Breaux-Frist Medicare Reform Plan to Be Re-Introduced Feb. 7

Sens. John Breaux (D-La.) and Bill Frist (R-Tenn.) will introduce legislation on Feb. 7 that would "overhaul" Medicare and add a prescription drug benefit to the program, Reuters/Los Angeles Times reports. Under the proposal, a national Medicare Board would approve benefits and premiums for a variety of "competitive" plans, which would all be required to offer all current Medicare benefits as well as cover prescription drugs. While seniors would pay a premium, low-income beneficiaries would not be responsible for the expense. In addition, a "special trust fund" would be created to "safeguard" Medicare's finances. Similar legislation was introduced in 1999 and 2000, but stalled without support from the Clinton administration. By introducing the reform package, the lawmakers say they hope to "jump start" negotiations with President Bush, who has introduced his own plan to offer Medicare beneficiaries prescription drug coverage. The Bush proposal is a "short term" initiative that would spend $48 billion over four years for block grants to help states to develop prescription programs while the federal government worked on "overhaul[ing] the whole system." Bush aides have said the Breaux-Frist proposal is a "starting point" in negotiations on Medicare reform. Last week, Breaux met with Bush to discuss the different plans. White House spokesperson Ari Fleischer said Bush "did not endorse each and every part" of the Breaux-Frist plan, but added that the plan is a "very strong consensus recommendation" (Entous, Reuters/Los Angeles Times, 2/2).

Breaux Could Help Bush
The New Republic reports that Breaux, a "conservative Southern Democrat with friends on both sides of the aisle," is "perfectly poised" to serve as a "go-to guy" who could help Bush move his agenda -- including a Medicare overhaul -- through a tightly divided Senate. Often "railing against ideological rigidity," Breaux treats political compromise as a "holy sacrament," placing himself in the "pragmatic, rational center" on "high-profile" issues, the New Republic reports. While Breaux's "penchant for going his own way" may "provoke anger" from Democrats, who consider him "something of a headache," the New Republic calls Breaux and Bush a "bipartisan match made in heaven." However, Breaux "exasperates" Democrats on Medicare reform. He supports a "managed competition system," similar to the Federal Employees Health Benefits Plan, a position opposed by many Democrats. But without the "backstop of a Clinton veto," some of Breaux's "center-right" proposals could become law, which may anger Democrats and voters, the New Republic reports (Cottle, New Republic, 2/1 issue).