Bush Administration Should Come Clean with America's Seniors About Why Medicare Costs Will Rise in 2005
Tierney: Bush Administration Should Come Clean With America's Seniors About Why Medicare Costs Will Rise in 2005
Washington, DC- Citing the largest premium increase ever in the history of the Medicare program, U.S. Congressman John F. Tierney (D-Salem) today said he supports efforts by members of the House Democratic Leadership to force the Bush Administration to 'come clean' with America's seniors and disabled about why they will be forced to pay 17 percent more for their health care costs beginning in 2005. On Wednesday, several House Democrats filed what is called a "Resolution of Inquiry" that would force the Bush Administration to release the Medicare prescription drug cost estimates that were withheld from Congress during debate over the legislation in the fall of 2003.
"We are demanding answers from the Bush Administration on why they withheld vital cost information from Congress for a program that 41 million seniors and disabled rely on for their health care needs. Republicans have consistently misrepresented the facts in their efforts to promote and pass legislation that does nothing to bring down the cost of prescription drugs and provides billions in new subsides for HMOs and big drug companies. This is a classic case of this Congress putting corporate interests over the needs of America's seniors," said Tierney. "Except now, seniors are stuck holding the bill for this huge corporate giveaway."
What many seniors don't know is that even though most of the new Medicare legislation does not take effect until 2006, HMOs have already begun to receive taxpayer money that was included as part of the new Medicare law as encouragement to offer private plans. During a press conference on the Friday before Labor Day, White House Press Secretary Scott McClellan told the media that a large reason for the increase "results from the billions of dollars Medicare is paying insurers to encourage them to offer private plans."
"I, along with many of my Democratic colleagues, believe that if Congress had the whole picture about the cost of this Medicare bill, the legislation would not have passed and this year's premium hikes may have been prevented. Democrats have repeatedly called on the GOP Congress to exercise their oversight authority and investigate why the Administration told Congress this legislation would cost $395 billion, but in reality the price tag was $135 billion higher. For months before this legislation was passed, Democrats requested the Center for Medicare and Medicaid Services (CMS) provide actual cost estimates for the proposed legislation. Instead of providing these estimates, which they knew were too high to pass Congress, the former Director of CMS threatened to fire the Actuary if he complied with the request of Democrats, an action that both the nonpartisan General Accounting Office and Congressional Research Service have found to be illegal," said Tierney.
"The House Republican Leadership now has a choice. They can be complicit in the Bush Administration's cover-up, or they can join House Democrats in trying to get answers for seniors who will pay, on average, $100 more for their Medicare costs in the coming year," concluded Tierney.