Democratic lawmakers have said for months that legislation to lower prescription drug prices would be part of President Joe Biden's early legislative agenda, according to The Wall Street Journal. But no drug pricing legislation was included in the American Families Plan, the president's major legislative package released April 28, The Hill reported.
Five updates on the state of federal drug-pricing legislation:
- Giving the federal government the power to negotiate drug prices in Medicare is the top legislative priority for Democrats when it comes to drug pricing. H.R.3, House Democrats' signature drug-pricing measure, would allow the HHS secretary to negotiate lower prices, according to The Hill. The Congressional Budget Office has estimated that allowing the government to negotiate Medicare drug prices would generate roughly $456 billion over 10 years, according to the Journal. Former President Donald Trump also backed the idea as a presidential candidate in 2016, the Journal reported.
- In his April 28 speech to a joint session of Congress, President Biden called for Congress to pass legislation this year that would lower prescription drug prices, but no drug-pricing legislation was included in the American Families Plan, his legislative package that includes proposals on paid leave and child care, according to The Hill.
"Let’s give Medicare the power to save hundreds of billions of dollars by negotiating lower drug prescription prices. Let’s get it done this year," the president said. - House Speaker Nancy Pelosi has said lowering prescription drug prices would be a top priority for House Democrats to be included in the American Families Plan, the Journal reported. Democrats could still include it in the package when it makes its way through the House and Senate, according to The Hill.
- Democrats have disagreed over how to use the savings that would be generated by lower Medicare drug prices, the Journal reported. Some Democratic leaders have said they want to use the savings to reduce costs for people getting healthcare through the Affordable Care Act, according to the Journal. President Biden said April 28 that the government should use the money to "strengthen the Affordable Care Act — expand Medicare coverage and benefits — without costing taxpayers an additional penny," The Hill reported. Others want to spend the money on Medicare enhancements, such as adding vision, hearing and dental benefits and lowering the eligibility age, The Hill reported. Many Republicans disagree with Democrats on what kind of restraints and penalties to put on drugmakers.
- Drugmakers argue that allowing the government to negotiate drug prices in Medicare would cause them to have less money to develop new treatments, the Journal reported. The Pharmaceutical Research and Manufacturers of America, the drug industry's top lobbying group, released an alternative drug-pricing agenda earlier in April with far fewer sweeping changes that calls on insurers to do more to cover costs, The Hill reported.