Wednesday, July 9, 2008

Senate Votes 69-30 To Rescind Medicare Physician Fee Cuts and Cut Medicare Advantage to Pay For It

Ted Kennedy came to the Senate floor and led Senate Democrats to an amazing victory in their first real attempt to rein-in private Medicare spending and rescind the 10.6% physician fee cuts.

The veto-proof margin puts President Bush's threat to veto the Senate bill, that was approved by the House on another veto-proof 354-59 vote just before the holiday, in doubt. Why bother?

I was not surprised to see Senator Kennedy on the floor.

This vote was not about the doc cuts. It was about Medicare and its future. The doc cut was just the leverage Democrats were using to get at the private Medicare program.

Medicare is part of not only the Democratic legacy--it is at the core of the Kennedy legacy.

Private Medicare is seen by Democrats as an attack on the universality of the program. Many believe the privatization of Medicare will lead to a two-tiered system. If that were to happen, the reasoning goes, the program would be undermined as wealthier people abandoned it. Without everyone, including the powerful, in the system, there would not be the broad-based support to continue it.

Republicans, on the other hand, believe that the big entitlement costs can't be reined in without the market.

It was this clash--market versus government and the future direction of Medicare--that was the real issue on the Senate floor today.

The Democrats have won their first big battle over Medicare since the Republicans won control of the Congress in 1994.

Oh, by the way, the one Senator who did not come to the floor and vote? John McCain. Maybe Senator Kennedy should have offered him a ride.

A comprehensive background on today's battle: Run For the Hills, the Doctors Are Coming, the Doctors Are Coming!!!!

From December 19th, 2006: The Democrats Will Change MedicareAdvantage
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