I 
110TH CONGRESS 
2D SESSION 
H. R. 6800 
To amend title XVIII of the Social Security Act to replace the Medicare 
prescription drug benefit adopted by the Medicare Prescription Drug, 
Improvement, and Modernization Act of 2003 with a revised and sim-
plified prescription benefit program for all Medicare beneficiaries. 
IN THE HOUSE OF REPRESENTATIVES 
AUGUST 1, 2008 
Mr. KUCINICH (for himself, Mr. DEFAZIO, Ms. LEE, Mr. CONYERS, Mr. 
DAVIS of Illinois, Mr. ABERCROMBIE, Mr. JEFFERSON, Ms. WOOLSEY, 
Mr. FILNER, Mr. HINCHEY, Mr. JACKSON of Illinois, Mr. ELLISON, Ms. 
KAPTUR, Mr. GRIJALVA, Ms. HIRONO, Ms. EDDIE BERNICE JOHNSON of 
Texas, Mr. CUMMINGS, Ms. JACKSON-LEE of Texas, Mr. NADLER, and 
Mr. CARSON) introduced the following bill; which was referred to the 
Committee on Energy and Commerce, and in addition to the Committee 
on Ways and Means, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall within 
the jurisdiction of the committee concerned 
A BILL 
To amend title XVIII of the Social Security Act to replace 
the Medicare prescription drug benefit adopted by the 
Medicare Prescription Drug, Improvement, and Mod-
ernization Act of 2003 with a revised and simplified 
prescription benefit program for all Medicare bene-
ficiaries. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Medicare Drugs for Seniors (MEDS) Act of 2008’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Findings. 
Sec. 3. Repeal and transition. 
Sec. 4. Prescription medicine benefit program. 
‘‘PART D—PRESCRIPTION MEDICINE BENEFIT FOR THE AGED AND 
DISABLED 
‘‘Sec. 1860D–1. Establishment of prescription medicine benefit program 
for the aged and disabled. 
‘‘Sec. 1860D–2. Scope of benefits. 
‘‘Sec. 1860D–3. Payment of benefits. 
‘‘Sec. 1860D–4. Eligibility and enrollment. 
‘‘Sec. 1860D–5. No premium. 
‘‘Sec. 1860D–6. Prescription Medicine Insurance Account. 
‘‘Sec. 1860D–7. Administration of benefits. 
‘‘Sec. 1860D–8. Promotion of pharmaceutical research on break-through 
medicines while providing program cost containment. 
‘‘Sec. 1860D–9. Appropriations to cover Government contributions. 
‘‘Sec. 1860D–10. Prescription medicine defined. 
Sec. 5. Substantial reductions in the price of prescription drugs for medicare 
beneficiaries. 
Sec. 6. Importation of certain prescription drugs. 
Sec. 7. Reasonable price agreement for federally funded research. 
Sec. 8. GAO ongoing studies and reports on program; miscellaneous reports. 
Sec. 9. Medigap transition provisions. 
SEC. 2. FINDINGS. 
Congress makes the following findings: 
(1) The amendments made by title I of the 
Medicare Prescription Drug, Improvement, and 
Modernization Act of 2003 (Public Law 108–173) 
do not ensure the long-term financial viability of the 
Medicare prescription drug benefit enacted by such 
title through cost-containment measures, and con-
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tains a provision that explicitly prohibits Medicare 
from negotiating for lower prescription drug prices, 
which is a practice of the Department of Veterans 
Affairs (VA). 
(2) Medicare Part D pays on average 30 per-
cent more for drugs than does its federally adminis-
tered counterpart in Medicaid. That amounted to a 
windfall worth over $3.7 billion for drug manufac-
turers in the first two years of the Medicare Part D 
program. 
(3) Since the inception of privatized Part D, av-
erage premiums have increased from $25.93 in 2006 
to $27.39 in 2007. In 2008 the average premium 
could increase by 17 percent to $31.99 if enrollees 
stay in their current plan, which is the norm. 
