. fiCC7Bi-2s5'l-0.tS00i7LmS-iobairrc3aa,ur\ .::.21^ j1' „H > 106thcongress S.696 1stSession Torequirethe Secretary-ofHealthandHumanServicestosubmittoCon- gressaplantoincludeasabenefitunderthemedicareprog^ramcoverage ofoutpatientprescriptiondrugs,andtoprovideforthefundingofsuch benefit. IN THE SENATE OF THE UNITED STATES March24,1999 Mr.Wellstoneintroducedthefollowingbill;whichwasreadtwiceand referredtotheCommitteeonFinance A BILL To require the Secretary of Health and Human Services to submit to Congress a plan to include as a benefit under the medicare program coverage ofoutpatient pre- scription drugs, and to provide for the funding of such benefit. 1 BeitenactedhytheSenateandHouseofRepresenta- 2 tivesoftheUnitedStatesofAmericainCongressassembled, 3 SECTION1.SHORTTITLE. 4 ThisActmaybecitedasthe"MedicarePrescription 5 DrugCoverageActof1999" C;iSLii-jrary C2-07-i3 750CSocurltyBivd. E)5ltlmoi-s, Maryter.ci 2i: 1 SEC.2.STUDYANDLEGISLATIVEPROPOSALTOCONGRESS. 2 (a) Study.—The Secretary of Health and Human 3 Services shall conduct a studywith respectto the estab- 4 lishmentofanoutpatientprescriptiondrugbenefitunder 5 the medicare program that provides for full coverage of 6 outpatient prescription drugs for medicare beneficiaries. — 7 (b)AdditionalMattersStudied. Inconducting 8 the study under subsection (a), the Secretary ofHealth 9 and Human Services shall include a determination of 10 v^hether Federal estate tax revenues, transferred to the 11 FederalHospitalInsurance TrustFundbyreasonofthe 12 amendmentsmadebysection3 ofthisAct, aresufficient, 13 inexcessoftheamountrequired, orinsufficienttodefray 14 thecostsofsuchoutpatientprescriptiondrugbenefit. — 15 (c)ReporttoCongress. Notlaterthan180days 16 afterthedateoftheenactmentofthisAct,the Secretary 17 ofHealth andHuman Services shall submitto Congress 18 a report containing a detailed description ofthe results 19 ofthe study conductedpursuant to this section, andin- 20 elude in such report a legislative proposal to provide for 21 suchoutpatientprescriptiondrugbenefit. <S696IS CliSUyrary IC2-07-13 3 iIS:a'lSt;ij!CriCc'»3rCo(,j;1MtayrByitvedr.d 21244 1 SEC.3.TRANSFEROFFEDERALESTATETAXREVENUESTO 2 MEDICARE PROGRAMTO OFFSET COSTS OF ^ 3 PRESCRIPTIONDRUGBENEFIT. f 4 (a) Transfer to Federal Hospital Insurance — 5 Trust Fund. Section 1817(a) of the Social Security 6 Act(42U.S.C.1395i(a))isamended— 7 (1) by striking "and" at the end ofparagraph 8 (1), 9 (2) by striking the period at the end ofpara- 10 graph (2) andinserting and",and 11 (3) by inserting after paragraph (2) the fol- 12 lowdngnewparagraph: 13 "(3)thetaxesimposedbychapter 11 oftheIn- 14 ternalRevenueCodeof1986withrespecttoestates 15 ofcitizens or residents reported to the Secretarv' of 16 the Treasury or his delegate on tax returns under 17 subtitle F ofsuch Code, as determined bythe Sec- 18 retary of the Treasury by applying the applicable 19 rateoftaxundersuchchaptertosuchestate.". 20 (b) ESTABLISHMENT OF SEPARATE ACCOUNT FOR — 21 Outpatient Prescription Drug Benefit. Section 22 1817ofsuchAct(42U.S.C. 13951)isamendedbyadding 23 attheendthefollowingnewsubsection: — 24 "(1) OutpatientPrescriptionDrugAccount. — 25 "(1) Establishment. There is hereby estab- 26 hshedinthe Trust Fund an expenditure accountto •S696IS 1 be knowTi as the 'Outpatient Prescription DrugAc- 2 count'. — 3 "(2) Crediting of funds. The Managing 4 Trustee shall credit to the Outpatient Prescription 5 DrugAccountsuchamounts as maybedepositedin 6 theTrustFundpursuanttosubsection(a)(3). — 7 "(3) Use of funds. Funds credited to the 8 Outpatient Prescription DrugAccount may onlybe 9 used to pay for outpatient prescription drugs fur- 10 nishedunderthistitle.". — 11 (c) Effective Date. The amendments made by 12 this section applyto payments receivedbythe Secretary 13 ofthe Treasuryonorafterthe date oftheenactmentof 14 thisActfortaxes imposedbychapter 11 ofthe Internal 15 RevenueCodeof1986. O •S696IS