ENTITLEMENT REFORM TAKES FIRST BABY STEPS

By a lopsided bipartisan vote last week, the U. S. Senate did something that until recently has been thought near-impossible: They defied conventional wisdom on the political dangers of reforming entitlements and began doing just that. We say it is just a beginning because these truly are baby steps. Determined to trim the exploding cost of health care for the elderly, the Senate voted to increase monthly health care premiums for better-off elderly and to gradually raise the eligibility age for benefits to 67. Both proposals face an uncertain future, but the Senate vote is nonetheless heartening.

Under the Senate plan, the current $43.80 monthly Medicare premium would begin to increase for elderly individuals whose incomes exceed $50,000, and be fully phased in for those earning $100,000. At that maximum income level, an individual's annual premium would be $2,145 instead of the current $525.

The eligibility age for benefits will gradually rise over the next 30 years from the current 65 to 67. This reflects rising life expectancy and sounder health at more advanced ages, as well as practical necessity in gaining control of runaway costs.

Reformers can and must do much more, especially in moving us toward a market-based health-care system that gives senior many more choices. Last week's Senate vote is only a beginning.