Beach Cities Total Household Expenditures on Healthcare was $260M in 2022 per US Government Surveys

In order to support its $30M bond issue, BCHD is currently advertising that the 3 Beach Cities save $182M annually on Healthcare costs. BCHD paid Gallup with taxpayer funding to develop that unvetted Healthcare savings number. We have a legal request in at BCHD to get the details pf the Study We Paid For!

The $30M BCHD bond is:

1) $9M on allcove for building upgrades for a 91% non-resident Service Area, and

2) $21M for demolition/grass/parking that its Commercial Developer (PMB LLC) committed to paying but has apparently reneged?

THE SNIFF TEST ON BCHD'S $182M "SAVINGS" NUMBER - WHY WE THINK IT'S CRAZY

FOLLOW THE MONEY

Blue Zones LLC (private, for profit company), Sharecare Inc. (private, for profit company) and Gallup Inc (private, for profit company) together sell the Blue Zones program and services. BCHD paid $2.3M to setup the program, some unknown million$ since then, and ten$ to hundred$ of thousand$ per Gallup survey. GALLUP PROFITS DIRECTLY FROM DEMONSTATING BLUE ZONES SUCCESS

BCHD/GALLUP "SAVINGS" ARE HYPOTHETICAL

Unlike the US Government that measures the expenditures on healthcare directly using a Household sample, BCHD/Gallup are using national data and attempting to back into hypothetical savings.

WHAT YOU HAVE TO BELIEVE IF BCHD/GALLUP'S $182M NUMBER IS ACCURATE

POSSIBLITY 1 - THE AVERAGE HOUSEHOLD IN THE BEACH CITIES REALLY GOT THE GALLUP $182M AND THEREFORE EACH HOUSEHOLD SPENT UNDER $1,500 ON HEALTHCARE LAST YEAR

We don't think so. After you read this, YOU won't think so.

Since expenditures for the Beach Cities using metro LA-Long Beach average data are only $260M, if you believe the $182M in savings is real, then that means that the $260M in expenditures would be reduced by Gallup savings to only $78M ($260M expenditures - $182M savings) or $1,450 per HH in 2022. NOPE - DOESN'T MAKE SENSE.

-OR-

POSSIBLITY 2 - YOU DIDN'T SAVE THE BCHD/GALLUP $182M - SOMEONE ELSE GOT IT

BIG PHARMA, BIG INSURANCE, Hospitals, Doctors, Government, Blue Zones, Sharecare, Gallup, Employers, Medicare, Medicaid, etc. Since YOUR insurance costs didn't go down, and YOUR prescription costs didn't go down, and YOUR hospital costs didn't go down - MAYBE ALL YOUR GOOD HEALTH SAVINGS ($182M per year if it's REAL) WENT TO PROFITS?

UNTIL BCHD COUGHS UP THE FULL DETAILS OF THE TAXPAYER-FUNDED GALLUP STUDY - WE CANNOT KNOW!

DATA & SOURCES

US BLS COLLECTS HOUSEHOLD EXPENDITURES EVERY YEAR FOR HEALTHCARE

US household expenditures and inflation levels are tracked by the Bureau of Labor Statistics (BLS) Consumer Expenditures Survey (CES). The data is released in summary form at about a 1 year lag to the public. One of the measures in the BLS CES is annual Healthcare expenditures per household.

Annual Healthcare expenditures consists of 1) Insurance, 2) Medical Services, 3) Drugs, and 4) Medical Supplies. The data is collected for a sample of households and averaged to protect confidentiality into an "expenditures per average household".

METRO LA AVERAGE HEALTHCARE EXPENDITURES BY HOUSEHOLD ARE $4,768 PER YR

Average Annual Healthcare Expenditures $/Household 2022 for Major California Metro Areas

Of the major metro areas in California, LA/Long Beach had the lowest annual household expenditures on Healthcare. LA/Long Beach households also spend more than 10% less on Healthcare than the California average. Los Angeles-Long Beach Metro Area. 12,872,322 Population per US Census.

Los Angeles/Long Beach $4,768 per HH per year

San Diego $5,134

San Francisco $6,222

State Average $5,600

THE THREE BEACH CITIES HAVE 54,592 HOUSEHOLDS PER THE US CENSUS DATA

THE ESTIMATED TOTAL EXPENDITURE ON HEALTHCARE FOR THE BEACH CITIES IN 2022 (LAST DATA AVAILABLE) WAS $260.3M

54,592 HH * $4,768 per HH = $260,294,656

The average expenditure of LA/Long Beach households is the lowest of any metro area in the Western US and well below the California average. The highest average expenditure is in Denver at $6,458 per household.

Metro LA/Long Beach (includes South Bay) Average Expenditures $/Household 2022 (last year report) (BLS CES)

All California Average Expenditures $/Household 2022 (last year reported) (BLS CES)