The Week in Review in Prescription Drug Pricing

Welcome to the Week in Review.

1. 1,100 Reasons To Pass Medicare Negotiation

• A new analysis from P4AD reveals that drug companies have raised the prices of 1,100 drugs so far this year, with 90 percent of hikes over the rate of inflation. This includes hikes on 21 of 25 of the most costly drugs for Medicare Part D and some of the most expensive drugs for Part B. Year after year, drug corporations keep raising prices at will. Our lawmakers have the power to protect patients by passing provisions to allow Medicare to negotiate lower prices for drugs covered by both Part B and D. Congress must act. — (P4AD)

2.  “It’s Long Overdue”

• Momentum for Medicare negotiation continues to grow in Washington. President Biden tweeted that his Build Back Better plan includes allowing Medicare to negotiate lower drug prices, and White House senior adviser Anita Dunn included Medicare negotiation in her briefing to lawmakers this week. Meanwhile on Capitol Hill, Rep. Jason Crow (CO-06) wrote an op-ed urging his colleagues to “take bold action on drug pricing,” and Rep. Susan Wild (PA-07) delivered a passionate speech calling for Medicare negotiation in the reconciliation bill. We are grateful to all lawmakers fighting for patients’ right to affordable prescription drugs. — (Axios, Sentinel Colorado, P4ADNow)

3. Patients Save With H.R. 3

• Passing H.R. 3 and allowing Medicare to negotiate drug prices would result in significant savings for patients and taxpayers, according to a new analysis from the Center for American Progress. The authors estimate that H.R. 3 could save patients and taxpayers $176 on a 30-day supply of the diabetes drug Trulicity, and nearly $100,000 on a three-week course of Acthar, a drug that treats multiple sclerosis and other diseases. H.R. 3 will deliver the critical drug pricing reforms that patients need. Let’s get it done. — (Center for American Progress)

One more thing: A new coalition was launched in Virginia today pushing the state legislature to create a prescription drug affordability board, and patient Kat Schroeder shared her story of rationing insulin due to its high price.

Olivia, we have jealousy, jealousy, come do drug pricing next!
Welcome to the Week in Review.

1. Innovation Requires Competition

• On Tuesday, P4AD founder David Mitchell testified in front of the Senate Judiciary Subcommittee on Competition Policy, Antitrust, and Consumer Rights, explaining how anticompetitive pharmaceutical industry practices keep drug prices high and hinder innovation. “If drug companies can block competition and raise prices at will on old drugs to drive profits and executive bonuses, they have far less incentive to take risk and invest in R&D to find innovative new drugs,” Mitchell said. “We need comprehensive reforms, including allowing Medicare to negotiate lower drug prices. Medicare negotiation is supported by 90 percent of Americans. It’s time to pass it.” — (P4AD)

2. Senate Makes Moves

• Democrats are expected to include Medicare negotiation in the next budget reconciliation bill to both deliver on a top priority for a majority of Americans and help offset the costs of other provisions in the package. Senate Finance Chairman Ron Wyden said that Democrats are “moving aggressively” to protect Americans from high drug prices, and Senator Joe Manchin remarked that allowing Medicare to negotiate “should have been done years ago.” Fifteen vulnerable House Democrats also sent a letter this week asking congressional leadership to include Medicare negotiation in the budget bill. Momentum is building to deliver real change for the American people. Let’s keep it going. — (Kaiser Health News)

3. Unity

• Nearly 40 health care, business, labor, and consumer organizations — including the AFL-CIO, Families USA, and P4ADNow — united to call onCongress to pass legislation to allow Medicare to negotiate lower drug prices. The burden of out-of-control drug prices impacts every person in this country. Collectively, we’re saying: Enough is enough. — (The Hill)

4. Patients Pay The Price

• This week, New Jersey patient advocate Elizabeth Gallagher, who lives with type 2 diabetes, joined Rep. Andy Kim at an event calling on Congress to allow Medicare negotiation. Elizabeth and patient advocate Lisa Wetzel-Trainor, who lives with fibromyalgia, PTSD, and ADHD, also shared their experiences with high drug prices with NJ Spotlight News. Patients in New Jersey and across the country have been waiting too long for relief. Lawmakers must stand up and defend patients, not drug industry greed. — (NJ Spotlight News)

5. Eyes On Maine

• When the Maine state legislature reconvenes on Monday, lawmakers must override the governor’s veto of two critical bills that would lower prescription drug prices for Mainers, writes Senate President Troy Jackson in an op-ed. The bills, passed by the legislature in June, would prohibit drug makers from making excessive price hikes. “It’s time for elected officials to do what’s right for Mainers and put an end to sky-high prescription drug prices,” Jackson writes. — (St. John Valley Times)

NEW JERSEY — Nearly 40 labor, business, consumer, and health care organizations sent a letter this week calling on Congress to pass legislation to allow Medicare to negotiate lower drug prices. The letter praises H.R. 3, the House bill that would allow Medicare to negotiate drug prices, as well as Senate Finance Committee Chairman Ron Wyden’s recent guiding principles for drug pricing reform, which are expected to be considered for inclusion in the Democrats’ reconciliation budget package later this year.

