President Biden has been clear in his commitment to lower drug prices. In tomorrow’s State of the Union address, he has the opportunity to once again push for Senate action to pass the comprehensive drug pricing reforms included in the House-passed Build Back Better package. Congress is closer than ever to passing meaningful drug pricing reforms with support from all 50 Democratic senators and the overwhelming majority of voters.
Here is our State of Drug Pricing Reform to demonstrate just how close we are:
1. Congress Is Poised To Act
The comprehensive drug pricing reforms in the Build Back Better Act that passed out of the House have a clear path forward through reconciliation, with the support of all 50 Democratic senators. These reforms will provide relief to millions of patients by authorizing Medicare to negotiate directly with drug companies, limiting year-to-year price increases, and capping out-of-pocket costs. The drug pricing provisions are the most popular element of BBB with support from voters of all political stripes. Democrats in Congress have both a will and a way to pass the reforms. Key members continue to emphasize that lowering drug prices will address high and rising costs and are encouraging the caucus to move forward with the comprehensive drug price provisions, including Medicare negotiation. This month in Virginia, President Biden called for the reforms alongside frontline Democratic Rep. Spanberger.
“Patients are counting on President Biden to use the power of his office and the moment of the State of the Union address to move his party to action to finally pass the comprehensive drug pricing reforms in BBB, including Medicare negotiation,” says P4ADNow’s David Mitchell in advance of tomorrow’s SOTU. “Americans are looking to Congress and the president to deliver on this once-in-a-generation opportunity to provide relief to millions who are struggling under the burden of high drug prices.”
2. Big Pharma Exploits A Broken System, But Americans See Through Its Lies and Propaganda
Congress and the president have the opportunity to take on Big Pharma’s endless greed. In January 2022, pharma hiked the prices of nearly 750 drugs, including 11 of the 15 top-selling products in the United States. Congress can deliver relief to Americans facing rising costs by cracking down on Big Pharma’s price gouging with inflationary price caps and Medicare negotiation. Contrary to pharma’slies, the drug pricing reforms in the Build Back Better Act would increase patient access to medications while maintaining innovation for new drugs. “Running the numbers on pharma’s claims shows just how light reform’s injury to innovation would be,” according to New York Magazine. “There are indications that public and political patience for these shenanigans is at a breaking point and that pharma’s grip on Washington is beginning to loosen.”
3. Patients Demand Reform
Patients have been callingonCongress to finish the job and pass the provisions in the Build Back Better Act through letters, phone calls, opinionpieces and interviewswithreporters. They represent the more than 40 percent of Americans who reported having difficulty affording their medications in the last year and the estimated 5 million Medicare beneficiaries who struggle to access their medications due to price. Of those Americans struggling to afford their prescriptions, Black and Latino seniors, people with lower incomes, and people with chronic conditions are disproportionately hurt. It’s no surprise that among Democrats, Republicans, and independents alike, voters believe that Medicare negotiation is the top priority in the president’s agenda. “As patients, we don’t have to choose between innovation and lower drug prices,” writes Christina Raymond, a Maine patient living with breast cancer and lupus. “Passing the drug pricing reforms in Build Back Better would increase access to medications by decreasing the prices and deliver relief to millions of patients like me,” explains Travis Paulson, a Minnesota patient living with type 1 diabetes.
Leading up to and following the State of the Union, P4ADNow’s David Mitchell and other patient advocates are available to speak with press about the drug pricing reforms.
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Welcome to the Week in Review.
1. “No Brainer”
As Congress continues work on a reconciliation package, Democrats know that they must deliver on one of voters’ most popular priorities: lowering drug prices. Democratic senators agree that allowing Medicare to negotiate lower prices would offer relief to Americans struggling under high costs due to record inflation. All 50 Democratic senators support the comprehensive provisions from the Build Back Better Act. As Senator Joe Manchin says, lowering drug prices is a “no brainer.” Let’s get it done. — (NPR, The New York Times, New York Magazine)
2. We’re Speaking Loud And Clear
Patient advocates called for lower drug prices on both the federal and state levels this week. In a story for the Deseret News, patients shared the difficult decisions they have been forced to make in order to afford their prescription drugs, including rationing medications to lower costs. In op-eds, type 1 diabetes patient Mindy Salango and AARP Delaware State Director Lucretia Young urged Congress to pass the drug pricing provisions in the Build Back Better Act to help patients afford their medications. And in the Bangor Daily News, a Maine resident calls on her state legislators to pass a bill that ties drug prices to those in Canada. Americans know this is the year we can achieve significant reforms for patients, and we’re not backing down until our lawmakers act. — (Deseret News, Newsweek, News Journal, Bangor Daily News)
3. New Year, Same Behavior
This week, Moderna announced revenues of $18.5 billion from its COVID-19 vaccine in 2021, and the company expects even higher revenues this year at about $22 billion. Reminder: Moderna has admitted that 100 percent of the vaccine’s research and development was backed by government funding. Two years after the start of the pandemic, taxpayers are still paying twice for a vaccine we invented. — (FiercePharma)
One more thing: P4AD founder David Mitchell was named one of STAT’s 46 leaders and influencers in health and life sciences. Check out a full list of the influential individuals here.
