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 commonly known, tog…