```

[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1223 Introduced in House (IH)]

110th CONGRESS
  1st Session
                                H. R. 1223

  To amend part B of title XVIII of the Social Security Act to waive 
        Medicare part B premiums for certain military retirees.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                           February 28, 2007

 Mr. Van Hollen (for himself, Mr. Edwards, Mr. Miller of Florida, and 
 Mr. Jones of North Carolina) introduced the following bill; which was 
 referred to the Committee on Energy and Commerce, and in addition to 
   the Committee on Ways and Means, for a period to be subsequently 
   determined by the Speaker, in each case for consideration of such 
 provisions as fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL

 
  To amend part B of title XVIII of the Social Security Act to waive 
        Medicare part B premiums for certain military retirees.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Keeping Faith With the Greatest 
Generation Military Retirees Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) No statutory health care program existed for members of 
        the uniformed services who entered service prior to December 7, 
        1956, and retired after serving a minimum of 20 years.
            (2) Recruiters, re-enlistment counselors, and officers at 
        all levels of the uniformed services, and other government 
        officials, as agents of the United States Government, used 
        recruiting tactics that allowed members who entered the 
        uniformed services prior to December 7, 1956, to believe they 
        would be entitled to fully paid lifetime health care upon 
        retirement.
            (3) In the United States Court of Appeals for the Federal 
        Circuit decision of November 18, 2002, in Schism v. United 
        States (No. 99-1402), the Court said: ``Accordingly, we must 
        affirm the district court's judgment and can do no more than 
        hope Congress will make good on the promises recruiters made in 
        good faith to plaintiffs and others of the World War II and 
        Korean War era--from 1941 to 1956, when Congress enacted its 
        first health care insurance act for military members, excluding 
        older retirees. . . . We cannot readily imagine more 
        sympathetic plaintiffs than the retired officers of the World 
        War II and Korean War era involved in this case. They served 
        their country for at least 20 years with the understanding that 
        when they retired they and their dependents would receive full 
        free health care for life. The promise of such health care was 
        made in good faith and relied upon. Again, however, because no 
        authority existed to make such promises in the first place, and 
        because Congress has never ratified or acquiesced to this 
        promise, we have no alternative but to uphold the judgment 
        against the retirees' breach-of-contract claim. . . . Perhaps 
        Congress will consider using its legal power to address the 
        moral claims raised by [the plaintiffs] on their own behalf, 
        and indirectly for other affected retirees.''.
            (4) Only the United States Congress can make good on the 
        promises recruiters made in good faith to plaintiffs and others 
        of the World War II and Korean War era.

SEC. 3. WAIVER OF MEDICARE PART B PREMIUM FOR CERTAIN MILITARY 
              RETIREES.

    (a) In General.--Section 1839 of the Social Security Act (42 U.S.C. 
1395r) is amended--
            (1) in subsection (a)(2), by striking ``The monthly 
        premium'' and inserting ``Except as provided in subsection (j), 
        the monthly premium''; and
            (2) by adding at the end the following new subsection:
    ``(j)(1) The amount of the monthly premium for an eligible 
individual enrolled under this part is equal to $0.
    ``(2) For purposes of paragraph (1), the term `eligible individual' 
means--
            ``(A) an individual who is entitled to retired or retainer 
        pay based upon service in the uniformed services (as defined in 
        section 101 of title 10, United States Code) that began before 
        December 7, 1956;
            ``(B) the spouse (as determined under section 7703 of the 
        Internal Revenue Code of 1986) of an individual described in 
        subparagraph (A); and
            ``(C) the widow or widower, as the case may be, of an 
        individual described in subparagraph (A).
    ``(3) With respect to years beginning after the date of the 
enactment of this subsection, the monthly premium rate calculated under 
subsection (a)(3) for individuals enrolled under this part who are not 
eligible individuals under this subsection shall be determined without 
regard to benefits and administrative costs attributable to such 
eligible individuals during such years.''.
    (b) Conforming Amendment.--Subsection (i) of such section is 
amended by adding at the end the following new paragraph:
            ``(7) Inapplicability to certain military retirees.--This 
        subsection shall not apply to eligible individuals (as defined 
        in subsection (j)(2)).''.
    (c) Effective Date; Rebate Mechanism.--
            (1) In general.--The amendments made by this section shall 
        apply to premiums for months beginning more than 45 days after 
        the date of the enactment of this Act.
            (2) Rebate mechanism.--The Secretary of Health and Human 
        Services shall use the rebate methodology established pursuant 
        to section 625(a)(2) of the Medicare Prescription Drug, 
        Improvement, and Modernization Act of 2003 (Public Law 108-173, 
        117 Stat. 2318) to provide rebates to eligible individuals (as 
        defined in subsection (j)(2) of section 1839 of the Social 
        Security Act, as added by subsection (a)) of any premium or 
        premium penalty paid under such section for months described in 
        paragraph (1).
                                 <all>
```