What’s harder: getting pharma to stop profiteering during a pandemic or Wordle now that The New York Times owns it?
Welcome to the Week in Review.
1. Lower Prices To Lower Costs
As Democrats gear up for election season, Americans are struggling with rising costs. Lawmakers know they can deliver relief by lowering drug prices for patients by passing the drug price reforms from the Build Back Better Act through reconciliation. The drug pricing provisions have support from all 50 Democratic senators, and Senate Democrats resumedtalks on a reconciliation package this week. It’s time for Congress to deliver on their promises to lower drug prices for millions of Americans across the country who can’t afford their medications. Patients are counting on them. — (The Hill)
2. The Maine Issue: Drug Unaffordability
On Tuesday, patient advocate Sabrina Fuhrer testified during a Maine state legislature hearing in support of a bill that would curb pharmaceutical price gouging by tying drug prices in Maine to prices in neighboring Canada. Sabrina, who has a son living with type 1 diabetes, shared her family’s experience with high drug prices and urged the legislature to act to lower prices for Mainers. “Bringing prices for Mainers in line with what Canada pays would provide relief to so many families like mine who are struggling to make ends meet,” Sabrina said. “I urge you to support LD 1636 to protect my family, my patients, and fellow Mainers from the burden of high drug prices.” — (Sun Journal)
3. States’ Focus On Pharma
In addition to federal action to hold Big Pharma accountable, patients need state lawmakers to pass legislation that lowers drug prices. A Boston Globe editorial this week calls on the Massachusetts House to follow the state Senate’s lead and pass a bill that would increase drug price transparency and cap insulin copays. In New Jersey, Gov. Murphy announced his support for several bills that would cap out-of-pocket costs for some medications — but patients need lawmakers to go further and directly address high prices by creating a prescription drug affordability board. States must hold Big Pharma accountable for its abusive pricing practices. — (The Boston Globe, Asbury Park Press)
AUGUSTA — Patient advocate Sabrina Fuhrer will testify today in front of the Maine state legislature’s Joint Standing Committee on Health Coverage, Insurance and Financial Services in favor of LD 1636, a bill that would lower the price of medications for Mainers. Right now, Americans pay nearly 4 times more for brand-name prescription drugs than other wealthy countries. Led by Maine Senator Ned Claxton, LD 1636, An Act To Reduce Prescription Drug Costs by Using International Pricing, would curb pharmaceutical price gouging in Maine by tying drug prices to prices in Canada.
Patient advocate Sabrina Fuhrer, who lives in Old Town, will share her testimony about her 9-year-old son, Dakota, who lives with type 1 diabetes and relies on insulin to survive. Humalog, the type of insulin that Dakota is prescribed, is priced at $649.99 for a one month supply compared to Canada where the same amount is priced at $60.
“Patients in America pay more for prescription drugs than anywhere else in the world,” Sabrina, who is a frontline COVID-19 screener, will say to the committee. “In Canada, a vial of my son’s insulin costs less than $50. If I could obtain that price, I’d save hundreds of dollars a month and have so much peace of mind. Bringing prices for Mainers in line with what Canada pays would provide relief to so many families like mine who are struggling to make ends meet.”
In Maine, almost 1 in 3 adults have cut pills in half, skipped does, or rationed medications. Last year, Mainers paid over $170 million more on just 25 drugs, with the highest cost increases compared to the previous year.
“We need change,” Sabrina will conclude. “I urge you to support LD 1636 to protect my family, my patients, and fellow Mainers from the burden of high drug prices.”
Requiring the state to identify 250 prescription drugs that will be subject to a referenced rate.
Requiring health plans to sell referenced drugs at a cost that is equal to or lower than the reference rate.
LD 1636 builds on P4ADNow’s previous work in Maine including the passage of the state’s drug affordability board (LD 1499) and importation program (LD 1272) in 2019. In the 2021 session, Sabrina testified in support of legislation to create an insulin safety net program (LD 673) and a price transparency measure (LD 686). Both bills are now law.
The hearing and Sabrina’s testimony can be watched here today at 10:00 AM ET. Written testimony is available upon request.
