[Congressional Record Volume 148, Number 60 (Monday, May 13, 2002)]
[Senate]
[Page S4251]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                    MEDICARE EQUITY FOR VETERANS ACT

  Mr. THOMAS. Mr. President, I will discuss a bill we have introduced 
in the last several weeks that I think is very important. It is called 
the Medicare Equity for Veterans Act of 2002. It is designed to provide 
some fairness between Medicare and VA health care. There are a number 
of Members who have introduced the bill that will require Medicare 
services to reimburse the VA facilities for services rendered to 
certain Medicare-eligible veterans. These service men and women have 
paid into Social Security and Medicare as have the rest of us but are 
prohibited from utilizing the program when they are treated at a VA 
facility. It is only fair that they be allowed to use their Medicare 
coverage in the private sector or at a VA facility.
  An interesting thing has happened in the numbers with respect to 
veterans. The number of veterans enrolled in VA health care systems has 
more than doubled since 1996. Many VA facilities-eligible veterans, 
called priority 7, or category C veterans, being veterans who have 
served but their disabilities are not related to their military service 
and are able, financially, to care for themselves. This is where we 
have seen the greatest increase in the patient load.
  At the VA facility in Cheyenne, WY there were only 131 of these 
priority 7 veterans who were treated in fiscal year 1997.
  However, in fiscal year 2001, the same facility treated over 2,200 
priority 7 veterans. So, clearly, the VA is experiencing substantial 
growth in that area and it is utilizing facilities--and that is good.
  But the veterans are unable, even though they are eligible, to use 
their Medicare assistance. With this increase in numbers, 
unfortunately, the VA health care system has not kept pace in terms of 
its finances. In my State, Medicare would expand access to services in 
most communities and would provide primary care to those for whom it is 
not now available.
  Specifically, the Medicare Equity for Veterans Act of 2002 
establishes a 3-year demonstration program at 10 VA sites, 3 of which 
must be in rural areas. The Secretary of VA and HHS will either choose 
a Medicare+Choice or preferred provider option model for these sites. 
The options would give the Secretary some flexibility in that way.
  We have more and more veterans who are in this category 7 who would 
like very much to use VA facilities to care for their needs. They are 
eligible for Medicare, and Medicare would then reimburse the VA. We 
would be able to do two things, of course: to be able to finance the VA 
facilities and at the same time be able to let these eligible veterans 
use their Medicare services.
  I hope we can move this bill. I think it will be very good for VA 
veterans. I think it will also be good for Medicare. It can probably be 
done more cheaply than the private sector. The combination is a good 
remedy to some of the problems we have.
  I yield the floor.

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