FOR IMMEDIATE RELEASE
Monday, December 7, 2009

Isakson Votes to Put Medicare Savings Back in Medicare
Co-Sponsors Amendment to Prevent Medicare Savings from Being Used to Fund Democrats' Government-Run Health Care Plan

WASHINGTON - U.S. Senator Johnny Isakson, R-Ga., today voiced dismay that the Senate rejected an amendment he co-sponsored to ensure that any revenues created by curtailing waste, fraud and abuse in Medicare go to save Medicare.

Senate Democrats defeated the amendment by Senator Judd Gregg, R-N.H., by a vote of 43-56.

"I find it troubling that Democrats in Congress would create new programs with these Medicare 'savings' rather than make a commitment to preserve Medicare and to prevent its impending bankruptcy in 2017," Isakson said. "The Democrats want to slash programs for seniors and use that money instead to help fund their terribly flawed, outrageously expensive, government-run health care system. I cannot in good conscience allow that to happen."

The amendment would have prohibited the executive branch from implementing the provisions in the Democrats' health bill that increase federal spending until the Director of Office of Management and Budget as well as the Centers for Medicare and Medicaid Services Actuary could certify that all projected increases in spending under the bill would be fully offset by projected savings under the bill each year for the subsequent 10 years after it is fully implemented.

For the purpose of projecting savings, the Office of Management and Budget and the Centers for Medicare and Medicaid Services Actuary would have to have excluded any savings in Medicare from the calculation, thus ensuring that Medicare savings would go to save Medicare.

According to the 2009 Medicare Trustees Report, Medicare has an unfunded liability of nearly $38 trillion, and Medicare's hospital insurance trust fund will become insolvent in 2017.

The Democrats' bill reduces Medicare spending by $464.6 billion, including $120 billion in cuts to Medicare Advantage and nearly $200 billion in permanent cuts to all Medicare provider payment updates including hospitals, hospice, home health and nursing homes.   

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