I 

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110TH CONGRESS 

1ST SESSION H. R. 4 

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. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 5, 2007 

Mr. DINGELL (for himself, Mrs. EMERSON, Mr. RANGEL, Ms. SHEA-PORTER, 

Mr. WAXMAN, Mr. STARK, Mr. ACKERMAN, Mr. ALLEN, Mr. ALTMIRE, 

Mr. ANDREWS, Mr. ARCURI, Mr. BACA, Mr. BAIRD, Ms. BALDWIN, Mr. 

BECERRA, Ms. BERKLEY, Mr. BERMAN, Mr. BERRY, Mr. BISHOP of New 

York, Mr. BLUMENAUER, Ms. BORDALLO, Mr. BOSWELL, Mr. BOUCHER, 

Ms. BOYDA of Kansas, Mr. BRADY of Pennsylvania, Mr. BRALEY of Iowa, 

Mr. BUTTERFIELD, Mrs. CAPPS, Mr. CAPUANO, Mr. CARDOZA, Mr. 

CARNAHAN, Mr. CARNEY, Ms. CASTOR, Mr. CHANDLER, Mrs. 

CHRISTENSEN, Ms. CLARKE, Mr. CLAY, Mr. CLEAVER, Mr. CLYBURN, 

Mr. COHEN, Mr. CONYERS, Mr. COOPER, Mr. COSTELLO, Mr. 

COURTNEY, Mr. CROWLEY, Mr. CUELLAR, Mr. CUMMINGS, Mr. DAVIS of 

Illinois, Mr. DAVIS of Alabama, Mr. DEFAZIO, Ms. DEGETTE, Mr. 

DELAHUNT, Ms. DELAURO, Mr. DICKS, Mr. DOGGETT, Mr. DONNELLY, 

Mr. DOYLE, Mr. ELLISON, Mr. ELLSWORTH, Mr. EMANUEL, Ms. ESHOO, 

Mr. FALEOMAVAEGA, Mr. FARR, Mr. FATTAH, Mr. FILNER, Mr. FRANK

of Massachusetts, Ms. GIFFORDS, Mrs. GILLIBRAND, Mr. GORDON of 

Tennessee, Mr. AL GREEN of Texas, Mr. GENE GREEN of Texas, Mr. 

GRIJALVA, Mr. HALL of New York, Mr. HARE, Ms. HARMAN, Mr. 

HASTINGS of Florida, Ms. HERSETH, Mr. HIGGINS, Mr. HILL, Mr. HINCHEY, Ms. HIRONO, Mr. HODES, Mr. HOLDEN, Mr. HONDA, Ms. 

HOOLEY, Mr. HOYER, Mr. ISRAEL, Mr. JACKSON of Illinois, Ms. JACKSON-LEE of Texas, Mr. JOHNSON of Georgia, Mr. KAGEN, Ms. KAPTUR, 

Mr. KILDEE, Mr. KIND, Mr. KLEIN of Florida, Mr. KUCINICH, Mr. 

LANGEVIN, Mr. LANTOS, Mr. LARSEN of Washington, Mr. LARSON of 

Connecticut, Ms. LEE, Mr. LEVIN, Mr. LEWIS of Georgia, Mr. LIPINSKI, 

Mr. LOEBSACK, Ms. ZOE LOFGREN of California, Mr. LYNCH, Mr. 

MAHONEY of Florida, Mrs. MALONEY of New York, Mr. MARKEY, Ms. 

MATSUI, Mrs. MCCARTHY of New York, Ms. MCCOLLUM of Minnesota, 

Mr. MCDERMOTT, Mr. MCGOVERN, Mr. MCNERNEY, Mr. MCNULTY, Mr. 

MEEHAN, Mr. MEEK of Florida, Mr. MICHAUD, Ms. MILLENDERMCDONALD, Mr. GEORGE MILLER of California, Mr. MITCHELL, Mr. 

MOORE of Kansas, Mr. MORAN of Virginia, Mr. CHRISTOPHER MURPHY


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of Pennsylvania, Mr. NADLER, Mrs. NAPOLITANO, Ms. NORTON, Mr. 

OBERSTAR, Mr. OBEY, Mr. OLVER, Mr. ORTIZ, Mr. PALLONE, Mr. 

