GOP report questions AARP's motivations for supporting healthcare reform

The report looked at AARP's public tax filings and concluded that the group stands to gain $1 billion from the healthcare reform law. That's because AARP makes considerably more from royalties (46 percent of revenues in 2009) than from membership dues (17 percent).

Part of those royalties come from associating its name to Medicare supplemental insurance coverage (Medigap), which more seniors may come to rely on as the law cuts payments for competing Medicare Advantage plans by about $200 billion.

AARP President Lee Hammond said in a press call that the association did not have access to the Republicans' analysis of the law's effects on Medigap and Medicare Advantage.

"We have no idea if that's true or not," he said. "The marketplace will determine whether we win or lose."

Democrats immediately leapt to AARP's defense.

"This is no more than a veiled attempt to discredit an organization which can provide significant opposition to the upcoming GOP attempts to privatize Medicare and Social Security," said Oversight Subcommittee Ranking Member John Lewis (D-GA).

Also Wednesday, the committee announced the witnesses for Friday's hearing: 

• AARP CEO A. Barry Rand and Board of Directors President Lee Hammond;

• Attorney William Josephson of Fried, Frank, Harris, Shriver & Jacobson LLP in New York; and 

• University of Miami School of Law Professor Frances Hill.