1 00:00:00,040 --> 00:00:06,880 Speaker 1: Time, Michael drive more than Cordus and I have always everything. 2 00:00:08,080 --> 00:00:11,720 Speaker 1: So that guy who did that, he went to get 3 00:00:11,760 --> 00:00:16,840 Speaker 1: punish and hopefully people will get kicked out of Uber 4 00:00:17,320 --> 00:00:21,439 Speaker 1: because you said around with twenty dollars because every time 5 00:00:21,440 --> 00:00:23,599 Speaker 1: that we make a mistake of giving those things, we 6 00:00:23,720 --> 00:00:25,799 Speaker 1: have to get out of our way to. 7 00:00:27,400 --> 00:00:31,280 Speaker 2: Take your mistake. Oh, I agree. Don't get me wrong. 8 00:00:31,840 --> 00:00:35,479 Speaker 2: If he had found the because when you file the 9 00:00:35,560 --> 00:00:40,640 Speaker 2: claim with Uber, they tell you if we retrieve and 10 00:00:40,680 --> 00:00:43,160 Speaker 2: return your iseand there will be a twenty dollars search 11 00:00:43,240 --> 00:00:46,120 Speaker 2: charge added. I had no problem paying that. We're talking 12 00:00:46,159 --> 00:00:48,280 Speaker 2: about me losing my wallet and then finding it and 13 00:00:48,400 --> 00:00:50,479 Speaker 2: Uber claiming that they found it and they did not 14 00:00:50,560 --> 00:00:54,040 Speaker 2: find it. And I think Carlos the driver just lied 15 00:00:54,120 --> 00:00:57,800 Speaker 2: to the company to collect twenty bucks. I wouldn't mind 16 00:00:57,840 --> 00:01:01,240 Speaker 2: paying the twenty I would have gladly paid forty bucks 17 00:01:01,640 --> 00:01:04,080 Speaker 2: to get the bullet back if that was Uber's price. 18 00:01:05,000 --> 00:01:09,160 Speaker 2: But my bitch is not that there was twenty dollars. 19 00:01:09,360 --> 00:01:12,479 Speaker 2: It's that they lied about it. That's what they did. 20 00:01:13,040 --> 00:01:19,360 Speaker 2: So we're talking about this the It fascinates me and 21 00:01:19,400 --> 00:01:22,520 Speaker 2: discuss me at the same time, how we have all 22 00:01:22,520 --> 00:01:28,040 Speaker 2: these communist needs Marxistan's fascists all running for office, and 23 00:01:28,080 --> 00:01:29,920 Speaker 2: I don't know what's wrong with Americans. We just keep 24 00:01:29,920 --> 00:01:33,679 Speaker 2: electing these dumbasses. And Seattle, well, Denver's a great example, 25 00:01:33,680 --> 00:01:37,120 Speaker 2: and Seattle's a great example. So Seattle e likes this woman, 26 00:01:38,560 --> 00:01:41,560 Speaker 2: and the first thing she starts talking about is I'm 27 00:01:41,600 --> 00:01:44,039 Speaker 2: going to and she gets the legislature to introduce a 28 00:01:44,040 --> 00:01:48,080 Speaker 2: bill that if a grocery store, if Kroger or one 29 00:01:48,120 --> 00:01:50,240 Speaker 2: of the big change Alberts and anybody else decides to 30 00:01:50,280 --> 00:01:53,680 Speaker 2: move out, then they're going to try to one prevent 31 00:01:53,720 --> 00:01:55,840 Speaker 2: them from moving out. If they do move out, then 32 00:01:55,840 --> 00:01:58,600 Speaker 2: they're going to somehow use imminent domain, which is I 33 00:01:58,640 --> 00:02:01,720 Speaker 2: think at heightly inappropriate, but I disagree with the Supreme 34 00:02:01,760 --> 00:02:05,400 Speaker 2: Court on the use of in the domain and take 35 00:02:05,400 --> 00:02:09,400 Speaker 2: over grocery stores, use city employees to run the grocery stores. 36 00:02:09,960 --> 00:02:12,600 Speaker 2: And I'm trying to give you some examples of how 37 00:02:12,960 --> 00:02:18,600 Speaker 2: government run businesses that are truly a private business ends 38 00:02:18,720 --> 00:02:23,160 Speaker 2: up increasing the costs and decreases the quality. And the 39 00:02:23,240 --> 00:02:26,360 Speaker 2: first example that came to my mind was tuition. The 40 00:02:26,360 --> 00:02:30,280 Speaker 2: federal government took over all student loans. They underwrite and 41 00:02:30,320 --> 00:02:34,440 Speaker 2: subsidize all the student loans, and what happened, Well, universities 42 00:02:34,440 --> 00:02:37,960 Speaker 2: and colleges started increasing tuition, and can you tell me 43 00:02:38,000 --> 00:02:40,960 Speaker 2: that we really get quality education for that increased price. No, 44 00:02:41,080 --> 00:02:43,359 Speaker 2: we do not, And now we're stuck with one point 45 00:02:43,440 --> 00:02:47,200 Speaker 2: seven trillion dollars in student loan debt. But I think 46 00:02:47,240 --> 00:02:56,800 Speaker 2: the more impactful example applies to everyone healthcare and the 47 00:02:56,840 --> 00:03:03,080 Speaker 2: Affordable Care Act. Now, before the argument was identical to 48 00:03:03,120 --> 00:03:07,920 Speaker 2: what she's making in Seattle. Healthcare is a right. Insurance 49 00:03:07,960 --> 00:03:11,120 Speaker 2: companies are greedy, and the government needs to step in 50 00:03:11,160 --> 00:03:15,880 Speaker 2: and make sure everyone has access. So food is a right. 51 00:03:16,840 --> 00:03:19,720 Speaker 2: The grocery stores and the chains are greedy, and so 52 00:03:19,840 --> 00:03:21,880 Speaker 2: the government needs to step in and make sure that 53 00:03:22,040 --> 00:03:26,600 Speaker 2: everybody has access to food. Wait a minute, I thought 54 00:03:26,600 --> 00:03:29,800 Speaker 2: we already did that. I thought that's what snap was. 55 00:03:29,919 --> 00:03:33,919 Speaker 2: I thought that's what food stamps were. So the promises 56 00:03:33,919 --> 00:03:37,640 Speaker 2: is here. Specific as specific promises are dangerous to Remember, 57 00:03:37,640 --> 00:03:39,200 Speaker 2: if you like your plan, you can keep your plan. 58 00:03:39,640 --> 00:03:42,120 Speaker 2: If you like your doctor, you can keep your doctor. Remember, 59 00:03:42,280 --> 00:03:44,000 Speaker 2: a family of four won't pay more than what was 60 00:03:44,120 --> 00:03:45,760 Speaker 2: what was it, twelve hundred dollars a year or something 61 00:03:45,800 --> 00:03:50,560 Speaker 2: in health insurance premiums. What actually happened the individual market, 62 00:03:50,560 --> 00:03:55,160 Speaker 2: premiums probably roughly doubled in just the first five years 63 00:03:55,200 --> 00:04:00,480 Speaker 2: after the ACA went into effect. Deductible skyrocket in insures 64 00:04:00,560 --> 00:04:06,360 Speaker 2: fled the markets. Entire counties were left with one single insure. 