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For Immediate Release: Wednesday, January 11, 2006, 9:00 AM


Contact: Daniel Browne, Assistant Press Secretary
212-669-4026


Scott Gastel, Assistant Press Secretary
212-669-4813; 917-721-4022


Public Advocate Betsy Gotbaum Calls on State to Protect New Yorkers from Medicare Part D Glitches

In response to reports that Medicare recipients across the city, state, and nation have been overcharged for their prescription drugs and, in some cases, turned away from pharmacies without receiving their prescriptions, Public Advocate Betsy Gotbaum today urged Governor Pataki to take emergency action. In a letter to Governor Pataki, Gotbaum called for an executive order allowing the State to temporarily help people who are dually-eligible for Medicare and Medicaid pay drug claims just as it would have under the Medicaid system in place until December 31.

“The first week of the Bush administration’s new prescription drug program has been a mess,” Gotbaum said. “Insurers are denying claims they should approve. Pharmacists are waiting on the phone for hours to get the information they need to fill prescriptions. And many Medicare recipients are either being over-charged or turned away without their prescriptions. Finger-pointing won’t help solve the problem, however. The State needs to act quickly so that New Yorkers get the medication they need without undue expense.”

Of the 1,124,612 Medicare recipients in New York City, the 329,916 dually-eligible New Yorkers have been hardest hit by problems in the first week of the Part D program. Bush administration officials have consistently assured dually-eligible people, who typically have chronic illnesses and high drug costs, that they would not have to pay the standard $250 deductible and their co-payments would not exceed $5 a prescription. But the Medicare Rights Center has been inundated with complaints from low-income New Yorkers who are in fact being forced to pay the full deductible and make co-payments far higher than what they were promised.

“Very sick, very poor, older and disabled New Yorkers are calling our hotline desperate for help because they are leaving drugstores empty handed,” said Robert M. Hayes, president of the Medicare Rights Center, a consumer service group which provides a Medicare counseling hotline for New Yorkers.

Prior to the introduction of the Part D program, the State was responsible for helping dually-eligible New Yorkers pay for prescription drug costs incurred under Medicaid. In her letter to Governor Pataki, the Public Advocate recommends that he issue an executive order to extend State coverage under Medicaid. Under Gotbaum’s proposal, the executive order would be contingent on the Bush administration taking measures to ensure that the cost is deducted from payments owed to the federal government for future obligations.

Connecticut, Maine, Massachusetts, New Hampshire, New Jersey, North Dakota, and Vermont have already adopted similar measures to ensure that their elderly and impoverished get the medication they need while the federal government fixes problems in its new Medicare Part D program. Gotbaum indicated that, should the Governor fail to act, she would support efforts by the State Assembly Committee on Health to introduce legislation ordering the extension.

“Low-income New Yorkers with diabetes, multiple sclerosis, and other serious medical conditions are counting on the State to provide a safety net,” Gotbaum said. “We must act quickly on their behalf.”

“New York didn’t create this mess, but we have the power to help people survive it,” said Assembly Health Committee chair Richard N. Gottfried. “I am introducing legislation in Albany to require the Pataki administration to provide emergency assistance to senior citizens who are caught up in this crisis. But the Governor could and should act right now under existing State law.”

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