Medicare Leadership

“Lieberman, Coburn to Pitch Plan to Stabilize Medicare, Save $500 Billion Over 10 Years

By Trish Turner

Published June 28, 2011

FoxNews.com

Sens. Joe Lieberman, I-Conn., and Tom Coburn, R-Mont, an unlikely duo, are joining forces in an attempt to save Medicare -- one of the key points of debate in the fight over deficit reduction.

The pair plan to unveil their Medicare plan Tuesday as White House and congressional negotiators struggle to nail down an agreement to cut spending and raise the debt ceiling before the Obama administration's emergency measures run out in early August.

Coburn is an original member of the Senate's "Gang of Six," which had been trying to negotiate a compromise deal on raising the debt ceiling. He is on a self-described "sabbatical," in part because of a disagreement with Democrats in the group over entitlement reform. Coburn is also planning to introduce a plan as early as next week that he says would slash the debt by $9 trillion.

Lieberman and Coburn describe their Medicare plan as "a bipartisan proposal to save Medicare and reduce the debt."

A Lieberman source asked to remain anonymous in order to reveal, in advance, the following information about the senators' legislation:

• According to Congressional Budget Office estimates, the Lieberman/Coburn proposal would save approximately $500 billion over 10 years and reduce Medicare spending in the out years.

• It would extend the solvency of Medicare Part A by allocating $250 billion of savings found through this proposal to the Medicare Part A Trust Fund, almost doubling the size of the fund.

• It would reduce Medicare’s 75-year unfunded liabilities by $10 trillion.

• It would significantly reduce the fiscal impact of the Medicare Part B program on the federal budget.

• For the first time in the history of the Medicare program, it would offer seniors catastrophic medical coverage to protect them from bankruptcy or massive health care debt due to an unplanned medical emergency or a long-term illness.

• It would contain a three-year “doc fix” that is paid for and will bring stability to Medicare’s provider system.

• It would preserve Medicare for current and future enrollees.

In the broader debt negotiations, Republicans are demanding steep spending cuts as a condition for supporting an increase in the debt ceiling. They claim Democratic negotiators in the talks led by Vice President Biden have been pushing too hard for tax increases as part of that deal -- kicking it up to President Obama and party leaders to figure out the next step.

Read more: http://www.foxnews.com/...-over-10/#ixzz1QZIeKIwn”