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Kennedy Pushes to Close the ‘Donut Hole’ for 19,000 RI Seniors- New measure will begin closing the Medicare Part D gap immediately; Phase-out achieved 5 Years Earlier -October 26, 2009 Washington, D.C. - Congressman Patrick J. Kennedy (D-RI) announced today that the House health care bill will begin reducing the coverage gap in the Medicare Part D Prescription Drug Program in the House health care reform bill immediately in January 1, 2010, rather than 2011, and will completely close the ‘donut hole’ 5 years earlier than the initial 15-year phase out. This significant improvement was championed by Kennedy, who sent a letter to Speaker Pelosi earlier this month asking that the House bill provide more relief to seniors by closing the gap sooner. Speaker Pelosi has announced the measure will be adopted and released the new timetable for providing this critical change."While the original provision concerning the ‘donut hole’ was an improvement, I was concerned that 15 years was too long to ask seniors to wait. I continue to work vigorously with my colleagues and the House leadership on numerous aspects of the health care reform legislation, and I am thrilled that the Speaker has announced that the timetable has been cut by 1/3. As early as January, Rhode Island’s 19,000 seniors who fall into the gap will begin to pay less for prescriptions," said Kennedy. The donut hole in the Medicare prescription drug benefit is where drug costs are not reimbursed, despite having Part D drug coverage. Once seniors reach this hole, they are forced to pay 100% out of pocket for medically necessary medications. Kennedy noted that the coverage gap for prescription medicines in Medicare Part D, created by the Republican-controlled Congress in 2003, has for too long left seniors in a quandary about how to afford prescriptions and pay for household necessities like food and heat. "Hundreds of seniors in Rhode Island have told me first hand how significant these changes would be for them. I am pleased to have worked with my colleagues to include this improved provision in the health care bill. It provides significant and more immediate relief for seniors who currently fall into the donut hole, and the aging baby boomers who will be eligible for Medicare in 2013," said Kennedy. As of January 1, 2010, the legislation would: - give a 50-percent discount for brand-name drugs to recipients in the donut hole; - immediately reduce the size of the donut hole by $500 – meaning that 1million enrollees will completely avoid the donut hold next year, and reduce the cots of the other 3 million as well; and, - phase out the donut hole over 10 years – five years faster than was originally planned in HR 3200. # # # |
