Nacha is one of the two major ACH networks in the U.S. connecting financial institutions and payments platforms for electronic transactions and clearing. Members of Congress question whether this is appropriate. They worked in Washington, D.C. to advocate the causes of those in retirement or approaching retirement. The spark of hope was extinguished this year. The AARP Bulletin (September 2009) has a front-page headline on Obamacare: “The Hype, the Lies, the Facts: How to Tune Out the Fear-mongering and Misinformation and Make Sense of the Health Care … “For somebody in their early fifties, I’d say hold on to your wallet — it’s going to mean higher costs and lower benefits,” said AARP’s John Rother about the Ryan plan. The key to making a profit from Obamacare is exploiting the difference between Medicare Advantage and Medigap. Even though the Ryan plan does not cut Medicare, it’s been pounded by AARP’s irrational condemnation of it for two years straight. But whether reasonable or not, AARP executives are very well paid, according to the House committee report. Join the AARP Family Caregivers group on Facebook if you do facebook. Members of Congress want to know whether AARP is an advocate for seniors or whether it’s in it for the money. During the debate in Congress over Obamacare AARP’s Barry Rand repeated the Administration line. AARP was once a respectable voice for the interests of seniors. Related Questions. Its membership is just cheap. In the US, railroad practice is that the engineer operates the controls of the locomotive (so "runs the train" in that sense) - however the conductor, back in the coaches, is in command of the train (so "runs the train" in that sense). Postal Service to settle allegations that in 1991-1992 it improperly mailed health insurance solicitations at nonprofit rates. We all know what happened. AARP The Magazine was created in 1958. “Our members and older Americans have paid into Medicare and Social Security throughout their working lives, and they have earned a say in the future of these programs,” said AARP CEO A. Barry Rand in a news release announcing the national campaign. It’s a win-win for AARP. AARP has come under tax scrutiny in the past. Most Medicare Advantage Plans cover Medicare prescription drug coverage (Part D). To locate the nearest AARP TCE Tax-Aide site between January and April use the AARP Site Locator Tool or call 888-227-7669. “The obvious conflict is that AARP recommends products in which it has a financial interest,” a Palm Beach Post editorial said. There are several AARP-affiliated organizations, and they include the following: AARP also has many other initiatives, including promoting driver safety (AARP Driver Safety), producing television programming that targets seniors, and engaging in sponsorships that support social causes, such as raising awareness of and fighting hunger in America. The IRS concluded that AARP had engaged in commercial activities and was therefore obliged to pay what’s called the “unrelated business income tax” or UBIT. No Friend of Entitlement Reform While the AARP provides some great promises, it also has its own set of drawbacks. By Frances Langum on Fri, 10/26/2018 - 9:01am. An executive director is the senior operating officer or manager of an organization or corporation—usually a nonprofit. Currently, it runs offices in 50 states of the country. Answer. AARP: Seniors Advocacy or Lucrative Dealmaking? That, in itself, isn't too unusual. Obamacare languished in Congress for more than a year before finally passing the Democrat-controlled House in March 2010 on a narrow 219-212 vote. We’ll never know how HearUSA benefited from its AARP deal because it filed for Chapter 11 bankruptcy in May 2011. Some of AARP’s actions must make members wonder whether the organization is advocating more for itself or for them.”. Its non-profit operations also receive millions of dollars per year in the form of federal grants. AARP’s resistance to reforming entitlement spending disappoints those who hoped the seniors group would recognize the danger entitlements pose to the nation’s fiscal solvency. Seven of AARP’s 22 board members comprise the entire board of the AARP insurance plan. Teri has also helped me navigate the AARP Rewards program. Hayden Ludwig Talks George Soros on KMED in Oregon, George Soros: A Lifetime Fortune Spent on Liberal Influence, The Walmart Foundation, a Microcosm of Woke Capital. Its president and founder is Daniel C. Weber, a retired insurance agency owner. You can learn more about the standards we follow in producing accurate, unbiased content in our. They show how the group leverages for-profit businesses to rake in revenue. The provider’s terms, conditions and policies apply. SHAME on those who run the AARP! Holding Republican Representatives accountable for their actual votes on healthcare. But after the media reported on this development, AARP backed away and denied that it had changed its