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NewsJune 17, 2002

JEFFERSON CITY, Mo. -- Despite the political hype, a new state-funded prescription drug benefit for low-income seniors has attracted about half the applicants that experts had projected. Part of the reason may be that there was not enough paid hype...

By David A. Lieb, The Associated Press

JEFFERSON CITY, Mo. -- Despite the political hype, a new state-funded prescription drug benefit for low-income seniors has attracted about half the applicants that experts had projected.

Part of the reason may be that there was not enough paid hype.

State officials are chalking it up as a possible side-effect of a tighter-than-usual state budget that prevented a widespread advertising campaign.

The Missouri SenioRx Program has been highly touted by Gov. Bob Holden, Lt. Gov. Joe Maxwell and state lawmakers, who authorized it during a special session that coincided with the Sept. 11 attacks. Perhaps this is another reason why the program didn't gain as much notice as politicians had hoped.

Officials had projected that as many as 55,000 Missourians age 65 and older would enroll in the program that provides insurance-like medicine benefits for those not covered by private insurance, government Medicaid or some better benefit.

Instead, less than 34,000 seniors applied, of which 27,000 are expected to be eligible, show figures updated Friday.

The benefits are to begin July 1. The application period is now closed, except for people who turn age 65.

The projection of 55,000 enrollees came from the professional actuary of William M. Mercer Inc. and was based on a similar program in Pennsylvania, which has been running for about 20 years.

It anticipated that Missouri officials would spend $4 million promoting the program.

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Because of budget constraints, the state spent about $250,000 on limited radio and newspaper adds, posters and a mass mailing to seniors who had previously claimed a prescription drug income tax credit now being eliminated. The state also relied on senior centers, pharmacies and state agencies to spread the word.

"I think that will be the number one reason why we didn't hit their number," said Rebecca Mankin, executive director of the program. "I think we can do better outreach in the future."

Even with widespread advertising, the new prescription drug program may have picked up only a few thousand more enrollees, said Lt. Gov. Joe Maxwell, chairman of the program's oversight committee.

He says there's a reason why Missouri's motto is the Show-Me-State.

"It's a new program, people in Missouri are skeptical," Maxwell said. "In its first year, a plan is not going to reach its peak."

Maxwell estimates that it will take about $33 million to run the prescription program for 27,000 enrollees.

That's a far cry from the roughly $75 million included in the budget recently passed by lawmakers. The budget was based on the maximum of 55,000 enrollees.

State officials already plan to transfer $25 million of that excess money to help balance the budget next year. Still, the prescription program should end next fiscal year with about a $16 million surplus that can be carried over to the following fiscal year, Maxwell said.

In that sense, the prescription program may provide a benefit not only to seniors but to the rest of state government that, without the prescription drug surplus, could potentially face cuts.

"It didn't work out. We didn't get the number of enrollees projected," Mankin said. But "as far as the budget side of this, it's a good thing for the state."

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