But before getting help under this program, a person must pay a $500 deductible, and that has discouraged enrollment.

Some panel members said they believed that some health plans shunned residents of low-income black and Hispanic neighborhoods or discouraged enrollment of people with disabilities.

But, it noted, under the law, Medicare officials cannot approve a prescription drug plan that is likely to discourage enrollment by any particular group of beneficiaries.

Last year, the program's first, 30,359 children were tutored, 12.5 percent of those who qualified, amid criticism that the city's communication to parents was inadequate, confusing and often discouraged enrollment.

But in building what they call a fence to safeguard Torah observance, they discourage enrollment in college, and social contacts between men and women.

But Della Warrior, president of the college, says she worries that further belt-tightening could affect the quality of education the college provides and discourage enrollment.

"Parents view workers as uninformed, unconcerned and rude and believe they actively discourage enrollment," the report said.

The inaccuracies, discovered through federal monitoring and supervision of drug plans, could discourage enrollment of sicker beneficiaries with higher drug costs.

"It looks to us as though the benefit changes for 2002 are designed to discourage enrollment of beneficiaries who have health care needs," Ms. Stein said.

Texas would give private companies no financial incentive to discourage enrollment.