“We hope, as a member of the Senate Finance Committee, Senator Menendez recognizes that major labor, business, consumer, and health care groups in this nation all agree that Medicare must have the ability to negotiate lower drug prices for Americans,” said David Mitchell, a cancer patient and founder of Patients For Affordable Drugs Now. “Nine out of 10 Americans support this policy. We are calling on Senator Menendez to stand with patients against Big Pharma’s lobbying machine.” 

Big Pharma has been spreading lies to try to stop drug pricing reform from moving forward — the pharmaceuticals and health products industry spentabout $92 million on lobbying in the first quarter of the year, more than any other industry.

The letter, addressed to Senate Majority Leader Chuck Schumer, Speaker Nancy Pelosi, Senate Minority Leader Mitch McConnell, and House Minority Leader Kevin McCarthy, asks them to:  

• Authorize Medicare to negotiate drug prices, especially for high-cost drugs, and allow the Department of Health and Human Services to do so on behalf of all payers. 
  • The letter calls for negotiated prices to consider key components including: research and development costs, including prior federal support; data on net prices, sales across all markets, and projected revenue; costs of production and distribution; and data on comparative effectiveness.
• Cap price increases on existing drugs to the rate of inflation for all Medicare and private plans.
• Redesign Part D to lower prices and costs for beneficiaries and taxpayers. That includes a reduction in out-of-pocket costs and overall costs, including holding the line on insurance premiums for consumers, regardless of coverage type or insurance status. 

“This year provides the best opportunity in decades to pass legislation to allow Medicare to negotiate lower drug prices and bring meaningful relief to millions of Americans who struggle to afford their prescription drugs,” Mitchell continued. “As President Biden said, ‘Let’s do it now.’”

Patients For Affordable Drugs Now is one of nearly 40 organizations that signed onto the letter, which was led by Families USA. In an effort to pass legislation to allow Medicare to negotiate, P4ADNow recently launched a campaign calling on Senator Menendez to support policy reform that would bring relief to New Jerseyans.

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CALIFORNIA — Nearly 40 labor, business, consumer, and health care organizations sent a letter this week calling on Congress to pass legislation to allow Medicare to negotiate lower drug prices. The letter praises H.R. 3, the House bill that would allow Medicare to negotiate drug prices, as well as Senate Finance Committee Chairman Ron Wyden’s recent guiding principles for drug pricing reform, which are expected to be considered for inclusion in the Democrats’ reconciliation budget package later this year.

“We hope Rep. Peters recognizes that major labor, business, consumer, and health care groups in this nation all agree that Medicare must have the ability to negotiate lower drug prices for Americans,” said David Mitchell, a cancer patient and founder of Patients For Affordable Drugs Now. “Nine out of 10Americans support this policy. We are calling on Rep. Peters to stand with patients against Big Pharma’s lobbying machine.” 

Rep. Peters refuses to support H.R. 3, a bill that would allow Medicare to negotiate lower drug prices. He touted his support for the bill in 2019 but more recently came out in opposition, threatening to derail his party’s budget bill if it includes the legislation. 

Big Pharma has been spreading lies to try to stop drug pricing reform from moving forward — the pharmaceuticals and health products industry spentabout $92 million on lobbying in the first quarter of the year, more than any other industry.

The letter, addressed to Senate Majority Leader Chuck Schumer, Speaker Nancy Pelosi, Senate Minority Leader Mitch McConnell, and House Minority Leader Kevin McCarthy, asks them to:  

• Authorize Medicare to negotiate drug prices, especially for high-cost drugs, and allow the Department of Health and Human Services to do so on behalf of all payers. 
  • The letter calls for negotiated prices to consider key components including: research and development costs, including prior federal support; data on net prices, sales across all markets, and projected revenue; costs of production and distribution; and data on comparative effectiveness.
• Cap price increases on existing drugs to the rate of inflation for all Medicare and private plans.
• Redesign Part D to lower prices and costs for beneficiaries and taxpayers. That includes a reduction in out-of-pocket costs and overall costs, including holding the line on insurance premiums for consumers, regardless of coverage type or insurance status. 