Following the hearing, the bill will be considered as part of the committee’s work session.
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On the eve of the Super Bowl, here’s a not-so-fun fact: The revenue Pfizer earned from its vaccine last year is more than DOUBLE the average yearly revenue of every single NFL team COMBINED.
Welcome to the Week in Review.
1. 91 Organizations, 1 Message
More than 90 groups sent a letter to Senate Democrats this week urging them to advance a reconciliation package that includes the drug pricing reforms in the Build Back Better Act. The signers of the letter include major unions, disease advocacy groups, and organizations representing patients, consumers, seniors, employers, and physicians. “Right now, you have a time-limited opportunity to deliver relief to millions of Americans,” the letter reads. “Congress can pass these drug pricing reforms in short order and move the nation in a new direction.” — (Politico)
2. Congress Can Act Now
At a Thursday event, President Biden, Rep. Spanberger, and Health and Human Services Secretary Becerra highlighted how the drug pricing provisions in the Build Back Better Act will help lower prescription drug prices for Americans. The president was introduced by middle school student and type 1 diabetes patient Joshua Davis, whose family spends thousands of dollars per year on insulin. Americans are paying more for prescription drugs than people in peer countries, and President Biden and congressional Democrats know that rising costs is a kitchen table issue. The provisions in the Build Back Better Act have the support of the president and all 50 Senate Democrats. It’s time to get it done. — (CNN)
3. Democratic Senators In Agreement
As the inflation rate continues to rise, Democratic senators know that lowering drug prices will help deliver immediate financial relief to Americans. “The best antidote you can do here in the Senate from the standpoint of fighting inflation is really … Number one, cutting costs, which is what I’m all about with the prescription drug bill,” says Senate Finance Committee Chairman Wyden. “One of the things I’d like to see, and the things that should’ve happened already, is prescription drug negotiations, lowering health care costs and prescription drug costs for families,” says Senator Cortez-Masto. “It should’ve been done already.” We couldn’t agree more. — (Punchbowl News)
4. High Prices Harm Patients Everywhere
Patient advocates and community leaders described the impact of high drug prices on patients and the need for Congress to pass drug pricing reforms. Marcus LaCour shared his story of living with type 1 diabetes and being forced to ration his insulin due to high prices with several mediaoutlets this week. State and local elected officials urged Congress to act immediately to lower prices for patients. “Congress can help right now to address these high drug prices by allowing Medicare to negotiate the price of prescription drugs on behalf of patients,” writes West Virginia state legislator Chad Lovejoy. Jeff Grayzel, a former New Jersey mayor who spent 13 years working for a drug company, explains, “The truth is, drug pricing reforms will lower drug prices, increase access to medication, and give millions of Americans the financial relief they desperately need.” — (Ohio Capital Journal, News 5 Cleveland, Charleston Gazette-Mail, TAPintoBordentown, The Kingstree News, Bay to Bay News)
5. States Continue Drug Pricing Momentum
In state legislatures, lawmakers worked to protect patients from high drug prices. The Massachusetts state Senate passed a bill that would allow the state to review unreasonable prices, develop programs to make expensive drugs more affordable, and limit out-of-pocket costs for certain medications, including insulin. In New Jersey, state senator Troy Singleton wrote an op-ed urging his colleagues to advance a bill that would establish a prescription drug affordability board in the state. We’re thankful for all state legislators who are champions of drug pricing reform — patients are counting on you to keep fighting. — (MassLive, Star-Ledger)
BOSTON — The following statement was issued by Lucy Westerfield, deputy executive director of Patients For Affordable Drugs Now, following the Massachusetts state Senate passage of S 2651, An Act relative to pharmaceutical access, costs, and transparency, to lower drug prices:
“We applaud the Massachusetts state Senate for passing S 2651 to rein in rising prescription drug costs for Massachusetts patients. Every day, patients are forced to choose between medications they need and paying for groceries. They need relief. This bill will empower the state to review unreasonable drug prices and develop programs to make expensive drugs more affordable for Bay Staters, especially those disproportionately impacted by high drug prices. It’s time for the full legislature to stand up for patients and send S 2651 to Governor Baker’s desk — patients cannot wait any longer.”
Authorizing the state’s Health Policy Commission to conduct affordability reviews and work with pharmaceutical manufacturers to create a process to increase patient access to necessary medications if prices are deemed excessive.
Increasing oversight over pharmacy benefit managers through licensure and regulation.
Providing cost assistance programs to improve affordability for medications used to treat chronic conditions that disproportionately impact people of color or are risk factors for increased COVID-19 complications.
Increasing drug price transparency.
