in federal health care reform to help start nonprofit health insurers, similar to cooperatives, to compete in the market for individuals and small businesses.
“We’ve got to try something new,” said Robert Connolly, a small-business owner and president of the board of the Common Ground Healthcare Cooperative.
These provisional insurance providers are at best successful business executives that have been tasked to try something new. Nice business vision statement. Try using that as rationale at the business loan section of any bank. I’m sure Solyndra had similar business aspirations, but to no avail.
Additionally, the same article explains,
“Common Ground, which also includes some unions and a few small businesses, is the Milwaukee affiliate of the Industrial Areas Foundation, founded in 1940 by Saul Alinsky, a famed community organizer and author of “Rules for Radicals.” The organization, based in Chicago, bills itself as the oldest and largest community organizing network.
But the group also has worked with Quarles & Brady, one of the state’s largest law firms; Milliman Inc., a national consulting and actuarial firm; and the Benefits Services Group, a benefits consultant and broker in Pewaukee, to start the Common Ground Healthcare Cooperative.
Fox News questions the sanity of such a venture in which the operators are mere rookies in a complex business. These health insurance co-ops are fledgling operations, trying to undermine reputable private insurance providers.
In a Fox News report, “Alinsky-tied group awarded $56 million federal loan for health insurance project,” the questioning continues,
“But Americans for Limited Government President Bill Wilson questioned the group’s credentials — given its affiliation and lack of experience in the insurance field.
“The indisputable fact is that Common Ground was an outgrowth of the Alinsky operation in Chicago,” Wilson said. “We’re not giving money to a group with experience in health care issues or in setting up exchanges. … We’re handing the money to people who have been trained by arguably the single most expert individual on community organizing in the last 100 years.”
It appears that the same rubric for business funding that the Department of Energy used to fund Solyndra has been replicated once again. The major difference is the money is being distributed to companies that do not exist.
Call your senator and demand a repeal of ObamaCare so rookies do not Solynderize our health care. Let’s demand economic accountability at the federal government level.
Submitted by: Joseph Hall, Daymar Institute, Health Care, Law, General Studies
Update: Lady Liberty linked – thanks!