65 00:04:07,240 --> 00:04:10,920 Speaker 2: Now you got a monopoly, ironically created by the law 66 00:04:11,360 --> 00:04:16,680 Speaker 2: that they claim was designed to increase competition. So the 67 00:04:16,720 --> 00:04:21,520 Speaker 2: government mandated coverage of everything from maternity care to mental 68 00:04:21,520 --> 00:04:24,920 Speaker 2: health services, whether wanted it or wanted it, needed it 69 00:04:25,080 --> 00:04:29,400 Speaker 2: or not. That creates perverse incendives that drove healthy people 70 00:04:29,400 --> 00:04:34,280 Speaker 2: out of the insurance pools, and then everybody expressed bewilderment 71 00:04:35,560 --> 00:04:42,320 Speaker 2: when the actuarial math stopped working. The pattern is identical 72 00:04:42,400 --> 00:04:44,760 Speaker 2: to watch We're what we're about to watch in Seattle, 73 00:04:45,000 --> 00:04:47,640 Speaker 2: and for that matter, anywhere else. You know, if the 74 00:04:47,680 --> 00:04:52,880 Speaker 2: stupid Douglas County commissioners and their little link program catches on, 75 00:04:53,040 --> 00:04:56,080 Speaker 2: and then Adams and a Rappah and Denver and everybody 76 00:04:56,080 --> 00:04:59,279 Speaker 2: else starts providing these government run you know what they are, 77 00:04:59,320 --> 00:05:04,080 Speaker 2: their government run taxis there is a government uber link. Oh, 78 00:05:04,160 --> 00:05:07,159 Speaker 2: it's a link, We're gonna link our community together. Well, 79 00:05:07,240 --> 00:05:12,360 Speaker 2: bull crap. That pattern is identical to what we're gonna 80 00:05:12,360 --> 00:05:16,159 Speaker 2: watch in Seattle. The government declares something right, Well, you 81 00:05:16,160 --> 00:05:17,840 Speaker 2: know our citizens need to be able to get from 82 00:05:17,839 --> 00:05:20,400 Speaker 2: point A to point b. Okay, then why don't you 83 00:05:20,440 --> 00:05:22,720 Speaker 2: make my famoite on my car? Why don't you just 84 00:05:22,760 --> 00:05:25,200 Speaker 2: pay the rest of my car loan off? How about that? 85 00:05:25,279 --> 00:05:26,919 Speaker 2: Because I have a right to get from point A 86 00:05:26,960 --> 00:05:30,320 Speaker 2: to point B. It's kind of like the stupid train 87 00:05:30,760 --> 00:05:33,359 Speaker 2: that police wants to build from Fort Collins down to 88 00:05:33,440 --> 00:05:37,360 Speaker 2: Pueblo high speed rail. Yeah, I bet it never gets 89 00:05:37,400 --> 00:05:41,640 Speaker 2: over thirty two miles an hour. Every little dumbass mayor 90 00:05:41,680 --> 00:05:45,359 Speaker 2: and county commissioner from Larimer County down to Pueblo is 91 00:05:45,440 --> 00:05:48,559 Speaker 2: gonna want a stop at every little depot, every little 92 00:05:48,560 --> 00:05:51,480 Speaker 2: intersection to the highway and that train will never get 93 00:05:51,520 --> 00:05:55,599 Speaker 2: over thirty two miles an hour. Yet police keeps pushing it. Hey, 94 00:05:55,720 --> 00:06:00,520 Speaker 2: Polis meet Newsom. See how that works out? Anyway, The 95 00:06:00,560 --> 00:06:04,520 Speaker 2: pattern is the same. Government declares something the right, it 96 00:06:04,680 --> 00:06:10,240 Speaker 2: mandates access, it removes market discipline prices. Then you just explode. 97 00:06:10,440 --> 00:06:14,160 Speaker 2: The quality decreases, and the proposed solution is always what 98 00:06:15,040 --> 00:06:17,360 Speaker 2: when things go to hell in a hand basket, then 99 00:06:17,400 --> 00:06:20,719 Speaker 2: they say, well, we just need more government. It's like 100 00:06:20,760 --> 00:06:24,120 Speaker 2: every time you say, well, socialism and communism has always failed. Well, 101 00:06:24,120 --> 00:06:27,160 Speaker 2: we stayre for the right people doing it. Now, I 102 00:06:27,240 --> 00:06:29,160 Speaker 2: want you to apply everything I just said. I'll want 103 00:06:29,160 --> 00:06:33,040 Speaker 2: you to apply that template to a government run grocery store. 104 00:06:34,040 --> 00:06:37,200 Speaker 2: The private grocery business operates on margins of somewhere between 105 00:06:37,240 --> 00:06:41,520 Speaker 2: one and three percent. For every dollar of groceries the 106 00:06:41,720 --> 00:06:45,880 Speaker 2: store sells, that store keeps anywhere from one to three 107 00:06:46,040 --> 00:06:49,279 Speaker 2: pennies of profit. Well, we can't say pennies anymore, so 108 00:06:49,360 --> 00:06:53,800 Speaker 2: let's say sense one to three cents of profit, and 109 00:06:53,839 --> 00:06:59,919 Speaker 2: that margining gets achieved through ruthless efficiency, sophisticated supply chain manage, 110 00:07:00,520 --> 00:07:03,600 Speaker 2: dynamic pricing. Have you seen that coming about where they're 111 00:07:03,600 --> 00:07:06,680 Speaker 2: gonna have the electronic pricing. Well, you know porking, there's 112 00:07:06,680 --> 00:07:09,960 Speaker 2: a high demand for pork and beans on holidays. Well, 113 00:07:10,040 --> 00:07:16,240 Speaker 2: price is going to go up. Loss prevention systems, labor optimization. Yeah, 114 00:07:16,680 --> 00:07:19,200 Speaker 2: let's do this. Let's get people to get their own 115 00:07:19,240 --> 00:07:23,360 Speaker 2: groceries off the shelves, push the card all around, make 116 00:07:23,400 --> 00:07:26,680 Speaker 2: them check out on their own and then you know, 117 00:07:27,280 --> 00:07:29,280 Speaker 2: if anybody tries to get out without pain for that 118 00:07:29,360 --> 00:07:31,800 Speaker 2: can of porking beans, let's tackle them to the floor. 119 00:07:32,920 --> 00:07:35,440 Speaker 2: So You've got to pick up your own groceries, do 120 00:07:35,560 --> 00:07:38,640 Speaker 2: your own checkout, take them to your car, sack them yourself. Oh, 121 00:07:38,640 --> 00:07:43,080 Speaker 2: you gotta pay for the bags too. Grief. Now, the 122 00:07:43,080 --> 00:07:47,960 Speaker 2: city of Seattle, just like Denver, can't They can't fix 123 00:07:48,040 --> 00:07:51,360 Speaker 2: potholes of schedule, They can't keep their parks clean. They 124 00:07:51,360 --> 00:07:54,000 Speaker 2: can't prevent open air FENTLEYLD markets in this public spaces. 