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Pallone Voices Concern Over Final Draft of Ryan White Reauthorization Legislation

September 7, 2006

Washington, D.C. --- U.S. Rep. Frank Pallone, Jr. (D-NJ) today voiced concern over what is expected to be the final draft of legislation to reauthorize the Ryan White Comprehensive AIDS Resources Emergency (CARE) Act.The New Jersey congressman, a senior member of the House Energy and Commerce Committee which has jurisdiction over the legislation, said the draft legislation, which was released to staff late this afternoon, would cost New Jersey $2.3 million annually in direct funding through Title II of the program.An initial analysis of the legislation also shows that cities and metropolitan areas in New Jersey will also lose moneyunder Title I of the draft proposal.

Pallone voiced concern that the current plan determines eligibility and distributes funding based on incidence rather than prevalence. Under the legislation, only cases reported in the last five years would be counted.This fails to take into account that many HIV/AIDS patients are living longer and require treatment for a longer period of time.

The New Jersey congressman said that the $2.3 million in state cuts also includes cuts to the New Jersey's AIDS Drug Assistance Program (ADAP), one of the most generous prescription drug programs in the nation. Pallone said this would seriously undermine the state's ability to continue providing access to all prescription drugs without any waiting lists.

"For years, New Jersey has been at the forefront of treating this epidemic," Pallone said."As a result, HIV/AIDS patients here are living longer and have a better quality of life.Rather than rewarding our success, we are being punished.This sets up a perverse disincentive for other states that are watching right now.It says to them, you will be penalized for keeping people alive and well.This is not the message Washington should be sending back to the states."

Pallone said New Jersey consistently ranks fifth in the nation in the number of reported HIV/AIDS cases.The state has the highest proportion of AIDS cases among women and ranks third overall in cases of pediatric AIDS.

The Ryan White CARE Act was enacted in 1990 to improve the quality and availability of care for individuals and families affected by HIV/AIDS.It is named after Ryan White, an 18 year old teenager who died of AIDS in 1990.The current authorization for the CARE Act expired on September 30, 2005.Under the Act, more than $1.5 billion in federal funds is distributed to complement the services being provided at the state level and by non-profit organizations.In 2004, New Jersey received approximately $87 million in CARE Act dollars.

Today, Pallone and other members of the House Energy and Commerce Committee sent a letter to House Energy and Commerce Committee Chairman Joe Barton (R-TX) asking that members have ample time to determine the impact the legislation would have on HIV/AIDS patients residing in their communities.(THE LETTER FOLLOWS.)The legislation is expected to come before the Committee later this month.The House adjourns on September 29 until after the November elections.