Media Release
| For Immediate Release | Contact | Phone |
| March 23, 2006 | Mike Olender | 732-246-4772 |
| Ev Liebman | 856-966-3091 |
New Jersey Citizen Action, Allies Launch Statewide Campaign to Fix Bush's Part D Disaster, Release New Report on the Excess Cost of Rx Benefit in New Jersey
Congress Members Pallone, Holt, Assemblyman Herb Conaway Join Effort Calling for a Real Medicare Prescription Drug Benefit
March 23, 2006 — Today in Trenton, New Jersey Citizen Action and Americans United for Change launched the statewide "Campaign to Fix Bush's Part D Disaster" at a State House press conference. Joined by Congressman Frank Pallone (D-6), Congressman Rush Holt (D-12), and Assembly member and Chairperson of the Assembly Health and Senior Services Committee Herb Conaway (D-Delran). Other participants included Diane Archer of the Medicare Rights Center, Rod Halbert of Partner's Pharmacy and member of the Long Term Care Pharmacy Association, Reverend Bruce Davidson of the Lutheran Office on Governmental Affairs, Nathan Seagal of the United Senior Alliance, Peg Kinsell of the Statewide Parents Advocacy Network, and John Glasel of Health Care for All – New Jersey.
The coalition called for Congress to fix the Part D Disaster by extending the enrollment deadline, allowing Medicare to administer its own prescription drug benefit with full power to negotiate drug prices with pharmaceutical companies, and for the "donut hole" in Part D coverage to be closed.
The coalition also released a new report by the Institute for America's Future that shows that Part D costs New Jerseyans $23.2 Billion more than a direct Medicare benefit with negotiated prices. The report documents how Part D is costing New Jersey taxpayers, seniors and disabled citizens a staggering $23.2 billion more than would a direct Medicare benefit with negotiated drug prices. Because the federal government is paying prices set by the drug companies – the report states – fully 61% of the estimated $228 billion federal Medicare expenditures will remain with drug makers as added profits. According the Congressional Budget office, the marketing and profits of the insurance industry would add $38 billion to the cost of Part D over the first eight years of the program's existence (2006-2013) compared to a program that was administered through Medicare.
"Seniors in New Jersey and nationwide are calling Bush's Part D Disaster confusing, costly and corrupt and asking that the prescription drug benefit be fixed to make it simple, affordable and guaranteed, said Ev Liebman, Program Director at New Jersey Citizen Action. "As the state's largest citizen watchdog organization, we call on our Congressional leaders to make this issue a priority and offer seniors what they need and deserve – a true prescription drug benefit that is simple and effective."
The Campaign to Fix Part D includes a number of proposals that will fix the program and make a real benefit for Medicare recipients including allowing the program to negotiate for the lowest possible drug prices for seniors and allowing seniors the choice of a simple prescription drug benefit directly from Medicare. Other needed reforms include an extension of the May 15th enrollment deadline which threatens seniors with a penalty fee equal to 1% of their annual premium per month that they wait to enroll past May 15. The Campaign is also calling for the infamous "donut hole" – the gap in insurance coverage that requires beneficiaries to pay 100% of drug costs once they reach $2,250 in costs until $5,100, when insurance kicks back in.
The Campaign to Fix Bush's Part D Disaster will be organizing numerous events to publicize the need for reform including a "confusion chart event", town hall hearings, "Donut Hole Day", "Bush's Part D is a Disaster Month", and Part D debates featuring Congressional incumbents and challengers. The Campaign will also run a Part D Pledge Campaign and issue Part D Report Cards to rate Congress' position on coping with the Part D Disaster.
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New Jersey Citizen Action is the state's largest citizen watchdog coalition, with over 100 affiliate organizations and 60,000 individual members.