125 00:07:54,040 --> 00:07:56,080 Speaker 2: By the way, speaking of fentanyl, I haven't read the 126 00:07:56,080 --> 00:07:58,440 Speaker 2: study yet. I just got an email from the Common 127 00:07:58,480 --> 00:08:05,520 Speaker 2: Sense Institute. While sentinel use is decreasing nationwide, guess what 128 00:08:05,720 --> 00:08:13,920 Speaker 2: state it's increasing in. Yes, Comic Colorado. Wow, listen to 129 00:08:14,000 --> 00:08:16,800 Speaker 2: the feelin I'm just pissing in the wind here. I 130 00:08:16,920 --> 00:08:21,640 Speaker 2: just are pissing on an electric fence. Because the more 131 00:08:22,040 --> 00:08:25,080 Speaker 2: the more that you and I understand just how bad 132 00:08:25,200 --> 00:08:28,840 Speaker 2: things are going in this state. We just keep doing 133 00:08:28,880 --> 00:08:34,240 Speaker 2: the same stupid things over and over and over again. Oh. 134 00:08:34,440 --> 00:08:36,400 Speaker 2: When is the last time you went to the DMV 135 00:08:36,520 --> 00:08:38,560 Speaker 2: and thought to yourself, you know what, I wish these 136 00:08:38,600 --> 00:08:42,400 Speaker 2: people were also in charge of my food supply. Here's 137 00:08:42,440 --> 00:08:47,720 Speaker 2: what's going to happen in sequence. First step, a store 138 00:08:47,760 --> 00:08:50,360 Speaker 2: will open. The great fanfare. Oh, you'll have a ribbon cutting, 139 00:08:50,559 --> 00:08:53,560 Speaker 2: There'll be a press conference. The mayor in Seattle, or 140 00:08:53,600 --> 00:08:56,440 Speaker 2: the mayor like Mike Johnson will be standing beaming in 141 00:08:56,480 --> 00:08:59,320 Speaker 2: front of a produce section stock for the cameras. Food 142 00:08:59,559 --> 00:09:03,240 Speaker 2: justice has been achieved. Reporters declare, Hey, this is a 143 00:09:03,240 --> 00:09:07,040 Speaker 2: model for the nation. This is the first step. Step two. 144 00:09:07,440 --> 00:09:13,200 Speaker 2: The losses will start instantaneously because with no market discipline, 145 00:09:13,840 --> 00:09:17,760 Speaker 2: the store has zero mechanism to control shrinkage, or to 146 00:09:17,880 --> 00:09:21,400 Speaker 2: optimize inventory, or to manage labor costs. Now, once you 147 00:09:21,480 --> 00:09:26,000 Speaker 2: think of those three things, control shrinkage. I've got a 148 00:09:26,040 --> 00:09:29,400 Speaker 2: story here about fraud in the at the federal level. 149 00:09:30,280 --> 00:09:33,280 Speaker 2: What's happened to the nine billion dollars in Minnesota? What's 150 00:09:33,280 --> 00:09:36,480 Speaker 2: happening to the autism and stuff in California? What's happening 151 00:09:36,520 --> 00:09:38,760 Speaker 2: to the fraud in Colorado? I did a Michael Brown 152 00:09:38,760 --> 00:09:41,920 Speaker 2: minute about that just this week, about fraud in Colorado. 153 00:09:43,080 --> 00:09:47,160 Speaker 2: You're going to control shrinkage, which is essentially fraud stealing. No, 154 00:09:47,240 --> 00:09:50,520 Speaker 2: we can't do that. You're going to optimize inventory. 155 00:09:51,800 --> 00:09:52,000 Speaker 3: You know. 156 00:09:52,080 --> 00:09:57,160 Speaker 2: Speaking of optimizing inventory, the uss mnemics were supposed to 157 00:09:57,200 --> 00:10:03,720 Speaker 2: be mothball decommissioned. What we haven't muffmuled, muff balled limits 158 00:10:04,040 --> 00:10:06,439 Speaker 2: because we need it now because we don't have enough 159 00:10:06,440 --> 00:10:09,080 Speaker 2: aircraft carriers. And now you're gonna tell me that you 160 00:10:09,120 --> 00:10:11,480 Speaker 2: can't even you can't manage that, and you're going to 161 00:10:11,559 --> 00:10:18,160 Speaker 2: manage a grocery store. Labor costs. What a joke. Government 162 00:10:18,160 --> 00:10:21,120 Speaker 2: employees that will be they'll be unionized, they'll have full 163 00:10:21,160 --> 00:10:23,800 Speaker 2: civil service protections. You won't be able to fire them 164 00:10:23,800 --> 00:10:30,080 Speaker 2: for poor performance. The vendors will charge the government buyers 165 00:10:30,400 --> 00:10:35,559 Speaker 2: more because the government procurement process will be slow, inflexible, 166 00:10:35,600 --> 00:10:40,640 Speaker 2: and of course it'll be political. As one expert put it, quote, 167 00:10:41,080 --> 00:10:44,120 Speaker 2: cities shouldn't be in the grocery business. If a grocery 168 00:10:44,160 --> 00:10:46,800 Speaker 2: store can't make a profit in an area, a government 169 00:10:46,880 --> 00:10:50,320 Speaker 2: run store won't either. It'll just burn through taxpayer money 170 00:10:50,600 --> 00:10:53,640 Speaker 2: and divert tax revenue to cover the losses. So here 171 00:10:53,679 --> 00:10:58,880 Speaker 2: you got the first two steps. The third step, Oh, 172 00:10:59,040 --> 00:11:03,040 Speaker 2: they're losing money, we better subsidize it. Because when the 173 00:11:03,040 --> 00:11:08,760 Speaker 2: losses mount, the city will have two choices, raise prices, 174 00:11:09,200 --> 00:11:11,679 Speaker 2: which doesn't that defeat the entire premise of having a 175 00:11:12,240 --> 00:11:16,800 Speaker 2: government run grocery store. They'll have to increase prices or 176 00:11:16,920 --> 00:11:20,520 Speaker 2: they'll subsidize the losses using the taxpayer money from all 177 00:11:20,520 --> 00:11:22,440 Speaker 2: the other people that go to a different grocery store. 178 00:11:23,400 --> 00:11:28,120 Speaker 2: They will choose subsidies. They always do because admitting that 179 00:11:28,280 --> 00:11:34,400 Speaker 2: failure is politically unacceptable. So Seattle taxpayers or anywhere else 180 00:11:34,400 --> 00:11:37,520 Speaker 2: they try this will now be paying for groceries twice, 181 00:11:38,160 --> 00:11:40,520 Speaker 2: once with their own money when they shop, and then 182 00:11:40,679 --> 00:11:44,880 Speaker 2: again in their taxes they cover the deficit. Step four, 183 00:11:45,559 --> 00:11:53,680 Speaker 2: supply becomes unreliable government procurement. If you've ever well, the Mnemens, 184 00:11:54,200 --> 00:11:59,079 Speaker 2: the US Navy, they just don't move at market speed 185 00:12:00,880 --> 00:12:03,520 Speaker 2: when I would try to get supplies for a disaster. 