Vote to pass a bill that would establish the Medicare Benefits Administration (MBA) to provide Medicare recipients with a voluntary prescription drug plan.
Estimates by the Congressional Budget Office would place the cost of this bill at $40 billion over the five year period from 2001-2005, and $159 billion from 2001-2010.
Allows private insurance companies subsidized by the federal government to provide medical coverage.
Grants free prescription drug coverage to individuals with an income below 135% of the federal poverty level; those in the 135%-150% bracket would receive subsidies based on a sliding scale.
In 2003, the first year of the plan, most beneficiaries would be responsible for an average of $34-$40 in monthly premiums, and an annual deductible of $250. For prescription cost from $250-$2,350 the beneficiary would be responsible for 50%. Cost over $2,350 would be the responsibility of the beneficiary until their total out of pocket cost reached $6,000. After $6,000 the insurer and federal government would be responsible for all cost.