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Five bright spots surrounding the Obamacare exchange failures

By   /   May 27, 2014  /   No Comments

Part 95 of 97 in the series Obamacare

By Bre Payton and Andrew Collins | Watchdog.org

As state-based Obamacare exchanges continue to fail, conservative pundits and politicos gripe about the failures of big government and the wasteful spending involved in the online insurance portals.

At Watchdog.org, the cup is always half full of yummy Kool-aid, so here are five bright spots surrounding the Obamacare exchange failures.

1. Sure, Oregon’s exchange failed spectacularly, but at least we got these catchy hipster jingles out of the deal.

The ads cost taxpayers about $2.9 million and garnered roughly 225,000 views on Youtube.


The cost of these ads wasn’t the only expense Oregon stuck to taxpayers. The state racked up a $305 million tab to build a dysfunctional site that didn’t sign up a single soul until officials introduced a hybrid enrollment operation.

Recently, the state decided to throw in the towel and force its enrollees to use the notoriously glitchy federal exchange site, Healthcare.gov.

2. Talk about shovel-ready: $474 million in exchange stimulus

Failed exchanges in Massachusetts, Oregon, Nevada and Maryland have cost almost half a billion in federal tax dollars.  But, like the massive stimulus of 2009, the money for failed exchanges created some high-paying temporary jobs.


3.Of the 24 states that adopted their own exchanges or partnered with the feds, only four have flopped — an 83 percent success rate isn’t bad, right?

Not bad on a school paper, except even where the exchanges are functioning properly, Obamacare still isn’t helping many of the uninsured, as 74 percent of enrollees already had insurance.

Previously uninsured enrollees aren’t paying up either. A study shows that only 22 percent of them have paid premiums, while 83 percent of those who were already insured have paid.

4. Some federal bureaucrats are about to get Hawaiian vacations!

Hawaii’s health care exchange will be the next to fall, predicts Josh Archambault, a senior analyst with the Foundation for Government Accountability. “The Hawaii exchange has the highest cost per enrollee in the entire country and the future of the exchange is extremely uncertain,” he told Watchdog.org.

5. Massachusetts will rise from the ashes and create double the jobs

Once called the model for Obamacare, the Masschusetts exchange, which predates all other online marketplaces, is set to fail within the next year or so. After pumping in more than $500 million into the project, including $170 million in federal dollars, officials are scrapping the old framework to build a new one.

Officials, meanwhile, are preparing to plug in to HealthCare.gov as a backup plan in case things go awry with the new system. Pursuing both options will cost at least another $120 million, a number that Politico said could be cut in half if the state simply signed on with the federal system.

At least Massachusetts is creating double the jobs, right? Thanks, taxpayers!

Archambault warned that is is unlikely that the new contractor can get it rolling in five months, when open insurance enrollment begins again, considering the previous contractor, CGI, needed more than 3 years to set up the failed site.

Contact Bre Payton at Bre@WatchdogVirginia.org and Andrew Collins at Andrew.Collins@FranklinCenterHQ.org

