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Wealthy May Have to Pay More for Medicare

By the Associated Press
October 16, 2003

 

Lawmakers negotiating a Medicare prescription drug bill report a growing consensus for higher-income seniors to pay more than other Medicare beneficiaries for their health coverage.

Sen. John Breaux, D-La., said there was a ``developing consensus on means testing Part B'' of Medicare, the portion that provides non-hospital coverage, including doctor care.

The development marked an important step toward agreement on an overall bill, and -- if enacted into law -- would also signal a historic shift in a program that has always provided a standard benefit at a fixed price.

Lawmakers emerging from their daily closed-door bargaining session Wednesday also said that they expect to sign off on the broad outlines of an agreement Friday; the deadline imposed by Republican leaders, but acknowledged that the legislation won't be finished for weeks.

``We're nowhere near completion yet,'' said Rep. Billy Tauzin, R-La., chairman of the House Energy and Commerce Committee.

The negotiators said there is still no agreement on which seniors will play more for Medicare. Participants said there appeared to be some differences over how far down the income scale seniors should be asked to pay higher amounts for health care coverage.

Congressional sources, speaking on condition of anonymity, said some lawmakers advocate requiring seniors to begin paying more when their income reaches $100,000, while others favored a lower threshold in the range of $75,000 to $80,000.

The developments occurred as the government announced that current premiums now paid by 40 million Medicare enrollees for physician services will jump 13.5 percent next year to $66.60 a month.

President Bush, in a fund-raising speech in Riverside , Calif. , urged lawmakers to wrap up the complex legislation.

``The sooner the Congress finishes the job, the sooner America 's seniors will get the health care they deserve,'' he said.

prescription Breaux stressed that any requirement for some seniors to pay more than others must be viewed in the context of an overall bill expected to give more generous drug subsidies to lower-income seniors than to others on Medicare. ``You can't look at it in a vacuum,'' he said.

Leading House and Senate Republicans, plus Democrats Breaux and Sen. Max Baucus of Montana, are working on a compromise for providing a prescription drug benefit for seniors as well as overhauling the basic health care program.

Republicans, in particular, want to inject competition into Medicare by inviting private insurers to compete for seniors' health care dollars, arguing that would modernize the 38-year-old government program as well as hold down future government spending.

The lack of details on so many issues prompted Sen. Edward M. Kennedy, D-Mass., an opponent of means-testing, to temper his remarks Wednesday. ``I want to wait to see the entire bill,'' Kennedy said.

This summer, Kennedy threatened to filibuster the legislation in the Senate if it included requiring wealthier seniors to pay more.

 

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