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Social Security Numbers to be Removed from Medicare Cards

It was one of the National Committee’s Legislative priorities this year and we’re happy to report that Social Security numbers will now be removed from Medicare cards.  As the incidence of identity theft has risen it’s become clear that imprinting more than 50 million benefit cards with Americans’ Social Security numbers on the front put millions at risk.  That’s why we supported legislation which would require the numbers be removed.

But it doesn’t come without a cost.  The New York Times describes the funding:

Congress provided $320 million over four years to pay for the change. The money will come from Medicare trust funds that are financed with payroll and other taxes and with beneficiary premiums.

In his budget for 2016, Mr. Obama requested $50 million as a down payment “to support the removal of Social Security numbers from Medicare cards” — a step that federal auditors and investigators had been recommending for more than a decade.

More than 4,500 people a day sign up for Medicare. In the coming decade, 18 million more people are expected to qualify, bringing Medicare enrollment to 74 million people by 2025.

Medicare now has up to four years to start issuing new numbers on cards for new beneficiaries and four more years to reissue cards for those already in Medicare. Social Security numbers will be replaced with “a randomly generated Medicare beneficiary identifier.”  The details are still being worked out.

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Decades of Bad Social Security & Medicare Proposals Rolled into One – Courtesy of Governor Chris Christie

Hyperbole -- fact twisting and sheer omission -- false truths presented by “courageous truth-tellers.”  None of this is really new to American politics.  However, today New Jersey Governor Chris Christie deployed all of these time-worn propaganda techniques to unveil his plan to cut $1 trillion in benefits (that’s $1,000,000,000,000) from generations of Americans who will depend on Social Security, Medicare and Medicaid. 

He says it’s all about “fairness.”  However, he proposes not a single dime of new revenue and has no problem with average Americans paying payroll taxes on all of their income while the wealthy do not. 

Apparently, slashing pensions in New Jersey to preserve his no tax pledge simply isn’t enough.  Now he hopes to do the same nationwide.  In spite of his promise to offer the GOP Presidential primary race something new, today’s comments were merely a recitation and doubling-down on the same GOP claims that our nation can’t afford to honor its commitment to America’s workers and future retirees. 

NCPSSM President/CEO, Max Richtman, sums it up this way:

“The Governor’s plan to means-test Social Security, cutting off some Americans and transitioning the program from an earned benefit to welfare has long been the goal of those who oppose social insurance programs. It seems the Governor acknowledges that his flagging Presidential campaign needed a jolt because today’s speech was far more about burnishing Governor Christie’s conservative credentials than offering new proposals that could help America’s workers and retirees. He certainly isn’t showing bold leadership by claiming we must cut middle-class benefits, while protecting tax expenditures benefiting huge corporations and the wealthy.  That’s been the GOP position for a very long time. Today Governor Christie joins a long line of conservative politicians who hope to convince voters they are “courageous truth-tellers” when in truth their goal is to dismantle the very programs which have kept millions from poverty.

The majority of Americans – of all ages, no matter their political party -- opposes cutting already modest benefits and is willing to pay more to boost the program. They understand Social Security and Medicare are not welfare programs nor should they be.  Getting any GOP Presidential candidate to acknowledge that fact takes true political courage. But unfortunately that’s not the ‘red meat’ the GOP’s conservative base expects to hear nor the truth candidates like Governor Christie are willing to tell.”...Max Richtman, NCPSSM President/CEO

While he claims “no one” will talk about cutting benefits like he will, the fact is, the past decade has seen numerous attacks on the programs from Presidents, Presidential commissions, Congressional “Gangs of 6” and too many legislative proposals to even list here.  Senate Governor Christie is merely the latest in a growing list of GOP Presidential candidates who all promote the same “strengthen = slash” approach.  They tout their protection of poorer seniors while proposing benefit cuts, cost sharing and means testing that will impact millions of poor and middle-class beneficiaries.  Each candidate also follows the conservative-crafted playbook which promises current retirees (who consistently vote) will be protected from cuts, instead targeting their children and grandchildren (who aren’t thinking about retirement yet) for even smaller benefits.

 Many GOP Candidates – Same Social Security & Medicare Approach
  • Senator Ted Cruz supports privatizing Social Security, turning Medicare into “Coupon Care”, raising the retirement age and Medicare eligibility age, and cutting Cost of Living Allowances (COLAs).  Each of these proposals would cut benefits well below the current $1,200 average monthly benefit
  •  Senator Rand Paul has called Social Security a Ponzi scheme and supports allowing people to opt out of the program.  He also supports raising the retirement age and Medicare eligibility age, Social Security privatization, and raising seniors’ Medicare premiums and copayments.
  • Senator Marco Rubio supports privatizing Social Security, raising the retirement age and cutting Cost of Living Allowances (COLAs).  He considers current benefits “generous” and supports the GOP/Ryan budget which turns Medicare into “Coupon Care”.

