House Budget Committee Chairman Jodey Arrington (R-Texas) has issued a statement following the release of a Government Accountability Office (GAO) report that highlights widespread fraud in the premium tax credit program under the Affordable Care Act, commonly known as Obamacare.
Arrington said, "A bombshell GAO report has exposed the rampant fraud plaguing Democrats’ expanded Obamacare subsidies, which have effectively no eligibility checks, anti-fraud controls, or other basic program integrity measures in place, resulting in billions of wasted tax dollars and increased health care costs."
He further stated, "The details are shocking. There were tens of thousands of cases where fraudsters used phony information, no information, or duplicative information to siphon federal resources from these COVID-era, expanded Obamacare subsidies."
Arrington criticized the design and oversight of the subsidy program: "It was Democrats who created this shoddy subsidy program with no financial controls, no income cap, and no guardrails against the most blatant fraud, including the approval of subsidies for thousands of dead people."
He also referenced past legislative disputes: "It was Democrats who shut the government down for a record 43 days with the demand of making this program permanent at a cost to taxpayers of over $400 billion."
Arrington concluded his statement by rejecting calls to extend these subsidies: "Now, Democrats have the audacity to demand Republicans extend these fraud-ridden subsidies. There is absolutely no justification for perpetuating these subsidies or the failed government-controlled Obamacare system Democrats are artificially propping up. Instead, Republicans should continue to implement reforms that lower costs, expand affordable options, and protect American taxpayers."
