Pearce Votes to Check Entitlement Spending

Statement

Pearce Votes to Check Entitlement Spending

Today, Congressman Pearce voted to hold Congress accountable for reforming Medicare and ensuring its solvency. The resolution, H.Res. 1368, would delay the implementation of Section 803 of the Medicare Modernization Act (MMA) of 2003, a provision that requires Congress to act when there have been two years of excessive spending by the Medicare program. Instead of resolving the issue as required by law, the new majority has denied Congress the tools to address a Medicare program that is growing beyond control.

"It is unbelievable that at a time when entitlement programs are growing beyond our ability to pay for them, the Majority party would deny any immediate action and take away this important cost control mechanism. Taking away this account tool is a missed opportunity to finally address the growing entitlement spending." Said Pearce. "We need to act now or the only opportunity our children and grandchildren will have to participate in entitlement programs is to pay in. They will certainly not receive benefits. Now is the time to be alert to the growing entitlement programs and take the opportunity to address the growing entitlement needs in America."

In 2003, Congress enacted Section 803 in the MMA which requires the President and Congress to take immediate steps tackle unrestrained funding in the Medicare program. Under MMA, a Medicare Funding Warning is triggered if more than 45 percent of yearly Medicare funding comes from general taxpayer revenue for two consecutive years. Section 803 of MMA calls the House of Representatives into action as soon as the Medicare Funding Warning is triggered. The House Resolution Congress considered today, H.Res. 1368, would prohibit application of Section 803 for the rest of the 110th Congress. In 2006 and 2007 taxpayer revenues to Medicare exceeded the 45% benchmark, requiring the Medicare Board of Trustees to issue a Medicare Funding Warning.

"Nothing in this measure will impact Medicare beneficiary's access to the services they already enjoy. However, I have made a promise to taxpayers to act as a responsible steward of taxpayer dollars," Said Pearce. "Entitlement programs are growing at a faster pace than our overall economy. Our budget cannot keep up, and we certainly cannot allow entitlements to grow uncontrollably.

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