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VIDEO RELEASE: HHS Secretary Admits “No Intention” to Shut Down Controversial CMS Project
Ignores GAO Recommendation to Cancel the Project

U.S. Health and Human Services (HHS) Secretary Kathleen Sebelius today vowed to continue a controversial “demonstration project” that has come under fire recently by the nonpartisan Government Accountability Office (GAO).

The Democrats’ 2010 health care law cut $200 billion from Medicare Advantage, a program that currently serves 12 million seniors. The Congressional Budget Office estimates the cuts will result in 5 million fewer seniors participating in the popular program. The GAO recently  criticized an $8 billion national demonstration project run by the administration that may have been intended to mask the impact of these cuts until 2013. The GAO reports the design of this project “precludes a credible evaluation of its effectiveness.”

The GAO has called on HHS to cancel this unprecedented multi-billion dollar program. However, when asked by Education and the Workforce Committee Chairman John Kline (R-MN) if the administration would follow the GAO’s recommendation, Secretary Sebelius stated she has “no intention of canceling the project."

Click below to view the exchange between Chairman Kline and Secretary Sebelius:

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