186 00:12:04,280 --> 00:12:08,800 Speaker 2: I remember one time, in one disaster, I literally sent 187 00:12:08,840 --> 00:12:12,280 Speaker 2: a staffer out with my government credit card because mine 188 00:12:12,320 --> 00:12:14,000 Speaker 2: didn't have a limit on it. If I need to 189 00:12:14,000 --> 00:12:16,280 Speaker 2: spend a million dollars, I could to spend a million dollars, 190 00:12:16,920 --> 00:12:19,079 Speaker 2: and I forget what it was. But we needed something, 191 00:12:19,320 --> 00:12:21,720 Speaker 2: and I said, just go to every store where they 192 00:12:21,760 --> 00:12:24,120 Speaker 2: have it and buy everything they have and put it 193 00:12:24,160 --> 00:12:29,840 Speaker 2: on my cart. When a private grocery store can't keep 194 00:12:29,840 --> 00:12:34,560 Speaker 2: a product on the shelf, that costs them money, and 195 00:12:34,600 --> 00:12:37,960 Speaker 2: they fix it fast because they're losing that one to 196 00:12:38,040 --> 00:12:43,080 Speaker 2: three cents for every sale. Now, when a government store 197 00:12:43,240 --> 00:12:45,920 Speaker 2: can't keep a product on the shelf, well, they'll file 198 00:12:46,000 --> 00:12:49,720 Speaker 2: a report, they'll ask the counselor of the legislature for 199 00:12:49,800 --> 00:12:53,680 Speaker 2: a budget amendment. They'll convene a working group. Yes, we'll 200 00:12:53,679 --> 00:12:57,480 Speaker 2: have a blue written commission, and then they'll issue a 201 00:12:57,520 --> 00:13:05,400 Speaker 2: request for proposals. In RFP, the produce wills while it'll 202 00:13:05,440 --> 00:13:09,079 Speaker 2: just completely wilt, it'll go rotten, while the process grinds 203 00:13:09,080 --> 00:13:14,000 Speaker 2: to a halt. And now you'll get rationing, not by decree, 204 00:13:14,440 --> 00:13:19,679 Speaker 2: but rationing by incompetence. And then what's going to happen. 205 00:13:19,679 --> 00:13:24,240 Speaker 2: This is the fifth step, that's the last. The private 206 00:13:24,320 --> 00:13:28,840 Speaker 2: competition will disappear. Here's the part nobody wants to talk about. 207 00:13:29,520 --> 00:13:32,920 Speaker 2: A government run grocery store subsidized by taxpayer money doesn't 208 00:13:33,160 --> 00:13:36,559 Speaker 2: compete with the private grocers. It destroys the private grocers. 209 00:13:36,920 --> 00:13:39,800 Speaker 2: Any private operator attempting to open a store in the 210 00:13:39,840 --> 00:13:42,920 Speaker 2: same market is competing against the business that doesn't have 211 00:13:43,000 --> 00:13:46,040 Speaker 2: to turn a profit. They don't care about customer service, 212 00:13:46,679 --> 00:13:48,800 Speaker 2: they don't care about the labor costs, they don't care 213 00:13:48,800 --> 00:13:54,920 Speaker 2: about overhead, they don't care about anything. They can't win 214 00:13:55,600 --> 00:13:59,679 Speaker 2: a fight like that, so what do they do They 215 00:13:59,720 --> 00:14:03,600 Speaker 2: go with elsewhere. They won't enter that market, so that 216 00:14:03,760 --> 00:14:08,000 Speaker 2: so called food desert doesn't boom into a garden. It 217 00:14:08,080 --> 00:14:13,680 Speaker 2: instead becomes a government monopoly and monopoly as every economist 218 00:14:13,800 --> 00:14:16,920 Speaker 2: and every consumers dealt with their local cable company or 219 00:14:17,000 --> 00:14:22,160 Speaker 2: Excel Energy knows, produces exactly one result, higher prices, really 220 00:14:22,200 --> 00:14:29,320 Speaker 2: bad service, and no alternatives. That leads to in Seattle 221 00:14:29,480 --> 00:14:34,080 Speaker 2: and Washington, they'll then want to use emminent domain. This 222 00:14:34,200 --> 00:14:37,680 Speaker 2: is the one that should make every single property owner 223 00:14:38,080 --> 00:14:42,360 Speaker 2: across the entire country sit up and pay attention. Under 224 00:14:42,520 --> 00:14:46,680 Speaker 2: Washington House built twenty three thirteen, cities can acquire land 225 00:14:46,720 --> 00:14:50,400 Speaker 2: and private property through eminent domain. If the government decides 226 00:14:50,440 --> 00:14:55,280 Speaker 2: that there is a food access gap. Listen to that carefully. 227 00:14:55,520 --> 00:14:59,800 Speaker 2: A food access gap. Now the government gets to define 228 00:15:00,080 --> 00:15:04,680 Speaker 2: the problem, they get to declare the emergency, and then 229 00:15:04,720 --> 00:15:08,080 Speaker 2: they get to seize your property because that's the solution. 230 00:15:08,480 --> 00:15:11,680 Speaker 2: And that how happens in one fell Swoop today. It 231 00:15:11,760 --> 00:15:15,760 Speaker 2: might be a grocery stores tomorrow, pharmacies next week. It's 232 00:15:15,840 --> 00:15:20,280 Speaker 2: any business in any sector where some progressive communist marks 233 00:15:20,280 --> 00:15:23,960 Speaker 2: as activists can argue that whatever access is to whatever 234 00:15:24,040 --> 00:15:27,560 Speaker 2: product is a human right and therefore too important to 235 00:15:27,560 --> 00:15:30,080 Speaker 2: be left to the private driven decision making of the 236 00:15:30,080 --> 00:15:37,600 Speaker 2: private sector. I think the constitutional dimension is worth one 237 00:15:37,640 --> 00:15:43,800 Speaker 2: final moment. Imminent domain under the Fifth Amendment requires just compensation. 238 00:15:44,520 --> 00:15:48,520 Speaker 2: It requires the taking to be for public use. Now, 239 00:15:48,560 --> 00:15:52,080 Speaker 2: the disastrous Supreme Court decision in Kilo versus City of 240 00:15:52,080 --> 00:15:56,440 Speaker 2: New London, that decision already stretched the phrase public use 241 00:15:57,000 --> 00:16:01,200 Speaker 2: to include just economic development projects that been that private properties. 242 00:16:02,000 --> 00:16:04,360 Speaker 2: But even Keller would be challenged by a scheme that 243 00:16:04,400 --> 00:16:08,760 Speaker 2: seeses operating businesses, not just land, and then turns them 244 00:16:08,800 --> 00:16:13,040 Speaker 2: into government run commercial operations in direct competition with remaining 245 00:16:13,320 --> 00:16:17,720 Speaker 2: private businesses. So everybody else standing around, maybe you don't 246 00:16:17,800 --> 00:16:20,360 Speaker 2: run a grocery store, but you're next to the store 247 00:16:20,400 --> 00:16:23,960 Speaker 2: that's going to be seized by the government. What's that 248 00:16:24,040 --> 00:16:27,520 Speaker 2: going to drag you? And what's that going to do 249 00:16:27,520 --> 00:16:29,960 Speaker 2: to your business that's just next door in the same 250 00:16:30,000 --> 00:16:34,240 Speaker 2: shopping center. Yeah, it's going to start turning everything into 251 00:16:34,280 --> 00:16:38,640 Speaker 2: government run commercial operations in direct competition with whatever remaining 252 00:16:38,680 --> 00:16:42,320 Speaker 2: private businesses there are, and that will be litigated expensively 253 00:16:42,360 --> 00:16:45,040 Speaker 2: for years and years and years. While the grocery desert 254 00:16:45,080 --> 00:16:48,760 Speaker 2: that it was designed to address remains exactly as empty 255 00:16:48,800 --> 00:16:51,520 Speaker 2: as it was that the stupid mayor in Seattle gave 256 00:16:51,520 --> 00:16:56,600 Speaker 2: her speech. Mayor Wilson in Seattle has looked at a 257 00:16:56,680 --> 00:17:02,560 Speaker 2: problem caused by government, high taxes, controlled theft, the regulatory burden, 258 00:17:02,720 --> 00:17:07,960 Speaker 2: a hostile business environment, and proposed a solution of more government. 