| May 1st, 1996, Spertus Institute, Chicago Wednesday, May 1, 1996
Speech by Marc J. Lane
President, The Law Offices of Marc J. Lane, A Professional
Corporation.
All rights reserved. No Part may be duplicated without written consent.
Thank you for inviting me here today.
Elder Law attorneys like me are concerned about the absolute rights and the special
needs of the elderly and their families.
Some of us are working with those who need living wills or advanced directives for
health care. Others are offering advice about decisions our clients will need to
make for an incapacitated spouse. We may be helping our clients secure Medicare reimbursements
or addressing concerns about long-term nursing home care. We may be advocating the
rights of those in nursing homes or, sadly, those who are victims of abuse or neglect.
But the issues affecting the elderly aren't only health-related. They face financial
issues, too, and understandably are looking to preserve their assets and protect
their incomes, as I help them do in my practice. They need estate and tax planning
-- wills, trusts and durable powers of attorney. They may be motivated to direct
their social capital through planned charitable giving. They have questions about
their investments and their pensions.
They may be the targets of ageism in any of its malignant forms, including age discrimination
in housing or in employment. They may need help in qualifying for Supplemental Security
Income or veterans' benefits.
Apropos of today's theme, in every case, the elderly are called upon to become more
self-reliant. They are invited to shatter negative stereotypes and assertively apply
their talents to the job of healthy, productive and inspiring living.
Let's focus on a few illustrations.
First, Congress wants to shrink by almost one-third Federal funding to the National
Legal Services Corporation, which oversees local legal aid programs. Last year, legal
services programs helped 5 million of our country's neediest people, including the
elderly poor, resolve civil -- not criminal -- legal problems.
Most of these cases were simple, such as foreclosures and evictions. Often advice,
a referral or a few letters or phone calls were enough to solve the problem. Most
of these cases were resolved out of court. Such basic assistance can head off more
complicated legal troubles and make a world of difference in the lives of the elderly
and legal aid's other beneficiaries.
While private law firms, bar associations and individual lawyers have increased their
donations and pro-bono hours to make up for the lack of funds, legal aid clinics
still have had to scale back dramatically on the number of cases they accept.
Right now Congress is further trying to tie the hands of legal aid lawyers by banning
them from filing class-action suits, such as those on behalf of groups of the elderly
poor who want to challenge unfair housing practices or consumer fraud. And even as
Congress touts less Federal involvement in local programs, it is trying to restrict
the funds that legal aid programs can raise from private sources.
Each time a legal aid lawyer forces a nursing home to live up to its contract by
taking care of elderly residents, our country moves closer to its ideals. And each
time Congress betrays this promise of justice for all, the elderly are left to fend
for themselves. Or, more accurately, they are called upon to work collaboratively
with all of us who see what's right and what's wrong and fight for the principles
we hold dear.
And look at Medicare.
The Congressional Budget Office now reports that the trust fund that pays the
hospital bills for 37 million elderly and disabled people will go bankrupt sooner
and accumulate far deeper deficits over the next few years than we expected. By the
end of 2001, it is now thought that, because of rising costs, the trust fund will
have a deficit of $28.9 billion.
Both political parties are looking to overhaul Medicare. Republicans would cut projected
Medicare spending by $168 billion over 7 years; the White House would reduce planned
spending by $124 billion.
Under current law, the average amount Medicare would spend on each beneficiary is
to increase by 8.5% a year. Republicans would raise that amount by only 5.6% a year;
even the White House would raise it by only 6.5%.
Republicans and the White House both would encourage more elderly to migrate to managed-care
plans, though the GOP plan does so more aggressively. Both would wring savings primarily
from lower projected payments to doctors and hospitals who provide fee-for-service
Medicare. And Republicans would require higher out-of-pocket premiums, about $11
a month more in 2002, for Part B doctor services.
The Social Security system presents similar challenges.
Some might argue that retirement benefits are contractual rights. "We've
paid into the system and now is our time to withdraw from it. Under no circumstances
are we legally or morally permitted to pirate the trust fund for nonretirement purposes."
Others also view the issue as one of fairness, but come to the opposite conclusion.
They contend that simple demographics require that benefits be means-tested or that
COLA adjustments be deferred or scaled down.
Still others see the problem as a flashpoint of intergenerational conflict, pitting
wage earners against their parents and grandparents.
It is devoutly to be hoped that reason will prevail and the legitimate needs of the
elderly will be met, both sensitively and cost effectively. However the political
dust settles, older Americans should resist the most insidious form of ageism --
looking at oneself as a victim.
And, if one looks hard enough, the reality is he can find reasons here and there
to celebrate opportunities to ensure one's future. And, most important, he finds
that he is empowered.
More and more cases of age discrimination are properly being filed. Compensatory
judgements are awarded and employers are starting to see the light.
In addition, the Senior Citizens Equity Act was signed into law on March 29. It increases
the Social Security earnings limit to $30,000 over seven years and allows the elderly
to remain productive bread winners. Good for them and good for us as a society.
And consider the health bills recently passed in both Houses of Congress, and headed
for conference reconciliation. Whatever else one wants to say about them -- and there
is plenty of room for controversy about their mental health provisions and the growing
debate over Medical Savings Accounts -- the bills do, in fact, start to give older
Americans a framework to render and afford their own health-care choices.
Long-term care contracts would receive the same favorable tax treatment as medical
insurance. Benefits would be tax-free, up to $175 a day. Long-term care would be
considered a medical expense. Long-term care insurance premiums could be claimed
as itemized medical- expense deductions. Granted, it's only a start. But it's one
example of many we see daily in our practice. The elderly can and must successfully
plan for themselves with financial incentives for their autonomy.
The legal environment facing today's and tomorrow's elderly is apt to be a tougher
one overall. But he who takes steps to ensure his legal and financial future, with
the professional help that's here now, is most likely to do best in that environment.
I urge you -- take charge of your destiny and you will own it as you deserve to.
|
Announcing Marc J. Lane's 35th Book:
The Mission-Driven Venture: Business Solutions to the World's Most Vexing Social ProblemsMore About The Book
|
