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Advocates urge restoration of state prescription benefit for retirees hired before July 1, 2011; witnesses describe increased costs under Medicare Part D

2574135 · March 12, 2025
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Summary

HB 3‑56 would restore Maryland's state prescription drug benefit for state employees and retirees hired before July 1, 2011; sponsors and retiree witnesses said the shift to Medicare Part D raised costs and administrative burdens for many beneficiaries.

Delegate Robin Grammer told the committee HB 3‑56 would restore the state prescription drug benefit for state employees and retirees employed before July 1, 2011.

"Maryland retirees who lost coverage under the state's prescription drug benefit alterations feel they were promised coverage that they work for and was taken from them," Grammer said, recounting constituent stories about increased drug costs and financial strain. Supporters — including former state employees, retiree association leaders, and public‑safety retiree groups — described practical problems since the shift to Medicare Part D, including higher premiums, more restrictive formularies, denials, and upfront costs for specialty drugs that must be reimbursed later under state programs.

James Roberts, president of the Towson University Retired Faculty Association, described gaps in Part D coverage and limits of state assistance programs such as health reimbursement arrangements (HRAs) and the life‑sustaining drug reimbursement process. "The Medicare Part D plan is not equivalent to the state plan that we had," Roberts said, noting that HRAs may be exhausted early in the year and that the life‑sustaining drug program requires prior denials and reimbursement processes that leave retirees paying upfront.

Retiree advocates and former law‑enforcement officers testified that some retirees have seen out‑of‑pocket costs triple and that restrictive formularies and insurer denials have forced substitutions in medication. Witnesses urged a favorable vote or, alternatively, formation of an independent study panel with retiree participation. The transcript shows extended public testimony from retirees and retirees’ organizations; no final committee vote is recorded in the provided excerpt.