04-R 351

2004 -- H 8272

Enacted 06/22/04

 

 

H O U S E  R E S O L U T I O N

RESPECTFULLY URGING THE UNITED STATES CONGRESS TO REVISE CERTAIN

PROVISIONS OF THE MEDICARE PRESCRIPTION DRUG, IMPROVEMENT AND

MODERNIZATION ACT OF 2003 (HR-1)

     

     

     Introduced By: Representatives Giannini, Dennigan, and Handy

     Date Introduced: March 10, 2004

 

     

     WHEREAS, The Medicare Prescription Drug, Improvement and Modernization Act of

2003 (MMA) will result in significant savings for only a minority of beneficiaries with extremely

large drug bills and may cost some beneficiaries more in premiums, deductibles and co-pays than

they will get back in benefits; and

     WHEREAS, The Medicare Prescription Drug, Improvement and Modernization Act of

2003 (MMA) provides no substantive drug benefits until 2006 other than a discount card that will

provide minimal discounts on prescription drugs for most beneficiaries; and

     WHEREAS, The Medicare Prescription Drug, Improvement and Modernization Act of

2003 (MMA) creates a "doughnut hole" by suspending coverage for drug costs between $2,250

and $5,100 a year; and

     WHEREAS, The average beneficiary is projected to spend $3,155 on drugs when the

program starts, placing many of them within this large gap in prescription drug coverage caused

by the "doughnut hole"; and

     WHEREAS, The Medicare Prescription Drug, Improvement and Modernization Act of

2003 (MMA) specifically prohibits the federal government from directly negotiating with drug

manufacturers to obtain lower prices for covered drugs; and

      WHEREAS, Low-income Medicaid beneficiaries will lose protections and benefits they

currently enjoy under Medicaid and will be subject to higher co-payments and lose any wrap-

around coverage under Medicaid; and

     WHEREAS, The Medicaid Prescription Drug, Improvement and Modernization Act of

2003 (MMA) requires non-Medicaid eligible low-income beneficiaries to be subject to a rigorous

assets test; and

     WHEREAS, While states are being relieved of their responsibility of offering drug

coverage to "dual eligibles," they will be required to reimburse the federal government for a

significant percent of the cost of drug benefits for these beneficiaries and states will also lose this

group in their own negotiating pool for Medicaid drugs; and

     WHEREAS, The deductible beneficiaries pay for drug coverage will be indexed to

growth in aggregate Part D (prescription drug) expenditures; and

     WHEREAS, The Medicare Prescription Drug, Improvement and Modernization Act of

2003 (MMA) reduces home health reimbursement rates by an estimated $6.5 billion over 10

years and these lower reimbursement rates threaten beneficiaries' access to critical home health

services; now, and therefore be it

     RESOLVED, That this House of Representatives of the State of Rhode Island and

Providence Plantations hereby respectfully urges the United States Congress to amend the

Medicare Prescription Drug, Improvement and Modernization Act of 2003 (MMA) to address the

serious gaps and issues raised in this resolution including: eliminating the prohibition on the

federal government negotiating lower prices for drugs, narrowing the gap in the "doughnut hole",

liberalizing the restrictive asset test for persons with low incomes, changing the index for

beneficiary contributions from drug price inflation to the consumer price index, and restoring

scheduled reductions in home care reimbursement; and be it further

     RESOLVED, That the Secretary of State be and he hereby is authorized and directed to

transmit duly certified copies of this resolution to the Honorable George W. Bush, President of

the United States, the President of the Senate, and the Speaker of the House of Representatives of

the Congress of the United States, and to each member of the Rhode Island Congressional

Delegation.

     

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LC02819

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