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Pennsylvania House of Representatives
https://www.legis.state.pa.us/cfdocs/Legis/CSM/showMemoPublic.cfm?chamber=H&SPick=20150&cosponId=17400
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House of Representatives
Session of 2015 - 2016 Regular Session

MEMORANDUM

Posted: February 13, 2015 08:59 AM
From: Representative Seth M. Grove
To: All House members
Subject: PACE/PACENET Social Security COLA Moratorium
 
Pennsylvania’s premier prescription drug assistance programs for seniors, PACE and PACENET, provide life-sustaining medications to approximately 300,000 older Pennsylvanians. Unfortunately, while many individuals readily welcome Social Security cost-of-living adjustments, such COLA increases typically result in some individuals facing ineligibility due to the increase in income.

Act 12 of 2014 resulted in permitting approximately 30,000 PACE and PACENET cardholders to retain the benefit which they would otherwise have lost as a result of Social Security COLA increases. The COLA moratorium under Act 12 is scheduled to expire on December 31, 2015.

Unfortunately, the Social Security COLA 1.7% COLA for 2015 is estimated to result in almost 16,500 PACE and PACENET cardholders exceeding eligibility limits and, thereby, losing their benefits. I am proposing to extend the current Social Security COLA Moratorium until December 31, 2017.

Please join me as a cosponsor of this important legislation that will benefit nearly 16,500 seniors. This proposal is made possible due to a combination of existing Lottery Fund revenues, additional savings generated by federal changes which have provided for a “donut hole” discount in Medicare Part D and increased rebates for brand and generic pharmaceuticals.

PREVIOUS CO-SPONSORS of HB 777 (ACT 12 of 2014) - BROOKS, HENNESSEY, LONGIETTI, CALTAGIRONE,YOUNGBLOOD, HARHART, ROCK, SCHLEGEL CULVER, GODSHALL,SWANGER, CARROLL, MILLER, PICKETT, MILLARD, HAHN, KAUFFMAN,COHEN, V.BROWN, STEPHENS, C.HARRIS, HICKERNELL, BAKER, KORTZ, SAINATO, KAVULICH, GINGRICH, BARRAR, SAYLOR, HESS,
MICOZZIE, MILNE, GILLEN, MOUL, WATSON, GABLER, GOODMAN, HEFFLEY, JAMES AND GIBBONS

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Introduced as HB777