H.R.2340 - Advancing Enrollment and Reducing Drug Costs Act (119th Congress)
Summary
H.R.2340, the "Advancing Enrollment and Reducing Drug Costs Act," aims to automatically qualify certain Medicaid beneficiaries for premium and cost-sharing subsidies under Medicare Part D. This would apply to individuals enrolled in Medicaid under specific provisions (title XIX, waivers, clauses (i)(VIII) or (ii)(XX) of section 1902(a)(10)(A)) before turning 65 and who have incomes below 200% of the poverty line. The changes would take effect for plan years beginning on or after January 1, 2027.
Expected Effects
The bill is expected to increase enrollment in Medicare Part D among low-income individuals transitioning from Medicaid. This will likely lead to reduced out-of-pocket drug costs for this population. The automatic enrollment provision simplifies the process and ensures continuous coverage.
Potential Benefits
- Reduced prescription drug costs for eligible Medicaid beneficiaries.
- Simplified enrollment process for Medicare Part D.
- Continuous healthcare coverage during the transition from Medicaid to Medicare.
- Improved health outcomes due to increased access to medications.
- Potential reduction in administrative burden by streamlining enrollment.
Most Benefited Areas:
Potential Disadvantages
- Potential increase in Medicare Part D costs due to increased enrollment.
- Administrative challenges in coordinating between Medicaid and Medicare systems.
- Possible confusion among beneficiaries regarding their coverage options.
- The bill does not address broader issues of drug pricing or healthcare affordability.
- Delayed implementation (2027) means beneficiaries will not see immediate relief.
Constitutional Alignment
The bill appears to align with the general welfare clause of the Constitution (Preamble). Congress has broad authority to legislate on matters related to healthcare and social security under its powers enumerated in Article I, Section 8. Specifically, the bill amends Title XVIII of the Social Security Act, which falls under Congress's power to provide for the general welfare.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).