Maine Sen. Olympia Snowe announced Monday that she would introduce legislation to protect a Maine program that reduces prescription prices for low- and moderate-income residents who lack insurance.

The bill would authorize Maine and Vermont to continue programs to lower drug prices by providing the drugs at Medicaid prices. They are the only programs of their kind approved by the federal government.

Snowe outlined her intentions after an industry group, Pharmaceutical Research and Manufacturers of America, won a court ruling last month to stop Vermont’s program. The group argued that Congress hadn’t authorized the way Vermont created its program.

Snowe’s bill could be introduced this week and is co-sponsored by Sens. Susan Collins, R-Maine, and James Jeffords, an independent from Vermont.

Because Maine’s program – Healthy Maine Prescriptions – is almost identical and is being challenged in U.S. District Court, it too is in jeopardy. An estimated 225,000 people statewide qualify for the program.

The pharmaceutical industry opposes modifying the federal Medicaid program on a state-by-state basis. A spokesman says Congress could work with President Bush to fashion a prescription-drug benefit for the elderly and disabled who receive Medicare.

Snowe’s bill aims to give congressional approval to drug programs set up before Jan. 31, which would cover Maine and Vermont, along with similar programs set up in the future.

The Maine program mimics the federal Medicaid program by offering drug discounts up to 25 percent for all adults with income up to three times the federal poverty level, or about $25,700 for an individual.

A second benefit offers discounts up to 80 percent for the disabled and low-income adults at least 62 years old who have an income up to 185 percent of the federal poverty level, or about $15,892 for an individual.