The U.S. House Ways and Means Committee on April 9 approved legislation that includes a bipartisan bill offered by U.S. Rep. Vern Buchanan (R-FL) to provide improved pricing transparency for certain drugs administered under Medicare.
The Reporting Accurate Drug Prices Act of 2019, H.R. 2087, which Rep. Buchanan introduced on April 4 with chief bill sponsor U.S. Rep. Lloyd Doggett (D-TX), would require all drug manufacturers to submit information to the U.S. Health and Human Services Department (HHS) on the average sales price of drugs administered under Medicare Part B, which covers drugs that usually are not self-administered, according to a summary of the bill provided by Rep. Buchanan.
“Medicare spends billions of taxpayer dollars based on incomplete information,” Rep. Buchanan said. “Requiring full and accurate disclosure of pricing is common-sense reform.”
H.R. 2087 received committee approval as part of the larger Prescription Drug Sunshine, Transparency, Accountability and Reporting (STAR) Act, H.R. 2113, a broader bipartisan bill to increase drug pricing transparency that last week received approval from the House Ways and Means Committee.
Rep. Buchanan noted that current law requires that some manufacturers for drugs covered under Medicare Part B report the average sales price to HHS, however only drug manufacturers with Medicaid rebate agreements are compelled to make such reports.
“Our bipartisan legislation would promote accountability and ensure that payments for Medicare part B drugs are set using all the relevant and necessary data,” said Rep. Buchanan.
The larger bill, H.R. 2113, also remains under consideration by the U.S. House Energy and Commerce Committee.