[Congressional Record Volume 141, Number 157 (Wednesday, October 11, 1995)]
[House]
[Page H9894]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




[[Page H 9894]]


                   WARNING FROM THE MEDICARE TRUSTEES

  The SPEAKER pro tempore. Under a previous order of the House, the 
gentleman from California [Mr. Riggs] is recognized for 5 minutes.
  Mr. RIGGS. Mr. Speaker, I just wanted to conclude the discussion that 
we have out here on the floor tonight. I thought it was a frank give-
and-take, if you will pardon the pun, and I want to stress that I thank 
it is important to have more discussion along these lines.
  I join with my colleagues in assuring the concerns and chagrin of my 
colleague, the gentleman from Pennsylvania [Mr. Weldon], who just did a 
superb job, was very animated, I think, very correct in his remarks in 
speaking about his disgust at the tactics we have seen employed by the 
opposition party out here on the floor whenever we have attempted to 
honestly discuss the warning contained in the Medicare trustees' report 
back to April.
  Each year the Medicare trustees issue a report on the status of the 
Medicare trust funds. This past April 3, the disclosed Medicare will 
soon be bankrupt and urged Congress to respond swiftly to this crisis. 
I think it is important for our colleagues and constituents to 
understand the Medicare trustees are a nonpartisan, impartial board 
that reports on the status of Medicare each year. The trustees consist, 
as we have pointed out, of four Clinton administration officials, the 
Treasury Secretary, Labor Secretary, Health and Human Services 
Secretary, and Social Security Commissioner, and two nonadministration 
officials who represent the public. In other words, a majority, four 
out of six of the members of the Medicare trustees board, are Clinton-
appointed trustees.
  The trustees warned that Medicare is headed toward bankruptcy. Their 
report said the Medicare hospital trust fund part A, which covers 
hospital services for seniors, will begin to experience ``increasing 
annual deficits'' in 1996 and will be depleted in 2002. In other words, 
Medicare starts to go bankrupt, starts to go into the red, next year 
and will be completely bankrupt in 7 years.
  In addition, the cost of the Medicare Supplementary Insurance 
Program, Medicare part B, which pays doctors' bills, has grown by 53 
percent over the past 5 years. The trustees again warned, under the 
current system balancing the Medicare hospital trust fund for the next 
25 years would require tax increases or a reduction in benefits.
  The trustees' report actually stated, ``Either outlays would have to 
be reduced by 30 percent, which would lead obviously to health care 
rationing for Medicare beneficiaries, or income increase by 44 percent 
or some combination thereof.''
  Mr. Speaker, as you well know, we have ruled out those two 
alternatives of health care rationing or a further increase in payroll 
taxes to top of the payroll taxes of the 1970's and 1980's. But we have 
responded to the Medicare trustees's urging to act quickly to address 
Medicare's problems.
  So we hope that we can again have an honest debate. I would say to my 
colleagues on the other side of the aisle, using your logic, since 
President Clinton has finally come to the table, he has finally joined 
the debate, he too has proposed restraining the rate of growth in the 
Medicare Program and providing middle-class tax relief, by their own 
logic, President Clinton is proposing to, quote unquote, cut Medicare, 
in order to pay for a middle-class tax break. We know that is not true.
  We know the scare tactics are ultimately not going to succeed with 
the American people. I am just concerned and disappointed that Congress 
and the Democrats have decided to spend all of their time and energy 
attacking the Medicare Preservation Act instead of joint us in saving 
Medicare. Their tactics distort our bill and what it would mean to 
senior citizens, demonstrating again why Americans are so upset with 
Washington, DC. The tactics are politics as usual, and it is politics 
at its worst, so we have already brought out tonight our bill increases 
Medicare spending in terms of the national average from $4,800 per 
beneficiary today to $6,700 per beneficiary in just 7 years.
  The figures, again, in California are higher, $5,000 today to roughly 
$8,000 in approximately just 7 years.
  Our bill expands choices to seniors. It does not increase deductibles 
or copayments, and the premium rate in Medicare part B stays exactly 
the same as the current rate. Our proposal saves Medicare from 
bankruptcy through the next generation, not just the next election.
  Amercians, Mr. Speaker, of every age are tired of the excuses and the 
30-second ads. They want Medicare saved. They know that in their hearts 
it is the right thing do, and they know we must do it, and that is 
exactly what our proposal, which we will be debating and voting on this 
House floor next week, October 19, that is exactly what our proposal, 
the Medicare Preservation Act, does.
  We have an obligation to lead as the governing party in the House of 
Representatives, and I urge our colleagues, stop the nonstop 
campaigning and join us in our efforts to save Medicare. You owe that 
to America's seniors.

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