position on Social Security. Who Benefits Most from AARP? AARP member dues comprise only 17 percent of the group’s total revenue. No. As a result up to 50 percent of Medicare recipients are expected to drop their Medicare Advantage plans and most will switch to a supplemental Medigap program. The only prerequisite is membership in the national AARP. Under the Internal Revenue Code, tax-exempt organizations are prohibited from providing “unreasonable” compensation to executives or board members. I’m in a hotel room in Madison, Wisconsin, preparing to hit the road for 196.1 miles of running back to Chicago. Please return to AARP.org to learn more about other benefits. After the House report was submitted to the IRS last year, AARP Board President Lee Hammond was quick to defend his organization. AARP’s support for entitlement reform collapses whenever it is asked to consider serious reform legislation. In a letter to the IRS, Republicans on the House Ways & Means Committee questioned AARP’s sponsorship of UnitedHealthcare insurance. AARP has grown to be a powerful organization, with over 38 million active members and a strong lobbying presence in Washington and state capitals. Before you decide to join it, it is best to assess first its pros and cons. Of $657 million in royalty revenue in 2009, mainly from insurance companies, 65 percent came from UnitedHealth Group, making it AARP’s largest business partner. However, membership fees represent the most significant source of revenue. AARP’s recent activities make it even more important to find the answer to this question. The membership year runs from September through August. It’s noteworthy that from 2002 to 2009, dues revenue from AARP members increased by 32 percent. Capital Research Center (CRC) was established in 1984 to promote a better understanding of charity and philanthropy. By comparison, revenue from AARP’s insurance company royalty partnerships tripled during the same period. During the 2011 debate AARP made unfair arguments against the Ryan plan. House investigators also inquired into the extent of AARP’s insurance and business-related activities. The American National Standards Institute (ANSI) oversees the creation and dissemination of business norms and standards in the United States. But mixing for-profit and not-for-profit money can cause ethical issues, and backing products that produce revenue can cause credibility issues. I once ran a half marathon and felt so wonderful from the accomplishment. HearUSA struck an exclusive deal with AARP, paying a $55 royalty for every hearing aid it sold at a 20 percent discount to AARP members. Get a surprise score boost when you match the tile with the AARP Rewards badge. Although some changes in Medicare are directed at those 55 and under, in fact, the mandatory spending caps would very likely trigger cuts to Medicare benefits for today’s seniors.”. Remarkably, however, AARP’s Barry Rand went on to concede that the solvency of Social Security was a legitimate issue. AARP has a separate AARP Foundation, which provides direct assistance to seniors by working with government agencies and charitable organizations to provide food, housing and income assistance. “It’s a great unknown that we’re all dealing […] Advertising income and government grants each provided about $100 million in revenue, according to the House report. Be the first to answer! AARP makes much of its revenue from the sale of supplemental Medicare insurance provided by UnitedHealthcare, which, as the insurance company explains in its promotional materials, “pays a royalty fee to AARP for use of the AARP intellectual property.” This may likely have been key to AARP’s support for the Patient Protection and Affordable Care Act, as will be discussed later. Easy Money Rother, who is AARP’s executive vice president for policy, made a prediction: “This proposal is not going anywhere anytime soon.“. AARP offers membership benefits ranging from discounts, healthcare options, insurance products, travel-related services, education, and learning resources. (Jim Angle; “Republican Lawmakers Question AARP’s Tax-Free Profits from Product Endorsements;” Fox News; Dec. 27, 2011.). Pulse Endurance Runs 48/24/12/6 Hour,100 Mile The Pulse Endurance Runs are a beautiful and flat fixed-time race held at Eagle Island State Park, 8 miles west Social isolation is bad for your health, and is one of the things most caregivers have to fight against. AARP: The Hype, The Lies, The Facts The Bulletin ^ | Monday, September 21, 2009 | Herb Denenberg Posted on 09/22/2009 10:32:59 AM PDT by curth. When was AARP The Magazine created? This year, Shelley Adler, the widow of the late Rep. John H. Adler (D-N.J.), is running for the seat that her late husband occupied from 2009 to 2011. ... which runs Medicare.com as a non-government website. The Confucius Institutes and CCP Propaganda on College Campuses, InfluenceWatch Podcast #158: Power and Influence of