WASHINGTON—Health and Human Services Secretary Kathleen Sebelius issued the following statement regarding the new Medicare Trustees’ report. Sebelius’ statement is below:
“President Obama understands that Medicare is an essential program that provides care for millions of our seniors and the disabled. We will do whatever it takes to protect it.”
"But today’s report should trouble anyone who is concerned about the future of Medicare and health care in America. Just as families, communities and businesses are struggling under the crushing burden of skyrocketing health care costs, so too are our Medicare Trust funds. This isn’t just another government report. It’s a wake up call for everyone who is concerned about Medicare and the health of our economy. And it’s yet another sign that we can’t wait for real, comprehensive health reform.”
"I want to highlight two examples of the problem we’re facing. First, the Hospital Insurance Trust Fund helps cover the cost of beneficiaries’ hospital stays and related care. Today, the fund spends more than it takes in and we make up the difference using assets from the fund. But in 2017 – eight years from now – those assets will be exhausted if we don’t do something. Second, the Supplementary Medical Insurance Trust Fund helps pay for medical care and prescription drugs. This fund is solvent, but only because premiums and general revenue financing are reset every year, requiring seniors and the Federal budget to pay more for their care. If health care costs keep going up, our beneficiaries will continue to see their premiums rise at unsustainable rates."
"I know this alarm has been sounded before. Politicians have been worrying about the growth of Medicare spending for many years."
"The Obama Administration isn’t just worrying; we’re doing something about it. And if we want to bring down the cost of health care in this country and strengthen our economy, then we all must show leadership and take action to control costs."