259 00:17:08,760 --> 00:17:12,919 Speaker 2: Sheese declared food a right, which sounds really compassionate, doesn't 260 00:17:12,960 --> 00:17:17,720 Speaker 2: it until you realize that rights enforced by government seizure 261 00:17:17,800 --> 00:17:22,119 Speaker 2: of property are not rights at all. It's just a 262 00:17:22,200 --> 00:17:29,360 Speaker 2: sophisticated way of talking confiscation. We've all seen this movie before, 263 00:17:30,080 --> 00:17:34,000 Speaker 2: student loans, healthcare. Actually, you've seen it in every country 264 00:17:34,040 --> 00:17:37,840 Speaker 2: has ever tried to run a centrally planned retail economy. 265 00:17:37,960 --> 00:17:42,119 Speaker 2: The shelves will eventually go empty, the lines will get long, 266 00:17:42,440 --> 00:17:45,520 Speaker 2: the prices will go up, and the stupid politicians that 267 00:17:45,560 --> 00:17:48,439 Speaker 2: created the mess in the first place are already on 268 00:17:48,520 --> 00:17:53,160 Speaker 2: TV blaming the corporations because you're not doing enough. Seattle 269 00:17:53,200 --> 00:17:57,119 Speaker 2: doesn't have a grocery problem. Seattle, like Denver and Colorado, 270 00:17:57,160 --> 00:18:01,160 Speaker 2: has a governance problem, and you cannot solve a governance 271 00:18:01,320 --> 00:18:08,040 Speaker 2: problem with more governance. The sad part about all of this, 272 00:18:09,680 --> 00:18:13,240 Speaker 2: you know, I'm right, you know exactly that I'm right, 273 00:18:14,200 --> 00:18:16,520 Speaker 2: but too many people will say, well, we just haven't 274 00:18:16,560 --> 00:18:18,960 Speaker 2: had the right people try it. But you know, I 275 00:18:19,200 --> 00:18:22,000 Speaker 2: think in Colorado we can actually make it work. Yeah, 276 00:18:23,119 --> 00:18:25,520 Speaker 2: uh huh, you'll see. 277 00:18:25,560 --> 00:18:29,320 Speaker 4: Michael and Dragon. I feel like the love is gone, 278 00:18:30,440 --> 00:18:35,520 Speaker 4: the relationship is over. Man, this hurts. 279 00:18:39,080 --> 00:18:43,280 Speaker 2: Was that farmer's daughter, Yes, see what you did, shame 280 00:18:43,359 --> 00:18:43,680 Speaker 2: on you. 281 00:18:43,720 --> 00:18:45,320 Speaker 4: I didn't do anything you. 282 00:18:45,280 --> 00:18:48,080 Speaker 2: Did to You mocked her yesterday, even if she sent 283 00:18:48,160 --> 00:18:51,840 Speaker 2: the email that showed that the podcasts were out of order. 284 00:18:52,440 --> 00:18:54,760 Speaker 2: And then of course what did you do. You had 285 00:18:54,800 --> 00:18:57,480 Speaker 2: to go in and you know, sneak behind everybody's back 286 00:18:57,520 --> 00:19:00,920 Speaker 2: and put it in the right order. You claim, oh, look, 287 00:19:00,960 --> 00:19:02,880 Speaker 2: you were the idiot. Blah blah blah. I did show 288 00:19:02,920 --> 00:19:07,439 Speaker 2: you turn your microphone off right there. No, I did not. 289 00:19:07,840 --> 00:19:10,720 Speaker 4: I'm not gonna because I don't have to delete all 290 00:19:10,760 --> 00:19:13,520 Speaker 4: of the podcasts and then put them in the proper order, 291 00:19:13,880 --> 00:19:18,720 Speaker 4: thus negating every other number that we've already accumulated from 292 00:19:18,760 --> 00:19:21,400 Speaker 4: those first of the podcasts. Not gonna do it. 293 00:19:23,200 --> 00:19:24,960 Speaker 2: Thank you for turning my mike back. Yeah, you're welcome, 294 00:19:25,240 --> 00:19:28,800 Speaker 2: And I have to admit I believe you. You know why, 295 00:19:29,720 --> 00:19:33,160 Speaker 2: because it involves extra work. Cats, Yes, there's no way 296 00:19:33,200 --> 00:19:34,800 Speaker 2: you're gonna do extra time. 297 00:19:34,960 --> 00:19:37,840 Speaker 4: I'm just because not once I delete it. So in 298 00:19:37,960 --> 00:19:40,800 Speaker 4: order to delete them in this new platform that we have, 299 00:19:41,240 --> 00:19:43,320 Speaker 4: I have to click delete, and then it puts up 300 00:19:43,320 --> 00:19:45,800 Speaker 4: a whole Windows warning prompt saying are you sure you 301 00:19:45,840 --> 00:19:48,120 Speaker 4: want to delete? Yes, I'm sure I want to delete. 302 00:19:48,160 --> 00:19:49,919 Speaker 4: Are you really sure you want to delete? If you 303 00:19:49,960 --> 00:19:54,560 Speaker 4: really want to delete, then type in the word delete 304 00:19:54,760 --> 00:19:56,399 Speaker 4: in order to do so. So then I have to 305 00:19:56,440 --> 00:19:59,119 Speaker 4: do that with all three different podcast hours. Not gonna 306 00:19:59,119 --> 00:20:01,960 Speaker 4: do it. Then I would then have to reload each 307 00:20:02,000 --> 00:20:05,720 Speaker 4: and every single one, putting in the spot markers and 308 00:20:05,760 --> 00:20:08,400 Speaker 4: then putting in the description again and then look then 309 00:20:08,520 --> 00:20:10,879 Speaker 4: publishing them in the correct order again. 310 00:20:11,200 --> 00:20:12,800 Speaker 2: No, I'm not gonna do that. I'm lazy. 311 00:20:13,080 --> 00:20:14,960 Speaker 4: So if they were in the wrong, if I published 312 00:20:15,000 --> 00:20:17,240 Speaker 4: them in the wrong order like that first or second day, 313 00:20:17,240 --> 00:20:21,480 Speaker 4: that it actually did happen, No, I'm not going to 314 00:20:21,560 --> 00:20:23,120 Speaker 4: delete those and put them back up. 315 00:20:24,359 --> 00:20:28,679 Speaker 2: Okay, Well, and I wondered if the next story would 316 00:20:29,280 --> 00:20:31,320 Speaker 2: fill up the entire segment, But all I had to 317 00:20:31,359 --> 00:20:33,280 Speaker 2: do was just spin him up a little bit. And 318 00:20:33,680 --> 00:20:37,440 Speaker 2: Alan Roy's about how long this? But I do love 319 00:20:37,440 --> 00:20:38,200 Speaker 2: you Farmer's daughter. 