Wednesday, March 21, 2012

A Letter

            Paul Ryan, on behalf of the Republican caucus in the House, has put forth a proposed 2013 Budget. But, it is going nowhere because the Obama administration has not and does not want continued wrangling over individual budget items to cease. Unresolved budget issues allow Obama to issue Presidential orders to save the American people from the alleged harm caused by the Republican House. More power to the oligarchy.

            That major issue aside, everyone in Washington says that entitlements are a problem and Medicare is the single biggest issue. Please allow me to review the bidding and ask two questions.

            Medicare has four parts. Part A is funded by FICA taxes and funds in-hospital care. Part B, which funds doctor office visits, is funded by both appropriations by the Congress and contributions of about $100 extracted each month by the Federal Government from each Social Security beneficiary. Part C is a variation of Part B and funds the Medicare Advantage Program.  Part D is the prescription drug program totally funded by general revenue taxes.

            If Part D is an entitlement like food stamps, totally funded by general revenue taxes, what is Part A which is funded by each of the several workers prior to their retirement so that they would have financial protection against catastrophic health care issues in later life? Is this not a catastrophic health care insurance program? I will not even address the status of Part B and the monthly forced payments extracted from retirees.

            One cannot forget the administration's presentation to the Congress that affirmed that $500 Million or Billion was going to be taken from Medicare to help fund Medicaid. Exactly where is $500 B or M to come from? Surely not from the several American workers who contribute through FICA taxes into the Medicare Part A Trust Fund. But, if not from there, from where?

            It is one thing to consider as "entitlements" those legislations which are funded by general revenue taxes, but should the benefits from mandated insurance policy premiums that fund the Medicare Part A Trust Fund be considered the same? I don't think so.

            One then must ask why are both Republicans and Democrats and their respective media outlets silent on these answers?

Bob Dewey


No comments:

Post a Comment