Medicare Drug Price Negotiation Act of 2007

If you go by the text of the bill at THOMAS (as of this writing, anyway), it’s co-sponsored by “Mr. Christopher Murphy of Pennsylvania” which is an error that will hopefully be corrected.

On a conference call with reporters this morning, Representative Chris Murphy says that HR4 will “mandate that the federal government, through the Secretary of Health and Human Services, negotiate lower prices with the drug industry.” As it is right now, the federal government is prohibited from negotiating for lower prices, which is tantamount to gifting huge amounts of our tax dollars to pharmaceutical companies.

The Medicare Drug Price Negotiation Act of 2007 is a first step toward fixing the Medicare Part D mess left behind by former 5th Congressional District Representative Nancy Johnson.

Take a look at the bill:

A BILL

To amend part D of title XVIII of the Social Security Act to require the Secretary of Health and Human Services to negotiate lower covered part D drug prices on behalf of Medicare beneficiaries.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the `Medicare Prescription Drug Price Negotiation Act of 2007′.

SEC. 2. NEGOTIATION OF LOWER COVERED PART D DRUG PRICES ON BEHALF OF MEDICARE BENEFICIARIES.

    (a) Negotiation by HHS- Section 1860D-11 of the Social Security Act (42 U.S.C. 1395w-111) is amended by striking subsection (i) (relating to noninterference) and inserting the following:

    `(i) Negotiation of Lower Drug Prices-
      `(1) IN GENERAL- Notwithstanding any other provision of law, the Secretary shall negotiate with pharmaceutical manufacturers the prices (including discounts, rebates, and other price concessions) that may be charged to PDP sponsors and MA organizations for covered part D drugs for part D eligible individuals who are enrolled under a prescription drug plan or under an MA-PD plan.
      `(2) NO CHANGE IN RULES FOR FORMULARIES-
        `(A) IN GENERAL- Nothing in paragraph (1) shall be construed to authorize the Secretary to establish or require a particular formulary.
        `(B) CONSTRUCTION- Subparagraph (A) shall not be construed as affecting the Secretary’s authority to ensure appropriate and adequate access to covered part D drugs under prescription drug plans and under MA-PD plans, including compliance of such plans with formulary requirements under section 1860D-4(b)(3).
      `(3) CONSTRUCTION- Nothing in this subsection shall be construed as preventing the sponsor of a prescription drug plan, or an organization offering an MA-PD plan, from obtaining a discount or reduction of the price for a covered part D drug below the price negotiated under paragraph (1).
      `(4) SEMI-ANNUAL REPORTS TO CONGRESS- Not later than June 1, 2007, and every six months thereafter, the Secretary shall submit to the Committees on Ways and Means, Energy and Commerce, and Oversight and Government Reform of the House of Representatives and the Committee on Finance of the Senate a report on negotiations conducted by the Secretary to achieve lower prices for Medicare beneficiaries, and the prices and price discounts achieved by the Secretary as a result of such negotiations.’.

    (b) Effective Date- The amendment made by subsection (a) shall take effect on the date of the enactment of this Act and shall first apply to negotiations and prices for plan years beginning on January 1, 2008.

4 Responses to “Medicare Drug Price Negotiation Act of 2007”


  1. Grant Thomas

    The Democrats are just blowing smoke in the House. Nothing actually happens unless the Senate goes along and the President signs. Only with the help of the liberal media does it look like they are really doing something. They’re just a bunch of phoney bastards, and they better enjoy their moment back in power because as soon as the people wise back up they will toss them back into the sewer where they belong!

  2. spazeboy

    The people already wised up, hence Democratic control of congress.

    You’re welcome.

  3. fuzzyturtle

    ..people wise back up they will toss them back into the sewer where they belong!

    theres no room its filled with convicted and ousted republican. Wait till Denny Hastert is chucked in, it’ll be a REALLY tight squeeze (he’s a chubby one, that Denny!)

  4. James Whalen

    Some guy named Dennis Chase in New Britain accussed Murphy and Larson of acting like the terrorists because the Ayatollah and the Dems sound exactly alike (that going to Iraq was a mistake and 20,000 more troops escaltes that mistake). This guy wrote a letter to the Editor of the Courant this Saturday morning 1/13/07.

    Hey, Grant and Dennis, there’s a reason why they sound exactly alike, BECAUSE ITS NOT JUST THEM SAYING IT!!!! THE GERMANS HAVE BEEN SAYING IT, OTEHR EUROPEAN POWERS HAVE SAID IT, AND MOST PLACES HAVE ALREADY TAKEN OUT THEIR TROOPS BECAUSE IT WAS A STUPID IDEA!!!

    Sorry I have to yell but I really don’t know what its going to take to get it through your heads. Considering that the British (the very people who brought us our problems from the very beginning in this region starting with Wrold War 1) and the U.S. (with our undying BS love with Isreal) are really the only ones still going with it just shows you that those that started the problems want to solve them.

    We can’t solve this on our own which is why we need the help of nations such as Iran and Syria because not only will they help us get out but maybe our diplomatic situation with them will improve as well. Go ahead, call me a terrorist, but I love my country enough that I don’t want to see any more Americans and Iraqis die because of the blunder our President got us into.