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State Convention, Michigan Optometric Association, Grand Rapids, MI, February 5, 1950
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State Convention, Michigan Optometric Association, Grand Rapids, MI, February 5, 1950
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The original documents are located in Box D13, folder "State Convention, Michigan
Optometric Association, Grand Rapids, MI, February 5, 1950" of the Ford Congressional
Papers: Press Secretary and Speech File at the Gerald R. Ford Presidential Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. The Council donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Digitized from Box D13 of The Ford Congressional Papers: Press Secretary and Speech File at the Gerald R. Ford Presidential Library
SPEECH BY REP. GERALD R. FORD JR.
February 5, 1950
STATE CONVENTION MICHIGAN OPTOMETRIC
ASSOCIATION
Grand Rapids, Michigan
Before delving into the content of the talk I have pre-
pared for this occasion, I should like to preface my remarks with
this strudghtforward and unequivocal statement.
I am not in favor of a state controlled Health Insurance
program where there is an emphasis on red-tape and regimentation and
a de-emphasis on the quality of treatment rendered by those skilled
technicians who treat our citizens for their many ills.
I am, however, convinced that a serious problem exists in
this country directly affecting the health and welfare of a great
number of people.
I am also convinced that there is a solution to the problem
without resorting to unlimited government control and direction.
Furthermore, I believe the American people would rather meet this
crisis with typical Yankee infenuity rather than follow blindly the
program sponsored by the Labor-Socialist government in Great Britain
FORD i LIBRARY GERAL
- 2 -
In any discussion on this very important subject it seems
wise to me to look at the factSand figures. To begin with, let us
see what the Federal Government is now doing in the medical services
field.
The Hoover Commission Report brings out some startling
information and I (111) quote from one of the Commission's reports;
"The Government is now responsible for medical care in varying
degrees for almost 24,000,000 people or about one-sixth of the entire
population. By 1947, it was expending well over $1,000,000,000 or
five times the 1940 cost. By fiscal year 1948 this cost jumped
another 20%. The total Federal Medical budget for fiscal year 1949
was estimated at $1,923,000,000.*
The Hoover Commission Report goes on to say that no less
than 46 different government agencies provide some sort of medical
services. The Veterans Administration accounts for 61 per cent of
the total and the armed services make up more than half of the
remainder.
Federal activity in the medical field can be grouped
FORD i LIBRARY GERALD
- 3 -
into two principle elassifications: The first classification deals
with the general health as a whole. The various studies relating
to cancer, tuberculosis, veneral diseases and other kindred and
closely allied fields, are good examples of this type of Federal
activity. The second classification, deals with direct medical
care of people either directly or indirectly connected with the
government. In this classification, which I might add, constitutes
about 85% of the total expenditure, such groups ass Veterans,
Armed Forces personnel and their dependents, Indians and Federal
Employees. are all participating beneficiaries.
Besides the above two elassifications it should be
pointed out that a number of government agencies carry on separate
functions of their own, The Food and Drug Administration, Department
of Agriculture and the Children's Bureau are excellent examples of
separate agency functions.
Let us scrutenize more closely the activities of the
Federal government as illustrated by the work of the Public Health
FORD & LIBRARY GERALD
Service. This service spends about 165 million dollars a year
- 4 -
in grants to individual states for various purposes, research cover-
ing a vast field, and direct treatment of patients. The Public
Health Service operates 27 hospitals in addition to medical relief
stations, furnishes medical services to the Coast Guard and Maritime
Commission and provides miscellaneous services to other Federal
agencies.
Also there is a wide variety of state aid programs
administered by the Public Health Service. Besides several grants
to the states; these are grants specifically for several diseases
such as, tuberculosis, other communicable diseases, mental illnesses,
cancer, heart disease, dental diseases and hospital construction.
Some of these grants are matched by state money; some are not. The
various states use such federal grants for a wide variety of purposes.
These include strengthening of state health department or aid to
local health departments, state industrial hygiene services, state
public health laboratories, diagnostic services and nursing services.
Frequently, the Federal grants are intermingled with state
or local funds to provide direct treatment for patients with venereal
FORD i LIBRARY GERALD
- 5 -
disease, tuberculosis, mental disease or other ailments, In
every instance, the Federal Aid program provides that any person,
regardless of economic status, is entitled to diagnosis and
immediate treatment. I am in general agreement with the Federal
governments activities to date in this sphere but are we getting
our dollar's worth out of the money appropriated and spent? Let's
look at what the Hoover Commission said on the subject.
