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 Home > Opinion > Story

Published - Thursday, January 03, 2008

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Editorial: VA clinics latest chapter in failed privatization

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Ah, the wonders of privatization.

On Dec. 10, locked doors greeted veterans seeking treatment at Veterans Administration clinics in Rice Lake and Hayward. Corporate Wellness & Fitness, the Kentucky company contracted to operate the clinics, cut and ran after just six months in Hayward and three months in Rice Lake. The company said it was losing $26,000 a month and that the VA reneged on promises to guarantee the venture’s profitability. The Rice Lake clinic reopened Dec. 26 with VA personnel, but the Hayward clinic remains closed.

The fiasco raises numerous issues. Business Week magazine reported Corporate Wellness & Fitness “agreed to accept a fixed sum per month instead of having the VA reimburse it dollar for dollar ... It quickly felt pressure from the government to spend more on supplies and equipment than it had budgeted and could pay.” Aren’t businesses supposed to consider these factors before they submit a contract bid? It seems that government contracts, at least under the Bush Administration, follow the rules of crony capitalism: profit is privatized, risk is socialized.

Even more fundamental is whether privatization, and the inevitable profit/loss calculations that come with it, is in the best interests of veterans or taxpayers. Treating veterans is an inherently unprofitable enterprise. Nearly all wounded veterans have complex medical traumas that far exceed their ability to pay. VA hospitals and clinics don’t exist to turn a profit; they exist to provide the best medical care possible for those who risked their lives in defense of their country. Their treatment is a public, not a private, function.

If the government were serious about privatization, it would abolish every VA hospital and clinic and simply give veterans vouchers for their medical care. So-called public/private partnerships, like the ones in Rice Lake and Hayward, blur the line between public and private, encourage private vendors to believe government owes them a guaranteed profit (see, “cost-plus” contracts) and often lures private contractors into the pay-to-play world of campaign contributions (see Halliburton, Blackwater, etc.).

The VA system exists because the free market is an awkward and inefficient delivery mechanism for veterans health care. When it’s absolutely, positively necessary for a group of people to receive medical care, there is no substitute for socialized medicine. That’s why VA employees, not Corporate Wellness and Fitness, are delivering health care to veterans in Rice Lake.
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Craig B wrote on Jul 2, 2008 2:49 PM:

" http://reno.broowaha.com/article.php?id=3553 American veterans are the largest single group discriminated against.

If you'll believe in me, I'll believe in you. Is that a bargain? is from Alice In Wonderland. Did you know that American veterans are the largest single group of American citizens discriminated against? Why arent veterans protected against discrimination? Health care, home loans and home purchases are the three areas veterans are discriminated against the most in. Since I started this Among Us series, I get a wide range of stories from people. Some of these people are angry. Others are crying. Some are perplexed. Others are frustrated. Some are desperate. Others are in shock. Enough time has gone by that I am now getting information on a person or business from more than one source. Some I have personal knowledge of. It is way past time veterans also are a State and Federally protected class of American citizen. Certain classes of people are Federally protected against discrimination. Classes such as race, nationality, ethnicity, marital status, age, familial status, disability, etc. in loans, leasing and selling of houses in Fair Housing in Housing and Urban Development, in employment such as in the Equal Employment Opportunity, and access as in the American With Disabilities Act.

The Reno-Tahoe area has many good things going for it. Another one of them is the regional VA Medical Center. As a disabled Navy Viet Nam vet, when I lived in the Bay Area I used to go to the San Francisco VA. It had excellent care. The VA hospital here is also excellent. When the VA Hospital is overwhelmed, as it often is with the massive influx of younger veterans from The supercilious War On Terror, it out-sources us. It gives us vouchers to pay for our medical care. The reason is that the VA is a health care plan one exclusively for veterans. The intent of the VA is that a veteran gets health care outside the VA and their health insurance covering them is VA. No different from other health care insurance providers such as Kaiser, Blue Cross, Hometown Health, etc. Great idea except the private sector refuses to treat veterans with VA insurance.


Such as Ed Angelini. Melody Cote was one of the people at Dr. Angelinis office that hung up on veterans with a VA voucher. One of those veterans was me. She is now a Realtor. Her husband, Jack Cote, is formally of RemCor Realty. Both are now with Coldwell Banker Village Realty. Dr. Angelini, Mrs. Cote was quick to send us to war and certainly enjoy the daily benefits of living in a free society. Yet, they denied their services to veterans. Services for which they advertise they do, will be paid to do by the VA, yet they refuse to provide their service solely because the patient seeking their service is a veteran.

Same story for a veteran seeking to use their GI Bill to purchase their home. I have also received several complaints about Realtors and loan officers that will not work with a veteran wanting to buy their home with a VA insured home loan. I myself had the same problem with a Realtor named Danny Podesto. I called Senator Harry Reid and spoke with a Susan Lisagor for Senator Reid to sponsor legislation to add veterans to the protected list so veterans cant be discriminated against.

