File #: Res 2034-2001    Version: * Name: Veterans Administration to maintain co-payment levels for prescription drugs.
Type: Resolution Status: Filed
Committee: Committee on Aging
On agenda: 8/22/2001
Enactment date: Law number:
Title: Resolution calling upon the Congress of the United States and the Veterans Administration to maintain the current level of co-payments for prescription drugs for eligible veterans.
Sponsors: Julia Harrison, Una Clarke, Kathryn E. Freed, Lloyd Henry, Helen M. Marshall, Michael C. Nelson, Mary Pinkett, Lawrence A. Warden, Martin J. Golden, Alphonse Stabile, June M. Eisland, Karen Koslowitz, Margarita Lopez, Stanley E. Michels, Jerome X. O'Donovan, Morton Povman, Christine C. Quinn, John D. Sabini, Michael J. Abel
Council Member Sponsors: 19
Res. No. 2034 Title Resolution calling upon the Congress of the United States and the Veterans Administration to maintain the current level of co-payments for prescription drugs for eligible veterans. Body By Council Members Harrison, Clarke, Freed, Henry, Marshall, Nelson, Pinkett, Warden, Golden and Stabile; also Council Members Eisland, Koslowitz, Lopez, Michels, O'Donovan, Povman, Quinn, Sabini and Abel Whereas, The increasing cost of prescription drugs has created a crisis for most older Americans; and Whereas, In the July 16, 200l issue of Federal Register, the Department of Veterans Affairs (the "VA") proposed raising the co-payment for prescription drugs for eligible veterans from $2 to $7, up to a maximum of $840 per year with the increase taking effect in late 2001 and continuing through December 31, 2002; and Whereas, Under the Veterans Administration (VA) proposal, following that date, the co-payment and the cap would rise each year with the prescription drug component of the Medical Consumer Price Index; and Whereas, In order to cut costs, Congress established seven categories of veterans, giving higher priority for health care access to veterans with service-connected wounds, disabilities and health problems and the very poor; and Whereas, There would be no cap on co-payments for veterans in "priority category 7," those who have no service-connected medical problems, earn more than $10,000 yearly for a single individual and $12,000 yearly for a couple, and who have agreed to make co-payments; and Whereas, Many veterans in category seven, especially the elderly, earn very little more than $10,000 and would be severely impacted by increased co-payments if they must take several prescription drugs daily; and Whereas, The VA noted that 1.1 million veterans averaged 47 30-day prescriptions last year costing $94 in co-payments which, under the proposed rules, would cost $329 in co-payments and increase the VA co-payment receipts from $101 million in 2000 to $250 million; and Whereas, While the VA gets discounts for volume buying, a VA spokesman was quoted in a August 8, 2001 Newsday article, "Vets Face Rise in Drug Co-Payments" as stating that "Our spending on medical care is far exceeding our budget because of the high prices of drugs. We've tried to protect veterans' pocketbooks as long as we could"; and Whereas, The VA proposal is subject to review within the VA and by Congress; now, therefore, be it Resolved, That the Council of the City of New York calls upon the Congress of the United States and the Veterans Administration to maintain its current level of co-payments for prescription drugs for eligible veterans. LS#4557 MB:ts 08/15/01 |1013|