None of these candidates have expressed support for lifting the payroll tax cap so that wealthy Americans pay the same rate as everyone else or proposals addressing income adequacy for millions of beneficiaries of all ages.

Now, that would be a true act of political courage.

 

 

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Congress Trades Bad Deal for Doctors for Bad Deal for Seniors in Medicare

The House has passed the so-called "doc fix" legislation replacing the flawed reimbursement formula Congress itself created years ago to cut pay to doctors in Medicare.  The formula has never worked and Congress has had to vote to replace it year after year.  We've supported the permanent replacement of this flawed formula and still do.  Unfortunately, the legislation that passed the House today merely trades one bad deal for another.  And this time it's seniors who take the hit. 

 “Contrary to claims by supporters, on both sides of the aisle, this ‘doc fix’ does not impact only ‘wealthy seniors’. Millions of beneficiaries who depend on a Medigap plan to help pay their health care bills – no matter their income -- will be hit with higher costs. Given that 46% of all Medigap policy holders had incomes of $30,000 or less, it’s clear this deal impacts far more than the wealthy, as the bill’s proponents have claimed.  What’s more, Medicare beneficiaries will be forced to contribute nearly $60 billion in premiums over the next decade to replace the SGR.

No doubt, we’ll hear today that this ‘compromise’ Medicare doc-fix plan must be a success because there are concessions from all sides.  Unfortunately, that political trope is just as flawed as the SGR itself because it ignores the financial reality facing Medicare beneficiaries just as the SGR ignored the reality facing doctors. Trading a bad deal for doctors for a bad deal for seniors is not a legislative victory and it is a surprising move from some in Congress who have previously vowed to protect Medicare from cuts and seniors from cost-shifting.

 It’s no surprise that anti-“entitlement” lobbyists on Capitol Hill and their allies in Congress are celebrating this deal for the benefit cuts they know will ‘grow like an avalanche over time’.  That avalanche will be headed straight for American retirees, current and future, as Congress continues to push Medicare down the slippery slope of means testing, raising costs for more and more seniors, including the middle-class.”...Max Richtman, NCPSSM President/CEO

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See the GOP's Plans for Medicare - In One Picture

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GOP Budget: Doubling-Down on Their Strategy to Destroy Medicare

Well, the GOP Budget Has Defined its Fiscal Priorities For America Alright...Middle-class Americans, Retirees, Children, People with Disabilities, and the Poor Foot the Bill So That Huge Corporations and the Wealthy Keep Tax Giveaways and Loopholes

Budget plans are about setting priorities and in a grander sense defining the nation’s values.  By the look of next year’s proposed GOP House Budget, that means conservatives in Washington intend to double-down on an economic vision in which our dwindling middle-class, America’s retirees, people with disabilities, the poor and their families continue to do the heavy-lifting so that the richest 1% can keep their tax breaks and loopholes. 

Here's our reaction from NCPSSM President/CEO, Max Richtman:

“Once again, the House GOP’s budget would privatize Medicare with a voucher plan, leaving seniors and the disabled – some of our most vulnerable Americans – hostage to the whims of private insurance companies.  Over time, this will end traditional Medicare and make it harder for seniors to choose their own doctor.  Vouchers will not keep up with the increasing cost of health insurance… that is why seniors will pay more.  Incredibly, the GOP budget also tries to have it both ways by counting the savings in Medicare since the passage of health care reform and then repealing the law that delivered those same savings. Seniors need to pay careful attention to this next fact: if the GOP isn’t stopped from repealing healthcare reform, Medicare beneficiaries would immediately lose billions in prescription drug savings, wellness visits and preventative services with no out-of-pocket costs, and years of solvency will be lost to the Medicare program. 

Social Security disability beneficiaries are also targeted by the GOP’s refusal to allow a routine and temporary reallocation of part of the 6.2 percent Social Security tax rate to the Disability Insurance Trust Fund.  Instead, Republicans in the House would allow a 20% benefit cut for millions of disabled Americans unless there are broader Social Security benefit cuts or tax increases improving the solvency of the combined trust funds.  This GOP budget also call for the creation of commission to study what Republicans claim are ‘structural deficiencies’ in Social Security, even though the program has never missed a payment and currently has $2.8 trillion in its trust fund. 

No doubt, Congressional conservatives feel emboldened by the 2014 elections; however, I suggest the message voters sent wasn’t the message the GOP is touting in this new budget.  The American people do not support gutting Social Security and Medicare and targeting the middle-class to pay for tax cuts and loopholes for corporations and the wealthy – which is the foundation the House GOP budget plan is built upon.” ... Max Richtman, NCPSSM President/CEO

 

 

 

 

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