[Congressional Record Volume 147, Number 53 (Wednesday, April 25, 2001)]
[House]
[Page H1594]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                              HEALTH CARE

  The SPEAKER pro tempore (Mrs. Jo Ann Davis of Virginia). Under a 
previous order of the House, the gentleman from Washington (Mr. Larsen) 
is recognized for 5 minutes.
  Mr. LARSEN of Washington. Madam Speaker, I rise today to discuss an 
issue that is a very important issue to my home State, Washington 
State, and to the people in that State. That issue is health care. As I 
traveled around my district during the Easter recess meeting with 
health care consumers, physicians and hospitals, again and again I 
heard of rising costs, declining reimbursements, and general 
frustration with our system.
  First, I would like to address the issue of prescription drugs. I 
strongly support adding a prescription drug benefit for Medicare 
beneficiaries. Today, many seniors are forced to purchase expensive 
Medigap policies or join HMOs to try and avoid the high out-of-pocket 
expenses for prescription drugs.

                              {time}  1445

  Seniors should not be forced to choose between groceries and their 
medicines.
  In this time of government surpluses, I believe some of the surplus 
must be used to provide a Medicare drug benefit; and using the surplus 
for a drug benefit within the framework of reducing the national debt, 
we can provide for a more prosperous and healthy Nation.
  I also have great concerns about Medicare reimbursement, particularly 
in my home State. Because of a flawed complex formula, the Federal 
Government provides fewer Medicare dollars for seniors in Washington 
State. Medicare reimbursements are based on the region's average cost 
of living, rather than on an individual's personal income, so 
Washington State senior citizens receive less Medicare support than 
most other States. Medicare payments in Washington rank fifth from the 
bottom nationally; and between 1998 and 1999, Medicare payments in 
Washington experienced the sixth fastest decline of all States.
  As a result of the low reimbursement rate in Washington State, many 
health plans have opted to withdraw from Puget Sound area plans that 
serve seniors. Last year, as many as 30,000 seniors in Washington State 
received notice that their health plans would no longer serve them or 
that they would increase the deductible for the same coverage. That is 
wrong. I support access and affordability; but, above all, equity for 
Washington State seniors and will work to rectify this unfair 
provision.
  In addition, according to the Washington State Medical Association 
study, the average medical practice in Washington State lost $95,000 in 
1999. Reduced Medicare payments have led to a white-coat flight, with 
physicians leaving the State or retiring early. This is simply 
unacceptable.
  Local hospitals also continue to contact me about their deep 
financial difficulties related to the cutbacks of the Balanced Budget 
Act legislation of 1997. As we know, the Balanced Budget Act of 1997 
enacted some far-reaching changes in the way Medicare pays health care 
providers. These changes were intended to both modernize Medicare and 
save some $115 billion over 5 years.
  Today we know that the actual savings are much larger than Congress 
had anticipated and those changes are affecting services. Like many 
Members, I have been hearing from health care providers in my district 
regarding these cuts in the BBA and how they are affecting and may 
affect in the future their ability to provide quality health care to 
our seniors. I take these concerns very seriously.
  For instance, Whidbey General Hospital on Whidbey Island has detailed 
for me their hardship. Approximately 50 cents of every dollar they 
receive goes to the cost of running their facilities and dealing with 
insurance plan requirements, not to patient care. These skyrocketing 
administrative burdens add cost, but little value, to the delivery of 
health care. Patients must come first.
  So, Madam Speaker, I have outlined many of the health care concerns 
that are of the highest priority to patients and providers in 
Washington State. I plan to work on these issues in a bipartisan 
fashion in the 107th Congress so that we can get some much needed 
relief at home in Western Washington for our seniors, for our 
physicians, for our hospitals, but, most importantly, for patient care.

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