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Archive for July 2012

Jul
24

Encouraging Common Sense in Public Policy

by Dr. Doug Perednia

Science is nothing, but trained and organized common sense.
                                                                                          –Thomas Huxley

First a quick note.  Our postings are fewer and farther between this summer due to a particularly busy schedule, but will become more frequent and regular again as we get closer to the November elections.

In the meantime, the dog days of summer seem to be producing relatively few new or interesting journeys on the Road to Hellth.  Buoyed by the Supreme Court’s decision, The Affordable Care Act is continuing to allocate money in ways that appear to be directed more toward influencing the results of the election than contributing to the long-term viability of the nation’s healthcare system.  A prime example is the ongoing use of “research” money to preserve Medicare Advantage benefits for millions of seniors until just after conclusion of the Congressional and Presidential elections.

Indeed, most everything in healthcare seems to be in a state of suspended animation until after the election.  This only makes sense.  Why should millions of companies and individuals voluntarily make elaborate and expensive plans based upon a law that may be actively overturned (or at least undermined) if Mitt Romney should be elected in just a few months.  No one really knows if ACOs are going to be real or imaginary, whether all of the taxes involved will kick in, or if the dozens of promised carrots and sticks will come into play.  So money continues to be spent and decisions continue to be made based upon the existing law, but they are half-hearted.

Unfortunately, this doesn’t mean that reason and common sense are spreading throughout the world of healthcare either.  In case you missed it, we would like to illustrate with a seasonal example from the world of schools and camps for children.

By now, virtually everyone knows – or certainly ought to know – that too much exposure to ultraviolet light is a bad thing for skin and human health.  The ACA even includes a well-intentioned but ineffective 10% tax to raise money and discourage the use of tanning salons; unfortunately tanning rates have stayed about the same, while the measure has raised far less revenue than previously expected.  For many years the American Academy of Dermatology has paid for advertising campaigns that encourage the use of sunscreens and natural shade, discourage tanning and educate laypeople on the high risk of developing skin cancer as a result of unprotected exposure to the sun.  One might think that schools and summer camps would have picked up on these themes long ago.  But every American institution lives in world where bureaucratic requirements and legal liability concerns eventually trump every other consideration.  Jesse Michener, a mother in Tacoma, Washington found this out the hard way when she sent her two daughters school field trip, only to have them return with severe sunburns.  The reason?  In an effort to ensure that no “drug abuse” takes place, their school has a policy that bans sunscreen use (an over-the-counter item to be sure) without a doctor’s prescription.  We’ll let USA Today tell the story as Ms. Michener:

…was horrified to see two of her daughters, ages 11 and 9, return from a school field day with severe sunburns.

The girls have extremely fair skin, and none of the adults at the event offered them sunscreen — or shade, for that matter — as a rainy day turned sunny, Michener, 37, wrote in a post in her blog, Life.Photographed, that got nationwide attention. More than a week later, their skin still is peeling and red, Michener told USA TODAY Wednesday: “It’s appalling.”

Violet Michener, age 11, after her field trip.

…But sunscreen rules are common. They typically stem from state and local policies that stop kids from bringing any drug — including non-prescription drugs — to school, says Jeff Ashley, a California dermatologist who leads an advocacy group called Sun Safety for Kids.

Sunscreens are regulated as over-the-counter drugs, so many districts treat them like aspirin, just to be safe, he says.

Ashley helped get California to pass laws that say kids have a right to bring sunscreen, hats and other sun gear to school. That was nearly a decade ago, but as far as he knows, no other state has done the same.

So there’s a mish-mash of policies. Often, “sunscreen application at school seems to be an issue that each individual school district rules on,” says Jennifer Allyn of the American Academy of Dermatology. “Some treat sunscreen as they would any other fragrance-type product, and forbid their use to avoid allergic reactions. Others require a doctor’s note, and others treat sunscreen like something as basic as Chapstick.” The academy endorses sunscreen use but has no policy on how schools should handle it, she says.

But Ashley says allergy concerns are overblown: “Sunscreen allergies are no more common than allergies to soap. Are schools going to take soap out of their bathrooms?”

Another common concern: Adults will get in trouble for inappropriately touching kids if they help apply sunscreen. That was the question in Maryland last summer when the state enforced, then repealed, a rule forbidding camp staffers or even other kids from slathering lotion on campers. Now it’s OK, as long as parents say it is.

Michener says her daughters also were forbidden to bring hats to school. That’s another common policy, Ashley says. “Schools will tell you hats can be signs of gang affiliation.” Some schools dodge that danger, he says, by selling or supplying identical sun-safety hats…

Why is common sense so uncommon among the people whom we have trusted with positions of public responsibility?  Is this really the same country that managed to win World War II (although to be honest, with the help of other countries – the Soviet Union and Britain in particular) and put a man on the moon?