"The most striking impression made upon us in our study
is that this enormous Federal medical project has been entered into
and 1s now being conducted without any central plan, without even any
clear decision as to certain of the large classes of the beneficiaries
to be covered, with no estimate of the ultimate cost or of the effect
upon other health measures for the nation,
Four great agencies in the medical field, and various
smaller ones, obtain funds each year, erect their own hospitals to
care for their own clientele, and compete with each other for scarce
personnel, with no regard for the facilities available in, or the
needs of, the other agencies, and without any over-all plan. As
FORD i LIBRARY GERALD
- 6 -
matters now stand, the Government is moving into uncalculated obli-
gations without consideration or understanding of their ultimate
cost. It is proceeding with no adequate thought as to whether
it can staff its hospitals to give good care, and without any unified
plan as to how to do the job.
One conclusion fundamental to all others is inescapable:
There must be over-all planning. This in turn requires a clear
definition of the extent of the responsibilities, and an organisation
appropriate to carry out the commitment."
That ladies and gentlemen, should give you some idea
of the tremendous role the Federal Government is playing in the
Medical Services field. The facts and figures I have just given
constitute the past and present. What about the future?
A quick glance at the legislative action during the
first session of the 81st Congress reveals some startling informa-
tion. Nearly 300 bills pertaining to health were introduced by
8/25
members during the first session of Congress. Seven were passed
by both houses while 14 others were approved in one house only.
FORD & LIBRARY GERALD
- 7 -
For your information I'll list several of these measures,
The Hospital Survey and Construction Act Amendments of
1949 was passed by both houses and became law on April 15, 1949.
This law extends the duration of the Hospital Survey and Construe-
tion Act from 1951 to 1955 and increases the sum authorized to be
appropriated for assisting the states in constructing public and
non-profit hospitals from $75,000,000 to $150,000,000.
A number of bills, including one of my own, have been
introduced for the establishment of a Multiple Sclerosis Institute
in the Public Health Service. This institute would be similar to
those already established for cancer and heart research. Such a
proposal would authorise the needed expenditures for the vitally
necessary research. Hearings have been held before a House Sub-
committee and action may be fortheoming within the next few months.
Perhaps the most controversial measure introduced during
the last session, and one that I would like to discuss in some
detail, is President Truman's proposal for a prepaid compulsory
health insurance program, better known as Socialised Medecine. With
FORD & LIBRARY 074470
- 8 -
Mr. Truman's blessing ten more or less identical measures were
introduced in the Senate and seven in the House. As a general
matter these proposals would provide for the following benefits:
(a) Provide Federal grants to schools in order to
train medical and technical personnel.
(b) Grant additional Medical funds for research
pertaining to cause, prevention, and methods
of diagnosis and treatment of various diseases.
(c) Provide grants and loans for carrying out a
program of locating medical personnel and facilities
in areas that are short of those personnel and
facilities.
(d) Provide and assist local and State Health Units.
(a) Provide for prepaid personal health service
benefits, medical, dental, home nursing, hospital
and auxiliary services.
It is my prediction that the President's government
controlled and financed Medical plan will become an important issue
in the present session. The legislation will not be approved by the
81st Congress, in fact I doubt if more than 65 members of the House
would vote in the affirmative at the present time. The proposal
vill, however, be a major issue in the elections between Republicans
and Democrats in 1950 and 1952.
I stated in the first part of my talk that a serious health
FORD
problem does exist throughout the country. From our own state of Michigan
LIBRARY
- 9 -
here are some cold facts and figures:
Per Capita Income 1946
$1,215
General Hosp. beds per
1000 pop. 1946
4.2
Number of persons per
physician 1940
726
Number of persons per
dentist
1,978
I am sorry I have no figures on your profession which has
been doing an excellent job in your field.
Now I realize full well that these ratios may have changed
since 1940 and 1946 and that the availability of medical services in
Michigan has improved, but I doubt if we now have enough trained
personnel to meet the demand.
Michigan, along with her sister states, W&B authorized to
participate in the hospital construction benefits of the Hill-Burton
Law. This program was inaugerated by the 80th Congress in 1947. A
priority list based on need has been established and we are now seeing
the results with local hospitals being completed throughout the state
FORD & LIBRARY GERALD
- 10 -
by the joint use of federal, state and local funds. It might interest
you to know that Michigan was authorized to receive over two million
annually in federal funds for this program.
The University of Michigan Medical School and the Michigan
State Medical Society have been very active in helping physicians locate
in rural areas. I know from reliable sources that your Association is
also making 8 determined effort to achieve the same results and I
compliment you on such a program. The last graduating class at the
University showed the highest per cent in its history of young men
willing to establish a practice in rural communities. Yes, on the
whole, our state can be proud of our professional people and thensteps
they have taken to solve the health problem. However, we must not
stop but rather should re-double our efforts.
