Medicare Prescription Drug Benefit Legislation Unlikely To Become Law, CQ’s Goldreich Says

Although three versions of a Medicare prescription drug benefit are being considered in Congress, "none of the bills stands a chance of ever passing into law," Congressional Quarterly senior reporter Samuel Goldreich says in this week's "Congressional Quarterly Weekly Audio Report" (Goldreich, "Congressional Quarterly Weekly Audio Report," 6/17). House Republicans' $350 billion, 10-year Medicare package would require seniors to pay 20% of their annual prescription drug costs up to $1,000, 50% up to $2,000 and 100% between $2,000 and $4,500, when a catastrophic benefit would begin. Seniors would pay a $250 annual deductible and $35 monthly premiums (Kaiser Daily Health Policy Report, 6/17). The proposal by House Democrats, on the other hand, would cost between $750 billion and $800 billion over 10 years and would cover 80% of seniors' drug costs up to $2,000 and all costs after that. Seniors would pay a $25 monthly premium and a $100 annual deductible (Kaiser Daily Health Policy Report, 6/14). Under a plan by Senate Democrats, seniors would pay a $25 monthly premium with no deductible, a $10 copayment for generic drugs and a $40 copay for brand-name drugs, and the government would cover all drug costs above $4,000. The eight-year plan would cost between $400 billion and $500 billion over 10 years (Kaiser Daily Health Policy Report, 6/13). Goldreich says that how the Senate Democrats' plan will progress is "unknown" because Senate Finance Committee Chair Max Baucus (D-Mont.), whose committee has jurisdiction over Medicare, has not yet committed to marking up the bill. In the House, Ways and Means Committee Chair Bill Thomas (R-Calif.) and Energy and Commerce Committee Chair Billy Tauzin (R-La.) plan to mark up different versions of the Republicans' bill beginning June 18. Although Thomas and Tauzin "still talk about passing a bill before July 4 ... they will have to fight it out first in the Rules Committee before going to the floor," Goldreich says.

More on Prescription Drugs
Goldreich notes that a bill that would allow U.S. residents to purchase U.S.-made medications from Canada also seems unlikely to become law. Even though Goldreich says it is possible the House and Senate will approve such legislation this session, it is unlikely to be signed by President Bush because federal "regulators say they cannot guarantee the safety on imported drugs." Goldreich adds, "The bottom line is that this is a popular issue for lawmakers of all parties to rally around, but even the AARP says the bill and others that nibble at the edges of the problem of soaring prescription [drug] costs simply divert attention from a tougher debate on changing patent laws."

Cloning Issues
Goldreich also addresses the issue of human cloning. Last week, a bill (S 1899) by Sens. Sam Brownback (R-Kan.) and Mary Landrieu (D-La.) that would have banned all forms of human cloning stalled in the Senate. Brownback on June 12 pull the measure from the floor and on June 13 failed in his attempt to revive the bill by attaching it to other, unrelated legislation. Although Brownback plans to continue his efforts to attach the cloning ban to other bills, Goldreich predicts his chances of success are slim because neither Senate Majority Leader Tom Daschle (D-S.D.) nor Minority Leader Trent Lott (R-Mo.) has expressed interest in bringing the issue back to the floor (Goldreich, "Congressional Quarterly Weekly Audio Report," 6/17). Goldreich's full report is available online.