The new authority granted to the U.S. Department of Health and Human Services (HHS) to implement government price controls over prescription drugs will lead to less cures, higher drug launch prices, and expanded reliance on China’s drug development and manufacturing supply chains, says U.S. Rep. Cathy McMorris Rodgers (R-WA).
Authorized by the Inflation Reduction Act of 2022, which was signed into law on Aug. 16 by President Joe Biden, the department’s new duties must be implemented with transparency, according to an Aug. 29 letter Rep. McMorris Rodgers and U.S. Rep. Kevin Brady (R-TX) sent to HHS Secretary Xavier Becerra.
“Our fear is that drug companies will divert more resources to complying with and gaming this new law than investing in the next generation of cures here in the U.S.,” the members wrote. “This legislation would be made even more damaging by a lack of transparency or the further politicization of an already tenuous process.”
Rep. McMorris Rodgers and her colleague requested Becerra provide additional information and regular congressional briefings on implementation of the new law, as well as timely information and a commitment to transparency.
“We, and the seniors who rely on medications, [should] know how you plan to execute this law and the impact those decisions will have on their access to innovative medicines,” they wrote.
The congressmen also asked Secretary Becerra to answer a series of questions about the law’s implementation, including who will be designated to lead the process and whether this person has prior experience setting prices for pharmaceutical products; how HHS will plan for and respond to drug shortages if the price setting process leads to less access to necessary drugs; and how the department will prioritize and incentivize domestic manufacturing while preventing drug development and manufacturing from being transferred to China, among several others.
As ranking members of the U.S. House Energy and Commerce Committee and the U.S. House Ways and Means Committee, respectively, Rep. McMorris Rodgers and Rep. Brady also requested a monthly briefing to update them on plans and progress in implementing the Inflation Reduction Act.