Malloy bashes legislature’s plan to ‘fix’ Medicare

HARTFORD – Gov. Dannel P. Malloy on Friday threatened to veto the legislature’s proposed fix for the Medicare Savings Program, slamming the legislation as a budgeting sham.

General Assembly leaders plan to proceed Monday with House and Senate votes to approve the plan to restore a nearly $54 million cut that threatened Medicaid coverage to tens of thousands of low-income seniors and disabled people on Medicare.

“Despite a veto threat, I expect we will move forward Monday to ensure those affected can continue to rely on this important program,” said House Speaker Joe Aresimowicz, D-Berlin.

Senate Republican Leader Leonard A. Fasano, R-North Haven, was also undeterred.

“Despite the governor’s best efforts to try to stop us, lawmakers will be convening on Monday to pass this bill,” he said

“If Gov. Malloy wants to veto it, just like he threatened with the bipartisan budget, he can have at it. But lawmakers have the power to override his veto and do what is right for the thousands of seniors who need lawmakers to take action,” Fasano continued.

A more muted Senate President Martin M. Looney, D-New Haven, said Democrats and Republicans have reached a bipartisan consensus to restore the Medicare Savings Program.

Malloy blasted the legislation as full of gimmicks, two of the chief examples allegedly being retaining, but pushing back an change in income eligibility for the Medicare Savings Program, and double-counting pension savings

“In terms of budget gimmickry, it shoots the moon: wishful thinking, pushing problems off into the future, and shoddy math – most egregiously in the form of double-counting savings in our already underfunded teachers’ pension system,” he said

Lawmakers lowered income limits for the Medicare Savings Program to pick up $53.8 million in savings and revenue gains this year and $130 million next year help balance the two-year, $41.3 billion budget that bipartisan majorities approved in late October.

The program funds some limited benefits to qualified Medicare beneficiaries through the joint state-and-federal Medicaid program.

There was a public outcry after the state Department of Social Services informed 113,000 low-income seniors and disabled people that they could lose all or part of their Medicaid coverage.

Malloy blasted the fix that Democratic and Republican leaders negotiated because the administration says their plan just rolls back change in income eligibility limits to July 1 and adds another $20 million to cover the benefits until then.

He said the Department of Social Services had already pushed back the eligibility change to July 1. He informed top lawmakers of this delay in a letter Tuesday.

Malloy also charged the legislation double counts $19.4 million in savings from a reduction in the state contribution to the Teachers’ Retirement System that the adopted budget already assumed.

The governor’s office also questioned the viability of an additional $17.3 million in savings included in the legislation.

“The bottom line is that this is posturing at best and bad budgeting at worst, and if it comes to my desk in its current form, I will veto it,” Malloy said. “Connecticut’s elected officials can and should do better.”

Democratic and Republicans negotiated a two-year budget deal without Malloy, and then they assembled veto-proof majorities in the most narrowly divided legislature in decades to approve it.