Preserving Access to Affordable Drugs Act of 2005

Preserving Access to Affordable Drugs Act of 2005 - Amends part D (Voluntary Prescription Drug Benefit Program) of title XVIII (Medicare) of the Social Security Act to permit a State Pharmaceutical Assistance Program, at the option of the State operating it, to act as the authorized representative for any part D eligible individual residing in the State who is enrolled in the Program in order to select one or more preferred prescription drug plans to enroll such an individual, so long as the individual is afforded the authority to decline such enrollment.

Revises the declaration that the coordination requirements for plans providing prescription drug coverage shall not impair or prevent a prescription drug plan (PDP) sponsor or Medicare Advantage (MA) organization from applying cost management tools (including differential payments) under its own methods of operation. Declares further that a PDP sponsor or MA organization may not require a State Pharmaceutical Assistance Program or an RX plan to apply such cost management tools when coordinating benefits.

Amends SSA title XIX (Medicaid) to repeal current requirements governing the coordination of prescription drug benefits.