Part of 97 in the series Obamacare
  1. Obamacare compliance means less money for TN service agencies
  2. The mystery of Obamacare spending in Arkansas
  3. Obamacare raises questions for MD small business owners
  4. Kansas official on Obamacare: ‘Let someone else be the guinea pig’
  5. Obamacare insurance marketplace has plenty of kinks on first day
  6. OR’s Obamacare insurance marketplace hits technological snag
  7. Fail: Day 1 of the New Mexico Obamacare rollout
  8. Senator asks: Do you want this dysfunctional government taking over health care?
  9. Jobs, coverage at risk with Obamacare, MN union health official says
  10. Oregon’s Obamacare ads resemble middle school art
  11. VIDEO: Obamacare vs Affordable Care Act: Comedy triumphs in court of confusion
  12. Patience is key to navigating Illinois’ Obamacare marketplace
  13. Hawaii residents, lawmakers frustrated with health connector glitches
  14. Healthy young, key to Obamacare, aren’t buying it
  15. NM’s health exchange tries to lure ‘young invincibles’
  16. Obama drama: Senator blames governor for big rate hikes
  17. Progressive group navigates Oregon students through Obamacare
  18. Maddening: Trying to log onto federal health care site
  19. You know that one guy who successfully signed up for Obamacare? He didn’t
  20. What’s wrong? It’s been a week, and Obamacare website still not working
  21. HHS Secretary Sebelius back in FL after embarrassing Obamacare rollout
  22. Health centers enroll Floridians in Obamacare as application problems persist
  23. VIDEO: Stewart skewers Sebelius on Obamacare
  24. Obamacare effect? 9 companies exit Nebraska’s health insurance market
  25. Obamacare: Children of undocumented parents face an uncertain future
  26. Which way do we go? Obamacare navigator registration in TN in question
  27. NM health exchange tries to ease problems with Obamacare website
  28. CPA says hype over Obamacare small business tax credit is misleading
  29. Obamacare navigator under fire for arrest warrant
  30. Reports of Obamacare fraud emerge in Tennessee
  31. After two weeks, FL online Obamacare enrollees are hard to find
  32. Illinois state governor touts 100K Obamacare enrollees, all in Medicaid
  33. Kansas lawmaker calls for crackdown on Obamacare navigators
  34. WI health care exchange seeing few getting through
  35. Hawaii’s Obamacare exchange relaunches with more glitches
  36. We’ll know next month how many people in NM signed up for Obamacare — maybe
  37. Zero: Number of Nebraskans Obamacare navigators have signed up
  38. It took this Delaware woman 11 days to sign up for Obamacare – and she was the first
  39. How many people have signed up for health insurance in VA? Who knows?
  40. What else? NM federal health exchange ads stalled due to website problems
  41. Blue Cross hires temp workers to deal with Obamacare glitches
  42. If Obamacare is the next Medicare, will physicians leave en masse?
  43. Three problems that won’t be solved by fixing the Obamacare exchange glitches
  44. Plenty of Oregonians interested in Obamacare, but none can enroll online
  45. Criticize this: Obamacare premiums a near match to WI disclosures
  46. Report: Missourians will see sharp rise in premiums under Obamacare
  47. Kansas navigators say they’ve enrolled no one in Obamacare
  48. Obamacare too costly for rich Coloradans, Democrat congressman says
  49. Study: Kansas premiums to spike following Obamacare rollout
  50. Hang on to your candy: Creepy Uncle Sam is back
  51. Obamacare or bust: NM Watchdog turned back again
  52. Medical journals, experts refute claim that Medicaid cuts ER use
  53. Arkansas spends $4M on Obamacare ads, wants more
  54. LOL: In July video, HHS bragged about being ‘on schedule’ with Obamacare
  55. Illinois uses Day of the Dead to market Obamacare
  56. Sebelius denies GOP’s Terry ‘unreliable’ Obamacare info
  57. About 290,000 Washington residents lose health insurance plans
  58. Broken promise: Obamacare cancels almost 20,000 Kansas health care plans
  59. Top hospitals opt out of Obamacare
  60. Obamacare moves to intensive care
  61. Obamacare provision could lead to more Medicaid fraud
  62. Obamacare: Religious groups want to ‘move mountains’
  63. Obamacare hitting Wisconsin residents with double whammy
  64. Kansas AG: Obamacare threatens consumer privacy
  65. 1,500 in New Mexico have to move out of the high-risk insurance pool
  66. Cover Oregon website fiasco creates jobs, but costs millions
  67. For Florida’s Obamacare small business exchange, it’s crunch time
  68. Only 877 Wisconsinites have signed up for Obamacare, federal report says
  69. Just 172 in NM have completed Obamacare applications: ‘Woefully inadequate,’ says NMIX board member
  70. With only 346 Oklahomans signed up, leaders decry ‘Obamacare debacle’
  71. Defying Obamacare: ‘Send them the bill,’ NM insurance official says
  72. Kansas Obamacare enrollment dwarfed by nearly 20,000 cancellations
  73. Numbers don’t lie: In Illinois, Obamacare means Medicaid
  74. Wisconsin governor proposes insurance plan to address Obamacare rollout failure
  75. Tennesseans might know Tuesday if they can keep canceled health insurance
  76. People demand answers over Oregon’s Obamacare fail
  77. Calif. says ‘no’ to Obamacare freebies, makes own law
  78. HI health exchange violates federal law, League of Women Voters say
  79. Obamacare video winner: ‘Forget about the price tag’
  80. Harvard study finds ‘striking’ rejection of Obamacare by young Americans
  81. HI health exchange has signed up 574 people, for about $348,000 apiece
  82. Are the uninsured getting Obamacare coverage in Illinois?
  83. Secret Obamacare handbook the feds don’t want you to see is online
  84. Lost in translation: Once-supportive Hispanics turning backs on Obama, ACA
  85. HI Obamacare exchange not fiscally sustainable, lawmakers told
  86. Illinois’ latest Obamacare targets: gold diggers and momma’s boys
  87. Now Democrats are bashing California’s Obamacare exchange, too
  88. Obamacare: For $1.37M we get Richard Simmons in lurid web stream
  89. Obamacare: A welcome mat for IRS horrors
  90. California senator seeks audit of state Obamacare exchange
  91. Report: Hawaii ranks worst for Obamacare signups
  92. CA senator sues Obamacare exchange for causing policy cancellations of 1M
  93. Failure of Maryland Obamacare exchange could mean higher premiums in North Dakota
  94. Video: Watch Creepy Uncle Sam make it rain
  95. Five bright spots surrounding the Obamacare exchange failures
  96. Obamacare architect admitted in 2012 states without exchanges lose subsidies
  97. Architects of Richard Simmons Obamacare dance-off rehired in $156M PR campaign


Bre formerly served as staff reporter for Watchdog.org.og.org