PASCRELL, Mr. PASTOR, Mr. PAYNE, Mr. PERLMUTTER, Mr. POMEROY, 

Mr. RAHALL, Mr. REYES, Mr. RODRIGUEZ, Mr. ROSS, Mr. ROTHMAN, 

Ms. ROYBAL-ALLARD, Mr. RUPPERSBERGER, Mr. RUSH, Mr. RYAN of 

Ohio, Mr. SALAZAR, Ms. LINDA T. SA ́NCHEZ of California, Mr. SARBANES, Ms. SCHAKOWSKY, Mr. SCHIFF, Mr. SCOTT of Georgia, Mr. 

SCOTT of Virginia, Mr. SERRANO, Mr. SESTAK, Mr. SIRES, Mr. SKELTON, Ms. SLAUGHTER, Mr. SNYDER, Ms. SOLIS, Mr. SPACE, Mr. 

SPRATT, Mr. STUPAK, Ms. SUTTON, Mrs. TAUSCHER, Mr. THOMPSON of 

Mississippi, Mr. THOMPSON of California, Mr. TIERNEY, Mrs. JONES of 

Ohio, Mr. UDALL of New Mexico, Mr. VAN HOLLEN, Ms. VELA ́ZQUEZ, 

Mr. WALZ of Minnesota, Ms. WASSERMAN SCHULTZ, Ms. WATERS, Ms. 

WATSON, Mr. WEINER, Mr. WELCH of Vermont, Mr. WEXLER, Mr. WILSON of Ohio, Ms. WOOLSEY, Mr. WU, Mr. WYNN, Mr. YARMUTH, and 

Mr. HINOJOSA) 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 

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. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Medicare Prescription 

5 Drug Price Negotiation Act of 2007’’. 


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1 SEC. 2. NEGOTIATION OF LOWER COVERED PART D DRUG 

2 PRICES ON BEHALF OF MEDICARE BENE3 FICIARIES. 

4 (a) NEGOTIATION BY HHS.—Section 1860D–11 of 

5 the Social Security Act (42 U.S.C. 1395w–111) is amend6 ed by striking subsection (i) (relating to noninterference) 

7 and inserting the following: 

8 ‘‘(i) NEGOTIATION OF LOWER DRUG PRICES.— 

9 ‘‘(1) IN GENERAL.—Notwithstanding any other 

10 provision of law, the Secretary shall negotiate with 

11 pharmaceutical manufacturers the prices (including 

12 discounts, rebates, and other price concessions) that 

13 may be charged to PDP sponsors and MA organiza14 tions for covered part D drugs for part D eligible in15 dividuals who are enrolled under a prescription drug 

16 plan or under an MA–PD plan. 

17 ‘‘(2) NO CHANGE IN RULES FOR

18 FORMULARIES.— 

19 ‘‘(A) IN GENERAL.—Nothing in paragraph 

20 (1) shall be construed to authorize the Sec21 retary to establish or require a particular for22 mulary. 

23 ‘‘(B) CONSTRUCTION.—Subparagraph (A) 

24 shall not be construed as affecting the Sec25 retary’s authority to ensure appropriate and 

26 adequate access to covered part D drugs under 


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1 prescription drug plans and under MA–PD 

2 plans, including compliance of such plans with 

3 formulary requirements under section 1860D– 

4 4(b)(3). 

5 ‘‘(3) CONSTRUCTION.—Nothing in this sub6 section shall be construed as preventing the sponsor 

7 of a prescription drug plan, or an organization offer8 ing an MA–PD plan, from obtaining a discount or 

9 reduction of the price for a covered part D drug 

10 below the price negotiated under paragraph (1). 

11 ‘‘(4) SEMI-ANNUAL REPORTS TO CONGRESS.— 

12 Not later than June 1, 2007, and every six months 

13 thereafter, the Secretary shall submit to the Com14 mittees on Ways and Means, Energy and Commerce, 

15 and Oversight and Government Reform of the House 

16 of Representatives and the Committee on Finance of 

17 the Senate a report on negotiations conducted by the 

18 Secretary to achieve lower prices for Medicare bene19 ficiaries, and the prices and price discounts achieved 

20 by the Secretary as a result of such negotiations.’’. 

21 (b) EFFECTIVE DATE.—The amendment made by 

22 subsection (a) shall take effect on the date of the enact23 ment of this Act and shall first apply to negotiations and 

24 prices for plan years beginning on January 1, 2008. 

Æ 


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