Heritage Foundation Leadership for America

• The White House says Medicare reform will offer a variety of health plans modeled after the Federal Employees Health Benefits Plan (FEHBP), a program used by federal employees—including members of Congress.
  
  Not entirely true. The House Medicare bill does call for a FEHBP-style system—in 2010.
  
  
• The administration says that companies will continue to offer retirees private prescription drug coverage after Medicare reform is completed.
  
  Not true. About 4.4 million retirees will lose their coverage.
  
  
• The White House claims the Medicare bills address the program’s long-term financial solvency.
  
  Wrong again. The addition of a huge drug entitlement clearly worsens the already ailing Medicare program.

Want the truth on what will happen if the current Medicare bills become law? Check out the research of Heritage Foundation health-care experts Edmund Haislmaier, Robert Moffit and Nina Owcharenko. They analyzed a recent series of questions and answers from The White House Communications Office about Medicare reform, which has led Moffit to say: “What in the name of God is the administration thinking? The Medicare bills are a policy disaster.” 

The complete Heritage analysis of the White House’s Medicare reform position can be found at The Center for Health Policy Studies web page. For more information or to receive an e-mail version of “Medicare Maladies,” e-mail chris.kennedy@heritage.org or call Heritage Media Services at (202) 675-1761.

“Medicare Maladies” is a regular feature, launched 7/14/03, from The Heritage Foundation. Sad to say, there’s another malady coming your way tomorrow.