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Legislative Action

Prescription Drug Action

For years the labor movement and the Democrats in Congress have fought hard to add an affordable and comprehensive prescription drug benefit to Medicare. Unfortunately, Republicans have blocked passage of a meaningful drug benefit, instead insisting on a risky privatization scheme that would force seniors out of Medicare and into profit-driven HMOs (Health Maintenance Organizations).

Today the fight continues as the Congress will soon debate what type of prescription drug benefit is created for millionsn seniors. Will it be a comprehensive, generous drug benefit delivered through the Medicare program that our seniors depend on today? Or will it be a meager benefit that only applies to seniors who leave the traditional Medicare system for HMOs PPOs, and unreliable managed-care providers?

Union members and retirees know the difference between a real Medicare drug benefit that will truly help America's seniors and the gimmick plan that President Bush and Republican leaders are peddling. We've seen HMOs drop the coverage of 2.4 million seniors over the past five years, and we know that a drug benefit must be under Medicare, not with the HMOs.

That's why the United Steelworkers, the AFL-CIO and reputable health advocacy organizations have endorsed H.R. 1199, the Medicare Rx Benefit and Discount Act of 2002.

Introduced by the House Democrats, H.R. 1199 currently has 125 cosponsors of 435 members of the U.S. House of Representatives. Call or write your Congressperson today and tell him or her to cosponsor H.R. 1199, and to oppose President Bush's misguided plan to privatize Medicare.


Summary of H.R. 1199, the Medicare Rx Benefit and Discount Act of 2002:

H.R. 1199, introduced by House Democrats, would deliver a prescription drug benefit under a new Medicare Part D, covering 80% of the cost for all drugs prescribed by a Medicare recipient's doctor. With the bargaining power of more than 40 million Medicare beneficiaries, Medicare would significantly reduce the cost of prescription drugs for America's seniors.

For seniors who pay the modest $25 monthly premium and a $100 annual deductible, H.R. 1199 would provide a benefit of 80% of the cost of senior's prescription drugs under Medicare. Out of pocket expenses for a Medicare recipient would never exceed $2,000 annually. Low-income seniors with earnings lower than 150% of the poverty line would pay no premium and no cost-sharing for the Rx drug benefits.


Summary of President Bush's Misguided Medicare Plan:
The Medicare plan drafted by the White House would not deliver a reliable or affordable prescription drug benefit under Medicare. Instead, President Bush's plan would require seniors to leave their doctors, and join HMOs to receive a drug benefit. Furthermore, the Republican plan does not specify the monthly premium for recipients and it does not guarantee that any HMO will provide coverage to a Medicare-eligible senior. An HMO could be free to raise premiums and drop or deny coverage to America's seniors.

The Republican's plan is weak in covering drug costs. It only covers 50% of drug costs for a portion of an individual's expenses, and the plan has major gaps where beneficiaries receive no benefit at all from Medicare. Additionally, the President's plan will not use the purchasing power of Medicare to reduce drug prices, which does nothing to stop drug companies from charging America's seniors more than anyone else around the world.


Medicare Rx Drug Benefit and Discount Act (H.R. 1199)
The elderly and disabled have waited long enough for a prescription drug benefit in Medicare and for relief from the high cost of prescription drug prices. House Democrats are committed to providing a comprehensive benefit that is affordable and dependable for all beneficiaries with no gaps or gimmicks in coverage. This benefit will be similar to what seniors and individuals with disabilities get in Medicare now. What we offer senior citizens and individuals with disabilities should be no less generous than what Members of Congress and other Federal employees receive.

 


Call or e-mail your U.S. Representative

Tell him or her to cosponsor H.R. 1199,
the Medicare Rx Benefit and Discount Act. Seniors need a real prescription
drug benefit under Medicare, not another fake HMO drug plan.

You can reach your representative by telephone at
202-224-3121

You can e-mail your representative from the following web site:
http://www.unionvoice.org/campaign/medicarerx