tion $27 a month at the beginning of the program, rising as hospital costs rise. States and other organizations, through agreements with the Secretary, would be permitted to purchase such protection on a group basis for their retired or active-employees age 65 or over, including groups of teachers who have never been covered under the program. Present law provides hospital insurance protection under a "special transitional provision" for people with the exclusion of certain groups—who are not qualified for cash benefits under the social security or railroad retirement program and who attained age 65 before 1968. But some older people who reach age 65 after 1967 cannot qualify under the transitional provision, and the provision itself will phase out as of 1974, as persons attaining age 65 in those years must be insured for cash benefits under one of the two programs in order to be eligible for hospital insurance protection. It has become very difficult for many in the uninsured group to obtain private hospital insurance comparable to coverage under medicare. Since the passage of the medicare law, private insurance companies have generally changed their hospital insurance plans available to people age 65 and over to make their coverage complementary to medicare. While there is generally some type of hospital insurance available to persons age 65 and over, most of that which is offered is in the form of specified cash payment insurance for limited periods of hospitalization. Few private health insurance companies offer their regular hospital expense plans to the aged and very little is comparable in protection to that afforded under the medicare program. Mr. Chairman, Sec. 202 of H.R. 17550 is similar to legislation introduced in the Congress and which was passed by the Senate in the Social Security Amendments of 1967. Unfortunately, the House of Representatives failed to act on this subject and the provision was dropped in conference. We are hopeful that this distinguished Committee will again see fit to report favorably legislation to achieve the goal of adequate hospital protection for the elderly. On behalf of the National Education Association, I want to thank you, Mr. Chairman, and Members of this Committee, for the opportunity to present the views of our membership on this legislation. _do. .do. 35,000 Only teachers in 5 State colleges. 45,855 None... Description of employees not covered None. All teachers in the elementary and secondary schools of the State, including the city of Chicago; teachers employed in State institutions; and certified employees of the State education department. None. Do. Do. Full-time regular or special teachers, principals supervisors, superintendents, assistant superintendents, attendance officers, and other full-time members of the teaching or professional staff in public elementary or secondary schools for whom certification is required; instructional and administrative staffs of 5 State colleges, and State and area vocational schools; the superintendent of public instruction and certain State education department staff. Instructional staff, administrators, supervisors, librarians, clerical workers of the public schools (except in New Orleans Parish, which has its own retirement system), deans and teachers in State-supported colleges, members of the State department of education, directors and teachers in State-supported vocationaltechnical schools, and the secretary and staff of the Louisiana State Teachers' Association and the Louisiana High School Athletic Association. All State employees, all teachers and the employees of political subdivisions covered by the State employees retirement system. None. Professional school staff employees who perform service not less than half time as teachers, school psychologists, counselors, occupational guidance and placement counselors; principals, supervisors or superintendents in any public school (except in Boston, which has its own local retirement system), and supervisors and teachers of adult civic education. None. Examples of members not covered: Certificated members of the Minneapolis public school system and office employees of the local teachers' retirement system, and certificated members of the professional staff of St. Paul public schools; and some employees in State teachers' retirement system. None. Full-time teachers, supervisors, principals, superintendents, and other certificated employees of the public schools (except in St. Louis and Kansas City, which have local retirement systems covering public school employees), most State college and State teachers college employees, full-time certificated personnel in the State education department, and certificated members of the retirement system staff. None. All public employees, all public school empolyees, and the political subdivisions whose positions normally require 1,200 or more hours of service a year. None. 1 National Education Association, Research Division; "1969 Teacher Retirement System Summaries," Washington, D.C.: the association, 1969. 2 Statewide public employees retirement system to which teachers belong. * Estimated. State AVERAGE OF FULL-TIME EMPLOYEES OF STATE AND LOCAL GOVERNMENTS Source: U.S. Department of Commerce, Bureau of the Census. Compendium of Public Employment, vol. 3, No. 2, 1967. ashington, D.C., Government Printing Office, 1969, table 17, p. 109. 1 The range in benefits is due to the variation in formulas among the States and the personal employment history of each 2 From American Hospital Association, Research Services, Chicago, Ill. Expenses shown reflect costs to institutions, not 3 Computed from average daily expenses as shown. The CHAIRMAN. Thank you very much, sir. We also include the tables that you had submitted here for the case. Mr. MONDANI. Thank you, sir. The CHAIRMAN. Many thanks. Our next witness will be Mr. John Doyle Elliott, secretary of the We are pleased to have you, Mr. Elliott. STATEMENT OF JOHN DOYLE ELLIOTT, SECRETARY, TOWNSEND Mr. ELLIOTT. Mr. Chairman, I am Mr. John Doyle Elliott, secretary In summary, the first and most salient thing, we feel, is to keep In testimony, as I have submitted to the committee, from the Cen- Last year the average elderly man over 65 had an income of $2,828. We feel very sincerely in our proposed legislation and attitudes and |