MIKE FERGUSON ON HELPING SENIORS
Seniors have made America a great nation - from rebuilding the economy after the Great Depression and World War II to keeping America strong, safe and free during the Cold War.
We must continue to honor our commitment to seniors.
After years of partisan gridlock in Washington, Congress in 2003 enacted a voluntary Medicare prescription drug benefit. Endorsed by the AARP, the prescription drug law represents a good first step in aiding seniors with their drug costs. It targets relief for those who need it most - low-income seniors and those with high annual drug costs that threaten to rob a lifetime of savings.
The prescription drug law will help every senior gain access to life-saving drugs, and low-income seniors will no longer have to choose between buying the medicine they need and putting food on the table.
Importantly, the new Medicare law also includes catastrophic coverage that guarantees Medicare will pay 95 percent of drug costs. No senior should be forced to eliminate a lifetime of savings because of a medical emergency.
Ferguson's Leadership Means New Jersey Benefits
Because of Congressman Mike Ferguson's leadership, the new Medicare law also benefits New Jersey. Our state's government will save nearly $4 billion in the coming decade because of the law, and that's money that can be used to strengthen the state's existing drug program.
The new Medicare law will pay about 70 percent of the current costs of New Jersey's Pharmaceutical Assistance for the Aged and Disabled (PAAD) program, saving the state billions of dollars.
Before the new Medicare drug benefit begins in 2006, every senior is eligible for a Medicare-approved drug discount card saving between 10 and 25 percent on medication costs. Low-income seniors will save even more - an additional $600 credit on that card toward the purchase of their medications.
Congressman Ferguson was a leading advocate of allowing states like New Jersey to automatically enroll their eligible seniors in the drug discount card. That means, because the first $600 of drug expenses for low-income seniors will be paid by Medicare and not PAAD, New Jersey will save an additional $90 million that can be used to strengthen PAAD.
Working in the House Energy and Commerce Committee, which drafted most of the new law, Congressman Ferguson also won successful enactment of a provision that allows state drug spending, such as PAAD, to count toward a seniors' total out-of-pocket spending. That means seniors will pay less before the catastrophic coverage begins and Medicare pays 95 percent of all drug costs.
Preventive Care Now Covered by Medicare
In addition to the drug benefit, the new Medicare law also for the first time will cover preventive care, wellness measures and chronic care management.
For example, new Medicare beneficiaries will be covered for an initial physical examination, and all seniors will be covered for cardiovascular screening blood tests, and those at risk will be covered for a diabetes screen.
New Jersey is the world's leader in prescription drug research and home to many of the world's leading pharmaceutical companies that are developing the life-saving medicines of tomorrow.
More than 66,000 jobs in New Jersey are tied to the pharmaceutical industry, which contributes more than $19 billion in economic activity in New Jersey, according to the Healthcare Institute of New Jersey.
Ferguson Protecting Social Security
When it comes to Social Security, Congressman Ferguson's principles are clear: He believes Social Security should be protected for today's seniors and tomorrow's retirees.
Congressman Ferguson supports legislation that would repeal President Bill Clinton's tax increase on Social Security. Enacted in 1993, seniors who earn more than $34,000 are taxed on 85 percent of their Social Security benefits. He's supporting legislation in Congress that would eliminating that tax increase.
He supports ensuring that seniors receive a fair Social Security cost of living adjustment and supports legislation that would eliminate the discrepancy for "notch babies," people born between 1917 and 1926 who receive smaller Social Security benefits than other seniors.
Congressman Ferguson voted to help more than 120,000 elderly and disabled widows and divorced spouses by increasing Social Security benefits and expanding eligibility for those benefits.
For younger workers, for whom retirement is still decades away, Congressman Ferguson voted to increase their annual contributions to 401(k) programs to $15,000 by 2006.
Ferguson Opposes Social Security 'Privatization'
As the baby boom generation approaches retirement in the coming years, Social Security will come under greater stress. To meet this important challenge, Social Security must be strengthened for today's seniors and tomorrow's retirees.
Congressman Ferguson's principles on Social Security are clear:
- he opposes privatizing Social Security;
- he opposes raising Social Security payroll taxes;
- and he opposes raising the retirement age to become eligible for Social Security benefits.
Ferguson 'Guardian of Seniors' Rights'
National senior advocacy groups have taken notice of Congressman Ferguson's solid record of accomplishment on issues important to seniors. The 60 Plus Association, a non-partisan seniors' advocacy group, awarded Congressman Ferguson its "Guardian of Seniors' Rights" award in February and named him "Legislator of the Month" in June.
