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American Morning

House Passes Senior Drug Plan

Aired June 28, 2002 - 09:30   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BILL HEMMER, CNN ANCHOR: Early this morning -- in fact, early -- really early, like 2:30 in the morning East Coast time -- the House passed a prescription drug benefit plan for seniors on Medicare. The was vote was close, and essentially along party lines. The Republicans call it the most significant addition to Medicare since its inception, back in 1965. Democrats say it's a prescription that leaves too many older Americans with too little coverage.

Congressional correspondent Kate Snow in D.C., watching this.

It's going to be a hot button issue going forward too, especially into elections this fall.

Kate, good morning.

KATE SNOW, CONGRESSIONAL CORRESPONDENT: Yes.

Good morning, Bill.

It absolutely is. As you say, it was a squeaker vote early this morning, 2:30 a.m. Just the fact that it took them until 2:30 a.m. to get enough votes on the Republican side of the aisle to push this through tells you something: There are some really strong differences about how to provide a prescription drug plan for seniors.

In fact, the Senate is probably led by Democrats going to go ahead with a different plan; it will look completely different than what the House passed this morning.

The question is why is it so hard for Washington to give seniors the break that they're looking for?

(BEGIN VIDEOTAPE)

REP. RICHARD GEPHARDT (D-MO), MINORITY LEADER: ... about today! It's not about politics!

SNOW (voice-over): The Democratic leader nearing spitting fire talking about the need for prescription-drug coverage.

GEPHARDT: It's about what is right for the wonderful people that built this country. We need a vote for the people today.

SNOW: The outrage cutting across party lines. SEN. KAY BAILEY HUTCHISON (R), TEXAS: This is something Republicans want to fix. And we want to fix it now.

SNOW: But if it sounds familiar, it should. Remember the last campaign season?

(BEGIN VIDEO CLIP, 2000)

AL GORE, VICE PRESIDENT OF THE UNITED STATES: I will pass a prescription-drug benefit for seniors under the Medicare program. And together we'll make that happen.

BUSH: Prescription drugs for seniors is going to be a priority, not only a priority. We're going to get something done.

(END VIDEO CLIP)

SNOW: So why hasn't it happened? For one thing, sharp disagreements: Republicans wants private insurance to play a major role, have seniors bear some of the cost. Democrats would spend twice as much to cover more expenses, with the government in charge. Another reason, plain and simple: election-year politics. Already, the ads are running.

(BEGIN VIDEO CLIP)

ANNOUNCER: Tell him to keep fighting for more prescription-drug costs.

(END VIDEO CLIP)

JAMES THURBER, AMERICAN UNIVERSITY: Some observers call this plan a wedge issue. A wedge issue in Washington is an issue that both parties know they will not resolve. But it will be used as a wedge, as a way the win the next election.

SNOW: Polls show how important the issue is to seniors, who turn out to vote in higher numbers than other groups, especially in off- year elections. Each party accuses the other of playing politics, with seniors caught in the middle.

REP. MIKE ROSS (D), ARKANSAS: For 20 months, they've done nothing, and now, less than five months before an election, they're rushing a bill to Congress that was written by the drug manufacturers.

SNOW: Democrats charge the Republican bill would be a windfall for drug companies, who have given generously to the GOP. Republicans deny they're doing any favors for the industry, and say Democrats are pushing an overinflated plan just to win points on the campaign trail.

REP. WILLIAM THOMAS (R-CA), WAYS AND MEANS CHAIRMAN: We're asking all seniors to do, is to tell our friends on the other side of the aisle they would like a program today, not the promise of some gigantic program tomorrow or the day after.

(END VIDEOTAPE) SNOW: The bottom line, expect to hear a lot more commercials over the summer, Bill, expect to hear a lot of talk by politicians running for office, but don't expect that we are going to see a prescription drug plan signed into law -- at least not before the November election -- Bill.

HEMMER: Sounds like there's a whole lot to debate still going forward.

Kate, thanks. Kate Snow, on Capitol Hill.

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