Sources: Clinton To Propose Major Medicare Expansion

By John King/CNN

WASHINGTON (Jan. 2) -- President Bill Clinton will propose a major expansion of Medicare designed to help older Americans who do not have health insurance, White House sources confirm.

The plan, which is included in the president's 1998 budget, would allow individuals to buy into Medicare at age 62, three years before they are now eligible.

Sources say Clinton will unveil his proposal Tuesday, after returning from his Virgin Islands vacation, and then push for it in his State of the Union address.

The new proposal is a reflection of the lessons the president learned from the defeat of his giant 1994 health care initiative.

During a November press conference Clinton said, "While people may not have wanted to bite the whole apple at once in 1994, almost the whole populace wants to keep nibbling away at the apple until we actually have solved the problems of cost, accessibility and quality for all responsible American citizens."

Last year the White House and Congress agreed to spend $24 billion to expand children's health programs. Clinton is now turning his attention to the so-called "near elderly," many of whom have trouble getting private insurance because of their age or a preexisting condition.

The White House estimates a $5,000 annual premium for those age 62 to 65 would cover the costs, but key Republicans want to study the numbers.

Sen. William Roth (R-Del.) said, "I haven't had a chance to review or study them and I would want to hear from my experts on the committee as to what it really does mean."

Many other Republicans are wary of the White House approach; some conservatives say Clinton is taking piecemeal steps to accomplish the goal of his failed 1994 health care initiative, to provide government health care to all Americans.

And organizations worried about balancing the federal budget argue this isn't the time to expand expensive government programs like Medicare.

But Democrats see expanding Medicare as a good election year issue and Clinton has a powerful ally in the American Association of Retired Persons.

Some policymakers view the new White House proposal as a precursor to raising the Medicare eligibility age from 65 to 67, and then allowing those age 62 and older to buy into the program if they do not have health insurance.

Friday Jan. 2, 1997

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