Republicans are raising concerns about a new Biden-Harris administration initiative aimed at offsetting Medicare premium increases before the presidential election, with some suggesting it may violate the Hatch Act. Sen. Rand Paul, R-Ky., has called for an investigation into the $5 billion program, sending a letter to the Department of Justice (DOJ) to address the issue.
The Hatch Act restricts political activity by government officials in their official capacities.
“My colleagues and I are concerned that the Biden-Harris Administration is inappropriately using taxpayer funds to mask the defective Medicare Part D policies enacted as part of the Inflation Reduction Act (IRA) of 2022 (P.L. 117-169),” Paul stated in his letter to Corey Amundson, Chief of the DOJ’s Public Integrity Section. “Given the IRA’s central role in the Biden-Harris Administration’s presidential campaign, these concerns warrant additional investigation.”
Senator Paul pointed out that Medicare premiums significantly rose in 2023 following the passage of the IRA. He further added, “Medicare Part D premiums were expected to rise even higher this year when open enrollment begins in October. Yet, the Biden-Harris Administration very deliberately initiated a demonstration program to address rising costs for seniors only in an election year.”
In July, the Centers for Medicare & Medicaid Services (CMS) announced a program intended to stabilize rising premiums, with an estimated cost of $5 billion over a three-year period.
“Kamala Harris cast the tie-breaking vote to pass the Inflation Reduction Act, which is now driving up seniors’ health care premiums. Americans deserve to know if Biden and Harris are now illegally handing taxpayer funds to insurance companies in order to hide those premium increases right as seniors head to vote,” Paul wrote on X (formerly Twitter).
The IRA has been a focal point of both President Joe Biden’s and Vice President Kamala Harris’ re-election efforts, with both frequently touting its benefits to voters. Democrats running in down-ballot races have also emphasized their support for the bill on the campaign trail.
The newly proposed program aims to lower Medicare premium prices by infusing federal funds into the system just before the election, sparking controversy among Republicans over the timing and legality of the move.