WASHINGTON, DC – Congresswoman Carol Shea-Porter (NH-01) today co-introduced legislation to require the federal government to leverage its bulk purchasing power to negotiate lower Medicare drug prices for seniors.
“During the ten years I have been advocating for Medicare to negotiate the cost of prescription drugs, prices have skyrocketed while pharmaceutical companies have kept raking in astounding profits and left seniors and other taxpayers holding the bill,” said Shea-Porter. “It’s past time for Congress to stand up to Big Pharma and clamp down on these out-of-control drug prices.”
Current law, passed by a Republican majority, prohibits the Secretary of Health and Human Services from negotiating directly with pharmaceutical companies for lower Medicare drug prices. As a result, Medicare pays, on average, 73 percent more than Medicaid and 80 percent more than the Veterans Administration (VA) for brand-name drugs. If Medicare paid the same price for drugs as Medicaid and the VA, the federal government could save between $15.2 billion and $16 billion a year.
This bill is endorsed by the Alliance for Retired Americans, American Federation of Teachers, the Center for Medicare Advocacy, CREDO, Doctors for America, the Economic Policy Institute Policy Center, Families USA, Knowledge Ecology International, Medicare Rights Center, MoveOn, the National Committee to Preserve Social Security and Medicare, Patients for Affordable Drugs, Prescription Justice, Public Citizen, Social Security Works, and The Senior Citizens League.
For a copy of the legislation, click here.
For a fact sheet, click here.