Hoyer Discusses Social Security, Medicare, and Rx Drugs with Seniors

Hoyer Discusses Social Security, Medicare, and Rx Drugs with Seniors

Says Democrats Will Continue Fight Against Republicans' Social Security Privatization Schemes This Fall

FOR IMMEDIATE RELEASE:
Wednesday, August 24, 2005

LAUREL, MD - Congressman Steny Hoyer (D-MD) spoke today at a town hall meeting hosted by the Greater Laurel Beltsville Democratic Club at the Phelps Senior Center in Laurel. Hoyer discussed Republican proposals to privatize Social Security, and about impending changes to Medicare and prescription drug laws.

"We have to separate fact from fiction in the Social Security debate. Republicans say that there is an immediate Social Security crisis. But the fact is that there are long-term challenges that need to be addressed, and Democrats want to take the time to find the right solution. Democrats do not support rushing through privatization schemes that don't address the problem and put at risk the benefits retirees have earned. We will not allow Republicans to use risky private accounts to turn Social Security's guaranteed benefits into a gamble," Hoyer said.

Hoyer educated the town hall participants about the dangers of the Republican proposal to privatize Social Security, among which are benefit cuts for middle class workers making more than $20,000 a year, and an additional $5 trillion added to the debt over the next 20 years. In addition, the Republican proposal does nothing to address Social Security's solvency. In the 5th Congressional district alone, the President's plan would cut benefits for nearly 250,000 wage earners, nearly ¾ of all workers. Of those cuts, 80 percent would come from middle-class workers earning between $30,000 and $90,000.

"In 1983, Democrats worked with President Ronald Reagan to strengthen Social Security. We hope that Republicans will abandon their insistence on private accounts and will join us in finding a bipartisan solution to Social Security's challenges," Hoyer added.

Hoyer has participated and hosted numerous events on Social Security this year, including town hall meetings at the University of Maryland and in Waldorf in March, a virtual town hall in June, and a meeting with business leaders and local Chamber leaders in Prince George's County in July. Nationally, House Democrats have held over 1,000 Social Security events this year.

Hoyer also discussed the controversial Medicare prescription drug bill that was passed by Congress in 2003 and will be implemented beginning on January 1, 2006. Enrollment for the prescription drug benefit begins November 15 through May 15.

"My greatest concern with this law is that it does not take care of seniors' biggest problem, which is the high price of medicines. This law still does not permit Americans to purchase drugs from Canada. And it actually prohibits the government from negotiating the best price on behalf of seniors," said Hoyer.

"For the vast majority of seniors, the benefit will be very modest, and unfortunately very confusing and unnecessarily complicated. This new law has an illogical 'donut hole' or gap-in-coverage. And, seniors will have to choose from a confusing array of private plans administered by private insurance companies instead of getting a drug benefit directly from the Medicare program," added Hoyer.

He said that while some low-income seniors and seniors with high drug costs may benefit from the legislation, all seniors must protect themselves by learning about the bill's provisions. According to the nonpartisan Congressional Budget Office (CBO), the bill will cause about 3 million people to lose their retiree drug coverage.

Hoyer urged the seniors to contact the Prince George's County Senior Health Insurance Assistance Program (SHIP) at 301-265-8471 for assistance and information.

http://www.hoyer.house.gov/newsroom/index.asp?ID=464&DocumentType=Press+Release