THE NATIONAL COMMITTEE TO PRESERVE SOCIAL SECURITY AND MEDICARE
~ Celebrating 25 Years of Advocacy for Older Americans ~

March 4, 2008

NEWS RELEASE

National Seniors Groups Urge Budget Committees to Craft Their Own Medicare Budget

Letter to Congress Details Fatal Flaws in the President's Plan

"The President's budget does nothing to strengthen or improve Medicare over the long term. Instead, it offers a single-minded strategy of massive cuts for providers and higher costs to seniors while also protecting billions in insurance industry subsidies. This budget couldn't be more out-of-touch with what's truly needed to strengthen Medicare for future generations. Congress needs to start from scratch."... Barbara B. Kennelly, President/CEO - The National Committee to Preserve Social Security and Medicare

Eight of the nation's leading seniors and advocacy groups, representing millions of American retirees and their families, have urged the Chairmen and members of the House and Senate Budget Committees to scrap the President's budget proposals for Medicare.

"The President's Medicare proposals call for massive cuts to providers and increased cost-sharing for beneficiaries, while continuing lavish overpayments to private plans. The overpayments burden taxpayers and undermine the traditional Medicare program. We urge Congress to reject these cuts and corporate subsidies. It is high time to return Medicare's focus to people rather than profits."… Judith Stein, Executive Director - Center for Medicare Advocacy

A letter sent to Congress today and signed by the AFL-CIO, AFSCME, the Alliance for Retired Americans, the Center for Medicare Advocacy, Families USA, the Medicare Rights Center, the National Committee to Preserve Social Security and Medicare and the Older Women's League details four key concerns with President Bush's budget. They are:

• An expansion of Medicare means-testing would increase beneficiary premiums, create costly problems for beneficiaries, and undermine the social insurance nature of Medicare.

• The arbitrary cap on general revenue financing of Medicare ignores Medicare's financing structure and limits meaningful reform.

• Medicare savings should be achieved by equalizing payments to private Medicare Advantage plans.

• The budget resolution should provide resources for necessary Medicare improvements.

"The President's budget proposal targets the most vulnerable – seniors who need Medicare to afford to see a doctor – in favor of sustaining the record profits enjoyed by big drug and insurance companies. Only in Washington could this be the work of a 'compassionate conservative.'  This misguided proposal continues the Bush administration's legacy of sacrificing older Americans' health care needs for the benefit of large corporations."... George Kourpias, President - Alliance for Retired Americans

A copy of the entire letter to Congress can be found here .