I want American veterans immediately added to the protected class of citizen for discrimination. We have State and Federal laws to protect against discrimination. It is way past time veterans also are a State and Federally protected class of American citizen. The Salvation Army (a Hero Among Us) is the only store Ive ever found that gives me a Veterans discount upon presentation of my Veterans ID.

Others (Troop-Haters Among Us) that I have received stories that have denied services to veterans solely because of the veterans VA insurance or the use of a Veterans ID.

NO pharmacy in town out side of the VA pharmacy.

Doctors: Dr. Terance Cochrane, Eyetech Visioncare, Dr. Thomas Komadina, Sierra Eye Associates, Dr. Geoffrey Cecchi, Family Eyecare Associates, Dr. Michael Fischer, Dr. Hum, Dr. Denis Humphreys, Dr. Stanley Plecha, Dr. Tyson Kales, Dr. Evan Pritchett, Dr. Christine Siebert, Dr. William Durant, Dr. Bud Schonder, Dr. Michael Stanko.

Realtors: Rose Newman with Prudential Nevada Realty, Carl Jorgensen with Coldwell Banker Village Realty, David Morris with RE/MAX, Donna Clark with Dickson Realty, Greg Cook with RemCor, Dana Haley with Keller Williams, Walt Gottchalk with RPS, Veena Ranganath with Coldwell Banker Plummer, Corey Carter with Keller Williams, Linda Hartman with Century 21, Chris Harris with Coldwell Banker Village Realty, Michael Robinson with Chase, Rodley Moser with Dickson Realty, Jonathan Wornardt with Coldwell Banker Village Realty.

Loan Officers: Brent Harte with CTX Mortgage, Kevin Anderson with Countrywide, Gina Nolte with Indymac, Sheryl Christensen with Countrywide.

Banks: Bank of America refuses to accept a Veterans' ID. That also happened to me. Many of the stories I got about this discrimination were from elderly and/or disabled veterans. They do not drive so their only ID is their Veterans ID.

If you'll believe in me, I'll believe in you. Is that a bargain? If these businesses will believe in and support us veterans, then Ill believe in and support them. Until then, to stop the discrimination against veterans, I will not use them. I wrote this article. I tell others about the discrimination. I ask that you do not use those that discriminate against veterans, and that you contact your local and Federal representatives telling them to sponsor and support legislation adding veterans to the protected classes. Veterans served so that every American citizen enjoys the benefits of a free society. However, the veterans do not get respect, or the benefits we paid to get. If you enjoy your freedom, thank and support a vet. If not, get the hell out of America. "

To :AJ wrote on Jan 12, 2008 11:20 PM:

" What do you mean they treat all veterans. I'm on a waiting list to get a Primary Care physician. I'm a Category 8 which means I make too much money to receive services I should be entitled to. I would love to be able to get at the services the others are complaining about "

AJ to Camille wrote on Jan 9, 2008 4:55 PM:

" ..."There was a time when the VA only treated the down and out."...

Camille, can you tell me when the VA treated only the down and out. I worked for the VA for many years. When I started back in the '70s, anyone who was a vet could receive treatment at the VA. Then (around 1985) came the "Means Test" that excluded any vet over a certain income/asset limit from care or required a deductible. The veterans didn't need to be "down and out" by any means. Is the Means Test what you are referring to? "

Camille wrote on Jan 7, 2008 5:11 PM:

" I wasn't speaking of the bureaucrats, I was speaking about the doctors, nurses and support staff that I work with every day. The docs I work with don't even know the bureaucrats. They order the tests they want, the medications their patients need and management wouldn't dare over ride them. It sounds like you're saying some of the same things I am. The VA is getting alot better. Many people have to use the VA. I hate to see generalizations like yours. It's unfair to the many, many families who trust the VA to take care of their loved ones. What I am saying is that there are plenty of us who do care and do our best every day. I am NOT part of the problem. Me, and VA employees like me are the solution. "

re:Camille wrote on Jan 7, 2008 1:22 PM:

