[Congressional Record (Bound Edition), Volume 147 (2001), Part 3]
[Senate]
[Pages 4007-4008]
[From the U.S. Government Publishing Office, www.gpo.gov]



             PRESCRIPTION DRUG SOLUTION MUST BE A PRIORITY

  Mr. JOHNSON. Mr. President, few issues have caught the public's 
attention more than prescription drugs, and few are more deserving of 
Congress' attention.
  We live at a time when we can clearly discern remarkable benefits 
from all manner of drugs. It is nothing short of miraculous when we 
consider the relative ease and success of today's treatment of common 
disorders, as compared with that of only two or three generations ago.
  When World War II began, for example, penicillin and other similar 
antibiotics were known only to a small number of scientists. At the 
conclusion of the War in 1945, penicillin was widely available, used 
not only for battle wounds but for infectious diseases in the general 
public as well. Patients with high blood pressure or high cholesterol 
levels were, at best, only partially and inadequately treated in the 
1940s and 1950s. Now success is the rule, rather than the exception. 
Calvin Coolidge's son died in 1924 as a result of a blister and a skin 
infection after playing tennis at the White House. An infection such as 
that today would be treated as simple, outpatient therapy.
  While these examples are noteworthy and provide us with a valuable 
perspective of times gone by, the hard, cold fact is that many of these 
modern miracles are still out of the reach of too many American 
citizens. They simply cannot afford the drugs that might so often prove 
lifesaving, because of either no insurance or lack of drug coverage 
within their insurance.
  Recent studies indicate that if you go to virtually any other 
industrialized democracy, the cost of prescription drugs is about half 
what it is in the United States. We pay about double what anybody else 
in the industrialized world pays. That to me is so utterly unacceptable 
and unfair.
  When Medicare was created 35 years ago, its benefits were based on 
private sector coverage, which rarely included prescription drugs. Now, 
however, virtually all private sector plans include coverage for 
prescription drugs, while Medicare does not. As a result, many millions 
of Americans, both Medicare age and younger have either inadequate or 
no prescription drug insurance at all. A byproduct of no coverage is 
that these patients wind up paying the highest rates of anyone--an 
average of 15 percent more than those with insurance. Many of these 
uninsureds, including the seniors often called ``The Greatest 
Generation'' are not filling prescriptions because of their cost, 
choosing between food and medicine. Or they split pills in half to make 
them go farther. This is shameful. These are very real every day 
problems that beg for help.
  I strongly believe that all Medicare beneficiaries deserve affordable 
coverage and financial protection as prescription drugs costs grow at 
double-digit rates. Astronomical drug prices have come hand-in-hand 
with the great improvements in drug therapy. Spending for prescription 
drugs in the United States doubled between 1990 and 1998. In each of 
the 5 years between 1993 and 1998, prescription drug spending increased 
by an average of 12.4 percent. In 1999, the drug spending increase was 
19 percent and just last year we saw another double digit increase. My 
office recently completed a three-year statewide survey of prescription 
drug prices in South Dakota, using a sample of the most heavily 
prescribed drugs for seniors. I was astonished to find that over 60 
percent of the drugs' prices grew at a pace that exceeded the cost-of-
living adjustment provided by Social Security, which many Medicare 
beneficiaries rely on to meet their daily financial needs. In fact, 30 
percent of the drugs increased at a pace that was double that of the 
COLA.
  In response to evidence such as this, along with having heard from 
thousands of concerned South Dakotans affected by skyrocketing drug 
prices, I have recommitted myself to finding a solution for the 
prescription drug needs of all Medicare beneficiaries. As such, I have 
reintroduced two bills that comprise the main pillars of my 
prescription drug plan: the Prescription Drug Fairness for Seniors Act 
of 2001, and the Generic Pharmaceutical Access and Choice for Consumers 
Act of 2001. I don't proclaim these proposals to be the magic bullet 
that solves all of our nation's prescription drug concerns but they are 
sensible, financially reasonable approaches that should be a part of an 
overall prescription drug plan for Medicare beneficiaries. The Fairness 
bill would provide Medicare beneficiaries access to prescription drugs 
at the same low prices that drug manufacturers offer their most favored 
customers. As well, I strongly believe we cannot develop a financially 
feasible prescription drug benefit without maximizing the utilization 
of generic drugs. My proposal would increase access and choice in 
Federal programs by encouraging greater usage of generic 
pharamaceuticals as a safe, less costly alternative to an often 
expensive brand-name pharmaceutical. Generic pharmaceutical drugs have 
been shown to save consumers between 25 percent and 60 percent on their 
average prescription drug and this plan would greatly benefit many of 
the most vulnerable members of society.
  I do believe Congress needs to create a universal, voluntary drug 
benefit in the Medicare program, one that provides all Medicare 
beneficiaries with

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affordable coverage for drug costs. Perhaps most importantly for South 
Dakota's Medicare beneficiaries, the plan must ensure access for 
beneficiaries in rural and hard-to-serve areas including incentives to 
rural pharmacies and the private entity serving those areas to ensure 
rapid delivery of prescription drugs.
  I believe that these efforts are both comprehensive and achievable in 
the 107th Congress, and I will work closely with my colleagues to 
accomplish my personal goal of ensuring access to affordable 
prescription drugs for all Medicare beneficiaries both in South Dakota 
and around the Nation.

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