[Congressional Record Volume 146, Number 33 (Wednesday, March 22, 2000)]
[Extensions of Remarks]
[Page E387]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                     MEDICARE BOARD: BAD IDEA NO. 4

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                        HON. FORTNEY PETE STARK

                             of california

                    in the house of representatives

                       Wednesday, March 22, 2000

  Mr. STARK. Mr. Speaker, some people are proposing legislation, such 
as S. 1895, that would turn Medicare over to a 7-person board and 
noncivil service staff.
  Bad idea.
  For the last 3 days I've entered in the Record portions of 
Congressional Research Service memos describing the administrative 
problems such a board could create.
  I would like to submit in full the following footnote from the CRS 
memo that quotes the National Academy of Public administration's 
warning about boards:

       The National Academy of Public Administration is on record 
     as being opposed to boards of directors for most corporate 
     bodies.
       We believe that this arrangement, borrowed from the private 
     corporation model, has more drawbacks than advantages and 
     that in most cases the governing board would be better 
     replaced by an advisory board and the corporation managed by 
     an administrator with fully executive powers. A governing 
     board may cut or confuse the normal lines of authority from 
     the President or departmental secretary to the corporation's 
     chief executive officer. With an advisory board, the 
     secretary's authority to give that officer policy instruction 
     is clear, as is the officer's right to report directly to the 
     secretary and to work out any exemptions from or 
     qualifications of administration or departmental policies and 
     practices which the corporation requires.--National Academy 
     of Public Administration, NAPA Report on Government 
     Corporations, vol. 1 (Washington: NAPA, 1981), pp. 31-32.

     

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