320 00:20:38,240 --> 00:20:43,320 Speaker 4: It's just the fact that I didn't do anything, and 321 00:20:43,920 --> 00:20:46,920 Speaker 4: you seeing it the wrong way. I blame the new 322 00:20:46,920 --> 00:20:48,639 Speaker 4: publisher's that's all I got. 323 00:20:49,320 --> 00:20:52,600 Speaker 2: And she should know that we make fun of everybody. 324 00:20:52,800 --> 00:20:59,080 Speaker 2: That's true. That's true, our own wives, each other, our coworkers, 325 00:20:59,160 --> 00:21:01,119 Speaker 2: our bosses, everybody. 326 00:21:01,359 --> 00:21:04,520 Speaker 4: I hesitate to say the jokes that missus radbard Night 327 00:21:04,560 --> 00:21:05,200 Speaker 4: had yesterday. 328 00:21:05,200 --> 00:21:07,400 Speaker 2: But Michael, no, no, no, no. 329 00:21:07,400 --> 00:21:10,920 Speaker 4: On air, say but you can say that, yes, both 330 00:21:10,960 --> 00:21:13,760 Speaker 4: of us, yes, her and I, missus Ridgard and myself 331 00:21:13,800 --> 00:21:15,720 Speaker 4: will easily make fun of each other. 332 00:21:15,840 --> 00:21:19,399 Speaker 2: Oh and what I heard yesterday was I'm surprised that 333 00:21:19,480 --> 00:21:23,880 Speaker 2: he's still alive today. Let alone married? Yeah, unmarried? Right, 334 00:21:25,640 --> 00:21:27,840 Speaker 2: But what I would let and I would r and 335 00:21:27,840 --> 00:21:31,760 Speaker 2: I would put together the GoFundMe to defend her. We 336 00:21:31,920 --> 00:21:35,320 Speaker 2: get her off, We get the best damn criminal lawyer. 337 00:21:38,080 --> 00:21:42,639 Speaker 2: On March ten, two days ago, CBS News ran a 338 00:21:42,720 --> 00:21:47,440 Speaker 2: truly blockbuster investigative story on the massive level of fraud 339 00:21:48,400 --> 00:21:52,880 Speaker 2: going on in the hospice industry in southern California, the 340 00:21:52,920 --> 00:21:58,520 Speaker 2: famous for which are almost always covered by medicare dollars. 341 00:22:01,080 --> 00:22:09,280 Speaker 2: It's it's fascinating to me that speaking of the grocery stores, 342 00:22:09,320 --> 00:22:16,560 Speaker 2: for example, how much this is costing us every single day. 343 00:22:16,840 --> 00:22:19,960 Speaker 2: It's getting close to tax time. You should be you 344 00:22:20,000 --> 00:22:22,280 Speaker 2: should be looking at your paycheck or how are you 345 00:22:22,280 --> 00:22:24,880 Speaker 2: You know, however you get paid, how much you pay 346 00:22:24,880 --> 00:22:29,840 Speaker 2: in taxes and realize, oh, a lot of that's just 347 00:22:29,920 --> 00:22:30,880 Speaker 2: going to fraud. 348 00:22:31,320 --> 00:22:34,640 Speaker 5: A CBS News investigation has found hundreds of hospice care 349 00:22:34,760 --> 00:22:38,520 Speaker 5: companies in California are still operating despite the state finding 350 00:22:38,600 --> 00:22:43,040 Speaker 5: multiple indicators of fraud. A watchdog reports has suspected Medicare 351 00:22:43,160 --> 00:22:46,480 Speaker 5: hospice fraud totaled almost two hundred million dollars in a 352 00:22:46,520 --> 00:22:50,120 Speaker 5: state in twenty twenty three. A CBS News investigation found 353 00:22:50,119 --> 00:22:53,800 Speaker 5: that four years after California vowed to stamp out this fraud, 354 00:22:53,880 --> 00:22:56,640 Speaker 5: many hospices with red flags remain in business. 355 00:22:57,400 --> 00:23:02,919 Speaker 2: Get that, four years after they found it, those that 356 00:23:02,960 --> 00:23:07,760 Speaker 2: were engaged in it are still engaged in it. And 357 00:23:07,840 --> 00:23:11,280 Speaker 2: you think that a government run grocery store is going 358 00:23:11,320 --> 00:23:17,000 Speaker 2: to deal with shrink eaves or shoplifting, Hugh, you really 359 00:23:17,040 --> 00:23:19,159 Speaker 2: are some kind of stupid ecb me. 360 00:23:19,160 --> 00:23:22,000 Speaker 5: It's News correspondent Adam Yamaguchi has been an integral part 361 00:23:22,000 --> 00:23:24,040 Speaker 5: of reporting on this story and shows us what this 362 00:23:24,119 --> 00:23:25,760 Speaker 5: means for your tax dollars. 363 00:23:30,280 --> 00:23:34,720 Speaker 6: A sixty nine year old doctor Annie was, according to 364 00:23:34,760 --> 00:23:38,879 Speaker 6: Medicare records, dying in hospice care two years ago, something 365 00:23:38,960 --> 00:23:42,480 Speaker 6: she discovered when she saw physical therapy for a pickleball injury. 366 00:23:43,000 --> 00:23:44,040 Speaker 3: I was shocked. 367 00:23:44,400 --> 00:23:46,439 Speaker 2: They said you're in hospice. 368 00:23:45,960 --> 00:23:48,560 Speaker 5: And I said, what what are you talking about? 369 00:23:48,560 --> 00:23:49,720 Speaker 2: Do I look like a mess? 370 00:23:49,720 --> 00:23:51,920 Speaker 6: So she was no nuts and when Nani's Medicare number 371 00:23:51,960 --> 00:23:55,000 Speaker 6: had been stolen and used by a company to fraudulently 372 00:23:55,119 --> 00:23:58,440 Speaker 6: enroll her in hospice care, which she obviously didn't need. 373 00:23:58,960 --> 00:24:02,640 Speaker 5: Just to think you literally without coverage because of some 374 00:24:03,080 --> 00:24:05,520 Speaker 5: ridiculous fraudculent thing. 375 00:24:06,760 --> 00:24:09,320 Speaker 3: My name is Adam Yamabucham with CBS News. 376 00:24:09,480 --> 00:24:12,959 Speaker 6: A CBS News investigation found in industry ripe for fraud, 377 00:24:13,240 --> 00:24:18,280 Speaker 6: especially in California, companies accused of overbilling, real patients denied 378 00:24:18,320 --> 00:24:22,320 Speaker 6: care and it's costing hundreds of millions of taxpayer dollars. 379 00:24:22,840 --> 00:24:26,480 Speaker 6: The hospice IONI was fraudulently enrolled in, it's called fortuna. 380 00:24:26,720 --> 00:24:28,800 Speaker 2: When we called, no one answered and. 381 00:24:28,880 --> 00:24:30,520 Speaker 3: Not accept any message of grouroup time. 382 00:24:30,720 --> 00:24:34,000 Speaker 6: The state of California increased monitoring of the hospice industry 383 00:24:34,040 --> 00:24:38,280 Speaker 6: four years ago, identifying the potential hallmarks of fraud, CBS 384 00:24:38,320 --> 00:24:41,639 Speaker 6: News analyzed every hospice licensed in La County, more than 385 00:24:41,760 --> 00:24:44,760 Speaker 6: seventeen hundred, and checked for the same morning signs the 386 00:24:44,840 --> 00:24:48,760 Speaker 6: state used, like multiple hospices packed into one building, or 387 00:24:48,880 --> 00:24:54,000 Speaker 6: caregivers whose patients supposedly at Death's store are discharged alive. 