July 29, 2009 4:26 AM

Bipartisan Group Eyes $35B Medicare Cuts

(CBS/AP)  A bipartisan group of senators agreed tentatively Tuesday on a plan to squeeze an additional $35 billion out of Medicare over the next decade and larger sums in the years beyond, according to congressional officials, a step toward fulfilling President Obama's goal of curbing the growth of health care spending.

Under the plan, an independent commission would be empowered to recommend changes in Medicare annually, to take effect automatically unless Congress enacted an alternative. In addition to saving money, the proposal is aimed at turning the program for those age 65 and over into one that more clearly rewards quality, officials said.

The commission would be required to recommend $35 billion in savings over a decade from Medicare. There was no immediate estimate on the longer-term effects of the provision, the topic of exhaustive discussion among three Democrats and three Republicans groping for a compromise on legislation atop the administration's domestic agenda. The officials spoke on condition of anonymity, saying they were not authorized to discuss details of the private talks.

The negotiations occurred as White House chief of staff Rahm Emanuel spent much of his day in the Capitol attempting to untangle a dispute that has stalled a companion bill in the House.

Progress has been blocked by a group of conservative-to-moderate Democrats seeking to exempt additional businesses from a requirement to offer insurance under the bill, and to alter the rules governing a government insurance option, among other changes.

"The legislative process is about give and take," Rep. Mike Ross, D-Ark., a leader of the Democratic critics, said during a break in the talks. "There could be a breakthrough in the next few hours and then again there may not be."

There was no breakthrough, and the talks ended around 9:30 p.m. EDT with no agreement except to meet again Wednesday.

The White House and Democratic leaders originally set deadlines of votes in the House and Senate on health care legislation before lawmakers leave the Capitol for a monthlong summer vacation. While Speaker Nancy Pelosi has yet to publicly abandon that timetable for the House, Senate Majority Leader Harry Reid did so last week, and it appears the earliest either house can vote is in September.

Mr. Obama is seeking legislation to extend health insurance to millions who lack it, at the same time he has asked lawmakers to slow the growth in the skyrocketing cost of medical care overall.

When it appeared more than a week ago that the House bill would fall short on cost-cutting, Mr. Obama called on lawmakers to relinquish some of the control they now exercise over setting payments to hospitals and other health care providers under Medicare.

Speaking to members of the AARP, an advocacy group for senior citizens, President Obama said Tuesday that Medicare benefits could be at risk without broader health care reform.

"We all know right now we've got a problem that threatens Medicare and our entire health care system," the president said. "Unless we act, within a decade, the Medicare trust fund will be in the red."

No one is currently suggesting reducing Medicare benefits, the president stressed. "If it works, we don't want to change it," he said. "What we do want is to eliminate some of the waste being paid for out of the Medicare trust fund."

Most of the variations under discussion have called for creation of a commission to issue annual recommendations for savings that would go into effect automatically unless the House and Senate blocked them. Currently, Congress must vote affirmatively to make any changes, a system that encourages individual lawmakers to seek favorable treatment for constituents or businesses in their districts or states.

Any bipartisan compromise that emerges from the negotiations is also expected to include a number of cutbacks in planned payments to hospitals and other Medicare providers, totaling hundreds of billions of dollars.

The bipartisan group is attempting to complete work in time for the Senate Finance Committee to vote on legislation next week.

While the lawmakers involved have devoted weeks to the talks, there is no guarantee that any agreement would survive scrutiny in the full Senate. There, Democrats control 60 seats, and liberals, in particular, are expected to seek major changes.

Both bills under discussion would require insurance companies to offer insurance to all comers, and bar them from raising premiums on the basis of pre-existing medical conditions.

The bills provide federal subsidies to help lower-income individuals and families purchase insurance.

© 2009 CBS Interactive Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.
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by mrjustice1 July 31, 2009 6:18 AM EDT
START CIVIL DISOBEDIANCE ACTIONS - AT THE VERY LEAST

Our 'governors' and political leaders(who are in bed with dishonest business leaders) are neither fit nor capable of handling our futures and our well-being. It has become apparent that many, many are corrupt, selfish, greedy, and only do what is in their and their cronies and family's interests!

