[Congressional Record Volume 151, Number 129 (Thursday, October 6, 2005)]
[Senate]
[Page S11231]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. NELSON of Florida (for himself, Ms. Stabenow, and Mr. 
        Harkin):
  S. 1841. A bill to amend title XVIII of the Social Security Act to 
provide extended and additional protection to Medicare beneficiaries 
who enroll for the Medicare prescription drug benefit during 2006; to 
the Committee on Finance.
  Mr. NELSON of Florida. Mr. President, I am pleased to be joined by my 
colleagues and cosponsors Senators Stabenow and Harkin as we introduce 
the Medicare Informed Choice Act of 2005. This bill provides additional 
essential protections for Medicare beneficiaries during the first year 
of implementation of the new Medicare prescription drug benefit.
  Medicare beneficiaries are understandably concerned and confused 
about the new benefit. They face a number of private plan options and 
sorting through these plans will be complicated. Medicare beneficiaries 
will have to make many difficult decisions about what is the best 
course of action for them.
  Choosing the right plan will be a challenge for all beneficiaries, 
but it will be most difficult for those who are frail and living with 
problems like dementia. The task will be virtually impossible for 
Hurricane Katrina victims who do not have permanent addresses and, 
therefore, won't even be able to obtain Part D materials. Yet, 
beneficiaries who do not act by the May 15, 2006 deadline and who 
enroll at a later date will face a substantial financial penalty.
  In response, we are introducing this legislation which will provide 
added protections for beneficiaries during the first year of the new 
program. By delaying late enrollment penalties and giving every 
beneficiary a chance to change plans once during the first year, we can 
make sure that our constituents are not forced to make hasty decisions 
they may later regret.
  The Medicare Informed Choice Act of 2005 contains three important 
protections:
  1. Delays late enrollment penalties: The bill expands the existing 
six-month open enrollment period to the entire year of 2006. This will 
give people added time to do the research and make the best decisions 
for themselves.
  2. Protections against bad choices: The bill gives every Medicare 
beneficiary the opportunity to make a one-time change in plan 
enrollment at any point in 2006. Given the importance of the decision 
they make, it is appropriate to give beneficiaries a one-time chance to 
correct an initial mistake made during the first year of 
implementation.
  3. Protections for employer-provided retiree benefits: This provision 
would protect employees from being dropped by their former employer's 
plan during the first year of implementation, so that beneficiaries 
have time to correct enrollment mistakes.
  The Medicare Informed Choice Act is a small, time-limited step that 
would help ease the pressure of the first year of this new drug 
program. It is also critical for all those beneficiaries who face 
hurdles in obtaining Medicare Part D materials or are unaware that they 
will be penalized by failure to act. We urge all of our colleagues to 
join us in this effort to help protect Medicare beneficiaries during 
the benefit's implementation period.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1841

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``The Medicare Informed Choice 
     Act of 2005''.

     SEC. 2. EXTENDED PERIOD OF OPEN ENROLLMENT DURING ALL OF 2006 
                   WITHOUT LATE ENROLLMENT PENALTY.

       Section 1851(e)(3)(B) of the Social Security Act (42 U.S.C. 
     1395w-21(e)(3)(B)) is amended--
       (1) in clause (iii), by striking ``May 15, 2006'' and 
     inserting ``December 31, 2006''; and
       (2) by adding at the end the following new sentence:

     ``An individual making an election during the period 
     beginning on November 15, 2006, and ending on December 15, 
     2006, shall specify whether the election is to be effective 
     with respect to 2006 or with respect to 2007 (or both).''.

     SEC. 3. ONE-TIME CHANGE OF PLAN ENROLLMENT FOR MEDICARE 
                   PRESCRIPTION DRUG BENEFIT DURING ALL OF 2006.

       (a) Application to MA-PD Plans.--Section 1851(e) of the 
     Social Security Act (42 U.S.C. 1395w-21(e)) is amended--
       (1) in paragraph (2)(B)--
       (A) in the heading, by striking ``for first 6 months'';
       (B) in clause (i)--
       (i) by striking ``the first 6 months of 2006'' and 
     inserting ``2006''; and
       (ii) by striking ``the first 6 months during 2006'' and 
     inserting ``2006'';
       (C) in clause (ii), by inserting ``(other than during 
     2006)'' after ``paragraph (3)''; and
       (D) in clause (iii), by striking ``2006'' and inserting 
     ``2007''; and
       (2) in paragraph (4), by striking ``2006'' and inserting 
     ``2007'' each place it appears.
       (b) Conforming Amendment to Part D.--Section 1860D-
     1(b)(1)(B)(iii) of such Act (42 U.S.C. 1395w-
     101(b)(1)(B)(iii)) is amended by striking ``subparagraphs (B) 
     and (C) of paragraph (2)'' and inserting ``paragraph 
     (2)(C)''.

     SEC. 4. PROTECTION FROM LOSS OF EMPLOYMENT-BASED RETIREE 
                   HEALTH COVERAGE UPON ENROLLMENT FOR MEDICARE 
                   PRESCRIPTION DRUG BENEFIT DURING 2006.

       Section 1860D-22(a)(2) (42 U.S.C. 1395w-132(a)(2)) is 
     amended by adding at the end the following new subparagraph:
       ``(D) Protection from loss of employment-based coverage.--
     The sponsor of the plan may not involuntarily discontinue 
     coverage of an individual under a group health plan before 
     January 1, 2007, based upon the individual's decision to 
     enroll in a prescription drug plan or an MA-PD plan under 
     this part.''.

     SEC. 5. EFFECTIVE DATE.

       The amendments made by this Act shall take effect as if 
     included in the enactment of the Medicare Prescription Drug, 
     Improvement, and Modernization Act of 2003 (Public Law 108-
     173).
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