Sec. 808. Policy statement on Medicare
404 words·~2 min read·
/bill/114/hconres/27/eh/section-808·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The House finds the following: More than 50 million Americans depend on Medicare for their health security. The Medicare Trustees Report has repeatedly recommended that Medicare’s long-term financial challenges be addressed soon. Each year without reform, the financial condition of Medicare becomes more precarious and the threat to those in or near retirement becomes more pronounced. According to the Medicare Trustees Report— the Hospital Insurance Trust Fund will be exhausted in 2030 and unable to pay scheduled benefits;
Medicare enrollment is expected to increase by over 50 percent in the next two decades, as 10,000 baby boomers reach retirement age each day; enrollees remain in Medicare three times longer than at the outset of the program; current workers’ payroll contributions pay for current beneficiaries; in 2013, the ratio was 3.2 workers per beneficiary, but this falls to 2.3 in 2030 and continues to decrease over time; most Medicare beneficiaries receive about three dollars in Medicare benefits for every one dollar paid into the program; and Medicare spending is growing faster than the economy and Medicare outlays are currently rising at a rate of 6.5 percent per year over the next 10 years.
According to the Congressional Budget Office’s 2014 Long-Term Budget Outlook, spending on Medicare is projected to reach 5 percent of gross domestic product
(GDP)by 2043 and 9.3 percent of GDP by 2089. Failing to address this problem will leave millions of American seniors without adequate health security and younger generations burdened with enormous debt to pay for spending levels that cannot be sustained. It is the policy of this resolution to preserve the program for those in or near retirement and strengthen Medicare for future beneficiaries. This resolution assumes reform of the Medicare program such that— current Medicare benefits are preserved for those in or near retirement; permanent reform of the sustainable growth rate is responsibly accounted for to ensure physicians continue to participate in the Medicare program and provide quality health care for beneficiaries; when future generations reach eligibility, Medicare is reformed to provide a premium support payment and a selection of guaranteed health coverage options from which recipients can choose a plan that best suits their needs; Medicare will maintain traditional fee-for-service as a plan option; Medicare will provide additional assistance for lower income beneficiaries and those with greater health risks; and Medicare spending is put on a sustainable path and the Medicare program becomes solvent over the long-term.