(4) Only 8 percent of enrollees are in a Part D 
plan that provides any coverage in the ‘‘doughnut 
hole,’’ a period in which there is no coverage of drug 
costs, which exemplifies the ways in which insurance 
plans cause significant financial vulnerability for en-
rollees by providing partial coverage for prescription 
drugs. 
(5) All Medicare beneficiaries should have ac-
cess to a voluntary, reliable, affordable, and defined 
outpatient medicine benefit that is part of the Medi-
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care program and that assists with the high cost of 
prescription medicines and protects such bene-
ficiaries from excessive out-of-pocket costs. 
(6) Americans unjustly pay up to 5 times more 
to fill their prescriptions than consumers in other 
countries. 
(7) The United States is the largest market for 
pharmaceuticals in the world, yet American con-
sumers pay the highest prices for brand pharma-
ceuticals in the world. 
(8) A prescription drug is neither safe nor ef-
fective to an individual who cannot afford it. 
(9) Allowing and structuring the importation of 
prescription drugs to ensure access to safe and af-
fordable drugs approved by the Food and Drug Ad-
ministration will provide a level of safety to Amer-
ican consumers that they do not currently enjoy. 
(10) Allowing open pharmaceutical markets 
could 
save 
American 
consumers 
well 
over 
$38,000,000,000 each year 
SEC. 3. REPEAL AND TRANSITION. 
(a) REPEAL OF MEDICARE PART D BENEFIT AND 
TRANSITION TO NEW MEDICARE PRESCRIPTION MEDI-
CINE BENEFIT PROGRAM.—The amendments made by 
title I of the Medicare Prescription Drug, Improvement, 
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and Modernization Act of 2003 (Public Law 108–173) are 
repealed as of December 31, 2009, and the provisions of 
law amended by such title shall read as if such title had 
not been enacted. 
(b) TRANSITION.—The Secretary of Health and 
Human Services shall provide for an appropriate transi-
tion from administering the Social Security Act in accord-
ance with the amendments made by title I of the Medicare 
Prescription Drug, Improvement, and Modernization Act 
of 2003 (Public Law 108–173) to administering such Act 
in accordance with the amendments made by section 4 of 
this Act. 
SEC. 4. PRESCRIPTION MEDICINE BENEFIT PROGRAM. 
(a) IN GENERAL.—Title XVIII of the Social Security 
Act (42 U.S.C. 1395 et seq.), as in effect before the inser-
tion of part D under title I of the Medicare Prescrption 
Drug, Improvement, and Modernization Act of 2003, is 
amended— 
(1) by redesignating part D as part E; and 
(2) by inserting after part C the following new 
part: 
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‘‘PART D—PRESCRIPTION MEDICINE BENEFIT FOR THE 
AGED AND DISABLED 
‘‘ESTABLISHMENT OF PRESCRIPTION MEDICINE BENEFIT 
PROGRAM FOR THE AGED AND DISABLED 
‘‘SEC. 1860D–1. There is established a voluntary in-
surance program to provide prescription medicine benefits, 
including pharmacy services, in accordance with the provi-
sions of this part for individuals who are aged or disabled 
or have end-stage renal disease and who elect to enroll 
under such program, to be financed from premium pay-
ments by enrollees together with contributions from funds 
appropriated by the Federal Government. 
‘‘SCOPE OF BENEFITS 
‘‘SEC. 1860D–2. (a) IN GENERAL.—The benefits 
provided to an individual enrolled in the insurance pro-
gram under this part shall consist of— 
‘‘(1) payments made, in accordance with the 
provisions of this part, for covered prescription 
medicines (as specified in subsection (b)) dispensed 
by any pharmacy participating in the program under 
this part (and, in circumstances designated by the 
Secretary, by a nonparticipating pharmacy), includ-
ing any specifically named medicine prescribed for 
the individual by a qualified health care professional 
regardless of whether the medicine is included in any 
formulary established under this part if such medi-
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