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NewsJune 19, 2002

WASHINGTON -- House Republicans put their prescription drug proposal on a fast track Tuesday even as Democrats and some advocacy groups complained it would burden senior citizens with out-of-pocket costs and leave them dependent on private insurers...

By Janelle Carter, The Associated Press

WASHINGTON -- House Republicans put their prescription drug proposal on a fast track Tuesday even as Democrats and some advocacy groups complained it would burden senior citizens with out-of-pocket costs and leave them dependent on private insurers.

The Ways and Means and Energy and Commerce Committees began hearings Tuesday that were expected to be lengthy and contentious. Once the two committees complete their action -- the last vote is expected Wednesday -- the bill heads to the House floor where it is expected to be debated next week.

Elderly opponents of the proposal interrupted the Ways and Means Committee as it began its work, yelling, "Time to stop the doughnut," a reference to a gap in the GOP plan in which seniors have no government coverage and must pay for drugs with their own money.

Police removed the demonstrators.

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Under the GOP plan, all but low-income seniors would be required to pay a monthly premium of $35 and meet a $250 yearly deductible. The government would pay 80 percent of costs on the first $1,000 of drug costs and 50 percent on the next $1,000. Patients would be responsible for drug costs beyond that and would have to reach $4,500 in out-of-pocket spending before additional government help would kick in.

Democratic plans have lower premiums, deductibles and co-payments.

Republicans said their plan is the only viable option since the nation's budget is already stretched.

"We are cutting through the rhetoric to tackle some of the most vexing issues facing Medicare today," said Rep. Billy Tauzin, R-La., chairman of the Energy and Commerce Committee. "This is a good bill."

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