Bipartisan legislation sponsored by U.S. Sen. Bill Cassidy (R-LA) that aims to help lower prescription drug costs became law on April 23 with President Joe Biden’s signature.
“Listening to patients and people back home, I hear the need to lower the price of prescriptions and that’s the goal,” Sen. Cassidy said. “This bill saves money for both patients and taxpayers.
The Ensuring Innovation Act, S. 415, which Sen. Cassidy introduced on Feb. 24 with original cosponsors U.S. Sens. Tina Smith (D-MN) and Roger Marshall (R-KS), will amend the Federal Food, Drug, and Cosmetic Act (FDCA) regarding the scope of new chemical exclusivity, according to the text of the bill.
Specifically, the bill will help prevent awarding market exclusivity to products that do not represent true innovation and delay cheaper generics from entering the market by replacing the term “active ingredient” with “active moiety” in parts of the FDCA. In turn, this will bolster the U.S. Food and Drug Administration’s ability to refine the meaning of the term in cases where a new drug’s exclusivity is in question, according to Sen. Cassidy’s office.
“We’re closing a loophole so now generics can enter the market, drug prices can fall, and it benefits the patient’s pocketbook as she’s taking medication to benefit her health,” said Sen. Cassidy.
The legislation on March 10 received U.S. Senate approval by unanimous consent and then on April 14 passed the U.S. House of Representatives by voice vote.
“Far too often I hear from families who are being forced to make the impossible decision of choosing between life-saving prescription drugs and other necessities like groceries or rent,” said Sen. Smith. “That’s why I teamed up with Sen. Cassidy to introduce the bipartisan Ensuring Innovation Act, which will stop big pharma from keeping drug costs high by unfairly extending monopolies.”