So, why shoduld we obey the(ir) laws - laws which are legislated to protect the priveleged and the powerful and wealthy?
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by beaumuff July 29, 2009 6:16 PM EDT
Well I suppose if your 65 you are not much use to Obama,Pelosi and Reid. I bet if Obungler was not set for life he would have a different plan.
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by goochb July 29, 2009 4:51 PM EDT
This administration is going to put us back 50 years. Free speech, freedom,and our constitution is violated. And hey folks Obama and congress is doing it, not Bush. Obama does a speech and later we find out it was just words because half of what he say's is wrong. But you people that voted for him just keep your mouth shut because you are going down with the rest of us.
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by arkieguy July 29, 2009 2:14 PM EDT
There are many aspects of this healthcare situation that needs to be examined and corrections made. Nothing should be taken off of the table, including a single payer system. If it would spawn as terrible a healthcare sutuation as the critics say, I am sure that the private health care plans would prosper. What are they afraid of?
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by Solarrays247 July 29, 2009 11:53 AM EDT
by debinok1 July 29, 2009 10:55 AM EDT
Why is it that every time a law or policy or some type of reform comes up the first in line to be heard are the lobbyists, and they are ALLOWED to put in language that gaurantees the status quo for their sponsor? Where are the voices of the american people? When are we allowed to to be heard?

Our CROOKED government(Democrats and Republicans) has ALLOWED Corporate America via the lobbyists to control OUR government for far to long. Our government has placed itself ABOVE the people, they do not belong there. These elected officials are PUBLIC SERVANTS, HIRED by us, the AMERICAN PEOPLE to do a job, that JOB is to be OUR VOICE in Washington. Just like the CROOKS on WALL STREET they have used their jobs to RUIN AMERICA, and just like WALL STREET, they still have their jobs, still have their pay, and they still have their perks. All while America and We the People sink.

Time to take BACK control of our government.
http://www.thepetitionsite.com/1/are-we-confident-our-government-is-working-for-us

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We're just the peasants, deb. We don't deserve any better. Didn't you know that?

Even though most people in our country have worked hard all their lives...did everything right....many are just one serious illness away from losing everything. Read the stats (and I know that you have).
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by sabestu July 29, 2009 11:47 AM EDT
do members of congress with their public paid insurance have to get "prior authorization" before their prescriptions are filled and go through so many problems the everyday citizen has to go through...do they? Would someone answer this for me....
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by hungry1968-16 July 29, 2009 11:39 AM EDT
Since ConstantineXI refuses to answer my reply to his very absurd post, would anyone else like to answer this for me?




The republicans plan, is the same as the McCain plan, which is the same as the Bush plan:

Families can buy a health care plan UP FRONT, and then be reimbursed for the cost - up to $5,000 - in the form of a tax credit, when they file their taxes in April.

Where are the poor and middle class families supposed to come up with the money to go buy a health care plan in the first place, when the average cost of a plan is $12,000 annually?
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by inmom63 July 29, 2009 11:37 AM EDT
Here's what we should all tell the president and congress...."if you'll sign a contract that YOU will FOREVER stay on this health plan you're concocting...no matter what position you find yourself in after your public service ceases....then I'll go along with it too."
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by hungry1968-16 July 29, 2009 11:24 AM EDT
http://www.americanprogress.org/issues/2009/05/pdf/uninsured_workers.pdf


Health Care in Crisis

Many Adults Have Jobs but No Insurance
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by inmom63 July 29, 2009 11:23 AM EDT
Mark my words...we will be taxed according to our weight. Overweight, pay more....average weight...pay less. What is this government coming to?
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by justcurious777 July 29, 2009 1:53 PM EDT
Anybody know how to catch anorexia? The airlines already want to charge overweight people (big-boned, obese, fat, call it what you like) but it's still discrimination in my book.

Sorry, that first line is in poor taste but if I don't laugh, I'm gonna cry. First gas tax, then smoking, now soda. What's next? Tax tall people because they exhale their carbon dioxide higher into the atmosphere than shorter people, thereby contributing more to the destruction of the ozone layer and increasing global warming? Where will it end?
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