Friday Alert  12/2/05
Alliance for Retired Americans
888 16th Street, N.W. -  Washington DC, 20006 - (202) 974-8222 - www.retiredamericans.org

Confusion and Bewilderment Over Part D
Open enrollment for Medicare Part D will continue for the next six months, but if the first few weeks are any sign Part D is a disaster. Across the nation, seniors are frustrated and confused by a dizzying array of competing plans, few of which can be compared side by side. Insurers are spending millions to market their wares, and their aggressive tactics have triggered numerous consumer complaints. This week, Medicare officials admitted the online drug plan finder was artificially inflating drug prices, USA Today reported. Medicare is working to fix the computer problem but officials explained that the website is updated weekly with new information from private insurers. Experts project drug prices will change, maybe on a quarterly basis. "The circumstances would be laughable if the consequences weren't so dire," said George J. Kourpias, president of the Alliance. "The lawmakers who created this mess should get their drug coverage this way and see how they do."

Problems in Discount Card Program Ominous for Part D
What if a government investigation had uncovered serious problems with a program that requires seniors to choose a private health plan from dozens of choices, relies on private companies to negotiate drug prices and uses a complicated website to help seniors make their decisions?  That's exactly what happened with Medicare's drug discount cards, the temporary precursor to the current Part D benefit. The New York Times reports that a Government Accountability Office (GAO) study revealed widespread problems with the drug card program including inaccurate information sent by insurance companies, unlawful use of Medicare funds to pay for drugs expressly forbidden by Congress and nearly 26,000 complaints about the cards. The GAO report could not determine drug card savings, which the Bush administration claimed would be 10-25% cheaper, because Medicare officials did not keep "reliable data." Rep. Henry Waxman (D-CA), who requested the study, strongly encouraged Medicare officials to correct the problems uncovered given the similarities between the drug cards and Part D. "Continued lax oversight and enforcement will serve neither seniors nor the taxpayers," Waxman said.

Part D Tips for Retirees with Employer or Union Provided Health Care
If you are one of the 11.5 million Medicare beneficiaries who have drug coverage through a former employer or union, your current coverage could work with Medicare Part D in several different ways. The 2003 law offered employers several options in order to encourage companies to continue their retiree benefits, which are generally more generous than Part D. The best source of information for your drug coverage is your former employer, union or your health care plan so contact them directly.  Enrolling in a Part D plan could change your current health care coverage so consult your benefits administrator before doing anything.

Senators Fail in Last Ditch Effort on Social Security Privatization
Two of privatization's staunchest supporters, Senators Rick Santorum (R-PA) and Jim DeMint (R-SC), resorted to political theater in a desperate attempt to resuscitate private accounts. Addressing a thin crowd in the Senate chamber before the Thanksgiving recess, the two lawmakers failed in their attempt to force a floor debate on legislation that would open Social Security up to privatization. Senior opposition was key to defeating President Bush's domestic centerpiece and with the 2006 midterm elections looming, congressional action is unlikely next year. President Bush, however, has vowed to push for privatization until his last day in office. "The 2006 elections will be absolutely crucial for the future of Social Security," said Ruben Burks, secretary-treasurer of the Alliance. "Older Americans will elect lawmakers who vow to strengthen Social Security instead of recklessly dismantling it in the name of reform."

Alliance Grassroots Working in the States
On November 18, 2005, the Alliance welcomed West Virginia as the twenty-third state to be chartered as a state affiliate at their founding convention in Cedar Lakes, WV. Congratulations to Ernest "Spud" Terry, who became West Virginia's first president, James Picarella, Secretary-Treasurer and Raymond "BB" Smith, Executive Vice President.  On the heels of California's stunning Special Election victory, the California Alliance for Retired Americans (CARA) held its second annual convention, "Turning Outrage Into Action," in Anaheim Nov. 9-10. Find out more on CARA's website at www.californiaalliance.org .

Stand with Working Families: December 10 Week of Action Begins
More than 50 years ago, the United Nations included the freedom to form a union among fundamental human rights in the Universal Declaration of Human Rights. But the Bush administration and leaders in Congress have aligned themselves with corporate special interests to promote policies that erode workers' rights. Call on President Bush and Congress to re-establish the United States as the world's leader in protecting human rights, including the freedom to form and join unions. Sign the December 10 Human Rights petition here. Next week, help restore workers' rights during the December 10 week of action. Find a local event near you here.

Become part of a progressive grassroots movement! Join the Alliance: www.retiredamericans.org/join