[Congressional Record Volume 146, Number 155 (Friday, December 15, 2000)]
[Extensions of Remarks]
[Page E2194]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          REPUBLICANS GIVE $200 MILLION GIFT TO DRUG INDUSTRY

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                        HON. FORTNEY PETE STARK

                             of california

                    in the house of representatives

                       Friday, December 15, 2000

  Mr. STARK. Mr. Speaker, the Medicare bill before us gives a $200 
million gift to the nation's drug manufacturers--undoubtedly a pay-off 
for the industry's massive, $80 million contribution to the Republicans 
and Governor Bush.
  In section 429, as passed by the House, and in the versions of the 
bill circulating as late as December 12, Medicare was prohibited from 
either increasing or decreasing the rates of reimbursement for drugs. 
This section blocked an effort by the Justice Department, the HHS 
Office of the Inspector General and Medicare to save the taxpayer 
hundreds of millions of dollars a year in overpayments. CBO scored the 
blockage as costing about $200 million. To offset the cost, the 
original bill, as passed by the House, also blocked drug companies from 
increasing their charges to Medicare.
  Sometime between December 12th and last evening, someone in the 
Speaker's office or the Senate Majority Leader's office dropped the 
word ``increase''--thus allowing the drug companies and doctors who 
profiteer from huge mark-ups on drugs to continue to rip-off patients 
and taxpayers. The bill before us now only blocks the cuts in 
reimbursement that had been recommended by the Department of Justice.
  What a travesty. Senator McCain is right: it is way way past time for 
campaign finance reform.

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