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Government Affairs Home > Washington Highlights > October 24, 2003

Democrats Communicate Frustration as Medicare Conference Moves Forward

October 24, 2003 - Key House and Senate Republican negotiators to the Medicare prescription drug legislation are reportedly pressing toward a Medicare agreement, hoping to complete a partial outline by Oct. 24. However, Senate Democrats left out of the negotiations are threatening to withhold a majority of their party's their votes if the agreement does not include certain conditions.

A reported Oct. 21 document summarizing conference progress indicates movement in the following areas: drug benefit design, low-income subsidies, dual eligibles, and government fallback. The document also highlights the many issues left to be resolved, including premium support and plan competition, importation of drugs, employer-sponsored retiree coverage, provider payments and others.

Conferees continue to discuss provider issues, including the hospital inpatient update and Medicare Indirect Medical Education (IME) relief. However, resolution on these issues has yet to be released. In such provider discussions, Senate conferees have reiterated their support for increasing the IME beyond the Senate bill, to which House Medicare Conference Chair Bill Thomas (R-Calif.) responds in adamant disagreement.

House and Senate Democrats are also expressing frustration with being left out of the conference negotiations. Sens. Tom Dashcle (D-S.D.), Ted Kennedy (D-Mass.), Deborah Stabenow (D-Mich.), Jon Corzine (D-N.J.) and Kent Conrad (D-N.D.) held a press conference Oct. 23 to release a letter addressed to President Bush outlining a series of conditions to be met if the Administration wants bipartisan support. The letter addresses premium support, cost containment, employer-sponsored retiree coverage, assistance for low-income beneficiaries, and tax incentives for medical savings accounts and is signed by 41 Senators, including 39 Democrats, Sen. Jim Jeffords (I-Vt.) and Sen. Olympia Snowe (R-Maine.). States the letter, "We urge you to provide the leadership necessary to achieve a bipartisan bill that can become law."

Additionally, five House and Senate Democrat conferees sent an Oct. 20 letter to Republican Medicare conferees Sen. Charles Grassley (R-Iowa), Rep. Bill Thomas (R-Calif.), and Rep. Billy Tauzin (R-La.) to request that they be included in conference negotiations. "You have allowed no Democratic conferees from the House of Representatives, and only two of the four Democratic conferees from the Senate, to attend these meetings" states the letter signed by Sens. Daschle, John D. Rockefeller (D-W.Va.), and Reps. John Dingell (D-Mich.), Charlie Rangel (D-N.Y.), and Marion Berry (D-Ark.). "We stand ready to work, on a bipartisan basis, toward legislation to create meaningful prescription drug coverage for Medicare beneficiaries."

Information:
Lynne Davis Boyle, Assistant Vice President
AAMC Government Relations
ldavisboyle@aamc.org
(202) 828-0526

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