388 00:24:54,520 --> 00:24:56,640 Speaker 7: We can't throw a rock without hitting a hospice. 389 00:24:56,840 --> 00:24:59,960 Speaker 6: We brought our findings to Sheila Clark, a hospice patient ADVOCT, 390 00:25:00,640 --> 00:25:03,440 Speaker 6: showing her the more than seven hundred agencies with three 391 00:25:03,600 --> 00:25:07,560 Speaker 6: or more signs of potential fraud. Clark took us through 392 00:25:07,560 --> 00:25:10,120 Speaker 6: an area of Los Angeles that's home to nearly five 393 00:25:10,200 --> 00:25:13,480 Speaker 6: hundred hospice company offices in just a three mile stretch. 394 00:25:13,760 --> 00:25:17,360 Speaker 3: There's one hospice here that hits all six of California's 395 00:25:17,720 --> 00:25:19,520 Speaker 3: red flags of possible fraud. 396 00:25:19,920 --> 00:25:21,640 Speaker 2: Well, there's a hospice there. 397 00:25:21,760 --> 00:25:25,160 Speaker 3: Legal office, yeah, with a ton of mail just sitting there. 398 00:25:25,359 --> 00:25:28,600 Speaker 6: This provider is still licensed with a state. Clark tells 399 00:25:28,680 --> 00:25:32,680 Speaker 6: us when offices like these close abruptly, it's real patients 400 00:25:32,680 --> 00:25:34,240 Speaker 6: in desperate needs who pay the price. 401 00:25:34,320 --> 00:25:38,480 Speaker 2: How does that make you feel sad, really sad, because 402 00:25:38,520 --> 00:25:43,720 Speaker 2: I talk to them every day. I'm sorry, I'm gonna 403 00:25:43,760 --> 00:25:46,800 Speaker 2: californ It goes on and on and on. 404 00:25:47,160 --> 00:25:50,639 Speaker 6: The Attorney General, Rob Bonta is responsible for investigating the 405 00:25:50,680 --> 00:25:51,600 Speaker 6: industry in the state. 406 00:25:51,960 --> 00:25:54,160 Speaker 3: I wonder how they can go for a full year 407 00:25:54,240 --> 00:25:56,440 Speaker 3: and still not have their license revoked. 408 00:25:56,480 --> 00:25:59,000 Speaker 2: Is that a systemic failure? Need to be responsive to. 409 00:25:58,960 --> 00:26:01,720 Speaker 6: Their red flags, react to them, not just count them, 410 00:26:01,960 --> 00:26:03,200 Speaker 6: but do something, take action? 411 00:26:03,400 --> 00:26:07,720 Speaker 2: Want that, says his author. What kind of answer is that? 412 00:26:08,840 --> 00:26:12,280 Speaker 2: Your response? You're the attorney general, You're responsible for investigating this. 413 00:26:13,080 --> 00:26:16,120 Speaker 2: And so we found places that had numerous red flags, 414 00:26:16,560 --> 00:26:19,120 Speaker 2: and why are they still operating? Well, you know, we're 415 00:26:19,160 --> 00:26:22,400 Speaker 2: responsible for investigating and blab blah. What a bull crap answer, 416 00:26:23,160 --> 00:26:27,240 Speaker 2: What a total bull crap answer. That video and then 417 00:26:27,240 --> 00:26:31,240 Speaker 2: a companion story on the CBS website. I think mirrors 418 00:26:31,240 --> 00:26:35,600 Speaker 2: in many ways. The exposure of a variety of fraudulent 419 00:26:35,680 --> 00:26:39,840 Speaker 2: schemes in the Somali community in Minnesota. Now, that ignited 420 00:26:39,880 --> 00:26:44,320 Speaker 2: a nationwide firestorm once we found out about the details. 421 00:26:45,600 --> 00:26:49,560 Speaker 2: I've read dozens of articles about it. But the Blue 422 00:26:49,560 --> 00:26:52,520 Speaker 2: States turn a blind eyed to fraud committed by immigrant 423 00:26:52,520 --> 00:26:59,200 Speaker 2: communities enjoying sanctuary in those same states. It's a de 424 00:26:59,320 --> 00:27:03,440 Speaker 2: facto for those illegal aliens to support themselves, to hold 425 00:27:03,520 --> 00:27:07,840 Speaker 2: down the level of overt welfare support given to them. 426 00:27:08,400 --> 00:27:12,400 Speaker 2: What they managed to steal reduces the need for us 427 00:27:12,480 --> 00:27:19,840 Speaker 2: to give to them. Is that cynical? Probably? Is it truthful? Absolutely? 428 00:27:21,040 --> 00:27:26,120 Speaker 2: Consecuting Medicare fraud is among the easiest assignments that any 429 00:27:26,160 --> 00:27:28,919 Speaker 2: federal prosecutor could be given because the scope of the 430 00:27:28,920 --> 00:27:32,440 Speaker 2: fraud is massive because of the nature of the program, 431 00:27:32,760 --> 00:27:35,880 Speaker 2: and Medicare is the payment of medical care for the elderly. 432 00:27:36,000 --> 00:27:39,840 Speaker 2: Nearly sixty million people are provided medical care covered in 433 00:27:39,960 --> 00:27:44,160 Speaker 2: whole or in part by Medicare, and age is the 434 00:27:44,200 --> 00:27:48,840 Speaker 2: only condition for participation in coverage. And what are we paying? 435 00:27:49,240 --> 00:27:53,760 Speaker 7: Michael? This story about the hospice fraud has to be 436 00:27:53,840 --> 00:27:58,119 Speaker 7: the worst possible thing. The one time in life that 437 00:27:58,200 --> 00:28:00,600 Speaker 7: you really need good care in their going to take 438 00:28:00,640 --> 00:28:04,919 Speaker 7: it away by frauding us. Oh, give me a break. 439 00:28:06,119 --> 00:28:11,840 Speaker 2: And you know it's true everywhere. As I said before, 440 00:28:11,880 --> 00:28:14,760 Speaker 2: the break age is the only condition for participation in 441 00:28:14,760 --> 00:28:19,120 Speaker 2: getting coverage. In twenty twenty four, the last year fright 442 00:28:19,200 --> 00:28:22,639 Speaker 2: that I could find a legitimate number Medicare paid out 443 00:28:22,880 --> 00:28:28,719 Speaker 2: one point one eight trillion dollars to Medicare service providers. Now, 444 00:28:28,720 --> 00:28:31,240 Speaker 2: obviously not all that's fraud, but that gives you the 445 00:28:31,280 --> 00:28:34,840 Speaker 2: scope of the problem. Let's just say that one point 446 00:28:34,880 --> 00:28:41,480 Speaker 2: one eight trillion dollars, that's what a fourth of the budget. 