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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2023

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S E N A T E   R E S O L U T I O N

RESPECTFULLY REQUESTING THAT THE UNITED STATES SENATE STOP

PRIVATIZATION OF MEDICARE

     Introduced By: Senators Ujifusa, DiPalma, Lauria, Bell, Miller, Acosta, Zurier,
Valverde, Murray, and DiMario

     Date Introduced: February 16, 2023

     Referred To: Senate Health & Human Services

     WHEREAS, In 1965, Congress enacted Medicare because it recognized that most seniors

could not get affordable healthcare insurance from private insurers; and

     WHEREAS, Since its inception, Medicare has had gaps in coverage, such as vision,

dental and prescription drugs, and “co-insurance” costs, such as premiums, co-pays and

deductibles; and

     WHEREAS, Instead of fully funding a comprehensive Medicare program, Congress

chose to invite private insurance companies to "manage care"; and

     WHEREAS, Managed care programs, through aggressively marketing plans with lower

up-front costs, have sold millions of seniors plans that also shrink their provider networks and

establish “gate keeper” and “prior authorization” requirements to limit their care; and

     WHEREAS, Managed care plan providers have not been shown to significantly save tax

dollars and many have been accused of fraud, in court, and of overcharging billions of dollars;

and

     WHEREAS, In 2018, the Trump administration introduced another program to continue

to allow private insurance companies to profit from and limit traditional Medicare: Direct

Contracting Entities (DCEs); and

     WHEREAS, DCEs, renamed “Accountable Care Organizations Realizing Equity Access

in Community Health” (ACO REACH), can potentially retain twenty-five percent (25%) or more

of taxpayer dollars as profit and overhead, and by contrast, traditional Medicare spends ninety-

eight percent (98%) of its budget on patient care; and

     WHEREAS, The Centers for Medicare & Medicaid Services (CMS) Innovation Center is

empowered to implement ACO REACH without Congressional approval and plans to move all

Medicare patients to a program, like ACO REACH, by 2030; and

     WHEREAS, Every person who relies on Medicare should have the right to choose

traditional Medicare, rather than be forced without their knowledge or consent into a restrictive

managed care plan; and

     WHEREAS, Secretary of Health Becerra has the power to end the ACO REACH

program today, and Congress has the power to pressure him to do so; now therefore be it

     RESOLVED, That this Senate of the State of Rhode Island hereby recognizes the need

for the United States government to protect and expand traditional Medicare and hereby

respectfully urges Senator Reed, Senator Whitehouse, Congressman Cicilline, and Congressman

Magaziner to take all necessary action to stop immediately the ACO REACH program and

oppose Medicare privatization; and be it further

     RESOLVED, That the Secretary of State be and hereby is authorized and directed to

transmit duly certified copies of this resolution to the Clerk of the United States House of

Representatives, the Clerk of the United States Senate, and to members of the Rhode Island

Delegation to the United States Congress.

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