Ryan Plans to Phase Out Medicare in 2017

BRET BAIER: Let's tick down these things. You have a debt ceiling coming up. How is that going to work?

PAUL RYAN: Thankfully, we're doing it with a republican president and congress. We can tackle our fiscal issues. We can tackle the oppressive taxes that are stifling job creation and business and making America uncompetitive. Having a debt limit, which occurs -- March is around the time this occurs. With president-elect trump -- with president trump and a congressional republican and congressional senate democrats in the minority and senate republicans in the majority makes a world of difference better. We can use this as an opportunity to get good things done.

BRET BAIER: Your solution has always been to put things together including entitlement reform. That is Paul Ryan's plan. That's not Donald Trump's plan.

PAUL RYAN: Well, you have to remember, when Obamacare became Obamacare, Obamacare rewrote medicare, rewrote medicaid. If you are going to repeal and replace Obamacare, you have to address those issues as well. What a lot of folks don't realize is this 21-person board called the ipap is about to kick in with price controls on Medicare. What people don't realize is because of Obamacare, medicare is going broke, medicare is going to have price controls because of Obamacare, medicaid is in fiscal straits. You have to deal with those issues if you are going to repeal and replace obamacare. Medicare has serious problems [because of] Obamacare. Those are part of our plan.

There are a couple key points to note here.

First, Ryan claims that Obamacare has put Medicare under deeper financial stress. Precisely the opposite is true. And it's so straightforward Ryan unquestionably knows this. The Affordable Care Act actually extended Medicare's solvency by more than a decade. Ryan's claim is flat out false.

Second, I've heard a few people say that it's not 100% clear here that Ryan is calling for Medicare Phase Out. It is 100% clear. Ryan has a standard, openly enunciated position in favor of Medicare Phase Out. It's on his website. It's explained explicitly right there.

Ryan says current beneficiaries will be allowed to keep their Medicare. Says. It's the cord is cut between current and future beneficiaries, everything is fair game. For those entering the system, Ryan proposes phasing out Medicare and replacing it private insurance with subsidies to help seniors afford the private insurance. That is unquestionably what it means because that is what Ryan says. So if you're nearing retirement and looking forward to going on Medicare, good luck. You're go on to private insurance but you'll get some subsidies from the government to pay the bill.

Through all the gobbledygook and bamboozlement, you'll find this line on Ryan's page: "For younger workers, when they become eligible, Medicare will provide a premium-support payment and a list of guaranteed coverage options – including a traditional fee-for-service option – from which recipients can choose a plan that best suits their needs."

This means, if you haven't gone on Medicare yet, when you do, you won't get Medicare. You'll get a "premium-support payment" - i.e., a check that will allow you to buy insurance from private insurers. The "support" in the phrase means it won't cover the whole amount. And in any case, rather than Medicare you'll have insurance from an insurance company, which everybody should love because haven't you heard from your parents and grandparents how bummed they were when they had to give up their private insurance for Medicare?

You'll hear lots of people calling this "reform" and other catchwords. But Medicare is a single payer, universal health care system. Replacing it with private insurance means getting rid of it. Even calling it "privatization" masks what is really afoot.

Every Democrat should be focused and talking about it volubly both as a matter of policy and politics. There isn't much time.


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