We here in Michigan as well as others throughout the United
States are in need of a plan to counteract the costly program of
ggvernment regimentation as proposed by Mr. Oscar Ewing and others in
the federal bureaucratic hierarchy. The people of this country are
GERALD FORD LIBRART
- 11 -
demanding a solution. We cannot stand idly by and blissfully contend
there is no problem, for the contrary is unquestionably true. The
people of this country do not want additional regimentation and government
control but rather seek a free enterprise plan without undue govern-
mental interference. I'm certain that those who have the tools--
namely, our doctors and dentists, our trained technicians, our
voluntary health program authorities and our elected government
officials will by a united effort find the answer.
What perturbs me to 8. great extent is the lighthearted, non-
factual point of view many of our citizens are taking toward the
Administration's proposal. For example a. few days ago, I received a
letter from a young family man who stated in essence that he would be
in favor of Socialized Medicine, because of a recent personal experience.
He is now attending Michigan State College and for the nominal sum of
50¢ he stated he received $200 worth of medical care. It is his con-
tention that if he had had to pay the $200 in cash he could never have
afforded the care and treatment. The fallacy of the man's argument is FORD
- GERALD LIBRARY
- 12 -
that he doesn't realize someone had to pay the other $195.50 and that
he as a taxpayer was very much one of those persons.
This simple example would be multiplied many times over
if we had the President's proposal on the statute books. You know and
I know that the expected deductions from the wage earners pay will
never cover the anticipated costs under the Administration's plan. In
reality the major portion of the cost will fall directly on the now
depleted federal treasury and in turn on federal taxpayers generally.
I realize full well that the United States has some individuals
and families who do not have adequate resources to enable them to pay
for good medical care. Provision must be made to care for the health
needs of these people. Senator Taft has suggested one approach.
Another is a voluntary plan which vill encompass all citizens in the
lower income brackets. It is my understanding that in Michigan our
private medical insurance plans are expanding their coverage to take
in all who want the service. Perhaps what we need is 8 combination of
the Taft proposal and wider coverage under voluntary insurance programs.
The British system of compulsory government insurance stands
FORD i LIBRARY GERE
- 13 -
as a test tube for a scientific analysis. By the overwhelming weight
of authority, the evidence clearly indicates that the experiment of
the labor government in that country has been an unsuccessful experiment.
Let me read to you an excerpt from one who should know the fects. He
is & doctor from England, a veteran of the Royal Air Force. He states,
"Nine years ago I graduated from medical school and began as an intern
in a hospital in Great Britain. Four months ago I began as an intern
in a hospital here in the U.S. What happened in those intervening
years? The government health scheme of Great Britain. After coming
back from five years of service with the Medical Branch of the Royal
Air Force, I entered a large general practice in an industrial area in
Great Britain and that, of course, is the clue as to why I am here.
I have worked under this British government health service and found
it so objectionable, both personally and as a physician, that I felt
compelled to break all my ties--and they are real ties-with home and
friends and professional background and come to start afresh--and from
the bottom--in a new country. You see there are some things that are
FORD i LIBRARY GERALD
- 14 -
not worth doing at any price and working that sort of government
medicine seemed to me so intolerable that I made this momentous
personal decision. And I am not alone in making this break. You
won't see many of my British colleagues here in the U. S. because the
problem of obtaining dollars is almost an insurmountable one for
Englishmen. But they are streaming out of Great Britain to the British
Dominions. This is hardly the action of men who are happy in the
practice of their chosen profession. Believe me, one does not make
such a decision readily."
To my way of thinking, compulsory Health Insurance violates
everything this country has stood for and prospered under during the
last 150 years. Impediments would predominate on the technicians'
rights and privileges in his chosen profession. There is the unbe-
lievable cost factor which is not widely known or appreciated. Compulsion
and not choice permeates the entire program. These are but a few of
the reasons why this program 1s not in accord with our basic American
concepts or principles. As we look back over the history of our great
country, we all recall the many momentous and complex problems our
GERALD FORD LIBRARY
- 15 -
people have had to face from time to time. In practically all in-
stances, the people of the United States solved those problems not
by absolute governmental intrusion into your life and mine but rather
by a concentrated effort of free men working honestly, conscientiously
and industriously to the common end,
That, ladies and gentlemen, brings to a close my address,
I urge you all to give the problem serious consideration. We are at
the crossroads of a momentous decision that requires scholarly and
unselfish thinking.
GERALD FORD LIBRARY