447 00:28:43,280 --> 00:28:46,560 Speaker 2: We could reduce taxes by twenty five percent in the 448 00:28:46,600 --> 00:28:51,200 Speaker 2: income taxes by simply eliminating that. Now, it's not Again, 449 00:28:51,280 --> 00:28:55,800 Speaker 2: it's not all fraud, but if a huge percentage of 450 00:28:55,840 --> 00:29:01,080 Speaker 2: it is, you could still reduce the deficit, cut spending, 451 00:29:01,360 --> 00:29:05,560 Speaker 2: reduce taxes. And what kills me about how easy this is. 452 00:29:06,880 --> 00:29:11,400 Speaker 2: Every participant has a unique identifier number that gets used 453 00:29:11,400 --> 00:29:15,560 Speaker 2: for a variety of purposes, including billing by authorized Medicare 454 00:29:15,600 --> 00:29:21,280 Speaker 2: service providers. The available information that can be obtained via say, 455 00:29:21,280 --> 00:29:26,360 Speaker 2: your grand jury subpoena, search warrants that ought be that'll 456 00:29:26,400 --> 00:29:30,960 Speaker 2: be fourteen thousand feet high. Billing and payments are all electronic, 457 00:29:31,800 --> 00:29:34,440 Speaker 2: and the money is relatively easy to track through the 458 00:29:34,480 --> 00:29:40,560 Speaker 2: banking system. This is a regulated industry. This is supposed 459 00:29:40,560 --> 00:29:44,720 Speaker 2: to have professional licenses and certifications all required for most 460 00:29:44,760 --> 00:29:48,640 Speaker 2: of the positions, so identifying the people involved is not 461 00:29:48,680 --> 00:29:52,600 Speaker 2: that difficult. The massive amounts of money that move in 462 00:29:52,680 --> 00:29:55,640 Speaker 2: the normal course make detection of fraud on a timely 463 00:29:55,720 --> 00:30:00,520 Speaker 2: basis rare. So it's easy to track if you want 464 00:30:00,560 --> 00:30:03,160 Speaker 2: to do it. But the amount of the fraud and 465 00:30:03,200 --> 00:30:06,320 Speaker 2: the amount of the money is so huge that we 466 00:30:06,400 --> 00:30:10,720 Speaker 2: don't devote the resources that we need to find it. 467 00:30:11,720 --> 00:30:15,640 Speaker 2: So if you're a disciplined fraudster, you're going to be 468 00:30:15,680 --> 00:30:18,240 Speaker 2: generally able to stay ahead of the auditors. You'll be 469 00:30:18,240 --> 00:30:21,000 Speaker 2: able to stay ahead of the criminal investigations simply by 470 00:30:21,040 --> 00:30:24,560 Speaker 2: not remaining in place too long. Just keep moving and 471 00:30:24,640 --> 00:30:27,200 Speaker 2: for the most part, as long as the electronic buildings 472 00:30:27,240 --> 00:30:30,120 Speaker 2: submitted by the Medicare service provider appears to be in 473 00:30:30,240 --> 00:30:33,360 Speaker 2: order in terms of just documenting a medical need and 474 00:30:33,400 --> 00:30:37,160 Speaker 2: the Medicare number corresponds to an eligible enrollly the payment 475 00:30:37,200 --> 00:30:39,640 Speaker 2: for the service goes out to the to the provider 476 00:30:39,880 --> 00:30:44,640 Speaker 2: within fourteen days. So then the sheer volume of claims 477 00:30:45,160 --> 00:30:48,920 Speaker 2: that get submitted every month, I would argue, makes it 478 00:30:48,920 --> 00:30:53,200 Speaker 2: almost literally impossible for any form of validation to take 479 00:30:53,240 --> 00:30:57,440 Speaker 2: place prior to the payment being made. We've set this 480 00:30:57,680 --> 00:31:02,240 Speaker 2: up to be fraudulent, and then nobody wants to stand 481 00:31:02,240 --> 00:31:04,200 Speaker 2: on the way of the doctors and the service providers 482 00:31:04,760 --> 00:31:07,480 Speaker 2: that are taking care of the elderly from getting paid 483 00:31:07,520 --> 00:31:16,160 Speaker 2: for their work. But fourteen days you know, standard operating 484 00:31:16,160 --> 00:31:18,520 Speaker 2: procedure used to be, you know, you send an invoice 485 00:31:18,560 --> 00:31:21,520 Speaker 2: out needed to be paid within thirty days, twenty five days, 486 00:31:21,640 --> 00:31:25,280 Speaker 2: two weeks. So to the extent that this fraud is 487 00:31:25,360 --> 00:31:29,760 Speaker 2: ever detected, it usually gets investigated only after series of 488 00:31:29,800 --> 00:31:34,960 Speaker 2: transactions that might catch the attention of an investigator or 489 00:31:35,160 --> 00:31:39,560 Speaker 2: because of a random audited service providers. Now, to be 490 00:31:39,600 --> 00:31:44,560 Speaker 2: a Medicare service provider, including these hospice care providers, you 491 00:31:44,680 --> 00:31:46,840 Speaker 2: have to be licensed by the state where you operate. 492 00:31:47,720 --> 00:31:50,400 Speaker 2: So after securing a license pursuit to the laws of 493 00:31:50,440 --> 00:31:56,640 Speaker 2: say Colorado, then the provider must obtain Medicare certification that 494 00:31:56,680 --> 00:31:59,560 Speaker 2: gives you a provider number that allows you to build 495 00:31:59,560 --> 00:32:03,040 Speaker 2: from Medicare services. Now, you would think that the certification process, 496 00:32:03,120 --> 00:32:07,480 Speaker 2: I mean just the name itself a certification process. You 497 00:32:07,520 --> 00:32:09,720 Speaker 2: would think that would involve some sort of significant form 498 00:32:09,720 --> 00:32:14,120 Speaker 2: of validation with respect to the you know, the modifids 499 00:32:14,120 --> 00:32:17,080 Speaker 2: of the company seeking authorization to send the bills in 500 00:32:17,120 --> 00:32:20,040 Speaker 2: the first place that are for thousands, if not millions 501 00:32:20,040 --> 00:32:22,280 Speaker 2: of dollars to Medicare and you can then get checks 502 00:32:22,320 --> 00:32:24,680 Speaker 2: back in those amounts in a matter of fourteen days. 503 00:32:26,920 --> 00:32:30,440 Speaker 2: So take California. Do you know how they do certification? 504 00:32:31,680 --> 00:32:35,800 Speaker 2: Certification is accomplished the California Department of Public Health and 505 00:32:35,880 --> 00:32:41,080 Speaker 2: Licensing and Certification Division, acting as the state survey agency 506 00:32:41,200 --> 00:32:46,480 Speaker 2: for Medicare. See, the same California state agency that issues 507 00:32:46,680 --> 00:32:50,840 Speaker 2: licenses to hospice care providers that's necessary to obtain a 508 00:32:50,880 --> 00:32:56,560 Speaker 2: Medicare certification also gets the job of determining the certification 509 00:32:57,280 --> 00:33:03,040 Speaker 2: of those same hospice care providers that they just licensed. Now, 510 00:33:03,160 --> 00:33:05,560 Speaker 2: I know it doesn't make sense to you, doesn't make 511 00:33:05,600 --> 00:33:09,520 Speaker 2: sense to me, But if you're a government bureaucrat, it 512 00:33:09,680 --> 00:33:14,760 Speaker 2: makes perfect sense. I'll explain why next