Issues: Seniors’ Health

Senator Nelson supported the prescription drug bill that will have a dramatic impact for the 259,000 Medicare beneficiaries in Nebraska. Of these, about 90,000 do not currently have prescription drug coverage. Through this bill, beginning in 2006, they will all have coverage. The lack of prescription drug coverage was a glaring omission in the Medicare program. It prevented many seniors from getting the treatments they need and undermined the promise of the Medicare program – to make quality health care available to our seniors. The average out-of-pocket cost for drugs for a typical Nebraskan, including premiums, will decrease 35 percent from $760 to $500 per year. Low-income Nebraskans receive a large benefit in this bill. After the drug plan is implemented, 108,000 low-income Nebraskans will pay little to nothing in premiums, deductibles and coinsurance. And because Medicare is taking responsibility for low income seniors that have historically been paid for by the state, Nebraska will save $167 million over eight years.

Senator Nelson voted for legislation to end Medicare’s historic discrimination against states that do more with less. Medicare’s complex funding formula penalized rural states such as Nebraska for practicing cost-effective medicine by reimbursing the state at a lower rate. Health care providers and hospitals in Nebraska received a lower reimbursement for the same procedure performed in New York. This practice created a disincentive for doctors and nurses to stay in rural areas and hurt hospitals that were already struggling financially. The legislation Senator Nelson supported helped equalize the reimbursement rate between urban and rural America and created incentives for providers to continue to accept Medicare beneficiaries.

Senator Nelson helped provide an additional $10 billion in Medicaid funding for states. The solvency of the long-term care provider network concerns Senator Nelson. Many seniors rely on Medicaid to pay for nursing home care. Due to Nebraska’s budget shortfall, Medicaid funding was constantly under attack. Senator Nelson also supported legislation to restore Medicare funding for highly skilled nursing care by cosponsoring the Medicare Skilled Nursing Beneficiary Protection Act.

Understanding that five percent of adults in Nebraska have diabetes, Senator Nelson was concerned that diabetics have access to information about their diagnosis and how to manage their disease with lifestyle changes.  With the skyrocketing number of new diabetics diagnosed each year, diabetes educators are in short supply.  To increase the number of these health professionals, he introduced the Diabetes Self-Management Training Act to allow Certified Diabetes Educators to be reimbursed by Medicare for providing this critical information. 

Senator Nelson is also concerned that seniors have access to high quality rehabilitative care. In 2003, the government agency that oversees the Medicare program released a regulation that limited the types of patients that could be admitted to a rehabilitation hospital.  The rule denies thousands of patients access to inpatient rehabilitation and jeopardizes the ability of patients to lead independent lives to the greatest extent possible.  Senator Nelson led the effort in the Senate to reverse this regulation and inserted language into an appropriations bill that temporarily halted its implementation.  In addition, he circulated a letter to his colleagues asking that they sign a letter to the agency asking that the rule be reconsidered and continue to be studied.  He was joined by 81 of his colleagues.  He will continue his fight to make sure that seniors rehabilitative care is not jeopardized.

In addition to inpatient rehabilitation, outpatient rehabilitative services are also in jeopardy.  In 1997, an ill-advised cap was placed on the amount of outpatient therapy services Medicare would pay for a senior.  The cap was put in place to cut Medicare costs, but those in the most need of rehabilitation, such as stroke victims and those with brain injuries, suffer the most.  Senator Nelson has repeatedly cosponsored legislation to repeal this ill-advised cap.  His efforts have been successful, and each year the cap is lifted.  However, the latest moratorium will soon expire, and Senator Nelson hopes that his efforts are again successful.   repeal the $1,500 Medicare payment cap on outpatient physical therapy, occupational therapy, and speech-language pathology services.  A two-year moratorium was included in the drug bill, but it will expire on January 1, 2006.  Senators Ensign and Lincoln introduced legislation to again repeal this cap.

Knowing that Alzheimer’s has a devastating effect on seniors and their families, Senator Nelson cosponsored the Ronald Reagan Alzheimer’s Breakthrough Act of 2005. This bipartisan legislation doubles the funding for Alzheimer’s research at the National Institutes of Health, provides critical support for caregivers and launches a public education campaign on the latest advances in research and prevention.  Alzheimer’s not only negatively affects families, but is a huge cost to the federal government.  Investing in a cure will not only help those who suffer from this cruel disease, but it will also lead to long-term savings in Medicare and Medicaid.

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