MEDS bill

Medicare Extension of Drugs to Seniors (MEDS) Act of 2001 - Amends title XVIII (Medicare) of the Social Security Act (SSA) to add a new part D (Prescription Medicine Benefit for the Aged and Disabled) establishing a voluntary insurance program to provide prescription medicine benefits, including pharmacy services, for eligible individuals (including low-income individuals) who are aged or disabled or have end-stage renal disease, and who elect to enroll during a prescribed period, to be financed from monthly premium payments by enrollees together with Federal appropriations. Creates the Prescription Medicine Insurance Account within the Federal Supplemental Medical Insurance Trust Fund. Directs the Secretary of Health and Human Services to develop and implement an Employer Incentive Program that encourages employers to provide adequate prescription medicine benefits to retired individuals and maintain such existing benefit programs.

Outlines provisions for substantial reductions in the price of prescription drugs for Medicare beneficiaries.

Amends the Federal Food, Drug, and Cosmetic Act, as amended by the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2001, with respect to the importation of certain prescription drugs, to revise testing requirements (granting the Secretary certain waiver discretion) and add approved labeling requirements.

Requires the recipient of a patent to make a reasonable pricing agreement with the Secretary (or the Secretary to waive such an agreement in the public interest) if any Federal agency or any non-profit entity: (1) undertakes federally funded health care research and development; and (2) is to convey or provide a patent or other exclusive right to use such research and development for a drug or other health care technology.