S 696 IS
106th CONGRESS
1st Session
S. 696
To require the Secretary of Health and Human Services to submit to
Congress a plan to include as a benefit under the medicare program coverage of
outpatient prescription drugs, and to provide for the funding of such
benefit.
IN THE SENATE OF THE UNITED STATES
March 24, 1999
Mr. WELLSTONE introduced the following bill; which was read twice and
referred to the Committee on Finance
A BILL
To require the Secretary of Health and Human Services to submit to
Congress a plan to include as a benefit under the medicare program coverage of
outpatient prescription drugs, and to provide for the funding of such
benefit.
Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the `Medicare Prescription Drug Coverage Act of
1999'.
SEC. 2. STUDY AND LEGISLATIVE PROPOSAL TO CONGRESS.
(a) STUDY- The Secretary of Health and Human Services shall conduct a
study with respect to the establishment of an outpatient prescription drug
benefit under the medicare program that provides for full coverage of
outpatient prescription drugs for medicare beneficiaries.
(b) ADDITIONAL MATTERS STUDIED- In conducting the study under subsection
(a), the Secretary of Health and Human Services shall include a determination
of whether Federal estate tax revenues, transferred to the Federal Hospital
Insurance Trust Fund by reason of the amendments made by section 3 of this
Act, are sufficient, in excess of the amount required, or insufficient to
defray the costs of such outpatient prescription drug benefit.
(c) REPORT TO CONGRESS- Not later than 180 days after the date of the
enactment of this Act, the Secretary of Health and Human Services shall submit
to Congress a report containing a detailed description of the results of the
study conducted pursuant to this section, and include in such report a
legislative proposal to provide for such outpatient prescription drug
benefit.
SEC. 3. TRANSFER OF FEDERAL ESTATE TAX REVENUES TO MEDICARE PROGRAM TO
OFFSET COSTS OF PRESCRIPTION DRUG BENEFIT.
(a) TRANSFER TO FEDERAL HOSPITAL INSURANCE TRUST FUND- Section 1817(a) of
the Social Security Act (42 U.S.C. 1395i(a)) is amended--
(1) by striking `and' at the end of paragraph (1),
(2) by striking the period at the end of paragraph (2) and inserting `;
and', and
(3) by inserting after paragraph (2) the following new paragraph:
`(3) the taxes imposed by chapter 11 of the Internal Revenue Code of
1986 with respect to estates of citizens or residents reported to the
Secretary of the Treasury or his delegate on tax returns under subtitle F of
such Code, as determined by the Secretary of the Treasury by applying the
applicable rate of tax under such chapter to such estate.'.
(b) ESTABLISHMENT OF SEPARATE ACCOUNT FOR OUTPATIENT PRESCRIPTION DRUG
BENEFIT- Section 1817 of such Act (42 U.S.C. 1395i) is amended by adding at
the end the following new subsection:
`(l) OUTPATIENT PRESCRIPTION DRUG ACCOUNT-
`(1) ESTABLISHMENT- There is hereby established in the Trust Fund an
expenditure account to be known as the `Outpatient Prescription Drug
Account'.
`(2) CREDITING OF FUNDS- The Managing Trustee shall credit to the
Outpatient Prescription Drug Account such amounts as may be deposited in the
Trust Fund pursuant to subsection (a)(3).
`(3) USE OF FUNDS- Funds credited to the Outpatient Prescription Drug
Account may only be used to pay for outpatient prescription drugs furnished
under this title.'.
(c) EFFECTIVE DATE- The amendments made by this section apply to payments
received by the Secretary of the Treasury on or after the date of the
enactment of this Act for taxes imposed by chapter 11 of the Internal Revenue
Code of 1986.
END