Washington,
Jul 14, 2005 -
Today, Pennsylvania Representatives Jim Gerlach, Tim Murphy and Melissa Hart announced the Commonwealth’s prescription drug plans PACE saved $96 million as a direct result of the provisions they had included in the Medicare Prescription Drug Act of 2003.
“This is great news for the people of Pennsylvania and the thousands of seniors who will benefit by having access to cheaper prescription medications,” Rep. Jim Gerlach (PA-06) said. “We hope the state will use this money for its intended purpose – and that is to make sure even more Pennsylvania seniors have access to PACE and PACENET.”
The three Representatives called on state officials to use the savings to increase the eligibility limits on Pennsylvania’s prescription drug plans to help more low income seniors qualify for the lifesaving benefits. Combined, 300,000 of Pennsylvania’s lowest income seniors rely on PACE and the state’s other plan, PACENET, as the outlet for receiving prescription drugs.
“These savings are just the tip of the iceberg. By the end of the year, we expect the savings to reach $150 million,” Congressman Tim Murphy (PA-18) said. “This will allow Pennsylvania to lower deductibles, reduce co-payments, or reduce the self-pay portion of Medicare. It is crucial the state legislature uses these savings to benefit seniors and not divert the money to help fund other programs.”
The provision added to the Medicare Act by Gerlach, Murphy, and Hart, allows PACE and Medicare to work together. It called for seniors in states which already had prescription drug plans, including Pennsylvania, to receive a $600 drug assistance credit. This credit is now applied to the PACE program. Without the provision, seniors in Pennsylvania would not be eligible for the credit.
“This shows that the hard work we did in crafting this language has enabled thousands of seniors to avoid making tough decisions between purchasing necessary medication or other necessities like groceries or paying their heating bill. We will continue to work with state and other local officials to ensure that these benefits are extended to as many seniors who need it as possible,” Congresswoman Melissa Hart (PA-04) explained.
