Guinn’s senior citizen drug plan lagging

Thursday, Dec. 7, 2000 | 11:11 a.m.

CARSON CITY -- Gov. Kenny Guinn's much-touted prescription drug program for low-income senior citizens is off to a slow start.

After one month of enrollment, about 300 people have signed up, the state Department of Human Resources says.

It estimates that 10,000 to 11,000 seniors may be eligible for the program that provides a subsidy of up to $40 a month for an insurance policy that will pay part of the cost of the drugs.

"We were a little late in getting started," Jane Smedes said.

Smedes, who is overseeing the program, said the applications now, however, "are starting to come in like crazy."

Assemblywoman Barbara Buckley, D-Las Vegas, whose tobacco task force kept an eye on the program, said, "It's too early to tell why so few people are taking advantage of this.

"It's probably either because senior citizens have not learned of the program or because the program design is so flawed that people are choosing not to take advantage of it," said Buckley, who will be majority leader in the Assembly in the 2001 session.

Smedes said the attendance at workshops for seniors in Las Vegas, Reno and Carson City was "fairly good." And the agency is stepping up its effort "in getting the word out" about the program.

The Guinn administration signed a $5 million contract with Fidelity Security Life Insurance Co. of Kansas City, Mo. The state will pay a subsidy of up to $40 a month for a senior citizen based on income. For instance, those who earn $13,000 a year or less will be eligible for the full amount.

For the basic pharmacy coverage, there is a $100 deductible a year for each member. The plan calls for a monthly premium of $74.76, from which the person's subsidy is deducted. So an individual who receives the $40-a-month maximum subsidy would pay $34 a month for coverage.

There is also a $10 co-payment for each prescription of a generic drug under the basic plan.

While signups are lagging, the legislative committee has asked for bills to present to the 2001 session to overhaul the system.

"It was a mistake to let the insurance companies design the program," Buckley said. "The way the program is designed is that the drugs are still too expensive for seniors to afford."