There is no question that, in the hands of children or abusers, some over-the-counter (OTC) medications can be positively harmful.  Robitussin® (dextromethorphan) in common OTC cough syrup is often taken and abused by adolescents and drug abusers for the “out of body” feeling and hallucinations that it can produce.  One study showed that 2.4 million teens — about 1 in 10 — got high on cough medicines in 2005.  That makes it just about as common as cocaine abuse.  Excessive ingestion of acetaminophen can cause liver damage.  Laxatives and diet pills often consist of nervous system stimulants.  Should parents, teachers and counselors be worried about these things?  Yes, of course they should.

But as we’ve seen so many times, the problem occurs when someone in a position of power decides to draft a standard “guideline” of care without really knowing what they’re doing.  The guideline rapidly becomes set in stone, and the means by which those dealing with the population in question are judged, rewarded and punished.  In this case the guideline was thoughtlessly crafted to be overly broad; it doesn’t take a genius to determine that some OTC items are more subject to abuse than others, or that some of these items were themselves created and distributed to address a potentially serious healthcare problem.  Sunscreen is one example, but there are others.  Mosquitos and ticks can be carriers of serious illnesses such as Lyme disease and West Nile Virus.  Properly formulated and administered, insect repellents are safe for use in children.  Presumably the same ban on OTC products prevents their use in many schools and camps nationwide.  How difficult would it be to draft a list of “allowed” OTC items rather than banning the entire class of products willy-nilly?  Apparently too difficult for the people whom we are paying to look after such things.

Lest we be too critical, we should note that the provision allowing the use of standard hats as a means countering gang-related activity is a logical and thoughtful response to a pervasive social problem.  At least someone somewhere is using their head.

This particular episode brings up a question that has, as far as we know, been completely ignored in healthcare reform.  Why are physicians and hospitals held responsible for the quality and appropriateness of their actions and decisions, but not the bureaucrats regulating them?  One could certainly argue that a policy-maker in Washington or even at a state school system has far more power over our nation’s lives and treasure than any individual physician could possibly muster.  Why aren’t regulators scored, awarded and punished based upon the health and economic effects of their performance?  Indeed, in some respects laws directed toward enhancing the performance of regulators and policy-makers stand a much better chance of improving public welfare than anything aimed at providers themselves.

Want to mandate the implementation of an electronic medical record system?  No problem.  In that case your own salary will be increased or decreased based upon the resulting change in medical productivity that results from the policy.  Planning on deploying a system of pay-for-performance incentives for healthcare providers?  Excellent.  However be aware that if it does not result in a significant improvement in performance as measured by health-adjusted cost savings, the cost of implementing and administering the plan – including the cost of compliance – will be deducted from your department’s annual budget.  Want to ban the use of sunscreen by schoolchildren rather than encourage it?  Okay, just be aware that we intend to monetize the cost of any excess sunburns that may result, and apply them against the compensation of those formulating the policy.

The quality of healthcare policy and regulation would improve overnight.  So would the use of common sense.

Categories : Bureaucracy Run Amok, Clinical Care, Economics, Ethics, Healthcare Policy, Overhauling Healthcare, Politics, Quality Questions, Solving Problems, Stupid Guideline Tricks, The Practice of Medicine
Jul
4

The Tragedy of the Supreme Court’s Affordable Care Act Ruling

by Dr. Doug Perednia

The past week’s Supreme Court ruling on the constitutionality of ObamaCare is a tragedy on at least two counts.  The first tragedy relates to the relationship between our Federal government and the citizens who are subject to its will.  The second tragedy relates to the healthcare system itself, and affects all of us who seek, deliver and pay for care.  It is hard to say which is the greater.

Let’s address the legal implications first.  We are not lawyers nor do we pretend to have any special insights into law or the constitution, but some common sense conclusions are inescapable.

The first conclusion is that the law passed by the Democratic party-dominated Congress of 2010 and President Obama establishes a precedent for the taxation of any activity – or inactivity – that future legislators and Presidents deem to be undesirable.  Although much has been made of the Supreme Court striking down the power of Congress to penalize the non-purchase of health insurance by use of its ability to regulate Commerce, it seems to us that this is a distinction without a difference.  As written, the Affordable Care Act law says that the Federal government will impose a penalty on anyone who is uninsured.  Now the law has been interpreted by the Supreme Court to impose a tax on anyone who is uninsured.  If you’re in the class of individuals affected it’s pretty difficult to discern how one is any better or worse than the other.

