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2003-11-19 -- APHA opposes Medicare Plan, AARP chief praises Medicare plan

American Public Health Association Takes Position Against Medicare
Prescription-Privatization Bill

AARP CEO William Novelli, who supports Medicare
Prescription-Privatization bill, writes introduction to Newt Gringrich
book on healthcare.


American Public Health Association Opposes Medicare Conference
Agreement

San Francisco, Calif., November 18, 2003-The American Public Health
Association today announced its strong opposition to the Medicare
prescription drug conference agreement here during its 131st Annual
Meeting.

"The bill lacks an adequate prescription drug benefit for millions of
seniors who urgently need and deserve a comprehensive and affordable
prescription drug benefit provided through the traditional Medicare
program," said Georges C. Benjamin, executive director of the
association, the world's largest and oldest organization of public
health professionals. "Moreover, the plan fundamentally weakens the
Medicare program itself. We firmly believe that seniors should not be
asked to accept an inadequate prescription drug benefit. Congress
should spend the time to get the job done right."

APHA believes the Medicare conference agreement fails to fulfill the
promise of affordable access to prescription medications in three
critical areas:

Any plan should ensure that seniors have guaranteed access to a
prescription drug benefit. This plan does not do that. It fails to
ensure that the nearly 3 million seniors who have good drug coverage
now through their retiree health plan won't lose it. Also, up to 6
million low-income seniors who get additional assistance from Medicaid
may be forced to pay more for their prescriptions because the plan
prohibits Medicaid from filling gaps in the new Medicare benefit.
Furthermore, this proposal does little to reduce existing disparities
in access to pharmaceuticals.

Any plan should ensure that seniors don't face tragic economic
tradeoffs that force them to decide between food, housing and having
access to medications. This plan does not do that. The proposal
contains large gaps in coverage. Under the deal, seniors earning less
than $10,000 a year could be required to pay nearly $2,500 for $3,500
worth of coverage. Half of all seniors will be without coverage for
part of the year. Furthermore, the bill requires low-income seniors to
meet a strict assets test ($6,000 for individuals and $9,000 for
couples) in order to qualify for much needed subsidies.

Any plan should control costs in a responsible way. This plan does not
do that. Under a very large demonstration of a "premium support"
program, millions of seniors will be forced into private sector
managed care plans or face increases in premiums in traditional
Medicare. Forcing Medicare to compete with heavily subsidized private
insurance carriers takes a large step toward privatizing Medicare. The
proposal also includes an arbitrary budget cap on Medicare that
creates pressure for cuts in Medicare's benefits. Furthermore the bill
prohibits the federal government from negotiating lower drug prices
and provides generous givebacks to providers that rob money from the
drug benefit leaving seniors paying more in order to provide subsidies
for hospitals and corporate health plans.

"At a time when Americans are increasingly dissatisfied with their own
health insurance, it is ironic that Congress would attack a popular,
universal health program for seniors," said Benjamin.

A recent ABC/Washington Post poll found that more than 62 percent of
Americans support a universal insurance program over the current
health insurance system.

"In fact, this Medicare prescription drug plan forces millions of
seniors to accept the private sector health system from which most
Americans are trying to get out," he said. "I strongly urge Congress
to go back to the drawing board and give seniors the prescription drug
coverage they were promised. This should not be an all or nothing
proposition. We can and should do better."

The American Public Health Association represents more than 50,000
members from over 50 public health occupations. Nearly 13,000 public
health professionals are attending APHA's Annual Meeting here this
week. More information is available at www.apha.org.

CONTACT: APHA Press Office
San Francisco Marriott, Pacific C
415-284-8019 Mobile: 415-518-8108


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AARP CEO William Novelli Praises Newt Gingrich,
Sees His Ideas as Necessary to Transform US Healthcare.




Saving Lives & Saving Money Preface


By: William D. Novelli Executive Director and CEO, AARP

Writing about health and health care is a big job. Writing about
transforming the entire American healthcare system is even more
daunting. In Saving Lives and Saving Money, Newt Gingrich has done an
admirable job of both. He has clearly and comprehensively described
the problems with our current healthcare system, explained why it
cannot continue to stagger along, and most importantly, offered his
own ideas about how to transform our current mess into a 21st century
system that saves lives and money.

Gingrich believes that our healthcare system is beyond reform -- that
it needs to be transformed into something totally different than it is
today. "Reforming," Newt says, is the process of trying to make the
current pattern work. "Transforming" is about developing new and very
different patterns.

Volumes have been written about the problems with our healthcare
system, and hundreds (if not thousands) of conferences are held every
year with experts discussing how addressing a specific piece of the
problem will improve the system. Yet, with all the talking and
tinkering, costs continue to rise while quality care continues to
decrease.

Newt Gingrich has never been one to tinker. He is a big idea person,
and moreover, he has the ability to link big ideas into something even
larger still. He believes it is time to focus the healthcare debate
where it truly belongs -- on people's health. That is what Gingrich
does in Saving Lives and Saving Money. The gap between the health and
healthcare we should have and what we actually have is appallingly
huge, and will only get larger if we don't transform the system. And,
in the process of improving our health, the nation can also save
billions of dollars if we make substantial changes in the way we
practice health and health care.

Gingrich is proposing nothing less than dramatically changing one of
the largest segments of our economy. His ideas for transforming the
system are not academic theories. They are based on real-life examples
of entrepreneurial changes people are making across the healthcare
system throughout the country, and he offers specific examples to back
up his claims and allow people to find out more.

Transformation of America's healthcare system is one of the biggest
challenges facing our nation. In 2011, the first members of the 76
million baby boomer generation will begin turning 65. This will have a
dramatic and lasting impact on our health-care system simply because
older people tend to use healthcare more. Transformation does not
happen overnight. As Gingrich points out, it took us twenty years to
transform our welfare system. We don't have twenty years to get our
healthcare system in order. We have to start work on it now.

Newt's ideas are influencing how we at AARP are thinking about our
national role in health promotion and disease prevention and in our
advocating for system change. He writes: "The healthcare debate is not
about Democrats and Republicans. It's not about liberals and
conservatives. The health debate is about your life and the lives of
your family. The healthcare debate is about your money and your
family's money." I would only add, it's also about your future...and
America's.

Whatever your views and your state of health, you will find Saving
Lives and Saving Money bold, enlightening, and provocative. While you
may not agree with all of Gingrich's ideas, this book will engage you
in thinking about -- and probably acting on -- health and healthcare.
That's important, because as he observes, transforming our nation's
healthcare system will take all of us to make it happen. And, indeed,
it must happen. Our health, our families, and our futures depend on
it.

William D. Novelli Executive Director and CEO AARP