Sylvester Turner: “I would be interested in the gentleman's observations about the impact of our budget situation on Medicare, Medicaid…”

“I would be interested in the gentleman's observations about the impact of our budget situation on Medicare, Medicaid, particularly in light of the fact that so many of us have begun to hear from the health care providers, the hospitals in our district, that they are increasingly feeling the pinch of reductions in reimbursement rates under Medicare. In fact, in Texas they estimate that there may be as many as 50 hospitals closed if we in the Congress fail to provide some additional funds for Medicare. We all know in this projected budget surplus, the assumption is that there will not be any increase in Medicare. In fact, it goes down under the Balanced Budget Act of 1997, and thereafter remains below the increase that would be necessary just to keep up with inflation. I think a lot of our health care providers understand that, and they are warning us that unless we are going to be willing to act responsibly with regard to funding Medicare and Medicaid, that we may lose some of our hospitals. For those of us in rural areas of the country, to lose a hospital would virtually close down our communities.”