EAST HAVEN - Congresswoman Rosa L. DeLauro (Conn.-3) today told a group of seniors at East Farm Village that Congress must go back to the drawing board on Medicare reform. She released two reports on the Medicare Modernization Act that prove the new law is not working for Connecticut seniors and individuals with disabilities. The reports analyzed the discounts available through domestic and Canadian prescription drug programs and the cost implications of the increase in Medicare premiums.

Ursula Pollak of Branford joined DeLauro at the event. After enrolling in the Medicare drug discount card program, Pollak’s medication was suddenly dropped from coverage.

“Seniors have been waiting a long time for meaningful prescription drug coverage under Medicare,” said DeLauro. “But the law passed by Congress does not provide a guaranteed drug benefit to all seniors, does nothing to hold down the rising cost of drugs, and does not even begin until the year 2006. We now have evidence that it is undermining Social Security. Medicare beneficiaries deserve better.”

According to the report released by DeLauro, the drug discount cards that became available in June provide few discounts to Connecticut’s seniors. Among the top ten drugs for seniors, the prices offered under Medicare were 45 percent higher than Canadian prices. For example, a 30-day supply of Celebrex costs only $41.43 in Canada, compared to $74.39 or more with the Medicare drug discount card. The report also found that prices under Medicare were 61 percent higher than those negotiated by the federal government for the Veteran’s Administration. A 30-day supply of Protonix costs the federal government only $26.83, compared to $68.71 with the drug discount card. And of the top ten drugs compared, average prices under Medicare were virtually identical to the prices charged by Drugstore.com.

“Congress has the ability to move swiftly and enact reforms that have been proven to lower the costs of prescription drugs,” said DeLauro. “I have worked with my colleagues to pass reimportation of drugs from countries like Canada and will continue to encourage the federal government to negotiate lower drug prices under Medicare like they do for the Veterans’ Administration.”

In September, the Bush Administration announced that Medicare premiums would increase by a record 17 percent, which translated into costs of over $139 per year for beneficiaries. According to the report released today by DeLauro, that increase will force 106,000 Medicare beneficiaries in Connecticut’s Third Congressional District to pay $14.8 million more in Medicare premiums next year. Of the $11.60 increase beneficiaries will pay per month in premiums, only 10 cents of this cost covers the new benefits.

Furthermore, Medicare costs are rising six times faster than Social Security benefits. Approximately 44,700 Medicare beneficiaries in New Haven County will be forced to use most or all of their Social Security cost-of-living allowance (COLA) to pay for the increased premiums.

“Medicare and Social Security are the twin pillars of retirement security,” said DeLauro. “Seniors should not have to rob one to pay the other. I believe Congress should go back to the drawing board and write a real Medicare prescription drug bill that lowers drug prices and saves this valuable program.”

The Medicare program is the primary source of medical care for over 40 million seniors and individuals with disabilities.