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Medicare News

For Immediate Release: Contact:
Wednesday, October 10, 2001 CMS Office of Public Affairs
202-690-6145

For questions about Medicare please call 1-800-MEDICARE or visit www.medicare.gov.

STATEMENT OF TOM SCULLY, ADMINISTRATOR CENTERS FOR MEDICARE & MEDICAID SERVICES ON MOTION TO STAY PROCEEDINGS IN FEDERAL COURT CONCERNING MEDICARE-ENDORSED RX DRUG DISCOUNT CARD INITIATIVE

We filed a motion in federal court to stay all proceedings related to the Medicare-endorsed Rx Discount Drug Card initiative, which was intended to provide relief to the millions of people who are forced to pay full price for their prescription drugs. We plan to publish a proposed rule that reflects the comments previously received, and to solicit new public comments on the initiative to ensure that it is implemented as effectively as possible.

We have asked the Court to stay all proceedings while we follow the federal notice and comment process. The proposed initiative will include mechanisms to offer relief to Medicare beneficiaries for their out-of-pocket drug costs while we also continue to work with Congress to enact Medicare reform, including a prescription drug benefit.

The Medicare-endorsed Rx Discount Drug Card program, announced by President Bush on July 12, 2001, promised to give significant discounts to seniors and disabled Americans. Seniors and disabled Americans on Medicare are the only insured groups paying over-the-counter prices for prescription drugs and we want to help them get the same large group negotiated discounts already available to most other Americans.

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