FOR IMMEDIATE RELEASE:
April 16, 2013
@allyfunk or @AARPmedia
202-434-2560 or email@example.com
AARP Supports Legislation to Require Drug Manufacturers to Provide Rebates to Medicare Part D Low-Income Subsidy Beneficiaries
WASHINGTON, D.C. – Today, AARP sent the following letter in support of the newly proposed Medicare Drug Savings Act of 2013.
Dear Senator Rockefeller / Dear Representative Waxman:
AARP is pleased to endorse the Medicare Drug Savings Act of 2013. Your legislation will require prescription drug manufacturers to provide rebates for drugs provided to Medicare Part D low-income subsidy beneficiaries, including those who are dually eligible for Medicare and Medicaid.
Medicare Part D benefit costs are projected to grow at an average annual rate of almost 10 percent through 2021, significantly faster than GDP. Unlike Medicare Part A, which is financed primarily through payroll taxes, Medicare Part D is funded through a combination of premiums and general revenue. As Part D spending increases, so does the cost burden shouldered by enrollees and taxpayers. The Medicare Drug Savings Act would provide a significant financial benefit to the Part D program.
AARP understands the important need to spend Medicare dollars wisely and to reduce the nation’s spending on health care generally. However, AARP wants to ensure that Congress does not simply ask seniors to pay more or enact harmful cuts to Medicare benefits. Consequently, AARP is encouraged by your legislation, which instead focuses on constructively reducing costs, saving as much as $141 billion over the next ten years without negatively impacting Medicare Part D benefits.
We look forward to working with you and your colleagues on both sides of the aisle to enact the Medicare Drug Savings Act of 2013. If you have any further questions, please feel free to contact me, or have your staff contact KJ Hertz at xxx-xxx-xxxx on our Government Affairs staff.
Senior Vice President
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