Medicare Ads Draw Fire

February 6, 2004
The Alliance for Retired Americans today called on the Republican National Committee to reimburse American taxpayers the more than $12 million of public money used by the Bush administration to finance a media campaign that promotes the new Medicare prescription drug law, charging the advertisements are blatantly political and don't provide a public service. The print and broadcast campaign was launched by the White House in response to growing criticism about the politically volatile Medicare drug benefit.

HHS Secretary Tommy G. Thompson said the campaign is intended to inform seniors when some of the prescription drug benefits will be available, and to "reassure" seniors that they can choose to keep their existing Medicare coverage if they prefer. The ad encourages seniors to learn more by calling 1-800-Medicare, the toll-free helpline for Medicare beneficiaries and their families.

"The president and Karl Rove know they created a prescription drug law that seniors simply don't accept," said Alliance Executive Director Ed Coyle, whose organization says it represents more than 3 million seniors. The group campaigned fiercely against passage of the Medicare bill.

"This misinformation campaign amounts to nothing more than an in-kind political contribution by the Department of Health and Human Services to the Committee to re-elect President Bush and should be paid for with campaign money and not with hard-earned taxpayer dollars. This campaign is a public disservice and shouldn't be construed as helping educate seniors.

Thompson said the campaign was meant to be educational.

"We're going to provide seniors with straight answers about the new benefits being offered to them," Secretary Thompson said. "We're going to let them know what benefits are coming and when. Our toll-free helpline and website will be places seniors can turn for the facts and for more information about how the new benefits might help them."

"We're reaching out to make beneficiaries aware of new opportunities so they can take advantage of them if they choose," said Dennis Smith, acting administrator of the Centers for Medicare & Medicaid Services. "We know there are some who are uncertain about what this new legislation means for them. This campaign will help answer their questions and show them where to go for more information."

Coyle said fatal flaws in the new Medicare law, coupled with political repercussions associated with a growing senior backlash, pressured the Bush administration into refuting criticism of a law that's not even scheduled to go into effect until 2006. The money the administration used to finance the ad campaign and expensive media buys was supposed to be used to implement the new law," he added.

"This administration has an obsession with unfairly cutting taxes, but it doesn't hesitate to spend public money on political commercials masquerading as public service ads," Coyle said. "Seniors deserve more and they know it all too well."

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