Reed Asks President to Extend Deadline for Prescription Drug Enrollment
WASHINGTON, DC Senator Jack Reed (D-RI) today joined his colleagues in sending a letter to President Bush requesting that the Administration extend the enrollment deadline for the Medicare prescription drug benefit program and eliminate financial penalties through the end of the year. The deadline for enrollment in the program is May 15, 2006.Since the implementation of the program began, Medicare beneficiaries have faced challenges with enrollment, and many have been denied or delayed access to Medicare prescription coverage. Beneficiaries who do not act before the May 15th deadline will be penalized by a one percent increase in their premium for each month that they delay their choice. "As we approach the May 15th enrollment deadline, many Medicare beneficiaries are still struggling to navigate through the complex and confusing prescription drug program. It is upsetting that many recipients of this benefit, particularly low-income seniors and individuals with disabilities, are being forced to make decisions that may not be in their best interest," stated Reed. "It is essential that beneficiaries are given an appropriate amount of time to choose the best plan. I will continue to work with my colleagues to urge the Bush Administration to ensure that seniors and the disabled will have access to life-saving medications, without facing financial hardship."Reed voted three times to extend the enrollment deadline for the Medicare prescription drug benefit in November of 2005 and February and March of 2006. Each time, the Senate opposed the extension.In 2003, Senator Reed, a member of the Senate Health, Education, Labor, and Pensions Committee opposed legislation creating the prescription drug benefit. At that time Reed stated, "Affordability and dependability have been needlessly sacrificed to current and future tax cuts. Seniors expect, and deserve, that this prescription drug benefit is a commitment to reduce how much they pay for prescriptions and a promise that they will start saving money soon after the President signs the legislation. I do not believe that this bill will deliver on either promise for the majority of elderly and disabled Americans."In February, Senator Reed held a forum on the Medicare Part D benefit in Pawtucket, RI, to discuss changes to the prescription drug plan and solutions to help seniors navigate through the program.Text of the letter follows:May 11, 2006The PresidentThe White House Office1600 Pennsylvania Avenue, N.W. Washington, D.C. 20500Dear Mr. President: Across the country, over 40 million Medicare beneficiaries have been presented with the choice of signing up for the Medicare prescription drug program. Unfortunately, many seniors and individuals with disabilities are understandably concerned and confused about the new benefit. Beneficiaries face a number of prescription drug plan options, and choosing the right plan can be a challenge. Each of the options differs in terms of premiums, cost-sharing requirements, drugs covered and pharmacy access. Sorting through these plans has proven to be difficult and time consuming for many beneficiaries. Further complicating matters, the Medicare drug program has experienced a variety of implementation problems that have disproportionately affected the most vulnerable beneficiaries. Yet, beneficiaries who do not act by the May 15, 2006, deadline and who enroll at a later date will face a financial penalty. Seniors who choose a plan after May 15, 2006, will be penalized by a one percent increase in their premium for each month they delay their choice. We are writing to request that you direct Secretary Leavitt to extend the enrollment deadline through the end of the year, and eliminate the financial penalty during this period. The Congressional Budget Office (CBO) has estimated that an additional 1.1 million beneficiaries would sign up for the Medicare prescription drug program during this year if the May 15th deadline was extended. In addition, they calculate that eliminating the penalty for this year would ultimately lower premiums for 7.5 million beneficiaries. Since Congress has not yet passed legislation expanding the existing six-month open enrollment period, we urge you to take action. The stakes here are too high to deny seniors the time and resources they need to make an informed decision. As you know, Secretary Leavitt has already extended the enrollment deadline for some low-income beneficiaries and hurricane Katrina evacuees. We believe the Secretary has the legal authority to provide the same benefit to all Medicare beneficiaries. We all share the goal of ensuring that Medicare beneficiaries have sufficient time and assistance to make a wise decision regarding prescription drug coverage. We respectfully urge you to announce your intention to delay both the enrollment deadline and penalty as soon as possible. Thank you for your attention to this important matter.