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The GOP wants to cut Medicare
The law is an assault on Medicare because it violates a core promise of the program – that in exchange for paying a special payroll tax your entire working life, the program will be there for you when you are older.
The law uses so-called savings from reduced spending on prescription drugs (more on that in a moment) to help pay for $500 billion in green energy and Obamacare subsidies.
This is a promise broken because the entire point of a dedicated payroll tax is that the funds are to be used for Medicare. The only way the IRA was able to accomplish the green energy and Obamacare spending without increasing overall government spending (which you can’t do if you are trying to claim the bill will reduce inflation) is to cut spending elsewhere. Analysis of the bill clearly shows that the offset spending comes out of Medicare.
The American people understand this is a violation of the promise of Medicare. Research we conducted at America’s New Majority Project revealed that 67 percent of Americans agree that any savings found in Medicare should be kept in Medicare. Most say those savings should be used to improve benefits. In addition, 59 percent say (correctly, it turns out) it is likely that programs which allow the government to reduce Medicare spending on prescription drugs would lead to the savings being spent elsewhere.
The White House and Democrats will claim that the IRA does not actually violate the promise of Medicare because seniors will still get the care they need despite the diversion of the funds. This is a falsehood, and Americans know it.
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