Given this turn of events it certainly seems as if there is absolutely nothing that Congress cannot choose to tax or not tax in order to reward or punish anyone it pleases.  It is now clearly within the power of Congress to support the government’s and union’s ownership of General Motors (as well as to support “green” business initiatives) by offering to tax anyone who fails to purchase a Chevy Volt.  Slovenly and unsightly couch potatoes can be taxed for failing to purchase and regularly view the entire series of “Brazil Butt Lift” DVDs.  The housing industry would clearly be stimulated (and thereby improve the unemployment rates nationally), by imposing a tax on anyone who does not own a home.  The possibilities for social and economic engineering are unlimited.  No longer does the government need to fund economic activity that it deems desirable – it can simply tax any social or economic behavior that it finds undesirable.  Anyone who might doubt that this sort of thing would actually happen need only look to California for examples of publicly mandated investment.  Recently the California Energy Commission mandated new standards for housing construction starting in 2014:

…including a rule that all new homes have roofs equipped for solar paneling. The panels are still optional—for now.

Other highlights: Ceiling fans, hot water pipes, air conditioning units and even the sunlight exposure from windows will now be regulated. Lighting systems must be controlled by sensors, roofs must be slanted in the right direction to have full access to the sun, and sunlight must not be impeded by chimneys and skylights…

The new rules will increase the average construction cost of a new California home by an estimated $2,300…

“So what?” many will ask.  Clearly some of this has been going on for generations.  Cigarettes and alcohol have been taxed for donkey’s years as a way of encouraging temperance and discouraging lung cancer and chronic obstructive pulmonary disease, and for the most part no one bats an eye.

But the Supreme Court’s decision on ObamaCare clearly enlarges the scope of behavior-based taxes beyond anything we’ve seen before.  Instead of being taxed for doing something, the way is now clear to tax Americans for not doing whatever it might be that is deemed to be unpatriotic at the time.

“But wait a minute,” others will say, “This very blog has come out strongly in favor of universal healthcare coverage, and even for taxing every non-poverty-stricken American in order to help pay for it.  Where is the consistency there?”  A fair point, but there is a big difference in taxing people in order to help fund the delivery of a good or service that will directly benefit them, and taxing someone strictly in order to punish them economically for failing to purchase for themselves something that a politician or lobbyist deems to be desirable.

But let’s move on to the healthcare tragedy created by the Supreme Court’s ruling.  What’s different today that wasn’t the case last week, last month or last year?

What’s different is that the disaster of the Affordable Care Act (ACA) is now guaranteed to continue at least until the November presidential election, and possibly for many years beyond.  It has become impossible to move on.  There is, at least for the next few months to years, no way of doing things right.  No way to save billions of dollars in needless expenses, of improving the efficiency of care, or of insuring American’s constructively.  With a stroke of Chief Justice John Roberts’ pen, the Court’s decision has made us much, much poorer – both medically and financially.

The financial loss the nation has suffered (and will continue to suffer) is hard to quantify, but is hardly abstract.  The cause of this loss is simple: uncertainly.

There is certainly no need to even begin to document all of the misguided and counterproductive features of the ACA in this post.  Simply search The Road to Hellth for “ACA” and you’ll find scores of examples.  Still better, click on over to The Covert Rationing Blog and read Dr. Rich’s book-in-progress “Open Wide And Say Moo! – The Good Citizen’s Guide To Right Thoughts and Right Actions Under Obamacare” – a series of essays that is probably the most insightful work on the topic that exists today.  But among those features are a host of provisions that practically ensure the long term failure of ObamaCare no matter what the outcome of the November election might be.  These range from giving employers financial incentives to dump millions of workers onto federally subsidized insurance exchanges, to increasing the federal budget deficit by at least $500 billion over the next ten years, to increasing the cost of premiums by mandating elaborate benefits for buyers of all health insurance policies (including “bronze” plans) while simultaneously making it difficult or impossible for Americans to utilize healthcare savings accounts, to demanding that $500 billion be cut from Medicare without a corresponding reduction in benefits, to an astonishingly poorly conceived and destructive tax on the gross sales of makers of medical devices.

When something as basic and as economically important as healthcare is seen to be essentially unstable and unsustainable, rational people will defer investing in healthcare until a path to stability is clear.  All sorts of decisions are put on hold.  Entrepreneurs stop innovating – they have no idea whether their creations will be politically or economically practical in the future.  Employers stop adding employees in order to reduce their exposure to increases in health insurance costs.  Business creation goes into hibernation until long-term costs become clearer.  Families defer spending.  The ripple effects go well beyond healthcare into the national and world economies.

By upholding the ACA, the Supreme Court has simply delayed the ultimate failure of ObamaCare and the implementation of a better, more affordable, more efficient and sustainable healthcare system.  We’re going to have to wait until our healthcare system self-destructs in order to save it.

That’s the real healthcare tragedy here.

Categories : Business and Law, Clinical Care, DAP Blog Entries, Economics, Healthcare Policy, Political Hellth, Politics, PPACA

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