Teachers Unions. Here’s why: The UnitedHealthcare insurance company offers Medicare Advantage policies (which are the private alternative to traditional Medicare) under the AARP brand name. 1. HearUSA must have believed its AARP endorsement offered it credibility and would boost sales. AARP is doing amazing things to make life better for today's 50-plus population and generations that follow. They took particular notice of an unusual and troubling feature in the nonprofit’s contractual arrangement with the for-profit firm: AARP had “authority over United’s ‘operating plan’” and it has the authority to “approve, modify on a line-by-line basis, or provide specific direction to United.” (Jim Angle; Fox News; Dec. 27, 2011. No one is talking, but NASCAR says it costs about $14 million per season to sponsor a NASCAR driver. “It has also been a long held position that any changes would be phased in slowly, over time, and would not affect any current or near term beneficiaries.”, The moderate Democratic group Third Way, which pushes for more fiscal responsibility, took notice, calling Rand’s cautious acknowledgement “a watershed moment” for taming the entitlement beast. Who runs AARP? Without AARP’s endorsement of the administration’s promises and claims Obamacare probably would not have passed Congress. Did You Know That AARP Is A Paying Member Of ALEC? The financial gain to AARP could be as much as $1 billion over the next 10 years. new york daily news | feb 21, 1998 at 12:00 am . Despite the Obamacare cuts UnitedHealthcare will continue to pay AARP a royalty payment for its brand name—even if the number of its Medicare Advantage policyholders declines as premiums rise. Copyright 2021 Capital Research Center. The endorsement attracted notice, but not all of it was positive. The head of grassroots advocacy shares how the association structures and runs this team, and how it’s responding to COVID-19. A benefactor is an individual that provides money or other resources to an individual, group, or organization. The extended agreement, which is expected to run through December 2020, will enable UnitedHealth Group to serve AARP’s 37 million members by drawing upon the ever-expanding capabilities across its businesses, including UnitedHealthcare in health benefits and Optum in health services. To promote a “Drive to End Hunger” among seniors, the AARP Foundation in 2010 committed to sponsor the races of NASCAR driver Jeff Gordon for three years. (Jim Angle; Fox News; Dec. 27, 2011.). In 2009, then-CEO William Novelli was paid $1.64 million annually. According to an explosive new report from Sen. Jim DeMint (R., S.C.), it’s because those very same Medicare cuts will give the AARP a … By these standards, AARP runs government budgetary policy, not presidents or congressional leaders. “We have been conducting ourselves in pursuit of that mission for more than 50 years with the same focus on affecting both public policy officials and the private marketplace to achieve our social welfare goals.”. As Investor’s Business Daily put it, AARP “will no longer irrationally stand in the way of the government reducing Social Security benefits.”. AARP manages outreach programs that address housing issues and social isolation among seniors. That was then. It is registered as a 501(c)(4) non-profit by the Internal Revenue Service (IRS), which means it is permitted to engage in lobbying. It also administers some 501(c)(3) public charity operations while some of its other operations are for-profit. That’s the question Wyoming Senator Alan Simpson asked at a hearing he held in 1995 on AARP’s operations. This exclusive take on the Mahjong Dimensions game celebrates AARP Rewards, AARP’s loyalty program that rewards you for a life well played. Official AARP Pyramid Solitaire. AARP Runs Hard Against Reps Who Voted To Strike Down ACA. ), By contrast Medicare Advantage offers plans run by Medicare-approved private insurance companies. UnitedHealthcare pays AARP a specified royalty fee for using its brand name/intellectual property. “It has long been AARP’s policy that Social Security should be strengthened to provide adequate benefits and that it is sufficiently financed to ensure solvency with a stable trust fund for the next 75 years,” Rand said. AARP’s 40 million members are supposed to engage in a “national conversation” to voice their opinions on Medicare and Social Security. The following letter is in response to AARP's July-August Bulletin . You are leaving AARP.org and going to the website of our trusted provider. In the US they are called an engineer. For instance, current IRS rules exempt from taxation royalty payments such as those UnitedHealthcare makes to AARP. In a December 2, 2009 statement, Rand wrote, “The AARP believes that savings can be found in Medicare through smart, targeted changes aimed at improving health care delivery, eliminating waste and inefficiency, and aggressively weeding out fraud and abuse.