On April 15, 2011, House Republicans passed a budget that provides a blueprint for returning our country to fiscal solvency and economic stability. An important element in this blueprint is a plan to save and strengthen our Medicare system. Under our plan, Medicare will not change at all for Americans 55 years and older and will be preserved for future generations.
Unfortunately, under the current setup, mandatory spending on programs like Medicare and Medicaid will quickly overtake the budget in the near future and endanger the entire system. If future taxes hold at these levels, spending on these programs will consume all tax revenue by 2052, forcing the plans to terminate. The Republican budget sets out a plan that will save Medicare from this fate.
Under the Republican plan, Americans who are at or near retirement will see no changes in their Medicare coverage. In the future, beneficiaries will receive a premium subsidy from the government to purchase a Medicare-approved health plan of their choice. These future recipients will be able to choose a plan from the options that best suit their individual needs. This subsidy will total 100% of current Medicare spending and will rise annually according to inflation. Future lower income recipients and those with higher health care costs will be eligible for additional help.
Medicare spending will continue to grow every year. However, the rate of growth will slow in order to preserve this important program for future generations. The House Republican plan for saving and strengthening Medicare is based on the same plan that Members of Congress currently have. This plan will encourage competition and help keep health care costs in check.
My Republican colleagues and I are committed to keeping our promises to our seniors while preserving Medicare for the next generation. Please continue to share your thoughts with me on the issues that mean the most to you. Also, if you would like to continue to hear from me about the latest issues in Washington and at home in Georgia, sign up for my email updates at http://austinscott.house.gov/contact-me/newsletter.