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NewsJuly 24, 2002

JEFFERSON CITY, Mo. -- Top state officials and advocacy groups for the elderly say large generic drug manufacturers are not participating in the state's prescription drug program, which could lead to higher drug costs for seniors. At a news conference Tuesday, AARP claimed that some drug manufacturers have refused to participate in the Missouri SenioRx Program because it requires them to pay a 15 percent rebate...

By Paul Sloca, The Associated Press

JEFFERSON CITY, Mo. -- Top state officials and advocacy groups for the elderly say large generic drug manufacturers are not participating in the state's prescription drug program, which could lead to higher drug costs for seniors.

At a news conference Tuesday, AARP claimed that some drug manufacturers have refused to participate in the Missouri SenioRx Program because it requires them to pay a 15 percent rebate.

While 1,400 pharmacies and 100 drug manufacturers take part in the program, AARP said major generic drug companies Geneva Pharmaceuticals of New Jersey and two Pittsburgh-based companies, Mylan Laboratories, Inc. and TEVA Pharmaceuticals USA, have refused to offer their products.

"Their refusal forces seniors to make hard choices," said Charles Jensen, a member of the Missouri SenioRx Commission and Silver-Haired Legislature. "Seniors must choose between buying food or paying for their prescriptions. No one should have to make that choice."

Attempts by The Associated Press to seek comments from the companies were unsuccessful Tuesday. The offices of Geneva were closed, a Mylan spokeswoman did not respond to an e-mail from the AP and a message left at TEVA was not returned.

The new state-funded prescription drug benefit became available Monday for more than 26,000 low-income senior citizens.

The program pays 60 percent of the prescription costs for seniors after they meet an annual deductible. It replaces a state income tax credit of up to $200 annually that was intended to help offset seniors' medicine costs.

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Gov. Bob Holden and Lt. Gov. Joe Maxwell both issued statements stating their concerns about the failure of the larger companies to participate in the program.

"I was extremely disappointed to learn that some generic pharmaceutical manufacturers have decided not to participate in the program," Holden said. "I encourage these manufacturers to reconsider their decision not to participate in the Missouri SenioRx Program. Senior citizens of this state should not suffer at the hands of corporate self-interest."

Can still apply for program

The legislature authorized the new benefit during a special session in September. The initial enrollment period ended May 30, but seniors who turn age 65 during the next year can still apply.

Otherwise, the next open enrollment period is scheduled for Jan. 1 through Feb. 28.

To qualify for the program, an individual must earn less than $17,000 annually or a married couple less than $23,000 annually.

After paying an enrollment fee of $25 to $35, seniors then must meet a deductible of either $250 or $500, depending on their income levels.

The state then pays 60 percent of their prescription drug costs, with a cap of $5,000 annually in state help.

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