Aarp To Escalate Its Campaign Against Proposed Medicare Cuts Group Will Urge Members To Question Gop Reforms

The nation’s most powerful senior citizens lobby, which has taken a low-key approach to opposing the Republicans’ Medicare reform proposals, is gearing up for a stronger and more vocal battle.

A spokesman for the American Association of Retired People said Monday that the organization is planning a radio and newspaper ad campaign urging its members to question GOP plans to cut $270 billion from projected Medicare spending over seven years.

“We now have something that we can look at and comment on,” said Tom Otwell, a spokesman for the AARP. “We feel that $270 billion is too much and too soon.”

Otwell said the advertisements, which begin Oct. 17, would be targeted in markets represented by members of the Senate Finance Committee, which will soon include Texas Republican Phil Gramm. The Finance Committee finished work on its version of the Medicare package Sept. 30 and called for more contributions from seniors than a similar proposal in the House.

Until now, the AARP has informed its members about proposed changes in Medicare through its regular publications and mailings. The new media ads represent a higher level of pressure but stop short of an all-out assault on the proposals.

Backed by its 30 million members, the AARP has substantial leverage with lawmakers on issues that affect the elderly. The group’s opposition comes as public opinion polls are beginning to show a drop in support for the proposals.

So far, the AARP has not attacked the House version of the plan. A GOP aide who did not wish to be identified said the AARP struck a deal with House Speaker Newt Gingrich of Georgia in which the organization would not mount a noisy public campaign against the measure if Republicans would protect beneficiaries from increased premiums, deductibles and co-payments.

“Newt made a contract not to hit beneficiaries,” the aide said. “The AARP has played ball.”

The Senate version, however, weighs more heavily on beneficiaries. It would raise the annual deductible on Part B from $100 to $150 beginning next year with annual increases of $10 thereafter and phases out the federal subsidy of the Part B premium.

But the House appears to have kept its part of the bargain. It retains the existing level of Medicare Part B premiums. It does phase out the government’s subsidy of the Part A benefits, but only for single seniors earning more than $75,000 and couples earning more than $125,000.

The bulk of the savings in the House measure would come from doctors, hospitals and other providers.

But Democrats charged Monday that the House version would impose a scheme of price controls and rationing on senior citizens. They said the 400-page bill would eventually leave senior citizens with less and less health care of inferior quality because doctors and hospitals would be squeezed by shrinking federal payments.

In a contentious meeting marked by partisan fighting, Republicans on the House Ways and Means Committee began a review of their Medicare proposal. Once the overview is completed, the Ways and Means Committee and the House Commerce Committee plan to write the legislation and finish by Wednesday.

Republicans contend their Medicare proposals would extend the program’s life seven years beyond 2002 when it is now projected to become insolvent. They have offered a package designed to encourage seniors to join managed care programs such as health maintenance organizations designed to curb future spending.

“The proposal that we have before us today saves Medicare,” said Rep. Bill Archer, R-Texas, chairman of the Ways and Means Committee.

The Republican plan would carve $270 billion from projected Medicare spending and is a key part of the GOP’s proposals to cut taxes and balance the budget in seven years.