In 2021, patient Karolina Chorvath testified in support of a previous version of the legislation.
S 2651 builds on P4ADNow’s previous work in Massachusetts to pass legislation permitting the Medicaid program to negotiate supplemental rebates to lower drug spending for patients on Medicaid.
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Groups Representing Patients, Consumers, Seniors, Unions, Small Businesses, Large Employers, And Physicians And Disease Advocacy Groups Align On Rx Reforms In BBB Act
WASHINGTON, D.C. — As the Senate considers the terms of a reconfigured reconciliation package, 91 organizations representing patients, consumers, seniors, unions, small businesses, large employers, and physicians and disease advocacy groups sent a letter to all 50 Senate Democrats urging them to take immediate action to advance a reconciliation package that includes the reforms to lower prescription drug prices in the Build Back Better Act.
“These drug pricing reforms are not controversial for the people of America; they are the most popular element of BBB. Over 80 percent of Americans support them — Democrats, Republicans, and independents alike,” said David Mitchell, a patient with incurable blood cancer whose drugs carry a list price of more than $900,000 per year and founder of Patients For Affordable Drugs Now. “The provisions before the Senate will help restore balance to ensure patients get the innovation they need at prices they can afford. All 50 Senate Democrats support the legislation; this is Congress’ chance to deliver on years of promises. This opportunity won’t come again soon.”
“Millions of AARP members have told us they are sick of Big Pharma ripping them off by charging three times more for medicines in the U.S.,” said Nancy A. LeaMond, Executive Vice President and Chief Advocacy and Engagement Officer at AARP. “Congress has an historic opportunity to finally bring down the price of prescription drugs and help address the impacts of inflation. Voters are watching, and they are tired of waiting for Congress to act.”
Just last week, 40 House Democrats sent a letter to congressional leadership calling on their colleagues to lower drug prices by passing the drug pricing reforms already agreed to in the Build Back Better Act.
The drug price provisions under consideration will, for the first time, authorize Medicare to negotiate prices directly for some of the most expensive prescription medicines, including insulin; institute a hard cap on out-of-pocket drug costs for Medicare beneficiaries and limit copays on insulin for millions of Americans to $35 each month; and limit annual price increases to stop price gouging by drug corporations.
“If Congress lets the pharmaceutical industry overcharge Americans and dictate astronomical prices for brand-name drugs in our country, then patients, workers, employers, and taxpayers will continue to shoulder the burden of prices that are nearly three times what people in other comparable nations pay,” the letter reads. “These reforms are long overdue. We urge swift action. Now is the time to get the job done.”
Read the full letter and list of signers here and below.
February 7, 2022
Dear Senator,
On behalf of more than 90 organizations representing patients, consumers, seniors, unions, small businesses, large employers, physicians, and disease advocacy groups, we urge the Senate to immediately advance a reconciliation package that includes the reforms to lower prescription drug prices agreed to in the Build Back Better Act.
Rising prices are a top concern for American families and employers. Even as we approach the third year of a pandemic, drug companies began the new year by hiking the prices of almost 750 life-saving and life-sustaining medications, undeterred by the financial hardship and health challenges facing Americans today.
If Congress lets the pharmaceutical industry overcharge Americans and dictate astronomical prices for brand-name drugs in our country, then patients, workers, employers, and taxpayers will continue to shoulder the burden of prices that are nearly three times what people in other comparable nations pay. Congress has repeatedly promised to address this problem, and the American people need the help now more than ever.
Right now, you have a time-limited opportunity to deliver relief to millions of Americans by permitting Medicare to negotiate for lower drug prices, capping copays and out-of-pocket costs for beneficiaries, and limiting annual price increases on life-saving and life-sustaining drugs to the rate of inflation for all Americans. More than 80 percent of Americans support these reforms — Democrats, Republicans, and independents alike. They are the most popular element of the Build Back Better Act. In the face of slim margins in the Senate, the current path to pass all of these critical reforms is through reconciliation. These reforms already have the support of all 50 Senate Democrats. Congress can pass these drug pricing reforms in short order and move the nation in a new direction, providing savings to patients, taxpayers, workers, employers, and the federal and state governments.
Enacting the drug price reforms agreed upon in the Build Back Better package will mark a truly historic shift in U.S. drug pricing policy. Not only will it break the pharmaceutical industry’s unilateral power to dictate prices to the American people, it will save lives, improve health, fight inflation, and put more money back into the pockets of American seniors, workers, and businesses.
These reforms are long overdue. We urge swift action. Now is the time to get the job done.
