A bill to amend the Social Security Act to improve eligibility and computation methods under the old age, survivors, and disability insurance program, to increase Supplemental Security Income payments, to improve the benefits in the Medicare program including out-of-hospital prescription drugs and a long-term care program, to consolidate the two-part Medicare program and to eliminate all premiums and co-insurance from the Medicare program, to provide for the administration of the Social Security programs by a newly established independent Social Security Administration, to provide for new payment procedures under the Medicare program, to establish a new consumer price index for older Americans for calculating automatic cost-of-living benefit increases.
Social Security Reform Act - Title I: Social Security Programs - Increases supplemental security income payments under the Social Security Act to $2,400 a year for individuals and $3,000 a year for couples.
Defines a disabled person, under the Old-Age, Survivors, and Disability Insurance program, as one who can no longer engage in substantial gainful activity in regular work or in any other work which he has engaged with some regularity in the recent past.
Eliminates the 12-month period of illness prognosis requirement and reduction of waiting period for disability benefits. Entitles disabled widows and widowers to full benefits without regard to age. Provides an additional drop-out year for each 15 years of coverage, for purposes of establishing the period upon which average monthly wage is calculated.
Combines the hospital insurance and supplementary medical insurance programs of Medicare and eliminates the monthly premium payment. Extends Medicare coverage after the third month when disability payments begin. Eliminates the coinsurance requirements of Medicare. Makes available specified out-of-hospital prescription drugs at a fee of $1. Establishes a formulary committee to insure drug cost and quality controls and the availability of appropriate drugs to Medicare recipients.
Allows Medicare eligibles to purchase Medicare benefits for their spouses over 60 at an actuarially adequate amount which shall be adjusted annually to care for fluctuating health care costs.
Makes Medicare coverage available for supplemental security income recipients, who are ineligible for Medicare benefits or who must buy into the Medicare system. Eliminates the requirement that a Medicare beneficiary be hospitalized before realizing home health care benefits. Eliminates the 150-day maximum limit on Medicare hospitalization benefits.
Establishes a review agency to insure that the home health benefit is utilized appropriately.
Authorizes the Social Security Administration to establish accounts for Medicare recipients to which it shall bill copayments and deductibles. Requires the Administration to collect the amounts due such accounts. Requires charges by providers of institutional services to be set by prospective budgeting, and for individual medical professionals to be reimbursed on a negotiated fixed fee schedule subject to review by the Administration. Provides that reimbursement would be determined with representatives of the medical profession, instutional providers, consumers and other interested parties. Allows providers of health services to elect whether they will participate in the Medicare program.
Provides grants to conduct tests and demonstrations to maintain persons who are disabled or have other health-related problems in their own homes who otherwise would require institutional care. Permits such tests to include homemaker, laundry, and nutrition services, home maintenance, and assistance with shopping and transportation.
Authorizes, subsequent to the test programs, establishment of a Medicare long-term care program, consisting of such services as were included in the test program. Places long-term care responsibilities in community long-term care centers, supervised by state agencies and governed by a board composed of long-term care eligibles.
Title II: Social Security Administration - Establishes an independent Social Security Administration as part of the executive branch, to be headed by a three-member governing board appointed by the President with the advise and consent of the Senate. Makes such Administration responsible for administration of Medicare; Old-Age, Survivors and Disability Insurance; supplemental security income; and black lung benefits.
Requires the Administration to study and make recommendations as to the most effective method of providing economic security through social insurance.
Disallows sending of political notices with monthly benefit checks.
Title III: Miscellaneous Amendments - Establishes a Consumer Price Index for the Aged and other Social Security Beneficiaries which would be used to calculate the automatic cost-of-living increases under present law, and requires that such increases be made twice yearly.
Increases the wage base upon which social security taxes are levied from $14,000 to $18,000 in 1976, $21,000 in 1977 and $24,000 in 1978.
Introduced in Senate
Referred to Senate Committee on Finance.
checking server…
Ask anything about this bill. The AI reads the full text to answer.
Enter to send · Shift+Enter for new line