Obamacare Co-ops Paying Exorbitant Salaries to Executives
8th July 2015
17 of the 23 existing non-profit co-ops created by Obamacare are paying their executives exorbitant salaries as high as $587,000, according to reporting by the Daily Caller’s Richard Pollock. Not only do almost all co-op executives have zero insurance experience, but according to Pollock, their salaries may violate provisions in both federal law and Obamacare rules that limit executive compensation.
Several executives had portions of their salaries hidden in “obscure tax return footnotes” or did not report them at all. As Pollock points out, the median executive healthcare pay is $135,000 but at least five states paid their executives over $487,000 – more than three and a half times the average. These salaries likely violate a section of the Bipartisan budget Act of 2013 which prohibits federal contractor executive compensation from exceeding this amount. In addition, at least six co-ops (in New York, New Jersey, Oregon, Arizona, Louisiana, and Illinois) hid $26.5 million in additional pay in their footnotes as “management fees.”