For Immediate Release
Wednesday, May 10, 2000
AFSCME Says All Seniors Must Be Eligible for Medicare Drug Coverage
WASHINGTON —The American Federation of State, County and Municipal Employees (AFSCME) - a union of 1.5 million working and retiree members - responded to today's announcement of a Senate Democratic leadership bill to cover prescription drugs under Medicare by drawing sharp distinctions between it and the recently announced Republican leadership plan.
"Under the Democrats' plan, every Medicare participant would be eligible for the benefit, regardless of income," said AFSCME President Gerald W. McEntee. "Since the benefit would be optional, retirees fortunate enough to enjoy employer-sponsored drug coverage could keep what they have, while millions of other senior citizens could get help paying drug bills through Medicare. Low-income Medicare participants would get additional assistance, which would help cover premiums and copays.
"AFSCME finds it unconscionable that older people with low and moderate incomes are having to pay out-of-pocket for life-sustaining prescriptions - many of which carry hefty price tags," McEntee said. "Medicare covers hospitals and doctors. But prescription drugs are just as vital to the health care of today's seniors."
According to McEntee, the GOP plan is very different from the Democrats' because it doesn't really propose a Medicare benefit.
"Medicare is a universal program that provides basic health coverage for retired and disabled workers and their dependents. Medicare doesn't rely on an income-test to determine eligibility," he said. "Unlike Medicare, the Republican plan for prescription drugs would provide assistance only for low-income seniors (those with incomes below 150% of poverty -- approximately $13,000 a year). Everyone else would be on their own -- able to buy coverage from private insurers if they can afford the premiums.
"Unfortunately, it's hard to imagine how individual, unsubsidized, private prescription plans could provide decent coverage and still be affordable to the millions of average-income seniors who have no coverage now. Universal eligibility under Medicare can provide prescription coverage in an efficient, cost-effective manner. To AFSCME, it's the only solution that makes any sense."
