A bill to amend titles II and XVIII of the Social Security Act to include qualified drugs, requiring a physician's prescription or certification and approved by a Formulary Committee, among the items and services covered under the hospital insurance program.

[AI summary unavailable — showing source text] Establishes a comprehensive outpatient drug insurance program under title XVIII (Medicare) of the Social Security Act. Provides that such program will be financed under part A of this title (which presently provides hospital and health benefits for the aged). Establishes a Formulary Committee within the Department of Health, Education, and Welfare supported by an advisory group and directs such committee to: (1) determine which drugs and biologicals shall constitute qualified drugs for purposes of the benefits provided under this Act; (2) determine, with the approval of the Secretary, the allowable benefit of the various quantities, strengths, or dosage forms of any drug or biological determined by the Committee to constitute a qualified drug; and (3) publish and disseminate at least once each calendar year among physicians, pharmacists, and other interested persons, in accordance with directives of the Secretary, (A) an alphabetical list naming each drug or biological by its established name and such other information as the Secretary deems necessary, and (B) an indexed representative listing of such trade or other names by which each such drug or biological is commomly known, tog…