Ehrlich on Washington column, May 21, 1995

EHRLICH ON WASHINGTON By Congressman Robert L. Ehrlich, Jr. WEEK OF MAY 21, 1995 MEDICARE: JUST THE FACTS Last week, at Dulaney High School in northern Baltimore County, I held a town meeting on the federal budget with local members of the American Association of Retired Persons and the general public. As you might expect, Medicare was the most popular topic of discussion. I was quite impressed by the in-depth nature of the discussion, and by the thoughtful questions posed by the seniors who attended. At the same time, I was concerned that some of the seniors had been frightened by the rhetoric being spread by the White House and congressional liberals about the future of Medicare. Let me set the record straight as far as Medicare is concerned. The Kasich budget proposal— which I supported and which passed the House by a wide margin— increases overall Medicare spending by 45 percent from 1995 to 2002. Spending per beneficiary rises from $4700 today to $6300 in 2002. Let me reiterate— there simply is no decrease in Medicare spending, as some liberals allege. Only in Washington can a smaller spending increase that accurately reflects fiscal reality be called a “cut.” Some liberals have even accused this Congress of seeking to willfully harm Medicare. This is ridiculous and demagogic-an example of insider politics at its very worst. If anything, the new leadership in Congress is trying to save a good program which, left untouched, will be broke in seven years. Historically Medicare has collected more in taxes and revenue than it has paid out in benefits. These additional funds have been invested in U. S. Treasury bonds. According to the Medicare Board of Trustees panel of high-ranking, presidentially-appointed officials which