For Immediate Release
Monday, June 23, 1997
Statement by President Gerald W. McEntee on Congressional Efforts to Dismantle Medicare/Medicaid
Washington, DC —Congress will vote this week on a plan to cut Medicare and Medicaid. Gerald W. McEntee, president of the American Federation of State, County and Municipal Employees had this to say:
"Once again, conservative members of Congress have shown their contempt for America’s elderly and disadvantaged. These proposed cuts to Medicare and Medicaid will erode the health security of millions of middle class senior citizens and low-income families so that the wealthiest Americans can receive billions of dollars in tax breaks. Their proposals would set a higher age for eligibility for Medicare benefits, raise Part B premiums and home health care co-pays, and reduce Medicare and Medicaid reimbursements to hospitals serving the poor. It’s a bad plan, and bad public policy.
"This proposal will increase the Part B premium paid by seniors $16.20 per month over the next seven years. As a result, Part B premiums in 2004 will be a whopping $82.60 per month. That may not sound like much to members of the House Ways and Means Committee, but it’s a lot of money to our nation’s elderly, who often have little income beyond Social Security or SSI. In addition, these proposals would charge higher deductibles to the few seniors making over $50,000 per year -- a move which turns Medicare into a welfare program, and does little to generate new revenue.
"If these proposals are implemented, seniors will be burdened with copays for home health care. Currently, Medicare charges no copays for covered home health care services. But with the proposed budget plan retirees would begin paying copays, the first step in eroding this vital benefit. Those hurt the most would be the oldest and most ill seniors, primarily elderly women.
"The House and Senate budget plans also introduce Medical Savings Accounts (MSAs) to Medicare. This will encourage the youngest, healthiest and wealthiest seniors to opt out of Medicare, leaving the program with fewer dollars to care for the oldest and sickest seniors. It’s a recipe for Medicare bankruptcy.
"Americans were outraged when House Speaker Newt Gingrich announced that the Republican-controlled Congress would let Medicare ‘wither on the vine.’ Americans are equally outraged that these same politicians are now trying to dismantle programs that provide health care to their elderly family members."