“This year provides the best opportunity in decades to pass legislation to allow Medicare to negotiate lower drug prices and bring meaningful relief to millions of Americans who struggle to afford their prescription drugs,” Mitchell continued. “As President Biden said, ‘Let’s do it now.’”

Patients For Affordable Drugs Now is one of nearly 40 organizations that signed onto the letter, which was led by Families USA. In an effort to pass legislation to allow Medicare to negotiate, P4ADNow recently launched a campaign calling on Rep. Peters to support policy reform that would bring relief to Californians.

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DELAWARE — Nearly 40 labor, business, consumer, and health care organizations sent a letter this week calling on Congress to pass legislation to allow Medicare to negotiate lower drug prices. The letter praises H.R. 3, the House bill that would allow Medicare to negotiate drug prices, as well as Senate Finance Committee Chairman Ron Wyden’s recent guiding principles for drug pricing reform, which are expected to be considered for inclusion in the Democrats’ reconciliation budget package later this year.

“We hope, as a member of the Senate Finance Committee, Senator Carper recognizes that major labor, business, consumer, and health care groups in this nation all agree that Medicare must have the ability to negotiate lower drug prices for Americans,” said David Mitchell, a cancer patient and founder of Patients For Affordable Drugs Now. “Nine out of 10 Americans support this policy. We are calling on Senator Carper to stand with patients against Big Pharma’s lobbying machine.” 

Big Pharma has been spreading lies to try to stop drug pricing reform from moving forward — the pharmaceuticals and health products industry spentabout $92 million on lobbying in the first quarter of the year, more than any other industry.

The letter, addressed to Senate Majority Leader Chuck Schumer, Speaker Nancy Pelosi, Senate Minority Leader Mitch McConnell, and House Minority Leader Kevin McCarthy, asks them to:  

• Authorize Medicare to negotiate drug prices, especially for high-cost drugs, and allow the Department of Health and Human Services to do so on behalf of all payers. 
  • The letter calls for negotiated prices to consider key components including: research and development costs, including prior federal support; data on net prices, sales across all markets, and projected revenue; costs of production and distribution; and data on comparative effectiveness.
• Cap price increases on existing drugs to the rate of inflation for all Medicare and private plans.
• Redesign Part D to lower prices and costs for beneficiaries and taxpayers. That includes a reduction in out-of-pocket costs and overall costs, including holding the line on insurance premiums for consumers, regardless of coverage type or insurance status. 

“This year provides the best opportunity in decades to pass legislation to allow Medicare to negotiate lower drug prices and bring meaningful relief to millions of Americans who struggle to afford their prescription drugs,” Mitchell continued. “As President Biden said, ‘Let’s do it now.’”

Patients For Affordable Drugs Now is one of nearly 40 organizations that signed onto the letter, which was led by Families USA. In an effort to pass legislation to allow Medicare to negotiate, P4ADNow recently launched a campaign calling on Senator Carper to support policy reform that would bring relief to Delawareans.

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OREGON — Nearly 40 labor, business, consumer, and health care organizations sent a letter this week calling on Congress to pass legislation to allow Medicare to negotiate lower drug prices. The letter praises H.R. 3, the House bill that would allow Medicare to negotiate drug prices, as well as Senate Finance Committee Chairman Ron Wyden’s recent guiding principles for drug pricing reform, which are expected to be considered for inclusion in the Democrats’ reconciliation budget package later this year.

“We hope Rep. Schrader recognizes that major labor, business, consumer, and health care groups in this nation all agree that Medicare must have the ability to negotiate lower drug prices for Americans,” said David Mitchell, a cancer patient and founder of Patients For Affordable Drugs Now. “Nine out of 10Americans support this policy. We are calling on Rep. Schrader to stand with patients against Big Pharma’s lobbying machine.” 

Rep. Schrader has refused to support H.R. 3, a bill that would allow Medicare to negotiate lower drug prices, in this Congress. He originally said he was proud of his vote in support of H.R. 3 in 2019, but since then has raised concerns about the legislation, even suggesting Congress take a less “robust”approach to drug pricing reform, contrary to the wishes of 90 percent of Americans. 

Big Pharma has been spreading lies to try to stop drug pricing reform from moving forward — the pharmaceuticals and health products industry spentabout $92 million on lobbying in the first quarter of the year, more than any other industry.

The letter, addressed to Senate Majority Leader Chuck Schumer, Speaker Nancy Pelosi, Senate Minority Leader Mitch McConnell, and House Minority Leader Kevin McCarthy, asks them to:  

• Authorize Medicare to negotiate drug prices, especially for high-cost drugs, and allow the Department of Health and Human Services to do so on behalf of all payers. 
  • The letter calls for negotiated prices to consider key components including: research and development costs, including prior federal support; data on net prices, sales across all markets, and projected revenue; costs of production and distribution; and data on comparative effectiveness.
• Cap price increases on existing drugs to the rate of inflation for all Medicare and private plans.
• Redesign Part D to lower prices and costs for beneficiaries and taxpayers. That includes a reduction in out-of-pocket costs and overall costs, including holding the line on insurance premiums for consumers, regardless of coverage type or insurance status. 

“This year provides the best opportunity in decades to pass legislation to allow Medicare to negotiate lower drug prices and bring meaningful relief to millions of Americans who struggle to afford their prescription drugs,” Mitchell continued. “As President Biden said, ‘Let’s do it now.’”

Patients For Affordable Drugs Now is one of nearly 40 organizations that signed onto the letter, which was led by Families USA. In an effort to pass legislation to allow Medicare to negotiate, P4ADNow recently launched a campaign calling on Rep. Schrader to support policy reform that would bring relief to Oregonians.

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MASSACHUSETTS — Patient advocate Karolina Chorvath, who lives with Crohn’s disease, shared her story about living with high drug prices today during a Joint Committee on Health Care Financing hearing, testifying in support of House Bill 729 and Senate Bill 771. This legislation expands the authority of the Health Policy Commission to allow it to review the prices of expensive drugs and engage with drug corporations to lower the costs of medications that are deemed unreasonable or excessive. 

To manage her Crohn’s disease and arthritis, Chorvath takes Stelara, which costs between $30,000 and $70,000 a year. She also takes an injectable for severe chronic migraines that costs $300 to $600 per treatment. 

“Like so many others, I live at the mercy of drug corporations,” Chorvath, a Boston-based journalist, told the committee. “I already have to deal with the excruciating pain and uncertainty of living with multiple chronic conditions … It is unacceptable to leave any patient wondering if they can afford to live.” 

H.729, An Act to ensure prescription drug cost transparency and affordability, and S.771, An Act relative to pharmaceutical access, costs, and transparency, would: 

• Authorize the Health Policy Commission to review the costs for the most expensive drugs and drugs that have had rapid price increases;
• Engage drug manufacturers in lowering costs if their prices are deemed unreasonable or excessive;
• Implement cost assistance programs to lower the costs of several medications, including inhalers and insulin;
• Improve price transparency to better understand what is driving high prices;
• Increase oversight of pharmacy benefit managers through state licensure.

“That is why reforms like those proposed are so important,” Chorvath said. “They take on the high cost of prescription drugs and would bring some relief to patients like me.”

After today’s hearing, the committee will consider whether to report out the bills favorably.

You can watch the recording of the hearing here.

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Whew — what an exciting year this week has been!
Welcome to the Week in Review.

1. Oversight Committee Sheds Light on Big Pharma’s Big Lie

• The House Committee on Oversight and Reform’s latest report undercutsthe drug industry’s biggest lie: That it needs high drug prices to fund meaningful innovation. The report found that Big Pharma spends billions more on stock buybacks, dividends, and executive pay than on research and development. The committee announced the report at a press callhosted by Chairwoman Carolyn B. Maloney, alongside Speaker Nancy Pelosi and Rep. Peter Welch. Patient advocate Lynn Scarfuto joined the lawmakers to tell reporters, “Congress has the power to change our broken system by passing H.R. 3 and allowing Medicare to negotiate drug prices so we can have the innovative medications we need at prices we all can afford.” — (The Hill)

2. President Biden Doubles Down

• With a new executive order signed Friday, President Biden demonstrated, once again, his commitment to delivering relief to patients struggling to afford their prescription medications. The President committed both to promoting competition among drug companies and topushing for comprehensive legislation that would allow Medicare to negotiate lower drug prices. Together these policies can drive true drug innovation and bring down drug prices for Americans. — (The Washington Post)

3.  Data, Data, Data

• Big Pharma’s favorability among Americans is slipping, as the industry hiked the prices of nearly 60 drugs in the first days of July. Voters show strong continued support for reforms to rein in the industry’s unfettered pricing power. New polling data from AARP show nearly nine of 10 older Americans want Medicare to negotiate lower drug prices. With drug prices starting higher and growing faster in the U.S. than in other high-income countries, it’s clear why voters want reform. — (AARP)