White House pulling CLASS Act support

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Health and Human Services Secretary Kathleen Sebelius
Health and Human Services Secretary Kathleen Sebelius
Following months of hand wringing, the Obama administration has decided it's time to give the Community Living Assistance Services and Supports (CLASS) Act a decent burial.

The Department of Health and Human Services announced it has halted work on the planned long-term care insurance benefit, finding it too difficult to implement.

The decision probably would have come sooner, but the measure had been projected to cut healthcare spending by $86 billion over the next decade. With the CLASS Act essentially shut down, the White House faces two unpleasant political choices: Find the money someplace else or write off the savings.

“We have not identified a way to make CLASS work at this time,” Department of Health and Human Services Secretary Kathleen Sebelius said Oct. 14 in a letter to Senate Majority Leader Harry Reid (D-NV).