Signed:
AARP AFL-CIO AFSCME Alliance for Retired Americans American Academy of Neurology American Federation of Teachers American Medical Student Association Americans for Democratic Action, Southern California Be a Hero Blue Shield of California Centennial State Prosperity Center for American Progress Center for Medicare Advocacy Center for Popular Democracy Citizen Action of Wisconsin Colorado Consumer Health Initiative Communications Workers of America (CWA) Community Catalyst Consumer Action COVID Survivors for Change Doctors for America Economic Alliance for Michigan Families USA Florida #insulin4all Florida Alliance for Healthcare Value Generation Patient Greater Philadelphia Business Coalition on Health Health Access California Health Action New Mexico Health Care For All Massachusetts Health Care Voices Health Care Voter Honest Arizona Houston Business Coalition on Health Indivisible Initiative for Medicines, Access, & Knowledge (I-MAK) Insulin For Life International Association of Machinists and Aerospace Workers International Brotherhood of Teamsters International Union, United Automobile, Aerospace & Agricultural Implement Workers of America (UAW) Jewish Alliance for Law and Social Action Justice in Aging Kentuckiana Health Collaborative Knowledge Ecology International (KEI) KS Business Group on Health Lehigh Valley Business Coalition on Healthcare (LVBCH) Little Lobbyists Lower Drug Prices Now (LDPN) Main Street Alliance Maine Consumers for Affordable Health Care Maryland Citizens’ Health Initiative Massachusetts #insulin4all Chapter Medicare Rights Center Metro New York Health Care for All Midwest Business Group on Health MomsRising Montana Association of Health Care Purchasers National Alliance of Healthcare Purchaser Coalitions National Committee to Preserve Social Security and Medicare National Education Association National Multiple Sclerosis Society Nevada Business Group on Health New Jersey Citizen Action North Carolina Business Group on Health Our Revolution Patients For Affordable Drugs Now Pennsylvania Health Access Network People’s Action Pittsburgh Business Group on Health PrEP4All Prescription Justice Progressive Democrats of America Protect Our Care Public Citizen Purchaser Business Group on Health Rhode Island Business Group on Health Salud y Fármacos SEIU Silicon Valley Employers Forum Social Security Works T1International TakeAction Minnesota Tennessee Health Care Campaign The Alliance (WI, IL and IA) UnidosUS Action Fund UNITE HERE United Mine Workers of America United States of Care Washington Health Alliance WellOK – The Northeastern Oklahoma Business Coalition West Health Institute
Cc: The Honorable Joseph R. Biden, Jr., President of the United States The Honorable Nancy Pelosi, Speaker of the U.S. House of Representatives
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We think Big Pharma should follow Tom Brady’s lead and retire its price hikes.
Welcome to the Week in Review.
1. Blockbuster Prices Reach New Heights
The latest report from P4AD takes a closer look at the 742 price hikes taken by drug companies already this year. The hikes, which are concentrated among the top-selling products in the United States, demonstrate why congressional action is urgently needed to address skyrocketing drug prices. Among the price increases are medications like Xarelto and Januvia, which are some of the most costly drugs for Medicare Part D and would likely be eligible for negotiation if the drug pricing reforms in the Build Back Better Act are signed into law. “I work three jobs to be able to afford the astronomical prices of my cancer and diabetes drugs,” says Steven Hadfield of Charlotte. “The price increases to Imbruvica and Januvia just make it that much harder to afford the medications I need.” — (P4ADNow)
2. Drug Pricing Provisions Are Popular
This week, 40 House Democrats sent a letter to congressional leadership calling on their colleagues to lower drug prices by passing the reforms already agreed to in the Build Back Better Act. Tackling high drug prices is one of the most popular issues across the country — recent polls found that over 70 percent of Arizona and West Virginia voters support allowing Medicare to negotiate lower prices. Congress must rebalance our drug pricing system and help Americans get the medications we need. Patients are depending on it. — (The Hill, Charleston Gazette-Mail, ProtectOur Care, Bloomberg, The Exponent Telegram)
3. “How Do You Justify That?”
Patients continued to speak out about outrageous drug prices this week. In a viral TikTok video, Abigail Gingerale shared a phone call with a pharmacist who said her medication to treat narcolepsy cost over $18,000 for a month’s supply. In a letter to the editor, breast cancer and lupus patient Christina Raymond described why she needs Congress to pass drug pricing reform. “Each round of chemo costs $10,000, a chemo shot called Neulasta is priced at $24,000 every two months, and Lupron — a hormone therapy I took until last year — costs $1,500 a month,” Christina writes. “It’s time for Congress to pass these badly needed drug pricing reforms to deliver the innovation we need at prices we can afford.” — (Newsweek, Lewiston Sun Journal)
