June 30, 1999
Web posted at: 2:15 p.m. EDT (1815 GMT)

Speaking to about 350 senior citizens and others at the Chicago Cultural Center, which offers various programs for older people, Clinton said older Americans should not have to face difficult financial decisions over paying for prescription drugs.

Clinton said the nation is too prosperous for the elderly to be left behind and that a price cannot be placed on their lives.

"No American should have to choose between fighting infections and fighting hunger, between skipping doses and skipping meals, between staying healthy and paying the rent.," he said. "We can do better than that. We are now prosperous enough to do better than that."

In Chicago, Clinton heard stories of elderly people having to make difficult decisions, such as having to chose between paying for groceries or prescriptions, or stretching out their pills to make them last longer -- putting themselves at risk of serious illness.

"There is no way I can do without these medications," said Hanna Bratman, 79, a widow who said she spends $2,800 a year -- about 10 percent of her income -- on asthma drugs. "It's hard to describe the fear of not knowing whether you'll be able to afford the next medication the doctor prescribes."

Linda Esposito, a geriatric pharmacist in Cicero, Illinois, said it was heartbreaking to watch customers discover they lack coverage for their medication, or cannot find other coverage because they were rejected as too ill, or scrape funds together to pay out of their pockets.

The president's trip to Chicago is the first of several national visits by top administration officials to sell the Medicare proposal directly to senior citizens.

Clinton said Medicare has given millions of Americans peace of mind by paying for medical costs that would have bankrupted families. But people living longer and the baby boom generation set to retire, the system needs to be modernized, he said.

"The sooner you deal with these issues, the easier it is to deal with them," he said.

The president proposed on Tuesday several changes in Medicare, including a proposal to have the government help the disabled and people 65 and older pay for prescription drugs under Medicare -- up to $1,000 a year initially in return for a $24 monthly patient charge.

The maximum federal payment for drugs would climb to $2,500 by 2008 as the monthly patient fee rose to $44 in gradual, annual steps. However, beneficiaries with annual incomes below $11,000 for individuals and $17,000 for couples would pay no premium or cost-sharing for drug coverage up to the annual limit.

Clinton's plan has been criticized by some elderly advocates who say it doesn't go far enough. Medical industry leaders wonder if they're going to wind up paying for it.

Republicans have questioned how Clinton's plan would be financed, whether it would fix Medicare's solvency problems and whether his proposed cost restrictions might hinder medical breakthroughs and drug innovations.

Congressional Democrats, meanwhile, criticized Republicans for not immediately and wholeheartedly embracing Clinton's plan.

"My fear is that the Republican reaction to this is negative," said House Minority Leader Richard Gephardt of Missouri at a news conference today. "It's clear to me that the Republican leadership simply is responding to special interests and not to the interests of ordinary Americans."

Clinton called for the parties to avoid a partisan battle. "This is not a political issue anywhere in America, and it should not be a political issue in Washington, D.C. This is something we can do together for the future of America."

Whether retirees will see Clinton's plan as a good deal remains to be seen, said Horace Deets, executive director of the American Association of Retired Persons, the nation's largest organization of older adults.

"It requires that Medicare beneficiaries still pay a considerable amount of the cost of their drugs and only a vigorous public debate will tell us whether older Americans believe that the additional premium for prescriptions is affordable," said Deets.

Even if not enacted this year, Clinton's initiative will sets up what is expected to be a bitter fight with the GOP-led Congress. Many Republicans argue that less money than what Clinton proposes is needed to keep Medicare afloat, and the extra surplus funds should used for a deeper tax cut instead of new benefits.

The issue is a potent one for politicians as Medicare touches the lives of 39 million Americans, and the elderly show up to vote.

In a joint statement, House Speaker Dennis Hastert (R-Illinois) and Senate Majority Leader Trent Lott (R-Mississippi) pledged to seek "a bipartisan solution to expand access to affordable prescription drugs." Lott expressed interest in providing prescription drugs to elderly Americans who "are poor and cannot afford what they need."

In the health care industry, from HMOs to hospitals, there are worries that they will be made to sacrifice billions of dollars in payments to help achieve Medicare savings to pay for Clinton's plan.

"As caregivers, we recognize that prescription drugs are an important part of treating illness and enhancing wellness," said American Hospital Association president Dick Davidson. "But before we expand benefits -- and make new promises -- to Medicare beneficiaries, it is essential that we keep our current promises."

The Associated Press contributed to this report.

Wednesday, June 30, 1999

• Starr still investigating, despite midnight expiration of IC statute
• Dole makes candidacy official
• From Watergate to Whitewater: History of the independent counsel
• Hubbell pleads guilty as part of deal with Starr
• Energy Department audit finds problems at Livermore lab
• McCain pushes campaign finance reform
• Clinton says Medicare plan affordable
• Holbrooke nomination clears Senate hurdle
• Trial of Gore friend for alleged campaign violations nears end
• Bush has raised whopping $36.2 million
•CBO's surplus estimate below Clinton's, sources say
• Babbitt called before grand jury in Indian casino case
• House passes bill to restrict teen abortions
• White House-Congress compromise on Y2K bill jeopardized
• Congress questions military anthrax vaccine program
• New Hampshire may move '2000' primary to 1999
• Pols woo farmers for their votes
• Bradley raises $200,000 at fundraiser
• Gay ambassador sworn in
• Bush calls on Hollywood to help bring 'responsibility era'

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