http://www.dfw.com/mld/dfw/news/nation/16106880.htm

The Fort Worth Star-Telegram
Mon, Nov. 27, 2006

Dems propose bargaining for better drug prices

By RICARDO ALONSO-ZALDIVAR
Los Angeles Times
WASHINGTON - With millions of seniors facing premium hikes for their Medicare prescription plans, Democrats say they have a solution: Use the government's massive buying power to bargain for rock-bottom drug prices. The Veterans Affairs Department does it for 5 million patients, they point out, so why can't Medicare do so its 43 million?

Medicare sets rates for hospitals, doctors and medical equipment such as power wheelchairs -- as well as drugs administered in doctors' offices. Only the GOP's ideological commitment to the private sector led it to bar the government from negotiating discounts with drug companies, Democrats say.

House Democrats have promised action in the first 100 hours of the new Congress to give Medicare bargaining power. One poll showed that 77 percent of Americans support the idea.

Although costs for the Medicare drug program are lower than the government originally projected, there is evidence that prices could be lower still. A recent Consumers Union study of the prices charged in South Florida for six widely used drugs found that Veterans Administration prices were 54 percent lower than the average Medicare prices.

"Medicare is overwhelmingly the largest purchaser, and it's ridiculous for Medicare not to get the best deal of all institutional purchasers," said Ron Pollack, executive director of the advocacy group Families USA. The VA's experience shows what Medicare could do, he said.

But the VA model might not be readily adaptable to Medicare, some independent experts say.

"From a rhetorical perspective, Democrats may feel like they gain a lot with this issue, but there are many substantive hurdles that the government faces in trying to negotiate prices," said Dan Mendelson, president of Avalere Health, a consulting enterprise that tracks the Medicare prescription program.

VA officials can negotiate major price discounts because they restrict the number of drugs on their approved list.

For example, VA system veterans can get Zocor for high cholesterol, but not Lipitor. In all, the VA covers about 1,300 medications.

By comparison, the most popular Medicare plan -- AARP MedicareRx -- covers about 4,300.

So the VA offers lower drug prices but fewer choices.

American consumers have resisted trading freedom of choice for lower prices.

Mindful of the popularity of the Medicare prescription program, one prominent former advocate of government-negotiated prices has had a change of heart.

"This plan is working much better than ever anticipated," said Tommy Thompson, President Bush's first secretary of health and human services. "When you've got a law that is working well in the federal government, why change it?"

I'm gonna remember this quote for a long time from Thompson when you have a law that's "working" why change it. Yeah ok. <_<

It might work well for the Fedreal Government but ask the seniors how well it works... Oh I forgot...they don't talk to the people.

The VA can get Liptor. My Hubby gets it from them. It just had to be documented that the Zocor wasnt working well enough. Medicaid does the same thing they have a approved list too. If you need a drug not on the approved list your doctor has to document that the approved drug wont work for you. So the assertion that some drugs wont be available is no more than a scare tactic.

I have a good friend in his 80's who pretty much helped raise me and worked his butt off every single day of his life. But nearly all he has coming in goes toward medications. He's very proud so about once a month I leave enough on the table when he goes out of the room to pay for his wife's heart medicine. We both know where the money came from but never mention it. If we did his pride would prevent him from accepting it and either he or Francis would have to go without their meds. She could afford it in Canada but not here where its made and it's the same medicine made by the same company.

The V.A. has negotiating power with the drug companies over prices but not the Government. You can see who owns our public servants.

Makes me sick to see them and others in the same situation going through this and all for greed, nothing more.

:mad: