2248 112th CONGRESS
H. R. 2248
To amend part D of title XVIII of the Social
Security Act to require the Secretary of Health and Human Services to negotiate
covered part D drug prices on behalf of Medicare beneficiaries.IN
THE HOUSE OF REPRESENTATIVES
June 21, 2011
WELCH (for himself and Mrs. EMERSON) introduced the following bill; which was
referred to the Committee on Energy and Commerce, and in addition to the Committee
on Ways and Means, for a period to be subsequently determined by the Speaker,
in each case for consideration of such provisions as fall within the jurisdiction
of the committee concerned
amend part D of title XVIII of the Social Security Act to require the Secretary
of Health and Human Services to negotiate 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,
1. SHORT TITLE.
This Act may be cited as the `Medicare Prescription
Drug Price Negotiation Act of 2011'.
SEC. 2. NEGOTIATION OF LOWER
COVERED PART D DRUG PRICES ON BEHALF OF MEDICARE BENEFICIARIES.
(a) Negotiation by Secretary- 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.
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.
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).
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, 2012, and every 6 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.'.
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, 2012.