" you can sugar coat this all you want but your not going to tell me anything but what I know and what I have experienced over the years and my fellow veterans. First off you MUST BE PART OF THE Problem, anyone that wants to say that the VA is a great run bureaucracy is part of the bureaucracy. Hell we would go to regular doctors outside of the VA to get second opinions and they were never the same as the VA's version(WHY? because the VA does not want to spend money). The VA system is a bloated bureaucracy that only cares about the bottom line on patients, which means don't help the patients, get by with as little as possible but tell them this is all we or anyone can do for you.....The VA's around this country need more overhauling lot's more. GRANTED in the last 6 years the VA has changed a lot(and I really mean a lot, it is on a path to actually change a system of abusive neglect). All during the 90's there wasn't hardly enough money to keep the lights on and forget about CARE is was nonexistent in the 90's....Has there been changes YES there has but it's still got a long ways to go to be a real Hospital instead of just a place to work for so many that live off that system at the detriment of the Veterans. THE UNION WORKERS ARE A JOKE, everything is the old "IT'S NOT MY JOB" mentality.....Before anyone says the VA is so GREAT maybe they ought to try to get some care done there and fight the "GOOD FIGHT" when it comes to getting Medical care done correctly without being fought all the way. The biggest thing is you as a Veteran have no CHOICE when it comes to your medical care, they make all the choices for you and that's it. no matter what they think or what other doctors outside the VA say. Yes the VA is still years behind the regular medical industry but this is GOVERNMENT CONTROLLED HEALTH CARE and you only get the minimal "

old vet wrote on Jan 7, 2008 10:28 AM:

" The whole concept of profit made over another's misery is questionable. Profit gets in the way of caring. Also, the sick person is in no position to shop around, even less to choose not to purchase a needed service. Of course they can always refuse medical care and trust the body's recuperative powers. If they die, so what? It's less expensive intensive care for the system to provide. That's the business perspective.

Medical costs have grown exponentially since for-profit hospital chains, and advertising for drugs and services, entered the medical scene. Advertising has added 20% to the cost and profits up to another 20%. Somehow this was supposed to lower costs. The market cannot manage health care. Competition often means only duplication, which further ups the cost.

We can't afford for long the 40% or so for ads, profits and duplication. Sooner or later we will have socialized medicine. And the wealthy can still have their private docs if they so choose -- and if they can find them. "

Camille wrote on Jan 6, 2008 1:57 PM:

" Most of the VA employees are caring compassionate people. But, just like anything else, a few bad apples...The VA does not practice old medicine. One of the best benefits of the VA is the medication program. They may not have the newest drug on the market, but they have what most veterans need to live a healthy lifestyle. Many veterans weren't taking anything(because they couldn't afford it) before turning to the VA. There was a time when the VA only treated the down and out. Not true anymore. Veterans are living longer and turning to the VA for help. They demanded the bar be raised and it has been. It is the largest healthcare delivery system in the world. Does it have some glitches, of course, but all-in all it has more then met the challenge. I would suggest, sir, that you try the VA again, keep your health insurance until you're sure they meet your demands. If you encounter an employee who is rude or disrespectful, tell someone. Good Customer Service is a national goal. You may be helping the next veteran who comes along. Management at all the VA's need to weed these "bad apples" out and not let the union fight for their jobs. "

ARE YOU KIDDING ME wrote on Jan 5, 2008 4:05 PM:

" Have you ever been treated at a VA, the old Bureaucrat's could care less about the veterans, The Government running the VA's is just another joke as far as to how the VET's are treated, The amount of WASTE that goes on in these hospitals is astounding not to mention the "IT'S NOT MY JOB ATTITUDES" by the employees. I challenge anyone to prove to me that the VA'S are run properly then are backwards with tons of paperwork and tons of waste and very little for the Veterans, I am a VET and I would rather die then get my medical care from the VA's that is why I have my own health insurance and go to my own doctor.....What is not discussed is the fact that the VET has no choices in the VA system NONE the VET gets what the government decides to give him or her and in most cases it's very old medicine. So I say not all privatizing will work but we need competition in the VA system of over BLOATED Bureaucrat's that could care less about the patient. Mark Gibson to promote the federal labor unions as good is a JOKE these people walk around all day looking for ways to get out of work. Go to a VA and ask a few questions I guarantee no-one knows a dam thing or cares "

Camille wrote on Jan 3, 2008 9:09 PM:

" I agree that Federal Employees are the best bet for serving our nations veterans. However, I wholeheartedly disagree that their "unions" do anything but impede the process. I believe there was a need for unions in a less sophisticated time, but now they put a stick in the wheels of progress (and good customer service) Poor government employees hide behind the union to protect them. Consequently, our nations veterans get treated poorly by many. VA's across the nation have to put up with employees who are less than desireable. In the private sector these employees would be out of a job. That is the down side of seeking help from our government. Managers get worn down by the fight so they give up and settle for mediocrity. Not good enough for those who fought the "GOOD" fight.

"

Mark Gibson wrote on Jan 3, 2008 1:56 PM:

" The government will never learn that public service needs to be performed by public servants. Federal employees and thier unions have proclaimed this for years in the Department of Defense.

Only the general public that relies and recieves these vital public services will be able to stop the madness of selling off the publics interest. This can only be accomplished by voting for candidates who support public service and not private sector profiteering with taxpayer dollars.

Competition over public services does not breed efficiency or better government service. Competition breeds greed in private sector offerers and scaled back services. "


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