(Washington, D.C.) – Citizens Against Government Waste President Thomas A. Schatz issued the following statement today in response to the dismissal of a lawsuit seeking to prevent enforcement of Section 4507 of the Balanced Budget Act of 1997.  Section 4507 bars doctors from participating in the Medicare program for a period of two years if they allow their patients to pay out-of-pocket for Medicare-covered health services.

“Citizens Against Government Waste (CAGW) is deeply disappointed with the recent U.S. District Court ruling in United Seniors Association v. Donna Shalala concerning Section 4507 of the Balanced Budget Act.  Section 4507 greatly restricts the ability of senior citizens and physicians to enter into private contracts for medical services.   As a result of this shortsighted decision, CAGW will be filing an amicus brief on appeal to support this effort to overturn Section 4507.

“CAGW will also continue to obtain citizen cosponsors for the Medicare Beneficiaries Freedom to Contract Act (S. 1194/H.R. 2497), legislation that will restore the right of seniors to privately contract for health services.  The Freedom to Contract Act currently enjoys the support of nearly 250 members of Congress, including 50 senators.

“It is up to Congress to repeal Section 4507 and allow senior citizens to pay out-of-pocket for whatever reason they may choose.  Seniors should not be forced to choose between Medicare or ‘No Care.’  Americans under the age of 65 can walk into any doctor’s office and personally pay for any medical service if they so choose.  Seniors deserve the same treatment.”

CAGW is a 600,000 member nonprofit, nonpartisan organization dedicated to eliminating waste, fraud, mismanagement and abuse in government.