[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 1450 Introduced in Senate (IS)]
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118th CONGRESS
1st Session
S. 1450
To establish a cap on costs for covered prescription drugs under
Medicare parts B and D.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 4, 2023
Mr. Sanders (for himself and Ms. Klobuchar) introduced the following
bill; which was read twice and referred to the Committee on Finance
_______________________________________________________________________
A BILL
To establish a cap on costs for covered prescription drugs under
Medicare parts B and D.
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 ``Cutting Medicare Prescription Drug
Prices in Half Act''.
SEC. 2. CAP ON COSTS FOR COVERED PRESCRIPTION DRUGS UNDER MEDICARE
PARTS B AND D.
(a) In General.--Title XVIII of the Social Security Act (42 U.S.C.
1395 et seq.) is amended by adding at the end the following new
section:
``SEC. 1899C. CAP ON COSTS FOR COVERED PRESCRIPTION DRUGS UNDER
MEDICARE PARTS B AND D.
``(a) In General.--In no case may the amount of payment for a drug
or biological under part B or a covered part D drug (as defined in
section 1860D-2(e)) under a prescription drug plan under part D exceed
the lower of the following:
``(1) The amount paid by the Secretary of Veterans Affairs
to procure the drug under the laws administered by the
Secretary.
``(2) The amount paid to procure the drug through the
Federal Supply Schedule of the General Services Administration.
``(b) Manufacturer Requirement.--In order for coverage to be
available under part B for a drug or biological of a manufacturer or
under part D for a covered part D drug of a manufacturer, the
manufacturer must agree to provide such drug or biological to providers
of services and suppliers under part B or such covered part D drug to
prescription drug plans under part D for an amount that does not exceed
the maximum payment amount applicable under subsection (a).
``(c) Access to Pricing Information.--The Secretary of Veterans
Affairs and the Administrator of General Services shall provide to the
Secretary of Health and Human Services the information described in
paragraphs (1) and (2), respectively, of subsection (a) and such other
information as the Secretary of Health and Human Services may request
in order to carry out this section.
``(d) Effective Date.--This section shall apply with respect to
drugs furnished or dispensed on or after January 1, 2024.''.
(b) Conforming Amendments.--
(1) Application under part b.--Section 1847A of the Social
Security Act (42 U.S.C. 1395w-3a) is amended--
(A) in subsection (b)(1), by striking ``and (e)''
and inserting ``(e), and (i)'';
(B) by redesignating subsection (i) as subsection
(j); and
(C) by inserting after subsection (h) the following
subsection:
``(i) Application of Cap on Costs for Part B Drugs.--
Notwithstanding the preceding provisions of this subsection, the amount
of payment under this section for a drug or biological furnished on or
after January 1, 2024, shall not exceed the maximum payment amount
applicable to the drug or biological under section 1899C(a).''.
(2) Application as negotiated price under part d.--Section
1860D-2(d)(1)(B) of the Social Security Act (42 U.S.C. 1395w-
102(d)(1)(B)) is amended by adding at the end the following new
sentence: ``Notwithstanding any other provision of this part,
the negotiated price used for payment for a covered part D drug
dispensed on or after January 1, 2024, shall not exceed the
maximum payment amount applicable to the covered part D drug
under section 1899C(a).''.
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